● The US House of Representatives' draft digital asset market framework mentions the risks and advantages of NFT
NeerMcD.eth, an American trademark and copyright lawyer, tweeted that the draft discussion bill on digital asset market architecture jointly released by Patrick McHenry, chairman of the U.S. House Financial Services Committee, and Glenn "GT" Thompson, chairman of the House Agriculture Committee, contained content related to NFTs. It analyzed the risks associated with NFTs (including intellectual property rights), while also studying other related content, including the advantages of NFT digital assets (such as verifiable digital ownership), whether NFT digital assets can be integrated with (and how to integrate with) "traditional markets" including music, real estate, games, events and tourism, and blockchain interoperability.
● The number of initial jobless claims in the United States for the week ending June 3 was 261,000, the highest since the week ending October 30, 2021
The number of initial jobless claims in the United States for the week ending June 3 was 261,000, the highest since the week ending October 30, 2021. (Jinshi)
● G7 and G20 disagree on whether to regulate stablecoins
The Group of Seven (G7) and the Group of Twenty (G20) have differences in their attitudes towards stablecoins. The developed economies that make up the G7 are more willing to allow and regulate stablecoins, while emerging economies represented by the G20 group call for stricter restrictions or even bans. However, both have promised to implement the FATF's anti-money laundering rules for cryptocurrencies.
Two senior officials involved in the forum said the disagreement between the two institutions could hinder the acceptance of global regulations for stablecoins, or at least have the potential to undermine the unified regulation envisioned by global financial regulators. (CoinDesk)
● CoinShares Research Director: In the future, the global crypto space will be divided into two
James Butterfill, head of research at CoinShares, wrote that we expect regulatory certainty to become a key factor for digital asset participants. Places such as the European Union, Switzerland, the UAE and Hong Kong are working to develop customized encryption frameworks. Given existing regulatory differences, the number of transactions and innovations may soon shift from the United States to jurisdictions with more relaxed regulatory environments. In the booming digital asset sector, this shift could have significant economic and strategic implications for the United States.
The SEC’s lawsuit against the exchanges and its potential outcomes, while significant, do not spell the end of the crypto industry. Instead, it highlights the urgent need for strong regulation to protect investors and maintain market integrity.
Looking ahead, we foresee a bifurcated landscape in the global crypto space. In the United States, we expect traditional finance to play a leading role in crypto, given its existing compliance and familiarity. Regulatory restrictions may shape the crypto industry in such a way that it is likely to mirror the existing financial system, with its well-established regulations and institutions.
On the other hand, as the EU and other countries develop tailored crypto frameworks, our outlook is that innovative crypto-native financial entities are likely to continue to flourish and shape the future of the financial industry. These emerging entities, armed with novel technologies and supported by a more relaxed regulatory environment, will drive significant advances and changes in global finance. This regulatory arbitrage is reflected in the data, for example, the US spot Bitcoin and Ethereum market share has fallen from 85% at the beginning of 2023 to 70% today, and this trend is expected to continue.
● Instagram, YouTube, Twitter, TikTok may face EU regulatory action for misleading crypto ads
Meta Platforms' Instagram, Alphabet's YouTube, TikTok and Twitter may face regulatory action after the European Consumers Union (BEUC) filed a complaint with the European Commission and consumer authorities alleging that the online platforms have facilitated misleading promotion of crypto assets.
In a complaint filed Thursday, BEUC said the proliferation of misleading advertisements for crypto assets on social media platforms is an unfair business practice that exposes consumers to risks, such as the loss of significant funds.
BEUC urged the Consumer Protection Cooperation Network to require online platforms to adopt stricter cryptocurrency advertising policies and take steps to prevent influencers from misleading consumers, and said the network should then report to the European Commission on the effectiveness of these measures. (Reuters)
● Binance partners with Taiwan’s Criminal Police Bureau to combat cybercrime
According to Binance’s official blog, Binance has partnered with Taiwan’s Criminal Bureau (CIB) to combat cybercrime, sharing its expertise in combating digital asset-related crimes with more than 200 Taiwanese law enforcement officers.
This program is part of Binance’s Global Law Enforcement Training Program, which was formally launched in September 2022 and has held more than 50 in-person and remote training courses to date.
● The Korean Prosecutor's Office has purchased research services related to the securities nature of virtual assets
The Korean Prosecutor's Office has purchased a research service on "the securities nature of virtual assets and the laws and directions for protecting victims". The service will be valid until November 2023 to examine the securities nature of virtual assets (cryptocurrencies). The main content is to analyze the main types of crimes and regulatory trends of virtual assets in South Korea and abroad, and provide a basis for exercising the state's power to punish. For virtual assets that are deemed to be securities, the Capital Markets Act can be applied to accuse them of violations, which is expected to increase the sentence and make it easier to recover assets obtained from crimes. (Yonhap News Agency)
● UK FCA will implement stricter crypto marketing regulations, effective October 8
The UK Financial Conduct Authority (FCA) will impose strict new rules on crypto advertising once crypto industry regulations are finalized, according to a document published Thursday. The FCA said that under the new regulations, cryptocurrencies will be classified as "restricted mass market investments," which will require any advertisements or promotions to contain "clear risk warnings" and prohibit investment incentives such as "refer a friend" or "new customer bonuses."
If companies violate the FCA's upcoming marketing regulations, they may face up to two years in prison, a fine, or both. The new regulations will take effect from October 8. It is reported that the cryptocurrency industry will be included in the scope of regulated financial activities in the UK through the Financial Services and Markets Bill, which represents the UK's post-Brexit financial strategy and is currently under review by Parliament. Through the bill, the FCA has gained the power to make rules for the industry in accordance with applicable laws. In addition to the upcoming rules, the FCA is also publicly soliciting public opinions to ensure that "companies clearly understand the impact of this requirement on the promotion of crypto assets." (CoinDesk)
● Hong Kong Securities and Futures Commission: Actively studying the benefits of tokenization and willing to cooperate with industry participants
Elizabeth Wong, head of the fintech department and licensing director of the Hong Kong Securities and Futures Commission (SFC), said at the Hong Kong Investment Funds Association conference that the Hong Kong Securities and Futures Commission is actively studying the benefits of tokenization while ensuring that "investors will not be worse off if tokenization is used." The SFC is most concerned about cybersecurity and whether it can ensure that the tokens themselves are not hacked and have no vulnerabilities. The SFC is eager to understand these challenges and is willing to work with industry participants. (South China Morning Post)