On June 27th, Ground X launched its public blockchain platform Klaytn. Ground X, the blockchain subsidiary of Korea’s largest messaging firm, Kakao, has a key goal of driving mass blockchain by offering it to a large market with a user-friendly interface.
Yesterday’s announcement also revealed that the firm has gathered leading app studios to use its token KLAY. It has formed a governance alliance including LG Electronics, games studio PUBG, and biopharmaceutical company Celltrion.
Ground X claims that Klaytn has a fast response time, rigorously tested stability, and a comprehensive interface based on developer and user feedback. In the next few days, the platform has nine projects launching, such as blockchain based food data app HintChain and short video service Antube.
The organization also unveiled the Klaytn Governance Council as well as the KLAY BApp (blockchain application) Partner program.
The council involves 19 diverse companies from the technology, finance, telecoms, gaming, and health industries which operate consensus nodes on Klaytn.
Perhaps the largest member on the governing consortium is tech giant LG Electronics, along with LG International. The group also boasts Korean game developer Netmarble, leading Asian biopharmaceutical firm Celltrion, the Union Bank of the Philippines, real estate developer Everrich, IT company FSN, and one of the world’s largest paid games studios PUBG.
Of course, Kakao is on the Klaytn Governance Council with its various offshoots Kakao Pay, Kakao Games, Kakao Page, and Kakao IX.
Meanwhile, KLAY BApp Partners include blockchain app developers, which will use KLAY for payments and rewards. Many are mobile games firms, a huge market in Korea and Asia. Hence partners such as Biscuit, MixMarvel, Node Brick, and mgame will use the token.
Klaytn’s approach to the incentive side of blockchain, traditionally carried out with rewards for Proof of Work (PoW), is Proof of Contribution (PoC). KLAY tokens are distributed to economic providers. The more contributions to network maintenance, the more tokens.
Additionally, the firm set up the Klaytn Improvement Reserve (KIR) which rewards entities with KLAY for real-world efforts such as research or events which help “sustainable ecosystem growth”. Interestingly, it appears that this reserve is set aside for anyone who performs such tasks.
Yesterday’s announcement comes four months after the firm raised $90 million in a private coin offering for Klaytn. Before that, in December, Ground X claimed it raised $300 million from investors such as IDG Capital and Crescendo Equity Partners for its token, now known as KLAY.
Kakao joins instant messaging firms such as Telegram, Facebook, and Kik, which was sued over its ICO, in creating a blockchain platform and crypto token.
The recent Libra announcement by Facebook has taken the crypto world by storm. It remains to be seen, with Kakao’s substantial Korean and East Asian reach, whether Klaytn will be a competitor in the field.