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.
