Solana Ventures and the Solana Foundation have created a $ 100 million fund to support the growth of non-mixed tokens (NFT), blockchain gaming, and decentralized finance (DeFi) projects in South Korea.
In addition to supporting projects built on Solana (SOL), the fund will help keep a number of Terra-based projects afloat after the ecosystem collapse last month.
The Solana Foundation believes that Terra developers should not be held responsible for what happened on the blockchain network. In an interview reported by Bloomberg on June 8, Solana Foundation Chief Gaming Officer Johnny B. Lee said:
“The devs have done nothing wrong, but have been left behind.”
South Korea is set to become the bedrock of NFT and metaverse development over the past decade, with the government pledging $ 187 million to build its own metaverse ecosystem. The Korean metaverse will focus primarily on growing digital content and digital businesses in the country.
The Solana Foundation is banking on increased interest in game finance (GameFi) and decentralized finance (DeFi) in the country as companies begin to compete for grants.
The competition to quickly build the best platforms is underway, and some South Korean platforms are already offering NFTs or access to DeFi, such as the Klaytn layer-1 blockchain and the Upbit exchange.
Klaytn’s largest DeFi platform is KlaySwap with $ 274 million in total value locked (TVL) according to DeFi’s ecosystem tracker, DeFi Llama. Upbit, the largest exchange in the country, has its own NFT market.
However, it may be difficult for domestic companies to launch their blockchain-based games in South Korea.
The law currently prohibits games from giving monetary rewards, including cryptocurrency. As a result of this law, Korean officials demanded that Apple and Google remove play-to-play (P2E) games from their stores in Korea last December.
NFT exchanges and DeFi activity on Solana have increased in recent months. Magic Eden, Solana’s largest NFT marketplace, is the second largest marketplace in the world with 35,526 daily traders and $ 7.31 million daily volume, behind OpenSea, according to DappRadar’s decentralized application tracking (DApp) tracker.
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By providing funding for ecosystem growth, Solana may be able to address the interim instability of its network, which has halted operations several times since last year.
The price of SOL is currently stable, with a decrease of only 0.5% over the last 24 hours, at $ 39.05, according to data from CoinGecko.