Israel Doubles Down on Blocking Crypto Funding of Hamas

Korea Exchange sets the stage for security token tradingStarting next year, South Koreans may have the opportunity to trade security tokens, as the Korea Exchange (KRX), the sole securities exchange operator in the country, has officially begun preparations to establish a security token market. The Busan Digital Asset Exchange (BDX), slated for launch next year, is expected to play a pivotal role in spearheading the growth and development of this emerging security token market.Photo by Tierra Mallorca on UnsplashSeeking approval from financial regulatorsAs reported by local news outlet Busan Ilbo, KRX applied to the FSC last month for registration as an innovative financial service under the financial regulatory sandbox scheme. On Nov. 19, the FSC approved the creation of pilot markets for investment contract securities and non-cash trust beneficial certificates. KRX’s recent initiative is a follow-up to this development. The financial regulator is set to make a final decision after holding a main committee meeting to review KRX’s application.Investment contract securities and non-cash trust beneficial certificates represent two distinct types of security tokens. Investment contract securities provide a means for fractional investments in real-world assets (RWAs). This can include a diverse range of assets such as artworks, music copyrights, beef and carbon credits, allowing investors to own a portion of these assets. On the other hand, non-cash trust beneficial certificates function as secondary investment instruments. These certificates enable individuals to invest in financial products that themselves have invested in security tokens, offering an indirect pathway to participate in the security token market.Fractional investments on the horizonVarious industries are poised to benefit from the emerging digital market, especially platforms focused on fractional investment in artworks. Companies like Yeolmae Company, Art Together and Seoul Auction Blue are keen on this opportunity and have applied to the FSS for permission to register security tokens. Upon receiving regulatory approval, these platforms plan to accept subscription requests, enabling investors to participate in the art market in a more accessible way.The development of security token markets is expected to positively impact BDX, which is currently seeking an operator. Initially, when BDX’s operation plan was unveiled in September, it excluded security tokens due to regulatory constraints. However, with KRX now involved, it’s more probable that the Busan exchange will feature security tokens as major trading assets. Experts believe the success of these token exchanges will largely depend on the quality and appeal of the underlying assets.A local securities industry official emphasized the significant role of the security token market in enhancing the stature of Busan as a blockchain hub. The growth of this market is seen as pivotal in boosting the value and utility of BDX. The official noted that BDX’s appeal to investors would increase if it offered a diverse range of underlying assets or unique security tokens. This development could mark a significant turning point for Busan in the blockchain industry.

Taiwan’s Comma3 Ventures Raises $45M Crypto FundTaiwan-based Comma3 Ventures, a venture capital firm focused on Web3, has closed funding on a $45 million Web3 fund.The raise was achieved through the participation of a diverse range of institutional investors, high net worth individuals and family offices based in Taiwan and Singapore.In a press release published on Friday, the company stated that the funds raised will be allocated to blockchain infrastructure projects at an early stage of development, focusing on dApps, zero-knowledge proof technology, cross chain bridging projects, as well as layer one and layer two blockchain networks.Photo by Frolda on UnsplashSingapore tiesWhile Taiwan-based, the venture capital has strong ties with Singapore, given that Nicole Liu, one of the firm’s general partners, was formerly an investment manager with Jubilee Capital Management.Liu leads the firm alongside fellow general partners, Ivan Li and Denny Yang. Among the previous projects the trio have invested in are Zilliqa, a smart contract blockchain network that focuses on throughput and scalability, Ethereum layer two side-chain network Polygon, South Korean enterprise blockchain Klaytn, blockchain-based esport game producer Thetan Arena, and a project called Highstreet which seeks to re-imagine retail in the metaverse.Earlier this month, Cetus, a decentralized exchange (DEX) and concentrated liquidity protocol built on the Sui and Aptos blockchains, secured funding from Comma3 Ventures, alongside AC Capital, Adaverse, Animoca Brands, Coin98 Ventures, IDG Capital, KuCoin Ventures, Leland Ventures, NGC Ventures and OKX.Funding 80 to 100 Web3 start-upsAccording to Comma3 Ventures, crypto start-ups that have the potential to scale within the Web3 space within niches such as DeFi and GameFi, will be prioritized for funding. With a spend of $45 million at its disposal, the venture capital firm intends to target around eighty to one hundred start-ups, with a capital funding variance of between $250,000 to $1 million depending on the particular project.In a press release Liu stated: “We regard ourselves as an early-stage investor, so team background and previous experience are very important for us. And on the other hand, we are looking for entrepreneurs who really know what blockchain and Web3 are and how to rebuild their businesses empowered by decentralization technology and token economics. We are dedicating ourselves to investing in and supporting early-stage blockchain infrastructure such as L1&L2, cross-chain, and ZK, as well as DAPPs with the potential to bring traffic to Web3, such as DeFi, GameFi, and creator economies.”In a 2021 podcast, Ivan Li explained that his first allocations in the crypto space were to Bitcoin and Ethereum. Those successful investments were reinvested and allocated to blockchain, data analysis and cyber security projects. From 2021 onwards, Li explained that institutions in the TradFi space in Taipei started to approach him with an interest in trying to get exposure to crypto. That led to him forming Red Building Capital in 2018. Comma3 Ventures followed in 2022.

Korea’s Content Industry: Thriving Amidst Global Tech Advancements and Ambitious Plans“The global competition driven by the Internet and network platforms, artificial intelligence (AI), the metaverse, blockchain technology, and other unprecedented advancements in content technology is ushering in a new era,” Director Jo Hyun-rae of the Korea Creative Content Agency (KOCCA) said in his speech during the 10th annual South Korea Cultural Contents Forum at the Josun Palace Hotel in Seoul on Wednesday, where authorities from various agencies gathered to discuss the prospects, challenges, and hopes for the nation’s content industry.Photo by Ethan Brooke on UnsplashImportance of creative foundations and collaborative effortsJo emphasized his belief that the industry should be built on a foundation of creative talent, rich infrastructure, and financial resources, saying that the agency is actively pushing projects to provide production and financial support in the face of limited resources.“I believe that the creativity and spirit of ambition in our content industry, along with the support and efforts of our people, government, and media, including the Financial News, are shaping the status of K-content today,” he said.Growth and government initiativesAccording to the Ministry of Culture, Sports, and Tourism (MCST), the Korean content industry has seen remarkable growth over the past decade. Last year, the size of the industry exceeded KRW 148 trillion (approximately $111 billion), a growth of about 70% compared to ten years ago.Last year’s content-related exports also amounted to $13.3 billion, far surpassing the $10 billion scale of secondary battery exports and $8.1 billion in home appliance exports. “The Ministry recognizes the economic importance and potential of the content industry and is actively promoting comprehensive support measures to utilize it as an instrument of our national strategy, just like the semiconductor industry,” said Park Sung-won, Vice Minister of the MCST. He also mentioned plans to boost governmental support to encourage active investment in the industry and stimulate the creation of globally competitive works.“Even amid an overall economic downturn, the growth of K-content exports continues, which plays a significant role in our economy,” said Byun Dong-shik, President of local news outlet Financial News. “In light of this forum, I hope that the Korean cultural content industry, and our nation’s economy as a whole, can take another quantum leap forward.”