Singapore’s Whampoa Digital collaborates on establishment of $100M Web3 fund

Kiln, the Paris-based Ethereum staking platform, has successfully secured $17 million in a recent funding round, as revealed in a press release on Thursday. Round led by 1kxThe financing round was spearheaded by 1kx, with participation from Crypto.com, Wintermute Ventures, Thailand’s KXVC and Hong Kong’s LBank and IOSG. This infusion of capital brings Kiln's total funding to $35 million, marking a milestone in the company's growth trajectory. The latest funding follows a previous investment of $17.6 million in 2022 from Illuminate Financial, LeadBlock Partners, Sparkle Ventures, Alven and Blue Yard Capital, among others. Kiln opted not to disclose the valuation associated with the recent funding round. In 2021, Canadian blockchain infrastructure and staking firm Figment reached unicorn status with a $1.4 billion valuation. The Kiln platform has witnessed significant growth, increasing its staked assets under management to $4.2 billion in 2023. Acknowledging that growth on Jan. 4, Fred Lardieg, partner at Abu Dhabi sovereign fund Mubadala wrote:”This little-known French startup called @Kiln_finance has been killing it in the #Ethereum #Staking space, by relentlessly releasing new features throughout 2023. They're now the #1 operator of Ethereum validator nodes according to @ratedw3b.” The firm’s expansion is attributed to strategic integrations with various custody solutions, wallets and exchanges over the past year.Photo by DrawKit Illustrations on UnsplashRegional headquarters in SingaporeThe funds raised will be instrumental in facilitating Kiln's global expansion initiatives, including the establishment of its Asia-Pacific (APAC) headquarters in Singapore during the first quarter of the year. Additionally, the company aims to allocate resources for further product development to enhance its offerings in the decentralized finance (DeFi) space. Laszlo Szabo, CEO and co-founder of Kiln, articulated the company's mission, stating: "Our mission is to democratize value creation in the digital assets ecosystem, providing millions of users with easy access to rewards through our platform." The funds will support Kiln's commitment to making value creation in the digital assets space more accessible globally. The company plans to use the funding not only for expansion but also to introduce additional reward mechanisms in the rapidly evolving DeFi landscape. Regulatory uncertaintyWhile Ethereum staking offers users the opportunity to earn yields by validating transactions on the blockchain, the regulatory landscape remains uncertain. The U.S. Securities and Exchange Commission (SEC) has taken legal action against several exchanges involved in crypto staking, with SEC Chairman Gary Gensler expressing views on Ethereum-like tokens as potential securities. Despite regulatory challenges, Kiln's staking platform caters to institutional clients, allowing them to stake assets and offer white-label solutions to their customers. With a focus on proof-of-stake blockchains, Kiln holds a significant portion of staked assets on Ethereum, exceeding $3.1 billion, according to its Dune Analytics dashboard. 1kx Founding Partner Christopher Heymann emphasized the increasing role of financial institutions in the crypto space, stating:  "Financial institutions will become a dominant force in crypto, leveraging the immense market opportunity as they stake on behalf of their customers." By utilizing smart contracts, Kiln allows users to stake smaller amounts, overcoming the traditional barrier of a 32 ETH minimum requirement for native ether staking. This approach aligns with Kiln's goal of fostering inclusivity in the rapidly expanding world of decentralized finance.  

Shanghai’s Blockchain Development Plan Paves the Way for Web3 InnovationShanghai has set its sights on a global leadership role in blockchain technology by 2025. This commitment comes following the recent unveiling of an action plan by the Shanghai municipal government, designed to accelerate the city’s blockchain technical development.The plan, published on Wednesday, places emphasis on several critical aspects of the blockchain ecosystem, reaffirming Shanghai’s dedication to advancing Web3 technologies.Photo by Vin Jack on UnsplashTargeting key areas in blockchainUnder this comprehensive plan, Shanghai aims to achieve significant breakthroughs in multiple key areas within the blockchain realm. These include enhancing blockchain system security, advancing cryptographic algorithms, developing specialized blockchain processors, refining smart contract capabilities, achieving cross-chain interoperability, optimizing storage solutions, enhancing privacy computing, and establishing robust regulatory frameworks.These advancements will serve as pillars supporting the city’s digital transformation across various sectors, such as government affairs, cross-border trade, supply chain management, finance, the metaverse, and data element circulation.Human capital development stands as a central pillar of Shanghai’s blockchain strategy. To ensure a well-rounded and skilled workforce in the blockchain industry, the plan encourages research institutes and companies to leverage China’s foreign talent recognition standards to attract blockchain professionals.Furthermore, the city aims to guide educational institutions and businesses in nurturing young talents within the blockchain sector. Interdisciplinary and cross-industry platforms will be created to facilitate talent exchange and provide opportunities for growth and leadership.Zeroing in on ZK proofsOne notable objective within the plan is the advancement of zero-knowledge proofs, a cryptographic technique enabling parties to validate the authenticity of statements without disclosing specific information. Shanghai is committed to improving the efficiency and usability of zero-knowledge proof protocols, with a clear target of doubling efficiency by 2025.Major Chinese tech giants, including Alibaba and Tencent, have been actively developing their consortium blockchains while contributing significantly to the country’s leadership in blockchain innovation. Additionally, Beijing released a white paper in May with a strong emphasis on fostering growth and innovation in the Web3 industry. This positions the city as a global hub for digital economic advancements.Building upon 3-year action planShanghai’s determination to excel in blockchain development is not a recent occurrence. In June, the city unveiled a comprehensive document outlining its ambitious plans to enhance blockchain infrastructure by 2025. It also explored potential collaborations with international cities like Hong Kong and Singapore to test cross-chain applications. Despite China’s strict measures against cryptocurrency transactions in September 2021, the country remains optimistic about the potential of domestic blockchain technology.Shanghai’s ambitious blockchain development plan underscores China’s determination to lead in the blockchain space and reinforces its commitment to technological innovation and digital transformation. Leveraging its strengths in research, talent cultivation, and strategic partnerships, the city “on the sea” is positioning itself to make substantial contributions to the evolving landscape of Web3 technologies. By 2025, it aims to emerge as a global leader in blockchain innovation, setting a precedent for other cities worldwide.

Dunamu Collaborates with Credit Institutions to Aid Young DebtorsDunamu, the operator of Korea’s leading cryptocurrency exchange Upbit, has announced its collaboration with the Credit Counseling and Recovery Service (CCRS) and the Social Solidarity Bank (SSB) to aid young debtors.©PexelfauxelsLUNC transaction fee revenueOn Thursday, Dunamu signed a memorandum of understanding with CCRS and SSB to propel the Dunamu Next Dream project. This initiative aims to return Luna Classic (LUNC) transaction fee revenue to the community.In September last year, Dunamu expressed its plan to allocate the LUNC transaction fee profits of 239.13025970 BTC for investor protection. The exchange operator, following the recommendations of an external advisory committee, decided to donate approximately 3 billion KRW (~$2.3 million) of these assets to public organizations and use the remaining funds for financial and credit support.Young debtorsThe project targets young individuals facing financial difficulties and debt repayment challenges in the wake of the extended COVID-19 pandemic and escalating interest rates. This reflects the pressing need for effective relief systems and preemptive measures in response to the recent increase in youth debt.A joint survey conducted jointly by Statistics Korea, the Bank of Korea, and the Financial Supervisory Service last year revealed that household debt for those aged 29 or under increased by 41.2% as of the end of March 2022 compared to the same period in 2021.This effort aims to address the economic instability among youths, which could potentially lead to a financial crisis. Through this agreement, the involved parties will offer various measures, such as emergency loans, financial consultations, and follow-up support, to alleviate the financial strain on young debtors and assist them to cultivate improved financial habits.Starting this year, the Dunamu Next Dream project will span three years and will gradually broaden its scope and beneficiaries.