According to PANews, Carole House, a key official who previously provided advice and co-authored President Biden's 2022 executive order on cryptocurrency and digital assets, has returned to the government. House will serve as a special advisor to the White House National Security Council, focusing on 'critical infrastructure policy' and cybersecurity. She expressed her honor to serve again in shaping the future of a secure and trustworthy digital economy. As House returns to the White House, Biden is striving to strengthen his credibility in the field of cryptocurrency, in response to former President Trump's enthusiastic embrace of the digital asset industry. House recently served as a 'resident executive' for Terranet Ventures, a venture capital firm focused on cryptocurrency. She has extensive government experience, having served as an advisor to the Commodity Futures Trading Commission and the National Security Council. Dave Grimaldi, executive vice president of the Blockchain Association, a cryptocurrency lobbying group, described House as a 'pragmatic expert'. He believes her pragmatic approach will have a positive impact on the Biden team. House has always moderately supported cryptocurrency, emphasizing its potential in international economic applications, while also stressing the need to strengthen law enforcement.

According to Odaily, the Financial Services Commission (FSC) of South Korea is planning to establish a Virtual Asset Committee. This committee will be composed of public and private experts, including professionals from the public sector, academia, legal field, and the virtual asset industry. The committee's primary responsibility will be to provide policy and regulatory guidance to the cryptocurrency market and related businesses. It has been reported that the 'Virtual Asset User Protection Act' in South Korea will come into effect on July 19. The Financial Services Commission will implement this new regulation accordingly. This move is seen as a significant step towards regulating the burgeoning cryptocurrency market in the country, providing a structured framework for businesses and users alike. The establishment of the Virtual Asset Committee is expected to bring a more balanced and informed perspective to the regulation of virtual assets. By including experts from various fields, the committee aims to ensure that the regulations are comprehensive and take into account the unique challenges and opportunities presented by the virtual asset industry.

According to Odaily, the Singapore government is taking a series of actions to strengthen regulations following the exposure of a major money laundering case involving 30 billion yuan. The regulatory loopholes exposed by this case have prompted the government to take strict measures, including stringent scrutiny of family offices and hedge funds, and a significant cleanup of inactive family offices. New regulations require family offices to invest at least 10% of their total asset management or 10 million Singapore dollars (whichever is lower) in local investments. These investments include unlisted companies, private equity, and qualified debt securities. The move is part of the government's efforts to ensure financial stability and transparency in the country's financial sector.

According to Odaily, the European Union (EU) has raised concerns that the Apple App Store may be in violation of digital market regulations. The EU has launched a new investigation into the fees charged by the App Store, scrutinizing the contractual requirements imposed on app developers. The EU's move comes amid growing scrutiny of tech giants and their potential anti-competitive practices. The investigation will focus on whether the App Store's fee structure and contractual obligations are in line with EU digital market regulations. This is not the first time that Apple has come under scrutiny for its App Store practices. The tech giant has previously faced criticism and legal challenges over its App Store policies, particularly around its fee structure and the alleged preferential treatment of certain apps. The outcome of this investigation could have significant implications for Apple and other tech giants operating in the EU. If found to be in violation of EU regulations, Apple could face hefty fines and be required to make changes to its App Store policies. The investigation is ongoing, and no further details have been released at this time.

According to Odaily, the Financial Commission of South Korea is set to implement the 'Specific Financial Transaction Information Reporting and Supervision Regulations' on June 27. These regulations include additional matters discovered during the operation of the reporting system, and establish a legal compliance system for virtual asset business operators. The regulations also include additional information about organizational personnel and major shareholders in the reporting items. The authorities collected and reviewed relevant opinions from the virtual asset industry and related institutions from the 24th of last month to the 3rd of this month in the form of a 'Regulation Change Notice'. In these regulatory provisions implemented by the authorities, additional matters related to the compliance system of virtual asset-related laws such as the 'Special Financial Information Act' and the 'User Protection Act' have been added.

According to Odaily, a16z Crypto recently made comments on the draft 1099-DA form of the United States Internal Revenue Service (IRS). The key points of their comments include the following: The requirement for multiple brokers to submit a 1099-DA form for each digital asset transaction results in unnecessary duplication of information reporting, imposing an unreasonable burden on the declarer. They argue that the requirement for brokers to report wallet addresses is unnecessary and puts sensitive taxpayer information at significant risk. The cost of providing the information required by the 1099-DA form is too high, and in some cases, it may even be impossible to achieve. They suggest that the final regulations should delay or 'gradually advance' the effective date of the digital asset information reporting requirements. Non-custodial wallets and digital asset payment processors should be removed from the 'broker' category listed in the 1099-DA form. The IRS should not require the submission of a 1099-DA form when disposing of fiat-supported stablecoins and most NFTs (Non-Fungible Tokens). The requirement to submit a 1099-DA form should include a minimum threshold, allowing brokers to aggregate transactions for reporting purposes. This would streamline the process and reduce the burden on both brokers and taxpayers.

According to Foresight News, the Public Security Bureau of Hanshou County in Hunan has issued a notice on the official website of the Filecoin ecosystem LSD protocol STFIL Protocol. The notice calls for STFIL pledge users and loan users to provide relevant evidence and reflect on the situation. They are asked to bring their valid ID, records of pledges or loans on the website, and materials related to the purchase of FIL virtual currency. Those who fail to report to the bureau within the stipulated time will have their virtual currency dealt with according to relevant laws and regulations. The notice period is from June 10, 2024, to July 10, 2024. In previous news from Foresight, STFIL Protocol announced in April that their core technical team is under investigation by local Chinese police. They have hired lawyers to understand the current situation and provide legal assistance to detained individuals. Furthermore, last week, amidst the detention of the core technical team, FIL on the STFIL platform was transferred to an unknown external address.

According to Odaily, the Public Security Bureau of Hanshou County in Hunan Province announced in early June that it had seized an illegal website, https://www.stfil.io, during its investigation into the '3.28' illegal use of information network case. The website, which was part of the Filecoin ecosystem and operated under the LSD protocol STFIL Protocol, was found to be dealing in the illegal virtual currency FIL. In order to ascertain the facts of the crime, the bureau has requested that users who have pledged or borrowed from the website come forward to provide relevant evidence. Users are asked to bring their valid identification, records of pledges or loans made on the website, and any materials related to the purchase of FIL virtual currency. The bureau has warned that if users fail to respond within the stipulated time, the virtual currency will be dealt with according to relevant laws and regulations. The notice period is from June 10, 2024, to July 10, 2024.

The Dubai Financial Services Authority (DFSA) has unveiled a comprehensive digital asset regime designed to attract and support global Web3 enterprises. In an exclusive interview with Hong Kong Wen Wei Po, DFSA President Zhuang Sitao discussed the authority's initiatives aimed at creating a conducive regulatory environment for digital assets, including investment tokens and cryptocurrencies.Key HighlightsTailored Digital Asset Systems:- Investment Tokens (2021): The first system, introduced in 2021, focuses on investment tokens, also known as tokenized assets. This framework sets clear regulatory expectations for investment products that use blockchain technology to represent ownership or other rights. The system provides a structured regulatory approach, ensuring transparency and compliance, which in turn fosters investor confidence and market stability.- Crypto Tokens (2022): Launched in 2022, the second system regulates cryptocurrencies and stablecoins. It aims to create a clear and stable regulatory environment for virtual currencies, covering aspects such as issuance, trading, and usage. This framework ensures market transparency, and investor protection, and addresses potential risks associated with cryptocurrencies.Regulatory Framework and InitiativesRegulatory Clarity and Market Certainty- Comprehensive Rules: The DFSA's digital asset systems are designed to clarify regulatory expectations, providing market participants with the certainty needed to operate and invest confidently. By setting a clear regulatory path, the DFSA helps reduce uncertainties that could deter investment and innovation.- Support for Innovation: While ensuring a secure environment, the DFSA also promotes innovation within the digital asset space. Recognizing the need to balance regulation and innovation, the DFSA has adopted a proactive approach that encourages growth while maintaining necessary safeguards.Innovative Regulatory Tools:- Test License (Regulatory Sandbox): The DFSA has implemented an innovative test license, known as a regulatory sandbox. This initiative allows companies to develop and test new business models and products in a controlled environment without immediately meeting all regulatory requirements. This approach supports early-stage innovation while managing risks and ensuring consumer protection.- Technical Risk Supervision Team: A specialized team has been established to oversee technical risks associated with digital assets. This team's role is to maintain market integrity and financial stability by monitoring and addressing potential vulnerabilities within the digital asset ecosystem. Their work ensures that innovative advancements do not compromise the security or stability of the market.Interview Insights from DFSA President Zhuang SitaoGlobal Web3 Attraction:- Strategic Vision: President Zhuang Sitao emphasized the DFSA's strategic vision to position Dubai as a global hub for Web3 enterprises by creating a favorable regulatory climate. By attracting digital asset innovators from around the world, Dubai aims to lead the way in the burgeoning Web3 economy.- Holistic Approach: Through tailored digital asset systems and an innovative regulatory framework, the DFSA seeks to create a holistic environment that supports the digital economy, ensuring both growth and security. This approach sets a high standard for regulatory excellence and market development.Broader Implications for the Digital Asset IndustryGlobal Competitiveness:- Market Leadership: Dubai’s proactive regulatory approach enhances its competitiveness as a leading destination for digital asset businesses. This move aligns with Dubai’s overarching goal of becoming a global fintech leader, setting the stage for other jurisdictions to follow.- Regulatory Innovation: The DFSA’s initiatives serve as a model for an effective digital asset market.

According to Odaily, South African cryptocurrency traders have started receiving notifications from the South African Revenue Service (SARS) that their tax affairs are under review. The tax authority is gathering information from various cryptocurrency exchanges to assess compliance. Under the Tax Administration Act, traders who fail to provide the requested information could face criminal charges. SARS may also investigate instances where cryptocurrency ownership has not been declared in the past. According to Tax Consulting SA, this review could involve past transgressions by cryptocurrency traders. However, SARS has not provided clear guidance on whether cryptocurrency transactions are considered capital gains or income. Therefore, accurately recording profits and losses from domestic and foreign cryptocurrency exchanges remains a challenge.

According to Foresight News, the Nigerian Securities Exchange Commission (NSEC) is revising its regulations for Virtual Asset Service Providers (VASP) to 'expand the scope of regulation in line with current realities'. As part of this initiative, the NSEC has introduced an Accelerated Regulatory Incubation Program (ARIP) for the onboarding of VASPs. In addition, the NSEC has directed all operating and potential VASPs to access its electronic portal and complete the application process within 30 days. Non-compliance with this directive will result in enforcement action by the regulatory body. This move by the NSEC is seen as a step towards ensuring better regulation and control over virtual asset service providers in the country.

According to Odaily, the US Federal Accounting Standards Advisory Board (FASAB) has recently issued a technical bulletin (TB) to clarify the accounting and reporting standards for seized and confiscated digital assets. The board stated that confiscated cryptocurrencies should be considered as 'nonmonetary property', while Central Bank Digital Currencies (CBDC) should be regarded as monetary instruments. FASAB emphasized that cryptocurrencies 'usually do not possess all the characteristics of money', highlighting that they 'cannot effectively serve as units of account, mediums of exchange, or stores of value'. The bulletin further suggested that reporting entities use the 'publicly observable active market of specific digital assets' to determine the market value of seized and confiscated digital assets. It also pointed out that management should make judgments when choosing the most suitable valuation market. FASAB is responsible for establishing and issuing accounting standards for the US government.

According to CryptoPotato, two individuals have been detained and questioned by the UK Metropolitan Police and the Financial Conduct Authority (FCA) over allegations of running an illegal cryptocurrency operation exceeding 1 billion British pounds ($1.2 billion). The FCA has highlighted the importance of registration requirements for crypto businesses and issued warnings to consumers. The suspects, aged 38 and 44, were questioned and subsequently released on bail. The Metropolitan Police in London confiscated numerous digital devices associated with the business during searches of the suspects’ residences. The FCA press release stated that more than £1 billion of unregistered crypto assets are believed to have been bought and sold through this business. Therese Chambers, the Executive Director of Enforcement and Market Oversight at the FCA, emphasized the agency’s commitment to preventing illegal crypto activities in the UK financial system. She stated, 'The FCA has an important role to play in keeping dirty money out of the UK financial system. These arrests show we will do everything in our power to stop crypto firms from operating illegally in the UK.' The FCA has mandated registration for all crypto asset-related businesses since January 2021 to ensure compliance with UK money laundering regulations and combat financial crimes such as terrorist financing and illicit fund transfers. Since the requirement was implemented, more than 300 businesses have applied for registration to offer crypto-related services, but only approximately 44 companies have been successfully registered. The FCA emphasized its authority to issue directives and impose restrictions on crypto businesses as authorized by the MLRs. The watchdog regularly alerts UK citizens about the risks associated with crypto assets and maintains a list of suspected unregistered businesses. The FCA stated they would refrain from commenting on ongoing investigations at this time and will provide further updates as appropriate in the future.

According to Odaily, the Digital Chamber of Commerce has submitted feedback on the proposed 1099-DA form to the United States Internal Revenue Service (IRS). The form is designed to report digital asset transactions. The detailed response from the Chamber aims to simplify the form, making it easier for brokers dealing with digital assets such as cryptocurrencies to use, and to address taxpayers' privacy concerns. This includes only requiring taxpayers to provide necessary information for reporting digital asset transactions. The Digital Chamber of Commerce's feedback is an attempt to streamline the process of reporting digital asset transactions. By simplifying the form, the Chamber hopes to make it more user-friendly for brokers who handle digital assets. This move is also seen as a step towards addressing privacy concerns of taxpayers. The Chamber suggests that taxpayers should only be required to provide the necessary information for reporting their digital asset transactions, thereby protecting their privacy. This development comes as digital assets continue to gain prominence in the financial world. The IRS's proposed 1099-DA form is a reflection of the growing need for regulation and transparency in digital asset transactions. The feedback from the Digital Chamber of Commerce could play a crucial role in shaping the final form and its implementation.

According to U.Today, Ripple's Chief Legal Officer, Stuart Alderoty, has provided clarification on the legal status of XRP in California. This comes in response to recent concerns following a court ruling. The token, which is owned by San Francisco-based Ripple, has been under scrutiny as a civil securities lawsuit in Oakland progresses. The district court judge has allowed the lawsuit to proceed, ruling that a jury should decide whether XRP qualifies as a security for retail buyers on exchanges. However, Alderoty stressed that the California judge dismissed all allegations that Ripple violated federal securities laws. The only remaining claim in California, based on a 2017 declaration, pertains to state law and is set for trial. The plaintiff in this case, who did not purchase XRP directly from Ripple and is unsure if he was affected by the 2017 statement, reportedly lost a small sum of money on his trades. Alderoty expressed Ripple's anticipation for the cross-examination in this matter. This ruling contrasts with an earlier decision by Judge Analisa Torres, who determined that secondary sales of XRP were not securities. This decision initially seemed to favor Ripple. As a result, the popular cryptocurrency is not classified as a security in New York, a status that remains unchanged. The recent developments underscore a pattern of inconsistent rulings from state to state, emphasizing the need for federal legislation to establish a consistent regulatory framework for cryptocurrencies.

According to U.Today, Ripple CEO Brad Garlinghouse has expressed satisfaction with a recent ruling in a civil securities lawsuit against his company, describing it as a 'big win.' Judge Phyllis Hamilton of Northern California's U.S. District Court has allowed the lawsuit to proceed to trial. The lawsuit includes a state law claim based on statements made by Garlinghouse about XRP in a 2017 interview. However, Judge Hamilton dismissed four claims related to Ripple's alleged failure to register the controversial XRP token as a security. Garlinghouse maintains that the recent California court decision does not negate the New York Court decision. This follows attorney Fred Rispoli's argument that the XRP token might be recognized as a security in California. Garlinghouse has criticized the claim that will go to trial, describing it as an attempt by 'trolls' to manipulate the US legal system to receive substantial class action settlement. The claim in question relates to a 2017 interview in which Garlinghouse spoke about his 'long' position on the Ripple-affiliated XRP token. Plaintiff Bradley Sostak argues that this statement was misleading as Garlinghouse sold millions of XRPs on various exchanges that year. Garlinghouse also stated in another interview that Ripple was going to drive 'a massive amount of demand' for the token as it was solving 'a trillion-dollar problem.' It is also alleged that Ripple collaborated with a marketing agency when responding to questions from the token's purchasers. Garlinghouse asserts that he stands by his statements and is eager to clarify them during the upcoming trial.

According to Odaily, the Blockchain Association has voiced its opposition to the broker rules proposed by the U.S. Internal Revenue Service (IRS). The association argues that these regulations would impose an undue burden on investors, cryptocurrency companies, and the IRS itself. The association cites the Paperwork Reduction Act, stating that government regulatory bodies should not impose unnecessary paperwork requirements on individuals and entities within the financial system. The letter mentions that if these rules are passed, they would result in an additional 8 billion tax forms, wasting 4 billion hours of processing time, and annual compliance costs would reach $254 billion. This is a stark contrast to the IRS's initial estimate of total compliance costs being $136 million. Furthermore, the association believes that an annual compliance cost of $254 billion is unreasonable for a market that at most generates a $10 billion tax gap. In 2023, the association submitted a 39-page letter detailing comprehensive objections to these regulations. They believe these rules are extremely difficult to comply with for decentralized financial protocols, reflecting the government's misunderstanding of blockchain and cryptocurrency.

According to Odaily, Apple has decided to postpone the introduction of its new artificial intelligence technology to the European Union market, affecting hundreds of millions of users. The company announced on Friday that it will not release Apple Intelligence, iPhone Mirroring, and SharePlay Screen Sharing to EU users this year. The decision is due to concerns that the Digital Markets Act could force Apple to compromise the security level of its products and services. In a statement, Apple expressed concerns that the interoperability requirements of the Digital Markets Act might compel them to undermine the integrity of their products in a way that weakens user privacy and data security. Under the Digital Markets Act, Apple anticipates receiving a formal warning from EU regulatory authorities. The company is suspected of preventing some apps from directing users towards cheaper online subscription services. Earlier this year, Apple was fined 1.8 billion euros (approximately 1.9 billion dollars) by EU regulatory departments for this issue. The company's decision to delay the launch of its new AI technology in the EU is seen as a response to these regulatory pressures.

According to Odaily, the U.S. Securities and Exchange Commission (SEC) has concluded its investigation into Consensys' Ethereum 2.0 without filing any charges. However, this does not necessarily mean that the SEC has definitively determined that Ethereum is not a security. Rather, it provides another data point that the commission has concluded that it will not currently file a lawsuit alleging that Ethereum is a security. Teresa Goody Guillén, a partner at BakerHostetler law firm and former SEC litigation attorney, stated that the SEC's decision to drop the investigation could be due to the high litigation risk the agency would have to bear. An anonymous former SEC enforcement attorney echoed this sentiment, stating that the closure of the case does not necessarily mean that they have decided that it is not a security. Instead, they may have simply decided not to risk litigation. This development marks a significant point in the ongoing debate over the classification of cryptocurrencies as securities. The SEC's decision not to pursue charges at this time does not definitively resolve the issue, but it does indicate a potential shift in the regulatory landscape for Ethereum and similar digital assets.

June 21, 2024 - In a significant development for the cryptocurrency market, Bloomberg ETF analyst Eric Balchunas has indicated that the long-anticipated Ethereum (ETH) spot ETF is expected to launch on July 2. This announcement followed a series of anticipated regulatory steps and revisions being submitted to the U.S. Securities and Exchange Commission (SEC).