The Democratic Party of South Korea is the first in the world to use collectible tokens for political purposes.
The ruling Democratic Party of Korea (KDP) has announced plans to release an NFT featuring its presidential nominee to fund his campaign campaign. The fundraising plan involves accepting donations in cryptocurrency; in return, donors will be issued receipts in the form of NFTs with photographs of the candidate or his campaign promises.
The election is set for March 9, 2022, and the KDP candidate’s campaign headquarters sees the release of the NFT as an attempt to win over a young electorate, especially those in their 20s and 30s. This age group is the most active and also massively involved in the cryptocurrency sphere.
If you look at the distribution of participants in the South Korean cryptocurrency market by age, then the share of those who are between 20 and 30 years old accounts for about 62%, followed by participants under the age of 40 (21.5%), up to 50 years (12.1%) , and citizens under the age of 60 and older (4.4%).
In January 2021, the South Korean government launched an initiative to tighten tax liability for digital asset transactions. One of the rulings proposed a 20% tax on cryptocurrency holders whose annual profits from trading cryptoassets exceed 2.5 million won (about $ 2,300).
However, during the election campaign, the ruling Democratic Party proposed postponing the implementation of the regulations until 2023, citing the lack of a well-thought-out plan for implementing tax policy.
