Binance Initiates Registration Process for AML Compliance in Taiwan

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.

NFTs to Enrich Reading Experience for Book Lovers in JapanBook lovers in Japan are soon going to be able to enjoy an enhanced reading experience with the introduction of electronic books based on non-fungible tokens (NFTs). Media Do, an ebook distributor based in Tokyo, has partnered with Hayakawa Books & Magazines to publish a series of five NFT-based ebooks. The first lineup is scheduled for release on June 20, 2023.Photo by Hiroshi Tsubono on UnsplashTraditional and digital publishingThis collaboration is noteworthy as it merges the world of physical paper books with digital editions, making it the first-ever initiative to create non-fungible token (NFT) copies of traditional books. By bridging the gap between traditional and digital publishing, readers can now enjoy the benefits of both formats.These NFT-based ebooks offer readers the convenience of accessing and reading them through smartphone apps, while also serving as proof of ownership for each book. Media Do’s NFT platform, FanTop, will facilitate the trading of these NFTs, creating a marketplace for enthusiasts to buy, sell, and collect these unique digital editions.Copyright owner supportWhat sets FanTop apart is its dedication to supporting authors. Each NFT transaction on FanTop will result in a fee paid to the copyright owners, ensuring they receive fair compensation for their valuable work. Connecting more than 2,200 publishers and 150 ebook stores, Media Do aims to develop FanTop into a platform that consistently provides fair and appropriate incentives to copyright owners, including authors and publishing houses.Enriched reading experienceMoreover, these NFT-based ebooks will elevate the reading experience by offering exclusive content such as alternative endings, commentaries, and guidelines. NFT ebooks possess a unique ability to incorporate videos and music, thereby enriching the reader’s understanding of the original text and immersing them in the world of the work. In the future, NFT ebooks may even include licensed works such as films or music that inspired the author during the writing process. This additional value will fuel demand in the secondary market, including trading on FanTop.Empowering creatorsFanTop aims to establish itself as a non-speculative platform that focuses on distributing valuable content. It is dedicated to empowering creators, allowing them to exercise autonomy in determining specific trading details for their works. This includes the ability to set royalties and other parameters that align with their preferences and goals.Higher books sales with NFTsSince October 2021, FanTop has been offering exclusive NFT materials to promote sales of paper books. This initiative has allowed readers to enjoy the digital versions of their books on FanTop. As of March 2023, the sales of about 100 works, which included NFT copies, were 32% higher than their original editions within 30 days of release. Their average sales price was also 31% higher than their original counterparts. Media Do has been collaborating with over 70 companies, including publishers, to plan and develop content with NFT-based books.

The CEO of Hong Kong’s central banking institution, the Hong Kong Monetary Authority (HKMA), has outlined that the introduction of the Chinese autonomous territory’s Stablecoins Ordinance on Aug. 1 will criminalize the unlicensed promotion of stablecoins. In an article published on the HKMA website on July 23, CEO Eddie Yue stated:”According to the Ordinance, starting from the commencement date, it will be illegal for any person to offer any unlicensed fiat-referenced stablecoin (FRS) to a retail investor, or actively market the issue of unlicensed FRS to the public of Hong Kong.”Photo by Manson Yim on UnsplashSubject to fine & imprisonmentIf an individual is found to have promoted an unlicensed stablecoin, they will be subject to a fine of HK$50,000 ($6,400) and imprisonment of up to six months. Yue warned the public to remain vigilant and to exercise caution if they come across marketing material related to an unlicensed stablecoin offering. The HKMA CEO is conscious of the fact that stablecoins are an emerging payment instrument that is being gradually integrated into the mainstream financial system. However, he feels that some discussion on stablecoins has been overly idealistic. Yue outlined that interactions with the few dozen institutions that have reached out to the HKMA with regard to stablecoin licensing have led him to believe that “many proposals remain conceptual.” He claimed that many of the institutions putting forward these proposals “fail to put together viable and concrete plans as well as implementation roadmaps, let alone demonstrate their awareness of risks and competence in managing them.” Limited license issuanceYue believes that in many instances, these institutions would be better served to collaborate with stablecoin issuers rather than becoming stablecoin issuers themselves. It’s on that basis that the HKMA will only grant a handful of stablecoin issuer licenses. Bloomberg reported that in the region of 50 companies have been seeking to apply for stablecoin licensing in the city, with the HKMA likely to approve around 10 licenses. It referenced particular interest from Chinese brokerages and a related move recently by asset management firm ChinaAMC in launching a yuan-denominated tokenized money market fund that facilitates subscriptions via stablecoins.  Significant Chinese businesses such as JD.com and Ant Group have been preparing to acquire stablecoin licensing in Hong Kong. Chinese stablecoin urgencyIn its Asia Morning Briefing, CoinDesk pointed out that in 2021, the Chinese authorities had been critical of the development of global stablecoins, preferring instead to concentrate on their own central bank digital currency (CBDC), the digital yuan. However, it asserts that “Beijing’s caution on stablecoins is giving way to a sense of urgency.” Animoca Group President Evan Ayuang told the publication that China’s interest in stablecoins is on the rise. Ayuang asserted that actions taken by the Trump administration in the U.S. related to stablecoin policy are “pressuring China to act a lot faster.” Developments in Hong Kong are relevant in the context of China’s newfound interest in stablecoins. Lily King, chief operating officer (COO) at crypto custodian Cobo, stated recently that Hong Kong continues to be a testing ground for mainland China.  In keeping with that outlook, analysts at Morgan Stanley recently asserted that yuan-denominated stablecoin projects launched in Hong Kong would potentially serve as a developmental stablecoin sandbox for mainland China.