Vice Science and ICT Minister Min Won-ki said Thursday that the government will back domestic companies to help them lead the global blockchain market.

In a meeting with blockchain startups in Bundang, south of Seoul, he said both Korea and foreign companies are at the starting line in the global blockchain race.

He said there is no significant technology gap between Korea and the other countries. “Once the government and startups join hands, Korea can take a center stage in the global blockchain market,” he added.

At the meeting, the participants reviewed the pilot blockchain projects the government has initiated. The projects include the application of blockchain technology in customs clearance, home delivery service, history of cattle, and property transaction.

Blockchain startups suggested that the government expand blockchain public projects, increase research and development fund, support social contribution projects and tax incentives. They also urged the government to create a level playing field between domestic and foreign blockchain solution developers.

South Korea has adopted a dual strategy of fostering blockchain technology when the technology is linked to non-financial services, including upgrading manufacturing, science, and competitiveness. But the Korean government has been passive in the application of blockchain in financial services. It has yet to come out with regulations to prevent money laundering,  flow of terrorist funds and capital flight.