Xangle Joins Com2uS Group’s Blockchain Mainnet XPLA as Validator

In a widening crackdown on overseas crypto exchanges operating illegally in India, the Financial Intelligence Unit (FIU) has issued “compliance show-cause” notices to some of the leading global crypto platforms. In a statement published by the FIU on Thursday, the agency outlined that it has issued compliance show-cause notices to nine offshore virtual digital assets service providers. These include Bitfinex, Bittrex, Binance, Bitstamp, Gate.io, Huobi, Kraken, Kucoin and MEXC Global.Photo by Naveed Ahmed on UnsplashRequest to block URLsThe FIU has also called on the information ministry to block the URLs of these entities, citing their non-compliance with Anti Money Laundering (AML) and Counter Financing of Terrorism (CFT) frameworks. The FIU is a national agency tasked with receiving, analyzing and disseminating information to enforcement agencies where suspect financial transactions are concerned. The move comes as part of India’s broader efforts to tighten oversight of the digital asset sector. Earlier this year, the government imposed money-laundering provisions on the crypto industry, aligning its regulations with those of other nations. In 2022, local crypto exchanges were dealt a significant blow with the introduction of a transaction tax, leading to a sharp decline in trading volumes. Unregistered platformsAccording to the FIU statement, offshore entities, despite serving a substantial number of Indian users, were operating without proper registration under AML and CFT frameworks. To address this, the FIU issued show-cause notices — a formal request for entities to demonstrate compliance with Indian laws when suspected of misconduct. It emerged earlier this month that in excess of 28 crypto platforms had registered with the FIU. Those compliant platforms were largely native Indian businesses. If the FIU’s recommendation is followed and in due course, URL access to the cited overseas exchanges is blocked, this could potentially be a boon for complaint platforms like WazirX, CoinDCX and ZebPay, at least in the short term. India’s actions against Binance, in particular, are not new. In 2021, the country’s anti-money laundering agency was reportedly investigating Binance’s potential involvement in a case related to betting apps. Binance, the world’s largest crypto exchange, has faced increasing regulatory pressure globally. In November, the company agreed to a $4.3 billion settlement, pleading guilty to anti-money laundering and U.S. sanction violations. As part of the settlement, CEO Changpeng Zhao agreed to step down. Community reactionNews of this development has caused some disquiet among Indian crypto advocates. However, taking to social media, Web3 marketer Abhinav Kumar wrote: “This isn’t a sign that crypto trading is suddenly going to be banned. . . . It’s a routine thing. The government wants to make sure foreign companies play by the same rules as Indian ones. That’s fair enough! Also remember India has over 20 million crypto investors now.” Leading crypto adoptionDespite regulatory challenges, India has emerged as a significant player in the global crypto market. Chainalysis’ 2022 global crypto adoption index ranked India as the top country by raw estimated transaction volume, second only to the United States. Responding to the growing crypto adoption, India is actively working on a regulatory framework based on joint recommendations from the International Monetary Fund and the Financial Stability Board. The government’s actions underscore its commitment to ensuring compliance within the crypto sector and aligning with international standards.  

Wemade Launches NFT-Based DeFi Service to Empower Its EcosystemSouth Korean gaming company Wemade today launched NFTFi, a peer-to-peer decentralized financial service based on non-fungible tokens (NFTs), according to an official press release. The service is now accessible on Wemade’s DAO-powered blockchain NFT platform NILE, also known as NFT Is Life Evolution.Photo by Choong Deng Xiang on UnsplashBorrow and lend NFTsInitially, NFTFi will enable users to borrow and lend NFTs, with plans to introduce a swap function in the future. The service will support trading for all NFTs available on the NILE marketplace, including the NEITH NFTs unveiled in March this year.Through NFTFi, borrowers have the ability to secure WEMIX tokens or WEMIX Dollars by using NFTs as collateral. Borrowers can request loans, and lenders can review these requests and assess the conditions under which they are willing to lend their assets.The borrower who presents the most favorable borrowing terms will be selected, and the loan contract will be automatically executed. The NFTs provided as collateral will remain locked until the loan is fully repaid. In the event of failure to repay, ownership of the NFTs will be transferred to the lender.Effective asset managementNFTFi users will have the ability to evaluate the value of an NFT based on various data. Notably, NEITH NFTs offer effective asset management as their holders can claim the amount of WEMIX tokens at any time from the Covenant Date. This token eligibility feature contributes to the stability of NEITH NFTs.NILE expects that NFTFi will enhance the value of NFTs as financial assets and play a role in the sustainable growth of the WEMIX3.0 ecosystem.

Hong Kong regulator, the Securities and Futures Commission (SFC), which oversees Hong Kong’s securities and futures markets, is understood to be planning to give the go-ahead for crypto derivative products to be offered to professional investors within the Chinese autonomous territory. Chinese English-language newspaper China Daily reported on June 4 that the proposed move forms part of Hong Kong’s efforts to expand its digital assets-related product offering in order to further bolster its position as a leading regional hub for the sector. Christopher Hui, Hong Kong’s Secretary for Financial Services and the Treasury, told the publication that the SFC will open up crypto derivatives trading to professional investors in the city “in an orderly, transparent and secure manner.”Photo by Florian Wehde on UnsplashBoosting liquidity to spot marketsChina Daily claimed that the SFC outlined that the crypto derivatives product will enable efficient risk transfers, while boosting the liquidity of the underlying spot markets. TokenInsight data suggests that the global crypto derivatives market has reached $21 trillion in trading volume over the course of Q1 2025. By comparison, derivatives trading dwarfs spot trading, given that spot trading weighed in at just $4.6 trillion over the same period. Liquidity in the underlying spot markets can be enhanced by a broadening of crypto derivatives product offerings in instances where digital assets are traded for immediate payment and delivery. Their availability will also appeal to professional traders and investors who need access to derivatives as part of their overall strategies in order to hedge positions and add leverage when required. Industry interestReaction to news of the Hong Kong SFC’s plans has largely been positive. Back in February, Jean-David Péquignot, chief commercial officer (CCO) with the world’s largest crypto derivatives exchange Deribit, told the South China Morning Post that opening up availability of crypto derivatives products was the one item missing from Hong Kong’s push towards development as a hub for the digital assets sector. At the time, he stated:“Hong Kong is this central financial hub in the world and a big one in Asia. If regulators can solve the derivatives piece, it is a place where we love to be.” On that basis, Péquignot suggested that Deribit, headquartered in Dubai, would be interested in establishing itself in Hong Kong, suggesting that “Asia is a big market for derivatives.” He added:“We want to be in Asia. We just need to find the right place and time to engage with regulators and get a regulatory framework to work with.” The company’s acquisition by Coinbase was announced last month for $2.9 billion. Regulatory approach questionedWhile many see the move towards the approval of crypto derivatives in Hong Kong as bullish, not everyone perceives the regulator’s approach in this instance to be positive. Pseudonymous crypto trader “Pickle Cat” outlined on X that “opening crypto derivatives only to 'professional investors' isn’t progress.”  The trader points out that good regulation would concentrate on controlling issuance and not circulation. Suggesting that the SFC has missed the point in its approach, the trader claims that the regulator would serve the crypto derivatives market best by verifying what backs such products while not restricting how such tokens move.