The world’s largest cryptocurrency exchange, Binance, has signed a Memorandum of Understanding (MoU) in a bid to develop a strategic partnership with prominent South Korean multinational entertainment corporation – YG Entertainment Inc. (YG).
Binance – YG’s Strategic Partnership
According to the official blog post, the two companies will collectively work on a myriad of blockchain projects. The partnership will focus on the non-fungible tokens space, wherein Binance will offer the NFT platform and required infrastructure with regards to tech. YG, on the other hand, will be tasked with providing NFT content and gaming assets.
For the uninitiated, YG manages several popular K-pop stars such as BIG BANG, BLACKPINK, WINNER, iKON, AKMU, and TREASURE.
As part of the strategic partnership, the two firms also intend to build Binance Smart Chain-based games. Collaborating on Metaverse, as well as actively pursuing various digital asset opportunities to offer unique experiences and services for fans, are some of the goals that Binance and YG aim to achieve in the future.
With climate controversy swirling around the space, the cryptocurrency exchange will work closely with YG to create an eco-friendly ecosystem for NFTs. This was revealed by Helen Hai, Global Head of Binance NFT, who also highlighted the work on the development of the global blockchain ecosystem, and fostering mainstream adoption of new assets, such as NFTs, to a new user base.
Commenting on the development, YG Chief Executive, Bo Kyung Hwang, said
“As a Kpop leader, we plan to steadily build an innovative and eco-friendly NFT ecosystem. Collaboration with Binance has provided an opportunity for YG to secure royalties and business opportunities for rare and valuable content. We also hope that it could further strengthen the bond between fans and artists.”
K-Pop And NFT Hype
YG is an important player in the K-Pop industry. The MoU with Binance is expected to enable the Korean giant to further extend the NFT space.
The latest news comes on the heels of home-grown cryptocurrency exchange, Upbit receiving significant backlash after announcing the release of NFTs featuring stars like BTS. This did not sit well with the environmentally-conscious fans of the K-Pop band who waged online wars with hashtags such as “#ARMYsAgainstNFT” and “#BoycottHybeNFT” on the micro-blogging website Twitter. As a result, the platform had clarified to use “low carbon, eco-friendly” technology to mint the NFTs.
Despite a groundswell of opposition against NFTs, the country’s ruling party does not appear to be denouncing the sector’s carbon footprint. As a matter of fact, the Democratic Party of Korea (DPK) plans to launch NFTS or fundraising in a presidential election.