In addition, the SBT tokens cannot be traded because they are designed to function only within the Web3 and decentralized ecosystem that the platform provides. The official announcement released by SMBC on December 8 indicates that the endeavor is centered on the use case of SBT and is being carried out in conjunction with the cryptocurrency company HashPort.

The companies will conduct research on SBTs to establish the real-world applications of these distributed ledger technologies for communities, platforms, and distributed autonomous organizations (DAOs). The SMBC disclosed that the new move would be beneficial for people who are trying to take on a variety of roles and personalities within a community.

According to the statement made by the firm, "The intention within the Web3 ecosystem is that individuals would be able to govern their chosen personality inside each community to which they belong." As a result, people are able to satisfy their social requirements by employing numerous "souls" with SBTs.

The primary practical use of the SBT could be located in a state in which users can simultaneously assume dual roles.

In the event that a user wishes to change careers and needs to demonstrate previous job experience or skills, they can authenticate their identification on the SBT platform and provide permission to their employer to do so.

The company believes that the collaboration with HashPort will eventually prove valuable for a variety of applications in the real world. Investing in a project that will help improve the digital economy in Japan and Asia will be a worthy endeavor.

According to the release made by SMBC, the two parties are discussing the possibility of establishing a content company that is congruent with their NFT drive and the Web3 ecosystem. In addition to that, the effort promotes the growth of the token business in Japan, with a particular emphasis on Asian countries.

Investigating the Potential of Blockchain Technology

SMBC, which is recognized as one of the most important financial institutions in the nation, has spent a considerable amount of time looking into blockchain technology and cryptocurrencies. It is a subsidiary of the Mitsui Group, which has several other branches in other parts of the world.

The trading arm of the Mitsui Group made an announcement in February 2022 regarding its intention to establish a gold-pegged cryptocurrency asset known as ZipangCoin. In a similar vein, the Sumitomo Mitsui Trust Bank launched an asset-backed securities coin in March 2021 in conjunction with Securitize.

Back in the year 2021, a number of private banks in Japan conducted research on blockchain technology in order to digitize bank transactions and investigate potential applications for digital assets.

The move was made to facilitate fast and low-cost transactions. The initiative is also directed toward the creation of tokens that are capable of universal acceptance and can be viewed as a digital money that is beneficial to the environment.

The enormous amount of energy that blockchain requires has been a source of concern; nevertheless, the group plans to create a consensus process that consumes significantly less energy than that of existing crypto assets.

Over the course of the past several months, Japan has witnessed massive investments in blockchain technology from major corporations. The fact that the Web3 space is rapidly expanding indicates that the new SBT asset would be beneficial to the digital economy drive being undertaken in the country.