Indian PM Narendra Modi Calls for Global Crypto Regulatory Framework

KCS Says Illegal Forex Transactions for Crypto Purchases Amount to $7.7BOver the past five years, the total value of illegal foreign exchange transactions associated with virtual asset purchases has amounted to approximately KRW 10.4 trillion ($7.7 billion), according to the Korea Customs Service’s report received on Thursday by Go Yong-jin, a member of the Democratic Party of Korea on the National Assembly’s Strategy and Finance Committee.Photo by Sasun Bughdaryan on Unsplash“Illegal transactions on foreign exchanges for the purchase of virtual assets are occurring due to the higher prices of virtual assets in Korea compared to prices abroad,” Go explained.Crimes incited by crypto waveThe data showed that the number of violations subject to fines was 6,066, involving forex transactions of KRW 2.3 trillion. In particular, violations made in 2020 and 2022 accounted for the majority, making up 78.7% with 4,775 cases and a value of KRW 1.9 trillion, or 83.7% of the cumulative total. This indicates a substantial increase in illegal activities during the periods when the crypto investment frenzy in Korea was at its peak.Uncovering key patternsWhile foreign exchange transactions were primarily intended for acquiring virtual assets, they were often disguised as trade payments. There were also cases where individuals withdrew foreign currency from overseas ATMs to buy cryptocurrencies. These two scenarios were the most prevalent cases for which fines were imposed. More specifically, among the 6,066 violations, there were 4,518 instances of the former and 1,486 cases of the latter. The transferred funds amounted to KRW 1.9 trillion and KRW 407 billion, respectively.During the five-year period, individuals involved in 93 cases of these forex activities — collectively valued at KRW 8.1 trillion — were penalized following the referral of their cases to prosecutors. In particular, the violations in 2022 accounted for 70.3% (KRW 5.7 trillion). This could be accredited to the breakout of suspicious large-scale forex transactions last year, which prompted local authorities such as the Korea Customs Service and the Financial Supervisory Service (FSS) to initiate planned investigations.The most common type of illegal foreign exchange transaction cases referred to prosecutors was similar to those that incurred fines: overseas remittances disguised as trade payments, constituting 49.9% (KRW 4 trillion) of all cases. Transferring foreign currency via unregistered entities was the second most common violation, making up 47.2% (KRW 3.8 trillion). These transfers breach the Foreign Exchange Transactions Act and are always reported to prosecutors.Go thereby called on authorities to intensify crackdowns on illegal forex transactions aimed at trading virtual assets and to revise foreign exchange regulations accordingly.

Dubai-based crypto exchange Bybit said it will temporarily pause the onboarding of new users in Japan as it adjusts to regulatory changes under the country’s Financial Services Agency (FSA). In a statement released on Oct. 30, the company explained that the suspension is part of its effort to reassess compliance obligations and align with upcoming local standards. Starting Oct. 31 at 12:00 p.m. UTC, Bybit will no longer accept new account registrations from Japanese nationals or residents. The company added that the change will not affect existing customers, whose services will remain uninterrupted for now. The decision landed amid a shifting domestic policy backdrop. Policymakers at the FSA have been weighing the treatment of crypto assets under the Financial Instruments and Exchange Act, viewing digital tokens through the lens of investment products. Officials have pointed to sharp price volatility and cyber-theft risks as reasons to strengthen safeguards for depositors and insured individuals.Photo by Cosmin Georgian on UnsplashBanks and insurers face ban on crypto salesAccording to an Asahi Shimbun report cited by Yonhap News, the FSA is set to prepare a draft framework that would bar banks and insurance companies from selling crypto directly, while permitting sales through brokerage firms. The draft was said to be slated for submission to the regular Diet session next year. In order to preserve a level competitive field, the authority plans to allow securities arms of banks and insurers to distribute tokens, given that online brokerages already offer crypto exposure. The same report suggested that banks and insurers could be allowed to hold and manage crypto assets once adequate risk management systems were in place. Market developments have continued alongside the policy work. Reuters reported that a yen-pegged stablecoin called JPYC launched on Oct. 27, issued by a company of the same name and backed by domestic savings and Japanese government bonds. An earlier Nikkei article had signaled that regulatory approval was expected, leaving timing as the main open question until the debut. Economic stimulus at odds with rate hike talkBroader macroeconomic policy has also been in focus for crypto investors. Some analysts have argued that an economic stimulus package announced by Japan’s newly elected Prime Minister Sanae Takaichi could channel fresh capital into markets and, by extension, provide a tailwind for Bitcoin. On social media platform X, BitMEX co-founder Arthur Hayes suggested that additional government support for households and businesses might propel the largest cryptocurrency toward the $1 million mark. Monetary policy remains a counterweight. The Bank of Japan kept its benchmark rate at 0.5% on Oct. 30, which led to a weaker yen and boosted demand for government bonds. According to Reuters, Governor Kazuo Ueda indicated that wage trends would guide the next step, leaving open the possibility of a rate increase as early as December. Higher interest rates typically raise borrowing costs and can damp risk appetite, dynamics that often weigh on speculative assets such as cryptocurrencies. Investors are watching how Japan’s evolving rulebook, fiscal support, and cautious monetary tightening intersect—and how that mix ultimately shapes crypto participation and pricing in one of Asia’s most closely observed markets. 

The global cryptocurrency market is poised for unprecedented growth, potentially reaching $200 trillion within a decade, according to Yat Siu, co-founder of Animoca Brands, a prominent Hong Kong-based Web3 game software company and venture capital firm. 2-3x within 18 monthsCurrently valued at approximately $2.7 trillion according to data from crypto aggregator CoinGecko, the cryptocurrency market is set to double or triple in the near term, Siu predicted on The Valr Podcast on May 28. “In the near term — within 12 to 18 months — we can conceive of a doubling or tripling of the space,” he stated, expressing strong confidence in the industry's future milestones. Siu elaborated on his bold forecast, suggesting that over a five to ten-year period, the market could accelerate by 100 to 200 times, potentially reaching a valuation of $200 trillion or even higher. In conversation with Farzam Ehsani, the co-founder of Valr, a platform that allows users to buy, sell, store and transfer crypto assets, Siu said:“I think we could reach that kind of number within a decade.” This explosive growth, according to Siu, will be driven by billions of people becoming digital property owners within the Web3 ecosystem. Siu stated: “It is entirely conceivable that we’re going to have a billion property owners because we’re going to have a billion token holders. This is not possible in the physical world.”Photo by Pierre Borthiry - Peiobty on UnsplashAsia fastest growing marketSiu also pointed out the regional dynamics within the Web3 space, noting that Asia has emerged as the fastest-growing market. “Right now, the leading force in Web3 is clearly Asia,” he argued, citing robust adoption rates in regions such as Southeast Asia, Hong Kong and Japan. In contrast, jurisdictions like the United States are lagging behind, primarily due to regulatory uncertainties. Siu pointed out that historically, the United States has tended to take a leadership role where new technology is concerned. Web3 is turning out to be the exception to that rule. With that, he thinks that it is Asia that will lead the way and that it will continue to lead for the foreseeable future where Web3 is concerned. Bullish on BitcoinHis optimism about the Web3 market's potential aligns with his bullish stance on Bitcoin, currently standing at a market capitalization of $1.3 trillion. Siu made another bold prediction recently, expressing confidence that Bitcoin would eventually reach $1 million. At the time of writing, Bitcoin is trading at $68,346. While that’s far from his $1 million unit price prediction, he did state at Web Summit Rio in April that it would do so “over time.”  That bullishness from the Animoca founder has also manifested itself within the company itself. In early May, the company announced its entry into the Bitcoin ecosystem by endorsing the Opal Foundation, a Bitcoin-centric protocol. At the time, Siu suggested that Bitcoin is now primed for Web3. Siu's projections reflect a broader optimism in the cryptocurrency industry, where rapid technological advancements and increasing adoption rates are expected to drive significant growth. As more individuals and institutions embrace digital assets, the potential for exponential market expansion becomes increasingly plausible.