Crypto News

Korean internet giant Kakao expands blockchain presence to Singapore

Singapore is reportedly the next port of call for Kakao’s globalization agenda for its legacy blockchain platform Klaytn.

According to a report by The Korea Herald on Monday, Kakao has established two new blockchain-based entities — the Klaytn Foundation and Krust — in the city-state. The Klaytn Foundation is a nonprofit organization, while Krust serves as a global accelerator for blockchain technology adoption.

Kakao plans to use both entities to foster broad-based penetration of its Klaytn blockchain project in Singapore. Stating its mission during the launch earlier in August, the Kakao Foundation said that it would work “proactively and systematically” to expand the Klaytn network.

“We will actively invest our human as well as financial resources in developers and businesses of the blockchain world to accelerate the growth of our ecosystem and the development of our technology,” the foundation added.

The Singapore expansion is backed by Kakao’s $300-million blockchain development war chest that also includes an improvement reserve fund used for service maintenance purposes.

Kakao, like other major South Korean conglomerates, is bullish on blockchain technology. Indeed, when KT Corporation announced plans for a digital currency project in Busan back in December 2019, the news meant that every major conglomerate in South Korea was involved in blockchain-based ventures.

Related: South Korean internet giants bid for central bank digital currency pilot

Closer to home, Kakao recently submitted a bid to pilot South Korea’s central bank digital currency (CBDC) project, as reported by Cointelegraph. Back in April, blockchain development outfit ConsenSys began developing a private version of Kakao’s Klaytn network in preparation for a possible CBDC pilot.

The Bank of Korea is expected to select a technology partner for the CBDC pilot later in August. Kakao has also reportedly partnered with 32 Korean and foreign firms as part of the Klaytn Governance Council.

For Kakao, the goal is reportedly one of keeping pace with other major Asian conglomerates like Naver in the Asia–Pacific blockchain theater. Naver is also expanding its Line blockchain project not only in Japan but also in Southeast Asia.

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