Kaia and LINE Create a Stablecoin Bridge to Connect Asia's Diverse Financial Markets

Kaia, together with LINE NEXT—the web3 subsidiary of LINE—has revealed "Project Unify," a super-app centered around stablecoins that aims to simplify financial services and cross-border payments throughout Asia. Expected to enter beta later this year, the platform will bring stablecoin-powered features such as payments, remittances, yield opportunities, and access to more than 100 decentralized apps (dApps) directly into LINE Messenger, which serves almost 200 million users every month across Japan, China Taiwan, and Thailand title1 [ 1 ]. The project seeks to resolve the disparate payment infrastructures in Asia by integrating stablecoins tied to various local currencies—including the Japanese yen, Korean won, Thai baht, and U.S. dollar—into a unified, regulatory-compliant system title2 [ 2 ].

Promoted as a solution with universal regulatory compliance, Project Unify makes use of Kaia’s blockchain, formed from the combination of Kakao’s Klaytn and LINE’s Finschia blockchains. Initially, the application will be available both as an independent platform and as part of LINE Messenger, providing real-time stablecoin rewards, peer-to-peer transfers, and seamless conversion between fiat and crypto title3 [ 3 ].

DLT Foundation’s Chairman, Dr. Sangmin Seo, highlighted the project’s objective to connect Asia’s disjointed payment networks using a stablecoin integration layer, fostering broader cross-border financial access title2 [ 2 ]. Additionally, the platform intends to introduce a software development kit (SDK) for developers and stablecoin providers, making it easier to embed stablecoin services into regional applications and markets title3 [ 3 ].

The initiative faces regulatory challenges in South Korea, where policymakers continue to discuss regulatory frameworks for stablecoin authorization, reserve backing, and interest-bearing provisions. In spite of these uncertainties, Kaia and LINE NEXT are moving forward, with Kakao recently registering four Korean won stablecoin trademarks title1 [ 1 ]. Project Unify is built upon the momentum of LINE’s Mini Dapps, which saw 130 million new users in 2025, and now aims to become a comprehensive super-app accessible via web, mobile, and within LINE Messenger title2 [ 2 ]. Tether’s recent launch of USD₮ on Kaia further enhances the platform, allowing 196 million LINE users to send and receive stablecoin payments title4 [ 4 ].

South Korea’s shifting regulatory environment adds further obstacles for Project Unify. The National Assembly has put forward three Digital Asset bills that could legalize KRW-based stablecoins, while the Bank of Korea voices concerns about capital outflows and potential currency volatility title5 [ 5 ]. Meanwhile, Japan’s Financial Services Agency has signaled support for private sector stablecoins for both B2B and B2C uses, seeing them as complementary to central bank digital currencies title5 [ 5 ]. Kaia’s emphasis on stablecoins backed by local fiat aligns with prevailing trends in the region, looking to address a market where fewer than 27% of adults in developing parts of Asia have access to formal banking services title6 [ 6 ].

The partnership with

demonstrates the project’s intention to merge conventional financial systems with decentralized alternatives. As the largest stablecoin by market value ($149.4 billion), USD₮ will facilitate cross-border money transfers, DeFi usage, and in-app payments for LINE’s user base title4 [ 4 ]. Youngsu Ko, CEO of LINE NEXT, stressed the project’s capacity to create a "dollar-focused entry point" for Web3 adoption throughout Asia, stressing its practical benefits for daily users title4 [ 4 ]. Kaia’s infrastructure, which offers fast transactions and instant finality, also positions the network as a strong foundation for stablecoin-based activities title4 [ 4 ].

The success of Project Unify will depend on regulatory progress and widespread acceptance in the region. With South Korea’s Digital Asset Basic Act anticipated in late 2025, the initiative could benefit from new policies that reduce capital requirements for stablecoin providers and encourage innovation within the private sector. As Kaia looks to grow its presence in markets such as Indonesia and the Philippines, teaming up with local exchanges and

will be vital for expanding its reach beyond LINE’s current markets title6 [ 6 ]. The project’s focus on both dollar-backed and regionally anchored stablecoins mirrors a larger movement in Asia to leverage blockchain technology for enhanced financial inclusion and cross-border payment efficiency.