Seoul To Set Aside $1bln. To Back Blockchain, Fintech Startups

$1 billion is the amount Seoul Metropolitan Government plans to invest in financial technologies, including blockchain, by 2022. The media release reveals that Seoul plans to utilize the “Seoul Innovation Growth Fund” for newly established firms that faces difficulties in raising funds through Series A funding rounds.

The fund, established in 2018, will mainly concentrate on startups related to fintech and blockchain domain.

The Seoul Metropolitan Government highlights that the average investment per firm in Silicon Valley and London is roughly $6 million to $7 million, compared to only $1.1 million in Korea.

Regarding blockchain investments, Jo In-dong, the head of the economic policy department at the Seoul Metropolitan Government, said

“Innovative startup investments will be the cornerstone of corporate growth that creates innovation in our society and will be a critical [drive] for the growth of innovative venture companies. We will expand our investment to […] stimulate the startup investment market and create a [competitive] startup ecosystem.”

A month before, Seoul’s administration launched a new initiative named “Seoul Blockchain Governance Team,” which involves 100 staffs whose objective is to study the advantages and potential of blockchain based applications in different government services.

Recently, Park Won-soon, the mayor of Seoul, disclosed a five-year plan, named “Blockchain City of Seoul,” for aiding the advancement of blockchain-related programs in Seoul, the capital of South Korea.