Hana TI Partners with BitGo for Web3 Digital Asset Custody Solutions

BitMEX Launches Bespoke Service in Hong KongSeychelles-based cryptocurrency exchange and derivative trading platform BitMEX announced on Monday that it is launching a dedicated virtual asset service for its Hong Kong customers.The exchange published a blog post to its website in which it said that it is in the process of launching “BitMEX Hong Kong,” a dedicated service offering that will be set up on a transitional basis initially. The company is currently in the process of securing a virtual asset service provider (VASP) license from the Hong Kong regulator, the Securities Futures Commission (SFC). Licensing becomes effective in the Chinese autonomous territory on June 1.Photo by Karolina Grabowska on PexelsDedicated mobile appAmong the features the exchange intends to offer its Hong Kong-based customers is a bespoke app, catering specifically to users in the city. The platform will offer Hongkongers the ability to buy and sell cryptocurrencies with eleven spot trading pairs. From an on-boarding and off-boarding perspective, the firm will facilitate the conversion of cryptocurrencies into over thirty fiat currencies.The company is looking to add value by offering additional services such as portfolio management and real-time deposits and withdrawals. BitMEX plans to enable additional functionality such as watchlists and detailed real-time data. Both of these features will enable service users to identify and follow crypto market trends.Licensing preparationsWhile the offering attempts to meet the specific needs of Hongkongers, it's likely that the main motivation relates to VASP licensing. The regulatory requirements in Hong Kong are likely to have distinct facets that would necessitate the company to tease out its service to Hong Kong citizens from its global platform.The SFC has indicated on Tuesday that it will enable crypto trading for retail investors. Notwithstanding that, it’s not doing that without the incorporation of several measures to protect the interests of retail users. Any promotions or incentives that lead a marketing effort with free gifts, and this will likely include token airdrops, will be prohibited.Minimum capital liquidity requirements are being set. Furthermore, client assets will have to be segregated from exchange assets, although the Commission doesn’t mind if the VASP simply segregates said funds itself or does so by way of using an escrow service.Stephan Lutz, acting CEO and group CFO at Bitmex, commented on the development: “We are optimistic that Hong Kong will achieve its ambition of becoming a world-leading Web3 role model city and potentially the Web3 hub for China in years to come.”On May 29, the firm will transfer existing Hong Kong-based customers from its global platform to its new affiliated Hong Kong entity, HDR BMEX Limited. Remaining account balances will be transferred over on that date. There will be no requirement for Hong Kong-based users to undertake additional KYC (know-your-customer) checks or account verification.Earlier this month, the exchange added two additional digital assets ($SUI & $PEPE) to its range of available perpetual contracts.

Mohammed AlKaff AlHashmi, co-founder of the HAQQ Network, has expressed the view that Indonesia has considerable potential to establish itself as Asia’s largest crypto hub. AlHashmi made the comments in a discussion with Crypto.news. HAQQ Network claims to be a scalable proof-of-stake-based blockchain, capable of high throughput. The network is fully compatible and interoperable with Ethereum. The project also focuses on the development of a Sharia-compliant Web3.  While the project is headquartered in Niqa Al Dheeb in the United Arab Emirates (UAE), Indonesia is also a significant market for the company, given that it has just received regulatory approval for the HAQQ Network’s native token from the Indonesia Financial Services Authority (OJK). Islamic Coin (ISLM) is the network’s native token. It is being offered as a Sharia compliant digital currency, with Sharia law being the Islamic legal system that governs the lives of millions of Muslims throughout the world.Photo by Nick Agus Arya on UnsplashGateway marketOffering his thoughts on the Indonesian crypto market, AlHashmi stated: “When we look at Indonesia as a market, I would say it is incomparable. It can be number one to be honest. Because I have seen statistics of growth happening in a very big volume. The volume of trade, transactions and users, I think Indonesia can be very soon one of the top 3 countries in the world.” Indonesia takes on added importance for the HAQQ Network project. The project’s co-founder sees the Southeast Asian nation as a gateway into a broader market given that it has the largest Muslim population in the world. He said that if his project is successful in Indonesia, then there will be no barrier to enter markets in other predominately Muslim nations. The entrepreneur believes that Indonesia is on the cusp of realizing its potential within the crypto sector. He said that Indonesia has a “competitive edge” when compared with other nations. Population size and rapid economic growth feed into that potential, with AlHashmi claiming that Indonesia is primed to become the largest crypto hub in Asia. Smooth regulatory processFrom a regulatory perspective, he also feels that Indonesia is outperforming other jurisdictions. The HAQQ Network project team experienced a smooth process in acquiring regulatory approval for ISLM recently. He believes that although the process was detailed, it was completed quicker than he would expect in other countries.  AlHashmi added that “regulations are flexible enough to enable project owners to do good business to protect the community as well.” Local regulator, the OJK, has expressed an interest in exploring the development of Sharia-compliant crypto assets. Earlier this month, Hasan Fawzi, OJK's executive head overseeing crypto assets supervision, told local media that the regulator is open to advancing Sharia-based cryptocurrencies.  Hasan stated: “Globally and regionally, this is a common practice. It is not unusual to create crypto assets that adhere to Sharia principles.” The OJK executive is particularly interested in tokenization of real-world assets (RWAs). He believes that if this proves to be successful, it could lead to further Sharia-complaint crypto products being launched. The OJK is currently testing tokenized RWAs within a sandbox environment.

In a contrasting move to the recent approval of several spot bitcoin exchange-traded funds (ETFs) by the U.S. Securities and Exchange Commission (SEC), regulators in both Singapore and Thailand have turned down permission to list spot bitcoin ETFs.Photo by Dmytro Demidko on UnsplashBitcoin not a qualified assetAccording to local news media on Wednesday, Singapore's Monetary Authority (MAS) has announced its decision not to permit the listing of spot ETFs in the country. The MAS argues that cryptocurrencies, including bitcoin, do not meet the criteria for qualified assets within the context of ETFs. This regulatory divergence means that retail investors in Singapore won't see the introduction of spot bitcoin ETFs domestically. However, they still have an avenue to trade such ETFs as they can turn to local brokerages for access to overseas markets. Despite this allowance, the MAS emphasizes the need for these retail investors to exercise caution due to the inherent high volatility and speculative nature of cryptocurrency trading. A spokesperson from the regulatory authority clarified that while collected investment schemes (CIS), falling under the Securities and Futures Act regulation, include ETFs, they do not encompass bitcoin or any other cryptocurrency. Future potentialWhile MAS may be turning down spot bitcoin ETFs at this point, there’s potential for a change of heart in the future. The FIMA Bill is currently working its way through the city-state’s legislative process. If enacted, it would give broader regulatory oversight of crypto to MAS. Lasanka Perera, CEO of Independent Reserve Singapore, recently suggested that the bill could make an ETF more likely. Thailand says noMeanwhile, Thailand’s Securities and Exchange Commission (SEC) has stated that it currently does not plan to allow asset management firms to launch spot bitcoin ETFs in the country. Thai securities brokerage firms have been encouraging investors to consider investing directly in U.S. spot bitcoin ETFs. The Thai SEC clarified that while it closely monitors these developments, there is no immediate policy to allow spot bitcoin ETFs in Thailand. The regulator emphasizes that Thai investors can still engage in digital asset investments through domestic exchanges licensed by the SEC under the Digital Assets Decree. India, too, doesn’t appear to have been looking favorably on the potential for such products. The governor of the Reserve Bank of India (RBI) said last week that “the way we look at crypto remains unchanged, irrespective of who does what.” Asian optimismIn the wake of ETF approval in the U.S., many industry commentators had suggested that Asia would respond positively. Australian venture capitalist Mark Carnegie has suggested that the developing bull market would be “an Asian story.” Yat Siu, co-founder of Hong Kong’s Animoca Brands, expressed the view that U.S. ETF approval would have a substantially positive impact within the Asian region. Hong Kong appears to be the most positive in the region in its outlook with regard to embracing spot bitcoin ETFs. Immediately following approval in the U.S., a Hong Kong legislator spoke out to encourage a proactive response relative to launch of similar products within the Chinese autonomous territory. Meanwhile, recent news reports indicate that spot bitcoin ETFs experienced substantial trading volume, accumulating $10 billion just three days after their approval in the U.S.