South Korea investigates Worldcoin for its personal data collection

Asian fund acquires majority stake in The BlockIn the wake of certain difficulties experienced following the FTX collapse, prominent crypto publication The Block has secured its future through a strategic sale to Singapore-based venture capital group Foresight Ventures.Taking to the X platform on Monday, The Block’s CEO Larry Cermak announced the acquisition, with Foresight Ventures taking a majority stake in the publication. The deal results in a valuation of the US media group at $70 million. Cermak stated:”This [transaction] gives The Block a fresh start ahead of the bull market and provides us with more capital to build out new exciting products and expand our footprint into Asia and the Middle East.”Cermak also thanked New York-based investment bank Moelis & Company for its help in running the process.Photo by Kelly Sikkema on UnsplashFTX controversyThe sale should allow the firm to move on from a difficult situation which saw it implicated in the activities of convicted fraudster and former FTX CEO Sam Bankman-Fried (SBF). The fallout from the collapse of the FTX exchange in November of last year included the revelation that The Block had relied on undisclosed loans from SBF to sustain its operations.Michael McCaffrey, the former CEO of The Block, resigned last December after it was disclosed that he had borrowed $43 million from SBF’s Alameda Research, a crypto trading company. This financial arrangement was allegedly aimed at supporting the media company and facilitating property acquisitions.Following the conviction of SBF on charges of fraud and money laundering in New York earlier this month, The Block faced challenges and turned its focus towards building a more robust institutional customer base. The media group has been actively engaged in compiling industry deals and offering subscription-based news services.McCaffrey had taken loans totaling $27 million to buy out shareholders and support the media group, with an additional $16 million used for property acquisition in the Bahamas. The financial arrangement with Alameda was undisclosed to the broader team at The Block, as revealed by Bobby Moran, the company’s chief revenue officer at the time.It’s still unclear if McCaffrey has repaid these loans to the FTX Debtor that is currently managing the FTX business. FTX filed for Chapter 11 bankruptcy in November 2022 and with that, it is in the process of being restructured.$56 million investmentAs part of the deal, Foresight Ventures will invest $56 million, securing an 80 percent stake in The Block, according to a source cited by the Financial Times (FT). The investment is a strategic move, especially considering the recent slowdown in venture capital investment in the crypto market.While investors injected approximately $30 billion into crypto projects in both 2021 and 2022, the figure plummeted to $7 billion by the end of September of this year, according to PitchBook.Foresight Ventures CEO Forest Bai confirmed to the FT that The Block will continue to operate as an independent business. Bai stated: “We think The Block is one of the crown assets in the crypto media space. Our view is that the media aspect will continue to drive education and adoption in the space.”

The Korea Federation of Banks (KFB) Chairman Cho Yong-byoung paid a visit to Poland yesterday to sign a memorandum of understanding (MOU) on financial cooperation between South Korea and Poland, Korean news media The Korea Economic Daily reported. The MOU was signed by Chairman Cho and the Polish Bank Association (ZBP) President, Tadeusz Białek. The partnership aims to strengthen bilateral financial collaboration, which will be backed by holding joint financial conferences, sharing information on financial regulations and training financial experts. Photo by Lukasz Radziejewski on UnsplashJoint seminar on digital finance, blockchain and AI Following the MOU signing ceremony, the two associations conducted a joint seminar on digital finance, economy and the banking industry. The event was attended by Korea's Financial Services Commission (FSC) Chairperson Kim Joo-hyun, representatives of KFB members, President Białek and executives of Polish banks.  Among the mainly discussed topics were Korea's digital financial landscape and its digital banking industry, along with the Polish economy and its banking industry. In particular, the participants focused on innovative changes in the financial industry brought by cutting-edge technology such as blockchain, AI and big data.  During the conference, Chairman Cho expressed his commitment to bolstering the bilateral partnership, stating that the Korean banking industry will support local companies in expanding their businesses in Poland.  

China to outline clear directions for NFT & Web3 developmentEarlier this week, China’s Ministry of Science and Technology announced a decision to work towards releasing a comprehensive strategy document aimed at clarifying the future path for the development of NFTs and Web3.Photo by Christian Lue on UnsplashFurthering Web3 innovationIn a communication published online on Tuesday, the ministry outlined its plan to enhance collaboration between relevant departments, emphasizing the promotion of Web3 innovation, increased research deployment and the strengthening of talent within the industry. Despite the regulatory challenges in the crypto space, the ministry acknowledged the growing interest in NFTs among Chinese citizens.The strategy document, developed in collaboration with the Chinese Academy of Sciences and the China Association for Science and Technology, will address key issues such as inheritance, innovation, security and government responsibilities.Ban not suppressing interestDespite the country’s ban on cryptocurrencies, the ministry expressed a commitment to the development of the Web3 industry, particularly focusing on non-fungible tokens (NFTs). Earlier this year, a Wall Street Journal investigation found that leading global crypto exchange Binance was thriving in China.One gray area that Chinese citizens are exploiting relative to the ban is that of NFTs. Crypto trading and mining were banned a couple of years ago. However, NFTs remain legal with the result that there has been a surge in adoption of digital collectibles in China. That prompted China’s top procuratorial agency, the Supreme People’s Procuratorate of China, to issue a warning relative to a number of attributes and risks relative to NFTs in May.Web3-related initiativesSeveral Web3 initiatives have already been underway in China. The Ministry of Science and Technology, in conjunction with the Cyberspace Administration of China, has released important policy documents, including the “Guiding Opinions on Accelerating the Application of Blockchain Technology and Industrial Development” and the “Blockchain Information Service Management Regulations.”Additionally, collaborative efforts involving the Cyberspace Administration of China, the Propaganda Department of the Central Committee, the Supreme People’s Court and other departments have conducted blockchain pilot actions, specifically in areas such as energy, rule of law, copyright and trade finance.The metaverse is another Web3 segment that the Chinese seem to be targeting for growth. A report by POLITICO published last August found that Chinese authorities and state-owned companies appeared to be seeking to mold and develop the metaverse in line with Chinese values. Efforts are being made to effect further development in the regions also, with the city of Zhengzhou announcing in May a set of metaverse-related policy proposals.Looking ahead, China’s Web3 strategy aims to concentrate on key sectors such as government affairs and industry. The plan seeks to encourage the development of novel business models, including NFTs and decentralized applications (dApps), while also accelerating the innovative application of Web3 and the construction of a digital ecosystem.The ministry’s recent response to Wu Jiezhuang, a member of the CPPCC National Committee, the country’s political advisory body, indicated that the delay in releasing the strategy document is part of a meticulous approach to ensure the strategic framework aligns with the evolving nature of the industry.While the postponement may be met with some disappointment, the overall tone remains optimistic, pointing towards the likelihood that China is committed to fostering innovation within the Web3 sector.