Crypto Guides, Knowledge & Insights

Hong Kong Needs to Respond to Crypto Market Changes with New Rules - Treasury Chief

Hong Kong regulators and senior members of the government have spoken about their willingness of introducing new rules to police the crypto sector, with a new set of guidelines already formulated for crypto brokerages.　　According to RTHK, Hong Kongs Secretary for Financial Services and the Treasury Christopher Hui Ching-yu noted that the government now needed to make a “response to market changes” as the popularity of tokens such as bitcoin (BTC) continues to grow.　　Hui was speaking at a summit with financial chiefs and regulators, where he stated that the government was planning to propose an amendment to the Hong Kong Anti-Money Laundering (AML) Act pertaining to a licensing system and regulation of crypto exchanges “this year.” He praised Hong Kongs record in AML-related activities, but stated that there was “still work to be done” if the province were to “maintain its status as an international financial center.”　　Hui added that the popularity of “virtual assets” was driving the need to amend legislation to add provisions to prohibit unlicensed exchanges from promoting their services.　　The Secretary stated that similar moves had already been made in Germany and Switzerland. But he also hinted that Hong Kong may seek to allow retail investors greater access to

2022-02-09Deep Dive

Over $6 billion has been lost to just two crypto scams

Scams were among the leading causes of cryptocurrency deaths, accounting for over 500 doomed coins so far.　　This is the finding in the latest report from Traders of Crypto, which analyzed over 2,300 “dead” cryptocurrencies to find out what brought so many projects to their demise.A tour of the crypto graveyard　　As of January 2022, the crypto industry has officially buried almost 2,400 cryptocurrencies. Around 1,000 of them died in the past two years alone, research from Traders of Crypto has shown.　　This 71% increase in the number of dead coins can, at least in part, be attributed to the cutthroat environment of 2020s DeFi summer, which saw the demise of hundreds of projects.　　According to the report, 1,596 coins have been pronounced dead due to abandonment or lack of volume. This means that their trading volume stayed below $1,000 for three consecutive months or that their websites were either shut down or abandoned by developers.　　The fast development pace of the crypto industry has no sympathy for projects that fail to keep up, so the large number of tokens that died because of this comes as no surprise.　　What does come as a surprise is the number of tokens that died as a result of

2022-02-09Deep Dive

Shiba Inu Lands: Virtual Real Estate Announced For SHIB Metaverse

Shiba Inu Coin has announced its Lands virtual real estate, allowing token holders to own part of the Shiberse metaverse.　　Announcing the land in a blog post on February 9, Shiba Inu said LEASH holders will be given priority in a queue for Shiberse Lands.　　Heres what we know about the Shiba Inu Lands so far.Shiba Metaverse Land Announced　　Inspired by the likes of Axie Infinity land, the Shiba Inu metaverse will include virtual real estate that holders can buy or sell.　　While Shiba Inu has yet to confirm the perks of owning land in its metaverse, it said: “Owning a piece of Shiba Real Estate will bring an array of benefits.”　　The cryptocurrency also is yet to give a solid release date for its land release. It states the auction for land will happen “really soon”, and will occur ahead of the full metaverse land.　　To prevent gas fee and botting issues present in the Shiboshi NFT launch, the Shiba team said it is working on a queue system for its land release. This will “[make] the process something fair and smooth for our community worldwide,” it said.　　LEASH holders will also gain priority access to the queue for the first phase of the Lands plot

2022-02-09Deep Dive

Ukrainian Defense Efforts Benefit from Crypto Crowdfunding

Ukrainian volunteer groups organized to defend the nation against Russian invasion received a 900% increase in Bitcoin donations in 2021, according to a report today.　　Defense Funding by Crypto　　Ukrainian defense efforts received a boost of Bitcoin donations in 2021, per a report by blockchain forensics company Elliptic.　　More than $500,000 worth of Bitcoin was used to crowdfund non-government organizations and volunteer groups in 2021. This amount represented a 900% increase in Bitcoin donations over 2020.　　Many of these “volunteer groups,” who are in effect citizen soldiers, have stepped in to supplement the Ukrainian military in the wake of its effective crumbling against the Russian invasion of Crimea in 2014. They are largely funded by private donors.　　Though the Elliptic report noted that cryptocurrencies still only accounted for a small portion of the funds allocated in fundraising campaigns, it is an increasingly common method of funding. Elliptic also emphasized digital currencies strengths with respect to cross-border payments, providing for “easier access to wealthy overseas donors.”　　Private donors who typically use bank wires and payment apps to support their choice of causes have increasingly turned to Bitcoin to get around the potential of their payments being denied. Additionally, accounts associated with various fundraising campaigns have been closed

2022-02-09Deep Dive

Ireland Declares That The Crypto Market Will Not Gain Access To Retail Funds

The Central Bank of Ireland has stated that it is not likely to allow retail investment funds to get either direct or indirect exposure to cryptocurrencies. The bank cites the risks in the crypto market as its reason for the stance.　　However, the bank considers crypto suitable for wholesale or professional investors who can properly weigh the risk of the crypto market themselves.　　Ireland has long been receptive to the crypto industry and is one of the countries in which the worlds biggest crypto exchange, Binance, plans to set up a headquarters.　　Crypto exposure is not yet suitable for retail investors, says Irelands Central Bank　　The statement on the retail status of crypto was made in the second annual Securities Markets Risk Outlook Report of the Central Bank of Ireland.　　In the report, the bank noted that it has been getting a ton of queries as to whether Undertakings for Collective Investment in Transferable Securities (UCITS) or authorized investment funds (AIFs) – investment vehicles that are marketed to retail investors – can get exposure to crypto-assets.　　The bank states that at this time the risks inherent in the crypto market would not allow such funds to gain direct or indirect exposure to crypto.　　“At the moment, while

2022-02-09Deep Dive

FDIC Makes Crypto Evaluation a Priority This Year

The U.S. Federal Deposit Insurance Corporation (FDIC) has named the evaluation of crypto assets a priority this year. “The rapid introduction of a variety of crypto-asset or digital asset products into the financial system could pose significant safety and soundness and financial system risks,” the FDIC said.　　 Crypto Evaluation Named a Priority for FDIC　　The U.S. Federal Deposit Insurance Corporation (FDIC) announced Monday that Acting Chairman Martin J. Gruenberg has released the FDICs priorities for the coming year.　　The FDIC is an independent agency created by the U.S. Congress to maintain stability and public confidence in the nations financial system.　　One of the priorities is to “evaluate crypto-asset risks,” the announcement details, elaborating: The rapid introduction of a variety of crypto-asset or digital asset products into the financial system could pose significant safety and soundness and financial system risks.　　“It is imperative that the federal banking agencies carefully consider the risks posed by these products and determine the extent to which banking organizations can safely engage in crypto-asset-related activities,” the agency stressed.　　“To the extent such activities can be conducted in a safe and sound manner, the agencies will need to provide robust guidance to the banking industry on the management of prudential and consumer

2022-02-09Deep Dive

Zimbabwe's Central Bank Exploring CBDC, Reiterates Opposition to Cryptocurrencies

Zimbabwes central bank, which has expressed its opposition to cryptocurrencies in the past, announced yesterday it is presently exploring the feasibility of rolling out its own central bank digital currency (CBDC). The bank also said its regulatory sandbox continues to garner interest.　　CBDC Roadmap　　The Zimbabwean central bank, the Reserve Bank of Zimbabwe (RBZ), has reiterated that it prefers a central bank digital currency (CBDC) to cryptocurrencies, in its latest monetary policy statement. It adds it is now “actively exploring the feasibility of adopting a Zimbabwean CBDC including specific design considerations.”　　According to a statement released by John Mangudya, the banks governor, the RBZ is already developing a roadmap for its CBDC. The statement reads:　　“In this context, the Bank is developing a clear roadmap for adopting CBDC, encompassing the feasibility and assessment stage currently taking place, policy design stage based on results of the feasibility study and implementation modalities.”　　The RBZ added that it will be issuing periodic updates on the progress of the CBDC program.　　Fintech Regulatory Sandbox　　Meanwhile, in the monetary policy statement, the RBZ also revealed that its fintech regulatory sandbox, which was launched in March 2021, has received “112 registrations on the online portal and a further 31 applications at various stages.”

2022-02-09Deep Dive

New tax proposal in Kazakhstan could push crypto miners out

Kazakhstan may soon prove to be a hostile location for crypto miners as the Asian countrys government has proposed a hike in its electricity tariff and taxes for crypto miners.　　Kazakhstan proposes harsh crypto mining taxes　　Kazakhstans First Vice Minister of Finance, Marat Sultangaziyev, recently made a proposal to see the government increase the electricity tariff by 335%. If this is accepted, it means that crypto miners in the country would no longer pay a flat rate of $0.0023 per kWh; instead, the electricity rate would now be $0.01.　　His proposal also included a tax on mining equipment. According to his proposal, crypto mining equipment should be taxed the same way casinos are. Casinos are taxed through the tax-per-video card on each table they run, irrespective of their mode (active or not active).　　Currently, the country‘s value-added tax (VAT) exempts crypto mining hardware from its list. However, Sultangaziyev’s proposal would see mining hardware now also being taxed.　　If one takes the number of crypto mining equipment required to mine a digital asset successfully and the current tax proposal into consideration, Kazakhstan, in no time, would become a very less attractive option for crypto miners.　　Kazakhstans crypto mining landscape　　Kazakhstan, because of its stable and cheap energy supply,

2022-02-09Deep Dive

Ripple’s 2022 outlook: Crypto is ‘the new normal in finance’

In 2021, the introduction of new Central Bank Digital Currency (CBDC) initiatives, the intensification of policy and legislative talks, and the increased adoption by established institutions all helped crypto and blockchains sustain a rise into traditional financial markets.　　In particular, a constant stream of new entries into the space, with broader acceptance for crypto developments and enhanced usefulness, are expected in 2022, according to Ripples leadership.　　Managing Director of APAC .. Achieving this interoperability will be key to breaking down the barriers for broader crypto adoption.” 　　It appears for the foreseeable future, these technological obstacles will serve to emphasize the need for cross-chain interoperability in order to meet the rising demand from developers.Regulators to play a greater role 　　As a result of the rapid rise in popularity of NFTs and CBDCs, as well as interest from traditional financial institutions in cryptocurrency, regulators are also anticipated to play an increasingly important role in 2022. 　　Regulatory oversight remained inconsistent among countries and regions despite an increase in activity over the last year.　　On the whole, the strengthening of regulations is crucial in instilling trust in businesses to join the cryptocurrency market or cooperate with crypto providers.　　Its worth noting that Finbold recently reported US crypto lobbying

2022-02-08Deep Dive

High profile lawyer Tony Buzbee accepts Bitcoin for his $27-million mansion in Houston

Given the growing adoption of crypto, more people are using to buy and sell property in digital currency. So if you are a Bitcoin millionaire looking for extravagant living quarters in Houston, Tony Buzbee has an offer for you. 　　Tony Buzbee, the high-profile lawyer and former mayoral candidate, has put his house in Houston for sale and is open to accepting Bitcoin (BTC) as a form of payment, according to the initial listing on the Douglas Elliman Real Estate website. 　　The $27.5 million price tag firmly places it as one of the most expensive house listings in the city. Located in the upscale River Oaks neighborhood in the enclave of Country Culb Estates, it boasts a whopping 12,000 square feet living area with five bedrooms, each with its own bath, five wood-burning fireplaces, a gym, a movie theater, a game room, library, spacious underground wine cellar and a garage fit for six cars. 　　What sets this luxury listing apart from other high-end offerings is specified in property agent Beth Cassidys description of the space, adding casually at the very bottom: “Bitcoin accepted as a form of payment.”　　Buzbee purchased the home in 2013 with his then-wife Zoe and paid in cash,

2022-02-08Deep Dive

...

321323

...

737