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Japan Web3 Roundup: Ending the year with more web3 optimism

On-chain bond issuance is getting even more efficient

Progmat, the stablecoin and security token issuance platform by Japanese mega banks has entered a new partnership with Daiwa Securities and SBI R3 to make bond issuance even more effective.

Throughout this collaboration, Bianca, a system focused on the pre-marketing of bonds, will be integrated and allow direct input from investors for KYC/AML and other purposes through blockchain in compliant, privacy-preserving ways. The traditional pre-issuance process is riddled with inefficiencies, including repetitive, duplicate tasks, countless calls, and emails to verify clients and onboard them.

With the partnership, the process is streamlined and automated on-chain. Biancha runs on the Corda blockchain to authenticate data and allows data to be shared with authorized companies. In the future, product features will extend to cover allocation decision-making.

Takeaway: With the integration of a blockchain-based tool for the pre-marketing process and verification of clients, Progmat is taking another step to become the go-to platform for any enterprise looking to issue digital assets in a compliant and efficient manner. Security tokens might be having a moment in Japan.

DM2C Studio raises 3 million

Image Source: https://dengekionline.com/articles/214880/

The DMM subsidiary, DM2C studio, has closed a fundraising round, receiving over $3 million from investors like Galaxy Interactive, Shima Capital, Bitfinex, and other web3-native investors, as well as from the gaming company Square Enix.

DM2C studio is a gaming-focused company building a dedicated Layer-2 blockchain that runs on top of Oasys to facilitate the creation of on-chain games and entertainment. The protocol is called Seamoon and will be powered by DM2P, an ERC20 token that can easily be used across multiple chains. The main use case for the token will be gaming-related and include minting as well as burning.

The funds raised will be used to enhance the product further while increasingly collaborating with partners to host events and driving interest among game developers to build on Seamon, as well as attract players. Eventually, DM2C is also planning to run an IEO, an initial exchange offering, where 0.5% of the total supply will be sold to retail investors.

Takeaway: Gaming remains a hot field in Japan. With a majority of game developers and game players located in Asia, it makes sense for Japanese companies to secure their piece of the cake. Oasys, however, is quite a regional chain, so it remains to be seen how well an L2 on top of it can leverage that to reach global exposure.

JCBA publishes DAO guidelines

The Japanese Cryptocurrency Business Association (JCBA) has released a guideline to empower local organizations to set up DAOs. Titled “Guidelines for establishing local revitalization DAOs”, the paper contains a variety of suggestions on how DAOs can be used, and legally set up to help revitalize local economies.

The idea of revitalizing DAOs is using web3 tools to create strong communities, including participants from within and outside of the reason, and empower them to take action together via token ownership.

The paper highlights the uncertainty surrounding a lack of standards for user protection as well as the overall unclear legal status of DAOs. Take, for example, a DAO intending to buy real estate. They’d quickly run into problems opening a bank account or handling taxes.

To overcome such challenges and increase trust in DAOs as a mechanism, the paper suggests maintaining transparency and disclosing information about legal asset rights, accounting, and taxation upfront.

Takeaway: Overall, Japanese policymakers and organizations seem deeply interested in DAO. During a DAO Forum in December, key figures from the initiative driving Japan’s digital society efforts and the Rulemaker DAO, a group promoting fair progressive rule, were discussing how to use DAOs to revitalize rural areas. And with countless rural areas facing decline due to urbanization, this move couldn’t be more timely.

In other news đź“°

Japan Fact 🗾🎅

While in most countries, Christmas is a time when big meals are cooked, and the family gathers to enjoy the feast, in Japan, it has become a tradition to eat KFC for Christmas dinner. So, if you’re in Japan and wonder about the queues in front of KFC around Christmas time, that’s why.

Astar Network Team

Astar serves as the gateway for projects across enterprise, entertainment, and gaming to enter Japan and beyond. Driving global adoption of web3 to millions with an ecosystem powered by Polkadot and Polygon as the industry-leading blockchain for the Japan market.