JPMorgan Adopts Blockchain for 24/7 Interbank Transactions in India

p0x Labs Secures $25M Funding to Propel Manta Network Into Asiap0x Labs, the development team behind Manta Network, has successfully raised $25 million in a Series A funding round that will see the project expand into the Asian market.Photo by Towfiqu barbhuiya on Unsplash$500 million valuationThe funding round, led by Polychain Capital and Shanghai-headquartered Qiming Venture Partners, has resulted in a valuation of $500 million for p0x Labs, according to a blog post published by the project on Wednesday. This equity-based investment demonstrates a growing interest in not only the project’s token but also the team behind it.Manta Network aims to leverage zero-knowledge (ZK) technology to address the scalability challenges and privacy concerns prevalent on the Ethereum network. By harnessing zero-knowledge proofs, Manta enables users to verify the authenticity of information without disclosing the underlying data.This approach provides individuals with complete control over their identities while mitigating the risks of surveillance. Consequently, Manta Network is seeking to attract users who have reservations about utilizing DeFi protocols due to the transparent nature of transactions on public blockchain networks.At the recent EthCC event held in Paris, the project unveiled the testnet for its Layer 2 network, known as Manta Pacific. This testnet operates in an environment with low gas fees, fostering cost-effective transactions for users. Manta Pacific is designed to complement the existing Layer 1 solution, Manta Atlantic, which focuses on achieving compliant on-chain privacy.VC supportLuke Pearson, an investor at Polychain Capital, expressed his enthusiasm for Manta Network’s expansion within the Ethereum ecosystem and confirmed Polychain’s continued support through this Series A funding round. Meanwhile, Yi Tang, Principal at Qiming Venture Partners, believes that their contribution will not only help Manta Network penetrate the Asian market but also attract the attention of Web2 brands.With the additional funding, p0x Labs aims to establish a global presence for Manta Network. Kenny Li, a core contributor at Manta Network, emphasized the significance of partnering with one of China’s largest investors to gain a stronger foothold in Asia, particularly China. The team is enthusiastic about the opportunities this collaboration will bring.Industry partnershipsManta Network has already witnessed substantial demand for its offerings, with partnerships with projects such as Arbitrum and Linea resulting in the creation of over 300,000 zero-knowledge soulbound tokens. These tokens enable the verification of on-chain identities without compromising data confidentiality. Additionally, the native Manta Wallet has garnered more than 200,000 installations, and innovative features like email-based notifications have contributed to a collective user base exceeding 1.5 million users.Looking ahead, the newly launched testnet with its plug-and-play functionality is expected to streamline the development process for Manta Network’s ecosystem. Developers will be able to allocate their time and resources more efficiently toward building their core products, driving innovation within the zero-knowledge space.The successful funding round and the launch of the Layer 2 testnet mark significant milestones for Manta Network and p0x Labs. With continued support from prominent investors, Manta Network appears to be setting itself up to unlock the true potential of zero-knowledge technology and drive adoption across various industries.

Korea’s Legislative Research Body Suggests Expanding Blind Trust System to Include CryptoThe National Assembly Research Service (NARS) of South Korea last Friday issued a report emphasizing the need to broaden the scope of the country’s blind trust system for public officials. Currently, this system primarily covers traditional stocks, but the report highlights the necessity of extending its coverage to include cryptocurrencies.Photo by O-seop Sim on PexelsPublic Service Ethics ActUnder the existing Public Service Ethics Act, public officials holding a rank of 4 or higher within the finance department of the Ministry of Economy and Finance and the Financial Services Commission are mandated to either divest themselves of stocks linked to their official duties and responsibilities or transfer them into a blind trust if the total value of these stocks exceeds KRW 30 million (about $23,000).Blind trustA blind trust is a mechanism through which a public official transfers their stock holdings to a trustee. Subsequently, the trustee handles these entrusted stocks by exchanging them for other assets and overseeing their management, administration, and disposition. Importantly, the original owner of the stock, who is the public official, is barred from participating in these aspects of the trust and is also kept uninformed about the trust property’s status or details.Debate over expansionThe current policy confines the blind trust framework exclusively to stocks. Nevertheless, there is an ongoing debate advocating for the inclusion of other assets, such as virtual assets and real estate, within its scope. The rationale behind this argument is that these types of assets can also potentially give rise to conflicts of interest. However, counterarguments have been raised, expressing concerns that extending the blind trust to these assets could excessively limit the property rights of public officials. Consequently, as of now, this broader application has not been implemented.Comparison with the USThe Korean blind trust system was inspired by the United States’ Ethics in Government Act of 1978, which does not limit the types of assets that can be included in a blind trust. In the US, a blind trust can encompass not only stocks but also bonds, mutual funds, virtual assets, and real estate. In light of this, the report recommends the expansion of the blind trust system to encompass virtual assets and real estate. This step is proposed to prevent conflicts of interest among public officials pertaining to a wider array of asset types.Enhancing trustee discretionMeanwhile, NARS also argued for broadening the trustee’s discretion in trust management to render the system more reasonable. This stems from the concern that the existing uniform property sale approach could lead public servants to incur losses. NARS has proposed potential solutions, such as extending the time limit for property sales or mandating the sale of only a portion of the assets, as viable options to address this issue.

Japan’s Ministry of Economy, Trade and Industry announced on Friday that it has approved a revision to the Industrial Competitiveness Enhancement Act, with the aim of broadening strategic investment opportunities. According to a local report from crypto publication Coinpost, this move would open avenues for venture capital (VC) firms to invest in projects exclusively issuing cryptocurrencies. Pending parliamentary deliberationWith cabinet approval secured, the revised bill will now undergo introduction and deliberation in the current session of the Diet, Japan's parliament. If passed, the amendment could pave the way for VC funding of Web3 startups in exchange for crypto assets. The Ministry highlighted that the amendment aligns with objectives to foster new businesses and industrial investment, with a particular focus on empowering Japan's economy through support for medium-sized companies and startups. Reports of Japan's intention to ease regulations for VC firms investing in crypto startups first emerged in September.Photo by Manuel Cosentino on UnsplashStablecoin frameworkJapan has further work to do to implement a comprehensive overall framework for digital assets. A move by the Japanese Financial Services Agency (FSA) earlier this month to implement measures designed to guard against unlawful crypto transfers is a case in point. The measure doesn’t appear to account for knock-on effects on the peer-to-peer (P2P) transactions market. However, its stance on crypto regulation is best characterized by efforts to establish a robust legal framework for stablecoins and digital assets. The nation has positioned itself as a global leader in stablecoin regulation, signaling plans to embrace Web3 technologies while maintaining stringent measures to protect users. Japan's stablecoin regulations, while providing clarity, present challenges for issuers, especially regarding profitability in a low-interest rate environment. Compliance with requirements such as maintaining 100% of assets within Japan's trust accounts poses operational hurdles for yen-based stablecoins. Recent developments indicate industry players' efforts to navigate regulatory requirements. Mitsubishi UFJ Financial Group, Japan's premier banking conglomerate, has engaged with stablecoin issuers to explore leveraging its blockchain platform. Web3 hope amid economic difficultiesJapan’s economy has seen better days. Last week, the bitcoin-yen trading pair saw bitcoin reach a record high valuation against the yen. New technologies like Web3 are seen as a potential mechanism for the East Asian country to improve its economic performance. In July of last year, Japanese Prime Minister Fumio Kishida emphasized the country’s commitment to nurturing the Web3 sector within Japan. Last year, Yudai Suzuki, the founder of a Tokyo-based Web3 incubator, suggested that the country could rediscover its past prowess at the forefront of innovation and technology by embracing blockchain and Web3. Japan's regulatory approach appears to be shifting to accommodate such sectoral growth and development. Last July, the Japan Blockchain Association (JBA) called on the government to address an issue within the Japanese tax code that was hampering the industry. That tax reform was subsequently implemented in December. This latest initiative, too, appears to underscore Japan's commitment to fostering innovation and economic growth through enabling further investment into emerging Web3 enterprises.