Dunamu Restructures Leadership at Its Blockchain Research Arm

Metaverse Expo 2023 in Seoul: Exploring the Future of the 3D InternetThe Metaverse Expo 2023 is scheduled to be held at the COEX, an exhibition and convention venue in Seoul, from June 14 to 16, according to a press release. With its focus on the future of the three-dimensional Internet, this event seeks to attract metaverse enthusiasts eager to explore cutting-edge technologies. This year, the “Metaverse + Generative AI Summit” will run alongside the expo, showcasing the diverse applications of generative AI in enhancing efficiency within the metaverse.Photo by julien Tromeur on UnsplashKorea’s strategy for metaverse promotionIn February last year, the Korean Ministry of Science and ICT revealed a metaverse promotion strategy involving a comprehensive support plan of 237 billion KRW ($179.6 million). This initiative seeks to cultivate an augmented reality ecosystem by developing metaverse platforms, fostering metaverse companies, and aiding their international expansion.The expo will host exhibits centered around four key topics: metanomics, digital twins, education, and NFTs. Attendees will explore innovative business models, learn about the replication of physical objects in the virtual realm, discover the potential of the metaverse in reshaping educational approaches, and understand the role of non-fungible tokens in establishing digital ownership.Side events to support businessesIn addition to the main exhibits, the expo will host various side events such as export and investment counseling sessions, new product presentations, and seminars. In collaboration with the Korea Trade-Investment Promotion Agency (KOTRA), a consultation program will be offered to encourage overseas buyers to engage with Korean companies. This program aims to support Korean businesses in promoting their products and services overseas, as well as connecting them with new buyers and investors who can contribute to their growth and expansion.Previously known as the Seoul VR-AR Expo, this event has been an annual feature since 2018, with VR representing virtual reality and AR representing augmented reality. In line with evolving industry trends, the event was rebranded to the “Metaverse Expo” in 2022. This year’s event will mark its sixth running, further cementing its role as a beacon for developments in the rapidly advancing metaverse landscape.

The Korea Insurance Institute (KII), an incorporated association that trains insurance professionals, has initiated a phased process to become South Korea's first institution to hold Bitcoin (BTC), while the national tax agency is moving to enlist private crypto custodians following a recent security breach, local media reported.Photo by Kanchanara on UnsplashThe non-profit KII has established a digital asset review committee to establish internal regulations for managing cryptocurrencies as institutional holdings, Yonhap Infomax reported. The move is designed to prepare for an upcoming legal framework governing Korean won-backed stablecoins. While retail crypto investment is legal in South Korea, corporate and institutional participation remains tightly restricted. However, the institute noted that KII could still acquire digital assets through an existing regulatory channel, as non-profit organizations are permitted to hold crypto wallets. The newly established committee will draft guidelines covering crypto operations, risk management, accounting and tax standards, and internal controls. Once the regulatory framework is in place, KII plans to spend its stablecoins to acquire BTC and Ethereum (ETH). Ha Tae-keung, president of KII, said the launch of the digital asset review committee could mark a new milestone for innovation in asset management within the finance and insurance industry. He added that the institute would seek to serve as a working model for a new financial system shaped by artificial intelligence and digital assets. Tax agency seeks custodians to manage cryptoIn parallel government developments, the National Tax Service (NTS) is pushing to select custody providers to manage confiscated digital assets as early as the first half of this year, according to a ZDNet Korea report.  The policy shift follows a security breach late last month, when confiscated cryptocurrency was stolen on two occasions after a mnemonic seed phrase was inadvertently disclosed in an NTS press release detailing on-site asset seizures from tax evaders. To prevent future breaches, an NTS task force launched earlier this month is developing comprehensive manuals for the confiscation, storage, and sale of digital assets. The group is also developing criteria for selecting custodians, including security standards, company size, and required insurance coverage under the Virtual Asset User Protection Act. A source familiar with the matter told ZDNet Korea that the NTS is assessing security standards and other key criteria ahead of selecting a custodian, adding that not all providers meet the strict requirements for government appointment. The NTS task force is also preparing to set up a dedicated digital assets division to oversee crypto issues, with final details to be determined in consultation with the Ministry of the Interior and Safety. 

Kazakhstan Launches NPC With CBDC Implementation by 2025Kazakhstan’s National Bank (NBK) has unveiled the National Payment Corporation (NPC), a dedicated entity responsible for spearheading the development and launch of the country’s central bank digital currency (CBDC), known as the digital tenge.In a press release published last Friday, the NBK set out that the launch of the NPC is effectively a restructuring of the Kazakhstan Center for Interbank Settlements. The new entity has been entrusted with overseeing the national payment system.This mandate includes overseeing critical functions like interbank clearing services, facilitating money transfers, and managing digital identification. However, the NPC’s central mission revolves around establishing a robust “digital financial infrastructure” with a primary focus on realizing the digital tenge.Photo by Uladzislau Petrushkevich on Unsplash2025 targeted launch dateThe journey toward the digital tenge began in February of this year, with an ambitious launch date set for 2025. Deputy Governor of the NBK, Berik Sholpankupov, initially articulated a vision centered on a “collaboration between traditional finance and DeFi,” aimed at significantly improving financial inclusion and strengthening international trade.As of now, the CBDC pilot in Kazakhstan has advanced to a controlled environment pilot phase involving actual consumers and merchants. One of the key partners in this venture is Binance, the world’s largest cryptocurrency exchange. Binance is actively supporting the pilot through its technical solution, BNB Chain, marking a convergence between traditional financial institutions and the blockchain-based cryptocurrency sector.Kazakhstan’s pursuit of CBDCs aligns with a global trend as numerous countries worldwide explore the potential of CBDCs. An astounding 105 countries, representing a substantial 95% of the global gross domestic product (GDP), are currently exploring the concept, highlighting the collective recognition of the transformative potential of digital currencies in shaping the future of finance.Last week it emerged that the NBK had entered into a collaboration with the global financial messaging service SWIFT relative to the beta-testing of a CBDC.Attracting global exchangesIn a move that bolsters the development of crypto in the central Asian country, Binance launched a regulated digital asset platform in collaboration with the local Freedom Finance Bank. Around the same time, Bybit secured in-principle approval to trade within the country from the local regulator.Kazakhstan’s proactive stance toward cryptocurrency is also evident in its taxation policies. In 2022, the government collected approximately $7 million in tax payments from cryptocurrency mining entities following the implementation of revised regulations governing the fiscal responsibilities of cryptocurrency mining.Additionally, the government introduced legislation aimed at curbing excessive energy consumption by domestic crypto miners, instituting licensing requirements, and making minor adjustments to the taxation framework.Kazakhstan’s steps in establishing the National Payment Corporation and venturing into the realm of CBDCs reflect the country’s interest in embracing the digital era and staying at the forefront of financial innovation. As the industry looks on, Kazakhstan’s digital tenge project could serve as a model for others seeking to bridge the gap between traditional finance and the exciting possibilities of DeFi.