The citizens of the far eastern nation are fast adopting NFT technology, and the country may soon reclaim its former position at the forefront of the blockchain industry.
South Korea’s reputation as a technological pioneer and leader is rapidly extending to the blockchain world, as the usage of nonfungible tokens (NFTs) has grown in the East Asian country.
As of 2020, South Korea was placed among the world’s top ten innovators by the World Intellectual Property Organization’s Global Innovation Index. Samsung and LG and game developer Krafton exhibit this level of innovation to retail consumers globally.
These companies, along with a plethora of others, are now experimenting in the NFT industry by delivering new collections to customers and creating NFT-focused divisions inside their organizations.
There might be a multitude of reasons for the desire to introduce NFTs to retail customers and the broader public that extend beyond just serving as a thank-you for a purchase. This proposal was presented by Alex Lim, the Strategy Lead for the Korea-based KlayChicken NFT project. “NFTs are popular right now,” he told Cointelegraph today. “However, many individuals are unaware of why.”
“The NFT hype in South Korea stems from a mixture of sentiments… I believe that in the second half of the year, the time will come when the whole South Korean NFT industry takes a quantum leap.”
“Previously, the phenomenon of purchasing NFTs for community participation was done, but recently, the expansion of NFT utilities is considered to be a major reason (for its rise in utilization).”
South Korea’s lack of a tax on digital assets may have contributed to this quantum leap. Although President-elect Yoon Seok-yeol has agreed to delay the cryptocurrency tax until 2023, he may attempt to push it back to 2024.
Additionally, NFTs are not regulated in the same way that cryptocurrencies are. Although the Financial Services Commission (FSC) is striving to enact new anti-money laundering legislation, none has been adopted so far. This has allowed for the emergence of a flurry of new marketplaces on exchanges like Upbit and Bithumb, as well as from corporations such as gaming giant Krafton aiming to capitalize on NFTs.
GM Chung, co-founder, and CEO of DeSpread, a Korean blockchain ecosystem accelerator, believes that realistic NFT use cases will gain traction in his country. “I believe that in the future, NFTs will grow into a social on-chain profile layer in addition to transaction history,” he told Cointelegraph today.
During his campaign, President-elect Yoon developed an NFT collection, which fans may mint to feel a sense of connection to his cause.
On March 18, Hoseo University in South Korea went above and above by awarding NFT diplomas to 2,830 graduating students. According to the local news site Money Today, the college elected to issue NFTs in February to increase accessibility and convenience for students while also combating credential forgery.
Chung may be inflating the utility of NFTs to market participants. The Ministry of Information and Communications Technology, Science, and Future Planning announced a $187.7 million grant last month to aid in the establishment of a national Metaverse. The new prize is most likely to benefit content creators.
Increased demand for the services of content producers in the generation of NFT designs for several sectors seems to be paying off for content creators. A basic search for NFT on JobKorea’s primary job search website returns 753 separate vacancies for content writers and business specialists.