• The Journal of Society for e-Business Studies
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• v.25 no.2
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• pp.109-126
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• 2020

This study attempts to find out the characteristics of digital currency and currency transformation through the analytical descriptions of the literature. In the early days of the emergence of new currency, market-oriented autonomous monetary adjustment was made along with various attempts by the private sector, and then government-centered central currency management and coordination were made for the national monopoly of profits and power. Digital currency can be seen as the emergence of a new form of money that will bring about paradigm changes. CBDC can be divided into direct and indirect types. CBDC is expected to require a strategic approach by the government or firm as it will bring about changes in the ecosystem of related industries. Libra is a stablecoin designed to minimize price fluctuations, and if it succeeds in commercializing it, it is expected to bring about revolutionary changes in the financial industry around the world.

• Journal of Korea Society of Digital Industry and Information Management
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• v.13 no.3
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• pp.1-9
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• 2017

Recently, Bitcoin which is digital currency and cryptocurrency is getting worldwide attention since Bitcoin has an ability to replace legal tender unlike other existing cyber currency. Especially, most Bitcoin trading is done between two traders such as P2P method and it does not require a third-party to make sure reliability and it records every transaction details, so it is more transparent then traditional financial trade, so the number of users is increasing. However, Bitcoin, which has been recognized for transparency, confidentiality and stability among traders has recently been threatened by illegal transactions such as money laundering and the attack on the exchange. These threats to Bitcoin are becoming social problems. At first, it seems that most of the digital currency is difficult to get hacked due to the Blockchain technology. However, threats such as digital money leaks by user account hacking and paralyzing the servers are increasing. In this paper, it will examine the features of the Bitcoin and the threatening elements to secure marketability of digital currency such as Bitcoin and receive more interest from public in domestic. The paper will examine the problems of Blockchain technology on speculative transactions and fraudulent behavior by analyzing the problems of Bitcoin transaction. Lastly, it will propose ways to make transparent and secure digital currency transactions.

• Journal of Digital Convergence
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• v.19 no.12
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• pp.303-309
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• 2021

This study examines the effects of CBDC(Central Bank Digital Currency) on the Korean economy in the digital currency era and discusses the response strategies for CBDC. With the review of the definition and the development status of digital currency, we explore the characteristics and current status of CBDC in Korea as well as the possibility for internationalization of CBDC. The result shows that CBDC can reduce credit risk, improve transaction transparency compared to cash, and increases monetary policy capacity. Meanwhile, the credit and intermediary function of financial institutions may be weakened, and side effects such as financial alienation may occur. Nevertheless, as the issuance of CBDC is an important opportunity to enhance the possibility of internationalization of Korean Won, preemptive measures are required to keep pace with the competition and cooperation with each country toward the digital key currency. We need to accelerate the digital financial environment through Korea's comparative advantage, and develop a strategy to achieve the internationalization of the financial industry and the Korean Won through CBDC issuance. From the early stage of CBDC designing, it is necessary to achieve international agreements through cooperation with other central banks and to develop policies suitable for the transition to digital currency.

• Journal of Information Technology Applications and Management
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• v.29 no.2
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• pp.17-25
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• 2022

Although the two types of currencies compete, the possibility of a virtual currency price bubble is diagnosed by assuming an economic model with currencies (won, virtual currency) that are intrinsically worthless. The won is supplied by the central bank to achieve the price stability target, while the supply of virtual currency increases by a fixed number. According to the basic price theory equation, as a simple proposition, cryptocurrency prices form a Martin Gale process [Schilling and Uhlig, 2019, p.20]. Based on the existing theoretical proposition, we applied the variance ratio verification method [Linton and Smetanina, 2016] and a simple technical chart method for empirical analysis. For the purpose of this study, the possibility of a bubble was empirically analyzed by analyzing the price volatility formed in the Korean virtual currency market over the past year, and brief policy implications for this were presented.

• Journal of Korea Society of Digital Industry and Information Management
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• v.15 no.1
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• pp.77-86
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• 2019

Comparative analysis to secure safety of Blockchain Many investors have invested in virtual currency such as bit coins as a new investment due to increased popularity of virtual currency around the world. Also, virtual currency such as bit coin has a security technology and it has been relatively proved. popularity of virtual currency is rising as a new investment alternative because of this reason. This paper focused on the block chain's transparency and security of distributed ledger technology, which is relatively safe without third party's intervention. Many governments and companies around the world are developing and working on block chain technological development to introduce due to these reasons However, there are some suggestion that block chain has minor risks to its security. In this paper, it will examine security vulnerabilities from importance of security of Blockchain which relates to transactions of Bitcoin which stored by governments and companies around the world. This paper will propose measure which will improve safety and efficiency of Blockchain technology such as the existing Blockchain method, Blockchain proposal, traceability and awareness about hacking.

• KSII Transactions on Internet and Information Systems (TIIS)
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• v.16 no.3
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• pp.861-876
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• 2022

Cryptoassets such as Bitcoin and Ethereum are widely traded around the world. Cryptocurrencies are also transferred between investors. Cryptocurrency has become a new and attractive means of remittance. Thus, blockchain-based smart contracts also attract attention when central banks design digital currencies. However, it has been discovered that a significant amount of cryptoassets on blockchain are lost or stranded for a variety of reasons, including the loss of the private key or the owner's death. To address this issue, we propose a method for recoverable transactions that would replace the traditional transaction by allowing cryptoassets to be sent to a backup account address after a deadline has passed. We provide the computational workload required for our method by analyzing the prototype. The method proposed in this paper can be considered as a good model for digital currency design, including central bank digital currency (CBDC).

• Journal of Digital Convergence
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• v.11 no.8
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• pp.191-197
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• 2013

In this paper, we implemented a paper currency recognition system using IR(infrared) sensor. The system has 32 channel IR sensor to measure the reflection and penetration quantity of light. The IR image of paper currency of 10-bit gray scale is used to differentiate the real and counterfeit paper currency with image information from 0 to 4095. The characteristics of IR image are recognized by brightness and darkness and the positions of bright and dark portions are different between real and counterfeit paper currency. The price of IR sensors were relatively high, however, it is good price in these days due to mass production to apply to counterfeit detection area. We used a software table having the IR characteristics of real paper currency to compare with the IR images of the input paper currency. The performance of the implemented system shows 1-2% error rates for Euro real paper currency and 0% error rates for various counterfeit paper currencies of several countries.

• Journal of Digital Convergence
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• v.18 no.7
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• pp.93-99
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• 2020

Text mining is one of the big data analysis methods that extracts meaningful information from atypical large-scale text data. In this study, text mining was used to monitor citizens' opinions on the policies and systems being implemented. We collected 5,108 newspaper articles and 748 online cafe posts related to 'Gyeonggi Lacal Currency' and performed frequency analysis, TF-IDF analysis, association analysis, and word tree visualization analysis. As a result, many articles related to the purpose of introducing local currency, the benefits provided, and the method of use. However, the contents related to the actual use of local currency were written in the online cafe posts. In order to revitalize local currency, the news was involved in the promotion of local currency as an informant. Online cafe posts consisted of the opinions of citizens who are local currency users. SNS and text mining are expected to effectively activate various policies as well as local currency.

• Analyses & Alternatives
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• v.7 no.2
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• pp.147-178
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• 2023

While most of countries today are opposing the issuance of private-led cryptocurrency, nevertheless they are actively jumping into the issuance of government-led digital currency such as CBDC. This article aims to find an answer to this dual attitude of countries. To achieve the purpose, this article finds out the characteristics of political power and economic interest that digital currency has and applies it to the international dimension of the Bretton Woods II System. Then come up to the conclusion that the answer can be found in the fact that the current dual attitude of countries is closely related to the crisis of the international monetary order. The Bretton Woods II System, which led the world economy through reckless monetary expansion based on credit currency, exposed its limitations through the 2008 global financial crisis and put countries into difficulties. In this situation, the cryptocurrency, which appeared by raising the issue of the monopoly power of the central authority in issuing currency, had no choice but to act as an opportunity to drive countries further and further into a corner. This article views CBDC as a national response to address these issues. In other words, countries maintain their monetary power by absorbing the challenge of private digital currency at the government level through CBDC, and use this as a stepping stone to reorganize the international monetary order in crisis with the intention to use it as a means to their advantage. That is what this article is trying to argue.

• The Journal of the Korea Contents Association
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• v.21 no.9
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• pp.360-371
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• 2021

The advent of virtual currencies has heightened interest in the Central Bank Digital Currency (CBDC) issued by the central bank. Recently, central banks in some countries have already decided to issue CBDCs or are in the test phase. This study will be an opportunity to compare public and private perceptions of central banks and explore various issues related to the introduction of CBDCs in the future through analysis methods of big data.