KakaoBank’s Digital Certificate Service Hits 15 Million Users in South Korea

KakaoBank’s digital certificate service has reached 15 million users in South Korea, marking a significant milestone just one year and ten months after its launch. The service, which builds on South Korea’s broader push for mobile banking identity solutions, enables customers to issue certificates through the KakaoBank mobile app for financial transactions, authentication, and electronic signatures.

The KakaoBank Certificate facilitates identity verification for signing up and logging into websites and apps of both public institutions and private companies. Users can apply the certificate for financial transactions and electronic contracts that require secure digital signatures, representing a significant advancement in South Korea’s digital identity infrastructure.

The service has achieved widespread adoption across major South Korean institutions, including the National Tax Service’s Hometax platform, Government24, and the National Pension Service. Private sector acceptance includes companies such as Megabox, Gmarket, Zigzag, and Melon. This broad acceptance aligns with South Korea’s national strategy to modernize its digital authentication systems, moving away from traditional certificate-based methods.

Starting in January, KakaoBank will implement simplified authentication for the National Tax Service’s year-end tax settlement service. Certificate holders will be able to select KakaoBank as their simplified login method on the tax settlement platform, streamlining what has traditionally been a complex process for South Korean taxpayers.

A KakaoBank official stated, “We have prepared the KakaoBank Certificate to make year-end tax settlements more convenient. We will continue to expand partnerships with various public and lifestyle services to enhance customer convenience.”

The rapid adoption of KakaoBank’s certificate service reflects a broader trend in South Korea’s financial sector, where digital banking and mobile-first solutions are becoming increasingly prevalent. This development follows the country’s initiative to have commercial banks introduce digital identification systems to expand their services beyond traditional banking sectors.

The company is currently running a promotional event from December 2 to December 22 for customers who issue a KakaoBank Certificate. The promotion offers eligible participants aged 17 and older the chance to win Shinsegae gift certificates valued at 50,000 won (approximately $35), with 1,000 winners to be selected.

Sources: Business Korea

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December 10, 2024 – by Ali Nassar-Smith