Korea offers on-site consultation for virtual asset businesses for law compliance

Nexon Korea Intensifies its Blockchain Focus with Nexon UniverseSouth Korean gaming giant Nexon Korea is moving its dedicated blockchain division to its recently renamed subsidiary, Nexon Universe. According to local news outlet Newsis, this subsidiary, initially known as Nexon Block and founded last year, will welcome approximately 80 employees from the parent company’s blockchain group. The leader at the helm of Nexon Universe will be Kang Dae-hyun, who serves as the Chief Operating Officer (COO) at Nexon Korea.Photo by Shubham Dhage on UnsplashNFT-powered MapleStory UniverseNexon Korea’s blockchain division has so far been overseeing the MapleStory Universe project, an NFT-powered ecosystem that utilizes MapleStory’s intellectual property.The objective of MapleStory Universe is to establish an environment that facilitates the seamless movement of NFTs, which represent in-game characters and items, throughout its ecosystem. Beyond this, the project is dedicated to forging connections with other NFT initiatives, aiming to become part of the broader global blockchain community.In August of last year, COO Kang participated in a blockchain conference to highlight Nexon’s ongoing transformative endeavors. The transition of offline games to online platforms marked Nexon’s first evolution, while the second ambition revolves around the expansion of its gaming ecosystem using the capabilities of Web3, Kang said.Turning in-game items into NFTsAmong these strategic moves is the development of MapleStory N, the first game within the MapleStory Universe. This desktop-based MMORPG is currently under development and incorporates blockchain technology. MapleStory N will allow gamers to earn items during gameplay, which can subsequently be transformed into NFTs. The fees collected from in-game economic interactions will be distributed as rewards to both contributors within the MapleStory Universe ecosystem and Nexon.Nexon’s blockchain collaborationsAs part of the MapleStory Universe creation, Nexon joined hands with Ethereum scaling blockchain protocol Polygon. In particular, Nexon employs a Polygon Supernet, which empowers developers to tailor a blockchain to suit their gaming requirements.Furthermore, Nexon made its entry into the realm of Japanese gaming blockchain Oasys in April, acting as a validator. Oasys, established in February of last year, aims to popularize play-to-earn (P2E) games. Notable validators include Bandai Namco Research, Sega, Ubisoft, Yield Guild Games, KDDI, and Softbank.Adding to its array of collaborations, Nexon forged a memorandum of understanding (MOU) with blockchain wallet company Haechi Labs in May, within the context of the MapleStory Universe undertaking. Nexon Korea’s strategy includes leveraging Haechi’s “face wallet,” which simplifies the process of establishing and overseeing blockchain wallets for users. This is expected to offer a seamless and user-friendly experience for newcomers to the field.

Japan Moves to Allow Startups to Sell Digital Tokens to VC FundsIn a move that further advances Japan’s efforts in the digital assets space, the country is poised to permit startups to raise capital from venture capital firms using digital assets instead of traditional stock.The approval of this approach will provide a broader spectrum of funding options for emerging companies deeply entrenched in the world of blockchain technology.Photo by Bagus Pangestu on PexelsAcceptance beyond conventional assetsCurrently, limited partnerships in Japan are predominantly associated with conventional assets such as shares, stock options, and security tokens defined by local securities laws. However, according to a report published by local financial daily Nikkei Asia on Friday, an impending rule change is set to expand this list to encompass other tokens and crypto assets, heralding a fresh era of investment opportunities in a domain that has remained relatively under-explored within the country.The Japanese government is on track to present the requisite legal revisions to the parliament, with expectations for this transformational move to occur as early as 2024. Unlike traditional shares, blockchain-based tokens offer the unique advantage of swift creation without the need for intermediaries or brokerage services.Consequently, fundraising via digital assets is becoming the preferred choice for companies operating in the cutting-edge realm of Web3 technologies, including blockchain.In Japan, a number of companies, such as the blockchain developer HashPalette, have already raised substantial amounts through token offerings. However, the existing limitations obstructing limited partnerships from investing in tokens have hindered Japanese venture capital firms and institutional investors from partaking in the burgeoning success of Web3 enterprises.Overseas token issuanceTraditionally, startups have resorted to issuing tokens in overseas locations like Singapore and Dubai. On the venture capital front, Japanese powerhouse Skyland Ventures ventured into tokens through its Singapore-based subsidiary.Notably, Japan’s Financial Services Agency (FSA) is contemplating a tax code revision for fiscal year 2024 and beyond, with the objective of exempting crypto assets and tokens from taxes on unrealized gains based on market value. This strategic move aims to eliminate a significant deterrent for potential investors in the field.While venture capital firms are eagerly anticipating this legislative change, some, like B Dash Ventures, acknowledge that the revision of the limited partnership law alone may not trigger an immediate surge in fundraising via virtual currencies. Nevertheless, it marks a significant step toward fostering a more conducive environment for digital asset investment.Removal of limited partnership restrictionsJapan’s forward-looking approach also extends to the removal of restrictions on limited partnerships that previously mandated them to invest more than half of their capital within the domestic market. This move is expected to bolster profits, empower venture capital firms with more substantial capital reserves, and ultimately fuel investment in domestic startups.Japan’s decision to embrace the potential of digital assets for startup fundraising is a progressive move. Initial exchange offerings (IEOs) are already authorized in Japan, but this proposed funding mechanism would offer a new channel through which Web3 innovation can be financed within the East Asian island nation. Given that most Web3 startups raise funds in this way, it will mean that Japanese-based firms in the Web3 space will be able to develop and participate fully as this innovation rolls out further on a global basis.

Welcome Savings Bank Implements Blockchain-based Bank ID for Enhanced Customer ConvenienceWelcome Savings Bank, one of the mutual savings banks in South Korea, has announced a significant step towards enhancing identity security and customer convenience with the incorporation of Bank ID, a blockchain-based decentralized identity (DID) solution operated by the Korea Financial Telecommunications and Clearings Institute (KFTC), a payment services institution.Photo by Jonathan Cooper on UnsplashDID technology to prevent identity fraudThe utilization of DID technology marks a notable stride in preventing identity fraud. By storing user data on a secure distributed ledger, the system becomes highly resilient to counterfeiting or forgery attempts, ensuring a safer environment for customers’ personal information.Single sign-on functionalityWith this initiative, Welcome Savings Bank has become the first savings bank in the country to implement Bank ID, a solution predominantly adopted by prime commercial banks. This strategic move bolsters the bank’s digital competitiveness and improves customer convenience. With Bank ID, users can enjoy seamless access to their accounts across 18 Korean financial institutions without the hassle of logging in separately for each one, streamlining their banking experience.Customers of Welcome Savings Bank can utilize the bank’s mobile app to acquire a Bank ID by undergoing a verification process through a one-time password or security card. For existing Bank ID holders, adding Welcome Savings Bank to their list of banks is a straightforward procedure.The decision to embrace this innovative technology highlights the bank’s commitment to meeting the high standards set by prime commercial banks. By aligning with industry trends and bolstering their digital capabilities, savings banks like Welcome and other subprime banks can deliver improved convenience and a seamless banking journey to their valued customers.