Korean FSS Governor meets U.S. SEC Chair Gensler to cooperate on crypto regulations

Datachain Secures Funding from Japan’s MUFG to Advance Blockchain Interoperability InitiativesDatachain, a Japanese blockchain interoperability solution provider, has secured funding from Mitsubishi UFJ Financial Group (MUFJ), one of Japan’s largest banking institutions, according to a press release. This investment will boost their collaboration as they work together to advance ongoing initiatives involving stablecoins, security tokens, and cross-chain technology.Photo by Shubham Dhage on UnsplashGrowing token marketIn a joint report by the Boston Consulting Group (BCG) and Singapore-based investment platform ADDX, it is projected that the market for illiquid asset tokenization could reach $16.1 trillion by 2030 (as a conservative estimate) or potentially $68 trillion in a best-case scenario. This growth in the illiquid asset tokenization market, coupled with the expanding stablecoins and cryptocurrencies market, is expected to drive the overall digital asset market’s expansion.Cross-chain techDatachain will collaborate with MUFG and other partners to develop an infrastructure that enables the transfer of digital assets across different blockchains. Boasting prowess in cross-chain technology, Datachain has been conducting tests and collaborative research with numerous companies in Japan and abroad. Notably, Datachain has been working closely with MUFG to drive initiatives utilizing stablecoins scheduled for issuance and distribution through the Progmat Coin stablecoin platform.Moreover, Datachain, MUFG, and cross-chain bridge provider TOKI will form a three-way partnership aimed at commercializing the issuance and distribution of stablecoins on public blockchains like Ethereum between April and June 2024.Datachain is also collaborating with MUFG to promote cross-chain settlements involving security tokens based on stablecoins. Their goal is to realize this initiative in cooperation with securities firms by 2024.Starting with this new funding, Datachain plans to expedite its business expansion by seeking investments from other companies that can create synergies.Tomohiro Kimura, Director and Managing Executive Officer at MUFG, commented on the investment, emphasizing MUFG’s commitment to the digital asset market’s anticipated growth. According to Kimura, MUFG has established and promoted Progmat Coin in preparation for the expanding digital asset market. Highlighting that multi-chain and cross-chain transactions are essential to the future of digital assets, Kimura expressed delight over MUFG’s investment in Datachain, citing the blockchain company’s unparalleled expertise in key technology areas such as multichains and cross-chain transactions. He also highlighted MUFG’s increased involvement as a shareholder in Datachain, underlining its dedication to making a substantial impact in the digital asset market.

Interactive Brokers Hong Kong secures retail crypto trading licenseInteractive Brokers Hong Kong has successfully obtained the necessary licensing to facilitate retail crypto trading in Hong Kong, marking a pivotal move for the brokerage firm in the rapidly evolving crypto landscape of the region.This announcement was made by David Friedland, the Managing Director for Asia Pacific at Interactive Brokers, on LinkedIn on Friday, solidifying the firm’s position as a significant player in the local crypto market.Photo by Risa Fukunaga on UnsplashOngoing interest in virtual assets in Hong KongThe decision to enter retail crypto trading comes at a time when Hong Kong is experiencing sustained interest and activity within the crypto sector. Interactive Brokers had rolled out BTC and ETH trading services to accredited investors in Hong Kong in February. Major companies are actively seeking local licensing, mirroring similar milestones achieved by entities like HashKey and Swiss crypto bank SEBA.In a parallel development, it emerged last week that Victory Securities, a prominent investment firm in Hong Kong, has also secured regulatory approval from the Securities and Futures Commission (SFC) to offer cryptocurrency services targeting retail clients. This positions Victory Securities alongside Interactive Brokers in the competitive retail crypto space of the region.Significance acknowledged within the industryThis milestone achievement by Interactive Brokers in Hong Kong has not gone unnoticed within the virtual assets sector. Gabor Gurbacs, Head of Digital Asset Strategy at American investment management firm VanEck, took to the X platform, stating:“Hungarians know inflation and the importance of hard money. Thanks to [Interactive Brokers Founder/Chairman Thomas Peterffy] for being a silent Bitcoin advocate. You can count on Hungarians when it comes to important matters.”As Interactive Brokers expands its footprint, recent financial reports reveal impressive growth. In the third quarter, the company reported a remarkable 45% year-over-year increase in net revenue, reaching $1.145 billion. The firm is strategically focusing on European expansion, consolidating operations in Ireland to enhance efficiency and better serve its growing client base.Moreover, Interactive Brokers has extended trading hours for U.S. equities and crypto services in partnership with Zero Hash, a move geared towards providing ever more comprehensive and accessible financial services. The successful entry into Hong Kong’s retail crypto trading arena is expected to contribute significantly to the firm’s overall growth and influence in the region.Fine-tuning regulationThe regulatory environment in Hong Kong has recently undergone adjustments, with the SFC refining its crypto policies. While certain offerings have been restricted to professional investors, there is now an increased emphasis on evaluating clients’ knowledge before allowing them to engage in crypto transactions. Despite these stringent measures, the sector has faced challenges, including the JPEX scandal that shook Hong Kong’s digital asset market.In 2022, Interactive Brokers extended its crypto trading service in the United States on a 24/7 basis, having first commenced with a crypto product offering in mid-2021. With this strategic move, Interactive Brokers, as a TradFi stalwart, has demonstrated adaptability and resilience in the face of ongoing digital asset innovation and evolving market conditions.

SynFutures Completes Series B Funding Round and V3 LaunchSynFutures, the Singapore-based project behind the SynFutures Protocol and decentralized derivatives exchange (DEX) specializing in crypto perpetual futures, has successfully completed its Series B funding round of $22 million.In a big week for the DEX project, SynFutures also launched V3 of the protocol on public testnet, incorporating its updated automated market maker (AMM) model, Oyster AMM.Photo by micheile henderson on UnsplashPotential token launchThe Series B funding round was spearheaded by Pantera Capital, with participation from Singapore’s HashKey Capital, SIG DT Investments (a unit of the Susquehanna International Group), and other investors.Co-founder and CEO of SynFutures, Rachel Lin, stated that while the company is excited about its recent funding success, it is also open to the idea of launching a native token in the future. However, any such decision would be contingent on market conditions and regulatory considerations.Enabling decentralized crypto derivatives tradingThis Series B funding, which was initiated in 2022, marks a significant milestone for SynFutures, coming to a close nearly two and a half years after its Series A round that raised $14 million in June 2021. In total, the company has now secured approximately $38 million in funding to date. In an interview with The Block, Lin declined to indicate the company valuation associated with the recent funding round.SynFutures, established in 2021, serves as a decentralized exchange catering to the trading of crypto perpetual futures, a derivative product that allows traders to speculate on the future price of cryptocurrencies with leverage and without fixed expiration dates. This approach enables traders to rapidly profit or incur losses based on market price movements.While SynFutures operates on various blockchain networks, it currently ranks as the second-largest derivatives protocol on Polygon, with a total value locked (TVL) of over $6 million, according to data from DeFi Llama. The platform has facilitated over $22 billion in cumulative trading volume since its inception.Notably, SynFutures has introduced its latest platform public testnet version, V3, on the Ethereum testnet. The company aims to extend its support for multiple blockchains, including Polygon and zkSync Era, an Ethereum Layer 2 network, when the mainnet version goes live, scheduled for late this year to early next year. Previous iterations of the platform, such as SynFutures V2 and SynFutures V1, have been deployed on Ethereum, Polygon, Arbitrum, and BNB Chain.V3 FeaturesOne of the standout features of SynFutures’ V3 platform is its proprietary AMM model called Oyster. Lin clarified that Oyster AMM combines concentrated liquidity AMM (offering up to 26,666x boost) with the traditional order book model (providing unlimited liquidity boost).With Oyster AMM, SynFutures aims to compete directly with centralized exchanges. The project’s Chief Marketing Officer (CMO) Mark Lee maintains that the offering provides advantages over other decentralized platforms also. “While several projects, including dYdX, opt for a hybrid approach — integrating off-chain orders with on-chain settlements — the full on-chain methodology stands out for its inherent transparency and trustworthiness,” Lee told Blockworks.SynFutures currently maintains a team of approximately 20 individuals. With the latest funding infusion, the company plans to expand its workforce, particularly in engineering and business development roles, to further its mission of advancing decentralized derivatives trading.