Busan City Invests $75 Million to Transform into a Blockchain Metropolis
Summary:
Busan City in South Korea is channeling $75 million into developing a public blockchain network, aiming to integrate various blockchain-based services onto a single platform at the city level. The development is backed by the Blockchain Innovation Fund (BIF) which has garnered interest from nearly 100 private firms. Involved in the project is the creation of the Busan Digital Asset Exchange, set to launch in 2024, which will list virtual assets and tokenized securities. The city's administration additionally plans to tokenize and trade global intellectual property rights and carbon emissions rights in the future.
Busan, South Korea's second largest city, is in the process of creating a public blockchain network that will be compatible with major blockchain platforms like Ethereum and Cosmos. The ultimate goal is to consolidate various blockchain-based services from different blockchain mainnets on one single platform at a citywide scale, transforming Busan into a city of blockchain. Busan City is dedicating a budget of 100 billion won (equivalent to $75 million) to the open blockchain development that meets global standards, as part of its Blockchain Innovation Fund (BIF). This fund will be sourced through investments made by public financial institutions based in Busan, with interest already indicated by approximately 100 private companies. The BIF is a privately managed fund targeted at promoting the growth of Busan's blockchain industry as well as its infrastructure, spearheaded by Busan's financial and public institutions. The development of this public blockchain falls under the umbrella of the Busan Digital Asset Exchange Establishment Promotion Plan and Future Schedule plan, with an emphasis on establishing Busan as a blockchain city.
The official statement reveals that while Busan city has been actively trialing different blockchain technology applications in its free-trade zone, the separate blockchains used have resulted in a disjointed user experience for businesses. This was a pivotal factor pushing the city administration to settle on one public, city-level blockchain that will be compatible with key global blockchain networks, like Ethereum.
In addition, Busan City is participating in the establishment of the blockchain trust framework (BTF) technology standard under the aegis of the Korea Internet & Security Agency (KISA). The project seeks to enhance the quality of private services and foster inter-service connectivity by setting out requirements relating to blockchain technical systems, performance levels, and security standards. This standard will also be employed for public services within the city of Busan. The long-range plan for blockchain development includes initiating the development of the Busan digital asset exchange in the first half of 2024. The exchange will list not only virtual assets but also tokenized securities, encompassing items such as precious metals and basic commodities like gold, copper, and oil. Looking ahead, project planners aim to tokenize and trade international intellectual property rights (IP) and carbon emission rights.
Published At
9/21/2023 8:12:35 AM
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