Jeju Island Unveils Plans to Use NFTs to Improve Regional Tourism

After enduring mixed fortunes with digital collectibles, South Korea's Jeju Island has unveiled plans to use non-fungible tokens (NFTs) to improve regional tourism.

South Korea’s Jeju Island is set to roll out an NFT-based tourist card that will offer visitors to the self-governing province a range of benefits, including discounts and subsidies on goods and services.

A digital replica of the physical card will be created on a distributed ledger as a non-fungible token (NFT). The cards, dubbed Tao, will also grant tourists access to exclusive events, such as museums, concerts, and other high-profile functions during their stay in the region.

Jeju Island has seen its foreign visitors’ metric reach a plateau in recent years, and the NFT-based tourist cards are designed to attract a new wave of tourists to the region. The cards will reportedly appeal to young and tech-savvy tourists, but their simplicity may also make them appealing to millennials and families, increasing the rate of return visits.

Authorities are preparing for a pilot program to test the cards in real-world environments ahead of a full-scale rollout, which is expected in the first half of 2025. If successful, Jeju Island will extend the cards to local residents, although their utility outside of tourism is yet to be disclosed.

The report did not specify the blockchain that will host the digital collectibles, leaving a large portion of the operation to speculation.

However, authorities did confirm that the cards will be linked to the local Tamna Jeon stablecoin, which was launched in 2019. As the region continues its steady trudge toward digitization, the discounts and subsidies available to tourists will likely be provided via the Tamna Jeon stablecoin.

NFTs in South Korea have endured a turbulent patch in recent times, with a high court striking down legal protections for investments in digital collectibles. In a high-profile ruling, the court noted that NFTs are speculative in nature and cannot be supported under local property laws.

On the gaming side, there appears to be a clamp down on play-to-earn (P2E) games featuring NFTs, forcing the hands of game publishers to abandon NFT-based titles.

“Because of government regulations, we cannot engage in NFT business or sponsorship,” said a government official from the Korean Sport and Olympic Committee.

PUBG creator rules out NFTs in metaverse project

In other news, the founder of the survival shooter game PlayerUnknown’s Battlegrounds (PUBG), Brendan Greene, has announced that NFTs will not make an appearance in his incoming metaverse project.

In a recent interview, Greene disclosed plans for an ambitious metaverse project intended to change the landscape of gaming. However, Greene clarified that digital collectibles would not be a part of the project but failed to elaborate on the decision.

When pressed on the possibilities for integrating digital collectibles into the project in the future, the creator doused the optimism of enthusiasts by saying that the team is “not even thinking about NFTs.”

While the prospects of NFTs in the project are nonexistent, Greene did note that elements of blockchain technology may make a cameo in the future. Greene concedes that blockchain is an “interesting financial instrument,” but an iteration of the technology may make it useful for gaming.

“Ultimately, it’s a digital ledger, and if we can use a digital ledger, we’ll find the best one and use it,” said Greene. “But that’s really it.”

Greene is building a three-part metaverse project that will embody the ethos of the concept. The first metaverse game, Prologue, set to be launched in 2025, is a realistic multiplayer battle game, while the second will focus on scaling and feature several worlds and millions of characters.

The third, dubbed Artemis, is expected to integrate both metaverse projects, allowing players to create worlds and interact with other gamers. Greene disclosed that the gameplay will focus on “user-generated content” and be structured like immersive and creative games such as Star Trek Holodeck and Minecraft.

“You should be able to create your own worlds and just have them all operating on the same protocol, like HTTP,” added Greene. “So a world is a page, and that’s what I’m trying to do with Artemis.”

The problem with NFT in gaming

There appears to be a schism among game developers over using NFTs in games, with one side of the divide pushing for new ownership rights for players.

Critics argue that digital collectibles will lead to the monetization of video games, stoking a “pay-to-win” ecosystem that may run counter to the developers’ intentions. As players focus on profit rather than fun, user interfaces and experiences may receive less attention, with developers pivoting to in-game economies.

In 2022, Mojang Studios shuttered plans for integrating NFT in Minecraft, and game distribution firm Steam banned games with digital collectible features from the platform.

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