According to the information disclosed by CoinDesk Korea, the metropolitan government of Seoul announced on Monday February 18 its commitment to allocate, for 2022, 1.2 trillion won (about 1,607 million dollars) to an investment fund that will include to companies related to blockchain technology.
According to the official announcement, the investment will be executed through the Seoul Innovation Growth Fund, launched last year, which is aimed at various sectors, inl, which include companies that work with blockchain technology, with the objective of help new companies that
Blockchain technology projects are included among the “23 revolutionary technologies” and will be supported by funds from the Fourth Industrial Revolution or Smart City assignments.
The distribution of funds for this 2019 is considered as follows: invest 12.55 million won (11.2 million dollars) in the first half and 8.4 million won (74.8 million dollars) in the second half, as announced.
For the first semester, it is planned that the investment be distributed among the following segments: 2 billion won (1.78 million dollars) for the Fourth Industrial Revolution, Smart City and cultural content projects, 2.25 billion won ( 2 million dollars) in support for new businesses and 3 billion won (2.66 million dollars) in support of rehabilitation.
The government of the nation said it would seek publicity and profitability in such a way that a competent management company operates a specialized fund.
They also emphasize the need to revitalize the initial investment ecosystem by stating that “the initial investment of new companies in Korea is approximately $ 1.1 million, compared to $ 7 million in London and $ 6.5 million in Silicon Valley,” the notice.
This assumes that they will direct their efforts so that the average initial investment of South Korean companies operating with blockchain technology increases considerably.
The head of the Economic Policy Department of the Metropolitan Government of Seoul, Jo In-dong, said: “Innovative start-up investment will be the cornerstone of corporate growth that creates innovation in our society and will be a key driver of the growth of innovation companies. . I will build a virtuous circle structure that will activate the startup investment market and create a business ecosystem. “
By October of last year, Seoul Mayor Park Won-soon laid out his plan for investment in blockchain startups and at that time said the South Korean Capital planned to invest $ 108 million through a five-year plan to develop it as an intelligent city driven by Blockchain technology.
The plan was called Blockchain Urban Plan 2018-2022 covering fourteen (14) public services that would adopt this technology in five (5) areas, with a total budget of 123.3 billion Korean won (around $ 109 million), among which These include: work welfare, vehicle history management, issuance of certifications, donation management and election voting.