Hyundai Card completes live USDT remittance test on Avalanche

Hyundai Card completed a live proof-of-concept that converted $20,000 into Tether’s USDT on the Avalanche blockchain, transferred the tokens from Hyundai Motor America to the company’s Mexico office and converted them back into U.S. dollars in roughly seven minutes.

The transaction began when Hyundai Motor America converted $20,000 into USDT, moved the tokens over the Avalanche network to the Mexican entity and reconverted them into U.S. dollars at the destination. Hyundai Card compared the seven-minute end-to-end time with the roughly three to four hours a comparable interbank transfer typically requires.

Tether acted as the issuer of USDT and Avalanche served as the settlement network for the test. Blockchain payments infrastructure provider Axiym also participated in the transaction. Hyundai Card led regulatory review, legal and tax assessments, internal control planning and the design of the remittance structure used in the pilot.

The company’s press release included the following statement: “What makes this particularly meaningful is that the PoC was conducted in connection with actual intercompany settlement needs between Hyundai Motor's overseas entities, not as a theoretical blockchain experiment.”

Hyundai Card said a second proof-of-concept will begin later this month between Hyundai Motor’s European entities. Visa and Circle, the issuer of the USDC stablecoin, are scheduled to take part. That round will use stablecoins pegged to various local currencies instead of the U.S. dollar and is intended to test cost efficiency in real-world corporate settlements.

Stablecoins are cryptocurrencies designed to hold a stable value by tying their price to a fiat currency such as the U.S. dollar. Avalanche is a public blockchain that supports fast token transfers and is used by some issuers for settlement. The company's tests focused on applying those tools to cross-border intercompany payments while addressing regulatory, tax and internal control requirements.