ARACORE, TEIZA to test stablecoin settlement model between Korea and Malaysia

ARACORE and Malaysian blockchain infrastructure company TEIZA have signed an MOU to explore an institutional stablecoin payment and settlement model connecting Korea and Malaysia. The effort is aimed at banks, financial institutions and fintechs, with PoC and pilot opportunities under consideration if the model proves viable.

Why it matters: - The agreement could help create a cross-border settlement path for institutions that want to use stablecoins for faster payment and settlement workflows. - The collaboration is aimed at banks, financial institutions and fintech companies in Korea and Malaysia, with potential to expand into other Southeast Asian markets later. - A working model could reduce friction in cross-border transactions by linking institutional networks, liquidity providers and settlement partners.

What happened: - ARACORE, the U.S. subsidiary of blockchain and AI company BPMG, signed a Memorandum of Understanding with Malaysian blockchain infrastructure company TEIZA on September 21. - The two companies will jointly explore an institutional stablecoin-based payment and settlement model between Korea and Malaysia. - ARACORE and TEIZA will use ARACORE’s Institutional Settlement Network, or ISN, together with TEIZA’s digital infrastructure and institutional network. - The collaboration will focus on cross-border payment and settlement models involving financial institutions and fintech companies in both countries.

The details: - ARACORE’s ISN is an infrastructure layer built to connect banks and financial institutions with liquidity providers, on/off-ramp providers and settlement partners. - The network is designed to coordinate the institutional settlement process across participating entities. - The two companies will connect their financial institution and payment and settlement partner networks to identify real-world transaction demand. - They will look for payment and settlement use cases where stablecoins can be applied. - TEIZA will use its local network in Malaysia to identify potential financial institution and fintech participants. - The companies will evaluate opportunities for proof-of-concept initiatives and pilot projects based on suitable use cases. - TEIZA is a blockchain company that builds digital infrastructure for governments, financial institutions and enterprises. - TEIZA says its infrastructure helps organizations keep data private and meet local regulatory requirements while connecting to global blockchain networks. - In November 2025, TEIZA launched the Malaysia Digital Consortium, formerly the Malaysia Blockchain Consortium, with 19 founding organizations across finance, fintech and blockchain. - The consortium has since grown to more than 30 members, including EthSystems and Gateway.fm. - The consortium focuses on blockchain interoperability, technical standards and regulatory collaboration.

Between the lines: - The MOU signals early-stage market testing rather than a completed commercial rollout. - The focus on institutional participants suggests the companies are targeting regulated payment flows, not consumer crypto use. - TEIZA’s consortium footprint in Malaysia gives the partnership a local entry point, while ARACORE brings a settlement infrastructure designed for institutional coordination.

What's next: - ARACORE and TEIZA will look for concrete transaction demand and viable use cases in Korea and Malaysia. - The companies plan to assess whether specific opportunities justify PoC work and pilot programs. - If the model validates, the partnership could expand to additional markets across Southeast Asia. - The broader test will be whether institutional stablecoin settlement can fit local regulatory and operational requirements while scaling across borders.