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Kakao Pay

“Can Korea's dominant payments app convert its 22M+ MyData subscribers into the country's primary personal-and-SMB financial OS?”

Founded2017
HQSeongnam, South Korea (166 Pangyoyeok-ro, Bundang-gu)
Latest roundIPO (KOSPI), August 2021
ValuationRaised ~KRW 1.63 trillion (~$1.4B) at IPO
IndustryFintech / Consumer banking
The story

Launched 2014 as an in-chat payment feature in KakaoTalk, spun out as Kakao Pay Corp. in 2017 to formalize the payments business. Used Korea's MyData regime to evolve into a comprehensive personal finance super-app — payments, P2P transfers, investments (via Kakao Pay Securities), insurance (via Kakao Pay Insurance), and loan brokerage. Post-2021 IPO it has shifted from user-acquisition mode to monetization: building out merchant services (QR Order, offline VAN/POS partnerships) and loan-switching products for SMBs, reframing itself as 'finance that benefits everyone'.

Last 12 months
2026-03
In the March 2026 recap →
2026-02
In the February 2026 recap →
Product timeline
2014
Kakao Pay payment service launched inside KakaoTalk by parent Kakao Corp.· pivot
2017
Kakao Pay Corp. incorporated as a separate entity to operate the payment business.· pivot
2017
Sister entity KakaoBank launched as a Korean internet-only bank.· banking
2020
Expanded into investments, loan brokerage and insurance distribution.· lending
2021
IPO on KOSPI, raising ~KRW 1.63T (~$1.4B); ticker 377300.· ipo
2025
Turned to first consolidated annual surplus; doubled down on SMB merchant services and inclusive finance.· pivot
2026
Launched 'personal business owner loan switching' (대출 갈아타기) for self-employed/SMBs, leveraging 22M+ MyData subscribers.· lending
Regulated entities
4
regulatory licences held by Kakao Pay
Licence types, jurisdictions and registered entities are in the Embedded Finance Index report.
The stack
4 layers disclosed in Kakao Pay’s embedded-finance stack
Payments / PSP
Kakao Pay (self-operated e-wallet)Kakao Pay Online Payment API (self-operated)Kakao Pay QR Order (self-operated)
Banking / BaaS
in the full report
Lending
in the full report
Open banking
in the full report
Accounting gap: minor
7 more providers across 3 layers, with confidence-scored evidence and source URLs, are in the Embedded Finance Index report.

Kakao Pay — frequently asked

What bank does Kakao Pay use?

Kakao Pay discloses Kakao Pay Corp. (in-house prepaid e-money issuer) and sister entity KakaoBank N.A. for deposit accounts as its banking providers, according to the Embedded Finance Index 2026.

Is Kakao Pay a bank?

Kakao Pay does not disclose a bank charter of its own; its banking services are provided through Kakao Pay Corp. (in-house prepaid e-money issuer) and sister entity KakaoBank N.A. for deposit accounts.

Who is Kakao Pay's payment processor?

Kakao Pay processes payments through Kakao Pay (self-operated e-wallet), Kakao Pay Online Payment API (self-operated) and Kakao Pay QR Order (self-operated).

Which open banking provider does Kakao Pay use?

Kakao Pay connects to bank accounts through Kakao Pay MyData (self-operated, 본인신용정보관리업 licensee).

What is Kakao Pay's embedded finance stack?

The Embedded Finance Index 2026 maps 4 layers in Kakao Pay's stack: Payments / PSP (Kakao Pay (self-operated e-wallet), Kakao Pay Online Payment API (self-operated) and Kakao Pay QR Order (self-operated)); Banking / BaaS (Kakao Pay Corp. (in-house prepaid e-money issuer) and sister entity KakaoBank N.A. for deposit accounts); Lending (Personal credit loan comparison & switching, Mortgage loan switching, Jeonse (rental) loan switching and Personal business owner (SMB) loan switching); Open banking (Kakao Pay MyData (self-operated, 본인신용정보관리업 licensee)).

Where is Kakao Pay headquartered?

Kakao Pay is founded in 2017 and headquartered in Seongnam, South Korea (166 Pangyoyeok-ro, Bundang-gu).

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