Bithumb launches point-based ‘Benefit Zone’ to attract more crypto investors

Funding Round Sees HashKey Target Unicorn ValuationLeading financial technology company, Hong Kong-based HashKey Group, is looking to raise between $100 million and $200 million based on a $1 billion dollar company valuation that sees it take on unicorn status.According to an initial report by Bloomberg, early stage talks on the fund raise are progressing positively. It cites sources familiar with the matter in suggesting that as the fund raise negotiations progress, the terms of the offering, extent of the capital raise, and the valuation upon which its all based could change.Photo by Annie Spratt on UnsplashLeveraging a crypto-friendly environmentThe Web3 infrastructure developer and digital asset management firm has decided to take advantage of favorable conditions in Hong Kong in order to raise capital. The current business backdrop in the Chinese autonomous territory is particularly positive, and something that’s likely to make the capital raise a much easier task.Hong Kong has sought to create a crypto-friendly environment by way of both word and deed over the course of the past six months. With that being the case, it’s logical that there is tremendous opportunity for businesses like HashKey to achieve rapid growth in the nascent digital assets sector.Under the supervision of the Hong Kong regulator, Hashkey has already started to offer its services, one of only two companies (alongside OSL) to be permitted to trade in advance of the full implementation of licensing next month.While there have been some difficulties relative to banking the digital assets sector in Hong Kong, ZA Bank, Hong Kong’s largest virtual bank, has stepped up with the aspiration of banking the sector. ZA Bank is expected to facilitate crypto-fiat conversions with both of the currently licensed exchanges, HashKey and OSL, where customers can swap crypto into fiat currencies. The bank will also offer basic banking services to local web3 startups, a category that is currently underserved by traditional financial institutions.HashKey itself is cognizant of the conditions being right on the ground in Hong Kong and the opportunity that presents. Its chairman, Xiao Feng stated that Hong Kong is “very serious about building an international virtual asset center,” when speaking at the city’s Web3 Festival recently, an event that drew 13,000 attendees on its first day.Diversified service offeringThe firm’s activities in Hong Kong extend to HashKey Pro, a Hong Kong-compliant virtual asset exchange, and HashKey Capital, an investment firm. In April, the company established HashKey Wealth.This wealth management service offers investors access to a wide range of digital assets, including Bitcoin, Ethereum, and other cryptocurrencies, together with alternative investments such as decentralized finance (DeFi) projects and non-fungible tokens (NFTs).The program is designed to meet the needs of both institutional and high net worth individual investors. The investment strategies offered vary, ranging from passive to actively managed portfolios. Different risk profiles are employed to suit investors’ preferences. The program also provides a range of other services, including custody, trading, and portfolio rebalancing, to ensure that investors can manage their investments with ease.

Backpack crypto wallet secures VASP license for crypto exchange in DubaiThe Dubai Virtual Assets Regulatory Authority (VARA) recently granted a Virtual Asset Service Provider (VASP) license to the Backpack crypto wallet project. This development has paved the way for the launch of Backpack Exchange, a crypto trading platform.Details of the licensing approval and exchange launch were provided via a press release published by Backpack on Tuesday. The VASP license obtained by the fledgling startup is specific to crypto exchange services within the Dubai jurisdiction. Although it restricts Backpack from offering other virtual asset products and services, the company is embracing the opportunity via the newly launched exchange.Photo by Wael Hneini on UnsplashBackpack ExchangeThe new exchange, Backpack Exchange, incorporates cutting-edge technologies such as zero-knowledge (ZK) proof-of-reserves, multi-party computation (MPC) for custody and low-latency order execution, among other features. These technologies are poised to enhance the security, privacy and efficiency of the exchange in an effort to set it apart in the competitive crypto market.By all accounts, this will not be the last licensing announcement from Backpack. Over the past five months, Backpack Exchange has been working to secure operational licenses across multiple jurisdictions worldwide. This global expansion showcases the company’s interest in taking its product offering in the form of a secure and transparent trading experience further afield.Fiat-to-dApp bridgeWhile the wallet currently operates without specific regulatory oversight, it serves as a bridge for users to transition seamlessly from fiat to on-chain applications. Armani Ferrante, CEO and Co-Founder of Backpack, expressed his ambition to bring greater transparency to the crypto exchange sphere. He emphasized the importance of trust and verification in a sector often shrouded in opacity.Ferrante believes that leveraging cryptographic techniques such as zk-proofs, MPC, and state machine replication can elevate industry standards. Backpack Exchange aims to set a precedent by providing users with the tools and knowledge to verify transactions, ultimately fostering trust and confidence within the crypto community.Dubai’s VARA regulator has been actively enhancing its crypto-friendly regulatory environment. In February 2023, the regulator issued guidelines for VASPs operating within the emirate, emphasizing the importance of adhering to marketing, advertising, and promotion regulations. Violators may face fines ranging from 20,000 UAE dirhams ($5,500) to 200,000 dirhams, with repeat offenders potentially incurring fines as high as 500,000 dirhams.Solana ecosystem projectBackpack is very much a Solana-centric project. As a lead developer of the layer one blockchain, Ferrante is bullish in terms of future development on the Solana blockchain. His Mad Lads NFT project is the top-rated collection by market cap within the Solana ecosystem.In a podcast earlier this year, he outlined that the prospects for the blockchain are bright going forward. Backpack was first established by crypto infrastructure firm Coral, the creator of Anchor, one of the most popular smart contract developer frameworks for Solana.For existing Backpack and Mad Lads users (Mad Lads is a collection of 9,966 NFTs created by Ferrante), exciting prospects are on the horizon via the new exchange. Initial access to Backpack Exchange will be granted starting in November, with full public availability anticipated in Q1 2024. During this interim period, Backpack plans to introduce various trading functionalities, including derivatives, margin trading and cross-collateralization.

UAE Royal Office to Visit South Korea Next Month for Web3 VenturesAIITONE, an immersive tech company based in South Korea, said Monday that officials from the Royal Private Office of H.H Sheikh Ahmed Bin Faisal Al Qassimi in the United Arab Emirates (UAE) are set to visit South Korea next month. During the visit, the Royal Office will work with AIITONE to enhance collaboration with Korean enterprises leading the Web3 sector, including information technology (IT) and blockchain, and explore cooperative opportunities across different sectors such as energy and finance.The Royal Office will also engage in practical preparations for establishing the UAE banks’ Korean branches and meet with members of the Korean National Assembly and related business officials.Photo by Saj Shafique on UnsplashNurturing international relations“This visit will consist of meetings and discussions with Korean lawmakers, further strengthening political cooperation between our two countries and facilitating the exchange of opinions on crucial international matters,” a representative from the Royal Office commented.“During the visit, a South Korea-UAE Web3 forum will also be held, expediting discussions on fintech-related collaboration possibilities such as blockchain and STO,” the representative added.Transcontinental fintech growthAIITONE and the Royal Office had previously signed a memorandum of understanding (MOU) vowing to work together to expand their respective business operations into each other’s regions — East Asia and the Middle East — and subsequently bolster the fintech industries there.Under the partnership, AIITONE plans to convene with major Korean companies in order to analyze industry trends and explore potential areas for collaboration. The discussions are expected to cover various areas, including the establishment of Islamic banks in Korea, setting up offices for the investment of Arab capital in Asia, and strengthening cooperation in the field of security tokens.The company will also work with the Royal Office on security token projects and central bank digital currencies (CBDCs) — areas where Dubai leads innovation.“Through activities such as the UAE Web3 forum and blockchain-based security token ventures, we aim to pioneer new models of cooperation and achieve sustainable development,” said Bruce Jeong, Principal of Middle East Investment and AIITONE.