PILA, TOTM target ASEAN digital trade with verifiable credentials

Vietnam and Singapore are taking another step toward interoperable digital trade in Southeast Asia, with Vietnam-based PILA and Singapore’s TOTM Technologies agreeing to develop a digital verification platform for cross-border transactions.

The partnership aligns with ASEAN’s Digital Economy Framework Agreement (DEFA), which aims to build interoperable digital infrastructure for trade, payments, trusted data flows and digital identity across the region.

PILA, which specializes in data verification and decentralized identity infrastructure, has inked a cooperation agreement with TOTM Technologies to develop a digital verification platform for cross-border transactions.

PILA and TOTM Technologies will first pilot a proof of concept to add Verifiable Credentials (VCs) to the Letter of Credit process between banks. This is built on Singapore’s Infocomm Media Development Authority’s framework, IMDA’s TradeTrust, with the model allowing for faster, tamper‑proof verification of LCs without having to change existing legal rules.

Verification is enabled by a shared trust infrastructure, allowing independent checks without direct bank‑to‑bank connections. PILA will run VC issuance and verification in Vietnam via NDAKey’s blockchain platform, while TOTM integrates the solution in Singapore with TradeTrust.

The pilot aims to reduce verification costs while strengthening trust in cross-border trade for banks, businesses and regulators. It also reflects ASEAN’s broader push to build interoperable digital trust infrastructure under DEFA.

The World Economic Forum projects a digital economy for the 11-member association to reach $2 trillion by 2030. The World Bank is keeping an eye on the readiness of member states for cross-border digital identity and VC interoperability. The prize? A regionally harmonized digital identity framework across Southeast Asia, a region with around 700 million people.

This is clearly a big pie and researchers have even advised how a large country like India, with its own dynamic ecosystem of ecommerce and digital identity, can take action for deeper digital engagement with ASEAN. Digital integration is the name of the game and on this PILA and TOTM are also setting their sights.

PILA and TOTM Technologies plan to extend their partnership beyond the initial trade corridor into wider ASEAN markets. This includes a Digital Product Passport to support traceability for goods traded among Vietnam, Singapore and Indonesia.

Beyond that there’s an even more ambitious aim. One that, if achieved, could be momentous considering the size of Indonesia and Vietnam’s markets. In the partnership’s prospective to-do list is a cross‑border payments system, enabled by digital trust, linking the three countries. The plan would then see it scaled region‑wide. Longer term, the collaboration aims to bolster ASEAN’s digital connectivity in line with DEFA to advance digital trade, secure data flows, electronic payments and interoperability.

TOTM is a regional provider with operations in Singapore, Thailand, the Philippines and Malaysia and has been investing in biometrics industry firms including Tech5 and International Biometrics Pte Ltd (InterBio). PILA meanwhile was founded in November 2024 and is involved with Vietnam’s National Blockchain Platform NDAChain and the country’s National Decentralized Identity Platform NDADID, among other platforms. It is based in Hanoi with more than 200 employees, according to its LinkedIn page.

The partnership aligns with Vietnam’s broader strategy of making VNeID interoperable with Singapore and other ASEAN identity systems. This came via a directive issued from General Secretary and State President To Lam after a high‑level meeting on digital transformation across Vietnam’s political system in July. Domestically, authorities are looking to expand the range of public and business services available through VNeID.

Article Topics

ASEAN  |  cross border identity verification  |  Indonesia  |  interoperability  |  Totm Technologies  |  verifiable credentials  |  Vietnam