DPK’s landslide win in general election stokes anticipation of spot Bitcoin ETFs approval in Korea

The Financial Services and the Treasury Bureau (FSTB), a policy bureau attached to the government of the special administrative region of Hong Kong, has released a new digital assets policy statement, incorporating its “LEAP” framework for the digital assets industry within the city. The document, outlining the government’s objectives and guiding principles relative to the digital assets sector, builds on its first policy statement for the industry which it published in October 2022.Photo by Harry Shum on PexelsA ‘LEAP’ towards an integrated digital assets ecosystemThe FSTB suggests that this new policy statement builds upon foundational initiatives pioneered through the initial policy statement, asserting that “Hong Kong is poised to 'LEAP' towards a trusted, sustainable, and deeply integrated [Digital Assets] ecosystem embedded within the real economy.” The government agency also suggested that this “Policy Statement 2.0” also builds on the “ASPIRe” digital asset regulatory roadmap introduced by the Securities and Futures Commission (SFC) in February, outlining the next phase of digital asset sector development in Hong Kong. Strengthening global hub statusThe government has set out to home in on strategic measures to bring about greater liquidity in digital asset markets and diversify digital asset product offerings, while strengthening the Chinese autonomous territory’s position as a global hub for the digital asset sector. “LEAP” is an acronym for the proposed initiatives that underpin the new framework, including: - Legal and regulatory streamlining- Expanding the suite of tokenized products- Advancing use cases and cross-sectoral collaboration- People and partnership development The framework focuses heavily on the tokenization of real-world assets (RWA), with particular emphasis on bond tokenization. In February 2023, Hong Kong pioneered the issuance of the world’s first-ever tokenized government green bond. Building on that, it now seeks to bring about the regularization of the issuance of tokenized government bonds. The Hong Kong government would also like to see tokenization efforts expanding into “a broader range of assets and financial instruments.” It cited sectors such as precious metals, non-ferrous metals and renewable energy as candidates for tokenization. Promoting tokenized ETFsThe authorities are also encouraging tokenized exchange-traded funds (ETFs), with plans to introduce a stamp duty waiver for these products as an incentive. Additionally, the Hong Kong government is interested in nurturing the development of secondary market trading of such tokenized ETF products, whether that’s through digital asset trading platforms or other channels. The framework considers the further development of stablecoins. The city’s new licensing regimen for stablecoin issuers commences on Aug. 1. The FSTB maintains that stablecoins have the potential “to transform payments, supply chain management, and capital market activities by offering a cost-effective and efficient alternative to traditional systems.” In order to capitalize on this potential, the Hong Kong government, together with the city’s regulators, intends to enable licensed stablecoin issuers in the city “to explore and implement different stablecoin use cases.” Cyberport, a Hong Kong business park and digital technology incubator that hosts in excess of 1,650 startups, will also extend its support through its incubation ecosystem to further the objectives set out in the Hong Kong government’s new digital assets policy statement.

Circle and Grab Partner to Pilot Web3 App IntegrationUSDC stablecoin issuer Circle is embarking on a strategic partnership with Grab, Southeast Asia’s multifaceted super app for transportation, deliveries, and payments relative to Web3.Announced via a press release published to Circle’s website on Thursday, the collaboration marks yet another step forward in realizing the promise of Web3 technology in Singapore.Photo by Jason Miraples on UnsplashCircle’s foray into Web3Circle’s latest offering, a Web3 services platform, is set to be seamlessly integrated into the Grab app. The objective of that integration is to enhance Grab user experiences through blockchain-enabled solutions. In that way, the partnership will broaden the horizons of Grab’s already extensive service portfolio, which includes ride-hailing, food delivery, package delivery, ticket bookings, and insurance. Grab hopes that the move will propel the Singaporean super app further into the world of blockchain technology.Grab Web3 WalletNews that Grab was on the road towards rolling out a Web3-related product offering leaked out last week when Chinese crypto reporter Colin Wu tweeted out details related to a Web3 wallet. This official announcement qualifies those initial reports, as one of the key aspects of this collaboration is the introduction of the ‘Grab Web3 Wallet.’The feature, accessible to Singaporean users, enables the easy setup of a blockchain-enabled wallet. Users will have the opportunity to earn rewards in the form of digital collectibles and utilize non-fungible token (NFT) vouchers, thereby immersing themselves in the dynamic world of digital assets.To kickstart this venture, Circle’s Web3 Services will initially support the SG Pitstop Pack NFT vouchers. These vouchers can be redeemed at popular Singapore-based stores in advance of the upcoming F1 Singapore Grand Prix. Jeremy Allaire, Co-Founder and CEO of Circle, expressed his enthusiasm for the company’s efforts in collaborating with what he termed “global-scale consumer internet brands to bring everyday utility to users.” Allaire maintains that the partnership with Grab aligns perfectly with that mission.While bringing Web3 technology into everyday use in Singapore, the partnership also lends support to the Monetary Authority of Singapore’s (MAS) Project Orchid initiative. This initiative seeks to demonstrate the real-world application of Purpose Bound Money. Circle’s Chief Strategy Officer and Head of Global Policy, Dante Disparte, expressed the company’s enthusiasm for accelerating blockchain-powered innovation alongside Grab while aligning with Singapore’s vision to be a leading global hub for responsible digital asset innovation.Circle has been steadily establishing its presence in Singapore, with notable achievements including acquiring a Major Payment Institution (MPI) license from the MAS in June and opening its official office in May.In February, Circle joined forces with Tribe, the first government-supported blockchain ecosystem builder, to launch a unique training and support program aimed at nurturing and upskilling the region’s Web3 developer talent pool.Founded in 2012 in Malaysia as a ride-hailing app, Grab initially entered the scene as a competitor to Uber in the region. Over the years, it has evolved into a true “super app,” offering a myriad of services, including GrabPay (payment services), package delivery, ticket bookings, and insurance. Its user-friendly interface and comprehensive services have made it the go-to app for more than 25 million users in Southeast Asia every month.

Japanese Expansion Sees XDC Network Pair Up with SBI SubsidiaryThe XDC Network, a leading carbon-neutral, enterprise-grade hybrid blockchain solution formerly known as XinFin, is gearing up to make inroads into the Japanese market through a partnership with SBI VC Trade, a cryptocurrency exchange subsidiary of Tokyo-based financial holding company SBI.On May 31, the Singapore-based team behind XDC Network announced its addition to SBI’s crypto exchange subsidiary, marking an important milestone in their expansion efforts. Fumiki Ozaki, CEO of SBI VC Trade, expressed his excitement about the partnership, stating, “We are delighted to expand our cryptocurrency offerings by adding XDC to our exchange. XDC Network brings a unique value proposition to the trade finance market, and we believe its addition will enhance our customers’ trading experience.”Photo by Denys Nevozhai on UnsplashToken gainsThe XDC token has been gaining significant traction recently, becoming one of the top 5 altcoin gainers in March 2023 with a 54% rise in just 30 days. The network supports Ethereum Virtual Machine-compatible smart contracts, protocols, and atomic cross-chain token transfers. It also complies with the ISO-20022 message standard, which is widely accepted for electronic data interchange between financial institutions.This particular announcement on Wednesday has resulted in XDC token appreciation of 10% over the past 24 hours alone. At the time of publication, the project’s native token stood at a unit price of $0.03456.Ecosystem development decentralizationIn a move towards decentralization, the XDC Network recently established a decentralized autonomous organization to govern the blockchain. With its deployment in May, the community will have a say in the distribution of ecosystem funds to foster further development.While the project team behind the blockchain network believes the network itself to be decentralized, many projects in crypto have grappled with the difficult issue of governance. XDC Network’s DaoFin project exemplifies its efforts to achieve a more equitable and decentralized form of network governance.SBI delving deeper into cryptoAtul Khekade, Co-founder of XDC Network, expressed enthusiasm about expanding into Japan, stating: “Japan serves as a crucial hub for international trade, and our blockchain platform aims to streamline this sector by improving transparency, traceability, and reducing costs.”SBI is also making strides to strengthen its presence in key cryptocurrency markets. In September 2022, it obtained a license to operate in Singapore, expanding its reach beyond Japan. Additionally, one of SBI’s portfolio companies, digital asset trading technology firm Clear Markets, received approval from the United States Commodity Futures Trading Commission (CFTC) to offer over-the-counter crypto derivatives products with physical settlement.In 2018, SBI partnered with crypto lender Amber in forming a joint venture company in order to take on the Japanese market. It pursued a similar strategy with crypto custody service provider Zodia Custody, forming a joint venture subsidiary to assist it in gaining exposure to the Japanese market.The partnership between XDC Network and SBI VC Trade signifies the growing interest in blockchain technology and cryptocurrency in Japan. By joining forces, XDC Network and SBI VC Trade aim to revolutionize the trade finance market by leveraging the transparency and efficiency of blockchain, ultimately benefiting businesses and consumers alike.With the shared vision of advancing the adoption of blockchain technology, both parties are poised to make a significant impact on the future of trade finance and digital asset trading.