Hong Kong digital yuan pilot lacks P2P capabilities

Hong Kong Authorities Unite to Form Crypto-Centric TaskforceAuthorities in Hong Kong are taking action to address recent mounting concerns surrounding illicit cryptocurrency activities, particularly in light of the recent JPEX scandal. The Hong Kong Police Force and the Securities and Futures Commission (SFC) have come together to establish a specialized working group dedicated to closely monitoring and countering suspicious activities connected to virtual asset trading platforms (VATPs).In a statement published by Hong Kong’s Securities and Futures Commission (SFC) on Wednesday (local time), the agency set out details of a collaborative task force which has been formed in the wake of a high-level meeting held on September 28.The collaboration draws on input from the SFC as well as a number of law enforcement divisions within the Chinese autonomous territory, including the Commercial Crime Bureau, Cyber Security and Technology Crime Bureau, and Financial Intelligence and Investigations Bureau.Photo by Cheung Yin on UnsplashGreater coordination and information sharingThe primary objectives of this alliance are to enhance coordination, foster information sharing, assess risks tied to VATPs, and, above all, safeguard the interests of the Hong Kong public.Christopher Wilson, Director of Enforcement at the SFC, underscored the regulator’s commitment to allocating resources to combat problematic VATPs and safeguard investor interests. Eve Chung, Assistant Commissioner of Police (Crime) at the Hong Kong Police Force, emphasized the significance of intelligence exchange and collaborative efforts in responding to the challenges posed by VATPs to protect the Hong Kong public.Knee jerk response to JPEX scandalIt would appear that the necessity for such a concerted effort became patently clear as a direct response to the errant activities of Dubai-based crypto platform JPEX within Hong Kong.Issues with the exchange first emerged in September when the platform outlined that it was having liquidity issues as a consequence of some third party market makers having withdrawn their services. JPEX subsequently raised withdrawal fees to an unreasonable level to deter customers from withdrawing funds from the platform.The saga has affected over 1,600 investors with more than $150 million in assets becoming unavailable to them. The case resulted in the arrest of at least 20 individuals, with local telecom providers blocking online access to the platform as requested by law enforcement.Earlier, on September 13, the SFC had issued a warning accusing JPEX and crypto influencers of disseminating false or misleading information on social media about their application for a virtual asset trading license in Hong Kong.The ongoing JPEX controversy has prompted regulators in Hong Kong to explore measures to strengthen regulations governing the cryptocurrency market. The establishment of the task force signifies a proactive stance to address these concerns and ensure swift, effective action against illicit activities in the crypto sector.In addition to the joint task force, the SFC has taken steps to enhance transparency by publishing a comprehensive list that includes licensed, deemed licensed, closing down, and application-pending crypto exchanges, along with a list of “suspicious VATPs.” This transparency initiative aims to provide clarity and protect investors by offering insights into legitimate and questionable cryptocurrency trading platforms operating in Hong Kong.

Hong Kong-based game software company Animoca Brands has announced its foray into the Bitcoin industry by endorsing the Opal Foundation, a novel Bitcoin ecosystem protocol. The move involves the Opal Protocol and BLIF token, initiated by Animoca Brands and Darewise, a metaverse technology platform. On April 30, Animoca Brands disclosed its plans to become the "largest Web3 ecosystem" for gaming, education and culture built on Bitcoin. The company aims to establish the Opal Protocol and BLIF token as key components of this ecosystem.Photo by Kanchanara on UnsplashBLIF token and Opal ProtocolThe BLIF token, also known as the Opal Protocol Runes token, is hailed by Animoca as a means to enable a "true digital life" on Bitcoin. According to Animoca's executive chairman and co-founder Yat Siu, Bitcoin is now primed for Web3, transitioning from a mere store of value to a store of culture for the Web3 age. Six of Animoca Brands' portfolio companies have already joined as Genesis members, signaling a strong start for the Opal Protocol. Additionally, all future Bitcoin-based projects from Animoca Brands will collaborate with the Opal Foundation. Launched in 2024, the Opal protocol positions itself as a decentralized ecosystem protocol on Bitcoin, powered by BLIF. Its litepaper describes it as a seamless blend of virtual and real-life experiences, offering digital extensions of reality across various domains such as banking, entertainment, education and social interactions. The launch date of the Opal protocol and BLIF airdrop is yet to be announced, but Opal's Telegram group has hinted at its impending arrival. Despite not being operational, Opal's X profile already boasts over 270,000 subscribers. Strategic partnershipAnimoca Brands is hailed as the first strategic launch partner for the Opal Foundation. The company's collaboration aims to integrate its vision into the open Opal protocol on Bitcoin and ordinals. Animoca's venture into Bitcoin coincides with the recent trading debut of spot Bitcoin and Ether exchange-traded funds (ETF) in Hong Kong. However, the initial trading volumes of these ETFs were relatively modest compared to spot Bitcoin ETFs launched in the United States in January 2024. 

NEOPIN and MEVerse Join Hands to Expand Blockchain EcosystemCentralized decentralized finance (CeDeFi) protocol provider NEOPIN said Tuesday that it has teamed up with MEVerse, the blockchain mainnet operated by gaming company ME2ON Group, to expand the global blockchain ecosystem and optimize the accessibility and functionality of their respective platforms.Photo by Gerd Altmann on PixabayPromoting blockchain worldwideBoth parties have agreed to collaborate on integrating their platforms to build a global user base consisting of those who have completed necessary verification procedures like Know Your Customer (KYC) and Anti-Money Laundering (AML). They will also support each other’s global partner networks, contributing to service enhancement and ecosystem expansion. NEOPIN has also vowed to introduce MEVerse to its global user community.“Initiating the integration of NEOPIN and MEVerse platforms, we are poised to play an active role in fostering the growth and widespread adoption of the blockchain ecosystem. This includes the enduring fusion of blockchain technology with Korean content.” said Ethan Kim, CEO of NEOPIN.Collaborative synergyMEVerse possesses various blockchain infrastructures, including the Web3 P2E casual game portal MEVerse GameZ, non-fungible token (NFT) marketplace MEVerse DEX, blockchain explorer MEVerse Scan, and more. The platform said that it is currently in the process of establishing a borderless Web3 ecosystem by boosting compatibility with its mainnet ecosystem and leveraging cross-chain technology.“MEVerse’s strengths lie in its possession of a wide range of blockchain platforms and content, from its blockchain mainnet to the Web3 gaming ecosystem and Korean content,” Kim commented.Meanwhile, NEOPIN has accumulated knowledge and expertise on blockchain operations during its time as a node validator for various blockchain networks such as Ethereum and Cardano since 2017. Last year, the platform launched its CeDeFi protocol, providing a secure and user-friendly DeFi platform.“We are thrilled to partner with NEOPIN, a pioneer in the DeFi sector. Through tangible integration examples, we look forward to facilitating user engagement and cultivating an expanded Web3 ecosystem,” said Jong-ho Hong, CEO of MEVerse.