Humanity Protocol partners with Animoca, Polygon with Web3 ID play

CMCC Global Launches $100 Million Fund for Asian Blockchain StartupsCMCC Global, a crypto-focused venture capital firm based in Hong Kong, has successfully raised $100 million for its newly established Titan Fund.That’s according to a report on Wednesday (local time) published by the South China Morning Post (SCMP). The fund is dedicated to providing crucial support to startups operating in Asia’s developing blockchain sector.Photo by Shubham Dhage on UnsplashProminent backersOver 30 prominent investors, including Winklevoss Capital and Animoca Brands Founder Yat Siu, have eagerly backed the initiative. Last month, CMCC led a funding round into Animoca. Among the notable investors joining this venture are EOS blockchain developer Block.one, Richard Li’s Pacific Century Group, and Hong Kong-based growth equity investment firm Jebsen Capital.The Titan Fund is structured to channel its capital into three primary investment categories: blockchain infrastructure, consumer applications, and crypto financial services. Martin Baumann, Co-Founder of CMCC Global, emphasized the fund’s commitment to fostering innovation in the blockchain space. He stated:“If Hong Kong continues on its route of embracing Web3, there will naturally be more and more entrepreneurs starting companies in that space. And we can be their first capital.”Exploiting Asia’s Web3 opportunityBased on commentary by Baumann earlier this year, the CMCC Global Co-Founder certainly believes that an opportunity has opened up in Asia where Web3 is concerned. In May Baumann told Bloomberg TV that regulatory issues unfolding in the United States represented an opportunity for Asia.In criticizing the US, Baumann stated:“The US has been quite negative from the regulatory perspective and it really seems to us that the US is shooting itself in the foot with a machine gun.”Developing upon the inherent opportunity implicated in that difficulty in the US, he said: “We see places like Hong Kong having a real opportunity at this point in time to bring those firms and entrepreneurs to the city.”There’s plenty of capital sitting on the sidelines waiting for the right entry valuations to pull the trigger,” he added.Hong Kong’s crypto ascendencyThe venture capitalist may have been right on both counts. This funding announcement coincides with Hong Kong’s resurgence in the crypto arena. Historically, the city had been home to industry giants like BitMEX and Alameda Research.Recent developments indicate that Hong Kong is actively collaborating with China to establish itself as a thriving hub for crypto innovation. The Chinese autonomous territory has been encouraging crypto start-ups on the Mainland to relocate to Hong Kong. In August, it granted licenses to HashKey Exchange and OSL to offer crypto trading services to retail traders.The Titan Fund’s successful capitalization demonstrates the growing interest and confidence in Asia’s blockchain ecosystem. CMCC Global, with its pool of investors, is aiming to play a pivotal role in supporting and nurturing the next wave of blockchain startups in the region.

Bali Governor Warns Tourists of Consequences of Crypto UseAuthorities in Bali have issued a stern warning to foreign tourists, cautioning against the use of cryptocurrencies as a means of payment.Bali Governor Wayan Koster delivered the message during a tourism development press conference on Sunday, stating that individuals who pay with crypto or violate other regulations could face severe consequences, including deportation, criminal penalties, or strict sanctions.Photo by Alfiano Sutianto on UnsplashCrypto use “dealt with firmly”According to reports from state-owned Indonesian news agency Antara, Governor Koster emphasized the need for firm action against foreign tourists who engage in inappropriate behavior, violate their visa permit conditions, attempt to use cryptocurrencies for transactions, or infringe upon other provisions. Koster stated that tourists that violate Indonesian law and use cryptocurrency for payment “will be dealt with firmly.”Indonesian law mandates that all transactions within the country must be conducted in the local currency, the rupiah. Individuals found using alternative currencies can face imprisonment of up to one year and fines of up to 200 million rupiah ($13,300). These regulations were initially implemented to safeguard the rupiah from the widespread use of the U.S. dollar in the country.‘Silicon Bali’In recent years, however, Bali has emerged as a popular destination for crypto enthusiasts, earning the moniker of ‘Silicon Bali.’ The island has witnessed the rise of cryptocurrencies, with the local crypto community even establishing physical spaces such as the clubhouse set up by Indonesian exchange Tokocrypto.While the use of cryptocurrencies as assets is permitted in Indonesia, their use as a form of payment is strictly prohibited. The country also imposes restrictions on individuals engaging in foreign exchange business activities, requiring them to obtain permission from Bank Indonesia.During the press conference, Governor Koster reiterated the regulations, emphasizing that violations would result in administrative sanctions, including written reprimands, fines, and prohibitions on payment transactions.This latest announcement is part of ongoing efforts to curb negative tourist behavior on the island. Bali, heavily reliant on tourism, experienced significant setbacks due to the COVID-19 pandemic and subsequent travel restrictions. With the return of international visitors, new challenges have emerged.Earlier this year, Governor Koster proposed a ban on tourists using motorbikes following numerous traffic violations and accidents. Concerns have also been raised regarding tourists disrespecting local traditions by posing nude in sacred sites or engaging in digital nomad activities without obtaining proper visas.Policy strugglesThe firm stance taken in Bali on cryptocurrency payments aligns with the local administration’s commitment to upholding local regulations and maintaining the stability of the national currency. However, the Governor’s response is further evidence of the struggles that centralized governments and administrations around the world have been having in understanding decentralized cryptocurrency. The default position of many centralized governments has naturally enough been to control it.For that reason, we have seen administrations in places like India who have changed tact several times, sometimes banning crypto while at other times, permitting it. As time goes on, central administrators are beginning to realize that they can’t control it fully. They can only slow down its rate of progress at best.Over the course of the past 26 years, the Southeast Asian country’s sovereign currency has averaged an inflation rate of 9%, peaking in 1998 at a rate of 82%. Against that background, there’s likely to be an ever-growing interest in using decentralized cryptocurrency in the country.

First Digital to Introduce USD-Backed USD StablecoinFirst Digital Trust, a Hong Kong-based qualified custodian and trust company, is set to introduce a new stablecoin called “First Digital USD,” with the short-code $FDUSD. This stablecoin will be pegged to the US dollar but regulated within Asia.Photo by Alexander Grey on UnsplashIntroducing $FDUSDAccording to First Digital, $FDUSD will be backed by one US dollar or an asset of equivalent fair value on a one-to-one basis. The reserves supporting FDUSD will be held in segregated accounts at institutions in Asia.$FDUSD aims to provide stability and will be programmable, enabling the execution of financial contracts, escrow services, and insurance without the need for intermediaries. In a statement published on Thursday, First Digital emphasized its commitment to full compliance with current and future laws and regulations. The company also expressed its intention to participate in shaping the regulatory landscape for $FDUSD and First Digital itself.The announcement of $FDUSD is particularly significant in light of the new “Guidelines for Virtual Asset Trading Platform Operators” set to take effect in Hong Kong on June 1. These guidelines outline rules for safe asset custody, client asset segregation, conflict of interest avoidance, and cybersecurity standards, as mandated by Hong Kong’s Securities and Futures Commission (SFC).Hosted on BNB Smart ChainFDUSD will operate on the BNB Smart Chain and will be issued by First Digital Labs, a subsidiary of First Digital Trust, a regulated digital asset custodian under the Hong Kong Trustee Ordinance. The law ensures that $FDUSD will be fully backed by US dollar reserves or highly liquid, high-quality assets held in regulated Asian financial institutions, with no commingling with other assets of First Digital.Vincent Chok, CEO of First Digital, emphasized the company’s commitment to regulatory compliance and setting a new standard for legitimacy in the industry. First Digital intends to comply with all applicable laws and regulations and actively contribute to the shaping of regulatory regimes for $FDUSD and First Digital in the future.The $FDUSD stablecoin will be redeemable for US dollars, providing users with a reliable bridge between the digital and fiat currencies.Biden administration's own goalAs regulatory uncertainty persists in the United States, some industry players are expressing concerns about losing the country’s leadership position in the crypto sector. They warn that the industry may be offshore to more favorable jurisdictions.News of First Digital Trust’s US dollar stablecoin intentions brought scathing criticism of US policy from US commentators within the crypto space. Austin Campbell, Managing Partner at Zero Knowledge Consulting, a firm that advises on crypto payments and stablecoins, stated that the US government and US regulators had created a paradigm where they now have less control over distribution and regulation while the product they were suppressing continues to exist and scales elsewhere.Nic Carter, Partner at venture capital firm Castle Island Ventures, wrote that “the wise sages in US government took one look at the onshore registered stablecoin market and decided they’d much prefer unaccountable offshore crypto-eurodollars.”Macro-economist Luke Gromen described this consequence of US policy as the “monetary equivalent of deciding they would prefer making their goods in China rather than paying US workers and deal with union labor.” Meanwhile, Caitlin Long, Founder and CEO of digital asset-focused Custodia Bank, suggested that US federal regulators “thought they could kill USD stablecoins” but that “they miscalculated.”