SK 'Social Value Donation (SVD)' Blockchain Project

[Asia Economy Reporter Park So-yeon] SK Inc. C&C has developed a Social Value Donation (SVD) coin based on Ripple technology in cryptocurrency. SK Inc. plans to actively utilize this cryptocurrency, which Chairman Chey Tae-won emphasizes for realizing social value, for donations and transactions among social communities.

According to the business community on the 3rd, SK Inc. recently launched a donation platform called "Warmly Change (chainZ)" using blockchain technology. This platform allows SK Group employees to participate; when they run the application installed on their smartphones, a list of donation campaigns appears, and they can select and donate to their preferred campaign.

The core of this platform is that SK Inc. uses its self-developed cryptocurrency SVD based on blockchain technology. One SVD is a stablecoin pegged to the Korean won at a 1:1 ratio, meaning 1 SVD equals 1 KRW.

SK Inc. plans to prioritize using this for donation transfers. Since all money flows are recorded on the blockchain, the donation transfer and usage process can be transparently managed.

SVD becomes even more powerful when combined with SK Inc.'s newly introduced blockchain-based Social Value Point (SVP) system. For the past six months, SK Inc. has been awarding SVPs to employees who create social value by activities such as using stairs, avoiding disposable products, not leaving food waste, and donating talents.

When employees donate their accumulated points (SVP) through the Warmly Change donation platform, SK Inc. plans to provide a one-to-one matching support of the same amount, effectively doubling the donation amount.

This blockchain-based SVD project originated from Chairman Chey’s will. Last year, he attended the SparkLabs Demo Day, a startup accelerator event, and emphasized that "blockchain and token economy can be separated."

This means that blockchain as a technology and cryptocurrency as an investment asset can be separated. He mentioned that the advantages of blockchain technology can be actively used to create social value rather than being a blind investment target.

Currently, SK Inc. is conducting a first-phase pilot campaign until the end of this month to raise funds for the Korea International Hunger Relief Organization (target amount: 32 million KRW). In the future, they plan to expand donation programs in various fields such as education, hunger, and support for single mothers in cooperation with NGOs.

A senior official from SK Group said, "Our country's donation culture is said to be the lowest among OECD countries, but using SVD can make the donation culture completely transparent," adding, "Furthermore, if social enterprises that receive SVD as currency expand, the social value platform can play a full-fledged role."