BTS enters NFT market in joint venture with Upbit
Summary
Hybe, the South Korean agency behind K-pop megastar BTS, announced today that it plans to set up a joint venture with Korean crypto exchange Upbit to enter the non-fungible token (NFT) business.Hybe will buy a 2.5% stake in Dunamu, a blockchain-based fintech startup that runs cryptocurrency exchange Upbit, for $423.1 million (500 billion won). At the same time, Dunamu will acquire newly issued Hybe shares, a 5.6% stake, in a Seoul-headquartered music agency for $592.4 million, according to the regulatory filing.The joint venture company will create NFT photocards that will be traded on Hybes global fan-to-artist communication app, Weverse, said CEO of Hybe Si-Hyuk Bang, and chairman of Dunamu Chi-Hyung Song, in a joint statement during the companys briefing on Thursday.Hybes BTS NFTs will include moving images, voices of artists and more, Bang explained. On top of that, global fans will be able to exchange their digital photo cards in virtual spaces, Song said.Hybe and its subsidiaries unveiled further plans to extend the BTS brand deeper into the digital sphere. In addition to the NFT JV, there will be a BTS video game, and a webtoon business.Hybe is one of the most successful companies manufacturing pop bands at the moment and they are riding the wave. Separately, Hybe Japan will announce a boy band in Japan, Hyunrock Han, CEO of Hybe Japan, said.South Korean K-pop giants are bracing for the arrival of NFTs to extend their revenue potential by turning their existing IP into digital assets.South Koreas four biggest entertainment companies, Hybe, JYP, SM and YG, have been competing to tap into the new tech.