Innovation versus regulation
Blockchain technology continues to be used in South Korea’s arts and entertainment world, with a particular emphasis on gaming. Recent examples include Kakao works together with Oasys and Delabs’ ‘Metabolts’ RPG is generating buzz with its inaugural NFT drop.
However, the legal status of the use of Web3 technology remains uncertain, prompting debate as to whether this technology should be exempt from future regulation due to the speculative nature and ambiguity of its classification.
Bystanders believe that creating regulations for virtual assets could hinder innovation and make market access more difficult for small and medium-sized businesses. Privacy issues are also major concerns. Close scrutiny of NFT transactions raises fears of extensive surveillance and data collection.
As global regulators continue to explore digital finance, the community awaits the results of upcoming conversations. South Korea’s Virtual Asset Act could undergo fundamental changes following these meetings, which could impact the broader digital economy.