Busan Digital Asset Nexus (BDAN) has signed an MoU with Cambodia’s Securities and Exchange Regulator (SERC) to collaborate on blockchain development.

The deal includes joint research on adapting Busan’s “blockchain city” model for Phnom Penh.

The two organizations will conduct feasibility studies and examine legal and regulatory requirements for implementing similar technology in Cambodia.

Other areas of cooperation include exploring cross-listing of digital assets, tokenization of real-world assets, and sharing technology and regulatory expertise.

The partnership will also provide education and training in blockchain, fintech, and Web3 topics.

Busan Digital Asset Nexus launched in October 2024 as part of Busan’s effort to develop a blockchain-driven digital finance hub.

🔗 Source: The Korea Times

🧠 Food for thought

1️⃣ Cambodia’s proven blockchain infrastructure makes it an ideal testing ground

Cambodia’s selection as Busan’s first international partner isn’t coincidental, as the country already operates one of the world’s most successful blockchain payment systems.

The National Bank of Cambodia’s Bakong system facilitated over $104 billion in transactions in 2024, with 5.9 million users and 30 million digital wallets created since its launch1.

This represents significant adoption, with 65% of Cambodia’s population using the Bakong payment system and 10.6% actively using digital assets2.

The existing digital infrastructure and user familiarity with blockchain-based financial services provide a strong foundation for expanding beyond payments into the broader “blockchain city” concept that Busan is developing.

Cambodia’s regulatory framework, which already allows digital asset trading under KYC requirements through the Securities and Exchange Regulator, creates a supportive environment for testing more comprehensive blockchain applications2.

2️⃣ Scaling blockchain beyond payments remains largely untested at city level

While Busan aims to be “the first to achieve digital transformation on a megacity scale,” the research reveals that comprehensive blockchain city implementations remain experimental globally.