Animoca Brands Expands Focus to Non-US Markets

Viver Boosts Business Expansion with Blockchain IntegrationViver, a luxury watch trading platform and subsidiary of Dunamu, which operates the Upbit cryptocurrency exchange in South Korea, is gearing up to expand its business by securing operating funds and implementing blockchain technology to enhance the transparency and security of trades.Photo by Caramel on UnsplashIn particular, designated services in which Viver plans to incorporate blockchain technology include the management of transaction history and the authentication of buyers and sellers, which can be used for watch appraisals and guarantees.“We do not plan to introduce services incorporating blockchain right away this year, but we are exploring ways to bring Dunamu’s strengths in blockchain to Viver,” the platform explained.From acquisition to nurturing growthAfter its establishment in February 2021, Viver was soon acquired by Dunamu, which injected KRW 9.5 billion (approximately $7.2 million) into the company on June 30 of that same year.Since then, the platform has been receiving continued financial support from Dunamu. It received KRW 2 billion in operating funds last year and an additional KRW 5 billion last Wednesday through board approval. In total, Viver has received approximately KRW 16.5 billion in funding from Dunamu over the past two years. “We decided to inject these operating funds to facilitate business growth,” Dunamu explained. The company also filed for trademark rights to Viver in July.This move contrasts with Dunamu’s actions in the first half of the year, where it divested its entertainment subsidiary, rrr Entertainment, for KRW 3 billion and its video production subsidiary, Knowmerce, for KRW 2.7 billion.In its first year of establishment, Viver recorded a net loss of approximately KRW 433 million, followed by a net loss of KRW 3.8 billion in 2022. While it has not yet achieved a turnaround in financial performance, the platform is facing promising outlooks as it has witnessed a substantial tenfold increase in its user base over the past year. Furthermore, since the launch of the service in August last year, the number of products directly listed by sellers as of July this year spiked nearly thirty times, with monthly trade count and transaction volume increasing almost fifteen times.Solid leadership and the beginnings of monetizationViver’s efforts to grow as a commerce service have been led by CEO Moon Jae-yeon and Chief Operating Officer Seo Hee-seon. Moon is known for his expertise in the management of commerce platforms through his experience working at eBay Korea and Coupang. Seo has similarly worked at notable companies such as BGF Retail, Interpark, eBay Korea, and 11th Street.Since Tuesday, Viver has started implementing service fees, signaling its move toward monetization. While transaction fees are still free due to an ongoing promotional event, order management fees are set at 2%, and sellers are now responsible for shipping costs.“Since our platform facilitates brokered trades, there are costs involved in order management, shipping, and our own evaluation and diagnostics processes. We have started charging fees for some of these costs so we could provide an improved trade experience,” Viver explained in regard to these changes.Viver also has its own magazine section, where it recently unveiled a special article for its 100th issue outlining its most popular and expensive high-end timepieces.

Singaporean Regulator Proposes Framework for Digital Money UseThe Monetary Authority of Singapore (MAS) has released a White Paper that outlines proposed standards for the use of digital assets. The aim is to establish a common protocol and conditions for the utilization of these assets.While the paper identifies the potential digital assets bring in streamlining transactions and promoting financial inclusion, it also outlines challenges that need to be addressed before digital money can be successfully implemented.Photo by Pixabay on PexelsPurpose Bound Money (PBM)MAS’s White Paper, which was published on Wednesday, provides requirements to protect the use of digital assets as a medium of exchange and offers a technical overview of Purpose Bound Money (PBM). PBM allows the sender of digital money to specify certain conditions such as validity periods or how the money can be spent.The covered digital monies include central bank digital currencies (CBDCs), tokenized bank deposits, and potentially well-regulated stablecoins, excluding digital assets that it considers volatile such as Bitcoin. These digital monies are generally pegged to real-world currencies, commodities, or financial institutions, making them more stable.MAS highlights that PBMs utilize a common protocol compatible with different ledger technologies and forms of money. This protocol enables money to be directed toward a specific purpose without requiring the money itself to be programmed. It functions as a secure two-layered delivery vehicle, with funds held as collateral in a “wrapper” until specific conditions are met for its release.Standardized formatThe standardized format outlined in the White Paper will allow users to access digital money using their preferred wallet provider. By establishing these standards, the prospects for digital money to become a significant component of the future financial and payments landscape are enhanced. Standardization and regulated use of PBMs can unlock economic value, facilitate efficient and inclusive digital transactions, and provide additional consumer protection.One notable application of PBMs is in protecting online payments, such as e-commerce transactions and prepaid packages. With PBMs, advance payments can be securely held until the service is fulfilled, ensuring that the product or service is delivered before funds are released. This benefits both consumers and merchants, assuring consumers of product delivery and allowing merchants to verify payment before delivering.PBMs can also aid businesses in mitigating risks associated with international trade transactions, ensuring secure and efficient payments while reducing the potential for fraud or non-payment.InteroperabilityTo ensure the safety and usability of digital monies, MAS highlights considerations that will impact PBM implementation. Interoperability across different platforms is crucial to avoid fragmentation and excessive fees. The choice of underlying digital currencies also affects usability and value, with CBDCs, tokenized bank liabilities, and stablecoins offering varying levels of guarantees and regulatory oversight. Additionally, privacy, digital readiness, and the impact on users need to be carefully assessed.MAS acknowledges that the regulatory landscape for digital monies is still evolving globally, which may lead to varying regulatory treatment of PBMs across jurisdictions. It believes that policy considerations should be thought through when designing PBM-based solutions, including decisions regarding issuance, distribution, and conditions for use.

CME Group Expands Crypto Reference Rates to Asian MarketsUS derivatives marketplace CME Group is making strides in its efforts to cater to the Asian cryptocurrency market. In collaboration with crypto indices provider CF Benchmarks, the company is set to launch new reference rates for Bitcoin (BTC) and Ether (ETH) aimed specifically at the Asia Pacific (APAC) region.Photo by Pierre Borthiry — Peiobty on UnsplashGoing live next monthThat’s according to a press release published by the company on Wednesday. These new rates, the CME CF Bitcoin Reference Rate APAC and CME CF Ether-Dollar Reference Rate APAC, are scheduled to become available on September 11, according to a joint announcement.This move comes in response to the growing demand from Asian investors and institutions for accurate pricing data during their local trading hours. Currently, a substantial portion of CME Group’s crypto volume, about 37%, occurs outside of US trading hours, with approximately 11% of trades originating from the APAC region. The new reference rates will be published daily at 4 p.m. Hong Kong time, allowing APAC-based participants to align their crypto price risk management more closely with their portfolio strategies.Building upon past effortsCME Group’s efforts to provide accurate and timely reference rates have been ongoing. The company initially introduced its Bitcoin Reference Rate (BRR) in 2016, followed by the Ether Reference Rate in 2018. The BRR calculates the US dollar price of one Bitcoin as of 4 p.m. London time. It leverages the trade flow data from major Bitcoin spot exchanges within a one-hour window to provide an average of volume-weighted medians across 12 five-minute intervals during that period.Notably, the newly announced Asia-focused reference rates will provide a variant to the existing rates tailored for London and New York. Giovanni Vicioso, CME Group’s Global Head of Cryptocurrency Products, emphasized that these APAC reference rates will facilitate more precise risk management for institutional clients utilizing Bitcoin and Ether futures products in their active portfolios or structured products like ETFs.Focusing on AsiaCME Group’s expansion into the APAC region aligns with a broader trend of institutional interest in cryptocurrencies in Asia. The region has seen regulatory developments aimed at providing clarity to crypto businesses over the course of the past twelve months while a lack of regulatory clarity currently prevails in the United States. This move also coincides with the company’s push to further engage with the global crypto derivatives market, which accounts for around 75% of the overall crypto trading volume.CME’s decision to launch Asia-focused reference rates is a strategic move to tap into the growing interest in cryptocurrencies from the Asia Pacific region. By offering accurate pricing information during APAC trading hours, the company aims to provide institutions and investors with better tools to manage their cryptocurrency price risks effectively. From the perspective of crypto market participants more broadly, the move is encouraging given that it comes from the world leader in derivatives markets.