Next Month’s Web3 Event in Tokyo to Bridge Web3 and Traditional Industries

Former FTX COO Finds New Role at Sino GlobalConstance Wang, previously known for her executive roles at FTX, has recently joined crypto venture capital firm Sino Global Capital.That’s according to sources Bloomberg cited in a recent report as being familiar with the matter. Wang held the role of Chief Operating Officer at FTX and was also the Co-Chief Executive Officer of FTX Digital Markets, the affiliate of the now-defunct crypto exchange, which was based in the Bahamas. Her responsibilities at FTX included overseeing global business expansion, token listings, and public relations and marketing.Following the collapse of FTX and its sister trading firm Alameda Research, Wang has reportedly spent a significant amount of time in China, according to an undisclosed source.Sino Global Capital, founded in 2015 by Beijing-based American investor Matthew Graham, had revealed its early investment in FTX after the exchange’s collapse. The management team stems from a background in consulting, Wall Street, private equity, government, and corporate spheres. A year prior, the venture capital firm launched a $200 million fund with FTX as a key investor. Sam Bankman-Fried, the Founder of FTX, expressed gratitude for Sino Global’s support, stating that they believed in the FTX vision from the beginning and assisted in making it a reality.Photo by Henry Kobutra on UnsplashLawsuitGraham was quite public in his support of FTX and Sam Bankman-Fried. He appeared frequently on podcasts, always explaining that the FTX founder was a genius. On investing in FTX and in projects in general, Graham stated repeatedly that Sino Global maintained a high level of due diligence. Most of the leading venture capital investors in FTX (including Sino Global) have been subject to class action lawsuits filed by creditors. It’s claimed that many of these investors didn’t simply invest capital but also got involved in actively marketing what turned out to be a fraud.In January, the court-appointed management team overseeing the FTX bankruptcy proceedings sought permission to subpoena Wang and other former executives of the company. Court filings indicate that Wang has not been accused of any wrongdoing in relation to the collapse of FTX or Alameda.Prior to her tenure at FTX, Wang briefly worked at the crypto exchange Huobi in Singapore as a Business Development Manager. She also spent two years as an analyst at Credit Suisse.New rolesIn recent months, other former FTX employees have also reappeared in new roles. Amy Wu, who left Lightspeed Venture Partners to lead FTX Ventures, announced her joining Menlo Ventures, one of the oldest venture firms in Silicon Valley. Brett Harrison, former President of FTX US until his sudden resignation in September 2022, has founded a startup with plans to provide a “GPT-4-powered trading algorithm code generator.”The transition of Constance Wang and her fellow FTX alumni into new positions at face value seems like a logical progression. However, all of the FTX c-suite executives remain under ongoing scrutiny. Having brought charges against Bankman-Fried, Caroline Ellison, and Nishad Singh some months ago, Southern District of New York (SDNY) Attorney Damian Williams stated clearly that more arrests would follow.

Bitkub Addresses Market Conditions Thru Job CutsBitkub Capital Group, the parent company of Thailand’s largest digital asset exchange Bitkub Online, has made adjustments to its workforce and employee benefits in an effort to manage costs during challenging economic conditions.Photo by Braden Jarvis on Unsplash5.5% staff reductionAccording to a statement released on Wednesday, approximately 5.5% of personnel within the Bitkub Capital Group have been let go, while around 2% of staff at Bitkub Online were also affected.Contrary to reports in local media suggesting that half of the company’s employees were terminated in late June, Bitkub Capital Group clarified that the reduction in workforce was relatively small compared to the overall number of employees in the group.Change in employee benefitsThe company did not provide specific details about the changes in employee benefits, only stating that one perk had been removed. The decision to implement these measures stems from the current economic downturn and the need to manage costs effectively, Bitkub explained.Bitkub Capital recorded a net profit of 1.3 billion baht ($37.49 million) in 2022, marking the second consecutive year of profitability for the company. However, net profit declined by 39% compared to the previous year, falling from 2.1 billion baht in 2021. Expenses also surged from 117 million baht in 2021 to 394 million baht in 2022.Bitkub Capital Group encompasses various entities in addition to the crypto exchange, including Bitkub Ventures (the venture capital arm), Bitkub Labs (also known as Bitkub Academy, the education arm), Bitkub Blockchain Technology (a consulting company focused on blockchain), and Bitkub Infinity (a portfolio management service provider).Bitkub Online, the crypto exchange unit, reported a profit of 341 million baht for the financial year ending on December 31, 2022, representing an 86% decline compared to the previous year. Total revenues for 2022 amounted to 2.8 billion baht, which marked a significant decrease of 48% compared to its peak performance in 2021 when it generated 5.5 billion baht in revenue.In a separate development, Asphere International, a game publisher listed on the Bangkok Stock Exchange, recently acquired a 9.22% stake in Bitkub Online for 600 million baht, valuing the startup at 6.5 billion baht.Broader regional trendThe downsizing at Bitkub reflects a broader trend among technology companies in the region. In June, aCommerce, a local e-commerce enabler, laid off at least 20 employees citing similar economic challenges. The same month, Grab, the Singapore-based ride-hailing and food delivery giant, announced a significant round of layoffs, with 1,000 employees, including the Thailand team, being let go.Bitkub’s decision to adjust its workforce and streamline employee benefits is a response to the economic headwinds it faces. It’s not the company’s first setback. Last year, Thailand’s Securities and Exchange Commission (SEC) penalized the firm’s CTO, Samret Wajanasathain, on the basis of insider trading.The cyclical nature of the digital asset exchange business means that Bitkub can seek to weather this storm and benefit from the upside once market conditions inevitably become more favorable in the not too distant future.

Hivemind Capital Partners expands into Hong Kong marketHivemind Capital Partners, a prominent player in the world of Web3 and digital asset investment, has officially unveiled its plans for expanding its operations to Hong Kong.Photo by Chromatograph on UnsplashNew Head of Asia appointmentIn a press release published by the New York-headquartered firm on Tuesday, Hivemind outlined that alongside this significant Asian expansion, the company has appointed Stanley Huo as Head of Asia. Huo is a seasoned investment banker with over 15 years of experience at prestigious institutions like China Renaissance, UBS, Citi and BAML across Asia and Europe.Huo expressed his excitement, stating: “I’m thrilled to be joining Hivemind at such a transformative period. The intersection of traditional finance and burgeoning digital asset technologies in Hong Kong presents unmatched opportunities and I’m looking forward to leading our initiatives in this vibrant ecosystem.”Identifying an opportunityHivemind Capital Partners had nothing but praise for Hong Kong as a significant crypto hub. The company highlighted the distinct advantages that come with operating in the city-state, including a well-established ecosystem that facilitates access to traditional financial infrastructure, capital-raising opportunities and the exploration of blockchain-related innovations.Huo told The Block: “It was very interesting to see that the Hong Kong government welcomes all the Web3 capital and talents… They want to build up a Web3 center.”Matt Zhang, Founder and Managing Partner of Hivemind, is equally enthusiastic about the Hong Kong expansion, stating:“Our expansion into Hong Kong not only represents our firm’s growth, but our commitment to being at the center of financial innovation and technology. With Stanley leading our business in Asia, we are positioned to significantly contribute to, and influence, the evolving narrative of blockchain technology and digital assets in the region.”Zhang is a speaker at Hong Kong Fintech Week later this week, where he will participate in a panel discussion titled “The Future of Stablecoins: Exploring Virtual Asset Payment Infrastructure and the Rise of Non-USD Stablecoin Frameworks.” He founded Hivemind in November 2021, with a view towards deploying capital within verticals such as crypto infrastructure, virtual worlds, programmable money and blockchain protocols.Hivemind has been on a significant growth trajectory, as evidenced by its recent launch of a $1.5 billion investment vehicle, with available funds still waiting to be deployed. Additionally, the company introduced the Liquid Opportunity Fund, a $300 million crypto fund, earlier in the year, securing $60 million for the fund in June.Following a regional trendThe company’s move to Hong Kong aligns with the broader trend of cryptocurrency firms recognizing the region’s potential and considering it for their expansion plans. Notably, Zodia Custody, a digital asset custodian backed by Standard Chartered, recently announced its launch in Hong Kong.While Hong Kong has actively positioned itself as a hub for Web3 companies, boasting recent developments like the introduction of retail trading for licensed crypto exchanges in August, it has also faced challenges. The city recently witnessed the largest Ponzi scheme in its history, involving the embezzlement of approximately $166 million from JPEX crypto exchange users. The investigation into this incident is still ongoing.