The Bank of Korea, Central Bank of South Korea, recently announced that can use cryptocurrency and blockchain applications for your development project “Cashless society”. CoinTelegraph writes about this with reference to the local edition TokenPost.

South Korea’s central bank says cryptocurrency and the blockchain will allow societies to become coinless.

The South Korean GOV’t has been trying to get rid of coins for a long time, many methods have been suggested but it wants to go with cryptocurrency.

— Joseph Young (@iamjosephyoung) 1 May 2018

On the pilot launch of the project “Cashless society” the Bank of Korea said in its report on payments for 2017. The document specifically says that the regulator is studying the possibility of using the blockchain and cryptocurrency. One of the possible cases consists in the application of technology and passwords to the payments.

In addition, the Bank of Korea established an organization for the study of cryptocurrencies and analyze their impact on the entire financial system.

In 2016, South Korea spent $ 47 million on the release of cash, and the main objectives of the project are customer convenience and reducing the cost of manufacturing physical currency. The government also plans to use this initiative in order to make a more open shadow economy, which revolve mainly cash.

“This will help make the underground economy more open and thus enhance the equivalence of the tax system. Shoe box full of Bank notes of 50,000 won, which can be seen in the films, will disappear (with the development of a cashless society)”, — said an analyst at Shinhan Investment Corp Kwak Hyun-soo.

Meanwhile, the Korea Times writes that the South Korean government started to plan the phasing out of physical money in 2016. The creation of a “cashless society” is expected in 2020. In April 2017 the Bank of Korea has launched a pilot project, which was attended by about 30 000 stores. Under the initiative, buyers are offered to the change in the form of prepaid cards and then use these funds in supermarkets or discount stores.

We will remind, in April, the Seoul city government announced plans to create a cryptocurrency S-Coin that will be used in city programs of social benefits.

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