[비즈한국] It has been confirmed that Viva Republica, the operator of Toss, filed a new trademark application for "Toss VAN" on June 23. Toss Payments, a subsidiary of Viva Republica, is currently pursuing the establishment of a new entity by splitting off its Value Added Network (VAN) division. The "Toss VAN" trademark filing is interpreted as a move made with this new entity in mind.
According to Kipris, the Korea Intellectual Property Rights Information Service, the designated goods and services for "Toss VAN" include data communication, wireless communication, transmission and reception services via VAN, electronic communication services for credit card transaction authorization, telecommunication services, information transmission via wired/wireless networks, and providing access to e-commerce platforms on the internet. After the trademark application is filed, it will undergo examination by the Korean Intellectual Property Office, followed by public notice and an objection period before a final registration decision is made.
Judging by the designated goods and services, the trademark application is seen as being aimed at the VAN business. The VAN business builds payment networks between offline merchants, credit card companies, and financial institutions, serving as an intermediary for data related to credit card transaction authorization, acquisition, and settlement.
Viva Republica’s subsidiary, Toss Payments, engages in businesses such as Payment Gateway (PG) and VAN. Looking at Toss Payments' revenue, the PG business accounts for an overwhelming majority. According to audit reports, Toss Payments recorded 925.1 billion KRW in revenue last year, with 889.4 billion KRW (96.14%) coming from PG-related business. Revenue from the VAN division amounted to 19.3 billion KRW, or 2.09% of the total revenue.
In the midst of this, Toss Payments is pushing for the spin-off of its VAN division, planning to separate the unit into an independent legal entity. Toss Payments plans to hold an extraordinary general meeting of shareholders on July 24 to address the spin-off agenda. A Viva Republica official explained, "Toss Payments is separating its internal VAN division to concentrate resources on its existing PG business and enhance management efficiency."
The analysis suggests that Viva Republica’s filing for the "Toss VAN" trademark is also linked to the spin-off of the VAN division. Furthermore, the possibility of the new entity expanding its business is being raised. Viva Republica has also filed for other "Toss VAN" trademarks with different designated goods and services. These other "Toss VAN" trademarks include items such as credit card services, banking and insurance services, cryptocurrency, financial transaction services, and public relations agency services.
While Viva Republica explained that the "Toss VAN" trademark was filed with the new entity in mind, it remained cautious regarding business expansion. A Viva Republica official stated, "Toss VAN is a brand streamlining process carried out during the course of spinning off the VAN division of Toss Payments into a separate entity," adding, "The new VAN entity is not expanding into new business areas and will be operated to process payment volumes occurring within the existing Toss Group."