A joint project was started to realize the first IEO in Japan.

Help to revitalize the fan community by distributing content on the blockchain.

Hashpalette Inc. (Minato-ku Tokyo, CEO: Yuuki Matsubara and Seihaku Yoshida, referred to as “Hashpalette”) and Coincheck, Inc.  (Shibuya-ku Tokyo, CEO: Satoshi Hasuo, referred to as “Coincheck”)  are pleased to announce the launch of a joint project to realize the first IEO (Initial Exchange Offering) in Japan.

Hashpalette is a joint venture between Link-U inc., a Tokyo Stock Exchange First Section-listed company with 10 million MAU of manga apps under its belt, and HashPort Inc. that has a wealth of experience in the blockchain area.

The IEO (Initial Exchange Offering) is a scheme in which a cryptocurrency exchange supports the formation and strengthening of a community and fundraising through the issuance of tokens. Among ICOs (Initial Coin Offering), which are mechanisms by which an issuer such as a company or project raises funds by issuing utility tokens electronically, IEO refers to a model in which a cryptocurrency exchange takes the lead in selling the issuer’s tokens.

This joint project aims to further develop Japanese cultural content, including manga, anime, sports, and music. Hashpalette was established in March 2020. The company plans to issue a “Palette Token (PLT) ” and sell the tokens on Coincheck, a cryptocurrency trading service. The issued and sold tokens will be used on “Palette,” a blockchain platform for content including manga, anime, sports, music.

Diagram of this project

■About the Blockchain Platform “Palette”

Palette is a blockchain platform for issuing, managing, and distributing digital items that utilize content in fan communities. Digital items are issued as non-fungible tokens (NFTs) on the blockchain. The consortium-type blockchain “Palette Chain”, which is the basis of “Palette”, is a consortium of content companies that meet certain conditions and operate as consensus nodes. The consortium members are currently in discussions with several companies and will be announced in due course.

■About “Palette Token (PLT)”

Palette Tokens are issued on the Ethereum blockchain and are used to pay for consensus node operations in the “Palette Chain”, as well as for smart contract issuance fees (GAS) and to settle NFT transactions. This makes it possible to send NFTs and receive money at the same time, creating a secure secondary market without the need to utilize escrow services. Pallet tokens also play an important role in the design of incentives for the maintenance and operation of the “pallet chain”. The “pallet tokens” can move back and forth between the “pallet chain” and the Ethereum blockchain freely using cross-chain technology.

Hashpalette Inc. comments

Hashpalette aims to digitize the content industry with blockchain, and since its inception, Hashpalette’s co-owner, Link-U, has been digitizing the content industry with a focus on e-books, with 12 million readers in the e-book space. In the meantime, the content industry as a whole is undergoing a major transition, with the increasing importance of the global market and a change in the business model due to the impact of the COVID-19. The content industry as a whole, on the other hand, is at a major turning point, with the increasing importance of the global market and the impact of corona on business models, and the creation of a new fan-led ecosystem in which digital and real-life are organically connected. Palette, in collaboration with leading companies in a variety of content fields and Japan’s leading cryptocurrency exchange operator, Coincheck, aims to create a blockchain ecosystem that can be used by both creators and fans safely and easily. Palette is working with partner companies to create services that have been difficult to implement on Palette, such as limited read-only access to manga, commemorative photos that can be used at sports games, and Comikabu, a manga fan club membership with limited illustrations that Hashpalette tested in May of this year. We will build it. We would like to further expand Japanese content, which has a strong competitive edge globally, to the global market using the blockchain.

Coincheck, Inc.  Comments

Coincheck has been discussing the commercialization of IEO since August 2019. With the Palette, provided by project partner Hashpalette, we believe that a variety of Japan’s world-class content will be digitized as NFTs circulating on the blockchain, making it easy for anyone to own or sell it. Furthermore, in the future, it will be possible to build an ecosystem in which creators and artists can provide customers with new experiences that have been difficult to achieve in the past, such as “limited reading rights to read manga” and “limited concert participation rights” that are unique to digital content. By supporting the sale and distribution of “palette tokens,” which are provided as incentives for payment and voting in such ecosystems, we will take on the new challenge of accelerating the growth of such ecosystems with cryptocurrency. In addition, through this project, we will work to create cryptocurrencies that are not just for speculation, but also have social significance.

■Company overview

Hashpalette Inc.

[Location] 5-17-2 Minami Aoyama, Minato-ku, Tokyo
[Representative] CEO Yuuki Matsubara, Seihaku Yoshida
[Establishment] March 2, 2020
[Business Description] Research and Development of blockchain technology, blockchain-based content business, and consulting in the content area.

Link-U inc.

[Location] 4-4-1 Kanda Surugadai, Chiyoda-ku, Tokyo
[Representative] CEO Yuuki Matsubara
[Establishment] August 20, 2013
[Business Description] Server Platform Business

HashPort inc.

[Location] Praseo Aoyama Building 3F, 2-7-13 Kita Aoyama, Minato-ku, Tokyo
[Representative] CEO Seihaku Yoshida
[Establishment] July 13, 2018
[Business Description] Consulting Business, System Development

Coincheck, Inc.

[Location] E-Space Tower 12F, 3-6 Maruyamacho, Shibuya-ku, Tokyo
[Representative] CEO Satoshi Hasuo
[Establishment] August 28, 2012
[Business Description] Development and Operation of Cryptocurrency Trading Services