Korea to Ban Virtual Asset Deposit Services from Next July

While the crypto markets have not been immune to geopolitical developments, the sector in Iran experienced a more direct effect last week with a politically motivated $90 million exchange hack, prompting the authorities to introduce an exchange curfew. Blockchain analytics firm Chainalysis outlined on X on June 18 that Nobitex, Iran’s largest cryptocurrency exchange, had been hacked, with crypto assets to the value of $90 million having been drained from exchange-controlled wallets.Photo by Engin Akyurt on PexelsWeaponizing blockchain technologyThe hack had the hallmark of a politically-motivated attack given that rather than the digital assets being stolen, they were sent to vanity addresses, customized blockchain addresses involving user-defined sequences of characters. The vanity addresses contained “politically charged messages” and in sending the funds to them, the funds were effectively burned as they’re now permanently inaccessible.  The firm stated:”This incident highlights how crypto exploits aren’t always financially motivated. Bad actors can weaponize blockchain technology for geopolitical messaging, turning hacks into ideological statements rather than profit-driven crimes.” Pro-Israel hacker group Gonjeshke Darande, also known as “Predatory Sparrow,” appears to have carried out the hack, given that on June 18, it outlined on X that it would release Nobitex’s source code together with other internal information related to the firm’s internal network, while confirming that it had conducted cyberattacks against the company. The group made the following assertion:”The Nobitex exchange is at the heart of the [Iranian] regime’s efforts to finance terror worldwide, as well as being the regime’s favorite sanctions violation tool.” Rafe Pilling, director of threat intelligence at Sophos, a British cybersecurity company, told The Guardian that Predatory Sparrow “bears all the hallmarks of a false persona used by a government-sponsored threat group to conduct disruptive operations against targets” linked to the Iranian government. While Nobitex is estimated to have seven million users, an Open Source Intelligence (OSINT)-based investigation carried out in 2024 linked relatives of Ali Khamenei, Iran’s supreme leader, and other Iranian establishment figures to the crypto exchange. Minimizing systemic riskThe cyber attack has prompted a response from the Iranian government. In a blog post, Chainalysis outlined that the Central Bank of Iran has instructed all domestic crypto exchange platforms to curtail their service hours to between 10 a.m. and 8 p.m. The company speculated that this measure could be motivated by a desire to impose a higher level of oversight and control over the local crypto sector. However, it also suggested that it may be part of an attempt by the Iranian authorities to manage and minimize systemic risk. In recent years, Iran has been subject to extensive international sanctions applied by various entities including the United States, the European Union and the United Nations. Those sanctions have had a significant impact upon the country’s economy, triggering high inflation and currency devaluation.  With that, crypto has been increasingly viewed by the authorities as a means to circumvent sanctions. Last December, the Iranian authorities appeared to be working towards regulating crypto, embracing the asset class in acknowledgement of its growing importance to the Iranian economy. In February, Chainalysis reported that sanctioned entities worldwide had received $15.8 billion in crypto transactions in 2024.

Oman’s Crypto Mining Expansion Signals Further Economic DiversificationOman has recently unveiled a state-of-the-art digital asset mining facility, as it continues in its quest to diversify its economy beyond oil exports.$150 million facilityThis cutting-edge mining facility was recently inaugurated, valued at around 135 million Omani rials, approximately $150 million, as a result of collaboration between Exahertz, an Omani company, and Moonwalk Systems, a Dubai-based blockchain solutions firm.Situated within the Salalah Free Zone, a hub that offers tax benefits to corporate entities, the facility is powered by mining hardware provided by leading Chinese mining equipment manufacturer Bitmain Technologies and is primed to house 2,000 machines, making for an 11-megawatt facility.Photo by Anusree Mohan on UnsplashExpansion plansSam Ferdows, the CEO of Moonwalk Systems, hailed the project, emphasizing the company’s dedication to expanding the facility’s capacity. Ferdows shared that plans are already in motion to increase the mining operation’s capacity to accommodate 15,000 miner units by October, with aspirations to expand to multiple cities. Recognizing the importance of corporate social responsibility relative to sustainability, Moonwalk Systems aims to train citizens through dedicated programs, further promoting the growth of the digital asset sector.Engineer Said Hamoud, Oman’s Minister of Transport, Communications, and Information Technology, who led the inauguration of the project, underscored its significance as a pivotal step in the nation’s digital transformation. He expressed confidence that the new mining facility would contribute to Oman’s growing digital economy.Second mining projectThis marks Oman’s second major move into the cryptocurrency mining space within nine months. Back in November 2022, the country inaugurated its first mining facility with a price tag of approximately $389 million. The combined investment in these ventures totals $740 million, which aligns with the broader regional push toward embracing the opportunities presented by blockchain and Web3 technologies.In the Middle East, several governments are actively investing in blockchain-related infrastructure. The United Arab Emirates, a neighbor to Oman, has notably begun to accept applications from Web3-related companies. The Virtual Assets Regulatory Authority (VARA), the local regulator in Dubai, has rolled out comprehensive regulatory directives that govern licensing requirements, company operations, and compliance.Oman, for its part, is not just focusing on infrastructure. It is also addressing regulatory aspects by requiring registered digital asset firms to establish a presence within the country. Evidence of those efforts emerged earlier this month when the Omani regulator, the Capital Market Authority (CMA), invited public feedback on a consultation paper that feeds into the development of a virtual asset regulatory framework in Oman. This versatile approach suggests that the Sultanate is making a conscious commitment to fostering a thriving blockchain ecosystem within the country.As Oman attempts to position itself as a regional blockchain hub, it recognizes the transformative power of cryptocurrencies and blockchain technology in propelling its economy forward. On that basis, the Middle Eastern country is making a resolute pivot from its oil-based past to a blockchain-enabled future.

OKX, a global crypto exchange, is understood to be considering carrying out an initial public offering (IPO) in the United States. That’s according to a report published by The Information on June 22. The development indicates changing fortunes for the firm in North America. In February, the company agreed to pay a fine of $84 million and surrender revenues earned through U.S. customers of around $420 million to the U.S. Department of Justice (DoJ). Photo by appshunter.io on Unsplash‘New era for OKX’The DoJ had taken action against the crypto exchange on the basis of allegations of unlicensed money transfers. Having put this matter behind it and in taking advantage of a more positive regulatory approach to the crypto sector in the U.S. by the Trump administration, in April OKX relaunched its service offering in the U.S. The company described the newly launched service as a “new era for OKX in the U.S.” Another consequence of that positive regulatory approach in the U.S. has been a renewed interest from crypto companies in pursuing IPOs. Yueqi Yang, a reporter with The Information, stated on X: “From IPOs to crypto treasury stocks, crypto is booming right now, but the rally is playing out in the stock market, at valuations that even surprised industry insiders.” USDC stablecoin issuer Circle (CRCL) executed its IPO on the New York Stock Exchange (NYSE) on June 5. Circle’s experience is likely to be encouraging for other crypto firms considering going public. Since going public, the company’s stock has surged by more than 675%. Circle raised in excess of $1 billion with an IPO share price of $31. During Monday’s trading, the company’s market cap exceeded that of Coinbase (COIN). The current market environment has encouraged other crypto firms to follow suit. In March, American crypto exchange platform Gemini filed confidentially for an IPO. Bullish has also taken this option, according to reports earlier this month. Kraken, another global crypto exchange platform, has indicated that it intends to pursue an IPO in Q1 2026. OKB token holder fearsNews of OKX’s intentions to go public has led to crypto community discussions surrounding the use of an exchange token as a means of fundraising versus a traditional stock market listing. OKX launched OKB, its native token, in March 2018.  Commentators have pointed out that those who invest in traditional shares will have access to more liquid markets whereas platform token liquidity is oftentimes concentrated on that specific exchange. Some OKB token holders fear that following the IPO, their token will be sidelined or abandoned. OKX has been working towards expanding across various regional markets recently. Last year it launched OKX TR to cater towards the crypto community in Turkey. It also acquired trading licenses in Singapore and the United Arab Emirates (UAE).  It emerged last week that the company had launched its services in Germany and Poland having acquired regulatory approval in both countries.  OKX was first founded in Beijing in 2013, later moving its headquarters to the Seychelles due to regulatory changes in China.