ULSAN, Nov. 15 (Korea Bizwire) — The city of Ulsan and KT Corp. signed a memorandum of understanding on Wednesday to adopt a mobile currency for the city.
The two parties agreed to carry out preparatory projects to adopt the local currency, conduct joint studies and research projects, exchange information, and discover innovative ideas that could help stimulate local economy based on the new currency.
Ulsan also vowed to secure legislation and financing to support the scheme, while KT will take the responsibility of designing, proposing, and developing the product.
The South Korean government is in the process of adopting a Zero Pay system to help small businesses.
Zero Pay is a transaction method that wires money directly from the customer’s account to the seller’s via the use of a QR code and a smartphone app.
This new system exempts credit card commissions or VAN fees charged to sellers when customers pay with credit cards. Ulsan city’s mobile currency will also be aligned with these government policies.
“The mobile payment system that Ulsan and KT are trying to develop will meet local demand while being compatible with the Zero Pay system,” a source from Ulsan city said.
“It will help small businesses raise sales and stimulate the local economy.”
Kevin Lee (email@example.com)