Hanwha’s $13M Bet on Kresus Labs Signals a Shift in Crypto Investment
South Korean financial giant Hanwha Investment &. Securities has invested approximately $13 million (KRW 18 billion) into Kresus Labs, a blockchain infrastructure firm specializing in digital asset wallets and tokenization platforms. This move, following a memorandum of understanding (MOU) signed in December at Abu Dhabi Finance Week, highlights a growing trend: institutional investment is increasingly focused on the foundational layers of the crypto ecosystem rather than speculative tokens.
Seedless Wallets and the Future of Crypto Accessibility
Kresus Labs is developing innovative “seedless” wallet recovery technology. Traditional crypto wallets rely on 12-24 word seed phrases for recovery, which can be a significant barrier for less tech-savvy users. Seedless recovery aims to simplify this process, potentially broadening access to digital assets. Alongside seedless recovery, Kresus utilizes multi-party computation (MPC)-based security systems to enhance wallet security.
Tokenization of Real-World Assets Gains Momentum
The investment will likewise fuel Kresus’s work on real-world asset (RWA) tokenization platforms. Tokenizing assets like real estate, commodities, or even intellectual property can unlock liquidity and efficiency gains. Hanwha intends to leverage Kresus’ technology to develop tokenized versions of traditional financial products and enhance its digital asset services for clients.
Why Infrastructure is the Modern Focus for Institutional Investors
Despite ongoing volatility in the broader crypto markets, capital continues to flow into infrastructure providers. This shift reflects a maturing institutional perspective. Rather than chasing quick gains from volatile tokens, firms like Hanwha are prioritizing the security, compliance, and scalability needed for long-term integration of digital assets into the financial system. Wallet security and compliant tokenization frameworks are key hurdles for established financial firms looking to engage more deeply with blockchain technology.
As highlighted by a LinkedIn commentator on Hanwha Group’s post about the MOU, this investment positions Abu Dhabi as a competitor to Singapore and Hong Kong in the digital asset space. The combination of Hanwha’s capital and Kresus’ technology could unlock wider institutional adoption if regulatory challenges are addressed effectively.
Hanwha and Kresus: A Strategic Partnership
The partnership between Hanwha Investment & Securities and Kresus Labs was formalized during Abu Dhabi Finance Week 2025. It encompasses digital wallet development, tokenization of financial instruments, blockchain infrastructure, and collaboration across Web3-related businesses. This collaboration builds on a previous MOU between Hanwha Asset Management and MarcyPen to support the global growth of K-culture and lifestyle industries.
Frequently Asked Questions
What is RWA tokenization? RWA tokenization is the process of representing ownership of real-world assets, such as real estate or commodities, as digital tokens on a blockchain.
What is MPC-based security? Multi-party computation (MPC) is a cryptographic technique that allows multiple parties to jointly compute a function without revealing their individual inputs.
What are seed phrases? Seed phrases are a series of words used to recover access to a cryptocurrency wallet if the user loses their password or device.
What is Abu Dhabi Finance Week? Abu Dhabi Finance Week is an annual event that brings together leaders from the global financial industry to discuss the latest trends, and innovations.
What is Hanwha Investment & Securities? Hanwha Investment & Securities is one of South Korea’s largest financial institutions.
Did you understand? Institutional investment in blockchain infrastructure is increasing even during periods of crypto market volatility.
Pro Tip: Understanding the underlying infrastructure is crucial for assessing the long-term viability of any digital asset project.
Explore more about the evolving landscape of digital asset infrastructure and tokenization. Share your thoughts in the comments below!
