NH NongHyup Bank pilots stablecoin VAT refunds on Avalanche
NH NongHyup Bank is testing a proof-of-concept that routes VAT refunds for inbound tourists through stablecoins issued on Avalanche (AVAX). The pilot seeks to shorten refund settlement times and reduce reliance on physical cash at points of sale and airports, using on-chain records to simplify reconciliation between merchants, tax authorities and the bank.
The initiative could boost convenience for visitors and lower operational friction for vendors, positioning crypto rails as a practical payments adjunct rather than a speculative use case. Regulators and compliance teams will be watching closely — the PoC must address AML/KYC and tax-reporting requirements before any wider rollout, but the trial marks a notable step toward mainstream stablecoin payment utilities in travel and retail.