OKX collaborates with Polygon Labs on layer-2 network launch

Dunamu & Partners Invests $109M in 60 Promising StartupsInvestment firm Dunamu & Partners (D&P), a subsidiary of South Korean cryptocurrency exchange Upbit’s operator Dunamu, announced that it has made 144.4 billion KRW ($109 million) investments in 60 promising startups, as per economic news media Moneytoday.Photo by Precondo CA on UnsplashDiversified portfolioHaving commenced its operations five years ago, the investment company started investing in fintech and blockchain domains and later diversified its investments into other cutting-edge fields such as artificial intelligence (AI) and data management.AI and data managementA D&P official said that more than half of the investment (52%) has been allocated towards AI and data management. The company made initial investments in nascent startups and continued to provide additional funds to support their noticeable growth.One of the best cases is Korea Credit Data (KCD), the company behind retail revenue management solution Cashnote. After receiving strategic investment from D&P in 2018, KCD secured another 35 billion KRW ($26.4 million) last October to turn into a unicorn company, elevating its status to a unicorn company — a privately-owned startup valued at over $1 billion.Other notable companies in D&P’s portfolio include cloud-based foreign exchange payment solution Travel Wallet, AI-driven investment tech provider Qraft Technologies, and AI chip design firm Rebellions.Positive social impactD&P has also made investments in areas that generate positive social impact. D&P has committed 10 billion KRW ($7.6 million) each to whole-genome sequencing analysis company Genome Insight and knowledge-sharing platform Classum.Investments with capitalD&P invests entirely with capital and does not rely on funds for financing its investments. D&P CEO Lee Kang-joon emphasized the firm’s preemptive monitoring of market trends and its persistent investment strategy in the quest to identify the next industry trailblazer.

SBINFT, a Web3 subsidiary of the Japanese financial giant SBI Holdings, is launching a proof-of-concept experiment in collaboration with Obayashi Corporation, a major Japanese construction firm. The initiative, scheduled to run from Feb. 1 to Feb. 28, 2026, aims to test whether non-fungible tokens (NFTs) can drive user engagement and support community development. According to a press release distributed via PR Times, the project will use SBINFT Mits, the company’s NFT marketing platform, within the framework of Minmachi SHOP, a platform operated by Obayashi. Minmachi SHOP allows users to vote on, book, and purchase various goods and experiences—ranging from prepared meals to workshops—hosted in temporarily reserved spaces within offices and nearby buildings.Photo by Andrey Metelev on UnsplashPolygon-based NFTs underpin membership systemThe upcoming experiment introduces a blockchain-based membership system to this ecosystem. Users will create accounts on SBINFT Mits and receive a membership card NFT issued on the Polygon blockchain. This digital asset will serve as a dynamic record of their engagement within the Nakanoshima–Yodoyabashi area. During the trial, users can increase their membership rank through activities like utilizing services offered through Minmachi SHOP and inviting new users to the platform. These interactions are recorded as metadata on the blockchain. The companies aim to evaluate whether this on-chain data—stripped of personally identifiable information—can serve as an objective metric for community development. While specific incentives are still being finalized, higher membership ranks may unlock benefits such as discounts, access to exclusive services, or invitations to restricted events. EXPO2025 legacy program seeds partnershipThe partnership emerged from the MUIC Innovation Co-Creation Program, an initiative organized by MUIC Kansai, a foundation established by Mitsubishi UFJ Financial Group and MUFG Bank. Designed as a hub for the EXPO2025 legacy, the program connects diverse stakeholders to foster social implementation platforms. Obayashi joined the program to explore how Minmachi SHOP could support community initiatives based on local demand. Simultaneously, SBINFT sought partners to test NFTs as incentives for sustained user engagement. Through program discussions, the companies identified NFT-based gamification as a potential mechanism to connect local governments, developers, and residents. The collaboration comes amidst a broader push by SBI Holdings into the digital asset space, even as executives voice concerns over Japan’s regulatory environment. In December, Tomoya Asakura, CEO of SBI Global Asset Management, criticized the slow pace of Japan’s cryptocurrency tax reform. According to DL News, Asakura warned on X that Japan risks falling behind jurisdictions like the U.S., Asia, and the Middle East due to a tax regime that levies up to 55% on crypto profits and prohibits loss carryovers. Although the Financial Services Agency (FSA) has signaled its intent to reclassify crypto as an investment vehicle—potentially lowering the tax rate to a flat 20% in line with traditional assets like stocks—legal amendments are not expected to take effect until 2028, reflecting the time required to revise relevant laws and government ordinances. As Japan’s regulatory framework around crypto continues to evolve, SBI continues to expand its Web3 footprint. Asakura’s comments came after reports that SBI Holdings plans to launch a yen-backed stablecoin in the second quarter of this year through a partnership with Startale. Together with Sony Group, Startale established a joint venture called Sony BSL to launch Soneium, a public Ethereum layer-2 network. However, the conglomerate is also recalibrating its portfolio. In September, Bloomberg reported that SBI Zodia Custody, a joint venture with Standard Chartered’s Zodia Custody, would discontinue operations. The decision to close the venture, which was split 51% to 49% between SBI and Zodia respectively, was described by a Zodia executive as a strategic alignment rather than a withdrawal. An SBI spokesperson confirmed that the dissolution was an effort to generate greater collective impact across the company's digital ecosystem, rather than a retreat from crypto custody services. 

As the Virtual Asset User Protection Act is set to take effect in July, South Korean virtual asset services providers (VASPs) are preparing themselves for new crypto accounting standards. This development is pushing crypto businesses to take consultation services from accounting firms, local media outlet Yonhap Infomax today reported.  Pronounced last year, the new crypto accounting guideline is scheduled to be applied to VASPs starting this July. Rather than providing clear and explicit standards, the guideline requires crypto businesses to interpret it on their own based on “reasonable grounds.” One accountant in the crypto industry said that individual crypto exchanges are wrapping their heads around the new crypto accounting standards, pondering over numerous issues such as whether to manage customer assets in a single record-keeping system. Photo by Volkan Olmez on UnsplashThe most significant concern among VASPs is that the new standard will highly likely recognize crypto assets entrusted by customers as either assets or liabilities. So far, local crypto exchanges haven’t recognized custodial tokens as assets; instead, they have been including these tokens in the footnotes. Only the money users deposited in Korean won has been acknowledged as “customer deposit liabilities.” Dunamu, the operator of crypto exchange Upbit, stated in the footnotes of its previous quarterly report that virtual assets entrusted by customers do not meet the accounting definition of an asset, leading the exchange to exclude its users’ custodial tokens from the asset category.  Varying interpretation of ‘control over custodial assets’ A lot is at stake depending on how individual crypto exchanges interpret the new guideline. If crypto exchanges are deemed to have control over custodial assets, they must meticulously document the details of the assets in custody on their financial statements, including the total amount of custodial assets and how they are managed under what policies.  These details would serve as decisive factors in determining who bears the liabilities in the event of future incidents.  Crypto businesses’ accounting dilemmaThe Korean financial regulators have explained that the new guideline is not the ultimate golden rule, implying that there could be a leeway for crypto businesses if they have reasonable grounds for not following the new accounting standard. However, regulators said they will conduct thorough examinations on the financial statements following their publishment, to ensure that custodial assets are not left out in the documents. This is where VASPs face a difficult choice between two different options; they can either classify custodial tokens as something other than an asset and undergo thorough examinations, or they can recognize them as an asset and risk being included in the “mutual investment-restricted group.” This is a group consisting of large local firms with over nearly KRW 10 trillion ($7.5 billion) in total assets. The companies listed in the group are subject to strict government regulations.  Previous recognition of Dunamu as ‘big firm’ raises concerns among VASPsThe local regulatory authority previously classified Dunamu as part of the mutual investment-restricted group in 2022.  At the time, Korean won deposits made by Upbit users, categorized under the customer deposit liabilities, were recognized as part of its assets by the Korea Fair Trade Commission (KFTC). The KFTC determined that Dunamu had controlling power over the customers’ deposits. This judgment by the KFTC led the company to fall under the mutual investment-restricted group. Once the new accounting standard takes effect in July, the likelihood is that the exchange’s custodial tokens, currently valued at KRW 20.2 trillion, will also be recognized as assets. Meanwhile, another prominent crypto exchange Bithumb is reported to have KRW 4.5 trillion in total assets.   Another accountant in the crypto industry expressed concerns, saying that VASPs will have to deal with more regulations if incorporated into the mutual investment-restricted group. The person added that recognizing custodial tokens as assets could further heighten the management risks for crypto businesses.