Chainlink joins 47 banks in Project Pangea for cross-border stablecoin settlement
Security & Exploits ·
The alliance brings together South Korean and European banks to test near-real-time settlement of international currency trades using stablecoins.
Chainlink has partnered with 47 banks across South Korea and Europe to form Project Pangea, an initiative aimed at using stablecoins to settle multimillion-dollar currency trades between the two regions in near real time. The effort targets a core inefficiency in traditional foreign exchange settlement, where cross-border transfers between banks can take days to clear due to time-zone gaps and correspondent banking chains. By routing settlement through stablecoins on-chain, the participating banks intend to compress that timeline substantially while keeping the underlying trades denominated in fiat currency terms.
The mechanics rest on Chainlink's existing infrastructure for connecting traditional financial systems to blockchain networks, an approach it has been extending across institutional finance. Chainlink was separately tapped by DTCC for its tokenized collateral platform ahead of a fourth-quarter launch, according to Coindesk, underscoring a pattern of large financial infrastructure providers building on Chainlink's connectivity layer rather than developing proprietary bridges. Chainlink has also expanded its oracle services onto Amazon Web Services' marketplace, per Decrypt, broadening the channels through which enterprises can access its data and settlement tooling.
The Pangea partnership arrives alongside movement in Chainlink's cross-chain infrastructure business more broadly. Protocols including Kraken have been shifting tokenized value away from LayerZero toward Chainlink's CCIP following a security incident tied to Kelp DAO, with CCIP attracting more than $2.5 billion in total value locked as a result, according to reporting cited by WuBlockchain. That migration, distinct from the Pangea banking effort, points to growing reliance on Chainlink's messaging protocol for moving assets across chains securely.
Ten distinct sources are covering the Project Pangea development, reflecting broad interest in a banking consortium of this size adopting stablecoin rails for currency settlement. What remains unspecified is the exact list of the 47 participating banks, the technical settlement timeline for moving from testing to live currency trades, and whether the near-real-time settlement claim has been demonstrated in a production environment or remains at a pilot stage. How regulators in South Korea and across European jurisdictions respond to stablecoin-based interbank settlement, and whether the model extends to additional currency corridors beyond the Europe-South Korea route, are also open questions.