Korea Digital Finance Institute, Creative Economy Planning Group for Crowdfunding Settlement

At the preparatory meeting for the 1st Creative Economy Reporting Competition, held on November 11 at 4 pm, hosted by the Korea Digital Finance Institute, a creative economy planning group was unanimously established.

The planning group, which held its first meeting at the law firm Hanbyul's conference room on this day, will accelerate preparations for the successful settlement of crowdfunding and will be held from the 12th to the 15th of next month. The Ministry of Science, ICT and Future Planning, the five economic organizations, and the Korea Digital Finance Research Institute decided to hold preparatory meetings every week for the successful holding of the Creative Economy Reporting Competition.

At the meeting, which was chaired by Kim Soo-dong, representative of the Federation of Korean Universities of Science and Technology, Cho Sung-gap, president of the Korea Digital Finance Institute, Kim Dong-yeon, chairman of the Korea Financial Platform, and Kim Soo-dong were elected as co-chairs and organizers. Also in attendance were Dr. Min Chan-ki, Director of the Korea Digital Finance Institute, Yang Jae-soo, President of the Gyeonggi Information Industry Association Chairman of the Gyeonggi Information Industry Association, Hwang Kyo-kwang, Chairman of the Korea Association of Professionals and Small Businessmen, Lee Kyung-ok, Chairman of the Korea Social Network Association, Jeon Tae-soo, Chairman of the Returnpress Association, and Lee Jae-hak, CEO of the Korea Biotechnology Research Institute, Professor Yoon Hyuk-joong of Korea Polytechnic University, Mr. Son Jin-ki of Dreamin Science Concert, Mr. Cho Won-chan of Law Firm Hanbyul, Mr. Jeong Yeon-yeon of Korea IT Times, etc. In the future, we promised to strive for the successful installation of crowdfunding centered on the head of the planning team."

Crowdfunding is a new concept in which an unspecified number of funders (Crowd) provide funds to consumers who need funds and receive profits in return. It is an investment service that is currently consistent with the Park Geun-hye administration's core initiative to create a virtuous venture ecosystem of start-up, growth, fund recovery, and reinvestment.

In particular, the government believes that crowdfunding can revitalize start-ups and foster youth ventures to create jobs and cut the vicious circle that leads to a decrease in start-ups due to a decrease in funding for start-ups. It is expected to be the most appropriate financing method for the creative economy as it plays a role in cutting the vicious circle of decreasing startups due to decreasing funding for new ventures.

"Currently, it is limited for the government to provide funding for companies," said Cho Sung-gap, head of the planning group, "If crowdfunding is established, the public will become the main body of funding. It will foster companies with high growth potential."