Crypto Regulation News: PayPal to start letting US customers pay in Bitcoin at global merchants, SEC’s ‘Crypto Mom’ warns selling fractionalized NFTs could break the law, UK will focus crypto rules on stablecoins, Coinbase to go public via direct listing on Apr 14, and more!
Vol. 65, 23th March — 5th April
- EU, US financial regulators talk cooperation on stablecoins and digital assets at virtual summit.
- The US Postal Service is auditing the crypto policies of its enforcement arm.
- Coinbase says that the SEC has accepted their request to go public via direct listing, which will take place on April 14th.
- U.S. SEC Commissioner Hester Peirce warns that sales involving a specific type of crypto asset may be considered unlawful under some circumstances.
- SEC files suit against LBRY, accuses crypto startup of selling unregistered securities.
- Ripple Chief says company can operate without XRP, calls SEC’s crypto lawsuit ‘ironic’.
- Former SEC chair Jay Clayton tips new Bitcoin regulations are coming.
- Former OCC official says crypto has backing but dollar ‘may not’.
- Tyler Winklevoss thinks Bitcoin is past the risk of a US ban.
- Iowa House approves bill to legally recognize blockchain smart contracts.
- Blockchain-friendly Wyoming challenges Delaware’s biz incorporation dominance.
- What you should know before buying or selling an NFT in the US.
- Microsoft president Brad Smith is not keen on the idea of technology companies issuing private stablecoins.
- European Central Bank tries to quell Germans’ doubts about digital euro.
- UK authorities to focus on stablecoin regulations to prevent monopolies.
- UK regulator brings crypto businesses under financial crime reporting obligation.
- UK financial watchdog adds bitcoin ATMs to unregistered crypto business list as part of AML push.
- BIS leader says central bank digital currencies could resolve ‘long-standing’ payments issues.
- Canadian securities regulators clarify framework for crypto platforms.
- Bank of Korea governor says CBDCs could kill demand for crypto.
- Japan’s FSA asks cryptocurrency industry group to introduce FATF travel rule.
- Singapore PM tells followers to ‘remain vigilant’ on crypto after seeing name used to sell tokens.
- Bitcoin surge could be driving digital yuan interest, says People’s Bank of China.
- Russia’s money laundering watchdog monitoring crypto to ruble transactions.
- Thai SEC says investors should have crypto trading experience.
- India’s government orders companies to disclose crypto holdings.
- Indian crypto exchange execs intensify lobbying efforts to prevent ban.
- Dubai regulators call for public feedback on proposed crypto laws.
- A comprehensive regulatory overview of the United Arab Emirates.
- Exploring Venezuela’s crypto ecosystem since the start of the pandemic.
- The Central Bank of Nigeria (CBN) has reportedly clarified that Nigerians can freely trade Bitcoin and other cryptocurrencies.
- And more!
EU, US financial regulators talk cooperation on stablecoins and digital assets at virtual summit: An array of regulators from the United States and the European Union met to discuss financial innovations, including green finance and the ever-pressing topic of stablecoins. In a March 29 announcement, the U.S. Treasury said that a virtual forum last week hosted all of the heavy hitters of the EU and U.S. financial apparatus, including their respective central banks, securities regulators and banking authorities.
Since Yellen’s confirmation, the Treasury has also moved forward with a Mnuchin-era proposal to require crypto exchanges to have to identify information on external wallets they transact with above certain thresholds. Last week’s forum similarly included talk of new anti-money laundering proposals at the Financial Action Task Force, the G7’s illicit finance watchdog that is reportedly considering guidance on self-hosted wallets patterned on the U.S. Treasury’s.
BIS leader says central bank digital currencies could resolve ‘long-standing’ payments issues: Agustín Carstens, the general manager of the Bank for International Settlements, recently took the stage to promote central bank digital currency over other payments solutions.
SEC Commissioner Hester Peirce Says Some Crypto Sales May Be Illegal in the US — Here’s Why: U.S. Securities and Exchange Commission (SEC) Commissioner Hester Peirce warns that sales involving a specific type of crypto asset may be considered unlawful under some circumstances. During the 3rd Security Token Summit last Thursday, Peirce shed light on whether non-fungible tokens (NFTs) could be considered securities.
Former SEC chair Jay Clayton tips new Bitcoin regulations are coming: The former SEC chairman warns that regulation will come both directly and indirectly.
Former OCC official says crypto has backing but dollar ‘may not’: Former OCC acting comptroller Brian Brooks claimed that cryptocurrencies like Bitcoin “actually are backed by something.”
Tyler Winklevoss thinks Bitcoin is past the risk of a US ban: Bitcoin has likely become too interwoven into the world for a ban to be plausible, says the Gemini CEO.
US Ban on Bitcoin? ‘Very Likely,’ Says Legendary Investor Ray Dalio: Billionaire hedge fund manager Ray Dalio is issuing a warning to all Bitcoin holders. In an interview with Yahoo Finance, the ex-Bridgewater Associates investment officer reminds viewers that in the 1930s, the US government passed the Gold Reserve Act to prevent gold from competing with credit and the dollar as a storehold of wealth.
Dalio sees 'good probability' bitcoin gets outlawed
Billionaire investor Ray Dalio, the founder of the $150 billion hedge fund Bridgewater Associates - the world's largest…
Microsoft president says fintechs should leave currency to central banks: Microsoft president Brad Smith is not keen on the idea of technology companies issuing private stablecoins.
A Washington DC insider lays out her vision for the bitcoin market’s first self-regulatory organization: The Block’s Frank Chaparro speaks with Michelle Bond, CEO of the Association for Digital Assets Markets.
Implementing the double-edged sword of KYC is a must for crypto exchanges: The bull market effect has made Know Your Customer regulation more important than ever for cryptocurrency exchanges.
Powers On… Why the SEC is not your friend (and how to deal with that): A former SEC attorney argues that the agency is executing significant overreach in its case against Ripple and its executives Brad Garlinghouse and Chris Larsen.
PayPal to start letting US customers pay in Bitcoin at global merchants: A checkout service will be implemented which waives transaction fees for purchases made using crypto, PayPal’s president and CEO confirmed.
Senate to move forward next month with Gary Gensler’s SEC nomination: A new notice says the Senate will go into executive session after morning business on April 12 to discuss pending nominations.
SEC files suit against LBRY, accuses crypto startup of selling unregistered securities: The U.S. Securities and Exchange Commission has filed a lawsuit against New Hampshire-based crypto startup LBRY Inc., accusing the company of selling unregistered securities in the form of its token.
Blockchain-friendly Wyoming challenges Delaware’s biz incorporation dominance: One business and law professor has argued that Wyoming’s liberal blockchain law could help the state compete with Delaware in the business incorporation arena.
Texas chases after Wyoming with crypto law proposal, but challenges remain: Will Texas follow in Wyoming’s footsteps to become the next crypto-friendly U.S. state?
Montana regulator calls out Forsage for running a pyramid scheme on Ethereum: Montana’s securities regulator ordered the operator of Forsage, an investment scheme built on Ethereum and widely viewed as a pyramid scam, to stop its work within the state.
The US Postal Service is auditing the crypto policies of its enforcement arm: The inspector general of the U.S. Postal Service is conducting a crypto policy audit for the government agency’s law enforcement arm.
Coinbase Approved for Public Listing Amid Reported $100,000,000,000 Valuation: Top crypto exchange Coinbase is announcing that it has received approval from the U.S. Securities and Exchange Commission (SEC) to go public. In a new blog post, Coinbase says that the SEC has accepted their request to go public via direct listing, which will take place on April 14th. Its Class A common stock will list on the Nasdaq under the ticker symbol COIN.
Uphold obtains FINRA approval to acquire US broker-dealer: The acquisition will reportedly allow Uphold to launch fractional equities in the United States in 2021.
The blacklist: Marathon only mining ‘fully compliant’ Bitcoin transactions: Marathon plans to divert all hash power to its new, regulatory compliant Bitcoin mining pool from May 1.
Former Chainalysis exec takes reins at US AML watchdog: Tracing cryptocurrency transactions using blockchain analytics is clearly a central concern for the Treasury’s anti-money laundering office.
Why the Form 1099B is emerging as a ‘gold standard’ for crypto tax reporting: A lack of standards on which forms exchanges need to send to the IRS has created additional headaches for both the filer and the agency itself.
Ripple Chief Says Company Can Operate Without XRP, Calls SEC’s Crypto Lawsuit ‘Ironic’: Ripple’s chief executive Brad Garlinghouse says the fintech company could continue without XRP if need be, as the firm’s legal battle with the U.S. Securities and Exchange Commission (SEC) continues. In a new interview with CNN, Garlinghouse says Ripple can conceivably march on without its XRP-based settlement platform if its case with the SEC over the company’s alleged illegal sale of the crypto asset goes south.
XRP holders get green light for motion to intervene in SEC vs Ripple case: A federal judge has accepted tokenholders’ claim that their interests are not being adequately represented in the SEC’s ongoing lawsuit against Ripple Labs.
IRS authorized to access information on Circle’s crypto traders to nab tax cheats: The Internal Revenue Services will seek information from Circle on all U.S. taxpayers who traded at least $20,000 worth of crypto between 2016 and 2020.
Iowa House approves bill to legally recognize blockchain smart contracts: The bill would give legal recognition to transfers and registrations made through blockchain smart contracts.
What you should know before buying or selling an NFT in the US: As more and more individuals will seek to create and invest in NFTs, here is what you should know about them.
European Central Bank tries to quell Germans’ doubts about digital euro: A future digital euro wouldn’t be a threat to savers, say officials from the European Central Bank.
UK authorities to focus on stablecoin regulations to prevent monopolies: British regulators have identified the stablecoin market as their primary assignment amid efforts to create a legal framework for virtual currencies in the country.
UK financial watchdog adds bitcoin ATMs to unregistered crypto business list as part of AML push: The UK’s new initiative to target unregistered crypto businesses is picking up steam.
UK regulator brings crypto businesses under financial crime reporting obligation: The U.K.’s Financial Conduct Authority (FCA) has extended its financial crime reporting framework to crypto businesses.
UK prosecutor expects crypto scams to increase, but numbers remain low for now: Less than 1% of overall fraud cases relate to cryptocurrency, but that number could be rising in line with Bitcoin and the crypto market’s ascension.
Wallet firm Wirex pauses new user sign-ups amid crypto register delay: London-based fintech firm Wirex has temporarily halted signing up new customers in the United Kingdom following a “constructive dialogue” with the Financial Conduct Authority, the regulator.
Bank of Korea Governor Says CBDCs Could Kill Demand for Crypto: Bank of Korea (BOK) Governor Lee Ju-yeol thinks that incoming central bank digital currencies (CBDCs) could reduce demand for cryptocurrencies like Bitcoin.
South Korean gov’t makes $10.5M profit from 4-year-old Bitcoin crime haul: The coins languished in cold storage for four years after being confiscated by authorities during an arrest.
Our Man in Shanghai: Digital yuan tests, ‘bear market’ and ‘NFT’ searches spike: Digital RMB testing for cross border payments and electric vehicles continues, sentiment takes a dive and blockchain events return to meatspace.
Bitcoin surge could be driving digital yuan interest, says People’s Bank of China: The central bank says strong interest in its CBDC project is partly being driven by Bitcoin’s recent surge, despite cryptocurrency still being banned in China.
Japan’s FSA asks cryptocurrency industry group to introduce FATF travel rule: Japan has been a member of the FATF since 1990.
Singapore PM tells followers to ‘remain vigilant’ on crypto after seeing name used to sell tokens: “I have nothing to do with the platform,” said Lee Hsien Loong. “It is misleading and done without my permission.”
Thai SEC says investors should have crypto trading experience: Secretary-general Ruenvadee Suwanmongkol said the commission will be offering a free training course for investors who have no experience trading in cryptocurrencies.
Rest of the World
Canadian securities regulators clarify framework for crypto platforms: Canadian securities regulators are clarifying existing regulations for crypto firms. In a new notice published March 29, the Canadian Securities Administrators (CSA) and the Investment Industry Regulatory Organization of Canada (IIROC) explored how existing regulation can be “tailored” to crypto innovation, including interim approaches for crypto marketplaces and dealers.
Russia’s money laundering watchdog monitoring crypto to ruble transactions: Rosfinmonitoring has informed the Russian parliament that it is paying close attention to transactions involving the conversion of crypto to rubles.
Dubai regulators call for public feedback on proposed crypto laws: Financial regulators in Dubai have enacted a 30-day window for public comments on security token regulations.
Dubai Financial Services Authority Seeks Feedback on Security Token Regulations - CoinDesk
The Dubai Financial Services Authority (DFSA) has requested feedback on its proposed regulations of security tokens…
A comprehensive regulatory overview of the United Arab Emirates: The Block Research analyzes the current regulatory frameworks for cryptocurrency businesses and taxation relating to cryptocurrencies in the United Arab Emirates.
India’s government orders companies to disclose crypto holdings: Recent amendments to India’s Companies Act will see firms in the country include their crypto involvement in all public financial reporting.
Indian crypto exchange execs intensify lobbying efforts to prevent ban: Cryptocurrency exchange operators in India are attempting to dissuade the government from banning digital currencies.
Exploring Venezuela’s crypto ecosystem since the start of the pandemic: Here are the events that marked the past year in the Venezuelan crypto space and the opinions of those who experienced them from the inside.
Nigerian Citizens Are Not Banned From Trading Bitcoin and Crypto, Says Central Bank: The Central Bank of Nigeria (CBN) has reportedly clarified that Nigerians can freely trade Bitcoin (BTC) and other cryptocurrencies.
Next up, Bitcoin ETF by Fidelity: Crypto funds batting .000 against SEC: The SEC is pitching a shutout against Bitcoin-based ETFs, and not even Fidelity’s storied name may be enough to overcome the obstacles.
Operator of darknet news site DeepDotWeb pleads guilty to money laundering: According to the DOJ, Tal Prihar laundered kickbacks he received from running ads directing readers to various darknet marketplaces.
Binance adds two former FATF members to its team of advisors: Binance is continuing to add former regulators to its team of compliance advisors, according to an announcement.
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