Korean blockchain firms Creder and ITCEN partner with Malaysia STO exchange Green-X

Korea unveils detailed plan for retail CBDC transaction pilot with 100K participantsThe Bank of Korea (BOK), Financial Services Commission (FSC) and Financial Supervisory Service (FSS) jointly announced on Thursday (local time) their comprehensive plan to pilot a central bank digital currency (CBDC). This pilot program will concentrate on two key areas: retail transactions and technical experiments within simulated environments.For the retail transaction aspect, the test aims to give citizens direct experience in using the new digital currency, helping them understand its advantages. This practical approach will promote public familiarity with the CBDC.In terms of technical experiments, these will be conducted in partnership with various banks. The goal is to explore and develop methods for constructing a financial market infrastructure suitable for the future, leveraging the capabilities of the digital currency.Photo by Terrence Low on UnsplashRetail CBDC test to commence in Q4 2024The initiative to examine retail transactions using a CBDC is scheduled to begin in the fourth quarter of 2024. This test will focus on improving how vouchers work. Currently, the use of vouchers faces several challenges, such as high fees, complex and slow settlement procedures and the risk of fraudulent transactions. CBDC-based deposit tokens programmed with the digital voucher functionality could help solve these problems. The exploration of digital vouchers within the realm of CBDCs is not just a concern in Korea but also a topic of global interest.Banks that will participate in the CBDC retail transaction test are to be selected by the end of the third quarter of next year, following necessary procedures such as the financial regulatory sandbox policy. These selected banks will receive the green light to issue deposit tokens within this regulatory sandbox framework. They’ll be in charge of recruiting and managing test participants, which includes both individuals and merchants. Additionally, these banks will be responsible for developing digital wallets for users and handling payment transactions. On the other hand, any bank interested in joining technical experiments in simulated environments may apply to do so until mid-December this year.Citizens who want to take part in the retail transaction test for the CBDC can apply through the banks involved in the test. However, it’s important to note that since this CBDC utilization test is a limited trial, the number of participants will be limited to a maximum of 100,000.The retail transaction test for the CBDC will involve three stages: issuance, distribution and payment. Initially, banks will issue deposit tokens with digital voucher functions upon request. Users will then use these tokens to buy goods from merchants, with the transactions being settled accordingly. Before starting, the BOK, FSC and FSS will propose pilot tasks to the banks, following consultations with relevant agencies and the review of pertinent laws. Banks will also propose tasks related to the voucher function. During the test, these tokens will be used solely for digital voucher transactions, and peer-to-peer transfers won’t be allowed.Simulated environment experiments: three use casesFor technical experiments within simulated environments, the financial authorities have selected three use cases focused on examining the technical feasibility of new types of financial instruments.The first objective is to collaborate with Korea Exchange, the only securities exchange operator in the country, to connect the CBDC system with a carbon credit trading simulation platform. This platform will be based on an external distributed ledger. The key objective here is to assess if the “delivery versus payment” (DvP) mechanism between carbon credits and special payment tokens can function smoothly. DvP is a settlement method that ensures the transfer of securities occurs only after the corresponding payment is made.The second objective will see collaboration with the Korea Financial Telecommunications and Clearings Institute (KFTC). In this scenario, a hypothetical issuer will release tokenized assets to the public through a public offering. To manage this, deposit tokens that match the subscription amount by investors will be temporarily frozen, preventing them from being liquidated. After the final allocation of these tokenized assets is determined, the system, using smart contracts, will automatically transfer funds equivalent only to the allocated tokenized assets.The last objective revolves around advancing the concept of a unified ledger introduced by the Bank for International Settlements (BIS). In this endeavor, the BOK aims to issue digital demo securities within the CBDC system. Following this, an experiment will be conducted where financial institutions will have the opportunity to trade these digital securities using the institutional CBDC. This trading will be executed using the DvP method.

CarrieVerse joins Dubai’s DMCC as metaverse service providerWeb3 metaverse platform CarrieVerse has joined the Dubai Multi Commodities Centre (DMCC), the UAE’s largest free-trade zone for a wide array of companies including those in the blockchain and crypto industry. Last month, CarrieVerse received final approval to establish a local subsidiary there, which will serve as a hub to expand its global Web3 ecosystem, particularly in the Middle East and North Africa (MENA) region.Photo by ZQ Lee on UnsplashAn ever-growing business hub“DMCC has recently risen as a hub for Web3 companies and investors that is actively supported by the Dubai government and the royal family. As the first Korean Web3 company to officially partner with DMCC, we expect that CarrieVerse will grow into a global company here,” said David Yoon, CEO of CarrieVerse.DMCC is a UAE government agency located in the Jumeirah Lakes Towers district of Dubai and is currently led by Executive Chairman and CEO Ahmed Bin Sulayem. It is home to more than 23,000 companies ranging from startups to large corporations and has been named Global Free Zone of the Year by the Financial Times’ FDI Magazine for nine consecutive years since 2015.Notably, the zone also has a Crypto Centre for blockchain and crypto businesses, including big names like Binance and Bybit. It has been supporting companies by providing funding, incubation, peer-to-peer matching and opportunities for collaboration.According to Zaher El Orm, the Crypto Centre Executive at DMCC, the Crypto Centre also supports businesses in their pursuit of crypto licenses for business activities and regulated virtual assets activities. These include blockchain as a service, metaverse service provider, crypto proprietary trading and crypto mining activities. CarrieVerse revealed that it has officially obtained a license as a metaverse service provider.Promising outlook for CVTXDMCC is now an official partner of CVTX, the platform’s governance token, which is expected to boost the token’s momentum on global exchanges. It has recently been listed on the Singapore-based digital asset exchange BingX. This will further help the platform secure partnerships with more than 1,000 leading global Web3 companies at DMCC.CarrieVerse and DMCC stated that they plan to reveal the roadmap of their partnership in the future.

Korean Police Agency Bolsters Crypto Investigation SkillsThe Korea National Police Agency (KNPA) is escalating its efforts to improve its proficiency in probing digital asset-related crimes. As reported by Digital Today, this will be achieved by providing dedicated training to track digital assets and implementing a strategic plan to eradicate such illicit activities.Photo by Pixabay on PexelsTracking digital assetsIn a recently revealed training proposal, the KNPA outlined its intention to launch a specialized training program on tracking digital assets. The program, scheduled to begin in mid-July, will run for three months and include four distinct sessions, with a total of 120 attendees.The rising number of cases involving the illicit use of virtual assets to gain criminal proceeds has underscored the necessity for proficient tracking of these assets during investigations. As part of its commitment to strengthening its cyber investigation capabilities, the KNPA is encouraging its officers to obtain professional certifications. Last year, the agency also organized a training course focusing on tracing virtual assets.Hands-on, case-based approachThis year’s training curriculum will adopt a more hands-on, case-based approach, emphasizing practical experience. There will be two types of courses offered: specialized and advanced. They will cover a range of topics, including the fundamentals of Bitcoin, the differences between Ethereum and Bitcoin, and the concept of crypto mixing and unmixing.Chainalysis certificationsUpon completion of the specialized course, participants will be awarded a Chainalysis Reactor Certification from a reputable crypto data analysis company based in New York. Those completing the advanced courses will receive certifications such as the Chainalysis Ethereum Investigations Certification and the Chainalysis Investigation Specialist Certification.In April, the KNPA initiated a procurement procedure to acquire and install 12 units of crypto tracking software developed by Chainalysis, costing 81.67 million KRW ($61,000) per unit. This software allows for real-time monitoring of crypto address transactions, data visualization, correlation analysis, and supports the tracking of over 100 tokens, including Bitcoin and Ethereum. It also facilitates IP tracking and unmixing, a technique used to disentangle mixed cryptocurrency transactions.Strategic effortsTo further enhance its expertise in investigating virtual assets, the KNPA commissioned a study this month titled “Establishing Strategies to Eradicate Virtual Asset Crimes and Address Investigation Risks.” Through this initiative, the agency aims to examine the policy and legislative approaches adopted by other countries in combating crypto crimes, assess their applicability in Korea, and study investigative techniques and systems tailored to various virtual assets.