Regulator in Tokyo moves to ban insider trading in crypto market

Bitget Launches Crypto Loans ProductBitget, the Seychelles-based platform known for its crypto derivatives and copy trading services, is venturing into the cryptocurrency loan market with the introduction of its Crypto Loans product.The move, which the company announced via a press release published on Tuesday, is aimed at attracting users who are seeking alternative funding solutions backed by digital assets, as an option beyond traditional credit institutions.Photo by Traxer on UnsplashDual coin approachThe Crypto Loans product employs a dual-coin approach, allowing users to stake one digital asset as collateral and borrow an equivalent amount in another asset. Bitget believes that crypto loans have been gaining popularity in recent years, with the overall digital lending sector surpassing $8.5 billion in 2022 and experiencing a compound annual growth rate of 20.5%, as reported by Global Market Insights.Despite the overall growth in the digital lending area, the crypto loan sector faced significant setbacks in 2022, particularly with the troubles surrounding centralized crypto lending services. Major firms like Celsius, BlockFi, and Voyager Digital suffered collapses and bankruptcy, raising concerns about the trustworthiness of such services in the future.Bitget, however, is confident in its Crypto Loans product, emphasizing that it has streamlined the loan process to ease user onboarding. The amount users can borrow is determined by the market value of the collateral staked, and the loan is automatically disbursed with a specific interest rate. Borrowers have the flexibility to utilize the funds as needed and adjust the collateral based on their requirements.Swift loans processIt also has the option to repay the loan before or at the predetermined deadline. To further encourage user adoption, Bitget promises support for withdrawals and a swift review process for loan applications. The feature is expected to provide added convenience and ease of use for users.Bitget’s Managing Director, Gracy Chen, highlighted the advantages of the Crypto Loans product, noting that users can now stake less-demanded coins and obtain loans in more liquid assets for investment purposes. The platform’s flexible borrowing and repayment mechanism is designed to accommodate the needs of all users, ensuring convenience and accessibility.Notably, Bitget has been expanding its presence in the crypto market. In March, the platform acquired a controlling stake in BitKeep, a crypto wallet that has been rebranded as Bitget Wallet. Additionally, Bitget unveiled a $100 million venture fund in April, following a $10 million investment from Dragonfly Capital. In May, it announced the launch of its Blockchain4Youth program, recognizing the importance of the younger demographic in achieving crypto mass adoption.As Bitget ventures into the crypto loan market, it’s aiming to go one further than previous crypto lending providers who have largely failed, to provide a secure and user-friendly platform for borrowing and lending digital assets. The success of the product will depend on user trust and confidence, especially given the setbacks experienced by those other players in the sector in the past. Nonetheless, with its growing user base and strategic investments, Bitget is certainly showing some potential relative to making a mark in the cryptocurrency loan market.

Japanese regulators are scrambling to police a chaotic fringe of opportunistic crypto projects, even as the country’s traditional banking heavyweights and global exchanges race to establish themselves in a rapidly expanding digital asset market.Photo by Aditya Anjagi on UnsplashOn the regulatory front, authorities are considering a criminal investigation into “Sanae Token,” a token named after Prime Minister Sanae Takaichi, DL News reported. Issued in late February on the Solana blockchain, the token was created by NoBorder, a video production team and decentralized autonomous organization led by Japanese entrepreneur and YouTuber Yuji Mizoguchi. As of late January, NoBorder had not obtained a crypto exchange license and reportedly had not applied for one. Takaichi says govt never authorized tokenBefore reports of the investigation emerged, Takaichi said in a March 2 statement on X that she had no knowledge of the project and that the government had not authorized it. She added that the clarification was necessary to prevent the public from being misled. According to Phantom wallet data, the token has a total supply of 1 billion and is currently trading at $0.00415291, giving it a market capitalization of roughly $4.2 million. The Financial Services Agency (FSA) is conducting voluntary interviews with involved parties to establish the facts. As regulators move to curb opportunistic actors exploiting a nascent but expanding market, established global crypto firms are continuing to deepen their presence in the region. Crypto exchange Binance plans to secure five additional regulatory licenses in Asia this year, according to Nikkei Asia. The exchange currently holds licenses in Japan, Australia, India, Indonesia, New Zealand, and Thailand. It is also expected to gain a South Korean license through its planned acquisition of local exchange Gopax. Binance aims to expand its total number of licensed jurisdictions to more than 20 by securing further approvals across Asia. TradFi deepens crypto pushJapan’s traditional financial institutions are also accelerating their blockchain efforts. South Korean news outlet Newspim reported that Bank of Japan Governor Kazuo Ueda announced plans to technically verify a blockchain-based system that would digitize a portion of current account deposits for settlements. Made at FIN/SUM 2026, a major fintech event co-hosted by Nikkei and the FSA, the comments suggest the central bank is moving beyond merely studying a central bank digital currency and may begin experiments linking its funds directly to blockchain infrastructure. Further underscoring this institutional push, Cointelegraph reported that Mitsubishi UFJ Financial Group (MUFG), one of Japan’s three largest banks, will conduct a joint stablecoin pilot program alongside Mizuho Bank and Sumitomo Mitsui Banking Corporation. 

South Korea’s National Police Agency will assign all 41 narcotics investigators recruited during the second half of the year to cryptocurrency-related duties, according to News1. The move follows the creation of a dedicated “Virtual Asset Analysis and Investigation Team” aimed at tackling drug offenses that use digital assets. To bolster skills, the agency plans specialist training for investigators from Sept. 29 to Oct. 2. Of the 41 recruits, 11 will staff an analysis unit and 30 will join field investigations. The analysis team, based at the Seoul Metropolitan Police Agency, will handle crypto-related drug cases nationwide, generate intelligence, and support phishing probes involving digital assets. The investigation group will be deployed to five regional headquarters (Seoul, Busan, Incheon, southern Gyeonggi, and southern Gyeongsang) to target illicit crypto payment processors and the money launderers behind them.Photo by Scott Rodgerson on UnsplashLatest crypto seizure in UK drug caseThe push mirrors trends overseas. In the U.K., Devon and Cornwall Police said detectives seized £1.3 million (about $1.76 million) in cryptocurrency from Ryan Coleman, 36, who received a 15-year sentence after admitting to supplying cocaine, ecstasy, cannabis, and ketamine via the dark web. Police indicated the seized assets are expected to fund proactive operations and community initiatives, with half allocated to HM Treasury. Cartels turn to crypto in North AmericaNorth American authorities report similar challenges. In a January 2025 post, blockchain intelligence platform TRM Labs pointed to the growing use of cryptocurrencies by Mexican drug cartels and other transnational groups. It noted that an executive order signed by President Trump earlier this year allows U.S. law enforcement to freeze crypto wallets linked to these organizations. The post also outlined laundering pipelines that rely on Chinese money brokers, who convert U.S. cash into crypto for global transfers or for buying precursor chemicals. The scale of these flows is underscored by TRM’s September 2024 research, which estimated that Chinese drug-precursor manufacturers took in over $26 million in crypto in 2023, a 600% jump from the year before. In the first four months of 2024, receipts nearly doubled year-over-year. Roughly 60% of these payments were made in Bitcoin, 30% in TRON, and 6% in Ethereum. The analysis also noted that U.S. cryptocurrency ATMs transferred more than $170,000 directly to Chinese precursor vendors in 2023, modest in scale but valuable for investigators. Freezing stablecoins and tracing Chinese linksWhile targeted sanctions and blockchain tracing have disrupted parts of the network, traffickers remain agile, TRM noted. It underscored the need for continued vigilance, technological adaptation, and cross-border coordination. Suggested steps include freezing cartel-linked stablecoins, tightening U.S. cash-to-bank laundering controls, and using legal tools like the Patriot Act to trace Chinese firms and accounts involved in laundering. South Korea’s redeployment of personnel reflects this push to align national enforcement with evolving enforcement dynamics.