Hyundai Tests USDT for Cross-Border Corporate Transfers

Hyundai Card has successfully completed its first cross-border settlement pilot between company subsidiaries using the USDT stablecoin and the Avalanche blockchain. As part of the trial, the company transferred $20,000 between Hyundai Motor's operations in the United States and Mexico. The entire transaction was completed in approximately seven minutes.

According to Hyundai, its U.S. subsidiary converted $20,000 into USDT before sending the funds over the Avalanche network to its Mexican counterpart. Once received, the stablecoins were exchanged back into U.S. dollars. By comparison, a traditional international bank transfer typically takes three to four hours.

The company emphasized that the pilot was not conducted solely in a controlled testing environment. Instead, the transaction was used to settle an actual payment between Hyundai's overseas subsidiaries, demonstrating the practical use of blockchain-based settlements in a real business scenario.

Hyundai Card led the project, overseeing regulatory, legal, tax, and compliance requirements, as well as designing the end-to-end payment process. Blockchain payments company Axiym also participated in the pilot, providing expertise in blockchain-based cross-border payments.

The next phase of the program is scheduled to begin later this month. It will expand to Hyundai Motor's European subsidiaries and include Visa and Circle, the issuer of the USDC stablecoin, as project partners. This stage will test settlements involving multiple local currencies to evaluate whether stablecoins can reduce the cost of international corporate payments.

Hyundai's initiative reflects the growing adoption of stablecoins for cross-border transactions. In June, MassPay integrated Coinbase's USDC payment infrastructure into its network spanning 180 countries. Last month, SBI Remit partnered with Fasset to develop stablecoin-based solutions for remittances, liquidity management, and settlements. Companies involved in these initiatives argue that blockchain technology can significantly reduce transaction times while lowering the cost of international payments.