The blockchain firm is a subsidiary of Dunamu, the operator of Korea's largest cryptocurrency exchange Upbit.

“The driving force that made Korean cinema what it is today came from passionate and active movie fans. By creating this community where filmmakers and audiences can come together with their ‘love for movies' based on NFTs (non-fungible tokens), we expect to see more diverse pleasures and values being produced and shared through it," a Barunson E&A official said in a statement.

“Key elements of this project including content, pleasure, value, sharing and transparency that it (Barunson E&A) aims to bring can most appropriately and stably be implemented on blockchain and with NFT technology, which is a decentralized system,” a Lambda 256 official said.

The blockchain house official also added that the project fits well with the company's goal, which is to popularize blockchain technology.

The two companies aim to create an NFT-based community for movie fans.

Barunson E&A will be responsible for the planning of the NFT community project and Lambda 256 will be in charge of developing the plan further with its technology.

The two companies will jointly operate the new community, which is slated to launch in the first half of 2023.

The film production company added that more detailed information about their joint project will be announced during the Blockchain Week in Busan on Friday.