South Korea is considered to be one of the biggest trading hubs for cryptocurrencies and now it is aiming to take its relationship with the blockchain technology a step further.
Seoul, South Korea's capital and the largest city is developing S-Coin, its own crytocurrency especially designed for municipal transactions.
Mayor of the largest city of South Korea, Park Won-Soon confirmed the news in an interview with Coindesk Korea.
During the interview, Park also talked about the applications of blockchain and cryptocurrencies which could be useful for the city government.
He said the blockchain technology can be used and applied to several city services and administrative tasks, like public transportation systems and youth allowances for citizens who are looking for employment.
He said, "If we want to make an S-coin, we first need to prepare institutional and legal supports such as bylaws."
His current stance on the cryptocurrencies stands in contrast to the stance maintained by the central government.
The views of the central government have been alternated between stifling regulations and making inoffensive statements regarding the cryptocurrencies.
Reportedly, South Korean traders have played a pivotal role in propping up the prices of digital currencies like Ethereum and Ripple.
Demands for cryptocurrencies have been rising and the city and state government are increasing testing them if they are suitable for other purposes as well.
Notably, Dubai has also reported releasing its own coin called EmCash. A government official said that it was going to be used “for government and non-government services, for their daily coffee and children’s school fee to utility charges and money transfers.”