Sei Labs Raises $50M to Fuel Asian Expansion

UAE researchers introduce carbon trading platform on blockchainAmid escalating climate concerns, the Technology Innovation Institute (TII) in Abu Dhabi has unveiled a blockchain designed to monitor carbon emissions and facilitate trading.Announcement during COP28The institute’s Cryptography Research Center (CRC) recently announced the launch of its proprietary blockchain-powered carbon trading platform, showcasing the United Arab Emirates’ (UAE) commitment to spearheading global climate initiatives. TII CEO Ray Johnson stated:“We are proud to announce this digitized tracking and trading platform at COP28, representing the UAE’s drive to become a technology and innovation powerhouse and its commitment to leading the world’s climate action agenda.”The revelation coincides with the United Nations Climate Change Conference (COP 28), which runs until Dec. 12 and is taking place in Dubai. The conference involves nations making commitments to reduce emissions and transition various sectors toward sustainable energy sources.Photo by Matthias Heyde on UnsplashEnabling carbon trading internationallyThe newly introduced blockchain platform is poised to enable the international trade of carbon tokens, monitor greenhouse projects and incentivize participation in emission reduction initiatives. By leveraging the principles of carbon trading and tracking, organizations will gain valuable insights into their environmental impact. The platform’s deployment on the blockchain ensures transparency and encourages broader participation, compelling major players to fulfill their environmental promises.The lightweight blockchain has been developed with minimal environmental impact in mind, aligning with the broader goals of the government’s climate action initiatives. This blockchain network allows organizations to record their emissions openly, prompting users to generate tokens that quantify carbon removed from company operations through capture or trading.Moreover, the network incorporates auditors to ensure the entire process is secure, transparent, accurate and safe. This approach aims to provide the industry with accurate data on their activities without relying on cumbersome third-party expert monitoring.Harnessing blockchain’s transparencyThe move to utilize blockchain technology for addressing climate change aligns with the long-standing belief of the United Nations and various international organizations. Blockchain’s transparency and openness empower industries to have accurate data on their activities, eliminating the need for complex third-party monitoring that often comes at a higher cost.In response to growing criticism of the energy consumption associated with blockchain technology, certain firms have taken steps to adopt greener practices. Notably, in 2021, the Ethereum blockchain transitioned to a Proof-of-Stake model, reducing its carbon footprint by over 99% by eliminating miners and introducing validators. Ethereum also launched the Ethereum Climate Platform (ECP), attracting participation from industry giants like Microsoft.Furthermore, cryptocurrency companies have allocated funds for solar-powered digital asset projects, encouraging developers to embrace eco-friendly practices. This shift towards sustainable initiatives underscores the industry’s commitment to addressing environmental concerns.In a related development, in August, it was reported that the UAE Ministry of Climate Change and Environment (MOCCAE) had entered into a collaboration with the Industrial Innovation Group and the Venom Foundation to work towards a blockchain-based carbon credit system.The introduction of the UAE’s blockchain-powered carbon trading platform marks a significant step towards fostering global climate initiatives. The innovative technology not only enhances transparency and accountability in carbon trading but also aligns with the broader global shift towards sustainable and eco-friendly practices within the blockchain industry.

South Korean Prosecutors Fail to Recover Do Kwon’s AssetsSouth Korean prosecutors have disclosed that they have been unable to find the millions of dollars that Do Kwon, CEO and Founder of Terraform Labs, made from the crypto business.©Pexels/GratisographyOverseas assetsThe latest development in the case suggests that Kwon may have tried to hide his assets overseas, making it more challenging for authorities to recover those funds.Prosecutors claim that Do Kwon transferred funds from his personal accounts to overseas bank accounts under his mother’s name. Additionally, he allegedly used cryptocurrency to purchase real estate and other assets in the United States, which he then registered under his mother’s name. This tactic is commonly used by those seeking to evade detection and protect their assets from seizure.Binance halt requestSouth Korean authorities are understood to have reached out to global cryptocurrency exchange, Binance, requesting it to halt any withdrawal request associated with Kwon. Binance confirmed to CoinTelegraph that it is cooperating with the request, stating: “We provided Korean law enforcement authorities with the requested assistance. Since we cannot comment on ongoing law enforcement investigations, for any further comment please reach out to the prosecutors.”Blockchain forensicsThe situation surrounding Do Kwon’s case is not uncommon in crypto. Although there are blockchain forensic analysis specialists who collaborate with government authorities in tracing digital assets, the task is not without its difficulties. By analyzing the blockchain, investigators can trace the flow of funds and identify the individuals involved in illicit activities. This technology has already been used in a number of high-profile cases, including the 2014 Mt. Gox hack and the 2020 Twitter hack.Nevertheless, the anonymous nature of blockchain transactions makes it much easier for individuals who engage in fraudulent or illegal activities. However, as cryptocurrency becomes more mainstream, governments around the world are cracking down on those who attempt to take advantage of the system.Tightening regulationIn South Korea, authorities have been working to regulate the cryptocurrency industry and protect consumers from fraud. The government has implemented a number of measures, including requiring cryptocurrency exchanges to register with the Financial Services Commission and banning anonymous transactions. Despite these efforts, however, incidents of fraud and embezzlement continue to occur.The fight against cryptocurrency-related crime is far from over. As the industry continues to grow and evolve, criminals will continue to find new ways to exploit the system. It is up to regulators and law enforcement officials to remain vigilant and adapt to these changes in order to protect consumers and ensure the integrity of the financial system.In the case of Do Kwon, the investigation is ongoing, and it remains to be seen what the final outcome will be. Prosecutors estimate total proceeds of Do Kwon’s alleged crimes to amount to 91.4 billion won ($71 million) while 414.5 billion won ($316 million) has been identified relative to Terraform Labs more broadly.

South Korea is tightening its grip on the cryptocurrency sector, with courts handing down the first prison sentence under an investor protection law enacted last year. The ruling comes just as financial authorities signal a comprehensive overhaul of digital asset governance, ranging from ownership caps to the tokenization of real-world assets. The Seoul Southern District Court sentenced the head of a crypto management firm to three years in prison for manipulating virtual asset prices and amassing roughly 7 billion won in illegal profits, according to Yonhap News Agency. The court also imposed a fine of 500 million won ($340,000) and ordered the forfeiture of approximately 846 million won ($580,000). Photo by Daniel Bernard on UnsplashFirst sentence under 2024 protection lawThis marks the first conviction under the new investor protection law, which took effect in July 2024. It was also the first case fast-tracked directly from the Financial Supervisory Service (FSC) to prosecutors under the new legal framework. The conviction coincides with a broader regulatory debate involving Financial Services Commission (FSC) Chairman Lee Eog-weon. According to MoneyToday, in testimony before the National Assembly’s National Policy Committee on Feb. 5, Lee outlined an agenda covering anti-money laundering (AML) enforcement, stablecoin regulation, and digital innovation. However, he cautioned lawmakers against enacting blunt, one-size-fits-all rules that could stifle competition. Ownership cap rules trigger debateLee pushed back against a proposal to cap major shareholder stakes at 15%, pointing out that the exchange market is already a monopoly where smaller players hold less than 3% combined. He warned lawmakers that forcing firms with negligible market share to dilute ownership would effectively choke off investment. He argued that such restrictions would stifle innovation, advocating instead for a tiered regulatory approach that accounts for new entrants starting with no market share. Lee also addressed a separate policy direction that would recognize bank-led consortia—in which banks hold more than 50% plus one share—as eligible stablecoin issuers. He said the approach was not intended to favor any particular corner of the financial industry. On the enforcement side, the commission announced plans to strengthen its response to cross-border crime and money laundering involving digital assets, as reported by Digital Asset. A key measure under consideration is the expansion of the travel rule, which requires exchanges to share sender and recipient information for transactions. The rule currently applies to transfers of 1 million won ($680) or more, and regulators want to extend it to smaller transactions as well. The commission also pledged to support AI-driven transformation across the financial sector and to build a comprehensive regulatory framework for digital assets. STOs near legalizationIn a related development, South Korea has cleared a major legislative hurdle for the tokenization of real-world assets (RWAs). Amendments to the Capital Markets Act and the Electronic Securities Act passed the National Assembly last month, roughly three years after financial authorities first issued guidelines on security token offerings (STOs), according to another Digital Asset report. The legislation allows securities to be digitized on blockchain-based distributed ledgers and creates a new class of issuer account management institutions, enabling qualified companies to issue and manage security tokens directly. The bill now requires only Cabinet approval and official promulgation before it takes effect.