Ninety Eight launches web3 startup fund

At the 'Beyond Coin: Brace for Digital Asset Super Cycle' conference held in Seoul on April 30, Lee Hae-bung, Head of Investor Protection Center at Upbit, said that it is significantly important for virtual asset service providers (VASP) to fulfill their responsibilities at a time when the government authority is laying the groundwork for crypto regulations, according to local media TECH M. Upbit is one of the few licensed cryptocurrency exchanges in South Korea. The conference was jointly organized by SEUM Law Firm and local media outlet TECH M.  During his speech at the conference, Lee stated that by adhering to industrial rules and meeting obligations, VASPs can protect not only crypto investors but also themselves. This is how the crypto industry can enhance the value of blockchain and build trust surrounding the cutting-edge technology, he asserted. Photo by Lukas on PexelsShifting paradigm Lee said everything created based on blockchain and ledger technology is now deemed assets and property in the modern world, warranting new regulations. This marks a contrasting shift from the past when only fiat currencies were considered assets and mediums of storage.  In the following sessions, he delivered presentations about cryptocurrency regulations in various countries such as the U.S., Singapore, Hong Kong and several EU member states. During his speech, four moral pillars – legal clarity, responsible innovation, accountability and resilience – were particularly highlighted as ethical requirements for VASPs.  Ten minus one equals zeroLee noted that Korea's crypto industry is currently going through transitional phases, during which the nationwide crypto craze disrupted the market and turned many good-willed investors into victims. The recent Bitcoin rally has lured many young Korean investors in their 20s and 30s to the crypto market, many of whom engaged in reckless investments with borrowed money.  The industry is now at a point where regulations are being laid out for investor protection, however, heading into a sustainable and healthy direction, he added.  "Ten minus one equals zero when it comes to regulating the crypto industry," Lee said, underscoring the significance of completing all the tasks related to establishing regulation in the local crypto space. “Transparency and accountability are the two most important values VASPs must safeguard on their journey to building trust. If VASPs fulfill these obligations, they should be able to gain the trust of users. Otherwise, they must bear liability for the consequences,” he added, citing the European Union’s Market in Crypto Asset (MiCA) Regulation as a model example that values transparency and accountability. The MiCA Regulation is currently being discussed by legislators from EU member states.  

Lotte Group’s Bellygom NFT Project Garners Global Fanbase of Over 300KDaehong Communications and Lotte Homeshopping shared yesterday that their NFT project has now garnered a global fanbase exceeding 300,000 members. The two companies are subsidiaries of South Korean industrial conglomerate Lotte Group.Photo by Khinaii van Laren on UnsplashPartnership initiatives as global expansionTheir NFT initiative, operated by the group’s marketing arm Daehong, is based on Bellygom, the pink bear character representing Lotte Homeshopping. As part of its global strategy, the Bellygom NFT project has formed partnerships with various international projects and has been actively involved in communication efforts. Notably, Bellygom’s X (formerly Twitter) account, created earlier this year, has attracted 100,000 followers within a span of five months.At the end of last month, Daehong successfully completed the minting of Bellyland, the second NFT collection of the Bellygom project. The minting event was accompanied by Jelly Adventure, a universe where users can participate in a wide range of missions and games to earn “Bubble Gums.” Notably, Jelly Adventure is not only accessible to Bellyland NFT holders but also to those of other projects such as YogaPetz and Mocaverse.It’s worth highlighting that the minting event achieved the sale of over 5,000 NFTs, even during a period of reduced activity in the NFT market. Despite the declining minting prices and quantities, it managed to raise over 750,000 MATIC.Joining of new international usersAdditionally, the minting event attracted new international users to the Bellygom project, underlining its sustainability. The successful debut of Bellyland NFTs has significantly contributed to the project’s global expansion and presence.Furthermore, Daehong is pursuing a range of initiatives aimed at cultivating a fan-centric ecosystem with the ultimate objective of driving broader adoption of Web3 technologies. With the belief that the fanbase provides a strong foothold for the brand’s growth, the marketing firm plays a crucial role in facilitating the introduction of the Bellygom brand to the Web3 space. To this end, Daehong is constructing a universe with a story that embodies the brand’s identity while seamlessly integrating it with conventional marketing strategies.

South Korean FIU rejects Hanbitco’s bid to become fiat-to-crypto exchangeWhile numerous cryptocurrency-only exchanges in Korea have been vying for registration as fiat-to-crypto exchanges with the financial regulator, the government has turned down another platform’s attempt to achieve this status.Photo by Dim Hou on UnsplashUnmet standardsAccording to a report from local news provider MoneyToday, the Financial Intelligence Unit (FIU) of the Financial Services Commission (FSC) recently convened a committee that decided against approving Hanbitco’s request to change its business status. Industry sources suggest that this decision was based on Hanbitco’s inability to meet the standards set by the Act on Reporting and Using Specified Financial Transaction Information, often referred to as the Financial Transaction Reporting Act.Fine and cautionary orderA person familiar with the matter that the committee started deliberating on Hanbitco’s request to alter its business status about two weeks ago and ultimately decided against it. A significant factor in this decision might have been the KRW 2 billion ($1.49 million) fine levied on Hanbitco, stemming from numerous violations found in recent on-site inspections, the source added.Before approaching the FIU with its request, Hanbitco formed a partnership with Kwangju Bank in June to obtain real-name accounts, facilitating Korean won deposits and withdrawals. Achieving this is quite uncommon for a crypto-only exchange. In Korea, exchanges are legally required to have real-name bank accounts for trading in Korean won. Presently, only five platforms hold registration as fiat-to-crypto exchanges: Upbit, Bithumb, Coinone, Korbit and Gopax, each having its own banking partnership.As per the details released by the FIU, besides the levied fine, Hanbitco was issued a cautionary order, and five of its employees faced reprimands.The fine of KRW 2 billion is the heaviest handed out to a virtual asset service provider from on-site inspections held between last year and the first half of this year. For perspective, Upbit, the country’s largest crypto exchange, was fined KRW 80 million.An FIU representative noted that during the evaluation of Hanbitco’s application to transition into a fiat-to-crypto exchange, factors such as the firm’s anti-money laundering (AML) protocols, its internal control systems and past sanctions played a role in the decision-making process.