Money Laundering Practices

South Korean Telecom Giant To Develop Their Own Cryptocurrency

KT Corporation, a prominent South Korean telecommunications company has received the tender to develop a local cryptocurrency in Gimpo, a city in South Korea.

The cryptocurrency that they are set to develop is called “K token”. The city has plans to allot 11 billion won, which amounts to over $9.7 million USD, for the purpose of various developments and community projects. These funds will be used up for the execution of various projects, that promote the growth of the city and the people living there.

The currency will be introduced in April, post the pilot project which is set to be carried out next month. The cryptocurrency will be based on blockchain, and the system will facilitate payments by scanning QR codes.

Merchants can also request funds to be converted into fiat currency and deposited to their bank accounts without any extra fees.

The cryptocurrency will only be exclusive to merchants in the Gimpo area. The project will soon be expanded to local governments who wish to try out the scheme. However, that is completely dependent on the crypto’s performance in Gimpo.

Yeong-il Seo, who is the head of the blockchain center and senior vice president at KT, is of the opinion that this local currency “will contribute to the revitalization of the regional economy.”

This just goes to show how quickly other markets are warming up to the viability of cryptocurrencies. South Korea has been ahead in the game from the very beginning, considering their efforts to both promote and regulate cryptocurrencies in the country.

Other notable developments have sprung up in South Korea, indicating that the country’s tryst with cryptocurrency is one that will last for a long time.