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Dunamu Collaborates with Credit Institutions to Aid Young Debtors

Web3 & Enterprise·April 24, 2023, 2:24 AM

Dunamu, the operator of Korea’s leading cryptocurrency exchange Upbit, has announced its collaboration with the Credit Counseling and Recovery Service (CCRS) and the Social Solidarity Bank (SSB) to aid young debtors.

people at the meeting
©Pexelfauxels

 

LUNC transaction fee revenue

On Thursday, Dunamu signed a memorandum of understanding with CCRS and SSB to propel the Dunamu Next Dream project. This initiative aims to return Luna Classic (LUNC) transaction fee revenue to the community.

In September last year, Dunamu expressed its plan to allocate the LUNC transaction fee profits of 239.13025970 BTC for investor protection. The exchange operator, following the recommendations of an external advisory committee, decided to donate approximately 3 billion KRW (~$2.3 million) of these assets to public organizations and use the remaining funds for financial and credit support.

 

Young debtors

The project targets young individuals facing financial difficulties and debt repayment challenges in the wake of the extended COVID-19 pandemic and escalating interest rates. This reflects the pressing need for effective relief systems and preemptive measures in response to the recent increase in youth debt.

A joint survey conducted jointly by Statistics Korea, the Bank of Korea, and the Financial Supervisory Service last year revealed that household debt for those aged 29 or under increased by 41.2% as of the end of March 2022 compared to the same period in 2021.

This effort aims to address the economic instability among youths, which could potentially lead to a financial crisis. Through this agreement, the involved parties will offer various measures, such as emergency loans, financial consultations, and follow-up support, to alleviate the financial strain on young debtors and assist them to cultivate improved financial habits.

Starting this year, the Dunamu Next Dream project will span three years and will gradually broaden its scope and beneficiaries.

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