Korean Government Explores Methods for Reporting Statistics on Crypto

Abu Dhabi’s ADGM unveils DLT foundations regulationsThe Registration Authority (RA) of Abu Dhabi Global Market (ADGM) has officially unveiled the Distributed Ledger Technology (DLT) Foundations Regulations 2023, marking yet another milestone in the evolution of digital assets regulatory frameworks both regionally and internationally.Photo by Kamil Rogalinski on UnsplashFramework for DAOs and foundationsThe new regulations were published to the ADGM website on Wednesday, with enactment occurring on Thursday. This legislative framework has been crafted to offer a comprehensive structure for DLT foundations and decentralized autonomous organizations (DAOs), addressing their unique operational needs within the blockchain sector. ADGM’s strategic vision to promote initiatives in the broader blockchain and digital asset sphere has culminated in the creation of this regulatory regime.As a global first of its kind, the DLT foundations regulation sets a precedent for blockchain foundations, Web3 entities, DAOs and traditional foundations seeking to enhance their operations through DLT. This forward-thinking framework is poised to provide a unified solution for digital asset-related activities and the broader foundations landscape, fostering transparency and efficiency.Establishing governance structuresThe ADGM DLT foundations regulation represents an effective means to establish governance structures while acknowledging the imperative decentralization characteristic of the industry. This regulatory development followed a robust public consultation process, actively involving stakeholders and industry participants to gather feedback and refine the regulations.In the realm of digital assets, ADGM continues to push towards taking leadership in regulatory standards, providing an attractive environment for Web3 startups. Ahmed Jasim Al Zaabi, Chairman of ADGM, emphasized the pivotal role that the DLT Foundations Regime plays in shaping the future of digital asset development. According to a press release on PR Newswire, Al Zaabi stated:“Abu Dhabi is rapidly emerging as the destination of choice for global players at the forefront of digital asset development. The introduction of the DLT Foundations Regime marks a revolutionary step forward, reinforcing ADGM’s commitment to a proactive approach rooted in extensive cross-industry dialogue and collaboration with various stakeholders. The new regime serves as a driving force for positive change in the digital assets sector. By transforming the blockchain and Web3 landscape, we are moving towards a future characterised by setting global benchmarks with enhanced transparency and efficiency.”Nurturing Web3 innovationOver the course of the past 12 months, the authorities in Abu Dhabi, alongside the United Arab Emirates (UAE) itself and other emirates such as Dubai, have been allocating resources towards developing the right conditions for the Web3 sector to flourish. In April of this year, a legislative framework was proposed by the ADGM.Recent months have seen a plethora of digital asset sector firms gain trading approval within the emirate. These included virtual asset firm M2, Standard Chartered digital asset subsidiary firm Zodia Markets and Laser Digital, the digital assets subsidiary of Japanese financial services conglomerate Nomura.By way of its DLT foundations regulations, the ADGM is attempting to go beyond simply creating a set of rules. The aspiration is to strive towards a future where the blockchain and digital asset industry operates within a transparent, efficient and globally respected framework. As blockchain technology continues to gain traction, Abu Dhabi’s ADGM is positioning itself to play a role in driving these advancements.

During a National Policy Committee audit, South Korean lawmakers pressed financial regulators on their oversight of the domestic crypto market, focusing on Binance’s acquisition of local exchange Gopax, risks from order-book sharing with foreign platforms, and weaknesses in anti–money laundering (AML) controls.Photo by Kanchanara on UnsplashQuestions over Gopax compensationAccording to Kuki News, Democratic Party lawmaker Min Byeong-dug has urged regulators to reach out to Binance for details on its plan to compensate Gopax creditors following its acquisition of the local exchange. One of the nation’s five fiat-to-crypto exchanges, Gopax suspended withdrawals from its GoFi service, a yield-bearing product, in November 2022 after the collapse of the Bahamas-based FTX crypto exchange and the bankruptcy of Genesis, a U.S.-based crypto financial services firm. Citing investor losses estimated at 10 billion to 50 billion won (about $7 million–$35 million), Min said Binance had agreed to cover the shortfall as part of its cashless acquisition of Gopax, but full repayment to Korean users remains unresolved. He noted that the deal had faced delays due to concerns raised by the Financial Services Commission’s (FSC) Financial Intelligence Unit (FIU) over Binance’s eligibility as a major shareholder, and urged the FSC and FIU to ensure a clear and timely resolution for affected investors. Concerns over order-book sharingPeople Power Party (PPP) lawmaker Lee Heon-seung raised additional concerns about order-book sharing tied to the Binance–Gopax deal, warning it could create regulatory blind spots. According to Dailian, he asked the FIU about risks such as possible gaps in AML oversight at foreign exchanges and the potential exposure of Korean user data. FIU head Park Gwang said inadequate AML systems at overseas platforms can hinder fund tracing. He noted that separate approval is required before a domestic exchange can share its order book with a foreign platform, adding that no such request was under discussion. Park said the FIU would closely examine the matter and ensure protection of personal data. Lee also questioned how effectively regulators can supervise the crypto market given its scale, pointing to the Bithumb exchange as an example, where he had raised similar concerns about order-book sharing. Bithumb serves about 3.8 million users and records roughly 605 trillion won (approximately $426 billion) in annual trading volume. He said order-book sharing with major global exchanges such as Binance could complicate AML compliance, data protection, and regulatory oversight, and called for stronger enforcement. In response, Park said that the agency would ensure proper supervision to address these risks. Allegations of AML loopholes and illicit useAnother PPP lawmaker, Kim Jae-sub, flagged a potential AML loophole involving Binance, saying the exchange had allegedly been used by Cambodia’s Prince Group, which is linked to fraudulent schemes to conceal illicit funds. Last week, the U.S. Department of Justice filed a civil forfeiture complaint to seize roughly 127,271 Bitcoin linked to Prince Group’s operations, marking the largest seizure in its history. Kim also cited past allegations connecting Binance to illicit transactions involving Hamas and North Korea, and said the exchange’s founder faces related charges. He urged the FSC to conduct a thorough examination to determine the extent of any involvement if the claims prove accurate. As the parliamentary audit continues, lawmakers from both parties are pressing regulators to clarify standards, tighten oversight, and prioritize investor protection while maintaining fair and predictable rules for market participants. 

Upbit Launches “Experimental Lab” for Users to View Investment PerformanceDunamu, the fintech company operating South Korea’s leading crypto exchange Upbit, announced on Wednesday that Upbit has added a new feature called the Experimental Lab, which allows users to try out new functions before their official release.“Through the Experimental Lab, we will progressively introduce various features and actively gather user feedback to enhance our service experience,” the exchange said.Photo by Gilles Lambert on UnsplashEmpowering insightful investmentThe first feature unveiled through the Experimental Lab allows users to view the statistics of their investment performance — in other words, their profits and losses — for any given timeframe, all in one place. This includes cumulative return rates, the average amount of money they invested, and more. This is one of the most frequently requested updates, according to the exchange.The feature also provides information on three types of returns: simple return rate, time-weighted return rate, and money-weighted return rate.Simple return rate calculates the actual gains and losses relative to a user’s initial investment amount. Time-weighted return rate calculates an account’s performance over a specific period while ignoring the effects of external cash flows, such as timing and size. On the other hand, money-weighted return rate calculates investment performance while factoring in changes in external cash flows.Users interested in trying out Experimental Lab can find it in the “More” tab on the Upbit mobile app or the “My” tab on the PC site located at the bottom right corner of the page.Customer-centered philosophyThis move aligns with Upbit’s commitment to providing a better service experience by incorporating user feedback into their feature development and updating processes.