The Korean Ministry of Science and ICT will decide at the end of the month whether or not to continue with a massive blockchain development project. The fund will invest 480 billion won, or approximately $ 388 million, in the development of the technology over the next 5 years.
$ 380 million fund pending green light from the Korean ministry
In an effort to catch up with the rapid development of blockchain technology in neighboring China, South Korea has initiated its own strategy for the nascent new technology. According to a report from ZDNet Korea, the Korean Ministry of Science and ICT will decide by the end of the month whether or not to continue with a blockchain development project.
The amount will be invested in companies and projects that will pass the Ministry’s preliminary feasibility study called Yeta over the next five years. Yeta is a system created by the Ministry to investigate the policies and economic feasibility of new research and development projects in the field of blockchain technology.
Korea Transition to a blockchain-based data economy
The Ministry of Science and ICT and the Institute for Information and Communication Technology Promotion (IITP) started the project in November 2019. The aim of the project was to secure the blockchain technology needed to make the ‘transition to data economy’ of the country.
The report stated that a total of 475.1 billion in winnings should be invested in the project from 2021 to 2025. The project will cover four different areas: technology development, commercialization, mass acceptance through public demonstration programs and support for local industries.
Experts and industry leaders in Korea believe this is the “golden time” for the country to invest in blockchain technology. Since the market is still relatively young, they think the best chance to remain competitive in Korea is to put money into development.
Park Yong-beom, a professor at the Dankook University’s Software Department, said it is difficult to catch up with the development of “core technology” over time.
Fortunately, blockchain is still a young technology, so it is an area where [Korea] has the ability to become a leader in it, ”he told ZDNet.
The Ministry of Science and ICT believes that blockchain will be the basic technology for the Korean era of the ‘data economy’ and is promoting a national research and development project to ensure that the main source technologies are developed in the country.
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