POSCO International on Injective Blockchain with LG CNS

South Korea’s biggest trading firm is testing a new way to handle payments using blockchain. POSCO International has started putting real trade receivables on the Injective network with help from LG CNS. This move could make global payments faster and simpler for its many overseas units.

What Are Trade Receivables and Why Tokenize Them?

Trade receivables are the money a company is owed after it ships goods but before it gets paid. Right now, buyers, sellers, and banks each keep their own records. This often leads to delays of several days while everyone checks the details.

By moving these claims onto a shared blockchain, POSCO and LG CNS create one clear record. The digital token carries all the needed rules and can be sent or settled quickly. The pilot uses actual trades between POSCO’s global sites and their partners, not fake test data.

Details of the POSCO and LG CNS Pilot

POSCO International earned $22.2 billion last year across steel, energy, and battery materials. It is working with LG CNS, the tech unit of LG Group, to issue, move, and settle these tokens on the Injective layer-1 blockchain.

A company spokesperson said the test proved that AI and blockchain tools work well with real trade data. The firm plans to move the project into full use later this year once the pilot ends.

Why This Matters for Trade Finance

Tokenized assets are growing fast. The current market size is around $35 billion, and some forecasts say it could hit $5.5 trillion by 2030. While many projects focus on funds and stocks, trade finance is another strong area.

Putting receivables on blockchain lets companies free up working capital more easily. Banks and partners also get the same view of the asset at the same time. This cuts down on errors and speeds up financing.

South Korea’s Growing Blockchain Push

South Korea is becoming a leader in company use of blockchain. Hyundai recently started using stablecoins for money moves between its U.S. and Mexico offices. Circle has teamed up with Kakao Group and Toss Bank to build stablecoin payment systems.

LG CNS already worked on the Bank of Korea’s digital currency tests and runs token platforms for KOSCOM and Mirae Asset Securities. The new test with POSCO extends this work into global trade.

Benefits and Future Outlook

• Faster settlement of payments between subsidiaries
• Lower costs from fewer manual checks
• Better compliance because rules travel with the token
• More transparency for all parties involved

This project shows how big companies can use blockchain for everyday business tasks. As more firms test similar ideas, trade finance could see big changes in speed and efficiency.