Crypto and Wall Street leaders set to meet at Abu Dhabi Finance Week next month

Japan’s HashPort Group Raises $8.5M in Funding RoundHashPort, a leading blockchain developer based in Japan, has successfully raised 1.2 billion Japanese yen (approximately $8.5 million) in a Series C funding round.The funding was secured through key investors, including Sumitomo Mitsui Banking Corporation (SMBC), The University of Tokyo, Edge Capital Partners, and Japanese billionaire entrepreneur Yusaku Maezawa. With this latest infusion of capital, HashPort’s total funding has now reached an impressive 2 billion yen (about $14.2 million).Global expansion plansThe announcement, which was made on Friday, revealed that these fresh funds will be instrumental in driving HashPort’s global expansion plans, particularly in the face of complex regulatory environments. The company aims to fortify its business operations and establish a robust compliance management system, essential for navigating the intricate web of global regulations.At the core of HashPort’s ecosystem are two significant components. The first is its namesake blockchain-related consulting and system solution, which has gained substantial recognition in Japan. The second is HashPalette, a public chain specially designed for non-fungible tokens (NFTs), tapping into the booming NFT market. Additionally, HashPort is set to unveil an exciting metaverse game called The Land Elf Crossing in the upcoming fourth quarter.Coincheck collaborationHashPort’s previous collaboration with Japanese cryptocurrency exchange Coincheck garnered considerable attention. Together, they launched Japan’s first initial exchange offering (IEO), which raised an impressive 22.45 billion yen (approximately $160 million) in commitments for the Palette (PLT) token. As a testament to the success of this venture, PLT Place, the official NFT marketplace of Palette Chain, now boasts over 370,000 users.President Seihaku Yoshida expressed HashPort’s future ambitions, revealing plans to cooperate with Expo 2025, a highly anticipated event scheduled to take place in Osaka. HashPort aims to develop digital wallets and digital passports linked to soulbound tokens (SBTs) for Expo 2025. With an estimated 28 million visitors expected to attend the expo, the company sees this as a historic opportunity to introduce Web3 technology to a broader audience.Soulbound tokensIn December 2022, one of HashPort’s current investors, SMBC, joined forces with the company to explore the potential applications of SBTs. Proposed by Ethereum Co-Founder Vitalik Buterin, SBTs represent the characteristics or reputation of individuals or entities, much like the concept of soulbound items in the popular massively multiplayer online role-playing game (MMORPG), World of Warcraft.As part of that collaboration, SMBC and HashPort were discussing the possibility of creating a “safe and secure Web3 economic zone.” No further details were given beyond that, but the idea may have been along the lines of creating something like Cyberport, an innovative digital community which has been created in Hong Kong, featuring over 1,900 start-ups and technology companies.The successful funding round marks a significant milestone for HashPort, providing the necessary financial resources to accelerate its expansion plans and drive innovation in the Web3 space. As the company continues to pioneer advancements in the blockchain and NFT sectors, its collaboration with Expo 2025 and ongoing exploration of SBTs showcase the company’s efforts in attempting to contribute towards shaping the future of decentralized technologies.

The Hong Kong Virtual Asset Consortium (HKVAC), a digital asset group in China's special administrative region, has announced modifications to its core cryptocurrency index, reshuffling the top contenders to the detriment of XRP, the payment solution token developed by Ripple Labs.Photo by Kanchanara on UnsplashSolana takes top 5 slotEffective as of this Friday, HKVAC will replace XRP with Solana (SOL) in its Top 5 Large Cryptocurrency Index, signaling a shift in the composition of its benchmark index. HKVAC is a collaborative effort between Hong Kong-based industry participants such as crypto exchanges and licensed ratings agencies. Its aim is to optimize the risk management capabilities of the crypto sector and in that way, assisting market participants including local regulatory bodies. Crypto exchange platform HTX, previously known as Huobi, became the first member of HKVAC in 2023. It was joined by iPollo, KuCoin, LK Venture, Nano Labs, Purise, Wealthking Investment, G-Rocket Global Accelerator, Hong Kong Data Infinity Technology and others in making up the organization’s membership. The HKVAC's Top 5 index reflects the global cryptocurrency ranking based on market capitalization, maintaining a pulse on the ever-evolving crypto landscape. However, beyond market cap, the digital asset group considers additional factors such as market valuation, investability and liquidity in its index rebalancing decisions. Solana’s growth and progressionSolana, currently ranked as the fifth-largest cryptocurrency, has been making substantial strides in the market. Despite the 2022 collapse of the FTX crypto exchange, which significantly impacted SOL's price, the cryptocurrency has made an impressive recovery. Over the past year Solana has surged by 315%. Presently, SOL boasts a market cap of $41 billion, securing its position in the top echelons of the cryptocurrency market. In contrast, XRP, the ousted cryptocurrency, has experienced a more modest price growth during the same period. As of the latest data, XRP holds the sixth position in the cryptocurrency ranking, with a valuation of $31 billion. The decision to remove XRP from the Top 5 index was met with a 3.9% decline in its value, settling at $0.57. XRP had moved within the Top 5 index in October of last year. It was added to the index alongside SHIB in 2023. At the time of its formation, HKVAC emphasized that market capitalization was one of the primary criteria incorporated within the evaluation, which extends to 30 cryptocurrencies. A re-evaluation is carried out each quarter on the basis of that market cap criterion. Crypto rating reshuffleThe HKVAC's reshuffling extends beyond the Top 5 index, impacting other leading cryptocurrencies. Notable changes include the removal of Filecoin (FIL), Binance USD (BUSD), Maker (MKR), Hedera (HBAR) and TrueUSD (TUSD) from the Global Large Cryptocurrency Index. These have been replaced by Near Protocol (NEAR), Internet Computer (ICP), Immutable (IMX), Optimism (OP) and Injective (INJ). Additionally, Avalanche (AVAX) is set to replace Tron (TRX) on the HKVAC Top 10 Global Large Cryptocurrency Index, effective this Friday. These adjustments come amid Hong Kong's ongoing efforts to bolster the cryptocurrency industry within the region. In December, the financial regulator in Hong Kong signaled its readiness to accept spot crypto exchange-traded funds (ETFs). This move aligns with the United States Securities and Exchange Commission's review of 11 spot bitcoin ETF applications, ultimately approved on Jan. 10.   

Chinese City Unveils Plan to Develop MetaverseThe city of Zhengzhou in China recently announced a set of policy proposals aimed at supporting the growth and development of metaverse companies in the region. These initiatives, introduced by the municipal government, include the establishment of a dedicated fund worth 10 billion yuan ($1.42 billion) to facilitate the advancement of the metaverse industry.Photo by Jéan Béller on UnsplashDraft policy proposalsAccording to the government’s draft which was published on Wednesday, metaverse companies that choose to relocate their headquarters to Zhengzhou will have the opportunity to receive a startup capital investment of up to 200 million yuan ($28.34 million). In addition, these companies will be eligible for various other benefits, such as rent subsidies, to help facilitate their operations.It’s worth noting that the policy extends beyond companies with headquarters in Zhengzhou. Any company engaged in metaverse-related use case development within the city, regardless of their headquarters location, can apply for funding. Projects certified as viable by the municipal government can receive up to 5 million yuan ($710,000) in financial support.While the specific date for fund allocation has not been disclosed yet, the municipal government of Zhengzhou has outlined its long-term vision for metaverse development in the city. It anticipates that metaverse-related industries in Zhengzhou will generate an annual revenue exceeding 200 billion yuan ($28.34 billion) by the end of 2025.Stimulating metaverse developmentThese policies apply to local enterprises operating in two distinct areas. Firstly, research endeavors focused on metaverse-related technologies, such as virtual reality, augmented reality, and brain-computer interfaces, are eligible for support. Secondly, the utilization of metaverse technologies in real-world industries, including education, entertainment, and commerce, can also qualify for funding.In addition to the dedicated fund, the government of Zhengzhou plans to collaborate with other governmental agencies and investment firms to secure an additional 50 billion yuan ($7.08 billion) in funding. This funding will be allocated to support various metaverse-related development projects. Furthermore, the city intends to provide cash rewards to metaverse companies upon their listing on China’s primary stock exchanges, aiming to incentivize growth and market participation.The comprehensive plan encompasses crucial technologies in the metaverse industry, such as blockchain, next-gen computer rendering, human-computer interfaces, and artificial intelligence. Furthermore, it strives to establish a digital asset market leveraging non-fungible token (NFT) technology.Broader metaverse strategyZhengzhou joins a growing list of Chinese cities and provinces that aspire to become leaders in the country’s metaverse development. The metropolis of Shanghai, located in the southeastern region, is actively pursuing its own metaverse aspirations. It predicts that its metaverse industry will achieve annual revenues of 350 billion yuan ($49.6 billion) by the year 2025.Elsewhere in China, there has been plenty of activity relative to Metaverse development. Zhengzhou belongs within Henan Province, and at a provincial level, administrators established a metaverse fund earlier this month. Around the same time-frame, Alibaba Cloud, the cloud division of the Chinese e-commerce giant, partnered with layer one blockchain project Avalanche with a view towards creating a metaverse launchpad.As the metaverse continues to evolve and gain prominence worldwide, it will be intriguing to observe the progress and impact of the policies implemented by Chinese cities like Zhengzhou. The concerted efforts to foster metaverse development reflect a broader global trend of recognizing the significance of virtual environments and their potential to reshape various aspects of society.