G20 Nations Believed to Have Agreed Upon Global Crypto Framework

Taiwan’s Comma3 Ventures Raises $45M Crypto FundTaiwan-based Comma3 Ventures, a venture capital firm focused on Web3, has closed funding on a $45 million Web3 fund.The raise was achieved through the participation of a diverse range of institutional investors, high net worth individuals and family offices based in Taiwan and Singapore.In a press release published on Friday, the company stated that the funds raised will be allocated to blockchain infrastructure projects at an early stage of development, focusing on dApps, zero-knowledge proof technology, cross chain bridging projects, as well as layer one and layer two blockchain networks.Photo by Frolda on UnsplashSingapore tiesWhile Taiwan-based, the venture capital has strong ties with Singapore, given that Nicole Liu, one of the firm’s general partners, was formerly an investment manager with Jubilee Capital Management.Liu leads the firm alongside fellow general partners, Ivan Li and Denny Yang. Among the previous projects the trio have invested in are Zilliqa, a smart contract blockchain network that focuses on throughput and scalability, Ethereum layer two side-chain network Polygon, South Korean enterprise blockchain Klaytn, blockchain-based esport game producer Thetan Arena, and a project called Highstreet which seeks to re-imagine retail in the metaverse.Earlier this month, Cetus, a decentralized exchange (DEX) and concentrated liquidity protocol built on the Sui and Aptos blockchains, secured funding from Comma3 Ventures, alongside AC Capital, Adaverse, Animoca Brands, Coin98 Ventures, IDG Capital, KuCoin Ventures, Leland Ventures, NGC Ventures and OKX.Funding 80 to 100 Web3 start-upsAccording to Comma3 Ventures, crypto start-ups that have the potential to scale within the Web3 space within niches such as DeFi and GameFi, will be prioritized for funding. With a spend of $45 million at its disposal, the venture capital firm intends to target around eighty to one hundred start-ups, with a capital funding variance of between $250,000 to $1 million depending on the particular project.In a press release Liu stated: “We regard ourselves as an early-stage investor, so team background and previous experience are very important for us. And on the other hand, we are looking for entrepreneurs who really know what blockchain and Web3 are and how to rebuild their businesses empowered by decentralization technology and token economics. We are dedicating ourselves to investing in and supporting early-stage blockchain infrastructure such as L1&L2, cross-chain, and ZK, as well as DAPPs with the potential to bring traffic to Web3, such as DeFi, GameFi, and creator economies.”In a 2021 podcast, Ivan Li explained that his first allocations in the crypto space were to Bitcoin and Ethereum. Those successful investments were reinvested and allocated to blockchain, data analysis and cyber security projects. From 2021 onwards, Li explained that institutions in the TradFi space in Taipei started to approach him with an interest in trying to get exposure to crypto. That led to him forming Red Building Capital in 2018. Comma3 Ventures followed in 2022.

Coti plans transition to Ethereum layer-2 network in 2024Israeli blockchain developer Coti plans to introduce a scalable, privacy-focused Ethereum layer-2 protocol in 2024. This strategic move aims to extend Coti’s privacy-centric features to a wider audience within the Ethereum ecosystem.Photo by Zoltan Tasi on UnsplashIncorporating ‘garbled circuits’Taking to the X social media platform on Wednesday, Coti unveiled its plan to transition from a standalone protocol to an Ethereum layer-2. The centerpiece of the project, which Coti has termed “Coti v2: a privacy-centric Ethereum L2,” is a cryptographic method known as “garbled circuits.”Garbled circuits are a cryptographic primitive that enables two or more parties to evaluate an arbitrary Boolean circuit securely, without revealing any information beyond the output, all while using a constant number of communication rounds. This innovative approach enables the processing of transactions without exposing sensitive information and data, aligning with the platform’s commitment to privacy.Having originated in the 1980s, garbling protocols have evolved into a crucial element of privacy-preserving technologies, excelling in scenarios where confidential data needs to be part of a computation without revealing the information itself.Focusing on privacyCoti CEO Shahaf Bar-Geffen emphasized the significance of this privacy-oriented protocol, stating:“Sensitive data transmitted as public information on a blockchain is a bug, not a feature.”Bar-Geffen highlighted the protocol’s ability to prevent sensitive data from being exposed to competitors, partners and clients engaged in transactions on Coti’s chain. The CEO elaborated on how garbling protocols differentiate Coti v2 by facilitating transactions and smart contract executions where details remain private between involved parties.The Coti CEO emphasized the critical role of such privacy features in decentralized finance applications, where transaction confidentiality is as essential as transaction integrity. Coti claims that other platforms focusing solely on anonymity for privacy may face regulatory challenges and might not provide a compliant foundation for the broader ecosystem.Targeting specific use casesCoti envisions its protocol catering specifically to use cases demanding advanced privacy provisions in finance and healthcare. Currently designed for enterprises, Coti’s existing protocol enables the management of blockchain-based products such as custom-branded tokens, wallets, website integrations and fiat on-and-off ramps.In a blog post on Medium, the blockchain startup outlined that in addition to privacy, v2 will enable smart contracts, EVM compatibility and Solidity programming, alongside the features currently offered by v1. Notwithstanding these new features on the v2 product, the company confirmed to The Block that in respect of Coti’s original Cardano-based product, “Coti’s work with Cardano continues. We have a project built there called Djed, and that will continue to remain on Cardano.” Djed is an ADA-backed stablecoin pegged to the U.S. dollar.The anticipated release of Coti v2’s developer net in the second quarter of 2024 signals a move towards realizing the potential in advancing Ethereum’s privacy standards. As a layer-1 protocol, Coti presently contributes to Web3 applications by providing digital infrastructure, including tools for wallets, tokens and payment modules, with a total value locked of $31 million.The upcoming integration as a privacy-centric layer-2 positions Coti as a key player in enhancing Ethereum’s capabilities and fostering a more secure and confidential blockchain experience.

Bitget Exec Speaks to Utility of Enhanced KYCCrypto continues to undergo significant transformation as regulatory authorities across Asia tighten their grip on the industry. In response to these regulatory changes, Seychelles-headquartered Bitget has joined KuCoin and OKX, which have recently bolstered their Know Your Customer (KYC) measures to ensure compliance and safeguard their operations.In a recent interview with Cointelegraph, Bitget Managing Director Gracy Chen spoke to the utility of KYC measures, stating that KYC is useful in filtering out illegitimate users, particularly those engaged in activities such as money laundering.Photo by Pixabay on PexelsMeeting Asian regulatory requirementsThe Seychelles-based exchange with ties to China and Singapore recently announced updates to its KYC protocols. These changes come in the wake of the Monetary Authority of Singapore’s (MAS) directives, which advise financial institutions, including cryptocurrency exchanges, to implement robust risk management procedures. The MAS has taken a stringent stance, shutting down certain digital payment token service providers to prevent them from facilitating lending and staking activities by retail customers.Starting from October 1, Bitget will require users who have not completed level 1 KYC verification to be restricted from creating new trading orders. This move aims to ensure that users comply with the newly updated guidelines and maintain the integrity of the exchange’s operations.Following industry peersKuCoin and OKX, two other prominent exchanges which, like Bitget, have their corporate headquarters in Seychelles and a strong presence in Asia, have also revamped their KYC policies. While KuCoin initially introduced KYC in 2018, the exchange has strengthened its identity verification procedures, requiring users to upload documents and complete face checks.Furthermore, in July, it announced a mandatory KYC requirement, in line with anti-money laundering (AML) regulations. While the mandatory KYC requirement is already in force, the other changes are set to take effect at the end of the month.OKX, on the other hand, has implemented stringent requirements, including the submission of a government-issued ID selfie for users to access all its services. The exchange recently set a deadline for service users to complete KYC.Bitget’s Chen highlighted that its decision to embrace KYC measures was driven by a commitment to serving the market responsibly. She acknowledged that while some users may have reservations about KYC, it is a necessary step to maintain the integrity of the exchange and prevent illicit activities. Speaking at the fringes of the firm’s EmpowerX Summit in Singapore, Chen said:“I’m pretty sure if the user is a financially healthy user, such as, like, if they’re not doing something illegitimate, such as money laundering, they should be pretty comfortable with the KYC process.”Tightening regulationThe tightening of regulations in Asia is not limited to Singapore alone. Japan has also taken steps to enhance anti-money laundering measures related to cryptocurrency transactions, responding to international calls for stricter oversight. Additionally, South Korea’s Financial Services Commission (FSC) has announced plans to require companies to disclose details about their cryptocurrency holdings, expected values, and related business models in their financial statements, aligning crypto accounting with conventional financial reporting.These regulatory developments signify a broader trend in the region, with cryptocurrency service providers proactively adapting to the changing landscape. As governments and regulatory authorities take steps to address the potential risks associated with cryptocurrencies, exchanges are prioritizing compliance to ensure their longevity and continued growth.