Largest South Korean telecom company issues blockchain-based local currency in Busan
South Korea’s biggest telecom company, KT, has announced the launch of a local blockchain-based currency for one of the country’s largest cities, which is set to go live on 30 December.
News outlet dongA recently reported:
Dongbaekjeon is a blockchain-based card-type local currency issued by Busan City to revitalize Busan's local economy and ease the management burden of small business.
There are apparently multiple ways to access the currency, including via a Dongbaekjeon mobile app, a Hana Bank and Busan Bank.
Participants can use the currency at any store in Busan with a credit card terminal, although compatibility will reportedly be less common among larger retailers in an effort to encourage spending at smaller local businesses.
Decrypt news also reported that Busan’s government signed an agreement with telecom company KT earlier this year in February for the building of the blockchain-based asset set to hit South Korea’s second largest city.
Yoo Yong-gyu, KT’s business center director for blockchain said:
With our know-how of operating a regional currency and blockchain security, KT will work towards establishing Dongbaek Currency and contributing to the growth of Busan's economy.
These are very interesting experiments in local currency issuance, and the results are sure to be carefully watched by other governments considering whether blockchain integration proves to be as efficient and burden-less as proposed.