Bitget Achieves 20M Users With Wallet Integration Driving Trading Volume

Full operating license approval for Hex Trust in DubaiIn yet another instance of progress for the cryptocurrency sector, Hex Trust MENA FZE, the Dubai-incorporated subsidiary of Hong Kong-headquartered institutional-grade crypto custodian Hex Trust, has successfully secured an operating license from the Dubai regulator, the Virtual Assets Regulatory Authority (VARA).Photo by Mohammed Nasim on UnsplashExtending regional presenceThis regulatory milestone, acknowledged by the firm in a statement it made public on Wednesday, not only solidifies Hex Trust’s presence in the Middle East but also marks a strategic move to extend its crypto custodial services to institutional clients and sophisticated investors in Dubai. While based in Hong Kong, Hex Trust has offices in Dubai, Singapore, Vietnam and Italy.This full operating license signifies the successful conclusion of the approval process within VARA’s regulatory framework for crypto service providers, which came into effect earlier this year. Initially granted a minimum viable product (MVP) operational license in February, Hex Trust’s latest achievement grants it the official authorization to continue its operations in the region, marking a pivotal moment in the company’s expansion strategy.With an increased footprint in Dubai, Hex Trust is now poised to deliver comprehensive crypto custodial services to both institutional clients and sophisticated investors. This strategic move is in line with the company’s aspiration to meet the escalating demand for secure and regulated digital asset storage solutions in the Middle East.Filippo Buzzi, Hex Trust’s MENA regional director, underscored the company’s dedication to expanding its reach in the Middle East, stating:“Hex Trust is fully committed to expanding into the Middle East and sees enormous potential for digital asset growth given the progressive regulations, welcoming governments, and thriving crypto ecosystem in the region.”This statement not only highlights the favorable regulatory environment but also emphasizes the increasing interest in cryptocurrencies within the Middle Eastern market.$88 million funding roundHex Trust’s recent success in Dubai comes on the heels of its $88 million Series B funding round last year, showcasing the company’s proactive approach to securing regulatory approvals on a global scale.In August, the firm received regulatory clearance in France, enabling it to offer a spectrum of services, including digital asset custody, purchasing, selling and trading. These regulatory triumphs position Hex Trust as a reputable and compliant entity in the competitive crypto custodial space.Series of approvalsWhile Hex Trust has demonstrated its adept navigation through regulatory processes in Dubai, it’s one of many companies to obtain licensing in the emirate in recent weeks.It emerged yesterday that CRO DAX Middle East, the Dubai-registered subsidiary company of Singapore-headquartered Crypto.com, received a trading license from VARA.Last week, Korean Web3 company CarrieVerse clarified that it had joined the Dubai Multi Commodities Center (DMCC) as a metaverse service provider. The DMCC is a United Arab Emirates (UAE) government agency which has developed into a hub for investors and Web3 startups. CarrieVerse and the DMCC have not as yet revealed details regarding the roadmap for the partnership.At the start of this month, VARA awarded Singapore’s WadzPay, a business-to-business (B2B) technology firm that focuses on enabling digital asset-based transaction processing and settlement, a license to trade within the emirate. Meanwhile, on Nov. 1, it emerged that crypto wallet project Backpack had received a license from the Dubai regulator.

In a bid to expand the utility of USDC (USD Coin) in Japan, Coincheck, a cryptocurrency trading platform based in Tokyo, has unveiled a strategic collaboration with Circle Internet Financial, the global fintech firm and the issuer of the USDC stablecoin. Broadening USDC accessibilityThe partnership, announced on Feb. 27, signals Coincheck's proactive stance towards broadening accessibility to the USD-pegged coin within Japan's cryptocurrency landscape. This move is particularly noteworthy given Coincheck's stature as a subsidiary of Monex Group, a major securities firm that acquired a controlling interest in Canadian crypto asset management firm 3iQ in December of last year. Coincheck, established in 2014 and boasting a user base of 1.91 million verified accounts as of January 2024, is poised to play a pivotal role in driving USDC adoption within Japan.Photo by Takashi Miyazaki on UnsplashRegulatory hurdlesRegulatory hurdles remain significant for the widespread adoption of USD-backed digital assets within the east Asian country. Presently, major Japanese cryptocurrency exchanges have refrained from listing such coins, awaiting regulatory approval under the jurisdiction of the Japanese Payment Services Act, which mandates obtaining "Electronic Payment Instrument Services" registration. Despite these challenges, fiat-pegged coins like USDC and USDT continue to enjoy substantial popularity across Asia, reflecting a burgeoning interest in stablecoins as reliable vehicles for value transfer and storage. Oki Matsumoto, managing director and chairman of Coincheck, emphasized the strategic significance of the partnership in catalyzing growth within Japan's crypto ecosystem and the broader blockchain industry. He expressed optimism regarding the collaborative efforts between Coincheck and Circle in advancing the adoption of digital assets in the Japanese market. Circle’s ongoing focus on JapanCircle's engagement with Japan is not unprecedented, as the company had previously entered into a memorandum of understanding (MOU) with SBI Holdings, a formidable player in Japan's financial sector. This partnership aimed to spearhead digital currency innovation, streamline cross-border transactions and enhance liquidity in the digital asset market. Last month Circle identified the Asia-Pacific (APAC) region as being ripe for stablecoin adoption. It outlined that it was particularly encouraged by the ongoing development of forward-looking regulatory frameworks in Asian centers like Singapore, Hong Kong and Japan. In a parallel development, Circle recently announced a partnership with Overdare, a joint venture which was originally formed in September between gaming firms Krafton and Naver Z, poised to redefine the landscape of mobile user-generated content (UGC) gaming. This collaboration seeks to empower game content creators by integrating Circle's user-controlled Programmable Wallets, enabling them to seamlessly receive USDC payouts for their creative endeavors. Circle's foray into the creator economy through its collaboration with Overdare demonstrates another strategy that the company is employing to bring about adoption and gain traction in the market, pivoting towards Web3 innovation and its emphasis on development within the APAC region. With USDC boasting a market capitalization of approximately $27 billion and circulating supply exceeding $24 billion, as reported in its December 2023 reserve attestation, Circle's strategic partnerships with Coincheck and Overdare herald the latest efforts to trigger adoption within the Japanese and broader APAC region’s cryptocurrency and gaming spheres.   

India is strategically navigating the development of its digital rupee, with the Reserve Bank (RBI) actively addressing privacy concerns through technological solutions in its central bank digital currency (CBDC) pilot programs. According to a recent report by CoinDesk, a senior official with insights into these initiatives revealed that while progress is evident, the RBI is proactively exploring ways to ensure privacy in the use of the digital rupee.Photo by Julian Yu on UnsplashPursuing mechanisms to maintain anonymityThe RBI has introduced a new dimension to the discourse on privacy concerns associated with CBDC usage. The central bank official suggested that the RBI may seek legal backing from India’s finance ministry to enact legislation allowing customers to delete transactions for the purpose of maintaining anonymity. New-found urgencyPublic statements from the RBI suggested a lack of urgency in implementing a full-scale retail CBDC, coupled with a reluctance to provide a specific timeline. However, recent events indicate that an underlying sense of urgency may be emerging. In the past month, the retail CBDC achieved a notable milestone, processing one million transactions in a single day, with support from various banks. Several banks, including HDFC Bank, Kotak Mahindra Bank, Axis Bank, Canara Bank, IDFC First Bank and Union Bank of India, reportedly encouraged their employees to deposit funds in CBDC instead of fiat currency, contributing to this achievement. The official overseeing the CBDC development emphasized the necessity for experimentation and substantial efforts to ensure the security of the digital currency. While the settlement aspect is considered straightforward, addressing latency remains a priority for the RBI. No mandate on taxThe RBI, historically known for its opposition to crypto both domestically and globally, clarified that crypto taxation is not within its mandate. This clarification suggests that the RBI might not object if the Indian government decides to reduce the stringent taxes currently imposed on cryptocurrencies. The central bank clarified that it lacks the mandate to express a viewpoint on reducing a contentious tax that has stirred debate within the crypto industry. The RBI has been a driving force behind the adoption of wholesale and retail CBDC since late 2022 when it initiated pilot programs. The official emphasized that taxation matters fall under the government’s purview, reinforcing the RBI’s focus on its designated responsibilities. Similarly, the country’s judiciary recently turned down a plea to have it formulate a crypto regulatory framework, outlining that this too is up to the government to address. The central bank has a historical context of attempting to ban cryptocurrencies, with effective prohibitions in place between 2018 and 2020 until a Supreme Court order overturned the ban. Since then, the RBI has consistently expressed concerns about cryptocurrencies in various forums, including the Group of 20, where India played a leading role in coordinating global regulation in the crypto space. Recent utterances from the RBI governor, Shaktikanta Das, suggest that the regulator is disinterested in seeing the offering of spot crypto exchange-traded funds (ETFs) in India despite that eventuality coming to pass last month in the United States. Das also spoke positively recently about the tokenization of real-world assets using blockchain technology.