South Korean Presidential Candidate To Issue NFTs For Campaign Funding

Korea’s ruling political party, the Democratic Party of Korea or DPK, has revealed that it will be issuing NFTs for fundraising during the upcoming presidential elections. The NFTs will feature the presidential candidate Lee Jae Myung’s image, which will also serve as a bond, enabling individuals to exchange the NFTs with others. 

NFTs In The Presidential Campaign 

The DPK will begin the initiative later in the month, and once the party issues the NFTs, it will become the first political party in the world to utilize digital assets and collectibles in a political cause. A lawmaker from the ruling party, while confirming the developments, stated, 

“Our presidential candidate is also preparing for fundraising using NFTs.”

The DPK also stressed that using NFTs to raise funds for a political campaign does not violate the Political Funds Act or the Public Official Election Act. Speaking on behalf of the party, Rep. Lee Kwang Jae revealed that party officials have been engaged in discussions amongst each other and with government institutions for the better part of 8 months. 

“Over the past eight months, we have discussed this matter with the NEC and other government institutions. The donations will be managed in compliance with the Public Official Election Act and the Guidelines on Management of Political Funds.”

A Political Play?

With the elections set to take place on 9th March 2022, with the DPK’s candidate being Lee Jae Myung. The party’s endorsement of NFTs can be considered a play to win over some of the younger voters, specifically those in their 20s and 30s. This age group is the most active in the crypto and NFT space. The presidential candidate remains extremely supportive of the gaming industry’s use of NFTs, stating that Korea should become the global leader in integrating NFTs and virtual assets with games. 

Earlier, Rep Lee Kwang Jae, another member from the Democratic Party of Korea, had stated that he would receive campaign donations in cryptocurrency, with initial donations accepted in Bitcoin and Ethereum. 

Korea’s Softening Stance 

Since 2021, South Korea’s government has been looking to impose strict regulations on the local crypto and digital asset ecosystem. One of the regulations proposed a 20% tax on those individuals that generated a profit of over $42,000 from cryptocurrency trading. However, the ruling Democratic Party has now proposed a delay regarding the implementation of the regulations, citing the lack of a well-thought-out plan to implement the taxing policy. 

South Korea had earlier tightened the noose around crypto exchanges, with market watchers stating that the September 2021 crackdown had the potential to cause losses totaling around $2.6 billion.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.