The South Korean internet giant, Kakao is all set to get into the deep end of cryptocurrency market by announcing its plans to launch Kakao Coin and a blockchain subsidiary in order to integrate cryptocurrency for its 11,000 merchants and millions of users.
Kakao coin and Kakao blockchain technology!
Recently, the Korean internet giant, Kakao that operates the most popular messaging app of the country, KakaoTalk made a deeper move into the crypto market by revealing its plan to integrate the blockchain technology into its business unit.
This blockchain subsidiary of Kakao will focus on blockchain technology for which it has hired Han Jaesun, the CTO of FuturePlay, a gaming startup to head the new business. Moreover, the company has also planned to do a reverse initial coin offering (ICO) where this established firm will be raising capital by offering cryptocurrency. There have also been reports of Kakao helping other companies to hold their ICOs as well.
Kakao is also planning its own coin called Kakao Coin that will be traded among all of its platforms. But it’s still unclear if its latest platform will allow the usage of other cryptocurrencies like bitcoin. However, due to ICOs being illegal in South Korea, the company will reportedly use them under its subsidiary Kakao Blockchain. Furthermore, it has been estimated that the Kakao ICO will be conducted in Hong Kong and Singapore.
Kakao to rule the South Korea cryptocurrency market…
This is not the first time of Kakao in crypto industry, last year, the company opened its trading exchange called Upbit. With over 110 cryptocurrencies listed on this platform, it was the largest crypto exchange in South Korea. According to the reports, it has a daily average of about 5 trillion won. The exchange claims to be the largest one in the country by volume.
It has been further reported that Kakao will introduce a virtual currency payment system that will apply to its KakaoTalk platform along with over 10,000 merchants of KakaoPay that will also benefit its 3 million users.
Kakao with its numerous subsidiaries viz. Kakaotalk chat application (app), Kakaomusic app, Kakaostyle mobile fashion service, Kakao Pay e-wallet, Kakao Bank, and Kakao T taxi app to name a few have perforated about 90% in the financial and messaging market of South Korea.
Investors and people alike are excited about Kakao’s plans to penetrate the crypto market. What are your views on Kakao moving deeper into the South Korea cryptocurrency market? Share your thoughts with us below!
I am an entrepreneur and a writer with a bachelors degree in Computer Science. I manage the blockchain technology and crypto coverages at Coingape. follow me on Twitter at @arya_achal or reach out to me at achal[at]coingape.com.