Ulaanbaatar-based Trade & Development Bank of Mongolia (TDB Bank) has partnered with digital currency-finance company Delio and blockchain company Hexland to start offering digital currency services, according to South Korean media outlet DDaily.
TDB Bank will offer services including but not limited to digital currency remittance, custody, deposits, loans, and asset management. The bank’s customer will also reportedly have access to the crypto asset market, but the launch date is still unclear.
The venture also includes Mongolia-based MDKI, a mineral resource transportation company, whose partners include Bitfury, a Dutch block reward mining giant, and Mongolian state-owned company Erdenes Mongol. MDKI plans to promote virtual asset related projects in cooperation with Mongolia’s TDB Bank.
TDB Banks is one of Mongolia’s oldest banks, ranking second out of 17 Mongolian banks in terms of total assets. Its main customers are over 400 Mongolian companies, offering them services such as project loans, investment loans, trade loans, and financial consulting to industrial clients from 50 branches across the nation.
An unnamed official from Delio reportedly told DDaily that through this partnership: “Through this partnership, we are in full swing to enter the global virtual asset financial market.”
“Delio’s services, such as virtual asset landing, deposit, remittance, and custodial services, will be strengthened in order to successfully settle in the global market in the second half of the year. I will concentrate.”
Hexland is a specialized blockchain technology company founded by developers from Samsung Electronics. It provides services across many blockchain fields, such as smart contract development, verification, and wallet development. Recently, it has launched Octet, a service-type blockchain.
The decision by the TDB Bank to enter the digital currency space will be another step forward towards enhancing digital currency adoption in Mongolia.
Mongolia has been taking steps in the blockchain space since 2018. In that year, the country’s largest mobile telecoms operator had become Mongolia’s first licensed entity to issue its own digital currency. In 2019, Ulaanbaatar City’s government agreed to partner with a South Korean blockchain company, Terra, to one day replace the payment methods for utility bills and government subsidies with the Terra stablecoin.