Colt Technology Partners With Singapore’s AsiaNext

In a historic move, Sheikh Mansour bin Zayed Al Nahyan, Deputy Prime Minister and Chairman of the Board of the Central Bank of the United Arab Emirates (UAE), executed the first cross-border payment for the UAE’s central bank digital currency (CBDC), the "Digital Dirham." Utilizing mBridgeAccording to local news source Gulf News, the transaction, valued at 50 million dirhams ($13.6 million), was conducted directly with China through mBridge. mBridge is a multi-CBDC platform which has been developed to support peer-to-peer cross-border payments in real time. The blockchain-based system was established by the Bank of International Settlements (BIS), in conjunction with the central banks of Hong Kong, Thailand, China and the UAE. The project has an additional 23 central banks and the IMF involved as observers. It’s thought that mBridge can play a vital role for nations to circumvent the use of the U.S. dollar for international trade purposes. Within each participant country, the project has onboarded multiple commercial banks.Photo by Karthik B K on UnsplashMarking CBUAE’s 50th anniversarySheikh Mansour carried out this groundbreaking payment during a celebration commemorating the 50th anniversary of the Central Bank of the UAE (CBUAE). The event also witnessed the graduation of the inaugural batch of 1,056 citizens from the "Ethraa" program, a high-level training initiative at the Emirates Institute of Finance aimed at fostering Emirati representation in the financial sector. The ceremony, held at the Abu Dhabi National Exhibition Center, showcased the significant progress and development the CBUAE has undergone over its 50-year history. The apex bank has played a pivotal role in strengthening financial and monetary stability, contributing to economic growth, and implementing innovative projects as part of the Financial Infrastructure Transformation Programme (FIT program) to accelerate digital transformation in the financial services sector. Sheikh Mansour emphasized the leadership's commitment to solidifying the UAE's position as a global financial center, praising the CBUAE's role in enhancing financial and monetary stability, ensuring efficiency in the financial system and supporting economic growth and development. He underscored the leadership's dedication to empowering UAE nationals to become fintech specialists, providing them with skills and knowledge to contribute to the nation's progress. The Vice-President also commended the efforts of all CBUAE employees, the Emirates Institute of Finance and the graduates of the Ethraa program, expressing his best wishes for their success in serving the nation. During the event, Sheikh Mansour was briefed on the services offered by the "Aani" instant payment platform, designed to facilitate fast, secure and convenient fund transfers. He also witnessed the launch of "Open Finance," allowing consumers to connect and share data across the entire financial ecosystem, and the visual identity of the Ombudsman Unit called "Sanadak," the first independent unit for settling banking and insurance disputes in the Middle East and North Africa (MENA) region. According to data from the Atlantic Council, 130 nations, accounting for 98% of global GDP, have made some efforts towards exploring the adoption of a CBDC. 11 countries have actually launched a CBDC and 19 of the G20 economies are at the advanced development stage. Meanwhile, a survey report published by the BIS last summer revealed an expectation among central banks that by 2030, we could see the launch of nine wholesale CBDCs and 15 retail CBDCs.  

Korea’s Changwon City Boosts Local Art Scene with NFTsOn Monday, South Korea’s Changwon City announced its plan to support local artists by promoting their work through non-fungible tokens (NFTs). This initiative aims to help artists adapt to the rapidly changing fine art industry, driven by state-of-the-art technology, and stay current with the latest trends.NFT ART in ChangwonThis project “NFT ART in Changwon” came to life after the city partnered with MetaGalaxia, a Korean NFT marketplace, earlier this year.Jung Hyun-sub, head of the city’s culture, tourism, and sports division, has encouraged local citizens to participate in the project and emphasized the city’s commitment to fostering the NFT industry, starting with a focus on local artworks.15 artistsThe application process for the project will run from May 1 to May 30, and 15 artists will be selected. Eligible applicants must be Changwon residents who have either majored or are currently majoring in fine arts or have publicly exhibited their artwork.Artists can submit various forms of artwork that can be turned into NFTs, including paintings, photographs, and videos. Those selected will benefit from registration as NFT artists on MetaGalaxia, digitization of their original artworks into NFTs, and promotion of their artworks and profiles across various social media platforms.© Pexels/Dom J

South Korea’s neobank Kbank has partnered with BPMG, a domestic Web3 developer, to pursue stablecoin initiatives abroad, the Electronic Times reported. The companies are preparing proof-of-concept (POC) trials with firms in Thailand and Dubai as part of a broader push to participate in global financial infrastructure. Following a recent agreement with Kbank, BPMG has begun collaborating with a Thai company on a stablecoin project and is working with an investor in the United Arab Emirates (UAE) on the issuance and operation of stablecoins. Kbank plans to leverage BPMG’s blockchain technology to develop stablecoin business models for remittances, currency exchange and payments, and to support the build-out of related systems. The bank is focusing first on Asia and the Middle East.Photo by Shubham Dhage on UnsplashReducing intermediaries and automating regulatory complianceAnother priority is cutting intermediaries in cross-border transfers to speed up remittances and reduce costs via distributed ledger technology. Drawing on BPMG’s patents in AI and blockchain, Kbank is also developing a tool to automate regulatory analysis across jurisdictions so it can tailor services to local rules. As digital transformation accelerates, stablecoins are gaining traction as a payment method for their low volatility and ability to enable real-time cross-border transactions. In April, Kbank joined the Pax Project, a stablecoin initiative backed by Japan’s three major banks—Mitsubishi UFJ Financial Group (MUFG), Sumitomo Mitsui Banking Corporation (SMBC), and Mizuho. Through the project, Kbank is participating in trials for real-time transfers and settlement between South Korea and Japan. The bank has also formed a digital asset task force to advance the commercialization of stablecoin solutions. A Kbank official said combining blockchain with finance can deliver faster, more efficient global services and that the BPMG partnership is expected to demonstrate the practical utility of stablecoins, paving the way for integration into both domestic and international offerings. IPO timing hinges on Upbit renewalThe stablecoin push comes as Kbank is widely expected to submit a preliminary initial public offering (IPO) filing as early as this month, with a listing anticipated in October. A key variable, according to market watchers, is whether Kbank renews its contract with Upbit, South Korea’s largest cryptocurrency exchange, to provide real-name bank accounts—a regulatory requirement for fiat-to-crypto platforms. Kbank has been Upbit’s banking partner for five years, and deposits from the exchange account for roughly 20% of the bank’s total. Kbank is also seeing rising corporate activity around digital assets. As of Aug. 18, the bank had more than 100 corporate accounts dedicated to crypto trading—over double the 49 recorded at the end of last year—momentum widely attributed to its partnership with Upbit. Since launching corporate-focused services in late 2023, Kbank has provided real-name accounts to entities including government bodies, non-profits, and local municipalities. The uptick follows the financial regulator’s earlier decision to allow non-profits and trading platforms to sell crypto holdings, with implementation beginning in June.