Bithumb, the world’s leading cryptocurrency exchange by transaction volumes, is pledging 10 billion won (US$8 million) in South Korea’s blockchain regulatory sandbox. The exchange plans to invest the money through its wholly-owned subsidiary GCX Alliance, with the money set to go towards a digital asset exchange.
South Korea’s Financial Services Commission is reportedly planning to review these plans with the Bithumb team by the end of January 2020.
The city was selected in July last year as Korea’s ‘regulation-free blockchain zone’ and is the focal point of the Asian country’s blockchain efforts.
Busan is said to be one of seven regions that the Korean government has chosen to pilot distributed ledger tech and crypto solutions. Bithumb is no stranger to Busan, as the exchange operates a walk-in customer service centre in the zone, alongside its other branches in Busan Daejeon, Gangnam, and Gwanghwumun.
This is the first time an exchange is working with the government in the country. With Busan going all out to encourage crypto businesses to set up operations in the city, things are looking brighter for the crypto industry.
The government wants blockchain and crypto projects to focus on the public sector with ideas that bolster tourism, consumerism, and public safety. In order to call Busan a “regulation-free zone,” South Korean officials lifted 11 regulations for businesses and startups leveraging blockchain.