Source: Adobe / Oleg Doroshin
South Korean hydraulic company Sewon E&C, which is listed on the Korea Stock Exchange, is in the final stages of entering into a deal with a major Decentralized Finance (DeFi) player regarding a proposed collaboration on cryptography, non-fungible token (NFT) and the metaverse.
INews24 reported that the company basically cleared a deal with crypto firm Delio last month and is now ready to sign it on the dotted line after completing a month-long “due diligence and due diligence” related to accounting.
The hydraulics supplier, which was founded in 1971, said it was preparing a “capital investment” in Delio and was “in the process” of discussing business collaboration related to “digital finance.”
Sewon has announced that it will expand into so-called “cryptocurrency-related businesses” including “blockchain-based NFTs, DeFi and the metaverse.” The firm, formerly known as Miwon Heavy Machinery, has a proven track record in the hydraulic industry and also specializes in pumps, valves, cylinders and bioengineering solutions.
Following the extraordinary general meeting of Sewon shareholders, the company has committed to expand its activities in the areas of “blockchain system development”, as well as “payment system development” and IT-related research. Sewon shares jumped 2% on the news.
The company added that the company will work with Delio on a cryptocurrency-based real estate securitization solution.
Delio was founded in 2018 and its core businesses include crypto asset escrow and interest rate services, secured loans using Bitcoin (BTC) and other tokens, and other DeFi-related transactions.
In November, Delio unveiled Blue, its cryptocurrency-backed loan offering – the first in South Korea – with an initial total capitalization of US $ 100 million. By using BTC and other coins as collateral, Blue users can borrow fiat loans with an annual interest rate of up to 16%.
In the summer, Delio struck a deal with major financial company OK Financial Group, and in October Delio received his Information Security Management System from the Korean State Agency for Internet and Security (KISA).
An official from Sevon was quoted as saying:
“We plan to actively partner with leading South Korean crypto-finance company Delio to promote various types of virtual asset business.”