Hong Kong Regulator Explores Tokenization to Transform Bond Market

Gravity Reports Strong Q2 Revenues, Outlining Blockchain Game RoadmapSouth Korean game developer Gravity has disclosed its consolidated financial statements to share its second-quarter performance. During this period, Gravity reported total revenues of $181 million. This represents a 147.5% increase when compared to the same quarter last year. The company also demonstrated a surge in its operating profit, reaching $40 million, which reflects a noteworthy year-on-year increase of 138.3%.Photo by Max DeRoin on PexelsRagnarok Origin driving up revenueThis upswing in revenue can be primarily attributed to the successful launch of Ragnarok Origin, an MMORPG mobile and PC game that debuted in Southeast Asia on April 6, 2023. Another contributor was the introduction of Ragnarok Origin in Taiwan, Hong Kong, and Macau, alongside Ragnarok X: Next Generation’s performance in Korea.Gravity’s reputation as a prominent player in the gaming industry has been solidified through its creation of the popular massively multiplayer online role-playing game (MMORPG) Ragnarok Online. This flagship game draws its inspiration from a series of comics bearing the same name, which weave together elements from Norse mythology.Upcoming release plansLooking ahead, the game publisher has plans to bring a variety of IP-based games to players worldwide. First, Ragnarok V: Returns is gearing up to enter its closed beta test (CBT) phase in South Korea on August 17. Meanwhile, Japanese gamers can anticipate the launch of White Chord, a character-collecting RPG mobile game, set to debut on August 29. This creation comes from the collaborative efforts of Yulong Games, a Chinese mobile game developer, and Gravity Games Alliance (GGA), Gravity’s Japanese subsidiary.Drawing on its remarkable achievement in Southeast Asia, Ragnarok Origin is now gearing up for a forthcoming launch in Central and South America, scheduled for the fourth quarter of this year. Additionally, fans in Vietnam can look forward to the release of Ragnarok M: Eternal Love, an MMORPG mobile game, slated to arrive in 2024.Blockchain initiativesGravity’s ventures into the realm of blockchain technology also deserve attention. In this regard, Ragnarok Landverse, an MMORPG blockchain PC game, is poised to undertake its second round of CBT during the third quarter of this year. The game sets its sights on a broader launch in the latter half of 2023, encompassing regions like Southeast Asia (excluding Thailand and Indonesia), the Middle East, India, Africa, and Oceania.Furthermore, the anticipation mounts for the global launch of Ragnarok Poring Merge NFT, a time-effective RPG blockchain mobile game, projected to make its debut in the fourth quarter of this year. Another captivating prospect is Ragnarok Monster World, a Web3-based RPG blockchain game for both mobile and PC platforms. Developed by Singaporean company Zero X And, known for its expertise in blockchain game and solution development, the game utilizes NFT technology and is earmarked for release in 2024.

Wallets belonging to the defunct Japanese Bitcoin exchange Mt. Gox have transferred over 140,000 Bitcoin (BTC), valued at approximately $9 billion, to an unknown address.  Sell-off fearsThis significant movement began in the early hours of Tuesday morning in Asia, marking the first such transfer from Mt. Gox’s cold wallets in over five years. Julio Moreno, head of research at CryptoQuant, initially confirmed that 12,239 Bitcoin had been transferred from Mt. Gox over the course of an hour. A short time later, he provided an update on X, stating:"All coins have been transferred to a new address." Despite market disquiet, the prevailing view which subsequently emerged is that the transfer is believed to be part of a plan to distribute assets back to creditors before the October 31, 2024 deadline. Alex Thorn, head of research at Galaxy Digital, shared his perspective on X, suggesting that most of the transferred Bitcoin would likely be held by creditors rather than being sold on the open market. Despite these reassurances, the market reacted negatively for a time. Bitcoin's price dropped by 1.4% since the start of Asian trading hours, falling to a low of $67,680 from a Monday high of over $70,000.Photo by Kanchanara on UnsplashNo Bitcoin FiresaleTo quell fears of a massive Bitcoin sell-off, Mark Karpeles, the former CEO of Mt. Gox, addressed the situation on X. He stated: “As far as I know, everything is fine with MtGox. The trustee is moving coins to a different wallet in preparation for the distribution that will likely happen this year. There is no imminent sale of bitcoins happening." Rehabilitation trustee Nobuaki Kobayashi also issued a press release, clarifying that no sale of Bitcoin or Bitcoin Cash (BCH) had taken place. He assured that the group was "managing bitcoin and bitcoin cash in a secure manner." Wallet activity reveals that these movements were executed through thirteen transactions. A test transaction worth $3 was made on May 20, followed by another smaller transaction of $160 early Tuesday. The remaining transactions varied from $1.2 million to $2.2 billion worth of Bitcoin. Bitinfocharts data shows that all of Mt. Gox's Bitcoin has now been consolidated into a single wallet. A long road to repaymentIn September 2023, Mt. Gox’s trustee announced that the repayment deadline had been extended by 12 months to October 31, 2024. It looked like repayments were imminent in November. However, those communications referenced cash repayments rather than the distribution of Bitcoin and Bitcoin Cash. Some cash repayments had started in December 2023. Speculation in January that the bankruptcy estate would begin the distribution of Bitcoin led to market fears of the impact that would have on the Bitcoin unit price. The extension provided a longer timeframe for preparing the distribution of assets to creditors. Mt. Gox, launched in 2010, quickly rose to prominence, becoming the largest Bitcoin exchange by 2013, handling 70% of all Bitcoin trades worldwide. However, the exchange faced a dramatic downfall in early 2014.  It suspended trading and stopped all withdrawals after losing hundreds of thousands of Bitcoin in a hack. Subsequently, the site went offline, and the company filed for bankruptcy protection after losing over 800,000 Bitcoins. Creditors have been waiting for repayment ever since.

Worldcoin, the startup co-founded by OpenAI CEO Sam Altman, has encountered setbacks in its eye-scanning initiatives just six months after its international expansion. A recent report by TechCrunch indicates that the company’s signature orb eye-scanner is no longer available to users in the Indian market. According to that report, the Worldcoin Foundation clarified that its activities have also been suspended in France and Brazil. The company clarified that its offerings in those markets were only intended to be limited-time product previews as opposed to long-term roll-outs.Photo by Big G Media on UnsplashTemporary service haltIn India, the World App is experiencing widespread adoption, but the orb-verified proof of personhood services has been temporarily halted. The pause aims to allow the protocol to develop and implement a bespoke, safe and orderly process to meet the growing demand. The setback comes after Tools for Humanity, the organization behind Worldcoin, announced the expansion of World ID, its digital identity program linked to iris scans, in July. The startup had ambitious plans, intending to make 1,500 orbs available in over 35 cities globally. Recently, the company unveiled a program offering $5 million in grants to developers utilizing its eye-scanning technology. Regulatory investigationsSam Altman and his co-founders established Worldcoin in 2020 to help individuals prove their digital identity amidst the rise of AI. Over the years, Worldcoin has secured $250 million in funding from notable venture capitalists, including Andreessen Horowitz. However, the startup has faced regulatory challenges, including investigations by French and German regulators and an Argentinian government agency. Altman, himself, has navigated recent challenges. In November, the OpenAI board temporarily removed him as CEO, reinstating him two weeks later. More recently, Fortune reported that Altman quietly received $75 million from the University of Michigan for a new venture capital fund, raising questions about transparency, particularly following the launch of OpenAI’s signature product, ChatGPT. Asian tourIn recent weeks, the project development team behind Worldcoin had engaged in a tour of Asia. The objective of that mission was to gather market feedback prior to engaging in greater efforts to expand the reach of its World ID verification system within the region. To gauge market receptiveness to its product offering, the tour included meetups in major Asian cities such as Hong Kong, Seoul, Singapore and Tokyo. Up until mid-November, the Asian region accounted for 1.4 million World App sign-ups.The introduction of World ID 2.0 by the company on Dec. 13 led to a surge in the price of WLD. Over the course of the 48 hours that followed, it jumped from $2.47 to $4.23, a 71% increase. At the time of writing, the token unit price stood at $3.66. As Worldcoin navigates these challenges, the cryptocurrency industry will closely monitor developments, recognizing the broader implications for the startup’s innovative approach to digital identity verification.