Earlyworks Co., Ltd. Entered into a Memorandum of Understanding with Social Finance Limited for Blockchain Game Development

Tokyo, Japan, Jan. 10, 2024 (GLOBE NEWSWIRE) -- Earlyworks Co., Ltd. (Nasdaq: ELWS) (the “Company” or “Earlyworks”), a Japanese company operating its proprietary private blockchain technology, Grid Ledger System (“GLS”), today announced that it entered into a Memorandum of Understanding (“MOU”) with Social Finance Limited (“Social Finance”), an operator of the Web3 platform GuildQB, which is one of the largest blockchain gaming guilds in Japan, to jointly develop blockchain games. This represents a key initiative of the Company to leverage GLS in the gaming industry.

Pursuant to the MOU, the Company and Social Finance agreed to work together to plan, develop and operate blockchain games using blockchain technology. Earlyworks agreed to provide GLS, offer design or design support for blockchain games, and conduct technical verification, system development and operation. Social Finance is responsible for blockchain game planning, marketing and sales of content in blockchain games, and formation and operation of communities in blockchain games. The allocation of revenue will be determined upon negotiation between the Company and Social Finance for each product.

This partnership aims to provide the real-time processing capabilities and improve the user experience in blockchain games. Conventional blockchain games face challenges from algorithms that are associated with public chains, and struggle with high real-time processing. In contrast, GLS moves most of the public chain processing to a secure and highly available off-chain environment and seamlessly links with public chains. As a result, GLS achieves ultra-high-speed processing, a feat that is beyond the capabilities of public chains operating independently. GLS enables real-time issuance of NFTs for purchase or transfer, immediate in-game utilization of NFT items, and effective utilization of NFT items in blockchain games. A simulation role-playing game is scheduled to be released as the first blockchain-game based on GLS.

Mr. Satoshi Kobayashi, the Chief Executive Officer and Representative Director of Earlyworks, commented, “We are excited about this partnership with Social Finance, which is expected to explore new frontiers of gaming and unleash new possibilities for the industry. In addition, this initiative is set to strengthen our technological advantages by tapping into the high processing speed of GLS and enhancing its compatibility with the gaming industry. We firmly believe that this partnership will further enhance the profitability of our GLS-based services across industries and expand our market footprint in the Web 3.0 era, bringing enduring value for our shareholders.”

About Social Finance Limited

Social Finance Limited is the operator of GuildQB, a social Web3 platform dedicated to GameFi and a community of NFT game players. GuildQB is one of the largest gaming guilds in Japan with over 150,000 SNS followers. Since the inception of GuildQB in the spring of 2022, it has been sending out information about NFT games through its own media outlet, Scholars Lab, as well as on Instagram and Twitter.

About Earlyworks Co., Ltd.

Earlyworks Co., Ltd. is a Japanese company operating its proprietary private blockchain technology, GLS, to leverage blockchain technology in various applications in a wide range of industries. GLS is a hybrid blockchain that combines the technical advantages of blockchain and database technology. GLS features high-speed processing, which can reach 0.016 seconds per transaction, tamper-resistance, security, zero server downtime, and versatile applications. The applicability of GLS is verified in multiple domains, including real estate, advertisement, telecommunications, metaverse, and financial services. The Company’s mission is to keep updating GLS and make it an infrastructure in the coming Web3/metaverse-like data society. For more information, please visit the Company’s website: https://ir.e-arly.works/.

Forward-Looking Statements

Certain statements in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company’s current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can find many (but not all) of these statements by the use of words such as “approximates,” “believes,” “hopes,” “expects,” “anticipates,” “estimates,” “projects,” “intends,” “plans,” “will,” “would,” “should,” “could,” “may,” or other similar expressions. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company’s registration statement and other filings with the SEC.

For more information, please contact:

Earlyworks Co., Ltd.

Investor Relations Department Email: ir@e-arly.works

Ascent Investor Relations LLC

Tina Xiao Phone: +1-646-932-7242 Email: investors@ascent-ir.com