OPNX Makes a Play for Struggling Crypto Lender Hodlnaut

Former SoftBank Executive Launches Stablecoin in Abu DhabiAkshay Naheta, a former executive from SoftBank, known for his involvement in some of the firm’s most significant deals, is embarking on a new venture in Abu Dhabi, focusing on stablecoins.Photo by Mathilde Cureau on UnsplashDRAM Trust partnershipThe 42-year-old financier has established Distributed Technologies Research (DTR) within Abu Dhabi’s international financial free zone. The firm has partnered with Hong Kong-based DRAM Trust, an entity with connections to a pool of high-net-worth individuals.Together, the firms aim to tap into the stablecoin market, which analysts at Bernstein predict will surge more than twenty-fold, reaching $2.8 trillion within the next five years. While the vast majority of stablecoins are pegged to the US dollar, DRAM coins will have backing from the United Arab Emirates dirham.Targeting high-inflation countriesThis peg to a relatively stable currency like the dirham offers greater security for individuals residing in high-inflation countries like Turkey, Egypt, and Pakistan. Additionally, it presents an alternative to the SWIFT system. While the dirham currently plays a minor role in the global economy, it has recently gained prominence as a petro-currency.“Our main focus is the unbanked and under-banked in these nations,” Naheta explained in an interview from Dubai. “If you want to diversify your risk and be in a currency that’s complimentary to the dollar, there’s a big percentage of money that can move into this,” he added.Naheta previously worked as a trader at Deutsche Bank. He had played a central role in some of SoftBank’s most notable deals during his tenure. Notably, he pitched the sale of chip designer Arm to semiconductor giant Nvidia. He also led a $4 billion investment in Nvidia in 2017, generating a $3 billion profit.Since his departure from SoftBank last year, Naheta has been actively involved in various fintech projects, with the UAE serving as his base of operations.Growing stablecoin circulationStablecoins have been in existence for nearly a decade. However, their primary use has been for trading purposes to facilitate the movement of digital assets between exchanges, and their adoption in consumer payments has been limited. Currently, there are approximately $124 billion worth of stablecoins in circulation, with Tether’s USDT being the largest, followed by the Circle-issued USDC.Supporters of stablecoins view them as a superior means of achieving cost-effective and instant money transfers and payments. Nevertheless, they have encountered resistance from central banks worldwide, which are actively developing their own central bank digital currencies (CBDCs).DRAM coins will be accessible on decentralized automated market makers, including Uniswap, Sushiswap, and Pancakeswap. Additionally, the team plans to collaborate with centralized exchanges in the near future, as revealed by Naheta.UAE ‘the new Switzerland’The former SoftBank executive anticipates significant demand for DRAM coins in the UAE, where a sizable expatriate population resides. Furthermore, the country is situated close to several high-inflation nations in Africa, the Middle East, and Asia.“I’m extremely bullish on the UAE,” Naheta stated. “It’s the new Switzerland — geopolitically neutral, a great transportation hub and a top tourism destination.”

KITC Cooperates with Buysell Standards to Develop Security Token Products in KoreaKorea Investment and Securities Co. (KITC), a leading securities company in South Korea, has partnered with Buysell Standards, the operator of the fractional investment platform PIECE, to jointly develop security token services.Photo by Tierra Mallorca on UnsplashNon-traditional securitiesAccording to a report from local news outlet News1, the two entities have agreed to collaborate comprehensively on security token products. This includes offering non-traditional securities such as investment contracts and non-monetary trust contracts, establishing infrastructure for launching investment products on token issuance platforms, and setting up processes for trust agreements.Buysell Standards has been expanding its range of fractional investment products from art and luxury goods to ships. The company has successfully completed various blockchain-related projects, including the development of its own blockchain mainnet for security token issuance.KITC’s security token effortsIn March, KITC established ST Friends, an alliance established in cooperation with Internet-only banks Kakao Bank and Toss Bank. The alliance has been actively working towards commercializing security tokens by signing business agreements with fractional investment firms like content investment platform Funderful and proptech platform Valuemap Corp. Proptech, the abbreviation of property technology, refers to the use of information technology to facilitate real estate buying, selling, and management.KITC believes that the partnership with Buysell Standards will accelerate the process of providing innovative financial products. Choi Seo-ryong, the head of the platform division at KITC, expressed excitement about collaborating with Buysell Standards, renowned for its expertise in digitizing real-world assets (RWAs). Choi emphasized KITC’s commitment to converting various content that we encounter in our daily lives into security tokens.Last month, KITC inked a memorandum of understanding (MOU) with Open Asset, a blockchain fintech company based in Seoul, to develop a distributed ledger system for ST Friends.Similarly, Buysell Standards has also been proactive in forming partnerships for security token projects. In February and April, the fractional investment platform operator entered into collaborations with Shinhan Securities and KB Securities, respectively.

Hana Bank Teams Up with Content Distributor Danal Ent to Establish Security Token EcosystemHana Bank and Hana Securities, affiliates of South Korea’s renowned Hana Financial Group, have recently entered into a business agreement with content distributor Danal Entertainment as reported by local news outlet Newsis. The purpose of this collaboration is to establish a security token ecosystem centered around content and explore mutually beneficial business prospects.Photo by Shubham Dhage on UnsplashIP-backed security tokensUnder this agreement, their security token ecosystem will leverage Danal Entertainment’s diverse intellectual properties (IPs) associated with music, movies, goods, and concerts. Through the tokenization of copyrights, patents, and trademarks, the collaborative group aims to introduce cutting-edge digital financial services that provide convenient and user-friendly means of purchasing and managing a wide range of tangible and intangible assets.Legislative push in parliamentTheir collaboration aligns with the ongoing efforts within the Korean financial authority and political circles to promote security token legislation. It was reported earlier that proposed amendments to the Electronic Securities Act and the Capital Markets Act, which aim to legalize security tokens, will be submitted to the National Assembly later this month.Choi Won-young, the Managing Director of the Digital Division at Hana Securities, emphasized that this partnership seeks to establish a successful security token business model within the content and entertainment sector. Furthermore, he expressed the company’s commitment to delivering innovative digital financial services that utilize content-based security tokens, thereby creating new experiences and value for customers.Lim Yoo-yup, the CEO of Danal Entertainment, highlighted their aspiration to revolutionize the Korean content industry by streamlining the process of content creation and consumption. The expectation is to introduce a new paradigm in the industry by making it easier for users to engage with content.Danal’s setback and resilienceMeanwhile, Danal Entertainment’s parent company, Danal, reported a net loss in the first quarter of this year, primarily attributed to the decline in the value of Paycoin (PCI). PCI is the native token of PayProtocol, Danal’s crypto payment platform. The loss was largely a result of PCI’s delisting from the member exchanges of the Digital Asset eXchange Alliance (DAXA). DAXA consists of the nation’s five largest crypto trading platforms: Upbit, Bithumb, Coinone, Korbit, and Gopax.Despite this setback, Paycoin (PCI) has managed to secure trading support from cryptocurrency exchanges Huobi, OKX, Bitget, and GDAC. Furthermore, Danal is taking measures to remedy the situation. They are focusing on providing major cryptocurrency payment solutions and wallet services within the Korean market, seeking listings on foreign crypto exchanges, and expanding their presence in global markets.Hana’s blockchain initiativesIn a separate development, the Hana Financial Group has recently been actively promoting businesses utilizing blockchain technology. Earlier this month, Hana Bank joined forces with Korean blockchain firm Trackchain to develop and operate a platform that facilitates art banking services based on Web3 technology. These services involve the exhibition, advertisement, and distribution of artworks.