Animoca Indicates Fund Interest From Console Makers

Datachain Secures Funding from Japan’s MUFG to Advance Blockchain Interoperability InitiativesDatachain, a Japanese blockchain interoperability solution provider, has secured funding from Mitsubishi UFJ Financial Group (MUFJ), one of Japan’s largest banking institutions, according to a press release. This investment will boost their collaboration as they work together to advance ongoing initiatives involving stablecoins, security tokens, and cross-chain technology.Photo by Shubham Dhage on UnsplashGrowing token marketIn a joint report by the Boston Consulting Group (BCG) and Singapore-based investment platform ADDX, it is projected that the market for illiquid asset tokenization could reach $16.1 trillion by 2030 (as a conservative estimate) or potentially $68 trillion in a best-case scenario. This growth in the illiquid asset tokenization market, coupled with the expanding stablecoins and cryptocurrencies market, is expected to drive the overall digital asset market’s expansion.Cross-chain techDatachain will collaborate with MUFG and other partners to develop an infrastructure that enables the transfer of digital assets across different blockchains. Boasting prowess in cross-chain technology, Datachain has been conducting tests and collaborative research with numerous companies in Japan and abroad. Notably, Datachain has been working closely with MUFG to drive initiatives utilizing stablecoins scheduled for issuance and distribution through the Progmat Coin stablecoin platform.Moreover, Datachain, MUFG, and cross-chain bridge provider TOKI will form a three-way partnership aimed at commercializing the issuance and distribution of stablecoins on public blockchains like Ethereum between April and June 2024.Datachain is also collaborating with MUFG to promote cross-chain settlements involving security tokens based on stablecoins. Their goal is to realize this initiative in cooperation with securities firms by 2024.Starting with this new funding, Datachain plans to expedite its business expansion by seeking investments from other companies that can create synergies.Tomohiro Kimura, Director and Managing Executive Officer at MUFG, commented on the investment, emphasizing MUFG’s commitment to the digital asset market’s anticipated growth. According to Kimura, MUFG has established and promoted Progmat Coin in preparation for the expanding digital asset market. Highlighting that multi-chain and cross-chain transactions are essential to the future of digital assets, Kimura expressed delight over MUFG’s investment in Datachain, citing the blockchain company’s unparalleled expertise in key technology areas such as multichains and cross-chain transactions. He also highlighted MUFG’s increased involvement as a shareholder in Datachain, underlining its dedication to making a substantial impact in the digital asset market.

South Korea’s southeastern port city of Busan signed a memorandum of understanding (MOU) on Wednesday with the BDX Consortium led by ITCEN GROUP, a Seoul-based tech company specializing in system integrations. This marks the beginning of the establishment of the Busan Digital Asset Exchange (BDX). Photo by Minku Kang on UnsplashPlans to establish BDX CorporationFollowing the MOU signing, Busan and the BDX Consortium plan to join forces to set up and operate BDX successfully. The two entities are also dedicated to swiftly establishing a private entity, “BDX Corporation,” within the blockchain regulation-free zone in Busan, as part of their ambitious plan to make Busan into a global blockchain hub.  ITCEN GROUP is known to have extensive experience in trading real-world assets (RWAs) such as gold, silver and copper. Other participants of the BDX Consortium include Hana Securities, Hana Bank, OCON and Barunson, who are set to provide RWAs and intellectual properties (IP) to BDX in cooperation with ITCEN GROUP. Following the founding of BDX Corporation, the BDX Consortium is required to provide investment capital to the city of Busan until April, in accordance with its business plan.  A blockchain exchange with its own mainnet based on decentralized governanceThe decentralized governance upon which BDX will operate is an independent framework capable of handling securities settlements, listing assessments and market monitoring. It also serves as an investor protection measure through its mutual check and balance system.  BDX plans to support 24/7 transactions of various assets including commodities, jewelry, IP and carbon credit, all of which will be tokenized into small units for convenient trade.  “This partnership lays the foundation for the BDX launch, which will serve as a cornerstone of the city’s plan to foster the blockchain industry. In close cooperation with local enterprises, Busan will do its best to build and operate the exchange and contribute to the city’s economic growth,” stated Park Hyeong-joon, the mayor of Busan. 

Dubai Regulator Hits OPNX With $2.7M PenaltyCrypto bankruptcy claims trading platform OPNX and its founders have been hit with a hefty fine, imposed by Dubai’s Virtual Assets Regulatory Authority (VARA). The penalty, amounting to AED 10 million ($2.7 million), was levied on the newly established exchange in accordance with a notice published by the regulator on Wednesday.Photo by Agnieszka Stankiewicz on UnsplashPayment outstandingVARA’s recent announcement highlighted that the fine had been imposed in May and remains outstanding. The regulatory body disclosed that individual fines of AED 200,000 ($54,451) each were imposed on Su Zhu and Kyle Davies, the controversial founders of failed Singapore-based crypto hedge fund, Three Arrows Capital (3AC). Additionally, fines were also imposed on two other co-founders of OPNX. The penalties were attributed to failures in adhering to regulations governing marketing, advertising, and promotions.OPNX, established earlier this year by Su Zhu and Kyle Davies in collaboration with Mark Lamb and Sudhu Arumugam, positioned itself as a trading platform for crypto claims following the collapse of their Three Arrows Capital (3AC) fund last summer. The duo has since made Dubai their primary operational base.Further action“In light of the company’s unpaid fine, VARA shall determine consequential actions warranted against OPNX, which may include further fines, penalties, and/or taking any actions necessary to recover payment and definitively remedy the behavior,” stated VARA in an official statement.Dubai is making a concerted effort to nurture the development of crypto-related business, implementing various initiatives in order to bring that about. However, as part of that strategy, Dubai’s regulatory landscape for cryptocurrencies has taken a more stringent turn this year, with the introduction of a new regulatory framework mandating that companies catering to retail investors must secure full licensing from VARA.Concerns arose in February when regulatory authorities discovered that OPNX was actively seeking customers for its platform and collecting personal data without proper authorization.Formal reprimandsIn April VARA issued an investor alert, outlining that OPNX was not a regulated entity although it was operating from Dubai. Shortly afterwards, formal reprimands followed for the two 3AC founders, alongside Mark Lamb, Sudhu Arumugam, and OPNX’s CEO Leslie Lamb.Leslie Lamb, in a previous interview with Bloomberg, emphasized that OPNX had not actively marketed itself toward Dubai or the broader UAE market. She stressed the company’s full cooperation with VARA’s ongoing investigation, asserting that no regulatory guidelines had been breached.“While Kyle and I contributed the initial ideas for OPNX, Leslie is very much the CEO, and we aren’t involved in day-to-day operations,” stated Su Zhu, clarifying their roles.Despite the regulatory setback, both Su Zhu and Kyle Davies continued to promote OPNX on the X platform (formerly known as Twitter).It emerged recently that the claims trading platform has been eyeing the acquisition of failed crypto lender Hodlnaut, which is currently undergoing court-supervised restructuring in Singapore. Zhu and Davies have come in for a lot of criticism within the crypto sector, having left a long list of unpaid creditors as a consequence of the failure of 3AC. The duo recently suggested that they would contribute profits from OPNX to 3AC creditors despite the fact that they have been uncooperative with the 3AC bankruptcy process.