Cryptocurrency in K-pop? Apparently so.
SM Entertainment has announced the agency's decision to build its own blockchain network with native cryptocurrency at the Upbit Developer Conference held in Incheon on September 4th. The director of SM's CT-AI Labs Joo Sang-sik stated that the network would allow fans to invest in their favorite artists through cryptocurrencies.
According to Coindesk:
"Joo Sang-sik, director of the company’s technology arm, CT-AI Labs, made the announcement at the Upbit Developer Conference in Incheon on Sept. 4, according to a report from local media outlet IT Chosun.
Joo said the company is aiming to develop a blockchain network that would allow fans to be more engaged with the entertainment ecosystem by investing in artists’ work through cryptocurrencies.
The director provided few specifics about the technology, but said the firm aims to make use of the concepts of both public and private blockchains and is currently talking to potential partners to build the network.
The entertainment business as it stands utilizes inefficient settlement and payment systems – issues that blockchain could help address, Joo said."
It seems like SM is making this decision in the face of dropping stock prices and management changes that have left stockholders concerned. Cryptocurrency is a growing subject of interest in today's society and it seems like SM is takin major steps to incorporate it into its business.