[비즈한국] KG Financial (formerly KG Mobilians046440), an affiliate of KG Group, has declared its transformation into a comprehensive financial service company. It is showing particular interest in businesses related to virtual assets. Recently, KG Group Chairman Kwak Jae-sun was confirmed for reappointment as an executive director at KG Financial; with the owner participating directly in management, the business world is closely watching KG Financial's moves.
KG Mobilians announced on March 24 that it changed its company name to KG Financial and will set out to transform into a comprehensive financial service company. KG Group explained, "This is a strategic decision to move away from an electronic payment-centered business structure and expand into businesses encompassing digital finance," adding, "We plan to expand our business scope into a comprehensive financial services firm based on our payment infrastructure."
Yoo Seung-yong, CEO of KG Financial, stated, "We decided to change our name to leap forward as a finance-centered, new digital financial company based on our payment infrastructure and core technological capabilities," adding, "KG Financial will build a sustainable growth foundation through a new business model that connects payments and finance."
KG Group possesses a certain level of finance-related infrastructure. Its affiliate, KG Inicis035600, is the nation's largest Payment Gateway (PG) company, recording 1.3589 trillion won in revenue and 98.6 billion won in operating profit last year. K Car381970, which KG Group recently signed an acquisition contract for, can also be utilized for expanding its financial business. While signing the acquisition contract for K Car, KG Group stated, "(K Car) possesses a solid market share and profit structure that encompasses vehicle purchase and sales, car rentals, and automotive finance."
Other affiliates, KG Zeroin and KG Capital, also engage in finance-related businesses. KG Zeroin is a fund evaluation and consulting firm that supports investors' asset management, while KG Capital is a specialized credit financial company. Although the presence of these two firms in the industry is not significant, there are observations that KG Financial could leverage synergy effects between its affiliates.
KG Financial began its full-scale business activities after changing its name. It signed a Memorandum of Understanding (MOU) with NICE Information Service on March 30 for the development of alternative credit evaluation services, and on the 31st, it signed an MOU with Korbit to promote digital asset payment services. Furthermore, on April 6, it signed an MOU with Hecto Wallet One to expand digital asset payment services and build a next-generation financial ecosystem.
These moves are deeply connected to virtual assets. When KG Financial changed its name, it also mentioned future business portfolios including: upgrading digital payment infrastructure, expanding financial services, and entering the digital asset business. At the time of signing the MOU with Hecto Wallet One, KG Financial stated, "We will strive to build a safe digital asset payment environment based on our existing financial infrastructure and risk management capabilities." As virtual assets have been one of the key buzzwords in the financial sector over the past few years, KG Financial's related moves are aligned with industry trends.
KG Financial plans to launch a digital asset-related digital wallet service in April. Although specific details have not been revealed, it is known to be a service that allows users to store virtual assets within an app. However, unlike virtual asset exchanges that earn commissions, digital wallet services have the limitation of lacking a clear profit model. AhnLab Blockchain Company, which operates the digital asset wallet service 'Klip', also recorded a deficit last year. Analysts suggest that it is necessary for KG Financial to expand its digital asset business infrastructure based on its digital wallet service.
Perhaps conscious of this, KG Financial aims to acquire a Virtual Asset Service Provider (VASP) license based on its own technology. After acquiring the qualification, it plans to expand into business areas such as digital asset payments and cross-border remittances using stablecoin-based payment infrastructure. It plans to go through VASP preliminary certification this year and launch full-scale services in 2027. Since many domestic financial companies and IT firms are pushing to enter the stablecoin business, KG Financial will have to compete fiercely with them.
Meanwhile, at the shareholders' meeting in March, KG Group Chairman Kwak Jae-sun was reappointed as an executive director at KG Financial. The success of KG Financial is expected to affect the evaluation of Chairman Kwak as well.
Yoo Seung-yong, CEO of KG Financial, declared at the '2026 CEO Investor Day' event held in February, "2026 will be the inaugural year for KG Financial to transform its constitution into a finance-centered company," adding, "Based on responsible management and execution, we will definitely realize our leap into a financial service company." The industry is paying close attention to whether KG Group can successfully establish itself in the financial sector.