Global Blockchain Industry Finds Korea Market Attractive, as Tech Adoption and High Usage Rates Draw Attention

Although the institutionalization of blockchain and digital assets in Korea is being delayed, global companies are accelerating their entry into the Korean market. Overseas industry players are highly valuing the market, citing Korea's high digital asset usage and openness to new technologies.

In response, global VC and blockchain companies are moving to establish local bases and expand cooperation with domestic firms. This is seen as an effort to secure an early advantage in the market.

a16z crypto held the "a16z crypto Korea Summit" on the 1st at Josun Palace Gangnam, Seoul. a16z crypto is the crypto investment arm of Andreessen Horowitz (a16z). The event was attended by key partners from a16z crypto as well as founders of global crypto and blockchain companies, and participants discussed trends in changes to the global digital asset market, future directions, and the domestic market.

The related discussions were spread across multiple sessions. Industry insiders said that, separate from the slower pace of institutionalization in Korea, the country has high participation in digital assets and strong openness to new technologies, and they viewed Korea as a major point of attention in Asia. They also said the market is centered on individual users, and projected that if institutional participation is added, new business opportunities could expand.

Guy Wuollet, a general partner at a16z crypto, also described Korea as a country with strong technological optimism. He said Korea is active in adopting blockchain services and that the government is seriously advancing institutional discussions, including around KRW stablecoins. He also said financial institutions and conglomerates are highly interested in blockchain technology, and he rated the market's growth potential highly.

Based on this trend, a16z crypto has selected Korea as a key hub in Asia and is supporting a16z portfolio companies' entry into the Korean and Asian markets. The support covers business development, partnership establishment, and expansion of local networks. The goal is to help portfolio companies enter the Korean market stably and create new business opportunities with Korean companies, and going forward it plans to support expansion beyond crypto into various technology sectors.

Noting that related institutional discussions, including those on KRW stablecoins, are under way in Korea, a16z crypto said the influence of the Korean crypto market could expand beyond individual investors into other areas such as finance. Based on this, a16z crypto projected the possibility of positive changes in the market ahead.

Global blockchain companies are also expanding investment, judging the Korean market to have strong potential. Company representatives attending the panel said they are seeking business opportunities through cooperation with domestic exchanges and companies. They also said that not only domestic firms but also institutions are expressing a willingness to try new technologies and business models.

Jing Wang, CEO, said that while there are views that Korea's regulatory pace is slow, regulation inevitably moves more slowly than the market. He said Korea's high financial literacy, high fintech usage, and large number of digital asset users are prompting the expansion of teams focused on Korea.

However, it was also noted that this does not mean the current pace of regulation in Korea is sufficient. Compared with the pace of regulation in major countries such as the United States, Korea also needs to speed up its regulatory process, observers said. While the market outlook is positive, the missing piece is regulatory clarity, and it may take a relatively long time before actual market participation occurs, they added.

Source: TECHWORLD · Kim Hye-jin
Original: https://www.epnc.co.kr/news/articleView.html?idxno=407753

References

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