Almost 60K Korean Crypto-Holding Households Owe $389M in Unpaid Social Insurance Premiums

Taiwanese authorities have unveiled plans to criminalize cryptocurrency firms failing to comply with anti-money laundering (AML) regulations. The Ministry of Justice has proposed amendments to existing laws, mandating both domestic and overseas crypto entities operating in Taiwan to register for AML compliance. Non-compliance could result in imprisonment for up to two years, according to Deputy Minister of Justice Huang Mou-hsin.Photo by Jack Brind on UnsplashStricter enforcement measuresCurrently, authorities can only impose administrative penalties on non-compliant crypto firms. However, with the proposed amendments, such violations would be deemed criminal offenses, potentially leading to prison sentences. Overseas crypto platforms would be required to establish local entities and apply for AML registration to avoid criminal penalties. Regulatory landscape and industry responseSince July 2021, Taiwan has mandated cryptocurrency service providers to adhere to AML laws introduced by the Financial Supervisory Commission. However, the crypto industry largely remains unregulated. Proposed amendments also aim to incorporate cryptocurrencies into existing AML laws, stipulating penalties of six months to five years in prison and fines of up to NT$50 million ($1.5 million) for money laundering using cryptocurrency. The amendments are set to undergo review by Taiwan's national parliament, the Legislative Yuan. Concurrently, Taiwan's crypto sector is in the process of forming an industry association, with the Ministry of the Interior approving the application in March. By establishing this association, crypto firms aim to develop self-supervisory rules aligned with FSC guidelines, with a deadline set for the end of June to finalize preparations and officially establish the association. 

Chinese Subsidiary of DBS Bank Launches e-CNY Product OfferingDBS Bank China, a cryptocurrency-friendly bank and subsidiary of the Singaporean multinational financial services firm DBS, has introduced a new solution for its customers in mainland China, facilitating transactions with the digital yuan.The bank has officially launched the digital yuan or e-CNY merchant solution, allowing businesses in mainland China to receive payments in the central bank digital currency (CBDC). The announcement of the new service offering was made via a press release published to the website of the parent company on Wednesday.Photo by Hanny Naibaho on Unsplashe-CNY settlementWith this new service, DBS clients in mainland China can receive the e-CNY and have it automatically settled into their CNY bank deposit accounts. DBS refers to this as a “merchant collection solution,” where the merchant collects the final amount in CNY directly into their bank deposit account. The solution aims to streamline the process by eliminating manual settlement procedures.Enabling CBDC functionalityThis innovative tool offers several advantages. It allows businesses to collect CBDC without the need for manual settlement processes. Moreover, the e-CNY’s capabilities enable users to receive payments in regions with limited internet connectivity, ensuring broader accessibility. The solution also provides reconciliation through consolidated merchant reports, with detailed e-CNY transactions available on DBS’ digital platform for business banking.The CEO of DBS Bank China, Ginger Cheng, announced that the first e-CNY transaction using the new solution has been successfully completed, involving a catering company in Shenzhen. Cheng emphasized that integrating a CBDC collection and settlement method into clients’ existing payment systems would position their businesses for a digital future where e-CNY becomes increasingly prevalent among Chinese consumers. She expressed the bank’s commitment to enhancing user experience and supporting China’s financial market innovation.Adoption pushChina has made substantial progress in promoting and expanding the digital yuan since its launch in 2019. The country’s central bank reported that there were 13.6 billion e-CNY in circulation, equivalent to approximately $2 billion, by the end of 2022.The digital yuan is currently accepted in 26 cities and 17 provinces across China, with further adoption expected as the program gradually expands to more regions. In recent days, another measure was taken to bring about everyday use of the digital yuan when the city of Jinan enabled use of the currency across its public transport system.DBS Bank has become actively involved in the digital assets space. In 2020, the bank launched cryptocurrency trading and custody services for institutional clients. In April of this year, it extended crypto trading services to its premier customers. The bank has also participated in various government-related blockchain initiatives in Singapore, including Project Orchid, Project Guardian, and Project Ubin.DBS is not the first foreign banking entity to collaborate with the Chinese relative to the digital yuan. Earlier this year, France’s BNP Paribas partnered with the Bank of China to promote the digital yuan to its corporate clients. The Chinese are clearly making every effort to promote use of the digital currency inside and outside of Chinese territory.

STX Token Debuts on Korean Exchange BithumbSTX, the native token of the Stacks network, made its debut on the KRW market of Bithumb, a renowned Korean cryptocurrency exchange, at noon (Korea Standard Time) on Tuesday. The listing price is 828.5 KRW per unit.Photo by Jonathan Borba on UnsplashBitcoin scalability solutionStacks is a Bitcoin scalability solution that addresses the challenge of transaction latency through the use of microblocks. It utilizes the programming language Clarity and benefits from the security of Bitcoin by employing its unique consensus algorithm called Proof of Transfer (PoX). This mechanism enables Stacks to settle transactions on the Bitcoin network.Stacks is one of the most anticipated projects associated with Bitcoin, and its token was approved by the U.S. Securities and Exchange Commission in 2019.STX token usageThe STX token serves multiple purposes within the Stacks blockchain ecosystem. Users can utilize it for stacking, participating in governance activities, and paying transaction fees.