Lee Yeon-woo is a financial journalist at The Korea Times. Her wide range of reporting includes policies, macroeconomics, stock market, companies and even crypto. She is passionate about connecting the dots in Korean finance and making it easier for foreign nationals to understand. Based on her previous experience as a national reporter, she also has a keen interest in social issues within the sector, including gender equality and ESG. Your tips and insights are always appreciated. You can send them to yanu@koreatimes.co.kr.
KBW 2024 focuses on convergence of blockchain with physical world
Participants line up to enter Korea Blockchain Week 2024 at Grand Walkerhill Seoul, Tuesday. Courtesy of Korea Blockchain Week
By Lee Yeon-woo
There are two worlds: the physical world, led by governments, and the digital world, led by blockchain technology. Think they're far apart? The gap between the two has already narrowed significantly, according to industry insiders, Tuesday.
"Things like water, food and real estate will remain in the physical world until the end. However, social truths — such as money, identity, credit, ideas, human intellect and intelligence — are rapidly moving into the digital world," said Simon Kim, CEO and managing director of Hashed.
This discussion was part of Korea Blockchain Week 2024, where around 300 speakers gathered at the Grand Walkerhill Seoul to share insights on the developments, challenges and prospects of Web 3.0.
"The two worlds are not opposing or independent concepts. For example, while the government manages the proof of ownership for real estate, it can be tokenized through security tokens, allowing it to be traded freely and efficiently in the digital world," Kim added.
The most notable aspect was how rapidly the realm of digitalization has expanded, intersecting with nearly every aspect of the physical world.
Simon Kim, CEO and managing director of Hashed, speaks during the Korea Blockchain Week 2024 at Grand Walkerhill Seoul, Tuesday. Courtesy of Korea Blockchain Week 2024
Already, various projects aiming to bridge Web 2.0 and Web 3.0 have emerged and are expanding their boundaries.
"K-pop fans support artists by purchasing tickets and merchandises. Blockchain technology can let them know where these items are produced and track to whom the tickets are traded," said Joseph Baek, co-founder of Modhaus, a K-pop startup aiming to create the open architecture in the entertainment industry.
Pär Helgosson, head of web 3 and metaverse at Paris Saint-Germain, said the football club utilized the technology while seeking ways not only to engage its existing fans but also to connect with new ones. That's why the club became the first to sign a deal in August 2018 with Chiliz, a blockchain provider that offers new opportunities to connect with and reward fans around the world.
"We have a 92 percent fan base outside of France," Helgosson said. "The new generation of football fans not only engage in traditional ways but also seek new ways in virtual channels."
This concept also extends to the hotel industry, the epitome of legacy business.
"The project where customers drive Harrington cars and experience nature programs within the Walkerhill grounds was an idea proposed by a community member. The community then voted on whether to proceed with the project and how it should be implemented," said Kim Se-han, head of Web 3.0 strategy at Walkerhill Hotels & Resorts.
Participants look around booths for Korea Blockchain Week 2024 at Grand Walkerhill Seoul, Tuesday. Courtesy of Korea Blockchain Week 2024
While the market is vibrant, the barriers faced by non-crypto users and newcomers remain high. Alison Shim, CSO at Factblock, presented a survey indicating that about 57 percent of people said the technical jargon deters them.
"If we want Web 3.0 to thrive, we should be welcoming, understandable and user-friendly," Shim said, adding that Korea's recent implementation of the Virtual Asset User Protection Act could be an opportunity for users to navigate crypto information in safer ways.
Speakers suggested that the co-existence of the two worlds is imminent.
"We are all feeling the effects of climate change. Eventually, a carbon trading system needs to be established. But once they are created, which platform can be trusted for trading them?" Hashed's Kim asked. "How can we address future governance challenges? If we were to colonize the moon, who would establish governance there, and who would own the land?"
"I believe blockchain will become a system everyone can trust."