Former Minister Advocates for Bold AI and Blockchain Strategy to Boost Korea's Competitiveness

The global race for dominance in artificial intelligence (AI) and blockchain technology has become fiercely competitive, as these industries emerge as pivotal pillars of national innovation and economic strength. Former Minister of SMEs and Startups, Park Young-sun, has issued an urgent call for South Korea to adopt a bold and comprehensive strategy, warning that hesitation or half-measures could result in the nation falling behind global leaders.

Delivering a keynote at the "Block Festa 2025" in Seoul on October 26, Park emphasized the transformative potential of the AI-driven digital era and championed blockchain technology as a critical enabler of the future global economy. Pointing to blockchain-enabled digital assets as a cornerstone of future economic frameworks, she stressed that South Korea’s ability to adapt and lead in these sectors would determine its competitiveness in the 21st century.

The AI Era: Transforming Society at Unprecedented Speeds

Park highlighted the rapid pace of technological disruption, drawing an analogy to the transition from horse-drawn carriages to automobiles on Manhattan's Fifth Avenue, which took a mere 13 years. She argued that the AI revolution is unfolding at a similarly blistering pace.

"The AI era and digital age are upon us, and their impact has the potential to reshape history," Park explained. "Now is the critical moment for South Korea to establish its strategic course."

She placed AI’s significance alongside humanity’s most transformative milestones, such as the birth of the universe and the origin of life, emphasizing that the dawn of the AI age is an epochal shift with unparalleled implications for human advancement.

Core Foundations of AI: Computing Power, Data, and Energy

Park identified three essential pillars for AI innovation: computing power, data, and electricity. Among these, computing capacity—a function of robust semiconductor technologies—was described as the lifeblood of AI systems. South Korea, despite being a major player in the semiconductor industry, must act decisively to expand its data and energy infrastructure, she argued.

“AI cannot function without semiconductors. The United States has positioned itself as a dominant force in semiconductor sovereignty, which directly equates to AI hegemony,” Park stated.

However, she expressed concern about South Korea's vulnerabilities. With 90% of global AI-focused data centers concentrated in the U.S. and China, South Korea currently lags in ninth place in global rankings. “We face a critical dilemma. If we fail to swiftly build our data infrastructure and energy capabilities, we risk becoming dependent on these superpowers,” Park warned.

The Role of Blockchain in Agentic AI and Digital Evolution

Looking ahead, Park envisioned the rise of "agentic AI"—self-learning, autonomous systems capable of mimicking human decision-making. She placed blockchain technology at the center of this evolution, identifying its capacity to ensure trust, security, and transparency as key to enabling such advanced forms of AI.

“The integration of AI and blockchain will define the next stage of digital transformation. Agentic AI will reshape industries and societies, but South Korea currently lacks the vision and framework to lead in this emerging field,” Park lamented.

Stablecoins: The Future of Trade and Financial Systems

Park also brought attention to the potential of stablecoins to rewrite the rules of global trade and finance. She foresaw stablecoin-enabled systems as the centerpiece of future global economic competitiveness, warning that South Korea’s ongoing discussions remain stalled at the regulatory level.

“Future trade wars will likely center on stablecoins, and South Korea must set aside the banking sector’s vested interests to lead in developing digital currency frameworks. A forward-looking regulatory infrastructure is critical," she advised.

Achieving Global Competitiveness: A Call for Systemic Overhaul

Park urged policymakers to take drastic steps, advocating for a complete overhaul of outdated systems that fail to support the needs of a digital-first global economy. She outlined a holistic approach that addressed multiple variables in tandem—data mobility, energy supply, data centers, semiconductor supply chains, and digital asset accountability.

“The ecosystem of AI and blockchain thrives on speed and adaptability. Marginal reforms cannot compete on a global scale. Our leaders must embrace bold innovation and systemic reform to position South Korea as a global frontrunner,” Park declared.

A Closing Warning: Act Decisively or Be Left Behind

Concluding her address, Park reiterated the urgency of immediate action. She emphasized that the waves of AI and blockchain innovation are already washing ashore, compelling South Korea to act swiftly to secure its place among the top three global AI powerhouses.

“The window of opportunity is narrowing. If we delay, nations who act decisively will outpace us,” she cautioned. She urged leaders to combine deep technological expertise with transformative policy solutions, ensuring that South Korea emerges as a dominant force in the AI era.

“To secure our national future, we must act boldly—starting today,” Park concluded.