Dunamu, the operator of South Korea’s leading cryptocurrency exchange Upbit, has made significant strides in assisting young people struggling with debt through its Dunamu Next Dream initiative. Launched in September 2022, the program aims to rehabilitate underprivileged youth who have been overlooked by existing government welfare programs.
According to Dunamu, the initiative helped over 300 young delinquent borrowers last year by offering debt redemption, living expenses, and interest-free emergency loans. This support has been crucial in alleviating their financial burdens and fostering a sense of stability.
The results of the Dunamu Next Dream initiative have been promising. The average loan repayment for participants has dropped from approximately 2 million won to about 400,000 won ($290). Moreover, the average delinquency rate among the group has decreased from 1.89 to 0.69. Participants have also seen notable increases in their income from work or business activities, with those aged 20 to 29 seeing an average increase of 780,000 won, and those aged 30 to 39 an increase of 310,000 won.
In May, Dunamu hosted a conference in Myeong-dong, Jung District, Seoul, to celebrate and share the successes of the initiative. The event brought together program recipients, financial consultants, and representatives from Dunamu and its affiliated organizations. Participants shared their transformative experiences and the positive impact the initiative had on their lives.
One participant expressed profound gratitude for the program, stating, “I came upon Dunamu Next Dream when I was losing motivation and the meaning of life since my income was barely enough to support my family. However, I feel my attitude about the future has changed for the better, not to mention my financial situation. I want to live with confidence, taking control of my own life from now on. I will help others along the way to create a virtuous cycle.”
A financial consultant involved in the initiative described the experience as immensely rewarding. “I was glad to see many recipients open up and change. Dunamu Next Dream has provided financial and non-financial support to young people with humble backgrounds. Its significant impact will be remembered by financial consultants and the young adults.”
The impact of the Dunamu Next Dream initiative is underscored by data from the Seoul Financial Welfare Counseling Center. The center reported that the average debt of 1,499 youths aged 29 and under who completed a financial education course was 71 million won. Additionally, over 17 percent of these young people had debts exceeding 100 million won.
Dunamu’s efforts have highlighted the critical need for tailored financial support programs to help young people overcome significant financial challenges. By addressing both financial and emotional needs, the Dunamu Next Dream initiative is not only helping youth manage their debt but also empowering them to build a more secure and hopeful future.
