Bitget Launches $100M Crypto Ecosystem Fund

Ripple Collaborates with Hong Kong Regulator in RWA TokenizationIn a demonstration of an extended use case, Ripple, the real-time gross settlement system, currency exchange, and remittance network, has announced that it has been selected by the Hong Kong Monetary Authority (HKMA) to showcase a real world asset (RWA) tokenization solution.Photo by Redd F on UnsplashReal world asset (RWA) tokenizationIn a press release published on Thursday, the San Francisco-based firm outlined that the objective of its participation in the HKMAs inaugural e-HKD Pilot Program is to showcase a particular approach to real estate tokenization. In principle the e-HKD project is a central bank digital currency (CBDC) scheme.Ripple is one of sixteen firms that will participate in the program. Among the other participants are HSBC, one of the largest banking and financial services institutions in the world, British multinational bank Standard Chartered, and Bank of China (Hong Kong).For its part, Ripple will partner with Fubon Bank, a subsidiary of one of the largest financial holding companies in Taiwan. The e-HKD Pilot Program will feature a series of pilots conducted through several industry players with a view towards carrying out in-depth research into application, implementation, and design issues relative to the e-HKD.Real estate tokenization is a leading example of RWA tokenization, which overall is anticipated to become a multi-trillion dollar industry by the end of this decade. Its plan is to build the solution on a private and secure ledger, guided in principle by the same technology that the company has utilized for XRP, the native token of the Ripple ecosystem.Illiquid assetsThe company points out that people’s homes are usually one of their primary assets. Notwithstanding that, unlocking value in real estate can be problematic, having considerable friction. The idea is that this illiquid wealth can be unlocked through tokenization. It’s a concept that is seeing a lot of interest from competing projects. Start-ups like Securitize and Provenance Blockchain would be among a long list of start-up firms that see the potential in the tokenization of RWAs.In Asia, Japanese trading and investment firm Mitsui has gotten involved in the tokenization of real estate through its Alterna investment platform. Tokeny and CoFund offer other examples of innovators that are pioneering real estate tokenization.In its press release, Ripple outlined that it aims to use its technology in this particular instance to enable Hong Kong citizens to experience the faster and more efficient release of equity relative to real estate.James Wallis, Ripple’s VP of Central Bank Engagements & CBDCs, expanded on this idea further:“The Asia Pacific region has many forward-looking regulators such as the HKMA, who are looking to leverage the capabilities of blockchain and crypto technology. It’s a huge honor for Ripple to be one of the select few organizations participating in the HKMA’s e-HKD Pilot Programme. We now have the opportunity to demonstrate how real estate asset tokenization could be brought to the citizens of Hong Kong, and are confident that our fully integrated solution will be an industry-first use case demonstrating the power of leveraging a CBDC for real estate equity asset release.”

South Korean gaming publisher Wemade opened sales for its “The Night is Coming” NFT collection on Jan. 11 to 12 to celebrate pre-registration for the global version of the massively multiplayer online role-playing game (MMORPG) Night Crows. All 341 NFTs were sold out, according to an official press release on Thursday (KST).Photo by Choong Deng Xiang on UnsplashUnveiling exclusive NFTsThe NFT Collection featured NFTs of different tiers, including Uncommon and Rare NFTs that went on sale on Jan. 11, as well as Epic, Legendary and Mythical NFTs that were available on NILE – short for “NFT Is Life Evolution,” a decentralized autonomous organization (DAO) and NFT marketplace on WEMIX3.0 – the next day. All NFTs were sold out within a day. Blockchain-backed fantasy gameBuilt on Unreal Engine 5, a three-dimensional computer graphics engine used for game and content development, Night Crows features high-quality graphics, an immersive world, realistic action and major in-game battles. It has topped the popularity and revenue charts on major app markets in South Korea since its launch in April last year. The global version of the game, which is scheduled for release in March, will harness blockchain technology and a multifaceted tokenomics system that tokenizes in-game items. It will also introduce character NFTs that keep character and player data in one place, connecting the game’s internal and external economies. Wemade also stated that owners of the NFTs can exchange them with CROW, the game’s native token, starting on April 1. The token’s value is stabilized by a minting process controlled by the Peg Stability Module (PSM), which allows users to swap a native stablecoin for other protocol-accepted stablecoins at a 1:1 rate.

Hong Kong Regulator Explores Tokenization to Transform Bond MarketThe Hong Kong Monetary Authority (HKMA), the local regulator within the Chinese autonomous territory, unveiled the outcomes of its Project Evergreen study on Friday. Within the report, it indicated an interest in harnessing tokenization in order to improve aspects of the bond market.Photo by Jimmy Chan on PexelsBond market impact assessmentIn this comprehensive report, the regulator delved into the intricate world of bond tokenization, offering an in-depth assessment of its potential impact on the market. The 24-page report covers a range of insights, spanning use cases and benefits to the challenges encountered during the study. The overarching sentiment emerging from the study paints tokenization as a compelling avenue for enhancing the bond market’s functionality.Eddie Yue, the Chief Executive of HKMA, emphasized that the study underscored the latent potential of integrating distributed ledger technology (DLT) into real capital market transactions, all within the framework of Hong Kong’s existing legal structure. In addition, the research revealed the prospect of DLT elevating efficiency, transparency, and liquidity within bond markets.Highlighting efficienciesThe report highlighted that the digital nature of tokenized bonds has the power to render paper certificates obsolete, ushering in an era of streamlined processes and diminished errors. Moreover, the study emphasized the capacity for various stakeholders to seamlessly interact via a shared DLT platform, fostering an environment of collaboration. Real-time data synchronization would ensure heightened transparency, a crucial factor in modern financial markets.Furthermore, the report identifies that a standout feature of tokenization lies in atomic delivery versus payment (DvP) settlements for bond transfers. This innovation serves to significantly expedite the settlement process while bolstering the case for end-to-end DLT adoption.That said, the report acknowledges the nascent state of bond tokenization. Yue emphasized that a plethora of challenges must be overcome before mass adoption becomes viable. The HKMA official underscored the necessity for regulatory frameworks to evolve alongside technology adoption.These insights arrive at a time when Hong Kong is carving its niche as a haven for crypto and decentralized finance endeavors. A multitude of enterprises are believed to be queuing up for a coveted Hong Kong crypto license, underscoring the city’s rising stature in the digital finance sphere.July saw Hong Kong’s announcement of a partnership with Saudi Arabia, focusing on tokenization and payments. Additionally, the HKMA is actively exploring the establishment of a regulatory framework for the digital Hong Kong dollar and stablecoins, heralding a commitment to the distributed ledger technology (DLT) application. An imminent seminar with industry stakeholders is planned, aimed at introducing DLT technology and fostering its adoption.Arthur Chan, HKMA Assistant Chief Executive, anticipates wider DLT integration, envisioning reduced settlement times for bond issuances and instantaneous settlement through tokenized cash and smart contracts. He acknowledges the evolving nature of DLT platforms, acknowledging the need for further research and development. However, Chan envisions a future where tokenization extends beyond bonds, potentially encompassing securities, real estate, and mortgage products.