UK passes bill to regulate cryptocurrencies
UK MPs have passed a bill that could regulate cryptocurrency as an activity in the country. The Financial Services and Markets Bill has passed the House of Lords and will move into the final stages before becoming law. The bill, more than 340 pages long, seeks to give regulators greater control over the financial system and includes amendments to regulate all cryptocurrencies and oversee related promotions. The UK expects crypto-specific rules to be in place within a year. The bill still needs to pass the House of Commons before it can be sent for royal approval.
Hong Kong consolidates itself as a hub for digital assets driven by the Web3 industry
Hong Kong is becoming a digital asset hub, with more than 150 Web3 companies registering at the city’s Cyberport hub over the past year. The government allocated funds to boost the development of the Web3 industry and established a committee for the Development of the Digital Economy. Hong Kong also introduced licensing rules for cryptocurrency trading platforms, prioritizing investor protection. Speaking in an interview about the Hong Kong regulations, Neil Tan, Chairman of the Hong Kong Fintech Association, said: “ But the fact that we are actively moving into this area is a telltale sign of where Hong Kong’s future lies as a hub for virtual assets ”.
Etherscan launches AI tool to understand smart contract code
Etherscan, the Ethereum blockchain explorer, has released “Code Reader”, an AI tool based on the OpenAI language model. This tool allows users to learn about the source code of smart contracts by generating AI explanations for specific sections of the code. The feature is helpful to fully understand the functioning and operations of smart contracts by interacting with them. Etherscan highlighted that the tool is in beta and encouraged users to provide feedback for improvements. “ This feature is particularly valuable when interacting with a smart contract for the first time, as it provides a thorough understanding of its operations and functionality ”, said Etherscan.
Do Kwon convicted of using fake passport
Do Kwon, founder of Terraform Labs, was sentenced to four months in prison for using a false passport. His former colleague, Han Chong-joon, also received the same sentence. Kwon claimed he didn’t know the passport was fake and blamed it on a Chinese agency. He also denied making financial donations to the former finance minister of Montenegro.
Nike may launch collection of sneaker-themed NFTs in Fortnite
Nike (NYSE:NKE) has announced the possibility of releasing a collection of tennis-themed non-fungible tokens (NFTs) in the Fortnite game. Rumors indicate that Nike may have used Fortnite Creative 2.0 to create the NFT-related game. The initiative seeks to combine fashion, games and blockchain, promoting the adoption of Web3. Nike’s .Swoosh platform has already seen success selling sneaker NFTs.
Publication of digital euro legislation suspended after leak
Publication of EU legislation required for the digital euro has been suspended following the leak of the bill and questions from finance ministers. The timeline for the project has already undergone several changes, and a new publication date has yet to be announced. The legislation sought to prohibit banks from paying interest on digital euros and merchants from charging for use. Ministers stressed the “importance of developing a compelling and clear narrative of what the added value of this development would be” in terms of the difference to the economy and citizens’ lives, Paschal Donohoe, Ireland’s finance minister, said in a statement.
Avail seeks to optimize data availability for ZK-rollups on the blockchain
Zero-knowledge proofs are crucial to blockchain technology, but streamlined data availability is key to unlocking its potential. ZK-rollups offer scalability and security, but require data availability optimization. Avail, the blockchain data availability platform, seeks to provide infrastructure for rollups, allowing the base tier to focus on data availability. This would reduce costs and improve the efficiency of rollups and transaction verification. Anurag Arjun, co-founder of Polygon and Avail, said in an interview with Cointelegraph: “ If the execution is being scaled by tier 2 or rollups, the base tier doesn’t have to worry about the execution. They now have to optimize for the things they are used for, which is data availability ”.
INX receives US$5.25 million investment from Republic for global expansion
Digital asset brokerage INX has received a $5.25 million investment from investment firm Republic, with a full call option later this year. Republic will acquire approximately 9.5% of INX for US$50 million and intends to acquire 100% for US$120 million. The partnership aims to expand tokenization infrastructure and access to digital assets globally. Republic, backed by Galaxy Interactive and Morgan Stanley (NYSE:MS), will be able to offer a wide range of cryptocurrency trading services to its traditional financial clients. “By integrating INX’s digital trading infrastructure for financial markets with Republic’s expertise in primary distribution, we are redefining how capital is raised and empowering institutional and retail investors globally,” Kendrick Nguyen, CEO of Republic, said in a statement.
Binance Markets Limited cancels permissions granted by the FCA in the UK
The UK Financial Conduct Authority canceled several permits granted to Binance Markets Limited, the British unit of cryptocurrency exchange Binance, at the company’s request. Binance has chosen to cancel these permissions as they are no longer required. “ Since these permits are unlikely to be needed in the future, Binance Markets Limited has decided that it would be prudent to cancel them in line with FCA recommendations to keep them current ”, a Binance spokesperson told CoinDesk. This does not affect the Binance.com platform, which does not offer crypto services in the UK. Binance faces regulatory challenges in different jurisdictions, including the US and France.
BNB Chain launches opBNB testnet to improve speed and reduce transaction costs
BNB Chain has launched the opBNB testnet, an Ethereum Virtual Machine (EVM) compatible blockchain based on Optimism’s OP Stack (COIN:OPUSD). The developers hope to achieve transaction speeds of up to 4,000 tps at a cost of just 0.005 cents per transaction. This layer 2 solution aims to alleviate network congestion and reduce transaction costs, allowing projects to take advantage of the improved throughput and create a superior user experience within the BSC ecosystem. The opBNB testnet is open for developers and projects from now on. “Projects can leverage improved throughput and significantly reduce transaction costs, resulting in a superior user experience“, the developers said in the release.
Crypto.com under investigation for operating internal for-profit trading teams
Crypto.com is under investigation for allegedly operating internal trading teams for profit, raising concerns about conflicts of interest. The company has refuted the allegations and stated that it treats in-house market makers the same as third-party ones. The revelations come amid regulators’ warnings about manipulation in the sector. The SEC has recently leveled charges against Binance for manipulative trading. Crypto.com highlights that it does not rely on proprietary trading as a source of revenue.
IMF develops global platform for central bank digital currencies
The International Monetary Fund (IMF) is developing a global platform for central bank digital currencies (CDBCs) to facilitate transactions between countries, according to IMF Managing Director Kristalina Georgieva. The IMF seeks a common regulatory framework to ensure the global interoperability of CBDCs and prevent the emergence of cryptocurrencies in the absence of an agreement. ” CBDCs should not be piecemeal national proposals… To have more efficient and fair transactions, we need systems that connect countries: we need interoperability ”, said Georgieva. Georgieva emphasized the importance of asset-backed CBDCs and mentioned the benefits in terms of financial inclusion and reduced cost of remittances.
Gauntlet risk mitigation proposal is rejected by the Aave community
Gauntlet’s proposal to address the risk of a significant loan acquired by Michael Egorov, founder of Curve, was rejected by the Aave community. The recommendation was to freeze CRV tokens (COIN:CRVUSD) in Aave v2 and reduce the loan-to-value ratio of the CRV to zero. Despite this, Egorov’s loan account has an adequate health factor, indicating that there is no imminent risk of default for Aave.
Animoca Brands signs a strategic partnership with Mitsui & Co. to boost Web3 in Japan
Hong Kong web3 startup Animoca Brands has entered into a strategic partnership with Japanese conglomerate Mitsui & Co., which will include an undisclosed investment. “ Mitsui and Animoca Brands aim to create new businesses that contribute to the innovation and acceptance of web3 in the Japanese market, utilizing Mitsui’s extensive assets, from industrial companies to consumer companies, as well as its extensive networks of partners and customers ”, Animoca Brands said in a statement. The companies plan to drive web3 adoption in the Japanese market by leveraging Mitsui’s assets and networks. Projects related to decarbonization and blockchain are also on the partnership’s radar. Previously, Animoca’s Japanese subsidiary received a US$22.5 million investment from MUFG, Japan’s largest bank.