Startale snags additional seed funding from Samsung and UOB

Web3 firm AIITONE rebrands as BU Technology, adding new business objectivesAIITONE, a Web3 and military technology firm located in South Korea, announced on Monday (local time) that it has rebranded and will now be known as BU Technology.Photo by Steve Johnson on UnsplashElectric trains, batteries as new objectivesDuring an extraordinary general meeting of shareholders on October 5, the company formerly known as AIITONE announced a change in its corporate identity to BU Technology. This rebranding coincides with an expansion of the company’s business objectives to include the manufacturing of electric trains, batteries and charging devices. With this move, BU Technology aims to diversify its sources of revenue.The meaning behind ‘BU Technology’BU Technology, which stands for “Beyond Your Technology,” embraces the motto “Beyond Your Today, Beyond Your Expectation, Beyond Your Imagination.” This slogan reflects the company’s ambition to be a forward-thinking tech enterprise that exceeds the expectations and imaginations of its customers.BU Technology applies extended reality (XR) technology to develop computer-based training (CBT) programs and simulators for military use. It’s also ventured into creating content for industrial safety that uses augmented reality (AR) and virtual reality (VR) technology. This content is recognized for its technical quality, notably in replicating realistic effects, including sound, wind and physical sensations.The fresh corporate identity and resolve of BU Technology are also anticipated to make a positive impression on its operations in the Middle East. Earlier this year, the company inked a memorandum of understanding (MOU) with the Royal Private Office of His Highness Sheikh Ahmed Bin Faisal Al Qassimi in the United Arab Emirates (UAE). This agreement is directed at strengthening the fintech sector across South Korea, China and Japan.Additionally, in September, BU Technology successfully launched a proof-of-concept (PoC) platform tailored for the blockchain-based security token projects of securities and financial firms. This PoC platform enables the testing and demonstration of the viability and operational processes related to security token ventures.Lee Jin-yeop, CEO of BU Technology, said that the rebranding effort is aimed at enhancing the company’s brand value and introducing a fresh image for the firm. He further emphasized that BU Technology is committed to advancing the three foundational pillars of its business: military applications, XR and blockchain technology.Lee stated that incorporating new business objectives is a strategy for diversification, intended to elevate the company’s overall value. He also expressed his commitment to steering the newly rebranded BU Technology towards becoming a frontrunner in the Web3 era.

Following the recent bitcoin boom, transactions in cryptocurrencies among Korean investors have surged, significantly benefiting local banks that have made contracts with Korean crypto exchanges to offer real-name accounts for crypto investors. As the price of bitcoin soared to as high as KRW 90 million ($67.6 million) in Korea on Thursday, online-only bank Kbank saw an uptick in trading fee revenue, according to local media outlet The Seoul Economic Daily. Kbank is a partner with crypto exchange Upbit, which accounts for 70% of the Korean crypto market.  Under the current law, Korean crypto exchanges offering trading against Korean won must secure real-name accounts from a bank. These banks typically earn fees of KRW 300 to KRW 1,000 per transaction. Currently, other than Kbank, NongHyup Bank offers real-name accounts to Bithumb, Kakaobank to Coinone, Shinhan Bank to Korbit and Jeonbuk Bank to Gopax.Photo by Kanchanara on UnsplashCrypto trading volume up 68.2% in a monthAccording to Xangle, a crypto data intelligence platform, the total crypto trading volume in Korea rose by 68.2% between the last week of January and the last week of February, rising from KRW 2.39 trillion to KRW 40.2 trillion. During the same period, the daily average trading volume also grew from around KRW 4 trillion to KRW 5.7 trillion.   In particular, the bitcoin trading volume on Upbit surged to 19,254 BTC on Feb. 28, reaching the second-highest level since Nov. 10, 2022, when the asset’s trading volume stood at 20,710 BTC. After signing the real-name account contract with Upbit in 2020, Kbank raked in KRW 29.2 billion in fees during the last bull market of 2021, which was equivalent to 14% of its annual interest income of KRW 198 billion and exceeded its net income for the year, which stood at KRW 22.5 billion. Increased bank deposits from exchange usersKbank also saw a substantial rise in its balance sheet, with Upbit users depositing around KRW 2.94 trillion into their real-name accounts. The sum is six times greater than the deposits made into NongHyup Bank by Bithumb users, which stood at KRW 547.1 billion.  Experts see that the surge in Kbank’s user base, which recently surpassed 10 million users, is largely attributed to growing excitement surrounding bitcoin. One crypto insider said that crypto trading fees, which have been on the decline for the past 2 years, could take a turn this year, signaling further gains for the affiliated banks.  

HKMA reflects on retail CBDC pilot phase one completionHong Kong’s Monetary Authority (HKMA), the Chinese territory’s central bank, recently released a report following the completion of phase one of its central bank digital currency (CBDC) pilot, highlighting the potential benefits of a retail CBDC, commonly referred to as e-HKD (digital Hong Kong dollar).Photo by Ruslan Bardash on UnsplashUndecided on full implementationIn a press release published by the HKMA on Monday, the authority clarified that the report underscores that while a retail CBDC could bring value to the payments ecosystem and unlock new economic transaction possibilities, in-depth investigation and evaluation are essential before considering large-scale implementation.At this stage, Hong Kong’s central bank has not committed to introducing an e-HKD, but the report sheds light on the prospects and challenges associated with such a move. The region has been signaling its intent to position itself as a hub for virtual assets, evident in the regulatory framework introduced in June and the granting of licenses to crypto trading platforms in August.Project e-HKD, initiated by the HKMA in 2021, is a significant step toward assessing the feasibility of a digital Hong Kong dollar. The pilot program was launched in November 2022 as part of the HKMA's “Fintech 2025” strategy. However, the HKMA remains cautious, as reflected in the comments of HKMA CEO Eddie Yue earlier this month. Yue told the South China Morning Post that the central bank is still waiting for greater clarity when it comes to the technological, legal and societal aspects of full implementation.Three core attributes identifiedThe report identifies three primary areas where an e-HKD could provide value: programmability, tokenization and atomic settlement. These attributes could lead to faster, more cost-efficient and more inclusive transactions. However, it’s essential to note that the 14 pilot programs conducted with 16 participating firms during phase one were executed on a small scale within a controlled environment.The phase one review highlights that the true potential and prerequisites for implementing an e-HKD on a larger scale depend on market developments and further investigation. It acknowledges that minor issues identified during the pilot phase could become more prominent or even unacceptable in a production environment.Gearing up for phase twoPhase one of the pilot program delved into various aspects, including full-fledged payments, offline payments, tokenized deposits, programmable payments and the settlement of Web3 transactions and tokenized assets. Hong Kong is now gearing up for phase two of the pilot, with plans to explore new use cases for an e-HKD and engage in more focused pilot initiatives. The goal is to understand how the e-HKD can facilitate innovative methods of transacting goods and services while maintaining financial stability.The HKMA’s stance on a retail CBDC places it at the center of a global debate. While the U.S. remains undecided on the issue, with the topic becoming contentious in presidential elections, India has forged ahead with plans for a retail CBDC. Meanwhile, Thailand’s central bank commenced a pilot project for a retail CBDC earlier this year.