Animoca Raises $45 Million In Japan For Web3 Focused Funding

Animoca raises $45 million in Japan for Web3 focused funding under the guidance of its parent business, Animoca Brands Corporation Limited, and MUFG Bank, Ltd. (MUFG).

The blockchain gaming behemoth is expanding its influence in Japan, one of Asia’s major economies. The newly raised funds, according to the official blog post, will be used to gain licenses for well-known intellectual assets and to enhance internal capabilities.

Promoting Web 3 adoption to numerous partners, increasing the value and utility of their branded content, and growing the NFT ecosystem in Japan are other key areas of concentration.

The Japan Connection

It was originally reported in March that the metaverse company’s Japanese unit was seeking a deal with the Bank of Tokyo-Mitsubishi UFJ (MUFG), one of Japan’s oldest and largest banks. The collaboration’s primary goal is to create digital content, acquire intellectual property rights, and operate the NFT market.

MUFG previously stated:

“in order to revitalize the NFT market in Japan, it is necessary to develop an NFT environment where anyone can easily trade with peace of mind, just like daily purchasing activities. Further development of the NFT market is expected by realizing customer protection against fraud, impersonation, and loss of content value due to speculative transactions in the NFT environment.”

The Crypto Ecosystem of Japan

The news comes as the Japanese government considers reevaluating the crypto tax laws that would apply to firms in the fiscal year 2023. The island country’s two crypto lobbying groups, Japan Crypto-Asset Business Association and Japan Crypto-Asset Exchange Association (JVCEA), have asked leaders to decrease tax rates on crypto gains for private investors.

It now levies a 30% corporation tax on profits from cryptocurrency ownership, including unrealized gains. Advocacy organizations are concerned that this move would result in a brain drain.

Despite regulatory uncertainty, the NFT market has exploded. In reality, local Japanese tech firms have begun to come up with the concept of non-fungible tokens and Web 3.0. MUFG, for example, was one of the first major Japanese banks to enter the NFT market. In contrast, SBI Group has already formed a separate subsidiary named SBINFTs.

If you liked “Animoca Raises $45 Million In Japan For Web3 Focused Funding” be sure to check out our latest crypto news.