Terra has added another partner to its payment provider alliance.
The Singapore-based, South Korean-focused blockchain provider and stable coin issuer has agreed to work with Bugs, a South Korean music streaming service. Bugs is the latest addition to the Terra Alliance, a group of ecommerce companies for which Terra provides payment services.
Terra now has 25 partners in the grouping, including some of the largest ecommerce players in the region, and has ambitions to become the PayPal of Asia or even the next Alipay.
The latest partnership will allow Bugs customers to pay for their song purchases using Terra. The company says that the arrangement is the first of its kind between a major music streaming service and a blockchain payments platform.
Bugs, which has 5.8 million songs available for users, was founded in 2002. Formerly known as Neowiz, it was acquired by NHN Entertainment in 2015. The company is listed on the Kosdaq, South Korea’s secondary market, with NHN owning about 45% of the shares.
The arrangement between Bugs and Terra will utilize CHAI, a Korean payments solution provider that has a mobile app for completing transactions. CHAI will be the public face, while Terra will provide the backend blockchain technologies.
“The value chain for payments is convoluted,” said Daniel Shin, co-founder of Terra. “There are six or seven players, and everyone takes a cut. We streamline the process.”
The relationship with CHAI is central to Terra’s strategy, as is the Alliance the company is building. Shin wants crypto be usable and used and believes that the best way to achieve that is to have the front end be simple and intuitive and to give the consumer many ready options for spending.