Wemade CEO to attend Abu Dhabi Finance Week and Fortune Global Forum next week

Japan’s Financial Services Agency (FSA) is moving to close gaps in crypto regulation and support a new bank-led stablecoin pilot, as markets watch for a potential Bank of Japan rate hike. Tougher oversight of crypto lending and IEOsAccording to a CoinPost report, at the fifth meeting of its Digital Asset Working Group held last week, the FSA discussed introducing new requirements to bring crypto lending clearly within the regulatory framework. While firms managing or staking crypto must register as exchanges, some operators have avoided registration by structuring services as borrowing schemes, which are not legally treated as asset management.Photo by Possessed Photography on UnsplashThe FSA flagged that users face both credit and volatility risks, yet operators are not required to segregate customer assets or use cold wallets. Some services offer returns around 10% or tie up funds for several years, with weak risk management and exposure to re-lending defaults and staking slashing. Under the new policy direction, operators will need stronger risk management for re-lending and staking, tighter custody controls, and clearer risk disclosures and advertising. Institutional-only borrowing not offered to the public will remain exempt. Some members questioned whether the new requirements would be practical to implement for off-chain operators, noting that staking is fundamentally on-chain. The group also examined initial exchange offerings (IEOs) lacking financial audits, particularly those aimed at retail investors. Members discussed limits similar to equity crowdfunding: investments over 500,000 yen ($3,000) capped at 5% of annual income or net assets, up to 2 million yen ($13,000). Most past domestic IEOs were under 500,000 yen ($3,200). Some warned such caps could be bypassed through secondary trading, where tokens are immediately tradable. Major banks pilot stablecoinAlongside stricter rules, the FSA will support a stablecoin pilot led by MUFG Bank, Sumitomo Mitsui Banking Corporation, and Mizuho Bank. CoinDesk Japan noted the project, the first under the Payment Innovation Project, will include three additional participants. Mitsubishi Corporation will oversee operations, while Progmat and Mitsubishi UFJ Trust and Banking will handle issuance and custody. The pilot, launching this month with implementation targeted within the year, will test whether a joint stablecoin by major banks can navigate regulatory and operational challenges. Rate hike speculation mountsJapan’s calibrated digital asset push comes as speculation grows over a possible Bank of Japan (BOJ) rate hike next month. Minutes from the BOJ’s October meeting, cited by South Korean outlet Edaily, show one board member saying most conditions for a hike have been met and that financial conditions would stay easy even after an increase. The BOJ kept its rate at 0.5% at that meeting. A rate hike was described as likely if firms are seen committing to wage increases ahead of next spring’s labor talks and if no major global shocks emerge. Markets, however, remain cautious, citing uncertainty over U.S. tariff effects and whether newly elected Prime Minister Sanae Takaichi will endorse such a hawkish stance. 

DBS Introduces Metaverse Game to Tackle Global Food WasteDBS, Singapore’s largest bank, has unveiled an innovative concept within the metaverse for its DBS BetterWorld initiative, focusing on the critical issue of global food waste.In a press release which it published on Thursday, the bank revealed that this “gamified adventure” is designed to showcase the strategies that Businesses for Impact are employing to tackle the ever-pressing global food waste challenge. Businesses for Impact are an initiative driven by the DBS Foundation that champions for-profit enterprises that promote innovative solutions to effect positive environmental or social change.Photo by Joshua Hoehne on UnsplashTackling a global issueData from the United Nations suggests that a staggering 1.3 billion tons of food, equivalent to one-third of the world’s total food production, goes to waste each year. Within this conceptual metaverse, players are tasked with a series of engaging activities inspired by five businesses supported by the DBS Foundation. These entities offer unique approaches to curbing food waste.Project collaborationSingapore-headquartered brewery business Brewerkz is focused on up-cycling brewers’ spent grains as part of the project. Breer, a Hong Kong startup transforming surplus bread into craft beer is also participating. The project also sees participation from another Hong Kong-based business, GreenPrice, which specializes in selling food close to or just past their best-before dates.Edible Garden City, a start-up that aims to make urban farming and edible gardening more accessible in cities, and Rooftop Republic, which converts underutilized spaces into urban farms, complete the list of five “Businesses for Impact” relative to this particular project.Metaverse ESG potentialKaren Ngui, Head of Group Strategic Marketing and Communications at DBS and a board member of DBS Foundation, emphasized the metaverse’s potential to enhance awareness and address crucial Environmental, Social, and Governance (ESG) concerns.Ngui remarked: “With DBS BetterWorld, we have chosen to delve into the challenges of food waste and food resilience, issues that DBS and the DBS Foundation have been championing, in a unique and engaging way.” She added that as metaverse technologies mature, they aspire to bridge virtual initiatives with tangible real-world impacts.Players based in Singapore will be rewarded with exclusive incentives that can be redeemed through special QR codes accessible via DBS PayLah!. This integration of real-world rewards into the metaverse experience adds a new layer of interaction and excitement for participants.Embracing the metaverseThis is not DBS’ first foray into the metaverse. It has collaborated with The Sandbox metaverse platform previously, participating in its Lion City initiative, a virtual metaverse neighborhood modeled on Singapore. Work on BetterWorld has been ongoing in conjunction with The Sandbox development team since last year.DBS’ creative endeavor within the metaverse not only sheds light on the urgent issue of global food waste but also demonstrates how technology and gaming can be harnessed to educate, raise awareness, and drive positive real-world change.As the metaverse continues to evolve, DBS’ initiative will likely serve to inspire other institutions to leverage the metaverse for various initiatives with the objective of achieving real-world impact.

Korea’s Busan City to Develop Blockchain-Based Carbon Neutrality PlatformBusan Metropolitan City, known for being home to South Korea’s largest port, announced today that its consortium won the bid for the 2023 new local energy facilitation project offered by the Korea Energy Agency, an organization under the Ministry of Trade, Industry, and Energy (MOTIE). The consortium consists of five entities, including Busan City, tech solution provider Nuri Flex, and gas distributor Busan City Gas. As the winning bidder, Busan City and its collaborators will proceed with the development of a blockchain-based platform that promotes carbon neutrality.Photo by BERK OZDEMIR on PexelsCarbon neutralityThe primary aim of this project is to create a system that leverages surplus renewable energy to achieve carbon neutrality in the city’s port and industrial infrastructure. The initiative includes providing eco-friendly renewable energy to port and industrial facilities, establishing a blockchain-based carbon credit system to support businesses in joining the global corporate renewable energy initiative RE100, and facilitating the trading of surplus electricity. These measures are intended to save energy, enhance power system stability, and create greater value.Boosting green energy proportionThe project is set to take place from June 2023 to December 2024, with an estimated cost of 3 billion KRW ($2.3 million). The national and local governments will each finance 25% of the project, while the private sector will cover the remaining 50%. Upon completion of the project, Busan aims to increase the proportion of renewable energy within the city. Leveraging surplus energy and engaging in carbon credit trading, Busan expects to gain a competitive edge in the carbon-neutral sector.