In an interview with a local publication, Kim Hyun Joong, a information technology professor at Korea Univeristy, the second most prestigious college in South Korea, has said that crypto is more important than blockchain technology.
Contrary to popular belief, professor Kim explained that as an incentive system that prevents bad actors by penalizing malicious intent and rewarding contributors in the protocol, crypto is crucial to the operation of a blockchain network.
The blockchain cannot be sustained as a standalone network without negatively affecting the level of decentralization on the network.
“Currently, the blockchain is not very useful. The blockchain does not change the world. Cryptocurrencies based on the blockchain can change the world. Cryptocurrency is an incredibly revolutionary technology in the history of mankind. It is a completely new space. South Korea has to start leading the cryptocurrency sector and not fall behind major markets,” professor Kim said.
Importance of the Recognition of Crypto by Korea University
As a highly ranked educational organization and research institution, Korea University is heavily involved in various initiatives led by the government and large-scale commercial conglomerates.
Over the past year, the cryptocurrency market of South Korea has experienced exponential growth, as a rapidly increasing number of investors began to invest in major cryptocurrencies like Bitcoin and Ethereum.
South Korea has evolved into the third largest cryptocurrency exchange market by daily trading volume behind Japan and the US and more importantly, the country’s largest cryptocurrency exchanges are currently operated by conglomerates like Kakao, SK, and Shinhan Bank, all of which have dominance over their respective industries.
With the country in a prime position to excel and compete with leading cryptocurrency and blockchain markets, professor Kim emphasized that South Korea will have to focus on improving the potential and technical abilities of cryptocurrencies and the blockchain to remain at the forefront of the global blockchain market.
He noted that Bitcoin and Ethereum are not the end of blockchain solution for payments and smart contracts. New technologies could fix some of the limitations of existing cryptocurrencies and companies will need to place more efforts in convincing the mainstream to switch to decentralized systems.
“Bitcoin and Ethereum are reference models but not a bible. Even the bible is understood differently from 2,000 years ago. Even if a project has an advanced technology, if the project doesn’t sell, there is no use. But, if the project is less sophisticated in technology but sells well, it can compete. It is important for developers to not sacrifice everything for technology. It is crucial to survive in the market first.”
Cryptocurrency Creators Deserve the Novel Prize
According to professor Kim, early adopters and creators of blockchain networks including Satoshi Nakamoto, Vitalik Buterin, Dan Larimer, and five more developers deserve the Nobel Prize in Economics.
“In every lecture of mine, I emphasize that in the next 10 to 20 years, cryptocurrency creators will receive the Nobel Prize in Economics. Cryptocurrency is an incredible achievement in the history of mankind. The Nobel Prize in Economics is often provided to a group of three awardees. I believe Satoshi Nakamoto, Vitalik Buterin, Dan Larimer, and five more developers deserve it.”
Already, various projects including ICON, the most valuable blockchain project in South Korea, are cooperating with the government to create decentralized systems that can be used as alternatives to centralized platforms, like Seoul’s e-residency application.
Korea University, Seoul University, and other prestigious institutions are actively engaging in blockchain research and development to improve the local blockchain ecosystem of South Korea.