Tether bites back on UN report criticism

NEOPIN Launches South Korea’s First ETH Liquid Staking ProductNEOPIN, the global CeDeFi platform of Neowiz Holdings, a South Korean investment holding company, has launched liquid staking products for ETH and KLAY, as reported by local media outlet News1.Photo by Kanchanara on UnsplashLiquidity provider tokensLiquid staking enables users to deposit their cryptocurrencies into a staking pool and, in return, receive liquidity provider tokens. These tokens can then be redeposited to earn additional yield. For example, NEOPIN users can stake ETH or KLAY on the platform and receive npETH or npKLAY tokens, respectively, which can be further deposited to earn rewards.NEOPIN asserts that it is the first Korean blockchain project to introduce an ETH liquid staking product. To make the platform more user-friendly, NEOPIN has improved its interface, ensuring easy navigation for its customers.In celebration of this launch, NEOPIN is hosting a promotional event. Users who utilize the ETH liquid staking product will earn the NPT token, the native token of the NEOPIN ecosystem, with an annual percentage yield (APY) of 5% until August 9. Meanwhile, participants in the KLAY liquid staking product can earn twice the reward points until September 26 through the ongoing NEOPIN membership promotion campaign.Qualitative and quantitative growthPrior to this development, it was reported that NEOPLY, the operator of NEOPIN, joined the Innovation Programme of the Abu Dhabi Investment Office (ADIO) in the United Arab Emirates (UAE). Stefan Kim, Chief Business Officer at NEOPIN, highlighted the strategic collaboration between the platform and the Abu Dhabi Global Market (ADGM) to establish a regulatory framework for decentralized finance (DeFi). Kim emphasized that while this partnership will contribute to NEOPIN’s qualitative growth, the implementation of liquid staking derivatives finance (LSD-Fi) will pave the way for its quantitative expansion.

In an effort to fortify the cryptocurrency market and safeguard investors' funds, the Hong Kong Securities and Futures Commission (SFC) has introduced a minimum insurance requirement of 50% for licensed cryptocurrency exchanges handling customers' assets.Photo by Simon Zhu on UnsplashGuarding against insolvency riskThe move came to light through a statement published recently by OSL, one of Hong Kong’s licensed virtual asset trading platforms. It’s aimed at enhancing security measures, protecting users from potential security breaches or insolvency. As part of that disclosure, OSL announced a two-year partnership with Canopius, an underwriter syndicate associated with Lloyd's of London. Under this collaboration, OSL will provide insurance coverage for an impressive 95% of its users' assets, surpassing the mandated 50%. OSL emphasized its commitment to safeguarding regulated assets under custody, irrespective of the regulatory guidelines permitting virtual asset service providers (VASPs) to reduce insurance coverage to 50%. Response to recent failuresThis decision is grounded in the acknowledgment of the volatile market conditions and the series of cryptocurrency firm collapses witnessed in recent years. 2022 saw a number of high-profile crypto platform collapses, such as the demise of FTX. HashKey Exchange, another licensed crypto exchange in Hong Kong, has also proactively secured its users' assets by entering into a crypto insurance agreement with Hong Kong headquartered fintech firm OneDegree back in September. The insurer entered the digital assets space last July, expanding into the Middle East last month. OneDegree’s arrangement with HashKey offers coverage ranging from $50 million to $400 million, extending beyond standard security breaches and insolvency to include server downtime, data back-up and load management incidents, ensuring comprehensive protection. Broader regulatory effortsThe minimum insurance requirement is part of the SFC's larger strategy to regulate the cryptocurrency industry in Hong Kong. While the Chinese autonomous territory enabled cryptocurrency trading for retail investors in August, only OSL and HashKey have obtained virtual asset trading licenses. Thirteen other entities are currently in the application process, undergoing rigorous due diligence checks, including comprehensive financial audits exceeding the scope beyond proof-of-reserve systems. This insurance mandate represents a significant step toward enhancing investor confidence in the cryptocurrency market. As digital assets gain popularity, ensuring the security of customers' funds has become paramount. The SFC's proactive approach seeks to strike a balance between fostering innovation and safeguarding investors. Products are also emerging that crypto users themselves can access. UK-based CryptoShield offers insurance protection directly to users that covers potential loss of funds on crypto platforms. The cryptocurrency landscape in Hong Kong is evolving rapidly, with the SFC playing a pivotal role in shaping the regulatory environment. Regulators aim to establish a robust framework addressing potential risks and protecting market participants while embracing digital innovation. As the regulatory landscape matures, more licensed crypto exchanges in Hong Kong may be required to meet the 50% minimum insurance requirement, further strengthening security measures and making the market a safer place for investors.  

Incheon Unveils Ambitious Four-Year Plan to Become a Leading Blockchain HubIncheon Metropolitan City, home to the largest international airport in South Korea, revealed on October 16 that it has successfully formulated a four-year comprehensive plan that aims to position Incheon as a blockchain hub and spearhead the digital economy sector. This ambitious strategy is slated from 2024 to 2027. The formulation of this plan was entrusted by Incheon to a third-party entity back in April.Shaping Incheon as a blockchain hub has been one of Mayor Yoo Jeong-bok’s policy objectives. Under his leadership, Incheon is dedicated to fostering an industrial ecosystem that supports the digital economy, with a special emphasis on blockchain technology — an essential component in the Web3 era.Photo by Shubham Dhage on UnsplashStrategic roadmapIncheon has crafted an action plan for the upcoming four years, with the primary aim of transforming itself into a city that promotes public involvement, fosters sustainable development, encourages cutting-edge innovation, provides a favorable environment for businesses, and advances technology.Mainnet launchAs the first step, Incheon will establish a blockchain mainnet in 2024. This infrastructure will serve as the foundation for the development of associated services and will offer citizens firsthand experiences of convenience.Through the construction of blockchain infrastructure, encompassing mainnets and testnets, Incheon strives to simplify the process for companies in need of blockchain technology. Even those without their own technological resources or substantial capital will find it more accessible to develop services utilizing blockchain within the city.Blockchain-based public servicesThe city has also discovered various blockchain-based public services for Incheon residents. One of them is constructing digital wallets that leverage resident identification cards through decentralized identifiers (DIDs). These digital wallets are designed to offer a streamlined, one-stop solution, allowing citizens to conveniently access a wide array of public services. For instance, Incheon residents will have the capability to gain entry to public facilities, access various discounts, make online reservations, and accumulate loyalty points, all through the straightforward authentication provided by these digital wallets.Furthermore, the city is looking to implement blockchain technology in the following public services. The “eco platform” will serve as an integrated system aimed at incentivizing citizens who actively engage in environment-friendly activities. The “volunteer platform” will simplify volunteer work processes, including certification and recognition. The “safety management platform” will ensure transparent and safe operations on construction sites.Incheon also plans to create a cluster for the blockchain industry in the Incheon Free Economic Zone (IFEZ). The plan is to attract a blockchain technology innovation support center in the Songdo area of Incheon to create synergies with local businesses.Support for blockchain startupsThe city seeks to create a support system for blockchain startups, assisting them from their inception to growth and global expansion. Additionally, efforts will be made to build a global cooperation network and attract foreign investment funds to further bolster the blockchain ecosystem.The four-year plan also delves into more specific objectives. Among them are the establishment of a system to nurture blockchain talent, creating a conducive environment for refining governance and policies, and initiating a branding campaign to bolster Incheon’s competitive edge in the global arena.Son Hye-young, who leads the Data Industry Division in Incheon City, emphasized that the four-year plan represents Incheon’s ambitious vision to establish itself as a blockchain technology hub. She also expressed the city’s commitment to actively support the growth of businesses in this sector and to create tangible and beneficial services.The detailed implementation strategy for the master plan will be disclosed at the Global Blockchain Incheon Conference (GBIC) 2023, a two-day event set to commence on October 30 at the Songdo Convensia.