Animoca Brands KK, the Japanese branch of the Hong Kong-based game software company, has raised $45 million for Web3 development in Japan. The firm raised funds with its parent company, Animoca Brands Corporation Limited, and Mitsubishi UFJ Financial Group, Inc. (MUFG). Animoca Brands Japan will continue to seek licenses for well-known intellectual properties using the new capital. Moreover, the company intends to develop internal capabilities and promote the adoption of Web3. The company had planned to partner with MUFG for NFT-related business possibilities.
Moreover, in March, the company released a statement highlighting its desire for NFT development in the island nation. The release 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.”
Animoca Brands KK was established in 2021 to support web3 development in Japan. The company allows IP holders in Japan to leverage the Animoca Brands network, reach, and expertise. The firm aims to contribute to the development of the open metaverse.
Additionally, Grease Monkey Games, a subsidiary of Animoca Brands, recently secured a fund from Epic Games, the studio behind the highly successful title, Fortnite.
On the other hand, MUFG is a leading financial institution in the world. The bank has a history spanning 360 years, making it one of the oldest in the business.
Some relief for Japan’s crypto and NFT scene?
Japanese crypto investors are subject to some of the highest taxes in the world. Currently, the country imposes a 30% tax on profits made via crypto investments. However, two well-known cryptocurrency support organizations in Japan have demanded lower taxation for individual investors.
The Japan Crypto-Asset Business Association (JCBA) and the Japan Crypto-Asset Exchange Association (JVCEA) requested the reformation of taxes for crypto investments in the nation. The request draws attention to problems that prevent the island country from adopting cryptocurrencies.
The NFT market in Japan has soared, and web3 and non-fungible tokens have begun to gain favor with local Japanese tech enterprises. One of the first significant Japanese banks to enter the NFT market was MUFG. On the other hand, SBI Group has already created a specific subsidiary for NFTs, known as SBINFTs.