Regulatory Trends

1. G7 finance ministers strongly support regulating digital currencies.

Recently, the G7 finance ministers expressed strong support for the necessity of regulating digital currencies during a video conference. The meeting discussed the development trends of crypto assets and other digital assets, as well as the measures taken by various countries to prevent their use for illegal purposes.

2. Busan's Proposal for Virtual Asset Financial Center Policy

The Busan Chamber of Commerce in South Korea has approved a policy proposal to establish a guiding institution for a virtual asset financial zone. The proposal is implemented in three phases: first, to establish a blockchain financial business ecosystem; second, to set up a financial regulatory agency; and finally, to build a virtual asset financial infrastructure. Previously, South Korean exchanges had begun reviewing cryptocurrency-related companies and may impose penalties on violators.

3. France Issues New KYC Regulations for Cryptocurrency Companies

The French Ministry of Finance has announced comprehensive KYC requirements for cryptocurrency companies operating in the country. All virtual asset service providers must immediately begin verifying customer identities, and anonymous cryptocurrency accounts are prohibited. The Ministry stated that these measures are aimed at preventing terrorists from using cryptocurrencies and indicated that new regulatory provisions are being formulated.

4. Singapore invests $8.9 million to support blockchain research

The Singapore government has launched a $8.9 million project aimed at strengthening the country's blockchain ecosystem. The plan will attract nearly 75 companies to participate, including multinational corporations, large local enterprises, and ICT companies.

Industry News

1. DBS Bank launched a cryptocurrency trading platform

Singapore's DBS Bank has officially launched its digital trading platform, DBS Digital Exchange, which will begin trading next week, targeting institutions and accredited investors. The platform offers exchange, spot trading, and custody services between four fiat currencies and four digital assets. The Singapore Exchange will hold a 10% stake in the platform.

2. MicroStrategy issues convertible notes to purchase Bitcoin

MicroStrategy announced the issuance of $550 million in convertible notes, with expected net proceeds of approximately $537.2 million, which will be used to purchase Bitcoin. These bonds will be issued in a private placement to qualified institutional buyers and will mature on December 5, 2025. Some analysts have downgraded the company's stock rating due to its excessive focus on Bitcoin.

3. Fidelity partners with BlockFi to launch Bitcoin-backed loans

Fidelity's cryptocurrency subsidiary will partner with BlockFi to launch dollar loans backed by Bitcoin. Potential clients include hedge funds, miners, and over-the-counter trading platforms. BlockFi will provide protection for 60% of the loan amount to reduce risk.

4. ING Bank of the Netherlands announces progress on cryptocurrency asset experiments

The head of ING Blockchain introduced the Pyctor project at the Singapore FinTech Festival, which is an infrastructure for the custody and post-trade of cryptocurrencies. The project has been incorporated into the UK's regulatory sandbox and utilizes multi-party computation and hardware security module technology, aiming to enhance the security of digital asset custody.

5. JPMorgan completes blockchain-based real-time repurchase transactions

JPMorgan Chase announced the completion of a blockchain-based real-time intraday repurchase transaction, implemented using its internally developed application. This transaction allows borrowers and lenders to execute short-term intraday repurchase transactions through real-time synchronized settlement, with the cash portion settled using JPM Coin.

6. The total issuance of Ethereum stablecoins has reached a new high.

The total issuance of Ethereum stablecoins has reached 18.6 billion USD, setting a new historical high. Among them, USDT, USDC, and DAI account for 66.88%, 16.38%, and 5.72% of the market share, respectively. These stablecoins are typically pegged to fiat currency prices and are backed by third-party audits or algorithms to ensure price stability.

7. Foxconn suffers ransomware attack

Electronics manufacturer Foxconn suffered a DoppelPaymer ransomware attack at a production facility in Mexico. Hackers demanded a ransom of approximately 34.68 million USD in Bitcoin. Foxconn responded by stating that it has completed system security updates, enhanced its protection level, and is currently restoring its network, with minimal impact on overall operations.