Crypto Chronicles: BitOK's Weekly Recap of Top Regulatory News
Get a quick and easy update on last week's top headlines with BitOK.
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1. Japanese Prime Minister Fumio Kishida supports Web3 technology, calling it a "new form of capitalism"Binance CEO Changpeng Zhao also announced that the cryptocurrency exchange will launch its services on a new Japanese platform in August 2023. Kishida's remarks signal a welcoming attitude toward Web3 in Asia. Japan is working on a strict regulatory framework to protect investors and promote Web3 policies. Binance confirmed its plan to offer services to Japanese cryptocurrency users after acquiring the local exchange platform Sakura Exchange Bitcoin (SEBC) in 2022.
Source - 2. Two new crypto bills were introduced in the United StatesOne bill aims to tighten regulations for decentralized finance (DeFi) platforms, subjecting them to the same requirements as traditional financial companies. However, crypto lobbying groups, Coin Center and the Blockchain Association, criticized the bill, calling it messy and redundant. Another bill, the Financial Innovation and Technology for the 21st Century Act, gives the Commodity Futures Trading Commission (CFTC) jurisdiction over digital commodities and clarifies the SEC's authority over digital assets.
Source - 3. Private banks in South Korea are researching the use of "certificate of deposit" tokensHana Bank and Woori Bank are interested in CD tokens, as they are seen as stable and compatible with central bank digital currencies (CBDCs). The banks are participating in a proof-of-concept test for a CBDC by the Bank of Korea. However, there are still some technical issues with the system, and efforts are being made to improve its capacities.
Source - 4. Former FTX CEO Sam Bankman-Fried accepted a gag order to avoid interfering with his trialHis lawyers are requesting the same gag order for all parties and witnesses involved in the case, including FTX's current CEO John Ray. They want to prevent any unfair attacks on Bankman-Fried due to a toxic media environment. The trial for Bankman-Fried's fraud charges is scheduled to start on October 3.
Source - 5. Criminals are moving away from using Bitcoin for illegal activities and money launderingThey now prefer stablecoins like USD Coin (USDC) because they are easier to use and launder through decentralized exchanges. Ponzi schemes and pyramid scams are still common, with $7.8 billion stolen from victims. Criminals are finding more sophisticated ways to hide their illicit activities, but the ongoing bear market has reduced scams by 46%. However, the use of cryptocurrencies to evade sanctions and finance terrorism is increasing. The metaverse is also attracting criminal activity, such as phishing and NFT theft. Better security measures are needed to protect users and fight against illegal activities in the crypto world.
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