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Tag: South Korea

  • South Korea to Launch Digital Currency Pilot Program in 2024

    South Korea to Launch Digital Currency Pilot Program in 2024

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    In a move to modernize its financial infrastructure, South Korea is set to embark on a pioneering project involving digital currency.

    Commencing in the fourth quarter of 2024, the nation will start a pilot program involving the participation of 100,000 citizens, signifying a significant stride towards the nationwide implementation of digital currencies.

    South Korea to Pilot Digital Currency with 100,000 Citizens

    In an upcoming pilot program jointly managed by the Bank of Korea (BOK) and financial regulators, 100,000 South Korean citizens will be able to use deposit tokens based on the country’s central bank digital currency (CBDC).

    The BOK, alongside the Financial Services Commission and the Financial Supervisory Service, unveiled these plans after Agustin Carstens, the General Manager of the Bank for International Settlements, visited the insitution. Initially revealed in October, the project is an advanced version of the BOK’s intentions to conduct real-world experiments with CBDCs.

    Under this pilot, selected participants can purchase goods using deposit tokens issued by commercial banks, operating similarly to vouchers in retail stores. Recruitment for participants is expected to begin around September to October of the following year, with the project spanning three months.

    The pilot program will also have some limitations. Participants can only use the digital currency for intended payment purposes, while personal remittance and other uses are currently prohibited.

    The BOK and financial authorities also plan to conduct technological experiments to evaluate new financial products. One experiment involves collaboration between the BOK and Korea Exchange, focusing on integrating CBDC into a simulated system for carbon emissions trading. This aims to test the feasibility of transactions between carbon emissions rights and payment tokens.

    South Korea’s ‘Digital Won’ Revolution

    The BOK highlighted that this digital currency has the potential to overcome challenges faced by existing government voucher systems. These challenges include high transaction fees, slow settlement processes, limitations in post-transaction verification, and concerns about fraudulent claims.

    The “digital won” project, coined by Agustin Carstens, has also received a favorable evaluation for its forward-thinking approach to future monetary systems. Under Governor Rhee Chang-yong’s leadership, the BOK remains open to conducting separate pilots if banks propose new individual projects.

    While China leads the way in the CBDC adoption space with its digital yuan, South Korea’s successful simulated tests in December 2021 position it as a significant player in the global shift towards digital currencies.

    Major cities like Jeju, Busan, and Incheon are likely pilot locations, paving the way for transformative impacts on everyday transactions and future financial innovations.

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  • South Korea accuses North Korea of firing missile towards the sea

    South Korea accuses North Korea of firing missile towards the sea

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    South Korean military officials say the launch, directed at the East Sea, appears to be unsuccessful.

    North Korea has carried out a suspected unsuccessful missile test, according to South Korea’s military, a day after Pyongang said it successfully launched a spy satellite.

    South Korea’s Joint Chiefs of Staff said the launch came from North Korea’s capital region late on Wednesday. The missile was fired into the sea east of North Korea and the effort apparently failed, the Joint Chiefs of Staff said early on Thursday without giving details, including the type of missile fired.

    The North Korean launch came hours after South Korea suspended parts of the 2018 inter-Korean military tension reduction agreement in response to the North’s launch on Tuesday of a military spy satellite.

    The agreement had created a buffer zone and barred aerial surveillance on the heavily militarised border with the North.

    On Tuesday, North Korea’s space agency said it had successfully launched a Malligyong-1 satellite into orbit, part of an effort to enhance surveillance capabilities against the United States and South Korean forces.

    South Korea and its alllies condemned the launch as a violation of United Nations resolutions. Military authorities in South Korea confirmed that the spy satellite has entered orbit but said they will need additional time to assess whether it is functional.

    The White House said the launch “raises tensions and risks destabilizing the security situation in the region and beyond”.

    Japanese Prime Minister Fumio Kishida said his government had made a “strong protest against North Korea”.

    North Korea has consistently asserted that building up its surveillance capabilities is a “sovereign right”, striking a defiant tone in the face of widespread opposition and as tensions rise on the Korean Peninsula.

    The country had tried to launch what it called spy satellites on two previous occasions this year, but both of those efforts ended in failure.

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  • CNBC Daily Open: Slowing demand means fewer revenue beats

    CNBC Daily Open: Slowing demand means fewer revenue beats

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    Signage for the “Disneyland City Hall”, in Disneyland Paris, in Marne-la-Vallee, east of Paris, on October 16, 2023.

    Ian Langsdon | Afp | Getty Images

    This report is from today’s CNBC Daily Open, our new, international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. Like what you see? You can subscribe here.

    What you need to know today

    Streak continues, sans Dow
    Major U.S. indexes continued their blistering winning streak Wednesday — except for the Dow Jones Industrial Average, which snapped a seven-day streak. Asia-Pacific markets mostly rose Thursday. Japan’s Nikkei 225 climbed around 1.5% and South Korea’s Kospi added 0.5% after dropping 3.24% in the last two sessions, wiping out more than half of its gains earlier in the week.

    Prices slump in China
    Fresh data from China’s National Bureau of Statistics showed the country continuing to struggle with deflationary pressures. China’s consumer price index for October declined 0.2% year on year, more than the 0.1% drop predicted. Producer prices also fell 2.6% — though it’s smaller than the expected 2.7% decline.

    Disney pluses subscribers
    Disney’s shares jumped around 3% in extended trading after the company reported quarterly earnings. Earnings per share came in at 82 cents, higher than the expected 70 cents. Total Disney+ subscribers, at 150.2 million, also beat forecast by more than 2 million. But the firm’s revenue fell short of estimates — its second consecutive miss — even as quarterly revenue increased 5% to $21.24 billion year on year.

    Weakness in Arm
    Arm reported earnings for the first time after its initial public offering. The semiconductor licensing company had a net loss of $110 million, but that’s because of a one-time share-based compensation of more than $500 million. Revenue, on the other hand, was up 28% year on year, as licensing sales jumped 106%. Still, shares sank 6.8% after the bell on weak guidance for the current quarter.

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    The bottom line

    Earning season’s winding down, and it’s been mostly a good one so far.

    Out of the approximately 88% of companies in the S&P 500 have reported results, more than 88% have surpassed earnings estimates. However, only 62% have beaten revenue expectations. This suggests slowing demand is catching up with companies — but they’ve so far managed to expand their margins by cutting costs.

    With hard-hitting reports from Disney and Arm coming in after the bell and no major economic data released, major indexes had a tepid day. Trading volume was lower than the 30-day average.

    Nonetheless, the S&P 500 managed to inch up 0.1%, its eighth straight day of gains, and the Nasdaq Composite ticked up 0.08% for its ninth positive session. The last time both indexes enjoyed such uninterrupted gains was in November 2021. But the Dow Jones Industrial Average snapped its best winning streak since July with a 0.12% drop yesterday.

    This lull in news’ only temporary. Federal Reserve Chair Jerome Powell will speak about monetary policy Thursday and October’s consumer price index reading comes out next Tuesday. Those events will serve as the next major catalysts for stocks, said AXS Investments CEO Greg Bassuk. And though it’s admittedly a very long shot, we’ll see, then, if (the surviving) major indexes manage to extend their winning streak — or precipitate a new fall.

    But for investors hoping to time markets and reap quick gains on those events, CNBC’s Bob Pisani has a warning. “The idea that you can predict the future direction of stock prices, and act accordingly — is not a successful investing strategy,” Pisani writes. “The key to investing is not market timing” — it’s giving yourself time in the market.

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  • Tongyeong, South Korea's First City Specializing in Night Tourism, Invited Global Travel Influencers to a Night Festival

    Tongyeong, South Korea's First City Specializing in Night Tourism, Invited Global Travel Influencers to a Night Festival

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    Tongyeong city held “2023 Tonight TongYeong! Modern Boys and Dining Festa”, which is a night tourism festival, aiming to promote the city as a representative night tourism destination in South Korea

    Influencers from around the world visited Tongyeong, South Korea, to promote a festival specializing in night tourism “2023 Tonight TongYeong! Modern Boys and Dining Festa”.

    Tongyeong, often referred to as the “Naples of the East,” is a picturesque coastal city known for its beautiful landscapes and rich cultural heritage. It’s a popular tourist destination in South Korea, offering a unique blend of natural beauty and vibrant city life. In 2022, Tongyeong was designated as a specialized city for night tourism in South Korea by the Ministry of Culture, Sports and Tourism, along with the Korea Tourism Organization. Also, the city was recently selected as the “2023 World Festival City” at the 66th annual meeting of the International Festivals & Events Association (IFEA World), held in Texas, USA.

    “2023 Tonight TongYeong! Modern Boys and Dining Festa” was held from 27th to 28th October, consisting of nighttime performances and various experiences motivated by the historical background and artworks of artists from Tongyeong in the period of modern and contemporary Korea, as part of an effort to develop the city into a representative night tourism destination in Korea.

    For global promotion, invitations were extended to foreign travel influencers residing in Korea. Four influencers, including ones from the USA, Chile, Armenia, and Lithuania, participated in the festival. They enjoyed a variety of festival programs, including a fine dining restaurant and various musical performances, all of which took place by the sea.

    In addition to the festival, they also visited major tourist attractions in Tongyeong, such as Seopirang Park, one of Tongyeong’s famous sunset spots, and Dongpirang Mural Village, Korea’s first mural village. Through these experiences, they were able to find the charm of Tongyeong and its night tourism attractions. They shared their experiences through their social media platforms, creating content that promotes Tongyeong’s night tourism spots and the charm of the festival to a global audience.

    As the first city in Korea specializing in night tourism, Tongyeong City plans to further develop nighttime tourist attractions using its natural and cultural resources, aiming to establish Tongyeong as the epicenter of night tourism in Korea.

    Source: Tongyeong City

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  • South Korean Stocks Jump After Regulator Bans Short Selling

    South Korean Stocks Jump After Regulator Bans Short Selling

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    (Bloomberg) — South Korean stocks surged after regulators reimposed a full ban on short-selling for about eight months, a controversial move that authorities said was needed to stop illegal use of a trading tactic deployed regularly by hedge funds and other investors around the world.

    Most Read from Bloomberg

    The ban may help appeal to retail investors who have complained about the impact of shorting — the selling of borrowed shares by institutional investors — ahead of elections in April. However, it could deter some foreign investors and hold back MSCI Inc. from upgrading Korean equities to developed market from emerging status.

    The benchmark Kospi jumped as much as 4%, the most since January 2021, leading gains among major regional gauges in Asia on Monday. Stocks that had seen recent jumps in short-selling positions, including LG Energy Solution Ltd. and Posco Future M Co., were among the biggest boosts. The small-cap Kosdaq Index surged as much as 5.9%, the most since June 2020.

    The nation’s Financial Services Commission said on Sunday that new short-selling positions will be prohibited for equities on the Kospi 200 Index and Kosdaq 150 Index from Monday through the end of June 2024. Pandemic-era restrictions on the practice had been lifted for those two gauges only in May 2021, while the ban has remained in place for some 2,000 stocks.

    READ: South Korea to Ban Short-Selling of Stocks Until June 2024

    The move comes ahead of general elections in April for the National Assembly in South Korea, where public perception of short-selling remains deeply negative. Some ruling party lawmakers urged the government to temporarily end stock short-selling in response to demands by retail investors, who have staged protests against the tactic. Most short-selling in South Korea is conducted by institutional investors.

    “This policy reversal with respect to short selling is unwarranted at the current time,” said Wongmo Kang, an analyst at Exome Asset Management. “Many people view it as a political move aimed at next year’s general election,” he said, adding that the Korean market tend to be “heavily influenced by retail investors”.

    The Kospi surged earlier this year on frenzied buying of electric-vehicle battery names and chip stocks related to the artificial intelligence theme. Concerns over geopolitical tensions and high interest rates reversed the rally in recent months, driving the benchmark into a technical correction and nearly erasing its gain for the year.

    The latest ban is “unusual” as authorities are comprehensively prohibiting short selling at a time when there is no financial crisis, said Huh Jae-Hwan, an analyst at Eugene Investment & Securities.

    The financial regulator said the market had been disrupted due to “massive” naked short-selling by global investment banks. The so-called naked variety of the trade involves shorting shares without borrowing them first. The regulator said it is now seeking to make improvements to create a level playing field for retail investors, with stronger punishments for traders who break the rules.

    READ: Korea to Fine Banks for Naked Shorts; Local Media Name HSBC, BNP

    While regulators argue that naked short-selling inhibits fair price formation and hurts confidence, some observers say broad outright bans make the market less transparent and therefore less attractive. Some say the restrictions may keep the market from being upgraded in MSCI indexes.

    “It does compromise their status and certainly would hold them back from achieving developed market status,” said Gary Dugan, chief investment officer at Dalma Capital Management Ltd. “Given that there is an immediate ban there will be an initial sharp move higher in stock prices of companies that have had some short selling,” but the impact may be limited given low levels of short positions in the overall market, he said.

    “There is a possibility that international investors may lose trust and opportunity in the Korean market,” Exome Asset’s Kang said. “Without the ability for investors to express a view that markets and individual stocks are ‘mispriced’ to the upside, stock markets lose long term credibility on the world stage.”

    –With assistance from Abhishek Vishnoi.

    (An earlier version of this story was corrected to show the ban was partially lifted in May 2021)

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    ©2023 Bloomberg L.P.

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  • US and China join global leaders to lay out need for AI rulemaking

    US and China join global leaders to lay out need for AI rulemaking

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    BLETCHLEY PARK, England — The United States and China joined global leaders to sign a 27-country agreement on the risk of AI that launched a two-day AI Safety Summit.

    In a major diplomatic coup for the British hosts, U.S. Commerce Secretary Gina Raimondo took the stage on Wednesday morning alongside Wu Zhaohui, China’s vice minister of science, at the summit at Bletchley Park — a former military installation north of London where British engineers used early forms of computers to break German codes during World War II.

    The site — symbolic of what London believes is a similar global need to rein in the potential harms of artificial technology — forms the backdrop for efforts by politicians, tech executives and academics to find new ways to police a technology evolving faster than almost all governments can respond to it.

    This week alone, the U.S. government and G7 group of leading Western democracies published separate efforts to regulate artificial intelligence in the form of a White House executive order and voluntary code of conduct, respectively. The EU expects to complete its separate Artificial Intelligence Act by early December and the United Nations’ newly-created AI advisory board will provide its own recommendations by the end of 2023.

    “We will compete as nationals. But even as we compete vigorously, we must search for global solutions for global problems,” said Raimondo, who is traveling to the United Kingdom alongside U.S. Vice President Kamala Harris. “The work, of course, does not begin and end with just the U.S. and the U.K. We want to expand information sharing, research, collaboration, and ultimately policy alignment across the globe.”

    In a summit communiqué, published Wednesday, 27 countries and the EU signed the so-called Bletchley Park Declaration on AI. The document focuses solely on so-called “frontier AI,” or the latest version of the technology that has become popular via digital services like OpenAI’s ChatGPT. 

    The signing countries include both China and the U.S. despite the world’s two largest economies battling over everything from technology to geopolitical power. The voluntary statement commits governments to work together toward trustworthy and responsible AI — catchwords for the safe use of the emerging technology.

    “China is willing to engage on AI governance for the promotion of all mankind. That’s our objective,” Wu Zhaohui, China’s vice minister of science and technology, told the audience in Bletchley. The official sat on stage next to the U.S.’s Raimondo despite the countries’ ongoing tension.

    References to global AI regulation efforts undertaken by international organizations such as the United Nations and the Organisation for Economic Cooperation and Development, which were featured in an earlier draft, did not make it to the final communiqué. Questioned about that in a press briefing, U.K. Digital Minister Michelle Donelan said that the summit “complements and doesn’t cut across the existing processes” unfolding at the international level, and that officials from the U.N. and the OECD see the U.K.’s initiative as “as a missing piece of the [AI regulation] puzzle” as it specifically deals with advanced frontier AI.

    The British government announced the next AI Safety Summit will be held in South Korea in May, 2024 and a third event is planned for France by the end of next year. The U.K. and the U.S. also announced plans to work together on AI Safety Institutes, which are expected to exchange analyses.

    Věra Jourová, the EU’s digital chief, welcomed the renewed efforts to rein in potential risks associated with the most advanced systems of artificial intelligence. The 27-country bloc has been working on its own AI legislation for the last three years. But the Czech politician acknowledged much had changed over that time period when it came to what AI systems could now do.

    “We have a common obligation for doing this right,” Jourová told the British audience Wednesday in reference to global efforts to set guardrails for the emerging technology. “The future will ask us if we did the right thing at the right moment.”

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    Mark Scott, Tom Bristow and Gian Volpicelli

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  • British PM Rishi Sunak secures ‘landmark’ deal on AI testing

    British PM Rishi Sunak secures ‘landmark’ deal on AI testing

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    BLETCHLEY, England — The British Prime Minister Rishi Sunak on Thursday said that under a new agreement “like-minded governments” would be able to test eight leading tech companies’ AI models before they are released.

    Closing out the two-day artificial intelligence summit in Bletchley Park on Thursday, Sunak announced the agreement signed by Australia, Canada, the European Union, France, Germany, Italy, Japan, Korea, Singapore, the U.S. and the U.K. to test leading companies’ AI models. 

    “Until now the only people testing the safety of new AI models have been the very companies developing it. That must change,” said Sunak to a room full of journalists. 

    “Like-minded governments and AI companies have today reached a landmark agreement. We will work together on testing the safety of new AI models before they are released… it’s made possible by the decision I have taken along with Vice President Kamala Harris for the British and American governments to establish world leading AI safety institutes with public sector capability to test the most advanced frontier models.”

    Sunak said the eight companies — Amazon Web Services, Anthropic, Google, Google DeepMind, Inflection AI, Meta, Microsoft, Mistral AI and Open AI — had agreed to “deepen” the access already given to his Frontier AI Taskforce, which is the forerunner to the new institute. The access is currently given on a voluntary basis, though under its Executive Order, the U.S. government has put binding requirements to hand over certain safety information. 

    Sunak also announced further details of an agreement reached with countries yesterday to establish an international advisory panel on frontier AI risks. 

    Modeled on the Intergovernmental Panel on Climate Change (IPCC), it will be formed from representatives from the 28 countries attending the summit. The British government said it would provide secretariat support for it.

    The panel will also support academic Yoshua Bengio in producing a “State of Science” report into the risks and capabilities of frontier AI. The report will not make policy recommendations, but is designed to inform international and national policy making. It will be published ahead of the next safety summit in South Korea in the first half of next year.

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    Vincent Manancourt

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  • Samsung expects memory chip demand to improve, as operating profit beats expectations

    Samsung expects memory chip demand to improve, as operating profit beats expectations

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    general view of visitors are seen at Samsung booth during the chinajoy 2023 at Shanghai new expo center in Shanghai, China on July 28, 2023 (Photo by Ying Tang/NurPhoto via Getty Images)

    Nurphoto | Nurphoto | Getty Images

    South Korea’s Samsung Electronics reported Tuesday quarterly operating profit that was better than expected despite dropping 77.6% from a year ago.

    While it was a decline year-on-year, third quarter operating profit jumped 262.6% from the second quarter, signaling that a memory chip glut may be bottoming out. First quarter operating profit plummeted 85.15% from the fourth quarter of 2022, while second-quarter operating profit saw only 4.68% improvement from the first quarter.

    Here are Samsung’s third-quarter results versus estimates:

    • Revenue: 67.4 trillion Korean won (about $50 billion), vs. 67.8 trillion Korean won expected by analysts polled by LSEG.
    • Operating profit: 2.43 trillion Korean won, vs. 2.3 trillion Korean won expected by LSEG analysts.

    Samsung’s revenue for the quarter ending September fell 12.2% from a year ago, while operating profit dropped 77.6% in the same period.

    Earlier this month, Samsung estimated third-quarter revenue would be 67 trillion Korean won and operating profit to be 2.4 trillion won.

    The South Korean chip giant is the largest dynamic random-access memory chip maker in the world. Its memory chips are found in consumer devices such as smartphones and computers.

    “In the fourth quarter, uncertainties persist regarding the market’s recovery driven by wars and geopolitical risks, gradual demand rebound and ongoing customer inventory adjustments,” said Samsung during its earnings call on Tuesday.

    “Nevertheless, we’re observing initial indications of demand, gradually stabilizing and improving, supported by recovering consumer sentiment, easing inflation and major customers introducing new products, particularly in the PC and mobile segments,” Samsung said.

    On the outlook for memory demand, Samsung said it expects fourth quarter demand to pick up with year-end promotions, new product launches by its major customers as well as strong demand for generative AI.

    Large language models such as ChatGPT require a lot of high-performance memory chips, which enable such generative AI models to remember details from past conversations and user preferences in order to generate humanlike responses.

    In a press release ahead of its earnings call, Samsung said that it “received numerous purchase inquiries amid widening awareness of the industry reaching a bottom, following the industry-wide production cuts.” It added that it continued to expand sales of advanced-node products.

    These advanced-node products include DDR5 — double data rate 5 synchronous dynamic random-access memory, and UFS4.0 — flash storage for the 5G era.

    “Our view on a meaningful profit recovery for the next several quarters led by memory is intact, with the larger industry-wide production cuts, gradually improving demand trends, as well as mix improvement towards high-average selling price products such as DDR5,” said Goldman Sachs in an Oct. 12 report.

    The investment firm maintained a “buy” rating with an unchanged target price of 93,000 won. Samsung shares were down 0.30% at 67,100 won on Tuesday morning.

    Signs of recovery

    Global smartphone sell-through volumes fell 8% year-on-year in the third quarter of 2023, the ninth consecutive quarter to record a decline, according to Counterpoint Research. This was largely because of the slower-than-expected recovery in consumer demand.

    Smartphone and PC maker were grappling with excess inventories of memory chips after stockpiling to meet increased demand for consumer devices during the pandemic. Inflation has caused consumers to rein in spending and cut back on purchases of consumer devices, driving down demand and prices for memory chips.

    But the market grew 2% quarter-over-quarter bolstered by a positive performance in September, signaling a market recovery ahead.

    “We expect earnings to rebound from 4Q23, given further product mix improvement on expanding sales of high-bandwidth memory 3 and a memory price hike,” said SK Kim, analyst at Daiwa Capital Markets, in an Oct. 3 note.

    “For memory, we assume a meaningful narrowing of losses due to a further product mix improvement and reversal of inventory write-down from the memory price recovery. For display, we expect a further earnings improvement on expanding supply of OLED panels for iPhone 15 models,” said Kim.

    Continued 2024 momentum expected

    Kim of Daiwa Capital said they expect “growing opportunities related to AI demand in 2024” for Samsung.

    “In addition to supplying HBM3 to Nvidia starting from 4Q23 and expanding supply in 2024, we expect that Samsung Electronics will supply HBM3P, targeting next-gen AI GPUs from mid-2024,” said Kim in an Oct. 3 note.

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  • Korean Investment Partners is the latest Korean VC firm to launch a Southeast Asia fund | TechCrunch

    Korean Investment Partners is the latest Korean VC firm to launch a Southeast Asia fund | TechCrunch

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    More South Korean investors are putting money into Southeast Korea startups, creating an “investment corridor” between the two regions. The latest one is KIPSEA. Short for Korean Investment Partners Southeast Asia, KIPSEA has a Singapore-based team and just announced its first fund close of $60 million. Limited partners come from South Korea, Hong Kong and Singapore, and include Samsung Life Insurance, Korea Development Bank, Korea Growth Investment Corporation, Woomi Global, Mirana Ventures and Korea Investment & Securities.

    KIPSEA head Synclare Kim tells TechCrunch that KIP is bullish on Southeast Asia because of how fast the market is growing. The sector-agnostic fund will focus on seed to Series B startups, especially ones that plan to expand into South Korea.

    Kim says KIPSEA focuses on early-stage startups because it can add value, including consultancy, ongoing follow-up investments and connections to its wide investment network in Asia. Since its launch in 1986, KIP has invested in more than 900 companies and has $3 billion in assets under management, including South Korean companies Kakao, Naver and YG Entertainment, Vietnam’s e-commerce platform Tiki.vn and healthtech startup Halodoc from Indonesia.

    The new fund’s typical check size will range from $2 million to $3 million. About 60% of the fund will be allocated to first investments, while the rest will be for follow-up investments.

    Kim says KIPSEA will work closely with founders in its portfolio, like monitoring their management situation and, if there is a need, using its resources to support startups by providing them with strategic direction and connections with collaborators. “These kind of activities are essential to create value for our portfolio companies,” he says.

    KIP is a subsidiary of Korean Investment Holdings, a publicly-listed financial conglomerate whose holdings include securities, asset management, banking, credit finance, private equity and real estate. This is not the first time Korean Investment Holdings has launched a Southeast Asia-focused fund. In 2018, it established the GEC-KIP Technology and Innovation Fund, based in Singapore, with Golden Equator Ventures. Kim says that KIP wanted to find a partner for its first foray into Southeast Asia, but over time it became more confident, setting up an office in Singapore and finally deciding to launch its own fund.

    A small portion of KIPSEA’s fund will be reserved for South Korean companies that plan to expand into Southeast Asia. One of the reasons Southeast Asia is an attractive market for Korean companies is because of its large population. When all of its countries are counted together, Southeast Asia is the third most populous region in the world. Another reason is that the venture ecosystem there is rapidly developing, and many global investors have shown interest in the region, giving financial markets more liquidity. “I think it will make it easier to liquidate and exit our investments for this reason in the future,” Kim says.

    Kim notes that many Korean companies have also expanded into the region, and Korean venture capital into Southeast Asia is growing. “That means you have more chances to find a good company in the area,” he says. “If an investment company is looking for a candidate who has a relationship in the Korean market and Southeast Asian market as well, many Korean VC investment companies have much more exposure in that area and have allocated more resources to that area, too.”

    Some examples of other Korean investors pursuing Southeast Asia include the East Ventures and Seoul-based SV Investment’s announcement of a $100 million fund dedicated to Southeast Asian startups. Woori Venture Partners recently opened an office in Singapore and made several investments, while Shinhan Venture Investment has earmarked 50% of its $200 million flagship fund for the region.

    For Southeast Asian companies that want to expand into Korea, Kim says that is a realistic goal because the two markets have more similar culture than compared to the United States or Europe. Korea also has a wide diversity of industry sectors, giving Southeast Asian startups exposure to more expertise and experience that can help them expand and attract customers.

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    Catherine Shu

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  • South Korea’s Crypto Craze: 6 Million Investors and the Rise of Centralized Exchanges (Survey)

    South Korea’s Crypto Craze: 6 Million Investors and the Rise of Centralized Exchanges (Survey)

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    South Korea has emerged as a global hotspot for cryptocurrency investment in recent years, according to a recent survey, with six million crypto investors representing over 10% of the country’s total population.

    This phenomenon has reshaped the financial landscape and highlighted the dominance of centralized exchanges in the Korean crypto market.

    A Closer Look at Korean Exchanges

    According to a survey conducted by the Korea Financial Intelligence Unit (KoFIU), the number of crypto investors in the country is projected to reach approximately six million in the first half of 2024, representing over 10% of the country’s total population.

    The majority of these investors primarily engage in investment activities centered around centralized exchanges.

    South Korean cryptocurrency exchanges have demonstrated resilience despite a global decrease in trading volume since March. Market volatility has decreased, with Bitcoin maintaining a relatively stable range of $27K to $28K for six months.

    Following a peak of $45 billion in February, Korean exchanges experienced a dip to $23 billion in May but rebounded to $37 billion in July, surpassing Binance.

    These Korean exchanges have maintained trading volumes at around 10% compared to Binance and have even exceeded Coinbase’s numbers, underscoring their growing influence in the international market.

    The dominant player in the Korean crypto market is Upbit, which recorded its highest trading volume of $36 billion in February, accounting for approximately 80% of the Korean crypto exchange market.

    Bithumb, the second-largest exchange, maintains a strong position with a market share of 15% to 20%. The market share of Coinone and Korbit is relatively limited.

    Korean Investors Favor Altcoins, Loom Network Leads

    Korean investors have distinct preferences when it comes to cryptocurrencies. Loom Network (LOOM) recorded the highest trading volume among Korean investors, with a ratio of 62%, followed by eCash (XEC) at 55% and Flow (FLOW) at 43%.

    Stacks (STX) and Bitcoin SV (BSV) also made the list with ratios of 37% and 34%, respectively. This shows a preference for altcoins over mainstream coins among Korean investors.

    Although trading volumes for BTC and ETH on Upbit make up a small proportion of the total, Coinbase, a major U.S. cryptocurrency exchange, holds a significant share of volume in these cryptocurrencies.

    This suggests contrasting investment strategies across markets, with Upbit’s investors demonstrating a keen interest in altcoins with high-profit potential, while Coinbase’s institutional investors prioritize portfolio stability.

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    Wayne Jones

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  • Why teachers in South Korea are scared of their pupils — and their parents | CNN

    Why teachers in South Korea are scared of their pupils — and their parents | CNN

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    Editor’s Note: Editor’s note: If you or someone you know is struggling with suicidal thoughts or mental health matters, please call the 988 Suicide & Crisis Lifeline by dialing 988 to connect with a trained counselor, or visit the 988 Lifeline website.


    Seoul, South Korea
    CNN
     — 

    When fighting broke out in Kang Hyeon-joo’s elementary school classroom, her heart would beat so fast she could not breathe and her vision would blur.

    “They were throwing punches and kicking faces, throwing chairs and tables around,” she recalled, adding she had been hurt trying to intervene.

    For two years, Kang struggled to discipline her students – or cope with the parental backlash when she did. She claims her principal did nothing to help and would tell her simply to “just take a week off”.

    The strain took a dangerous toll. Kang says she started feeling the urge to jump in front of a bus. “If I just jumped at least, I would feel some relief. If I just jumped off a tall building, that would at least give me some peace.”

    Kang is currently on sick leave but is far from alone in her experiences.

    Tens of thousands of teachers have been protesting in recent months, calling for more protection from students and parents. At one protest in Seoul last month, 200,000 gathered, according to organizers, forcing the government to take notice and action.

    The unified stand by the country’s teaching staff comes after the suicide of a first-grade teacher, in her early 20s, in July. She was found dead in her classroom in Seoul. Police have mentioned a problematic student and parental pressure while discussing her case, but have not given a definitive reason for her suicide.

    Several more teachers have taken their own lives since July and some of these cases have reportedly been linked to school stress, according to colleagues of the deceased and bereaved families.

    Government data shows 100 public school teachers killed themselves from January 2018 to June 2023, 11 of them in the first six months of this year, but does not specify what factors contributed to their deaths.

    Sung Youl-kwan, a professor of education at Kyung Hee University, says the speed and size of the protests took many by surprise. “I think there has been like a shared feeling that this can happen to me too,” he said.

    Teachers point to a 2014 child abuse law, intended to protect children, as one of the main reasons they feel unable to discipline students. They say they are fearful of being sued by a small percentage of parents for causing emotional distress to their child and being dragged through the courts.

    “School is the last barrier to let students know what is okay in society and what is not. But we couldn’t do anything, if we teach them, we could be accused,” said Ahn Ji-hye, an elementary school teacher who helped organize previous protests.

    Ahn says parents have called her mobile phone some days from 6 a.m. until 11 p.m., wanting to talk about their child or complain.

    Mourners lay flowers in front of a memorial altar for an elementary school teacher who died in an apparent suicide in July at an elementary school in Seoul on September 4, 2023.

    South Korea’s education minister Lee Ju-ho initially warned teachers that a mass strike would be an illegal act. That position was swiftly reversed, and a set of legal revisions passed the National Assembly on September 21, a fast piece of legislation.

    One of the key changes is providing teachers some protection from being sued for child abuse if their discipline is considered a legitimate educational activity. Also, the responsibility for handling school complaints and lawsuits brought by parents now rests with the principal.

    “So far we have a culture where the school principal tended to pass those responsibilities to teachers,” said Professor Sung.

    The new law will also protect teachers’ personal information, such as their mobile phone numbers, and require parents to contact the school with concerns or complaints rather than the teacher directly.

    In the past, Ahn said, “If I could not give my personal phone number to them, sometimes some parents would come to the parking lot and watch and see and take a note of my phone number from my car, then they would text message me.” It is customary for Koreans to display their phone number in the bottom corner of their windscreen.

    Ahn welcomes the legal changes as “meaningful,” but insists higher-level laws like the Child Welfare Act and Child Abuse Punishment Act also need to be revised. “It is still possible to report teachers based on suspicion alone according to these laws,” she said.

    She says that, for now at least, the protests will continue.

    One is planned for outside the National Assembly on October 28. Ahn says she would like to see penalties for parents who make unfounded accusations against teachers or practical measures put in place so that mandated changes can be adopted in classrooms, such as removing a disruptive student elsewhere to allow teaching to continue.

    Professor Sung believes the revisions will help in the short term, but cautions that the law should be seen as a safety net not a solution.

    South Korean teachers rally in front of the National Assembly in Seoul on September 4.

    Critics say South Korean society places a disproportionate level of importance on academic success so it should not be surprising that parents put teachers – and the wider education system – under so much pressure.

    It is the norm for students to attend a cram school, called hagwon, after their regular school hours, not as an extra but as a basic and expensive requirement to succeed.

    On the day of the national college entrance exam, known as Suneung in Korean, airplanes are grounded, and commuting hours are adjusted to ensure that students taking the exams are not disturbed.

    “We have a culture in which parents have usually one child and they are ready to pour every financial resource and opportunity into this child,” Sung said.

    “This pressure or obsession with education, sometimes with a high score, high achievement (mindset), is not a good environment for teachers (because) they are taking the pressure from the parents.”

    Mourners pass funeral wreaths in front of an elementary school in Seoul on September 4, following the apparent suicide of a teacher in July.

    Sung says the days of a teacher being automatically respected are long gone, not just in South Korea but elsewhere in the world, and the teacher-parent dynamic is unrecognizable from just a decade or two ago.

    “In educational policies, parents are regarded as like a consumer, with consumer sovereignty, and school and teachers are regarded as service providers”, he said, adding parents believe they “have the right to demand many things from schools.”

    In a country where education is considered central to success, teacher satisfaction is low. A survey by the Federation of Teachers’ Labor Union in April found 26.5% of teachers polled said they had received counseling or treatment for psychological issues due to their job. Some 87% said they have considered moving job or quitting in the past year.

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  • Ripple (XRP) is the Most Traded Cryptocurrency on This Exchange

    Ripple (XRP) is the Most Traded Cryptocurrency on This Exchange

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    TL;DR

    • XRP-KRW is the top trading pair on Upbit, outperforming BTC-KRW and ETH-KRW.
    • XRP has been the top-ranked trading asset on Upbit for 70 days, surpassing BTC’s 64 days.
    • XRP recently reached $0.58; predictions suggest a potential surge to $6 by 2024 after crossing the $1.30 mark.

    XRP Ranking First

    The native token of Ripple – XRP – has recently dragged the investors’ attention towards itself due to the constant positive developments surrounding the lawsuit against the US Securities and Exchange Commission and the subsequent price increase of the asset. 

    A research conducted by the crypto market data provider Kaiko revealed that XRP-KRW is the most popular trading pair on the popular South Korean exchange Upbit. Year-to-date (YTD) transaction volume involving it has surpassed $30 billion, while BTC-KRW ranks second. 

    Interestingly, ETH-KRW is in the ninth position, outpaced by Dogecoin (DOGE), Solana (SOL), and other digital assets that Upbit users would instead trade.

    It is worth noting that the trading pair involving XRP has been at the top of the ranking for the most days – 70, followed by BTC-KRW at 64. 

    XRP’s Recent Ascend

    The coin’s valuation has lately been on a significant rise, surpassing $0.58 earlier this week to reach a two-month high. According to some experts and analysts, the current bullish condition of the market, a potential decisive win against the SEC, and other regulatory developments could drive XRP’s price even higher.

    The popular X (Twitter) user Dark Defender recently predicted it could explode by approximately 1,000% by the end of 2024. According to them, the forecast could become a reality if XRP manages to overcome several support and resistance levels, such as the $1.30 mark. From that moment on, it could reach $6 in a matter of a few months, Dark Defender opined.

    Those willing to check what are XRP’s chances for a price surge in the remaining months of 2023 could take a look at the video below:

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    Dimitar Dzhondzhorov

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  • South Korea and U.S. Forces Stage Drills for Potential ‘Hamas-Style’ Attack by North Korea

    South Korea and U.S. Forces Stage Drills for Potential ‘Hamas-Style’ Attack by North Korea

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    SEOUL, South Korea — South Korean and U.S. troops have been conducting live-fire exercises this week to hone their ability to respond to potential “Hamas-style surprise artillery attacks” by North Korea, South Korea’s military said Friday.

    The two forces regularly conduct live-fire and other training, but this week’s drills come after Hamas’ Oct. 7 assault on Israel raised security jitters in South Korea, which shares the world’s most heavily fortified border with rival North Korea.

    Read More: Seoul Hosts First Military Parade in a Decade as Tensions on Korean Peninsula Escalate

    Experts say the North’s forward-deployed long-range artillery guns can fire about 16,000 rounds per hour in the event of a conflict, posing a serious threat to Seoul, which is about 40-50 kilometers (25-30 miles) from the border.

    The three-day firing exercises, which began Wednesday, involved 5,400 South Korean and U.S. soldiers, 300 artillery systems, 1,000 vehicles and air force assets, according to South Korea’s military.

    In a simulated response to “the enemy’s (possible) Hamas-style surprise artillery attacks,” the exercises practiced strikes designed to “remove the origins of the enemy’s long-range artillery provocations at an early date,” South Korea’s Ground Operations Command said in a statement.

    North Korea didn’t immediately react to the drills. It typically views major U.S.-South Korean military training as invasion rehearsals and responds with missile tests.

    Read More: North Korea Keeps Launching Missile Tests. How Worried Should We Be?

    South Korea and the United States have been expanding their regular military drills in the face of North Korea’s advancing nuclear program. Since last year, North Korea has carried out more than 100 missile tests, some of them simulated nuclear attacks on South Korea and the U.S.

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  • 82-year-old Korean man has heart attack after choking on ‘live octopus’ dish | CNN

    82-year-old Korean man has heart attack after choking on ‘live octopus’ dish | CNN

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    Seoul, South Korea
    CNN
     — 

    An 82-year-old man in South Korea had a heart attack after choking on a piece of “live octopus,” or san-nakji, a local delicacy comprised of freshly severed – and still wriggling – tentacles.

    Fire station authorities in Gwangju, a city near the country’s southern tip, received a report on Monday morning that a piece of san-nakji had become stuck in a man’s throat, according to a fire station official.

    When first responders arrived on site, the man had a cardiac arrest, and they conducted CPR, the official said.

    The official did not say whether the man survived.

    San-nakji refers to a small octopus that is sliced and served raw, often eaten in South Korea’s coastal areas or seafood markets.

    Though the dish’s name translates to “live octopus,” this is slightly misleading – the octopus is killed before serving, with its tentacles cut into portions.

    However, it is served immediately after slicing, and is so fresh that the tentacles’ nerves are still active – causing the octopus to appear “live” as it continues moving on the plate.

    San-nakji is often served with sesame oil, sesame seeds, and sometimes ginger, and has a chewy texture.

    It made an appearance on a 2015 episode of Anthony Bourdain’s CNN series “Parts Unknown,” when the famed chef and television host traveled to South Korea to sample everything from soju to Korean fried chicken – and san-nakji, with Bourdain using his chopsticks to peel a sticky tentacle off the plate.

    The dish has also previously made headlines, with local media reporting multiple cases over the years of diners dying after choking or asphyxiating on “live octopus.”

    In perhaps the best-known case, dubbed the “octopus murder,” a South Korean man was sentenced to life imprisonment in 2012 for allegedly killing his girlfriend and claiming it was a san-nakji accident – before he was acquitted by the Supreme Court in 2013 for insufficient evidence.

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  • MINA Token Surges 120% in a Day, Here’s The Possible Reason

    MINA Token Surges 120% in a Day, Here’s The Possible Reason

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    Mina Protocol’s native token – MINA – is leading the altcoin rally amid a new-found resurgence that propelled a surge of nearly 120% over the past day. The crypto asset climbed to $0.91 on October 24th.

    The latest price action pushed MINA to levels last seen in March this year, but the token has lost some steam and currently sits below its local peak.

    MinaUSD. Source: TradingView
    • The reason for the abrupt surge can be attributed to South Korea’s largest exchange, UpBit, announcing that it will list MINA’s Korean fiat currency trading pair.
    • As per the announcement, deposits made to UpBit must be made on the MINA network, and deposits from other blockchains, such as the Binance Smart Chain, cannot be supported.
    • The crypto exchange also said that it plans to enforce various limitations on trading for MINA.
    • Mina was initially known as Coda Protocol. It underwent a rebranding in August 2019 due to a legal dispute initiated by R3, an enterprise blockchain company that also utilized the name Coda for its protocol.
    • In terms of funding, the company secured $3.5 million in May 2018 and an additional $15 million in April 2019.
    • Prominent backers include Circle, Coinbase Ventures, FTX Ventures, the now-defunct hedge fund Three Arrows Capital (3AC), and Dragonfly Capital.
    • The Mina blockchain is currently under the governance of the Mina Foundation, a nonprofit organization responsible for overseeing the network, drawing parallels to the Ethereum Foundation.
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    Chayanika Deka

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  • Saudi crown prince Mohammed bin Salman’s 2030 growth plan bears fruit as Hyundai inks deal to join Lucid as next carmaker in the Gulf

    Saudi crown prince Mohammed bin Salman’s 2030 growth plan bears fruit as Hyundai inks deal to join Lucid as next carmaker in the Gulf

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    In his race to diversify Saudi Arabia’s oil-dependent economy away from black gold, Crown Prince Mohammed bin Salman just won a major victory. 

    Starting as early as 2026, Hyundai expects to begin local production of up to 50,000 combustion engine and electric vehicle cars annually with the help of an investment estimated to exceed half a billion dollars. 

    The new commercial joint venture will be 70% majority owned by the Public Investment Fund (PIF), the Saudi sovereign wealth fund, while the South Korean automaker will control the remaining minority stake.

    “We are excited about the potential of this venture to drive significant advancements in vehicle production, fostering a sustainable and eco-friendly automotive future in the region,” Hyundai CEO Jaehoon Chang said in a statement.

    Hyundai did not elaborate as to whether it would invest its own money into the project or whether its 30% stake reflects a non-cash contribution in kind, for example through the planned transfer of knowledge and expertise. No location was named, but the country’s economic hub Jeddah would be a leading candidate. 

    Fast-growing economy

    Saudi Arabia was the fastest growing G20 nation in the world last year, thanks in no small part to the gains its flagship state-owned oil producer Aramco got from soaring energy prices sparked by Russian president Vladimir Putin’s invasion of Ukraine,.

    Adopting a similar strategy to China, bin Salman wants to introduce economic reforms without political ones that may pose a risk to the House of Saud’s continued reign. To realize his Vision 2030 strategy to modernize the Saudi economy, he will need to convince companies to look past its human rights abuses and other controversies such as the 2018 murder of Saudi dissident Jamal Khashoggi by government agents.

    Attracting car manufacturers and their supplier parks would be a major victory. The industry traditionally plays a key role among developing countries in driving prosperity, since it sits atop the economic pyramid. That’s because it sources parts from virtually every sector beneath it, including steel and aluminum for the body, chemicals for paint and plastics and, increasingly, high-tech electronics. 

    Only last month luxury EV manufacturer Lucid opened the monarchy’s first ever automotive facility in King Abdullah Economic City, near Jeddah, with a capacity to build 5,000 cars annually using what are called semi knocked-down (SKD) kits. 

    This kind of low value-added work, in which only final assembly is performed, is a common risk-mitigation strategy in the industry when expanding into new markets. Yet Lucid, which counts PIF as its anchor shareholder, aims to add full-scale manufacturing of roughly 150,000 cars by the middle of the decade. 

    In two years, Lucid could be joined by Ceer Motors, the first Saudi EV brand that is a joint venture between PIF and Taiwan’s Apple iPhone contract manufacturer Foxconn. A new National Automotive and Mobility Investment Company called Tasaru, launched earlier this month, aims to furthermore situate suppliers in the country.

    Peak demand expected for 2026

    But it will take more to develop Jeddah into the kind of competitive automotive cluster found in parts of Germany, Japan and the United States. It would be almost impossible to accomplish this through two small challenger brands facing uncertain outlooks and operating plants that likely would not have gotten off the ground without hefty government support.

    The Saudis need to reach a critical threshold in scale for the effort to be self-sustaining, and winning a trusted partner like an industry incumbent definitely helps.  

    “Partnering with Hyundai is another significant milestone for PIF […], aligning closely with our existing stakes in Lucid and Ceer Motors, and amplifying the breadth of Saudi Arabia’s automotive and mobility value chain,” said Yazeed Al-Humied, deputy governor at PIF and head of its Middle East and North Africa investments. 

    Hyundai’s follow-up investment could be the proof point other companies need before they too are willing to invest in the local economy. 

    One reason is that skilled labor, a key criteria for auto execs when selecting sites, is hard to find in Saudi Arabia, since Riyadh has traditionally relied on importing both white collar employees and menial labor from abroad. Roughly two-thirds of all Saudi nationals collect government paychecks, which ensures a level of dependency on the continued rule of the royal dynasty. 

    The House of Saud faces a broader shift away from fossil fuels that threatens its strategic value to key allies like the United States. 

    In a June report, the International Energy Agency predicted the world’s collective appetite for oil is “set to slow almost to a halt” in the coming years amid projections that the increase in annual demand will “shrivel” from 2.4 million barrels per day to just 400,000 in 2028. 

    The chief culprit for this is transport fuels. The next three years of growth are expected to mark the last before a rising tide of electric vehicles usher in an era of steady decline for crude distillates like gasoline. This may be behind the recent wave of consolidation in the oil industry.

    “The shift to a clean energy economy is picking up pace, with a peak in global oil demand in sight before the end of this decade,” said IEA executive director Fatih Birol. “Oil producers need to pay careful attention to the gathering pace of change and calibrate their investment decisions to ensure an orderly transition.” 

    While this technocratic recommendation is phrased innocuously, Birol is warning petrodollar states lacking democratic legitimacy that they could face widescale disruption to their economies should they not diversify. This poses a risk to the stability repressive regimes prize.

    Developing a small but thriving auto industry could go a long way in insulating the monarchy from domestic unrest.

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    Christiaan Hetzner

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  • Another suspected marijuana sales flyer found at university; police launch probe – Medical Marijuana Program Connection

    Another suspected marijuana sales flyer found at university; police launch probe – Medical Marijuana Program Connection

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    This image of a flyer promoting “liquid weed” is captured from an online community of Hongik University. Yonhap

    Another flyer advertising suspected marijuana sales was found at Konkuk University in Seoul on Monday, prompting the police to search for the distributor.

    According to officials at the university, a business card-sized flyer promoting “liquid weed” was found tucked into the window of a car parked in the basement parking lot at the schools’ Arts & Design Building earlier in the day.

    “Do you need inspiration? We prepared a innovative product for you ‘liquid weed,’” the card reads, claiming the substance is “totally legal.”

    “Contact me while it’s still legal!” it says, bearing a QR code on its backside.

    Konkuk University issued an emergency notification warning students not to access the QR code if they find the flyer, while the Gwangjin Police Station in the district launched an investigation to track down the distributor through CCTVs.

    The incident came after the same flyer was found recently at the art school’s building at Hongik University in Seoul, prompting the school to urge its students to be cautious and notify the police.

    Under the drug control act, exporting, importing, producing, selling or advertising marijuana is illegal unless specifically authorized by the chief of the Ministry of Food and Drug Safety. (Yonhap)

    Original Author Link click here to read complete story..

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    MMP News Author

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  • Ukraine says Israel-Hamas war shows West must ramp up arms production

    Ukraine says Israel-Hamas war shows West must ramp up arms production

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    BERLIN — Facing war on two fronts — in Ukraine and in the Middle East — Kyiv is calling on Western democracies to ramp up investment in weapons, saying that arms factory output worldwide is falling miles short of what is needed.

    In an interview, Ukraine’s Minister for Strategic Industries Oleksandr Kamyshin told POLITICO Western countries needed to accelerate production of missiles, shells and military drones as close to frontlines as possible.

    “The free world should be producing enough to protect itself,” Kamyshin said, on a mission to the German capital to persuade arms producers to invest in war-ravaged Ukraine. “That’s why we have to produce more and better weapons to stay safe.”

    Current factory capacity was woeful, he argued. “If you get together all the worldwide capacities for weapons production, for ammunition production, that will be not enough for this war,” said Kamyshin of the state of play along Ukraine’s more than 1,000 kilometers of active frontline.

    As the Israel Defense Forces continue to pummel Gaza and fighting gathers pace along the contact line in Ukraine, armies are burning through ammunition at a rate not seen in decades. Policymakers are asking whether Western allies can support both countries with air defense systems and artillery at once.

    The answer, says Kamyshin, is to start building out production facilities now. “What happens in Israel now shows and proves that the defense industry globally is a destination for investments for decades,” he said.

    Since Russia’s war on Ukraine started in February 2022, western governments have been funneling arms to Kyiv. That includes hundreds of thousands of artillery rounds, armored vehicles and other equipment.

    But as the grind of war continues, Kyiv has changed tack — appointing Kamyshin, the former boss of Ukraine’s state railway — to the post of minister for strategic industries. Ukraine, formerly a major military hub in the Soviet Union, is now trying to increase output of armored vehicles, ammunition and air defense systems, he said, and wants Western partners to invest.

    A key step is expected on Tuesday, when German Chancellor Olaf Scholz and Ukrainian Prime Minister Denys Shmyhal will announce a new joint venture between Rheinmetall and Ukroboronprom, a Ukrainian defense company, Kamyshin said.

    In late September, Germany’s Federal Cartel Office gave the green light to the cooperation agreement after a review that found the proposed venture “does not result in any overlaps in terms of competition in Germany.”

    Building local

    Last March, EU countries pledged to send a million artillery rounds to Ukraine over the following year as part of a program to lift production. Ukraine may need as much as 1.5 million shells annually to sustain its war effort, a daunting task that Kamyshin hopes he can help, at least partially, with domestic output.

    In total, Ukraine has received over 350 self-propelled and towed artillery systems from NATO countries and Australia. Combined with Soviet-era pieces in Ukrainian stocks prior to the Russian invasion, Kyiv has approximately 1,600 pieces of artillery in service — but must cover a massive front.

    Ukraine has received over 350 self-propelled and towed artillery systems from NATO countries and Australia | Anatolii Stepanov/AFP via Getty Images

    And although the deepening of the German-Ukrainian defense relationship is a boon for Kyiv’s war effort, the enemy on the battlefield — Russia — can also leverage its own international relationships for war materiel, and has been quick to agree military hardware deals with the likes of Iran and North Korea.

    Earlier this month, reports pointed out Pyongyang likely transferred a sizable shipment of artillery ammunition to Russia. The details of the deal are secret, but the shipment came on the heels of a visit to Pyongyang by Russian Foreign Minister Sergey Lavrov. North Korean leader Kim Jong Un in turn made a trip to Russia by rail and met with Russian President Vladimir Putin.

    Russia previously struck a deal with Tehran for Iranian loitering munitions that hammered cities across Ukraine last winter in an intentional targeting of civilian infrastructure.

    The increasingly international scope of sourcing for the war in Ukraine is not limited to non-NATO countries. Poland recently started taking delivery of tanks, howitzers, rocket launchers and light attack aircraft from South Korea, a nod to how quickly Seoul can ramp up production affordably.

    For Kamyshin, the key was to make plans for the long term.

    “This war can be for decades,” he said. “[The] Russians can come back always.”

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    Joshua Posaner and Caleb Larson

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  • Travis King, the U.S. soldier who crossed South Korea’s border into North Korea, is back in U.S.

    Travis King, the U.S. soldier who crossed South Korea’s border into North Korea, is back in U.S.

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    Travis King, the young American soldier who crossed the border on foot from South Korea into North Korea in July, was back in the U.S. early Thursday. A defense official confirmed to CBS News that a plane carrying King landed in San Antonio at about 1:30 a.m. EDT. King was seen on video being led away form the plane.

    North Korea announced Wednesday that it would expel King, with the totalitarian state’s tightly controlled media saying he had confessed to entering the country illegally.

    On Wednesday, King was first sent across North Korea’s border into China, where he was transferred to U.S. custody. U.S. officials said there were no concessions made by Washington to secure King’s release.  

    King was met by Nicholas Burns, the American ambassador to China, in the city of Dandong, which borders North Korea, State Department spokesman Matthew Miller said at a briefing later on Wednesday. His plane stopped in Shenyang, China, before continuing on to the U.S., where American officials said he would land at a military base.

    King appeared to be in “good health and good spirits as he makes his way home,” a U.S. official said, adding that he was also “very happy” to be coming back.

    Miller said that while he didn’t have specific information about King’s treatment in North Korean custody, it was likely that King was interrogated. “That would be consistent with past DPRK practice with respect to detainees,” he said.

    Travis King
    This family photo shows a portrait of American soldier Travis King displayed at the home of his grandfather Carl Gates, July 19, in Kenosha, Wisconsin. 

    Family Photo/AP


    In a statement Wednesday, U.S. national security adviser Jake Sullivan thanked the Swedish government and China for their roles in arranging King’s release.

    Jonathan Franks, a representative for King’s family, shared a message from the soldier’s mother, Claudine Gates, on social media Wednesday, saying she would be “forever grateful to the United States Army and all its interagency partners for a job well done,” and requesting privacy for the family.

    King, a private 2nd class in the U.S. Army, entered North Korea while taking part in a guided tour of the border village of Panmunjom, which he joined after absconding from an airport in Seoul, South Korea, where he was supposed to have boarded a flight back to the U.S.

    North Korea previously claimed that King had told investigators he crossed the border because he “harbored ill feeling against inhuman maltreatment and racial discrimination within the U.S. Army.”

    The U.S. military said at the time that it could not verify those allegations.

    The soldier had been scheduled to return to the U.S. after serving time at a South Korea detention facility for assaulting two people and kicking a police car while in the country. After parting ways from his U.S. military escort at the airport, King skipped his flight and joined the civilian tour of the border town, where he ran across into North Korea.


    North Korea confirms American Travis King is there, says he’s escaping racism in U.S. Army

    04:18

    In an interview last month with The Associated Press, King’s mother, Claudine Gates, said her son had “so many reasons” to want to come home.

    “I just can’t see him ever wanting to just stay in Korea when he has family in America. He has so many reasons to come home,” she said.

    King has served in the U.S. Army since January 2021. He has not been deployed for active duty but was in South Korea as part of the Pentagon’s regular Korean Force Rotation.

    King is likely to have proven “unsuitable for propaganda purposes” to North Korea, Professor Yang Moo-jin of the University of North Korean Studies in Seoul told CBS News, because the soldier entered North Korea as a fugitive, making it “difficult” for the country’s authorities to deal with him.

    Yang also told CBS News the decision to deport the soldier was likely made in part due to a “lukewarm” response to the incident by Washington.

    CBS News’ Cami McCormick in Washington, D.C., and Jen Kwon in Seoul contributed to this report.

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  • Travis King, the U.S. soldier who crossed South Korea’s border into North Korea, is back in U.S. custody

    Travis King, the U.S. soldier who crossed South Korea’s border into North Korea, is back in U.S. custody

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    Travis King, the young American soldier who crossed the border on foot from South Korea into North Korea in July, was back in U.S. custody Wednesday, a U.S. official confirmed. North Korea announced earlier Wednesday that it would expel King and said he had confessed to illegally entering the country.

    “We appreciate the hard work of personnel in the Army, United States Forces Korea, and across the Department of Defense to bring Private King home, and we thank the governments of Sweden and the People’s Republic of China (PRC) for their assistance,” Pentagon spokesperson Brigadier Gen. Patrick Ryder said in a statement. 

    Travis King
    This family photo shows a portrait of American soldier Travis King displayed at the home of his grandfather Carl Gates, July 19, in Kenosha, Wisconsin. 

    Family Photo/AP


    Jonathan Franks, a representative for King’s family, shared a message from the soldier’s mother, Claudine Gates, on social media Wednesday, saying she would be “forever grateful to the United States Army and all its interagency partners for a job well done,” and requesting privacy for the family.

    North Korea’s KCNA released a statement earlier in the day saying: “The relevant agency of the Democratic People’s Republic of Korea [North Korea] decided to expel Travis King, an American soldier who illegally intruded into the territory of the DPRK, in accordance with the laws of the Republic.”

    King, a Private 2nd Class in the U.S. Army, entered North Korea while taking part in a guided tour of the border village of Panmunjom, which he joined after absconding from an airport in Seoul, South Korea, where he was supposed to have boarded a flight back to the U.S.

    North Korea previously claimed that King had told investigators he crossed the border because he, “harbored ill feeling against inhuman maltreatment and racial discrimination within the U.S. Army.”

    The U.S. military said at the time that it could not verify those allegations.

    The soldier had been scheduled to return to the U.S. after serving time at a South Korea detention facility for assaulting two people and kicking a police car while in the country. After parting ways from his U.S. military escort at the airport, King skipped his flight and joined the civilian tour of the border town, where he ran across into North Korea.


    North Korea confirms American Travis King is there, says he’s escaping racism in U.S. Army

    04:18

    In an interview last month with The Associated Press, King’s mother, Claudine Gates, said her son had “so many reasons” to want to come home.

    “I just can’t see him ever wanting to just stay in Korea when he has family in America. He has so many reasons to come home,” she said.

    King has served in the U.S. Army since January 2021. He has not been deployed for active duty but was in South Korea as part of the Pentagon’s regular Korean Force Rotation.

    King is likely to have proven “unsuitable for propaganda purposes” to North Korea, Professor Yang Moo-jin of the University of North Korean studies in Seoul told CBS News, because the soldier entered North Korea as a fugitive, making it “difficult” for the country’s authorities to deal with him.

    Yang also told CBS News the decision to deport the soldier was likely made in part due to a “lukewarm” response to the incident by Washington.

    CBS News’ Cami McCormick in Washington D.C. and Jen Kwon in Seoul contributed to this report.

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