Pakistan’s crypto minister pursues talks & partnerships in the U.S.

Hong Kong’s HaskKey launches app following regulatory approvalHong Kong-based cryptocurrency firm HashKey has unveiled the HashKey Exchange app, which has received the approval of the Securities and Futures Commission (SFC).News of the app launch emerged following insights shared by HashKey’s Chief Operating Officer, Livio Weng, in an interview with The Block recently.Photo by Manson Yim on UnsplashAppealing to retail tradersThe HashKey Exchange app went live on Wednesday, having received regulatory clearance from Hong Kong’s securities regulator the previous Friday. This achievement allows the app to offer full mobile trading capabilities. Prior to this milestone, HashKey had been primarily catering to professional investors under a voluntary licensing scheme.With the new app, Hongkongers can now conveniently purchase bitcoin and ether, utilizing either Hong Kong dollars or US dollars, directly from their local bank accounts. The app launch is significant as HashKey has become one of Hong Kong’s first fully compliant retail-facing crypto trading platforms. “We’ve recorded large trading volume since we began to serve retail users,” Weng stated. The move aligns with the Hong Kong government’s efforts to bolster the virtual asset sector, which was set in motion one year ago with various policy shifts.These shifts included the introduction of a mandatory licensing scheme for cryptocurrency platforms, enabling them to offer tokens with large market capitalizations to retail traders. The new licensing regulations officially took effect in June, with a one-year grace period, though no new exchanges have been approved to date. HashKey and its rival, OSL, had their previous licenses upgraded in August.Developmental challengesHong Kong has faced several challenges on this journey. While the new regulations are largely in line with international norms, the process has been notably expensive, particularly against the backdrop of a bearish crypto market.The lingering fallout from the JPEX scandal, a cryptocurrency exchange allegedly involved in fraudulent activities, continues to impact Hong Kong’s virtual asset landscape. The SFC first raised concerns about JPEX in mid-September, and since then, it has moved to tighten regulation in response, having received thousands of complaints in relation to JPEX.Despite these challenges, HashKey Group has reported significant activity on its retail platform since its launch in August, with a total trading volume exceeding US$600 million. On October 30, the 24-hour trading volume exceeded US$100 million.Planned token launchIn a move designed to incentivize new users, HashKey Exchange has introduced its platform token, HSK, which is slated to be officially listed on the exchange next year. With a total supply of 1 billion HSK, the company has specified that these tokens will not be initially sold to retail investors, emphasizing its long-term vision for the project.Established in Hong Kong in 2018, HashKey Group operates a digital asset brokerage and a venture capital arm. HashKey Exchange earned the distinction of becoming Hong Kong’s second licensed exchange in November of the previous year, following in the footsteps of OSL. Notably, five companies have applied for the new licensing scheme, according to the SFC, while several other exchanges have expressed their intent to pursue similar approval.

Sygnum Bank Achieves In-Principle MPI Licence Approval in SingaporeIn a significant milestone for its expansion efforts in Singapore and Southeast Asia, Sygnum Singapore has announced that it has received in-principle approval for its Major Payment Institution Licence (MPIL) application from the Monetary Authority of Singapore (MAS).Photo by Dids on PexelsOngoing global expansionThe Swiss-Singapore firm, headquartered in Zurich with an operational base in Singapore, disclosed this news via a press release published on Monday, marking a major stride forward for the company in its regulated crypto brokerage services.The world’s first digital asset bank also has offices in Abu Dhabi, the United Arab Emirates (UAE) capital, and Luxembourg. The digital assets innovation is progressing on a truly global basis. It’s also developing according to differing timelines on a regional basis relative to the regulatory approach being taken within individual jurisdictions. On that basis, we are seeing a move from many leading digital assets firms to expand internationally to benefit from jurisdictional regulatory arbitrage and in an effort to grow such businesses quickly, with a global reach.MPIL licensing significanceThe MPIL license will empower Sygnum Singapore to introduce a regulated crypto brokerage service that offers a fiat-digital asset gateway and facilitates trade execution for various cryptocurrencies. The platform aims to differentiate itself by providing competitive spreads, high liquidity, and swift trade settlements, in an effort to offer investors a seamless and efficient trading experience.This approval follows the extension of the Capital Markets Licence (CMSL) granted to Sygnum Singapore in 2022. With the CMSL extension, the company was able to launch an array of services encompassing corporate finance advisory, capital market products, and asset and security token custodial services.Wave of regulatory approvalThe approval of Sygnum Singapore’s MPIL application comes at a time when Singapore is witnessing a wave of regulatory acceptance for digital asset companies. Crypto.com and Circle are among the firms that have recently been granted full licenses, signifying a positive trend in the recognition and regulation of the digital asset industry in Singapore.Gerald Goh, Co-Founder and CEO of Sygnum Singapore, expressed his enthusiasm about the in-principle approval, highlighting its importance in the company’s growth plans: “This in-principle approval of our Major Payment Institution Licence by the MAS is a milestone in our strategic growth plans for Sygnum Singapore and South-East Asia.”He emphasized that Singapore’s regulatory framework provides the necessary clarity and confidence for investors to participate in the digital asset market: “Like Switzerland, Singapore has a progressive, robust regulatory framework that provides investors the clarity and confidence to invest in digital assets — and Future Finance — with complete trust.”The approval of the MPIL application is expected to bolster Sygnum Singapore’s position as a leading regulated digital asset service provider in the region. By obtaining this license, Sygnum strengthens its global position within the digital assets space while complementing Singapore’s efforts to develop as a regional crypto hub.

Crypto Exchange Korbit Raises Daily KRW Deposit Limits From 300K to 5MKorbit, one of the leading cryptocurrency exchanges in South Korea, raised the daily deposit limit for its customers as of 16:00 KST on September 25. This move aligns with the early implementation of the operation guidelines of real-name bank accounts for cryptocurrencies, which is scheduled to be introduced in January next year. Korbit collaborates with Shinhan Bank, utilizing its real-name accounts to facilitate Korean won transactions.Photo by manseok Kim on PixabayUser protection and AMLThe operation guidelines have been established to fortify the protection of virtual asset users and to bolster efforts against money laundering. Financial authorities, the Korea Federation of Banks, and cryptocurrency exchanges have collaborated to initiate these measures at every local exchange starting next January. Meanwhile, exchanges are obliged to maintain reserves in their banks beginning this month, ensuring they are poised to provide compensation for involuntary losses in the event of hacking incidents or system failures.Investor inconvenience and market confusionSince the introduction of the real-name bank account system in 2018, banks and crypto exchanges have had different terms of use and user protection measures, leading to varied deposit and withdrawal limits as well as reserve levels across different exchanges. These inconsistencies have resulted in inconvenience to customers and have sown confusion in the market. In response, the entities in question have agreed to implement a shared set of guidelines for real-name bank accounts from January next year.Daily limit of KRW 300K to KRW 5MWith the implementation of these guidelines, Korbit has elevated the current daily deposit limits from KRW 300,000 (approximately $222) and KRW 1.5 million to KRW 5 million. Moreover, once the bank authenticates the user’s transaction purpose — for instance, purchases of KRW 5 million or more in virtual assets in a month following the initial KRW deposit — and verifies the source of the funds, the constrained account can transition to a standard account. This adjustment allows the daily deposit and withdrawal limit of up to KRW 500 million.The limitations associated with constrained and standard accounts apply solely to fund transfers between the crypto exchange and the bank. When holders of Shinhan accounts initiate fund transfers to accounts in other banks, the limitations imposed by Shinhan continue to apply.Oh Sejin, CEO of Korbit, expressed enthusiasm that the higher deposit limit enabled by the new guidelines would improve investor convenience and draw in new customers. He added that the crypto exchange is committed to collaboration with Shinhan Bank, aiming to enhance user protection and anti-money laundering (AML) measures.