The city of Busan in South Korea will be launching a decentralised digital commodities exchange, according to the news outlet News1. The platform is expected to begin operations in the current year and will be used to promote local cultural content through the use of digital assets.
The exchange will utilise the unique features of Busan, like the Busan International Film Festival and G-Star, by incorporating tokenisation of intellectual property rights in the film and gaming industries, as well as other assets such as gold, precious metals, agricultural and livestock products, ships, and real estate.
The Busan Digital Asset Exchange Establishment Promotion Committee stated that the plan includes working with domestic financial companies and digital asset exchanges to develop a transaction support system that will serve as the foundation for the exchange.
The Busan Digital Asset Exchange has a decentralised structure that is different from other domestic virtual asset exchanges in order to protect investors strongly and drive innovation in various areas.
The fair design of the proposed exchange includes dividing deposit settlement, listing evaluation, and market monitoring into separate entities similar to the current stock trading system in South Korea.
The authorities also aim to have regulations for digital assets to be as competitive as those in Singapore and Abu Dhabi. They plan to implement various guidelines in a special regulatory free zone after consulting with financial authorities and actively participating in the process of developing the digital asset law being proposed to the National Assembly.
The committee is working to set up a corporation for the exchange in February and begin testing the system. Additionally, The government of Seoul city is making its own municipal metaverse project available to the public on January 16.
The writer is the founder at yMedia. He ventured into crypto in 2013 and is an ETH maximalist. Twitter: @bhardwajshash