Lee Jae-Myung, the ruling Democratic Party's presidential candidate in 2022, will issue NFTs to campaign donors. Despite earlier fears that such fundraises would contradict the Political Funds Act or the Public Official Election Act, the news comes as a surprise.
The donations for the marketing campaign can be given in crypto or cash. All the donors will receive NFTs. These NFTs will contain the candidate's photograph and his pledges.
"BECAUSE THE YOUNGER ERA OF THEIR 20S AND 30S ARE SERIOUS ABOUT RISING APPLIED SCIENCES, TOGETHER WITH DIGITAL PROPERTY, NFTS AND THE METAVERSE, THIS SORT OF FUNDRAISING MIGHT ENCHANTMENT TO THEM."
The South Korean Monetary Companies Fee (FSC) said in November that it would not regulate NFTs. Nonetheless, the agency reversed its earlier decision only a few weeks later, claiming that NFTs might be taxable as early as January 2022. More than 60 bitcoin exchanges in South Korea have notified users that trading services have been suspended partially or entirely.
Taxing and regulating NFTs has also been a contentious debate among South Korean officials.
While Lee's NFT crowdfunding is the first of its sort, the crypto sector has been increasingly involved in campaign financing in recent months. Melania Trump, the former first lady of the United States, recently launched an NFT platform in the United States. The Democratic Party in the United States recently ran an experiment to raise awareness and funds via an NFT drop.