Alpaca Finance Institutional Newsletter #23
Highlights:
- Implementation of UK-native Stablecoin within Banking System
- South Korea first to announce crypto tracking system
With all the talk of CBDC testing and framework installation in the UK, the public sector beat the government to the punch when Poundtoken became the first native stablecoin widely implemented in the banking system. It is now available to UK residents through an 18,000 ATM network. While this will ease the friction of day-to-day offboarding to fiat, the jury is still out on how users will react. With there is a general push towards centrally issued digital currency in the UK, the risk of a new, non-governmental token, albeit UK-regulated, may be too risky for both users and regulators alike to allow.
Meanwhile, South Korea will become the first government to implement a “Virtual Currency Tracking System” to counter money laundering initiatives and recover funds linked to criminal activities. Most who work within the Web 3 industry, who has been watching how FATF travel rules are shaping around digital currencies, expect this type of system to be the norm in the short-term future. Understandably, governments around the world are becoming increasingly interested in having a clear oversight into when capital on-chain moves off-chain, and who is directing those movements.
News
- UK-native stablecoin integrates into 18,000 ATMs nationwide
- Osprey sues Grayscale for misrepresenting likelihood of GBTC ETF approval
- South Korea to deploy cryptocurrency tracking system in 2023
- Justice Dept defends motion to bar SBF from accessing FTX, Alameda assets
Regulation
- SEC settles on security claim in LBRY case; community calls it a big win for crypto
- Hong Kong will not tolerate algorithmic stablecoins in new regulation
- New York financial regulator investigates Gemini over FDIC claims
- Senate Banking Committee’s priorities for new Congress include crypto
Products
- Mastercard, Binance to launch their second prepaid crypto card in Latin America
- Elon Musk wants Twitter payments system built with crypto in mind
- Indian retail chain rolls out support for CBDC payments in stores
- Russia’s Sberbank Will Introduce DeFi Platform by May
Funding
- Blockchain provider SIMBA Chain awarded $30M by US Air Force STRATFI program
- Cronos Labs to accept second cohort for $100M-backed Web3 accelerator program
- Crypto Miner Pow.re Raises $9.2M Series A at $150M Valuation
- DeFi Marketplace Archimedes Raises $4.9M in Seed Round Led by Hack VC
