OKX expands Middle East presence through Dubai license approval

Arthur Hayes: Chinese monetary policy could ignite crypto marketArthur Hayes, Co-Founder of Seychelles-incorporated crypto exchange and derivatives platform BitMEX, suggests that China could inject a substantial amount of credit into its economy, potentially giving a boost to Bitcoin and the broader crypto market.Photo by Eric Prouzet on UnsplashPotential flood of yuan creditThe firebrand crypto OG outlined his thoughts on the matter in a blog post which was published on Monday. Hayes discussed how, although China has currently made credit expensive in order to hold back credit growth and inspire confidence in the economy, its monetary authorities might be gearing up to flood the economy with yuan credit, creating a favorable environment for cryptocurrencies.He outlined a series of factors contributing to this potential surge in Chinese credit. He pointed to the interplay between U.S. monetary policy and the Chinese yuan, emphasizing how recent U.S. actions are laying the groundwork for China to issue substantial credit, particularly to its struggling property sector.Describing U.S. policy as “weakening the dollar by issuing more Treasury bills,” Hayes noted the consequent decline of the dollar index (DXY) throughout November. He argued that the weaker dollar gives China the flexibility to increase yuan credit without significant depreciation, possibly even leading to yuan appreciation.If the Federal Reserve at a minimum holds rates and better still, starts to cut rates, China will be in a position to pursue the stimulus needed for its property market and for infrastructure spending.Hong Kong as the gateway to capital marketsAccording to Hayes, the global monetary dynamics set in motion by these factors could be advantageous for Bitcoin and the broader cryptocurrency market. He explained that the bulk of the financing will trickle down into speculation within the financial markets. If China starts printing yuan, the capital is likely to flow into global markets, supporting the prices of various risk assets.But how can this happen, given that speculation and crypto trading are prohibited in China? Hayes’ view is that Hong Kong is now China’s gateway to the global capital markets. Wealthy Chinese individuals now bank via Hong Kong. As we have seen, the autonomous Chinese territory has a workable regulatory framework in place and is now actively licensing crypto exchanges and brokers. Consequently Bitcoin and crypto, generally, could be among the risk assets benefiting from an influx of capital.Furthermore, the BitMex co-founder believes that as yuan credit becomes abundant, the global demand for dollar credit and liquidity may decrease. Given that the dollar is a primary funding currency, a fall in the price of credit could lead to a rise in fixed-supply assets like Bitcoin and gold in dollar terms.Hayes concluded what is a long and detailed blog post by stating:“I will continue moving money out of T-bills and into crypto because I want to get in now before it becomes apparent through the data that China’s money printer is going brrrrr.”He suggested that Chinese New Year, which occurs in mid-February of next year, could be the time in which that extra credit materializes in China. Hayes’ latest assertion comes on the back of a bold claim he made last month when he suggested that bitcoin could reach a unit price of $1 million by 2026.

Korea’s DAXA Prohibits Relisting of Delisted Cryptos for a YearThe Digital Asset Exchange Alliance (DAXA) in Korea will prohibit the relisting of cryptocurrencies delisted from its member exchanges for a year, according to Korean media outlet Edaily.©Pexels/Jan van der WolfDAXA’s arbitrary regulationSome criticize this regulation, arbitrarily created by DAXA, which consists of five major Korean cryptocurrency exchanges (Upbit, Bithumb, Coinone, Korbit, and Gopax), as this rule poses a significant impact on crypto issuers and investors.In fact, a blockchain industry insider said that when cryptos are designated by DAXA as a risky asset, their operators receive a notification from the group that relisting is possible after a year once delisted. So far, assets that have been delisted or designated as such are WEMIX, PCI, BASIC, SRM, and OMG.Coinone’s relisting of WEMIXDAXA added this stipulation, as it faced criticism for the absence of relisting regulations in its guidelines when Coinone, one of its members, exclusively relisted the WEMIX token. This raised doubts about the self-regulation of the industry because DAXA had decided the delisting of WEMIX on the grounds that the information on its circulation supply was unreliable.Crypto enterprises are complaining about DAXA’s devising of strict penalties when delisting processes are not transparent. DAXA has stated that a consensus has been reached for the first draft and it will be continuously revised.Stronger DAXA presenceThe Korean crypto industry forecasts that this regulation will empower DAXA’s presence in the crypto scene, considering that its members are responsible for 98% of the domestic trading volume.Experts note that DAXA needs to establish fairness and transparency in order for it to gain trust as a self-regulatory body. Park Yong-beom, Chairman of the Korea Society of Blockchain, said rules on listing and delisting have to be fair and transparent, and if market participants find them unconvincing, it would undermine the credibility and authority of the self-regulatory body.In an interview with Economic Review, Former KB Kookmin Bank CEO Lee Kun-ho suggested that DAXA should prioritize market vitalization and ecosystem strengthening. He believes that instead of focusing on market management and supervision, DAXA should concentrate on enhancing investor protection.

NEAR Foundation and Dongdaemun District of Seoul Forge MOU to Boost Web3 IndustryThe NEAR Foundation, the organization behind blockchain network NEAR Protocol, announced today its memorandum of understanding (MOU) agreement with Dongdaemun District of Seoul, the South Korean capital, to promote the Web3 industry.Photo by Farrel Nobel on UnsplashMutual support and growthIn this collaborative partnership, both parties aim to establish a framework that fosters mutual support, growth, and development. Their joint efforts will encompass initiatives such as streamlining administrative processes, introducing tax benefits, implementing talent incubation programs, and creating communication channels to ensure a seamless workflow.One-stop administrative hubProjects entering the NEAR ecosystem will have access to a convenient one-stop administrative hub responsible for regulatory approvals. They will also benefit from local tax exemptions for a specific period and receive a dedicated workspace for project operation and development. These supportive measures are anticipated to play a significant role in facilitating their entry into the Web3 sector.NEAR Protocol stands out as a layer-1 blockchain that lowers the barriers to Web3 adoption. This is achieved through its FastAuth feature, which enables users to effortlessly create accounts for any website or application that integrates with the Blockchain Operating System (BOS). BOS is a solution that enables developers to build on any blockchain using familiar programming languages.Business and job opportunitiesLee Pil-hyeong, Head of Dongdaemun District, expressed his enthusiasm for the partnership with the NEAR Foundation, highlighting its potential to offer innovative business opportunities to the younger generation in the district. He emphasized Dongdaemun’s commitment to consistently creating jobs and delivering job support programs.Use cases in public-private sectorsMarieke Flament, CEO of the NEAR Foundation, shared a similar sentiment, expressing her excitement about the chance to nurture the Web3 industry in South Korea, a country renowned for its world-class talent pool. She outlined NEAR’s plans to offer education and support with the goal of cultivating a sustainable ecosystem. Flament believes that NEAR’s collaboration with Dongdaemun will lead to the discovery of valuable use cases in areas where the public and private sectors collaborate.