Asia's weekly TOP10 crypto news (Aug 7 to Aug 13)

Aug 13, 2023

Author：Crescent

Editor：Colin Wu

1. Hong Kong’s weekly summary

1.1 HKVAX Approved as the Third Compliant Exchange in Hong Kong link

On August 11th, the Hong Kong Virtual Asset Exchange (HKVAX) received a preliminary approval notice from the Hong Kong Securities and Futures Commission (SFC) to conduct regulated activities of Type 1 and Type 7. This makes it the third licensed virtual asset trading platform in Hong Kong, following OSL and HASHKEY. HKVAX aims to become an industry benchmark for new product categories such as Security Token Offerings (STOs) or Asset-Backed Tokens (ABTs).

Co-founder Wei Liang Wu previously served as the Managing Director of the International Department at CITIC Futures. Co-founder Zhao Liang Huo was formerly responsible for Anti-Money Laundering Compliance at HSBC Hong Kong and the Asia-Pacific region. Prior to founding HKVAX in 2018, both Wu and Huo had engaged with the Hong Kong Securities and Futures Commission and decided to apply for a license by the end of 2019.

1.2 HSBC Hong Kong Responds to “Account Opening Challenges”: Virtual Asset Operators Can Open Accounts After KYC and AML Review link

On the 8th of August, as reported by the Hong Kong Economic Times, Lin Huihong, the Chief Executive of HSBC Hong Kong, responded to the issue of “the government’s desire to expand the virtual asset industry and build a robust ecosystem in the city, but technology companies facing difficulties in opening bank accounts in Hong Kong.” She conveyed that there might be misunderstandings in communication between operators and banks, yet the Hong Kong Monetary Authority and the Securities and Futures Commission have established a lucid framework. As long as specific criteria are met and the requisite KYC and AML checks of HSBC are satisfied, technology companies can naturally open accounts with the bank. She emphasized that any market complaints should be directed to the operators to verify compliance with the regulatory framework.

1.3 Hong Kong Securities and Futures Commission: Certain Unlicensed Virtual Asset Trading Platforms Falsely Claimed to Have Submitted License Applications link

On the 7th of August, the Securities and Futures Commission of Hong Kong issued an announcement, noting the observation of certain unlicensed virtual asset trading platforms falsely claiming to have submitted license applications to the Commission. Derivative trading services, as well as the depiction of virtual assets as “deposits,” “savings,” or “earnings,” are disallowed under the new framework. In cases where past instances of non-compliant activities have arisen, the Commission places significant emphasis on them during the evaluation of their license applications.

2. Monetary Authority of Singapore (MAS) Allocates Up to 150 Million Singapore Dollars Over Three Years to Propel Financial Technology Innovations in Web 3.0 and Beyond link

On the 7th of August, the Monetary Authority of Singapore (MAS) conveyed its intention to allocate up to 150 million Singaporean dollars over a span of three years, to foster innovative financial technology solutions driven by emerging technologies like Web 3.0. The funding ceiling for each project is set at 2 million Singaporean dollars. MAS fervently advocates the incorporation of nascent technologies such as Web3 into industry use cases.

3. China’s Ministry of Public Security, Cybersecurity Protection Bureau’s Deputy Director Sun Jinfeng Expresses Vigilance over Technologies such as ChatGPT and Blockchain, Combining Research and Countermeasures link

On August 10th, according to China Daily, Sun Jinfeng, the Director of the Cybersecurity Bureau of the Ministry of Public Security, stated during a press conference that they are closely monitoring new technologies, applications, and business models such as ChatGPT, cloud computing, blockchain, and AI deepfakes. They are conducting simultaneous research and enforcement actions, cracking down on a series of new cases that exploit artificial intelligence technology to infringe upon citizens’ personal information. By following the trail and delving deep into downstream criminal leads, they have successfully solved numerous cases of illegal activities such as telecommunications fraud, loan scams, cyber theft, and online money laundering.

4. Taiwan’s Financial Supervisory Commission Convenes Taiwanese Exchanges to Discuss Guiding Principles Set to be Issued in September link

BitShine’s co-founder, Chen Peiyun, revealed on Facebook that on August 8th, the Financial Supervisory Commission (FSC) of Taiwan convened a meeting with Taiwanese exchanges to discuss upcoming guidelines set to be issued in September. The focus of these guidelines includes actions against unreported individual and corporate cryptocurrency businesses, with penalties ranging from 500,000 to 10 million NTD under the Anti-Money Laundering Act. Several foreign exchanges have already submitted declarations to the FSC with intentions to establish a presence in Taiwan. Exchanges are required to have banking trusts or performance guarantees. Following the issuance of the guidelines in September, an industry association will be established. Once the association is formed, it will work on formulating self-regulatory standards for exchanges.

5. Binance Has Applied for an Anti-Money Laundering Declaration for a Cryptocurrency Exchange in Taiwan, Aiming to Establish Presence in the Region link

On August 11th, multiple sources have confirmed that Binance has applied for an anti-money laundering declaration with the Taiwanese cryptocurrency exchange, aiming to establish a presence in Taiwan. This news has also been reported by TheBlock. On August 8th, the Financial Supervisory Commission (FSC) of Taiwan convened Taiwanese exchanges to discuss upcoming guidelines set to be issued in September. It was revealed that several foreign exchanges have already submitted declarations to the FSC with intentions to establish a presence in Taiwan. While the majority of exchanges in Taiwan are local, many offshore exchanges have indicated no current plans to enter the market. One exchange stated that establishing a local company and recruiting a team in Taiwan, along with registering for anti-money laundering compliance and securing banking relationships, is necessary before applying for a license.

According to blockchain news reports, due to the limitation of the anti-money laundering declaration to entities registered in Taiwan, Binance is likely to use a Taiwan-registered company named “Binance International Limited Taiwan Branch (SEYCHELLES).” The representative of the company is Nirun Fuwattananukul, believed to be of Thai origin, though formal public information about them is not readily available.

6. Renowned Japanese Public Blockchain Project, Astar Network, Launches “Astar Token Economics 2.0” link

On August 11th, the renowned Japanese blockchain project Astar Network unveiled “Astar Token Economics 2.0”. Under this new framework, the annual inflation rate will be dynamically adjusted based on on-chain data. Collators, integral to the network’s functioning, will receive a yearly inflation rate of 3.2%. Furthermore, the upcoming dApp staking v3 will introduce tiered rewards for developers, incentivizing their contributions. The project also aims to optimize transaction fees on both Substrate and Ethereum platforms, while significantly reducing the costs associated with on-chain storage.

7. Boya Interactive Announces Board Approval for a Five Million USD Budget Dedicated to Cryptocurrency Purchases, Primarily Bitcoin and Ethereum link

On August 11th, the Hong Kong-listed company Boyaa Interactive announced that its board of directors has approved a budget of five million US dollars for the purchase of cryptocurrencies on regulated and licensed trading platforms within the next year. The primary focus of this acquisition will be on Bitcoin and Ethereum. The procurement of these cryptocurrencies is intended to strategically position the group for future endeavors in the Web3 sector. Boyaa Interactive identifies itself as one of China’s largest developers and operators of chess and card games. The acquired cryptocurrencies will mainly consist of Bitcoin and Ethereum.

8. Huawei Cloud’s Web3 Node Engine Service Updates its Ethereum and TRON Node Engine Introductions on August 9th link

Huawei Cloud’s Web3 Node Engine service has undergone updates on August 9th, focusing on Ethereum node engine introduction and Tron node engine introduction. In addition, on August 3rd, there were updates related to Ethereum staking operations. These updates encompass various aspects such as acquiring keys through Staking Launchpad, establishing staking nodes, creating and obtaining authentication credentials, initiating staking nodes, and monitoring the status of staking nodes.

9. Bitmain: Some Antminers Purchased by Customers through Unauthorized Channels Are Counterfeit Products link

On August 12th, Bitmain issued a statement, noting that some customers have recently purchased Antminer products through unofficial channels, only to later find out that they were counterfeit products. Bitmain urges its valued customers to verify and choose official channels exclusively. It is recommended to make purchases of Antminer products solely through the official Bitmain website or authorized sales representatives.

10. Renowned Artist Yue Minjun Releases Kingdom of the Laughing Man NFT on LiveArt link

On August 9th, renowned artist Yue Minjun unveiled his latest creation “Kingdom of the Laughing Man” NFT on the Web3 art platform LiveArt. The collection comprises a total of 999 NFTs, each priced at 0.35/0.39 ETH. As of the time of writing, the floor price on OpenSea stands at 0.42 ETH, with a trading volume of 410 ETH. While Yue Minjun’s traditional artworks have previously fetched millions of dollars in auctions, his debut in the Web3 space for this project has faced challenges in terms of promotional and marketing efforts.

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