Announcing the new metaverse fund, South Korea will support mergers and acquisitions of various companies from the metaverse ecosystem.
While many countries and regulators are distracted by the news of the crisis and fraud, South Korea has doubled its metaverse potential as a new engine of economic growth. South Korea, which is one of the countries that reacts most rapidly to crises, continues to take important steps when it comes to development.
South Korea’s Ministry of Science and ICT announced that it will invest in a fund that aims to support metaverse initiatives in the country. According to the official announcement, the South Korean government has invested approximately $18.1 million to create a fund of more than 40 billion Korean won (approximately $572.5 million) for metaverse development.
South Korea encourages companies as backing in metaverse fund
South Korea is among the most active countries in areas such as the metaverse and NFT. Although the country has a strict stance on crypto, it is in a very rapid development when it comes to new technologies. Finally, it is possible to see this development with the announced metaverse support fund.
With the help of the Metaverse Fund, South Korea will support mergers and acquisitions of various companies from the metaverse ecosystem. The government has taken another important step by highlighting the growing interest of big tech companies in Metaverse.
The government acknowledges that it is difficult for local players to raise capital through private investments given the underlying investment risks. Considering all this, in addition to mergers and acquisitions, South Korea aims to help domestic companies related to the metaverse compete with global players:
“We plan to actively support metaverse companies”
In January, the city of Seoul launched a digital replica of the city on the metaverse. In this operation, the South Korean government spent about 2 billion won ($1.6 million) for the first phase of the metaverse project.
However, in the physical world, South Korea continues to maintain checks and balances over cross-border threats. In February, the country announced its first independent sanctions on cryptocurrency thefts and cyberattacks against certain North Korean groups and individuals.