Hedera, a prominent Proof of Stake (POS) blockchain platform, has initiated a groundbreaking five-year alliance with the Saudi Ministry of Investment (MISA) to drive the advancement of Web3 technologies in the region.
Announced during the Saudi-Swiss Roundtable Meeting, this partnership, valued at $250 million, marks a significant stride in the Kingdom of Saudi Arabia’s endeavors to enhance its investment ecosystem. The collaboration seeks to introduce innovative solutions spanning diverse sectors, such as artificial intelligence (AI), blockchain, and other advanced technologies.
Hedera Launches DeepTech Venture Studio
As part of this strategic partnership, the Hashgraph Association, a non-profit organization based in Switzerland dedicated to advancing Hedera Hashgraph technology, has launched the DeepTech Venture Studio. This initiative is designed to support both local Saudi and international companies in developing innovative technological solutions.
According to the recent announcement, the collaboration aims to empower companies to pioneer cutting-edge solutions across various sectors, harnessing advanced technologies such as artificial intelligence, blockchain, robotics, the Internet of Things, virtual reality, and quantum computing. The DeepTech Venture Studio is envisioned to foster innovation and enhance the competitive edge of Saudi companies in the global market.
In response to this significant development, Hedera’s native token, HBAR, witnessed a notable 5% increase in price, reflecting the market’s favorable response to this strategic partnership. Data from CoinMarketCap indicates a remarkable surge in HBAR’s trading volume by nearly 400% in the past 24 hours, underscoring heightened investor interest and confidence in the partnership’s potential.
Hedera’s Ecosystem Thrives with Key Partnerships and Token Allocation
Hedera’s ecosystem has seen remarkable expansion in recent months. Just under four weeks ago, the Hedera developer team announced the integration of Hitachi U.S. into the ecosystem, potentially for inclusion in the governance council. The addition of Hitachi U.S. to the council, one of the largest partnerships for the Hedera Fund ecosystem, represents a significant stride in Web3 innovation.
Furthermore, Hedera Hashgraph’s native cryptocurrency, HBAR, recently experienced a significant allocation of approximately 5 billion tokens by the Hedera Council. This allocation is earmarked for fostering ecosystem development and advancing decentralized governance. A significant portion of the allocation was directed toward existing initiatives such as the HBAR Foundation, the Hashgraph Association, and the DLT Science Foundation, underscoring Hedera’s unwavering dedication to ecosystem development.
Moreover, the Hedera and Algorand ecosystems, along with key industry players such as the HBAR Foundation and the Algorand Foundation, unveiled the formation of the DeRec Alliance last month. This collaborative effort is dedicated to developing a ‘decentralized recovery’ protocol for digital assets.
Saudi Arabia’s commitment to nurturing Web3 and blockchain initiatives has been increasingly evident in recent endeavors. Notably, in November, the Kingdom allocated $50 million to invest in Animoca Brands, aiming to strengthen web3 gaming and metaverse projects, showcasing a proactive stance towards embracing emerging technologies.
In a separate development, Fintech Saudi Arabia entered into a partnership agreement with Kyndryl. Per the Memorandum of Understanding signed by the parties in December, this collaboration aims to drive technological adoption among fintech entrepreneurs and startups in the region.