The digital banking landscape is undergoing a seismic shift, with the advent of Web3 technologies and the increasing adoption of cryptocurrencies and non-fungible tokens (NFTs). A recent development in this space is the $30 million investment secured by Lithuania-based Web3-focused neobank ‘hi’ from Animoca Brands, a major metaverse investor. This investment is part of a strategic partnership aimed at strengthening the real-world utility of cryptocurrencies and NFTs.

The partnership between hi and Animoca Brands is a significant step towards bridging the gap between the traditional fiat and the burgeoning cryptocurrency worlds. The collaboration aims to amplify the utility of fungible tokens and NFTs, with Animoca Brands planning to assist hi in developing more real-world use cases for crypto within its own ecosystem of Web3 projects. 

Animoca Brands’ support for hi’s vision is expected to deliver tangible use cases for cryptocurrencies and utility tokens. This will enable users to directly spend and be rewarded with certain tokens used in the Animoca Brands ecosystem, including SAND, EDU, APE, REVV, GMEE, among others. This move is a clear indication of the growing acceptance and integration of cryptocurrencies into everyday transactions, a trend that is likely to continue in the foreseeable future.

The partnership also underscores hi’s commitment to bridging the gap between fiat and cryptocurrency worlds, a sentiment echoed by Animoca Brands co-founder and executive chairman Yat Siu. Similarly, hi co-founder Sean Rach expressed his belief that the new partnership will help drive crypto mass adoption. 

hi operates the hi Protocol (hiP), a scalable, EVM compatible, Sybil-resistant layer-2 sidechain for Ethereum. The protocol is powered by the HI token, a governance token with a market capitalisation of less than $10 million that exists on Ethereum and BNB Chain. Despite its relatively small market capitalization, the HI token has shown significant potential, trading on a few centralised exchanges, including Bitfinex and MEXC, as well as various decentralised exchanges (DEXs).

The news of the investment and strategic partnership led to a surge in the value of the HI token, which jumped more than 45% on the announcement day. Although it has since given back some of the gains, the overall trend indicates a positive market response to the partnership and the potential it holds for the future of cryptocurrencies and NFTs.

The strategic partnership between hi and Animoca Brands represents a significant milestone in the journey towards the mass adoption of cryptocurrencies and NFTs. Concentrating on the creation of practical applications for these virtual resources, the alliance is well-positioned to hasten the incorporation of digital currencies into the conventional monetary structure. This progression highlights the capacity of Web3 solutions to transform the digital banking sector, providing a preview into a future financial world where digital currencies and NFTs are at the heart of operations.