Jeju Island is looking to become an ICO hub and offer cryptocurrency projects the opportunity to organize token sales in a self-regulated environment.
South Korea is currently passing through a tough period regarding the cryptocurrency activities. Despite the country’s ban, its Jeju Island is seeking to create a productive environment for Initial Coin Offerings.
According to JoongAng Daily, the initiative was presented last week during a meeting with government representatives, counting the Korean finance minister.
“Blockchain can cut costs, provide stable transactions and essentially has the potential to become a game changer that could alter the ecosystem of the internet platform industry,” claimed Won Hee-ryong, governor of Jeju Island. “For Korea to become a leader rather than a consumer of this new global industry, we need to quickly allow [the operation of] blockchain and cryptocurrency [firms].”
Jeju Island to become a blockchain hub
Governor of Jeju Island pointed out that if the proposal is approved, the island could become a blockchain hub where all crypto projects will be free to launch ICOs as a way to raise funds.
As stated by Won, the purpose of this project is to make Korea “a leader rather than a consumer of this new global industry.” Furthermore, Won intends to create a task force consisting of officials based in Jeju province as well as financial and not only experts.
“If ICOs were allowed in the country, it would prevent the outflow of capital from Korea,” said an industry expert. “Korea has so many good projects which, unfortunately, all decide to do their coin offering elsewhere due to the government’s stance.”
Jeju Island was proclaimed a self-governing province in 2002. The island was self-sufficient to South Korea as a measure to streamline the economic and tourism development of the region. The island’s project follows Korea’s announcement according to which unauthorized ICOs are considered illegal.