South Korean province to issue its own cryptocurrency

According to local news sources, Gyeongbuk, a province on the east coast of South Korea, intends to issue its own cryptocurrency and completely replace the local currency used in the province. The provincial government also intends to open an exchange where new coins will be traded, and residents will be able to use QR codes to accept cryptocurrency.

The term "local currency" refers to gift vouchers, which are currently issued by nine municipalities. Gift vouchers, which were originally designed to support the local economy, can be redeemed for goods or services at designated locations throughout the province. The city of Pohang issued the largest number of these gift vouchers, which local sources say has generated $90 million in revenue since January 2017.

Of course, “there are still many issues that need to be resolved,” said Chun Sung-hyun, head of the province's science and technology department. Merchants need to learn how to use the coins, and the provincial government needs to issue the coins first. But steps are already being taken in this regard.

The project team recently met in Switzerland with some local businesses and government officials, as Switzerland is known to promote the development of local cryptocurrency companies and has adapted legislation to suit their needs. 

One of the team members said that the meeting inspired the team to think about the additional benefits of using blockchain technology: “We are going to use the technology to issue 5,000 digital IDs on the blockchain for government employees in Gyeongbuk Province, just like the city of Zug, Switzerland did.”

The cryptocurrency industry in South Korea is doing quite well, despite rumors of bans on cryptocurrency exchanges and despite the Bithumb hack in June. The South Korean government legalized money transfers using Bitcoin in June, boosting the country's cryptocurrency industry. 

According to financemagnates.com