WEB3 witnesses wave of TradFi attention: Are the tides turning?
- MasterCard embraces WEB3 with a new partnership with Immersve.
- Hong Kong unveils strategic plans to become a WEB3 hub.
The race for dominance in WEB3 has heated up, now that the crypto market has offered a robust understanding of the powerful nature of the tech that underpins it. As a result, there has been an influx of increased investment in the sector.
Most of the attention coming to WEB3 is from traditional finance. MasterCard is among the industry leaders that have not just expressed interest but are also actively investing in the segment. Recent reports revealed that MasterCard has teamed up with WEB3 startup Immersve to provide crypto payments through USDT.
#cryptonews: @Mastercard to allow crypto payments in #Web3 via $USDC settlements 🚀
— CoinMarketCap (@CoinMarketCap) February 22, 2023
This partnership comes just days after regulators in the U.S ordered banks not to facilitate or conduct crypto-related transactions. In other words, crypto holders will be able to spend the value of their cryptocurrency while bypassing some banking industry hurdles.
MasterCard’s involvement in WEB3 has the potential to boost mass adoption. In addition, this development may encourage more traditional companies to explore opportunities in the space.
Hong Kong reveals its WEB3 plans
WEB3 is not just grabbing attention from companies and startups. Governments are also embracing the space’s potential, and Hong Kong is now following this path. The Government of Hong Kong recently included a section about WEB3 in its 2023/2024 budget speech. The latter acknowledged that WEB3 is the next step in the internet’s progression and that there are a lot of opportunities to be had.
Financial Secretary #PaulChan says Hong Kong will pursue high-quality development by growing its #DigitalEconomy and ensuring the city is at the forefront of the 3rd generation Internet development #HKBudget2023 https://t.co/X7MPIzalZD
— Hong Kong SAR Government News (@newsgovhk) February 22, 2023
Hong Kong’s government had this to say:
“We must keep up with the times and seize this golden opportunity to spearhead innovation development.”
One of the key takeaways from the budget speech is that the Hong Kong government plans to set aside $50 million for WEB3 ecosystem development. It also intends to support that development by organizing and hosting international seminars.
Most governments have a neutral or non-friendly approach to the cryptocurrencies and token economy. However, in a bold step, Hong Kong’s government will implement regulations that will facilitate healthy WEB3 growth.
In doing so, Hong Kong hopes to become an attractive hub for WEB3 startups as part of its plan to gain a competitive edge. This, plus MasterCard’s interest in the segment, highlights the changing tide which is about to sweep across the global markets.