Japan’s most prominent financial organization, Sumitomo Mitsui Financial Group, is experimenting with soulbond tokens to meet emerging social requirements.
Sumitomo Mitsui Financial Group (SMBC), a Japanese financial organization, will investigate the advantages of Web3 by releasing soulbond tokens (SBTs).
SBTs are referred to as digital identity tokens that represent a person’s or an entity’s traits or reputation or a “soul,” as proposed by Ethereum developer Vitalik Buterin. The decentralized society and Web3 are intended for these non-transferable tokens.
On December 8, SMBC formally unveiled an effort in collaboration with the provider of digital assets HashPort that focuses on using SBTs in real-world scenarios.
The businesses intend to study SBTs to see how they may be used in communities, workplaces, knowledge-sharing services, and decentralized autonomous organizations (DAOs).
According to SMBC, the change may be especially beneficial for people taking on more varied societal positions and personalities. The business declared:
In this new society, it is anticipated that each person will be able to choose which personality to present in each community in which they engage. SBTs use numerous “souls” to satisfy these new social requirements.
One of the real-world scenarios where an SBT might be used is when a user is simultaneously playing the role of a music enthusiast and a working adult. “This user can concurrently confirm his or her identification and the career information linked with them by allowing his or her employer to reference the SBTs,” the SMBC stated. “This user wants to prove their abilities and work history while changing jobs.
The company added that the collaboration with HashPort is a significant effort to advance the development of the Web3 economy in Japan and can be put to practical use in the future.
According to the release, “the two parties will also take into account engaging in content business related to NFTs and establishing infrastructure for the Web3 economic zone to stimulate the expansion of the token industry both in Japan and abroad.”
SMBC, a significant financial organization in Japan, is a component of the Mitsui Group, one of the giant business conglomerates in the world. Several Mitsui enterprises have been aggressively investigating blockchain and cryptocurrency tools in recent years.
According to rumors, the Japanese trading house Mitsui planned to launch ZipangCoin, a cryptocurrency backed by gold, in February. Before that, in March 2021, Sumitomo Mitsui Trust Bank and Securitize introduced asset-backed securities tokens.
HashPort and the Sumitomo Mitsui Financial Group of Japan are collaborating on the creation of soulbond tokens (SBTs).