KBC Bank introduced its own cryptocurrency

One of Belgium’s largest banks, KBC bank, has introduced Kate Coin, a blockchain-based e-money offering available only through the KBC Mobile app.

The in-house developed system has programmable money features. That means it’s possible to use code to control the money’s functionality, such as what it can be used to pay for during a specific time period. KBC is preparing for the future with its new offer, referring to the new world of web3 and NFTs. According to the news on Crypto Hot News, KBC Bank will conduct its first large-scale test with 8,000 KBC employees this weekend.

During this weekend’s trial, employees participating in the festival can use it to pay for snacks and drinks.

More generally, the functionality is initially restricted, so the coin is not transferrable between KBC customers, nor can it be exchanged for euros even though it is backed one for one in a segregated account. Instead, users will receive the coins for loyalty as rewards. For example, if someone purchases a particular product, invests in a socially responsible fund, or takes out a loan for an electric bike which is considered a sustainable activity.

“The customers who want to use the Kate Coin don’t have to do anything: they automatically receive the Kate Coins in their Kate Coin wallet in KBC Mobile and Kate (digital assistant) keeps them personally informed: why they receive Kate Coins, how long they can be used, etc,” said Erik Luts, Chief Innovation Office KBC Group.

The solution uses the enterprise blockchain Hyperledger Fabric with plans to host some of the nodes outside of KBC. “With the (Fabric) channels and private data collections we can keep confidentiality and comply with GDPR,” said Dirk Hermans, Innovation manager – blockchain lead at KBC via email.


Source: Crypto Hot News