As a direct result of the recent failure of FTX, which was one of the largest exchange partners in the city, the Busan city administration has reconsidered its plans to incorporate third-party cryptocurrency exchanges.

Even though it has severed ties with the vast majority of centralized exchange partners around the world, the city of Busan, known as the blockchain capital of South Korea, has moved one step closer to establishment. from a local cryptocurrency exchange. Busan is known as the capital of blockchain technology in South Korea.

In light of the recent catastrophic failure of centralized exchanges, the momentous decision was made.

The city has announced that it will establish a steering committee that will be comprised of 18 local blockchain professionals; However, none of the five exchanges that have previously promised to help the city build its first official digital asset exchange have been included in the announcement. The city will build its first official digital asset exchange.

In the aftermath of the incident that occurred at FTX, it became abundantly clear that the city of Busan may remove provisions from its master plan that allow for worldwide cryptocurrency exchanges.

The municipal administration was hesitant to include such private exchanges in their plans, but they were confident that they could continue their blockchain goals even without third-party support.

The city of Busan intends to launch a digital asset exchange that will classify digital assets as securities or non-securities, as well as a market management organization that will be responsible for listing and evaluating, monitoring and supervising the market, as well as depositing and settlement.

The month of July 2019 marked the official beginning of the status of the city of Busan as a regulation-free zone for blockchain technology.The city intends to implement a wide range of blockchain applications in a variety of industries, such as, but not limited to, the tourism industry, banking, the logistics industry, and public safety.

Since then, the local administration has been working hard to achieve its blockchain goals and, towards the end of 2019, announced that it will develop a digital currency based on blockchain technology in collaboration with the telecommunications company KT.