Busan’s management has rethought their plans to bring in third-party cryptocurrency exchanges as a result of the recent collapse of FTX.
Although it has cut ties to the vast majority worldwide centralized exchange partners the city of Busan has taken a step closer towards establishing a local cryptocurrency trading platform. Busan is South Korea’s capital for blockchain technology.
After the catastrophic collapse of central exchanges, the crucial decision was made.
The city has announced it will establish a steering board that will include 18 local blockchain professionals. However none of the five previously mentioned exchanges have been included in the announcement. The city will build its first official digital asset platform.
After the FTX incident, it was clear that Busan could remove provisions from its masterplan that would allow for global cryptocurrency exchanges.
Although they had second thoughts about including these private exchanges into their plans, the municipal administration was confident they could continue with their blockchain goals without outside support.
Busan plans to open a digital asset platform that will allow digital assets to be classified as securities or non-securities. It will also include a market management organisation that will manage listing, evaluation, monitoring, supervision, settlement, and deposit.
The official start of Busan City as a regulatory-free area for blockchain technology was July 2019.The city intends to implement a broad range of blockchain applications across a variety industry sectors, including banking, tourism, logistics and public safety.
Since then, the local government has been hard at work to realize its blockchain goals. Toward the end 2019 it announced that it will be developing a cryptocurrency based on blockchain technology in collaboration avec KT, a telecommunications company.
