South Korea rides high on one the best GDP figures of $30,000 per the statement of Bloomberg. However, one city, in particular, is witnessing a silent downfall due to its aging population, where 21% of the people are at least 65 years old. Busan is now looking to turn the tables by attracting a young population through the establishment of a crypto sphere.
Given that FTX has fallen from its peak in recent months, concerns are being raised as to whether this is actually a much-needed move. If the city’s planners are to be believed, the best way to deal with the gray area is to have a crypto hub.
Some of the actions that the city could see being implemented include embracing digital tokens and establishing public-run exchanges. The South Korean region has already partnered with Binance to launch a crypto trading venue in the current year. Both Binance and the Busan planners have yet to provide a firm, or even tentative, schedule.
Busan’s metropolitan government’s head of the finance and blockchain division, Park Kwang-hee, has claimed that the younger generation prefers to work in modern areas, including cryptocurrencies, and that, as a result, the city is correct to put a focus on having digital assets and financial products.
El Salvador has been observed adopting Bitcoin to hedge against inflation and promote financial inclusion. The objectives are different, with Busan rightly setting a unique example of leveraging the digital industry of crypto to tackle the aging problem.
Choi Eunju, a research fellow, believes the move is good, but more is needed to fulfill the purpose. Busan needs facilities that the younger generation seeks, including, but not limited to, education. Meaning while Busan is headed toward the path of establishing a crypto hub, it may as well want to introspect and explore other sections to attract the younger generation.
Statistics Korea projects that by 2025, Busan’s population of those aged 65 and above will rank fifth in the world. Seoul, Daegu, and Daejeon are further cities that approach the target.
Having said that, Busan would also want to look into setting up a blockchain conference to spread awareness among the existing population. Binance and Busan are planning to launch a crypto trading venue, which will first require the locals to experience the mechanism. Defending solely on the basis of attracting a younger population from another region is indeed a risky business unless the native population has tried and tested the crypto sphere themselves.
When questioned why Busan aims to become a worldwide crypto hub despite the collapse of FTX, Park Kwang-hee responded that the city is seeking to establish a regulated public exchange to prevent another FTX-like catastrophe.
As for the future, Busan will see the exchange open its doors to security tokens. All the developments came roughly five years after South Korea banned the initial offerings.