Daehong and Animoca Brands Partner to Leverage NFTs in Expanding Web3 Projects

Haru Invest Considers Server Suspension as Troubles PersistIn the wake of halting withdrawals in June, Haru Invest, a Singapore-headquartered cryptocurrency platform, is contemplating the suspension of its server. This decision is part of the firm’s ongoing efforts to streamline operations and reduce maintenance costs.Photo by David Guenther on UnsplashCost reductionCEO Hugo Lee made the announcement on Monday, underscoring the significant burden of server maintenance costs on the company’s finances. He acknowledged that this cost represents a substantial portion of their fixed expenses and is thus a top priority for the firm.Lee disclosed:“We plan to suspend the service in a few weeks, backing up all member information.”However, he also noted that the company is yet to finalize a concrete plan for the server suspension.The move to shut down the server aligns with Haru Invest’s broader strategy to lower all costs associated with its services. Lee explained:“Some of the current fixed expenditures include the upkeep of Haru Invest services, the cost of workspace like the office, and the cost of communication with our members.”The company is actively seeking ways to reduce these expenses and preserve its assets.Asset distributionAdditionally, Lee assured users that the assets conserved thus far would be included in the distribution to those who have had their funds locked on the platform since June, offering a glimmer of hope to impacted users.Nevertheless, the announcement of the server suspension has raised concerns within the Haru Invest community. Some users have expressed skepticism about the purported high costs of server maintenance, believing the firm’s claim to be exaggerated.One user, voicing this discontent, commented on Haru Invest’s Telegram channel, “Server costs cost nothing.” Another remarked: “Servers are gone soon guys, huge costs, 200 USD a month.” According to industry standards, the maintenance costs for running a server for a small to medium-sized business typically range between $35 to $500 per month.Unhappy platform usersLee’s statement regarding the impending server suspension follows the platform’s earlier decision to terminate deposits and withdrawals in June. This decision was coupled with the closure of Haru Invest’s offices and the dismissal of numerous employees, as reported by local news agencies.Haru Invest attributed these issues to the fraudulent activities of the consignment operator B&S Holdings, formerly known as Aventus. While some investors accused the firm of orchestrating a “rug pull,” Haru Invest denied these allegations and maintained its innocence. One user posted the following claim on X (formerly Twitter) last week: “Rugpull. If justice is served, the scammers will be behind bars.”In a bid to address concerns over its corporate rehabilitation application, Lee appeared in court in September, emphasizing that Haru Invest was actively cooperating with investigating agencies. However, the company has yet to provide a timeline for the recovery of users’ assets as of early October.Lee also addressed the matter in Monday’s statement: “We are also responding to the rehabilitation proceedings that some of our members have filed with the court as mentioned in our previous announcement, in addition to actively cooperating with other authorities’ investigations. ”Haru Invest is reportedly facing a class-action lawsuit with disgruntled investors alleging fraud.

Fingerlabs teams up with Metaclub to gather users for Web3 membership platformFingerlabs, a subsidiary of South Korean digital marketing company FSN, has decided to collaborate with reward points app Metaclub to expand user engagement for its Web3 membership platform Bling, according to an official press release on Wednesday (KST).Photo by NordWood Themes on UnsplashInnovating rewards systems and digital marketingMetaclub is a lifestyle platform that allows users to accumulate and spend reward points that can be used at various brands and websites. It currently boasts 80,000 members and hit a cumulative transaction value of KRW 30 billion (approximately $22.7 million) within a year after its launch. On the other hand, Bling is a marketing solution that allows businesses to create and manage NFTs that offer membership benefits to their customers. Users can create customizable characters on Favorlet, Fingerlabs’ NFT wallet and customer management service, using clothing or accessories called “parts.” These parts are linked to various benefits offered by Fingerlabs’ partner firms.Unique membership experienceThrough this collaboration, Bling and Metaclub are holding a promotional event where users who fill their Metaclub account with more than KRW 200,000 and collect Metaclub parts NFTs on their Bling account will be eligible to receive 3% in reward points.“By working with Metaclub, which has a high number of users in their 20s and 30s, we believe that Bling can quickly establish itself as a next-generation Web3 membership service,” said Kim Dong-hoon, CEO of Fingerlabs. “We have a clear understanding of the features and capabilities of both platforms, so we will be able to build our membership base through various collaborative projects.”

India’s RBI Cites Stablecoin Risks With Call for Global RegulationIn its latest Financial Stability Report released on Wednesday, the Reserve Bank of India (RBI) expressed concerns about the potential harm stablecoins could inflict on emerging markets and developing economies (EMDE).Photo by rupixen.com on UnsplashPerennial criticThe RBI has been a consistent critic of cryptocurrencies, but particularly so in the case of stablecoins, from an EMDE perspective. However, the lack of authenticated data and inherent data gaps in the crypto ecosystem hindered a comprehensive assessment of financial stability risks.According to the report, one of the ways stablecoins could pose a threat to an EMDE is through currency substitution. Since the underlying assets of stablecoins are generally denominated in freely convertible foreign currencies, the widespread adoption of stablecoins could lead to currency mismatches on the balance sheets of banks, firms, and households, resulting in an increased risk to the economy.Monetary policy headacheFurthermore, the presence of stablecoins in the economy could create challenges for an EMDE’s central bank in setting domestic interest rates and managing liquidity conditions. The decentralized, borderless, and pseudonymous characteristics of crypto-assets make them potentially attractive instruments for circumventing capital flow management measures.Another concern highlighted by the RBI is that stablecoins could undermine credit risk assessment and interfere with banks’ ability to mobilize money and create credit by offering an alternative to the domestic financial system. Additionally, the report emphasized the difficulty in tracking peer-to-peer transactions, on the basis that they increase the potential for illicit activities.In light of these risks, the RBI reiterated its call for global coordination and regulation. It emphasized the need for a globally coordinated approach to analyze the risks posed to EMDEs compared to advanced economies (AEs). As India holds the G20 presidency, one of its priorities is to establish a framework for the global regulation of unbacked crypto-assets, stablecoins, and decentralized finance (DeFi).Establishing a CBDCWhile the RBI has been cautious about cryptocurrencies, it has shown more enthusiasm for central bank digital currencies (CBDCs). In November, the RBI launched a wholesale digital rupee pilot project. It followed that up in February with a retail digital rupee pilot project. In March, it signed an agreement with the Central Bank of the United Arab Emirates to study a CBDC bridge aimed at facilitating trade and remittances.By calling for global regulation and highlighting the risks associated with stablecoins, the RBI aims to foster a safer and more secure environment for financial transactions while exploring the potential benefits of CBDCs in facilitating trade and remittances.As the discussions around stablecoins and CBDCs continue, we’re likely to see ever greater collaboration between regulators, policymakers, and international organizations with a view towards establishing a comprehensive regulatory framework that addresses the challenges and harnesses the potential of digital assets on a global basis.