Senior Gyeonggi Officials Required to Declare Virtual Asset Holdings by Sept 1

Fobl Partners with KDAC to Store Part of Customers’ Assets in CustodyKorean non-fiat cryptocurrency trading platform Fobl announced on Tuesday that it has teamed up with Korea Digital Asset Custody (KDAC) to provide enhanced customer protection.©Pexels/Savvas StavrinosKDAC, backed by Shinhan Bank, has been providing virtual asset custody services to businesses seeking safe asset management.Collaboration plans between Fobl and KDACWith the partnership, the two sides will store a portion of Fobl customers’ assets in custody, build a systematic process for custody of projects’ virtual assets and their pre-disclosures, and seek out new business opportunities in the Korean security token market.Fobl’s potential transformation to fiat exchangePreviously, it was reported that Fobl is set to face a comprehensive inspection next week from the Financial Intelligence Unit (FIU) under the Korean Financial Services Commission (FSC).This move from the FIU suggests that Fobl may soon become a fiat crypto exchange in the near future, as the financial regulator has announced that it will first inspect non-fiat exchanges that are preparing to allow fiat trading.

Dunamu Restructures Leadership at Its Blockchain Research ArmDunamu, the operator of South Korea’s largest cryptocurrency exchange Upbit, has implemented leadership changes at its blockchain research arm, Lambda256. That’s according to a report by local media outlet Decenter.Photo by Lea L on UnsplashCo-leadership structureStarting this month, Lambda256 welcomes a co-leadership structure, with tech maven Chung Ui-chung and financial specialist Park Yong-shin stepping in as co-CEOs. Each CEO holds independent signing authority. Chung previously held the role of Chief Technology Officer (CTO) at internet messaging giant Kakao, while Park Yong-shin boasts a distinguished career in public administration and finance, having passed the civil service examination and later steering the helm at Heungkuk Investment Trust Management, currently known as Heungkuk Asset Management.Tech expert and gov’t affairs specialistThe reshuffle follows the departure of former CEO Park Jae-hyun, who resigned last month. Shedding light on the division of roles, a Lambda256 official mentioned that Chung will spearhead practical endeavors, whereas Park Yong-shin will liaise with government sectors. Industry analysts perceive this strategic move as Lambda256’s intensified drive to hone its technological edge and navigate the evolving government regulations surrounding security tokens and associated blockchain ventures.Dunamu, holding a dominant 60.6% ownership in Lambda256, established the company in 2018, entrusting the leadership to Park Jae-hyun, a former employee of SK Telecom and Samsung Electronics. The subsequent year saw Lambda256 evolve into a subsidiary, rolling out blockchain platforms like Luniverse. However, financial challenges loomed, with the firm recording net losses of KRW 2.1 billion ($1.6 million) in 2020, KRW 3.7 billion in 2021, and KRW 46.5 billion in 2022.

Thailand’s capital markets supervisory agency, the Securities and Exchange Commission (SEC), is preparing to launch a trading system, built on distributed ledger technology (DLT), to enable securities firms to trade tokenized securities.Photo by allPhoto Bangkok on PexelsTokenized investments gaining tractionThat’s according to a report published on Feb. 3 by Bangkok-based English language newspaper, the Bangkok Post. Jomkwan Kongsakul, deputy secretary-general of Thailand’s SEC, said that tokenized investments are gaining traction. With that, the development will give the regulator experience in supervision of the latest digital-era markets. The move is also seen as an indication to securities firms of the acceptability of DLT-based tokenized trading from a regulatory perspective in Thailand. The regulator plans to sign off on permitting securities firms to trade digital tokens, bootstrapping digital token trading through accessing the large investor bases of these firms. Commenting on the initiative, Jomkwan Kongsakul stated: “The SEC is leveraging technology to enhance efficiency in the capital market by promoting an electronic securities ecosystem,” while “new regulations will be launched to facilitate the issuance of electronic securities and online purchases of debentures.” Debentures are unsecured debt instruments issued by companies to raise funds. Efficient primary & secondary market tradingThe proposed system will incorporate primary and secondary market trading of fully digitized bonds. Other features will include investor registration and multiple blockchain support with the inclusion of blockchain interoperability capabilities. It is as yet unclear which blockchains the platform will be built around. Speaking on that topic, the SEC executive stated: “In the future, there may be multiple chains for trade. Trading through DLT on all systems is connected by a shared ledger, which is expected to be completed soon.” In its preparations to launch the system, the Thai SEC has approved four digital token projects thus far. Two more projects are understood to be at the review stage. The focus is being placed on green tokens and investment-based projects. The regulator believes that through tokenization, greater efficiency and liquidity can be achieved. There’s a delay of between seven and 14 days before bonds, which have been bought on the primary market, can be traded on a secondary market. Tokenization can help to resolve this issue.  Furthermore, where bonds are too expensive for investors or too illiquid, tokenization can help in both cases, broadening access to the range of products available to the investing public. In addition to this latest news, a number of positive signs have arisen from Thailand with respect to digital assets in recent weeks. It emerged last month that the SEC is considering approving spot Bitcoin exchange-traded funds (ETFs) within the Southeast Asian nation.  Related to that development, SEC Secretary-General Pornanong Budsaratragoon said that the agency has “to adapt and ensure that our investors have more options in crypto assets with proper protection.” Last month, comments made regarding cryptocurrency by Thailand’s former Prime Minister, Thaksin Shinawatra, were quite positive. He called on the SEC to enable the trading of stablecoins. Since then, Thailand’s Minister of Finance, Pichai Chunhavajira, discussed plans to issue a stablecoin that would be based on the Thai Baht and backed by government bonds.