While cryptocurrency started out as a private endeavour, many countries of the world have seen his benefit and have started to create their own tokens. One of the most prominent examples is Venezuela who created their Petro token in 2018 as a means to combat the problem of hyperinflation. Tokens have also been created in various regions of the world as a means of a public reward system such as in Venice and parts of South Korea. However, we are seeing a new era with large countries wanting to create their own cryptocurrencies such as in the case of China which is developing its own which many believes is in response to the upcoming Libra token.
According to a report from September 18, 2019, North Korea is planning to be the next country to make this change as they are reportedly in the early stages of developing their own cryptocurrency. However, this is not as a means of coping with hyperinflation of necessarily for innovative purposes go to avoid sanctions that have been placed upon the country by the United States.
According to Alejandro Cao de Benos, who is in charge of North Korea’s crypto conferences, the token has not yet been named but will be similar to bitcoin and other currencies.
“We are still in the very early stages in the creation of the token. Now we are in the phase of studying the goods that will give value to it […] No plans to digitize the [North Korean] won for now,” he said.
So far, the North Korean embassy of the United Nations has not been able to confirm or deny the rumors of the token and have given no word as to whether it is taking place or not.
North Korea has had an interesting relationship with cryptocurrency as they are believed to be behind the theft of billions of dollars worth of cryptocurrency through exchange hacks and stealing from wallets and these are believed to have been carried out by a state-sponsored hack team that is using this to raise funds for the country’s nuclear program. Just like the upcoming token, this was done as a response to sanctions that have been placed on the country by the United States which they have claimed are unnecessary. They have also denied being behind any exchange hacks or stealing cryptocurrency.