Overseas Crypto Holdings Declared to Korean Tax Agency Amount to $98B

Crypto Titans Clash on Elon Musk’s XA subtle panel discussion photo posted by Andrei Grachev of Singapore’s DWF Labs turned into a war of words among crypto trading titans on Elon Musk’s X (formerly Twitter).Photo by Marek Piwnicki on UnsplashDWF vs GSRGrachev, who is a Managing Partner at the market maker and Web3 investment firm, thanked his fellow panelists in the post. However, the tone quickly soured as Cristian Gil, Co-Founder of rival market-making giant GSR, took offense to Grachev’s presence on the panel and voiced his disapproval on the platform.Gil didn’t mince his words, stating: “[Andrei Grachev] had absolutely no business to be on that panel. It’s insulting to [GSR] , [OKX] and [Wintermute] to be in the same room as [DWF Labs].”DWF vs WintermuteHis remarks received a “Like” from Evgeny Gaevoy, the CEO of market maker Wintermute. In response, Grachev defended his presence, asserting that DWF was superior in technology, trading, and business development compared to its rivals, going so far as to suggest to Gil: “Yeah, if I were you — I would be also crying all the time.”The exchange continued with Grachev claiming that DWF was capturing market share from Wintermute, and Gaevoy responded with a nonchalant “lol,” challenging Grachev to invest more if he believed DWF posed a threat.DWF Labs’ rapid growthWhile the exchange consisted of mere words, it shed light on DWF Labs’ sudden rise to prominence earlier over recent months. The company has featured prominently in an array of investments in Web3 startups and blockchain networks over the course of 2023. Prominent among them have been investments in EOS, the Algorand ecosystem, and the TRON ecosystem.Recently appearing on the BlockBeats podcast, Grachev defended the company, outlining that it was not involved in market manipulation in response to recent assertions to the contrary.“We do not engage in any manipulative behavior,” Grachev stated. “Of course, we have the futures market, which is a tool for hedging positions and trading clubs. We are completely different from directional traders,” he added.Gaevoy added some humor to the mix by sharing a meme, raising questions about the maturity level of these prominent figures in the crypto industry. The spat provoked a broad array of commentary from the crypto community.Crypto immaturityThe very public clash raises concerns about how traditional Wall Street firms, currently making bold moves into the crypto space, might perceive such behavior. Notably, firms like BlackRock have been involved in Bitcoin ETF applications, signaling a growing interest in cryptocurrency among mainstream financial institutions. In response to Gaevoy and Grachev, one commentator wrote: “The institutions are never coming back.”While it would appear that there’s no love lost between DWF, GSR, and Wintermute, it also seems evident that both market makers can agree on Singapore as being an appropriate location from where to operate a crypto business. While Wintermute is London-based, it revealed recently that it was expanding its operations in Singapore. Like Wintermute, GSR is primarily based in London although it too maintains a presence in Singapore to service Asia-centric business.

Hana Securities Holds Second Event to Promote Security Token VentureHana Securities, the securities arm of South Korean financial holding company Hana Financial Group, is currently holding the second event of its Meta1 project, which aims to bridge future assets with modern finance as part of the company’s security token platform venture.This comes after the first event in April, which was organized in collaboration with the art gallery Print Bakery (PBG), during which it showcased paintings and NFT artwork by PBG exclusive artists Kim Sunwoo and DADAZ.Photo by Zach Key on UnsplashA fusion of NFT art and creative workshopsThe second event, dubbed “Meta1 Art & Play,” is being held in collaboration with PBG again at Airdrop Space in Garosu-gil, southern Seoul, and will continue until September 3. It showcases an art exhibition of 20 works, including new NFT artwork by Kim Sunwoo and DADAZ as well as pieces by collage artist Sunhotan and illustrator Boat. The latter two artists will also teach one-day art workshops for pre-registered guests, and their works will later be issued as NFTs, Hana Securities said.Collaborative pop-ups and diverse eventsIn addition, the event features a pop-up bar jointly operated by Hana Securities and online liquor retailer Dali. Visitors can enjoy a cocktail made with the Johnnie Walker Blue Label Nomad Seoul edition whisky by signing up for Dali and opening a Hana Securities banking account. Johnnie Walker and Dali are participating as sponsors of the event.Visitors who make reservations beforehand will also be eligible to receive a cup of coffee and an NFT made by one of the participating artists. Surprise gifts will also be prepared for 100 guests every day on a first come, first served basis.“We have prepared ‘playable, visual, and enjoyable’ content for visitors to have hands-on engagement in line with the recent trend of experience-based consumption,” said Im Sang-soo, Head of the Wealth Management division at Hana Securities.

Bitget withdraws from Hong Kong crypto marketSeychelles-incorporated cryptocurrency derivatives platform Bitget has made a decision to permanently exit the Hong Kong market, discontinuing its efforts to obtain a virtual asset trading platform (VATP) license.Photo by SHUJA OFFICIAL on UnsplashBitgetX platform shutdownThe decision comes only months after it had introduced its BitgetX platform to comply with local regulations. The company, which bases its operations out of Singapore, is a well-known entity in the crypto space, renowned as the operator of the 12th-largest cryptocurrency exchange globally in terms of 24-hour trading volume. It made this revelation on Monday, citing what it referred to as “business and market-related considerations.”In a published statement, the company said:”With a heavy heart, we regret to inform you that due to business and market related considerations, we have decided not to pursue a Virtual Asset Trading Platform (VATP) license in Hong Kong. As a result of this decision, the BitgetX website (www.BitgetX.hk) will cease its operations effective December 13, 2023. At the same time, Bitgetx.hk will permanently exit the Hong Kong market.”While outlining that BitgetX will close its doors, the firm urged users to withdraw their assets beforehand. Bitget is among a handful of exchanges that had publicly expressed their intent to secure a license following Hong Kong’s proactive push over the course of the past year to embrace the virtual asset sector.Broader challengesThe decision to abandon the pursuit of a VATP license echoes the broader challenges faced by the cryptocurrency industry in Hong Kong. Despite the city’s recent enthusiastic regulatory embrace of the virtual asset sector, a number of stumbling blocks remain.High compliance costs and the lingering aftermath of the JPEX financial scandal have hindered Hong Kong’s aspirations to establish itself as a leading crypto hub. A report back in June identified the major cost implications of acquiring a license in Hong Kong. At the time, it was estimated that the required spend to obtain a VATP license could range from $2.55 million to $25.5 million.Banking crypto companies has also become a major bottleneck. In June, the Hong Kong Monetary Authority (HKMA) urged banks such as HSBC, Standard Chartered and the Bank of China to bank the crypto sector, having identified a reluctance amongst them to do so.Limited interestThe forthcoming closure of BitgetX adds to a growing trend of limited interest in Hong Kong’s new licensing scheme. Only five companies, all local, have submitted applications for virtual asset licenses to the Securities and Futures Commission (SFC). This list began publication in response to the JPEX scandal, which significantly damaged public trust in virtual assets.The challenges faced by the industry go beyond regulatory hurdles. The damaged public trust, coupled with the high-profile exit of JPEX, has contributed to the hesitancy of international crypto platforms in pursuing licenses in Hong Kong. The abrupt withdrawal of Bitget raises questions about the viability of Hong Kong as a central player in the cryptocurrency industry and underscores the complexities faced by exchanges navigating the evolving landscape of the digital asset sector.