Taiwan not rushing into CBDC issuance following prototype build

SK C&C to provide ChainZ Security Token service for Hana SecuritiesSK C&C, a comprehensive digital solutions provider and the affiliate of South Korean conglomerate SK Group, announced Tuesday (local time) that it will provide the blockchain-based ChainZ Security Token service to Hana Securities for the securities firm’s construction of a security token system.Security tokens enable the conversion of assets such as real estate, art and carbon credits into digital tokens. These digital representations open up opportunities for retail investors to make fractional investments in assets that were previously beyond their reach due to high minimum investment requirements.Hana Securities’ involvement in security tokens emerged when its parent company, Hana Financial Group, joined a consortium called the Next Finance Initiative (NFI) in June to expand the security token ecosystem. In this collaborative effort, Hana Securities is set to develop infrastructure that will enable the establishment of extensive security token services. This infrastructure will support functions such as the issuance, distribution and procurement of security tokens.Photo by Shubham Dhage on UnsplashSecurity tokens on EthereumThe ChainZ platform allows the creation, issuance and trading of tokenized assets on the Ethereum network by simply calling an application programming interface (API). The company explained that being compatible with several Ethereum standards, including ERC-20, ChainZ enables users to create diverse token-related services with just a few clicks.SK C&C will leverage the ChainZ platform, which supports distributed ledger services, to manage token offerings and allocations. Additionally, the company will offer security token-related services, which will include processing investor orders and facilitating the buying and selling of tokens.Choi Cheol, Head of SK C&C’s Web3 and Convergence Group, said that the security token system of Hana Securities will lay a foundation for securities firms to adopt security token services and engage in business collaborations with each other. According to Choi, SK C&C is committed to providing secure trading services for security tokens, catering not only to securities companies but also to a broader range of enterprises and general investors. The tech company is also planning to take an active role in NFI and other consortiums with securities firms as a part of its strategy to enhance these efforts further.

Binance Japan now fully operationalGlobal cryptocurrency exchange Binance has officially commenced full operations in Japan through its locally incorporated Japanese entity, Binance Japan.Photo by Sora Sagano on UnsplashSetting off on a compliant footingFollowing a period of collaboration with regulatory authorities, Binance Japan is positioning itself firmly under the purview of clear regulatory frameworks set by the Japanese authorities.The Japanese government has instituted stringent regulations for cryptocurrency exchanges, aiming to bolster consumer protection, thwart money laundering and create a more secure trading environment. Binance Japan’s decision to align itself with these regulations comes in a year in which the leading crypto platform has encountered regulatory pushback in a whole host of jurisdictions around the world.Under the established regulatory framework, cryptocurrency exchanges in Japan are mandated to secure a license from the Financial Services Agency (FSA), the nation’s financial regulatory body. This licensing process ensures that exchanges adhere to rigorous security measures, maintain robust internal controls and implement protocols for the protection of customers.Phased market entryIt emerged back in May that the company planned to establish a separate Japanese entity. In August Binance Japan started to offer a limited service, enabling access to 34 token listings. In November the firm added 13 further digital assets, with the suggestion that it would eventually offer 100 tradable digital assets.Taking to the X social media platform on Sunday, Sota Watanabe, the founder of Polkadot-centric multichain dApp hub Astar Network and the CEO of Singapore-based Startale Labs, confirmed that Binance Japan is now in full operation. Watanabe wrote:”Binance Japan started its full operation yesterday under clear regulations set by the government, and they have listed Astar from day 1 as one of the first cryptos. I hope more and more Japanese people enter our ecosystem.”Focus on stablecoinsIn a virtual business discussion at the end of August, Head of Binance Japan, Takeshi Chino, set out the company’s vision going forward. Part of the business plans includes potential collaborations on the development of stablecoins. Further news on that pursuit became known the following month when Mitsubishi UFJ Trust and Banking Corporation (MUTB), the trust arm of Japan’s largest bank, announced a collaboration with Binance Japan that will investigate the issuance of public blockchain stablecoins denominated in the local currency, the Japanese yen, as well as other fiat currencies.The full launch of Binance Japan signifies the increasing recognition of cryptocurrencies as a legitimate financial asset class. With a major global exchange like Binance willingly adhering to local regulations, it sets a positive precedent for other exchanges and entities in the region to follow suit.Furthermore, given Japan’s historical significance in the global cryptocurrency market, Binance’s operations in the country could contribute significantly to the broader acceptance and integration of cryptocurrencies into the financial ecosystem. This move aligns with the global trend of heightened institutional interest in digital assets.Binance Japan’s initiation of full operations within a clear regulatory framework marks a further stride forward for both the exchange and the Asian crypto market.

Coincheck, a subsidiary of Monex Group, a Tokyo-based global financial services firm, has gained U.S. Securities and Exchange Commission (SEC) approval to become the first Japanese crypto exchange to list on the Nasdaq, an American stock exchange.Photo by Denys Nevozhai on UnsplashSPAC mergerThe approval by the U.S. regulator was filed on Nov. 13. The listing has been enabled due to the company’s decision to enter into a merger with a special purpose acquisition company (SPAC), namely Thunder Bridge Capital Partners (TBCP).  A SPAC raises money through an initial public offering (IPO) to either acquire or merge with an existing company. Opting for a SPAC means that Coincheck can forego a lot of the time and expense that would be necessary if it attempted to effect an IPO on its own. Parent company Monex Group published a statement outlining that Coincheck CEO Yuko Seimei had “been diligently preparing for listing its common stock on the Nasdaq Global Market (“Nasdaq”) through a previously announced business combination with Thunder Bridge Capital Partners.” Possible Nasdaq listing on Dec. 10 In a press release issued by TBCP, the company claimed that the proposed merger is anticipated to close on or about Dec. 10, 2024. That eventuality is subject to stockholder approval, Nasdaq approval and specific closing conditions. Consequently, Coincheck’s Nasdaq listing could potentially happen as early as Dec. 10. TBCP is holding a shareholder vote on the merger on Dec. 5. If all conditions are satisfied to pave the way for listing, the company’s stock will be listed using CNCK as the Nasdaq stock ticker. Once the merger and Nasdaq listing have been accomplished, Coincheck will still remain a subsidiary of Monex Group. The merged business will gain access to $237 million, held in trust by TBCP, with Monex retaining an 82% stake in the company. Furthermore, Thunder Bridge CEO Gary Simanson will lead the new company. The $1.25 billion merger had been in the works since 2022, having faced multiple delays on the path towards merger completion and Nasdaq listing. Coincheck finally filed with the SEC to merge back in May. Parent company Monex has other interests in the digital asset sector beyond its involvement with Coincheck. Last December the company acquired a majority stake in 3iQ Digital Holdings, a Canadian crypto asset management company.Monex has just launched a new brand, Monex Web3, comprising of Monex’s Web3 business portfolio. It also offers a Web3 consulting business, using its local know-how to guide Web3 startups in entering the Japanese market. Coincheck has also engaged in partnerships to assist other firms in gaining access to the Japanese market. Earlier this year the leading Japanese crypto exchange partnered with USD Coin (USDC) stablecoin issuer Circle, in an effort to expand USDC access within the local market. In January 2018 the exchange suffered what was at the time the world’s largest ever digital asset theft, losing $534 million in virtual assets in a hack of the platform.