South Korean blockchain industry records an increasing growth of blockchain platforms, intended for unlisted stocks trading.
According to the report on Bussiness Korea, starting with state-owned financial IT company Koscom, companies are massively turning to create their own unlisting stock trading platforms based on blockchain technology.
Reportedly, the country’s leading fintech companies Dunamu and PSX are also planning to launch their own blockchain-based unlisted stock trading platforms respectively this September and next February.
Government’s support for blockchain initiatives
The boost originated mainly after the local government released its pilot project and set a framework for fintech companies to conduct experiments under the supervision of regulators.
As reported, the government has backed Koscom’s Be My Unicorn blockchain-based platform last year. The platform aims to offer small and medium-sized companies and start-ups a safe, accessible and cost-effective place for trading unlisted assets. According to Koscom:
Through the Be My Unicorn platform, investors will be able to trade the unlisted stocks from professional investors such as accelerators, and stocks from venture company employees.
Meanwhile, Korean Fintech brands like Dunamu and PSX are also preparing unlisted stock trade services allowed by the local financial regulation sandbox. Reportedly, the companies will be partnering with Samsung Securities and Shinhan Financial Investment.
Reportedly, the local experts forecast, that the blockchain technology will provide bigger security to unlisted stock trading and thus lead to the promotion of investing in start-ups.
South Korea’s blockchain ambitions
South Korea is one of the largest markets for blockchain technology, whose government has ambitions to compete with Europe and the United States. Furthermore, the local government plans to include blockchain-related projects in the national budget for next year.
According to the official strategist, the blockchain industry is expected to grow by 80% annually in South Korea.
Moreover, the country is working on supporting blockchain technology development to fulfill its strategic goal to overtake advanced blockchain markets like the United States and European countries. Since the technological gap from the US and Europe is not more than 2 years, South Korea sees now the “golden time’ to pursue the goal.