According to recent reports, South Korea’s interest in blockchain technology is peaking, granted that the government has recently decided to allocate a total of $880 million towards the development of innovative technologies, such as blockchain, big data and artificial intelligence.
In a government press release, it was stated that the deputy Prime Minister, Kim Dong Yeon, held a ministerial meeting on the 13th of August, to discuss the country’s investment plans in innovative technologies for the following five years.
According to data that has been published by the South Korean Ministry for Economy and Finance, the government has decided to allocate a total of $880 million in 2019. It represents a growth of approximately 80% when compared to the current year, and will be distributed on research and development efforts. Additionally, the ministry has also stated that over the next five years, a total of $8-9 billion will be invested in innovative technologies.
According to the press statement, the country will strive to develop smarter blockchain technologies, meant to increase data management security, while also boosting the sharing economy in the region.
At this moment in time, the investment plan does not disclose how exactly the funds will be distributed, therefore it is unknown what part of the funds will be allocated towards blockchain.
It is important to point out the fact that not long ago, the South Korean government decided to distribute $9 million in funding for blockchain start-ups in 2019. This means that blockchain-related businesses will get access to extra funds to be used for research, development and testing.
Apart from this, the Ministry of Information and Communications Technology is reportedly working with several agencies to create 6 blockchain-based pilot programs that will bring the technology to several major public services. Similar efforts have been undertaken by other countries, such as the UAE, where the city of Dubai is actively investing in becoming one of the world’s biggest blockchain hubs.
Based on everything that has been outlined so far, what are your thoughts on South Korea’s increasing interest in the blockchain market? Let us know in the comment section below.