OKX announces delisting of 26 trading pairs

SEBA Bank Receives Conditional Approval for Crypto Services in Hong KongSwiss-based crypto-centric SEBA Bank has secured conditional approval from Hong Kong’s Securities and Futures Commission (SFC) to offer crypto services within the autonomous Chinese territory.While there are stipulations yet to be met before the license is fully granted, the development marks a significant progression when it comes to SEBA’s global business ambitions.Photo by Ruslan Bardash on UnsplashExpanding in AsiaThe “approval-in-principle” comes as part of SEBA’s strategic efforts to expand its foothold in the Asian crypto market. Once the conditions are fulfilled and the license is formalized, SEBA will be well positioned to provide Hong Kong with a range of comprehensive crypto services.This includes securities dealing encompassing crypto-related structured products, as well as consultation and management of both digital assets and traditional securities. SEBA sees potential in the offering of derivative products as it has identified demand for derivatives and structured products within the Asian crypto market.This step forward for SEBA follows earlier reports that the bank was actively growing its workforce in pursuit of digital asset licenses for both Hong Kong and Singapore. The company has grown its headcount from seven to 20 across these locations, as it looks to establish a strong presence in the Asian market.The move aligns with Hong Kong’s evolving stance on cryptocurrency and digital finance. Introduced in June, the virtual asset service provider (VASP) license was intended to regulate virtual asset services within Hong Kong’s legal framework. Currently, only two crypto exchanges have secured these licenses.Cryptocurrency exchange HashKey, alongside digital assets platform OSL, became one of the first licensed crypto exchanges in Hong Kong recently. Since then, it has expanded its offerings to retail users, allowing them to purchase Bitcoin and Ethereum using US dollars. Leading up to that licensing approval, it had also launched a wealth management service for high-net-worth individuals and institutional investors. The majority of publicly accessible VASPs remain unregulated, according to a recent statement by the SFC.Regulatory balanceThe Hong Kong Monetary Authority (HKMA) has also shown interest in fostering relationships between established financial institutions and crypto exchanges, further signaling the region’s growing engagement with the crypto space. It’s also pointing towards getting the balance right between enabling digital asset innovation and having sufficient regulation in place to protect investors. In May, its CEO, Eddie Yue, stated that Hong Kong wouldn’t be a place for light touch regulation.The licensing process in Hong Kong hasn’t been without its difficulties. The interest in obtaining crypto trading licenses caught the SFC flat footed as it found itself understaffed to work through the licensing applications that arrived at its door. The backlog prompted commentary from SEBA’s CEO for the Asia Pacific (APAC) region, Amy Yu, back in May, with Yu highlighting that the backlog had increased significantly over the course of nine months.While SEBA has broken into the market in the APAC region via its efforts in Hong Kong, it’s understood that the bank has plans to develop its business in Singapore further over the course of the coming months.

The Qatar Financial Centre (QFC), a business and financial center located in the Qatari capital, Doha, has announced that the Qatar Financial Centre Authority (QFCA) and the Qatar Financial Centre Regulatory Authority (QFCRA) have launched the QFC digital assets framework. In a press release published to the QFC website on Sept. 1, the project set out details of its QFC Digital Assets Framework 2024.Photo by 拜耳 闫 on UnsplashIndependent economic zoneThe QFCA and the QFCRA both act in a regulatory capacity relative to the financial center. The QFC is an economic zone, which operates independently from the rest of the country. With that, it has its own legal, tax, regulatory and business framework. The initiative is similar in this respect to projects located within its Middle Eastern neighbors, the United Arab Emirates (UAE), such as RAK DAO in Ras al Khaimah and Abu Dhabi’s international financial center, the Abu Dhabi Global Market (ADGM). The QFC incentivizes international startups to base themselves within the economic zone by allowing full foreign ownership and 100% repatriation of any profits made by the established entity, with a low rate of 10% taxation applied to those profits. In its press release, the QFC claimed that the framework establishes the legal and regulatory foundation for digital assets, including the process of tokenization, legal recognition of property rights in tokens and their underlying assets, custody arrangements, transfer and exchange.  Providing for a transparent ecosystemAdditionally, the framework provides for the legal recognition of smart contracts. The QFC claims that the framework will ensure a “secure and transparent digital asset ecosystem,” in accordance with international standards and best practices.  The financial center established its Digital Assets Lab in October 2023. Since then, it has welcomed in more than 20 startups, with those entities at various stages in terms of developing, testing and commercializing their products and services. The project outlined that the digital assets framework was developed simultaneously, alongside the operation of the QFC Digital Assets Lab, with industry engagement and collaboration arising as a consequence, having played a role in the framework’s development. His Excellency, Sheikh Bandar bin Mohammed bin Saoud Al Thani, the Qatari Central Bank governor, commented on the development, stating: “Launching the 2024 Digital Assets Regulations marks a significant milestone in our journey towards realising the Third Financial Sector Strategy.” The central bank governor added that the project was aligned with Qatar’s endeavor to achieve specific digital transformation goals. Sovereign wealth fund rumorsRumors had emerged in December 2023 that Qatar’s sovereign wealth fund was driving a Bitcoin price surge. While those rumors weren’t substantiated subsequently, this latest development has once again led to some market commentators considering the prospect of one of the world’s largest sovereign wealth funds investing in Bitcoin. Pseudonymous crypto influencer “MartyParty,” who has over 110,000 followers on X, commented on the development, adding that “[The Qatar Investment Authority (QIA) has] been very interested in #Bitcoin and other digital assets and are huge investors in technology.” Back in 2021, QIA CEO Mansoor Bin Ebrahim Al Mahmoud stated at the Qatar Economic Forum that crypto needed to mature before the $500 billion wealth fund would establish a view about investing in the space.

Japan appears to be gearing up for the potential launch of its central bank digital currency (CBDC), the digital yen, as the government and the Bank of Japan (BoJ) collaboratively lay the legislative foundation for its rollout. While neither the BoJ nor the government has officially committed to the CBDC launch, recent developments indicate an accelerated push for its development. The BoJ's heightened focus on digital yen comes amidst concerns about falling behind China's and Europe's rapid progress in the CBDC space.Photo by Wenhao Ji on UnsplashOvercoming legal issuesAccording to a report by Japanese media outlet NHK, in a recent meeting, the Japanese government and the BoJ discussed future tasks and legal issues related to its CBDC implementation. To ensure a smooth and legally unobstructed launch, Tokyo aims to establish the necessary legal framework well in advance. Local news media Coinpost reported that the proposed legislation is set to "assume the introduction of the digital yen" and may involve amendments to key laws such as the Bank of Japan Act, the Criminal Code and the Civil Code. The goal is to finalize the list of required legal amendments by spring of the current year. In a meeting between Japan's central bank and the Finance Ministry, executives from relevant ministries and central bank directors explored various aspects of the CBDC. Discussions included the collaboration between a potential central bank digital currency and private cashless businesses, with a focus on convenience and personal data protection. Finance Ministry keen on launch ASAPLast month, the central bank received a report from a Ministry of Finance expert panel which recommended the launch of the digital yen without delay. The Ministry of Finance's December meeting addressed the division of roles between the Bank of Japan and intermediary banks, proposing a "two-tiered model" where domestic commercial banks play a pivotal role in digital yen issuance. Acting as intermediary institutions, these banks will bridge the gap between the central bank and digital yen users. The government and the BoJ are also contemplating ways to involve private businesses in the CBDC project while ensuring fair competition. Security and data privacy considerationsKey considerations in the discussions involve interoperability with other payment methods, ensuring security and handling user information safely. There is also an exploration of potential cross-border payment options. The government and the BoJ are committed to a comprehensive approach that considers various aspects of the CBDC project. Japan's unique context in the CBDC landscape is highlighted, with its continued reliance on cash and the presence of multiple private-sector tokenized money initiatives. Notably, the country boasts over 100 institutions and enterprises exploring digital currency through a digital currency forum since 2020. Separate initiatives, such as the MUFG-backed Progmat DLT platform, contribute to Japan's diverse digital currency landscape. Providing another example of progression in the digital assets arena, it emerged in September that the country is looking to permit startups to raise capital from venture capital firms using digital tokens rather than traditional equity.