BitMEX Chalks Up Two New Perp Contract Listings

Fake Security Tokens Linked to HD Hyundai Oilbank in CirculationHD Hyundai Oilbank, one of South Korea’s leading refiners, said Wednesday that a counterfeit security token dubbed “HOBT” claiming affiliation to the company has been circulating online. The token is allegedly based on old stock certificates under the company’s former name, Hyundai Oil Refinery, as the underlying assets, though the company had changed its name to HD Hyundai Oilbank back in 2002. Both the token and the underlying asset are invalid and have no relation at all to HD Hyundai Oilbank, the company emphasized, so investors must exercise caution.Fraudulent promotionEntities that are giving away or selling HBOT tokens are attracting investors by promoting a one-on-one exchange of the tokens for old Hyundai Oil Refinery stock certificates. They are also promising to grant shareholder rights through blockchain technology as well as interest payments of 4% every month for a total of 24% over six months.Fraudulent activities like these have recently been on the rise following the legalization of security tokens and the formal issuance of a select few tokens.Investigative measuresThe Incheon Metropolitan Police is currently conducting an investigation into the case. Notably, the old Hyundai Oil Refinery stock certificates that the involved entities are claiming to be underlying assets have been proven to be fake in over ten court rulings. Although owners of these old stock certificates had filed lawsuits against the company related to shareholder registration renewals since the late 2000s, all of them had lost their cases.Photo by Tingey Injury Law Firm on UnsplashPast events resurfacingThis recent circulation of the forged HOBT tokens is attributed to employees of a disposal company who pocketed the invalid stock certificates and certificate papers, rather than disposing of them as they were required to do.In January 2002, HD Hyundai Oilbank had hired a company to dispose of documents — including those related to the old stock certificates — that had lost their validity during the process of attracting and increasing foreign capital.“In May of that year, we started receiving frequent inquiries about the stock certificates. We filed a legal complaint against the employees and conspirators of the disposal company for illegally distributing the certificates (including the stock certificate papers), and they were subsequently punished for theft and fraud,” the company explained.

Korea requires lawmakers and senior officials to declare crypto holdingsSouth Korea’s Ministry of Government Legislation announced on Thursday (local time) that 84 new legislative statutes are set to be implemented in December. Among these statutes, an amendment to the Public Service Ethics Act stands out, which will require lawmakers and senior government officials to report their virtual asset holdings.Photo by Huy Phan on UnsplashStarting Dec 14The Public Service Ethics Act requires public officials in political service, government officials of rank four or higher and executives of public service-related organizations to declare their own wealth as well as that of their spouses and lineal relatives. In Korea, public servants are ranked from one to nine, with one being the highest and nine being the lowest. As it stands, disclosing cryptocurrency holdings isn’t mandated, but this will change from Dec. 14 due to recent amendments. Records of cryptocurrency transactions will also be subject to disclosure.Possible restrictions on departments or employeesFurthermore, the leader of a national or local government organization has the authority to enforce restrictions on the acquisition of virtual assets for specific departments or employees under their jurisdiction. This action is applicable if their roles are associated with accessing cryptocurrency information or having an impact on the crypto market. In such scenarios, the chief officer is obligated to report their methods of imposing these restrictions to the pertinent government ethics committee. The committee then holds the right to recommend adjustments to these strategies.

Legislator Invites Coinbase to Set Up Shop in Hong KongHong Kong continues to position itself as a favorable destination for the cryptocurrency industry, with the latest evidence of that coming in the form of an invitation to US-headquartered crypto exchange Coinbase to set up a base in the autonomous Chinese territory from one of its legislators.In a bold move showcasing its progressive stance on cryptocurrencies, Johnny Ng, a member of Hong Kong’s Legislative Council, has extended an invitation to Coinbase and other crypto exchanges to establish their operations in the region. Ng took to Twitter on Saturday to express his support and offer assistance to “all global virtual asset trading operators,” emphasizing the potential for stock listing opportunities.This invitation came at the end of a week which saw major industry players like Binance and Coinbase face legal action from the United States Securities and Exchange Commission (SEC).Photo by Ben Cheung on PexelsContrasting approachesHong Kong stands in stark contrast to the cautious approach adopted by many Western countries when it comes to cryptocurrencies. In January 2023, Paul Chan, Hong Kong’s Financial Secretary, reaffirmed the government’s commitment to building a robust ecosystem for crypto and fintech. Since then, Hong Kong has been actively developing regulations and implementing compliance measures to foster the growth of the cryptocurrency industry.Recently, the Hong Kong Monetary Authority (HKMA) announced its intention to lay the foundation for a retail central bank digital currency (CBDC). This initiative, revealed on June 9, aims to explore the benefits of CBDCs as a means of everyday payment transactions and to facilitate customer access to cryptocurrency exchanges.Crypto hub ambitionsNg’s invitation to Coinbase exemplifies Hong Kong’s ambition to become a leading digital hub for the crypto industry. Several crypto exchanges, including OKX and Huobi, have already applied for virtual asset service provider licenses in the region, demonstrating their confidence in Hong Kong’s favorable regulatory environment.Hong Kong’s crypto-friendly approach has also attracted interest from prominent international technology companies. In January, Samsung, the South Korean tech giant, announced plans to launch a Bitcoin futures active exchange-traded fund on the Hong Kong Stock Exchange.Furthermore, reports emerged in mid-February suggesting that Chinese government officials have granted strategic approval to Hong Kong’s pro-crypto initiatives. This recognition from Chinese authorities further underscores the significance of Hong Kong’s efforts in the crypto space and their potential impact on the broader digital currency landscape.Coinbase going globalLong before the arrival of last week’s lawsuit against Coinbase, the company had indicated that it was broadening its horizons. Some weeks back, SEC Chair Gary Gensler appeared on Capitol Hill in Washington, D.C., and Coinbase Founder and CEO Brian Armstrong chose that moment to outline that the company would look to operate overseas if the regulatory environment didn’t change in the US.In the intervening weeks, Coinbase has extended its product offering in Singapore, indicating its interest in establishing a base in Abu Dhabi while obtaining crypto licensing in Bermuda.With its proactive regulation, dedication to fostering industry growth, and growing interest from global players, Hong Kong is poised to become a prominent player in the cryptocurrency world. Despite the ongoing scrutiny faced by Coinbase and other exchanges in the United States, Hong Kong presents an attractive alternative for these companies to expand their operations and tap into the region’s thriving crypto ecosystem.