Seoul, the capital city of South Korea, is planning its own cryptocurrency, Mayor Park Won-soon told CoinDesk Korea.

Dubbed “S-Coin,” the cryptocurrency is intended to be used in city-funded social benefit programs for public employees, job seekers and citizens helping the environment by saving electricity, water and gas.

Earlier this year, the government banned anonymous cryptocurrency trading in the country. More recently, reports suggested that the South Korean Ministry of Strategy and Finance (MOSF) is planning to announce a framework on cryptocurrency taxation by the end of June 2018.

"In order to make an S-Coin, we need to prepare institutional and legal support such as bylaws," Park said.

Furthermore, he also revealed plans to foster blockchain ecosystem in the city. This includes setting up of a fund to support blockchain-focused research and development and startups working with this technology.

“Blockchain can be applied to all bureaucratic administrations in Seoul, such as the public transport system operated by Seoul City and the provision of youth allowance,” Park added.

"I've met blockchain companies, and I think our companies are not seeing the light because of the various regulations. Actually, [the] technology is as advanced as any other country. By creating clusters that will allow blockchain companies to build up, and startups to develop new technologies, we are working to develop and spread blockchain technology around the world."