Web 3.0 TokenBytes - Web 3.0, FinTech (20th Edition)
Syed Musheer Ahmed
FinTech Ballerina | ex-Regulator | Virtual Assets | FinTech | Web 3.0 |
Welcome to the 20th Edition of the FinStep Asia's Web 3.0 Newsletter covering Web 3.0, DeFi and FinTech in Asia.
The latest FinStep Asia Edge podcast was with Florian M Spiegl, CEO and Founder of EVIDENT with whom I have worked closely for many years. Florian has been at the heart of evolution of #Fintech and #Blockchain in Hong Kong and a two time founder. In this episode we hear Florian’s impactful insights on #Bitcoin,#blockchain, and the future of digital assets in financial services. Listen in as we navigate Hong Kong's fintech culture and regulatory landscape, shedding light on tokenization and alternative investments.
Key Highlights:
??Florian discusses his transition from strategy consulting to corporate fintech in Hong Kong.
?? Insights on the evolution of fintech and blockchain in the financial sector.
?? Perspectives on Bitcoin's role as a store of value versus its original concept
??Discussions on Hong Kong's innovative fintech ecosystem and regulatory advancements.
????Exploration of #tokenization and its transformative potential for alternative assets
??????Perspectives on blockchain's future impact on global finance and digital economies
Click on the link below to listen to the full discussion.
Mark Your Calendar: World’s largest annual fintech conference - GLOBAL FINTECH FEST (GFF) – set to return with 5th edition: August 28-30, 2024. Jio World Convention Centre. Mumbai.
Larger than Ever: GFF 2024 is being upscaled manifold: plan your participation in detail to make the most of numerous takeaways.
?Finstep Asia is Proud to support the Global Fintech Fest 2024!?
?Join us in celebrating innovation, technology, and the future of finance. Be part of the change and let's revolutionize the fintech landscape together!
?Visit: www.globalfintechfest.com
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(Click on the headline to view the detailed article)
India's largest cryptocurrency exchange, WazirX, has been hit by a significant security breach, resulting in the theft of over $230 million in digital assets. The hack, which occurred early on July 18, 2024, affected one of WazirX's multisig wallets, leading to a temporary pause in INR and crypto withdrawals. Initial investigations suggest that North-Korea linked hackers are behind the attack, utilizing Uniswap to sell the stolen assets, including Shiba Inu (SHIB) tokens. The incident has notably impacted WazirX's native token, WRX, and underscores the pressing need for enhanced security in the crypto sector, especially as the Indian government contemplates stricter regulations.
Germany's Dresden Public Prosecutor's Office has successfully sold approximately 49,858 Bitcoins for USD 2.86 billion between June 19 and July 12, 2024. The sale, aimed at preserving asset value amid ongoing criminal proceedings related to the "movie2k" case, utilized multiple exchanges, including Bitstamp, Kraken, and Coinbase, to prevent devaluation. The average sale price was about $57,900 per Bitcoin. German authorities emphasized the necessity of the sale to avoid potential losses and ensure effective management of seized assets. The transaction, now complete, sets a precedent for handling digital assets in legal contexts.
Eurex, Europe's leading derivatives exchange, is set to launch Ethereum (ETH) futures and options on August 12, 2024. This expansion follows their successful introduction of Bitcoin derivatives in 2023. The new Ethereum-based contracts will be available in both euros and US dollars, each representing 10 ETH. They will offer monthly and quarterly expirations, along with weekly expiring options for added flexibility. The FTSE Ethereum Index, developed with Digital Asset Research, will serve as the benchmark for these contracts. This move aims to tap into Ethereum's $400 billion market and follows Eurex's successful launch of Bitcoin derivatives, which saw over 100,000 contracts traded.
Disgraced crypto platform FTX has reached a settlement with the US Commodity Futures Trading Commission (CFTC), which will see the platform pay $12.7bn to resolve an ongoing lawsuit. The deal – subject to court approval – will pay $4bn in disgorgement fees. This type of penalty is a remedy that requires a company to give up profits it obtained from illegal or wrongful acts. Another $8.7bn will be paid in restitution fees.
The CFTC will not seek a monetary penalty from FTX, which means the penalties will be used to pay back FTX creditors. The court filing says this proposed settlement is an “integral and valuable component” of FTX’s bankruptcy reorganisation plan.
Zand Bank, the UAE’s first digital bank, has entered into a strategic partnership with Taurus SA, a global leader in digital asset technology for banks. This partnership will cover all aspects of Zand’s digital asset infrastructure, including custody, tokenization, and blockchain connectivity. Zand will leverage Taurus’ integrated custody and tokenization solutions to expand its digital asset offerings, which include cryptocurrencies, tokenized securities, and digital currencies. The partnership aims to provide best-in-class institutional-grade custody for digital assets, with Zand utilizing Taurus’ wallet solution for secure storage. Zand will also use another Taurus solution to issue and service any type of tokenized financial and real-world assets.
The Solana Foundation has launched two new tools—Solana Actions and Solana blinks—to enhance blockchain transaction accessibility. Solana Actions allows users to execute on-chain transactions directly from websites, social media, or physical QR codes, simplifying integration for developers. Solana blinks converts any Action into a shareable link, enabling on-chain interactions from any URL-displaying platform without redirecting users. These innovations aim to make blockchain more user-friendly and promote mainstream adoption by integrating blockchain functionalities seamlessly into everyday digital platforms. Both tools are now available for businesses to incorporate.
DMM Bitcoin, a Japanese cryptocurrency exchange, said it lost 48 billion yen ($305 million) of bitcoin (BTC) following a hack. In a blog post on its website, DMM Bitcoin said 4,502.9 BTC "leaked" out of the exchange. Measures have been taken to avoid further unauthorized outflows. Data provided by security firm Blocksec shows that the hacker divided up the stolen bitcoin across 10 wallets in batches of 500 BTC. "Please be assured that we will procure the equivalent amount of BTC equivalent to the outflow with the support of the group companies and guarantee the full amount," DMM Bitcoin said.
Alchemy Pay has upgraded its crypto payment system to enhance transaction ease for merchants and consumers by integrating major exchanges like Coinbase, Kraken, and Robinhood. This update allows users to directly link their exchange accounts to Alchemy Pay’s interface, facilitating smoother crypto-to-fiat transactions. The system now supports a wide range of cryptocurrencies and exchanges, expanding merchant acceptance and reducing transaction fees and chargebacks. This move aims to attract both existing crypto users and new customers, while simplifying the payment process and broadening digital currency acceptance in retail environments.
Telegram CEO Pavel Durov has unveiled plans to launch a mini app store to enhance blockchain activities and adoption. Announced on July 19, 2024, the new store will support Web3 pages and integrate with Telegram’s growing blockchain ecosystem, including popular tap-to-earn games like Notcoin and Hamster Kombat. Alongside fostering blockchain growth, Telegram aims to improve security by displaying public account registration details and combating crypto fraud through new verification features.
MORE HEADLINES ON DE-FI
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Hong Kong Monetary Authority (HKMA) and Financial Services and the Treasury Bureau (FSTB) released the consultation conclusions for legislative proposal to implement regulatory regime for #stablecoin issuers in Hong Kong.
Background: ?? ?? Overall Response: Overall support for the policy objectives and the key proposals. The majority of respondents agreed that a well-regulated environment is a prerequisite for sustainable and responsible development of the stablecoin ecosystem in Hong Kong.
? Timeline: Way Forward - HKMA/FSTB are preparing a bill to implement the regulatory proposal and plan to introduce the bill into the Legislative Council later this year.
The Bank for International Settlements (BIS) is launching Project Insight to enhance monitoring of global value chains (GVCs) by integrating structured and unstructured granular data with big data analytics. The project aims to address data and analytical gaps that impact policymakers' understanding of GVC trends and disruptions, such as those highlighted by the COVID-19 pandemic. By combining data sources and applying tools like AI and machine learning, Project Insight will provide a comprehensive GVC monitor to support central banks, policymakers, and international organizations in evaluating economic and financial impacts. The initiative involves collaboration with various international and regional institutions, including the Hong Kong Monetary Authority and the International Monetary Fund.
The European Union has introduced new guidelines to help market participants classify crypto assets under the Markets in Crypto-Assets (MiCA) Regulation. On July 12, three European Supervisory Authorities released a consultation paper aiming to standardize and clarify the classification of digital assets across the EU. The guidelines use a structured approach with question-based prompts to determine if a token falls under MiCA, classifying it as a standard crypto asset, an electronic money token (EMT), or an asset-referenced token (ART). Issuers of ARTs must include legal opinions in their white papers to confirm their classification. Comments on the consultation paper are invited by mid-October, with a virtual hearing scheduled for September 23. The guidelines are intended to prevent misclassification and ensure compliance as MiCA regulations come into effect, starting with stablecoins and stablecoin issuers, and expanding to other crypto assets by December 2024.
Singapore banks are set to phase out one-time passwords (OTPs) for online logins within three months, replacing them with digital tokens for authentication. Announced by the Monetary Authority of Singapore (MAS) and the Association of Banks in Singapore (ABS) on July 9, 2024, this move aims to mitigate phishing risks. Digital tokens, activated on mobile devices, will now handle logins via browsers or mobile apps, enhancing security against scams that exploit OTPs. This shift addresses vulnerabilities in OTP-based systems, where cybercriminals use tactics like OTP bots and phishing kits to steal authentication codes. The MAS emphasizes that while this transition may cause some inconvenience, it is crucial for protecting customers from financial fraud and unauthorized account access.
Apple has agreed to allow rival companies access to its tap-and-go payments technology, ending a four-year EU antitrust investigation. The European Commission, accepted Apple’s commitments to open its NFC technology to third-party developers without charge and to allow users to set any wallet as their default option. This decision addresses concerns that Apple Pay's exclusivity restricted competition on iPhones. The commitments, legally binding and effective for ten years, must be implemented by July 25, 2024. Apple confirmed the changes will enable various contactless transactions but will not alter Apple Pay or Apple Wallet.
The People’s Bank of China and the National Bank of Kazakhstan have signed a Memorandum of Understanding to collaborate on central bank digital currencies (CBDCs). This agreement was formalized during President Xi Jinping’s visit to Kazakhstan. The collaboration aims to enhance CBDC research and development through joint initiatives, knowledge sharing, and professional development. Both the National Payment Corporation of Kazakhstan and the Digital Currency Institute of China will play key roles in implementing the memorandum’s objectives.
Hong Kong and Abu Dhabi have signed a Memorandum of Understanding (MoU) to boost investment promotion and cooperation. The MoU, signed online by Ms. Alpha Lau of Invest Hong Kong and Mr. Ahmed Khalifa Al Qubaisi of the Abu Dhabi Chamber of Commerce and Industry, aims to strengthen investment ties and support business expansions between the two regions. The agreement focuses on sharing business environment insights, investment opportunities, and best practices for attracting foreign investment. This partnership will leverage Hong Kong’s connectivity with Mainland China and the world, and Abu Dhabi’s position as a major economic player in the Gulf region, to foster economic growth and international trade.
Meta is halting the release of its new multimodal AI model, Llama, and future AI models in the European Union due to regulatory uncertainty, particularly regarding the General Data Protection Regulation (GDPR). This model, which integrates video, audio, images, and text, was intended to enhance Meta products like smartphones and Ray-Ban smart glasses but will not be available in the EU. Meta cites difficulties in navigating GDPR compliance, especially concerning the use of European data for training models. While Meta plans to release a larger, text-only version of the Llama 3 model in the EU, other US tech companies are also re-evaluating their European strategies due to similar regulatory challenges. Despite these issues, Meta will continue to launch its new models in the UK, which, although similar to GDPR, presents fewer regulatory hurdles. This move highlights growing tensions between US tech firms and European regulators, who are seen as more stringent and slower in their regulatory responses compared to other regions.
Greek authorities are planning to introduce a tax framework for digital assets, with implementation potentially starting in 2025. A special committee has been appointed to investigate crypto and digital assets, and will present its findings to the Ministry of National Economy and Finance by September 2024. This initiative aims to shape crypto-related policies in Greece, including taxation and industry monitoring. Currently, many investors exploit the lack of clear policies, with few reporting earnings from crypto trades. The forthcoming framework may impose a 15% capital gains tax on crypto-related earnings. This move aligns with the increasing crypto activities in Greece, especially among individuals around the age of 30. Despite the current unregulated status of crypto businesses, this is expected to change with the new European Union crypto rules under MiCA.
South Korea's inaugural crypto law, the Virtual Asset User Protection Act, is now fully in effect as of July 18, 2024. This regulation requires local crypto exchanges to safeguard at least 80% of user deposits in cold storage and to keep cryptocurrency reserves equal to customer deposits. Additionally, exchanges must use licensed local banks for cash deposit custody and maintain insurance or reserve funds for potential crises. The law also mandates real-time monitoring of trading activities and introduces a 24-hour surveillance network for detecting suspicious activity. While the new framework aims to enhance investor protection and position South Korea as a global leader in blockchain, there is ongoing discussion about extending the law to cover virtual asset issuance and promoting industry growth.
The Australian Transaction Reports and Analysis Centre (AUSTRAC) recently released its 2024 Money Laundering National Risk Assessment. Per?the report, Australia recorded increased use of crypto assets in crimes and money laundering activities. In its latest money laundering assessment report, AUSTRAC revealed that criminals prefer to use digital assets for crimes since they offer anonymity. As a result, Australia has witnessed an increased use of cryptocurrencies in money laundering.
Following its discoveries, AUSTRAC urged for tighter crypto regulations in Australia. The agency noted the relevance of constant readjustment of regulatory measures to control the use of crypto assets in money laundering.?It also highlighted the need for international cooperation in the fight against the growing menace of crypto use in crimes. Moreover, the agency debated the importance of registering all crypto exchanges in Australia with AUSTRAC under the AML/CTF Act.
Nigeria has initiated a review of its blockchain technology policy, led by the National Information Technology Development Agency (NITDA). The National Blockchain Policy Steering Committee (NBPSC), restructured in May 2023, is re-evaluating the policy to align with technological advancements and economic needs. The review, begun on July 17, aims to enhance the policy's effectiveness in areas like land registration, healthcare, and education. Nigeria’s commitment includes setting up research hubs across the country and developing a blockchain ecosystem, "Nigerium," to boost national security and data control. The initiative reflects Nigeria's ambition to lead in African blockchain development.
The Virtual Asset Service Providers Bill, 2024 (Bill No. 12 of 2024) (VASP Bill), which is due to come into force and implemented imminently, sets a robust legislative framework designed to regulate virtual asset service providers (VASPs) and mitigate potential financial crimes such as money laundering and terrorist financing. In line with FATF’s Recommendation 15 (New Technologies), this VASP Bill is a testament to Seychelles’ commitment to managing these risks effectively.
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BNP Paribas has partnered with China’s Ant International to enhance cross-border payment solutions in Europe. The collaboration, formalized with a Memorandum of Understanding in Zurich, will integrate Alipay+ into BNP Paribas' European merchant services, allowing acceptance of payments from over 25 international mobile partners. Additionally, the partnership will explore innovations in tokenized deposits for global treasury management using Ant’s Whale platform, aiming to improve fund settlement efficiency and transparency. BNP Paribas will also sponsor WorldFirst, a UK payments group acquired by Ant, to support its integration into the Single Euro Payments Area (SEPA) scheme.
The Central Bank of the UAE (CBUAE) and Bank Indonesia (BI) have signed a new Memorandum of Understanding (MoU) to strengthen payment systems cooperation, following a previous agreement in November 2023. This updated MoU aims to link the payment systems of both countries, enhancing the speed, efficiency, transparency, and affordability of cross-border transactions. A key feature of the agreement is the implementation of cross-border QR payment linkages using local currency exchange rates, which will reduce costs and increase accessibility. The initiative reflects a broader goal of advancing digital finance and payment innovations, positioning both nations as leaders in financial technology.
TIFIN has debuted TIFIN India, an AI-driven platform designed to improve financial advice accessibility in India, featuring MyFi, an AI assistant for personalized wealth management, and TIFIN India Enterprise, which will develop AI solutions for financial services firms. Backed by DSP Mutual Fund, with its vice chairperson Aditi Kothari Desai joining the board, TIFIN India seeks to address India's low wealth management penetration (8% compared to 72% in the US) by leveraging global expertise and local insights. The platform aims to revolutionize wealth management with advanced AI, anticipating significant growth as India’s financial services market expands.
Wirex and Visa have expanded their partnership to boost the adoption of Web3 payments in the UK and the European Economic Area. This collaboration will leverage Visa’s payment network and Wirex’s product innovation to enhance digital currency use. A key feature is the launch of Wirex Pay, a modular Zero Knowledge (ZK) payment chain, which simplifies transactions between crypto and traditional currencies. Wirex, holding a Visa principal license for card issuance, aims to integrate blockchain with traditional finance, supported by Visa's marketing efforts.
The United Nations Development Programme (UNDP) has partnered with the DFINITY Foundation to implement Universal Trusted Credentials (UTC) using Internet Computer blockchain technology. Launched with the Monetary Authority of Singapore (MAS) and other strategic partners, UTC aims to enhance access to financing and trade for MSMEs by improving cross-border trust in data. The DFINITY Foundation will develop and test a secure data infrastructure for the UTC pilot in Cambodia, with plans to expand to 10 countries. This initiative supports the broader UNDP goal of leveraging technology to achieve Sustainable Development Goals (SDGs) and economic empowerment for vulnerable populations.
Singapore's Monetary Authority (MAS) is injecting S$100 million into its Financial Sector Technology and Innovation Grant Scheme (FSTI 3.0) to foster advancements in quantum and AI technologies within the financial sector. This funding will establish a Quantum track, offering grants for quantum computing infrastructure, technology adoption, and cybersecurity measures like Post-quantum Cryptography (PQC) and Quantum Key Distribution (QKD). Concurrently, MAS will enhance its AI grant scheme to support the creation of AI innovation centers and development of AI technologies, including frameworks for secure data exchange and industry-wide applications such as fraud detection. These initiatives aim to drive innovation and talent development in Singapore’s financial services sector.
DBS has introduced a generative AI-powered virtual assistant named CSO Assistant for its customer service officers in Singapore, set to be fully deployed by the end of 2024. Developed in-house, CSO Assistant utilizes a large-language model tailored for local languages, featuring voice telephony and speech recognition capabilities. It transcribes customer queries, performs live searches on DBS's knowledge base, and assists with post-call documentation, including call summaries and pre-filling service request fields. With near 100% accuracy in transcription and solutioning from pilot data, the assistant is expected to reduce call handling time by up to 20%. Positive feedback from pilot users highlights its impact on workflow efficiency, with plans to expand its use to other markets, starting with Taiwan and Hong Kong.
Temenos and Visa have partnered to offer the Visa Direct money movement solution integrated with the Temenos Payments Hub. This collaboration enables banks to leverage Visa Direct’s capabilities for real-time cross-border and domestic payments, covering over 190 markets and 160 currencies. The integration, available through Temenos Exchange, will allow banks to provide seamless and secure payment experiences for various use cases, including person-to-person payments, funds disbursements, and bill payments. Temenos Payments Hub will facilitate the incorporation of Visa Direct’s services alongside other payment options on a single platform, enhancing the efficiency of deploying and scaling payment solutions.
Emaar Properties, Mashreq Bank, and Visa have partnered to enhance B2B payments with Visa's virtual card solution. This digital integration, launched in 2021, enables direct ERP integration via API, allowing Emaar to streamline payments to suppliers using virtual cards, thus automating transactions and improving reconciliation efficiency. This solution reduces manual processes, enhances security, and supports transparent, cost-effective payments. The collaboration is expected to significantly boost efficiency and reliability in Emaar's B2B transactions, demonstrating a commitment to leveraging innovative technologies for operational excellence.
Visa is launching its Visa Instalment Credential (VIC) in Japan, designed to facilitate Buy Now, Pay Later (BNPL) options. VIC allows card issuers to offer flexible payment plans, including interest-free instalments, at Visa-affiliated stores globally. Alongside VIC, Visa is introducing the 'VIC in a Box' support program, which helps fintech companies integrate BNPL services by connecting them with partners and expediting product launches. This initiative responds to the growing global demand for BNPL services, particularly among younger Japanese consumers. Episode Six, Orient Corporation, and LifeCard are the first firms to join this program.
WeLab, the pan-Asian fintech platform, has a target of serving 500 million users in the APAC region by 2032, and to reach this goal, it has announced strategic actions in Southeast Asia markets and Hong Kong. In doing so, WeLab is setting out to propel growth, scale and profitability and create a strong foundation in these regions. The company has pinpointed Indonesia and Hong Kong as key markets to establish itself as it continues to expand into the Southeast Asia region.
In Indonesia, WeLab has seen a lot of early traction with neobank, Bank Saqu. With over one million customers in its first six months being live in November 2023, Bank Saqu is the second digital bank of WeLab. The neobank is poised to serve over 200 million underbanked and unbanked Indonesians. It aims to become the preferred partner for MSMEs (micro, small and medium enterprises).
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Hedera Hashgraph has partnered with Deloitte to transform the verification of Environmental, Social, and Governance (ESG) claims through the launch of the Environmental & Social Impact (ESI) platform. Utilizing Hedera’s blockchain technology, the ESI platform aims to combat greenwashing by ensuring accurate and transparent sustainability reporting. Key to this initiative is the Hedera Guardian, which uses tokenized data to document sustainability impacts clearly and irreversibly. The platform supports projects aligned with the UN’s Sustainable Development Goals (SDGs) and offers a new standard in ESG verification. The first application, a mangrove reforestation project in Cura?ao, exemplifies the platform's capabilities in enhancing the credibility of carbon offset efforts. This collaboration highlights Hedera’s commitment to advancing global sustainability standards and improving corporate accountability.
BlackRock Inc., the world's largest asset manager, has updated its decarbonisation investment guidelines, allocating $150 billion to funds that assess energy transition risks and opportunities. Although these new guidelines are based in Europe, they could impact U.S. funds, reflecting BlackRock's attempt to align with European decarbonisation priorities while navigating opposition from Republican-led U.S. states against ESG criteria. The revised policy requires funds to consider shareholder proposals on Scope 3 greenhouse gas emissions and climate-related lobbying. Despite scaling back some climate initiatives and shifting its Climate Action 100+ membership to a UK subsidiary, BlackRock emphasizes balancing climate risks with long-term economic interests for clients.
KPMG has launched its "Clear on Climate Reporting Hub" to enhance transparency in corporate climate-related financial reporting. This new resource offers FAQs, podcasts, and videos to help organizations effectively communicate the financial impacts of climate issues, such as net-zero commitments. The hub addresses the growing demand from investors and regulators for clear, connected climate and financial reporting. It aims to assist companies in navigating the complexities of climate disclosure, ensuring compliance and improving transparency in line with stakeholder expectations.
Vodafone Business and Envoria have introduced the ESG Navigator, a SaaS tool to help companies comply with the upcoming Corporate Sustainability Reporting Directive (CSRD). This solution simplifies ESG data collection and reporting, ensuring adherence to European Sustainability Reporting Standards and the EU Taxonomy. It supports both manual and automated data entry, including Scope 1, 2, and 3 CO2 emissions. The partnership, part of Vodafone’s UPLIFT program, aims to assist businesses in meeting sustainability requirements efficiently.
MORE HEADLINES ON FINTECH
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BNB Chain has expanded its ecosystem by adding new projects in DeFi, AI, and Web3 gaming from June 23 to June 30, 2024. These projects include Ancient World, Astra Nova, Batching.ai, ChainSwap, GameX, Houdini Swap, The Graph, and Xangle ERP, each bringing innovative solutions in gaming, cross-chain swaps, AI-driven NFTs, privacy features, and blockchain data organization. This initiative aims to enhance interoperability and attract more developers and users, with regular updates provided on the BNB Chain blog, reflecting BNB Chain's commitment to fostering a dynamic and comprehensive Web3 ecosystem.
Consensys has launched the MetaMask Delegation Toolkit at EthCC, aiming to revolutionize the Web3 user experience by providing a suite of developer tools and smart contracts. This toolkit allows dapps and protocols to create more accessible and dynamic Web3 experiences, addressing common user complaints about the complexity of the crypto ecosystem. Available on various EVM chains like Arbitrum and Polygon, the toolkit enhances user onboarding, reduces friction, and offers flexible gas payment options. It also simplifies smart contract development, fostering innovative use cases such as peer-to-peer social coordination and recurring subscription payments. Dan Finlay, co-founder of MetaMask, highlights that this toolkit supports decentralized, open-source, and modular solutions, aligning with Consensys' mission to improve the Web3 ecosystem.
Outlier Ventures and Morgan Creek Digital have launched their first Web3 accelerator program in Latin America, offering up to $200,000 in investment funding and three months of mentorship for selected startups. The 12-week virtual program, starting in September, targets fintech solutions like borrowing, lending, cross-border payments, and other blockchain innovations, with support provided in English, Spanish, and Portuguese. Additional benefits include token engineering support, a $30,000 interest-free repayable loan for legal costs, and access to a network of investors. This initiative comes as Latin America's Web3 market, valued at $520 million in 2023, is projected to grow to $7.93 billion by 2032. The program also plans to expand to the Middle East and North Africa (MENA) region later this year.
Polygon Labs, Accenture, and Google Cloud have released a white paper advocating for web3 technologies to revolutionize loyalty programs, which they argue are currently too static and product-focused. The paper suggests that web3 can enhance loyalty by enabling rewards through diverse activities, allowing rewards to be sold or used in token-gated events, and providing brands with a comprehensive view of customer behavior. Despite past challenges and failed attempts at integrating blockchain with loyalty programs, the paper sees web3 as a promising solution for more dynamic and engaging customer experiences, though the timeline for broad adoption remains unclear.
Unstoppable Domains and Pudgy Penguins have announced a new feature allowing users to access Pudgy World using .pudgy domain names. This integration enables single sign-on with personalized Web3 identities, replacing traditional passwords and enhancing user privacy and control. Set to launch in Q4 2024, the feature will also include profile badges and expanded ecosystem integrations. The partnership aims to deepen user engagement and personalization in the virtual world, offering a more unified Web3 experience.
Reddit is sunsetting its Collectible Expressions feature, which allowed users to add animations to their Collectible Avatars NFTs, effective August 5, 2024. Users may still view these animations on past comments, but they won’t be available for new ones. Launched on the Polygon blockchain, Collectible Expressions were popular for enhancing avatars with animated reactions. Reddit will continue to support its Collectible Avatars ecosystem, with plans for new community partnerships and updates.
MORE HEADLINES ON METAVERSE, NFT AND WEB 3.O
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Musheer has close to two decades of extensive experience in Capital Markets, Fintech and Virtual Assets, including a decade as a Global Markets’ trader. Since 2016, Musheer has contributed extensively to building the Fintech and Virtual Assets ecosystem in Asia, particularly as the co- founder & inaugural General Manager of the Fintech Association of Hong Kong and as a Virtual Assets Regulator with Virtual Assets Regulatory Authority of Dubai (VARA).
Over the last few years, he has been working closely with the Fintech and Virtual Assets industry in developing frameworks and growing the digital ecosystem in APAC, including developing Fintech and Virtual Assets regulations and policies in the region as a regulator. As the Founder & MD of Fintech Advisory and Venture Building firm, Finstep Asia, Musheer works closely with several regulators, Fintechs, VASPs and Financial institutions in Hong Kong as well as across other parts of Asia on Fintech and digital economy, while providing advisory services and workshops to both regulators and large corporates across Asia on Fintech and Digital Assets. In his recent role at VARA, Musheer was among the key persons who laid the foundations for the regulatory body and was leading the initiative to grandfather legacy VA operators into the licensing regime.
He is actively engaged with a variety of stakeholders, ranging from Federal Regulatory Bodies, Government enterprises and freezones, to engaging with Financial Institutions and startups across Asia, including in the Greater Bay Area. In addition, he has authored several articles and white papers on different subjects of Fintech, Blockchain, Digital Assets, Regtech, and Capital Markets for both regulators and private enterprises.