South Korea needs an agency that would rate financial and technological strengths of blockchain startups.
The proposal came out among panelists during their discussion at the blockchain conference held at the National Assembly last week.
The panelists agreed on the need to create the rating agency to help investors make an informed investment in the blockchain developers.
Once investors increase investment, domestic blockchain startups would raise extra cash to finance the development of technologies, they agreed.
The Busan City and the Block Media co-hosted the seminar, to mark the designation of the port city as the nation’s first blockchain hub.
Kang Sung, head of Kakao’s legal affairs team, said the rating agency would help companies raise cash through initial coin offerings, he added.
Sometimes, the domestic cryptocurrency market undergoes ups and downs like a casino because investors have no reliable reference on the financial and technological health of blockchain startups, the panelists concurred.