LG CNS, a major South Korean tech firm, is shifting from Ethereum to Avalanche for its blockchain infrastructure due to Ethereum’s performance limits, as revealed in their “Project Han River” CBDC testing, aligning with a global trend where 90% of central banks are exploring digital currencies per an IMF 2023 report.
Avalanche’s adoption highlights its edge as an enterprise-grade Layer 1 blockchain, offering near-instant transaction finality, which could handle the 1.5 million daily transactions projected for South Korea’s CBDC rollout, outpacing Ethereum’s 15 transactions per second.
This move reflects a strategic pivot amid South Korea’s aggressive digital economy push, with the Bank of Korea suspending prior CBDC plans, potentially signaling a preference for private blockchain solutions like Avalanche over traditional central bank systems.
