Korean Cafe Attracts Customers with NFTs

Busan Hosts Blockchain Conference with Aim to Become Digital Financial HubBusan Metropolitan City hosted a blockchain conference on Monday as part of its aim to establish itself as a leading digital financial hub, according to Korean news agency News1.©Pexels/BERK OZDEMIRDot-com bubble comparisonDuring the conference, Kim Sang-min, chairman of the Busan Digital Asset Exchange Establishment Committee, highlighted the distortion in the blockchain landscape caused by unfair trading due to market monopolies and subsequent regulatory challenges. He compared the current situation to the dot-com bubble, stating that despite past issues, Korea has become a technological powerhouse. Kim suggested that while there may be challenges in the crypto exchange industry, excessive regulation should be avoided to promote growth.Kang Dae-goo, CEO of crypto exchange Borabit, agreed that many industries face initial growing pains, and the crypto industry is no exception. He urged Korea to join the race with financially-advanced countries promoting cryptocurrency in order to thrive in the digital age.Busan as digital financial centerExperts at the event identified Busan as the city with the greatest potential to become the nation’s premier digital financial center. Kim noted that Busan, which has been designated as a zone with lenient blockchain regulations, houses financial institutions with assets totaling 261 trillion won (~$195 billion) as of 2021. The city also hosts various international events for games and movies, providing ample content to develop virtual asset ecosystems.Kim proposed the establishment of a digital asset exchange that focuses on investor protection, emphasizing decentralization, fairness, and integration. He called for addressing current monopolistic governance practices and resolving unfair practices within crypto exchanges, such as cryptocurrency listing evaluations.More efforts urgedAttendees at the conference suggested that the Busan government and regional banks should take the lead in building infrastructure to attract companies. Kang noted that even though Busan has been designated as a blockchain special zone for four years, 48% of the industry remain unaware of this. He encouraged Busan to step up its efforts, citing examples of other municipalities, such as Incheon, which are actively engaging in various blockchain projects.Kang stressed the importance of public bodies providing infrastructure and support to attract businesses, adding that a business-friendly environment with a proper screening scheme will facilitate self-correction within the blockchain market as problematic companies are gradually filtered out.

Ubisoft Joins Cronos as a Network ValidatorUbisoft, a world-renowned video game publisher, distributor, and creator, has entered into an exclusive partnership with Cronos, a prominent blockchain inter-operating with the Cosmos and Ethereum blockchain ecosystems. Cronos and its native CRO token were established by Singapore’s Crypto.com.According to a blog post published by Cronos Labs on Tuesday, the collaboration aims to explore the potential of blockchain technology, with Ubisoft becoming a new node validator on the Cronos network through its Strategic Innovation Lab.Photo by Ketut Subiyanto on Pexels27 node operatorsAs part of this initiative, Ubisoft joins a pool of 27 other node operators on the open-source Cronos blockchain. By doing so, the company aims to contribute to the network’s security and stability. Each node actively participates in the decentralized validation of transactions, ensuring the timely development of new blocks at intervals of 5 to 6 seconds.Cronos’ strategic approach focuses on collaborating with open-source validators and contributors who have a strong technical track record. Ubisoft’s expertise in developing immersive and engaging gaming experiences through the adoption of cutting-edge technologies aligns perfectly with Cronos’ vision. Notable existing contributors to the Cronos blockchain include Allnodes, Dora Factory, Blockdaemon, and Crypto.com, among others.Contributing towards governanceAs a validator, Ubisoft will play a vital role in the blockchain’s governance and the authorization of network updates. This partnership is a natural progression of the long-standing relationship between the two companies. Ubisoft has been actively involved in the Cronos Accelerator project as a venture mentor, fostering a strong foundation for their collaboration.Commenting on the partnership, Ken Timsit, Managing Director of Cronos Labs, revealed that Cronos Labs has had ongoing communications with the Ubisoft team for years. He emphasized Ubisoft’s unparalleled understanding of the blockchain sector’s potential and limitations, particularly in connecting gamers and creators.With Ubisoft’s involvement as a validator, Cronos blockchain is set to strengthen its security, enhance network governance, and open up new possibilities for the integration of gaming and blockchain technology. This strategic collaboration is expected to propel both companies towards innovative advancements in the ever-evolving world of blockchain and gaming.Positive developmentThe partnership between Ubisoft and Cronos holds promise for the future of blockchain technology in the gaming industry. It’s a shot in the arm for blockchain and Web3, given Ubisoft’s standing in the gaming industry, and considering that Ubisoft itself and many other headline firms in gaming seemed to have cooled their interest in the emerging space.In a recent interview, the Co-Chief Operating Officer of video gaming behemoth Sega, had described blockchain gaming projects as “boring” while outlining that the company was scaling back its interest in Web3 and blockchain.In this instance, however, as both Cronos Labs and Ubisoft leverage their expertise and resources, the potential for groundbreaking innovations and seamless integration between gaming and blockchain is within reach.This collaboration underscores the growing recognition of blockchain’s transformative power in revolutionizing various industries, including gaming. Together, Ubisoft and Cronos are poised to make significant contributions to shaping the future of blockchain technology and its applications in gaming.

Singapore Looks to Prohibit Crypto Lending and StakingIn a move to bolster investor protection and maintain financial stability, the Monetary Authority of Singapore (MAS) is introducing new guidelines for cryptocurrency platforms operating in the country.Details of the measures were published by MAS on Monday. According to its statement, the measures “will mitigate the risk of loss or misuse of customers’ assets, and facilitate the recovery of customers’ assets in the event of a DPT [Digital Payment Token] service provider’s insolvency.”The proposed guidelines outline several key measures. One such measure is the daily reconciliation of customer assets, which will help prevent discrepancies and safeguard against potential losses.Photo by Hu Chen on UnsplashHolding assets in trustAdditionally, the custody function, responsible for holding and safeguarding client assets, will be operationally separated from other business divisions to minimize the risk of mismanagement or unauthorized use. By the end of this year, it’s understood that crypto platforms will be required to store client assets in trust accounts, ensuring enhanced security and accountability.DisclosuresFurthermore, licensed cryptocurrency service providers will be mandated to provide explicit disclosures to customers, clearly outlining the risks associated with holding and trading digital payment tokens (DPTs). Recognizing the speculative nature of digital token trading, the MAS acknowledges that regulations alone cannot fully protect consumers from potential losses.To further protect retail investors, the MAS intends to prohibit cryptocurrency service providers from facilitating lending or staking activities. Lending and staking, where digital tokens are loaned or pledged to earn profits, are considered unsuitable for the general public due to their complex and high-risk nature.These measures come as part of Singapore’s efforts to strengthen its regulatory environment for digital assets. The consultation process began last year, following the collapse of FTX, a cryptocurrency exchange.Singaporeans suffered disproportionately with the collapse of FTX as previously, MAS had banned global crypto exchange Binance from operating within the city-state. That led to Singapore having more FTX customers than many other world regions. To compound matters, state-owned global investment firm Temasek, was an investor in the fraudulent crypto exchange.MAS had called for feedback and proposals, with a focus on enhancing investor safeguards and promoting responsible trading practices. While the regulations aim to provide a safer environment for investors, the MAS also emphasizes the importance of individuals exercising caution when engaging in digital token trading.Contrasting approachesWhile Singapore is taking steps to tighten regulations, other cities like Hong Kong are adopting a more inclusive approach to the crypto industry. Hong Kong Legislative Council member Johnny Ng has voiced support for the local crypto business and has encouraged prominent exchanges like Coinbase to establish operations in the territory, aiming to foster greater engagement and growth within the sector.As the crypto industry continues to evolve, regulatory frameworks play a crucial role in ensuring investor protection and maintaining market integrity. Singapore’s proactive approach to strengthening its regulatory environment reflects its commitment to striking a balance between fostering innovation and safeguarding the interests of investors.