Binance, one of the top blockchain ecosystem, and cryptocurrency infrastructure provider, has announced the signing of a Memorandum of Understanding to form a strategic relationship with YG Entertainment Inc. (YG), one of South Korea’s major global entertainment businesses.
Helen Hai, Global Head of Binance NFT, said, “YG is one of the most well-known global entertainment corporations in the world. Both Binance and YG will strive to further build their leadership in their respective fields. Now that the two companies have joined forces, we can expect to see a strong cooperative relationship being forged. We hope that this will support the development of the global blockchain ecosystem, and bring further mainstream adoption of new assets, such as NFTs, to a new user base.”
Binance and YG will collaborate on a variety of blockchain projects, including cooperation in the NFT space, as part of their strategic alliance. Binance will provide the NFT platform and technical infrastructure, while YG will provide NFT content and game assets.
The two firms also intend to work on the development of Binance Smart Chain-based games, establish the Metaverse, and actively explore other digital asset opportunities to provide unique experiences and services for fans.
Bo Kyung Hwang, Chief Executive Officer (CEO) at YG, 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.”
NFT (non-fungible token) is a one-of-a-kind digital token that allows artists to distribute their content in a unique way. The expansion of NFT is setting the path for a paradigm shift in the music and Kpop industries by offering more than just a consumption function for fans.
Kpop has been at the vanguard of the Korean Wave, drawing millions of admirers from all over the world. The MoU with Binance is intended to allow YG to extend its growth in the NFT industry.
Binance and YG’s collaboration is likely to result in good synergies between the two companies. YG manages a number of world-famous Kpop acts, including Big Bang, Blackpink, Winner, iKon, AKMU, and Treasure. YG has enormous potential to produce digital assets, including NFTs, by leveraging its intellectual property (IP) rights in a variety of business fields.