Seoul authorities report that through the Seoul Innovation Growth Fund, which was created last year, funds will be allocated for the development of new technologies. The authorities confirmed that foundation will also support startups working on various solutions which also includes those that are in the early stages.
It is planned to invest 13.25 billion won ($ 11.75 million) in the first half of the year and 8.4 billion won ($ 7.45 million) in the second half.
Investments in the first half will be divided into following segments.
For the Korean authorities, blockchain is a revolutionary technology and an integral component of the Fourth Industrial Revolution. So, 2 billion won ($ 1.77 million) is allocated to projects within the fourth industrial revolution.
2 billion won ($ 1.77 million) is allocated to projects within smart cities and culture
2.25 billion won ($ 2 million) to support startups
3 billion won ($ 2.66 million) to support rehabilitation.
The officials also noted that the average investment per start-up at an early stage of development in South Korea is very low. They also realise that initial investments in South Korean startups should be increased. Today, they get about $ 1.1 million, while in London it is $ 7 million and $ 6.5 million in Silicon Valley. Compared to this the investement is almost seven times lower than in London.
The blockchain-based projects will be supported as one of the “23 revolutionary technologies” in the framework of the fourth industrial revolution or the “smart city”.
“Investing in the development of innovations will make the life of our society qualitatively better,” said Jo In-dong, head of the economic policy department in the government of Seoul.