ITCEN GLOBAL pushed back against market rumors that it is exiting its Web3 business, calling them unfounded. The company emphasized that the Blockchain-based Web3 business it is pursuing with major affiliates Korea Gold Exchange and Korea Gold Exchange Digital Asset has entered the commercialization stage.
On the 23rd, according to the industry, ITCEN GLOBAL has logged consecutive declines on the KOSDAQ after news spread in the market that it would pull out of its Web3 business. But the company said that is not true and noted the Web3 business is on track.
ITCEN GLOBAL is carrying out a project to issue 50 tons (t) of physical gold as on-chain (on a Blockchain network) assets within five years and build an ecosystem worth 10 trillion won. Its core business, the gold-based real-world asset (RWA) token "K Gold (KGLD)," is expanding into financial services such as on-chain deposits and collateral loans. Proof of concept (PoC) with a major payment gateway (PG) has also been completed.
In particular, KGLD is proceeding with registration on CoinMarketCap, a virtual asset market data site. ITCEN GLOBAL plans to issue a gold coin in the third quarter of this year and pursue listings, starting with overseas virtual asset exchanges and expanding to domestic exchanges by the first half of next year.
The gold-based stablecoin business is also on track. ITCEN GLOBAL has formed an "RWA alliance" with JPYC, a leading Japanese stablecoin company, and Mitsui & Co., and is building a payment system linking the yen, gold and the won.
Hong Jin-hyeon, a Samsung Securities researcher, said, "ITCEN GLOBAL's share price saw a sharp correction due to unconfirmed rumors such as a stake sale in Korea Gold Exchange. However, an exit from the Web3 business is far from the truth," adding, "ITCEN GLOBAL is instead deploying funds secured through recent convertible bonds (CB) to expand its Web3 and security token offerings (STOs) businesses."
He added, "Related developments have been featured on the official news channel of the world's largest virtual asset exchange, Binance Holdings Ltd., boosting recognition in the virtual asset industry," and "If the Digital Asset Basic Act and STO制度化 are commercialized, there could be a market revaluation of ITCEN GLOBAL's virtual asset business value."