Qatar’s QFC launches digital assets framework

BitKeep Changes Name to Bitget Wallet Following AcquisitionContinuing the trend set by industry giants like Binance, KuCoin, and OKX, cross-chain wallet provider BitKeep has undergone a transformation, rebranding itself as Bitget Wallet. This strategic shift comes on the heels of the wallet’s acquisition by the prominent Seychelles-headquartered crypto exchange, which acquired a controlling stake for $30 million in March.Photo by Jon Tyson on UnsplashBitget Swap unveiledThe rebranding announcement, made on August 10, coincides with the unveiling of Bitget Swap, a novel cross-chain swap mechanism integrated into the wallet. This innovative feature draws liquidity from a network of approximately 100 decentralized exchanges spanning across 20 chains. The move positions Bitget Wallet as a versatile platform catering to traders seeking fluidity and efficiency across diverse cryptocurrencies.Bitget Wallet users are set to benefit from an enticing proposition as the exchange merges its offerings. A collective Bitget User Protection Fund, boasting a substantial $360 million pool, has been established.The fund is anchored by 6,500 Bitcoin, ensuring robust safeguards against security incidents. This initiative finds its origins in the wake of the FTX exchange collapse last November, with the fund’s value boosted by a subsequent $60 million capital appreciation due to the rally in Bitcoin prices.The synergy between the two businesses has already borne fruit for Bitget. Last month, it clarified that it had surpassed 20 million users, with the wallet integration believed to be responsible for a large part of that user growth.Growing painsBitKeep’s past wasn’t without its challenges. A security breach occurred in December when the wallet’s Android Package Kit (APK) was compromised by malware, causing losses of around $8 million among users who had installed the compromised package. In a commendable move, the company fully compensated the affected users on March 29, signaling its commitment to rectifying such setbacks.Moka Han, Chief Operating Officer of Bitget Wallet, underscored the wallet’s security-focused approach. Han revealed that cross-chain bridges are subject to stringent third-party security audits by notable entities like SlowMist and CertiK before deployment. Rigorous post-deployment monitoring further guarantees a resilient security environment.Payment channel integrationIn its recent evolution, Bitget Wallet has integrated five stable payment channels, including Banxa, Simplex, Alchemy Pay, MoonPay, and FaTPay. These integrations empower users to conveniently purchase cryptocurrencies within the wallet using methods such as credit cards, Google Pay, and Apple Pay. Additionally, the wallet has introduced a peer-to-peer marketplace, characterized by comprehensive security measures that protect both buyers and sellers.Bitget Wallet’s appeal extends far and wide across the Asia Pacific (APAC) region, boasting an impressive user base exceeding 10 million individuals. This figure constitutes nearly half of MetaMask’s user count, signifying the wallet’s considerable popularity.The company didn’t allow the rebrand milestone to pass without taking the opportunity to further promote its offering. On Thursday, it commenced a “Mystery Box Airdrop” event, offering new Bitget Wallet users the opportunity to claim individual rewards of up to 1,000 USDT.Biget’s wallet integration is in line with the changing landscape of crypto exchanges generally, with other prominent players such as OKX, KuCoin, and Binance having also ventured into the realm of self-custody wallets, enhancing their service offerings beyond traditional exchange operations.

Four Pillars for Success in Korean Security Token MarketOn Wednesday, blockchain experts in various fields gathered at the 2023 Blockchain Meetup Conference held in Seoul to discuss issues with security tokens and their outlook.©Pexels/Alesia KozikWhat attracted security token businesses’ attention at the meeting was a presentation by Jung Eui-heon from Lambda256, a subsidiary of Korean crypto exchange Upbit’s operator Dunamu. He shared four pillars for success in the Korean security token market.Security tokens gaining traction in KoreaSecurity tokens have been a trending topic in the Korean blockchain industry since the Korean Financial Services Commission (FSC) allowed the issuance and trading of security tokens last February. Furthermore, a 2022 report jointly published by Boston Consulting Group and Singaporean investment platform ADDX predicted that the total size of illiquid tokenized assets worldwide would reach $16 trillion by 2030.Against this backdrop, here are the four keys to successful security token projects that Jung outlined.Technology adaptationFirst, he emphasized the importance of adopting rapidly changing technology. To tackle the issue, he suggested teaming up with advanced tech companies for long-term collaboration. When choosing tech partners, companies should ensure they are sustainable, possess technological prowess, hold credibility on high volume transactions, and maintain the security level of financial institutions, Jung advised.Forging partnershipsThe second point he mentioned was the need to forge partnerships. The FSC’s February guideline requires the issuance and distribution of security tokens to be managed separately. This means that security token projects require collaboration between issuers, distributors, account managers, asset holders, and tech companies.New securities productsJung also noted that discovering new securities products is crucial. Partnering with existing fractional investing companies may help accelerate the security token project initially, but in the long run, enterprises will eventually have to create products in various fields such as gaming, movies, and entertainment.Token liquidityLastly, Jung underlined the token liquidity, which plays a crucial role in determining its prices. Issuers will need to find various distributors and vice versa. Securing liquidity requires the establishment of a technical standard that improves interoperability and compatibility, he highlighted.

The Monetary Authority of Singapore (MAS), the city-state’s central bank and primary financial regulator, has set a deadline of June 30 for unlicensed digital token service providers (DTSPs) working out of Singapore to cease offering their services to clients in overseas markets.Photo by Hu Chen on UnsplashResponding to feedbackThe deadline emerged by way of a process MAS has followed as part of the Financial Services and Markets Act 2022 (FSM Act). Last October, the regulator invited feedback from stakeholders related to the authority’s approach to the regulation of DTSPs. MAS published its response to that feedback on May 30.  It stated:”DTSPs which are subject to a licensing requirement under section 137 of the FSM Act must suspend or cease carrying on a business of providing DT services outside Singapore by 30 June 2025.” It added that it was not including any transitional arrangement for DTSPs despite MAS receiving such a suggestion from a number of feedback respondents. Instead, unlicensed DTSPs will need to abide by the June 30 deadline and have acquired a license by then or cease unlicensed activity.The regulator defines DTSPs as individuals, partnerships or Singapore corporations operating from a place of business in Singapore, including those formed or incorporated in Singapore who offer digital token services outside Singapore. Those found in breach of the regulation could face up to three years in prison and fines of up to S$250,000 ($195,000). Companies who have already obtained licensing or those exempted by way of the Securities and Futures Act, Payment Services Act and the Financial Advisers Act are free to continue trading. Challenging licensing requirementsThose who wish to become compliant will have to satisfy some challenging requirements. For those granted a license, an annual license fee of S$10,000 ($7,780) applies. Small-scale DTSPs need to satisfy a $150,000 ($116,670) ongoing capital requirement, while larger, well-established DTSPs must comply with a S$250,000 ($195,000) capital requirement. Additionally, MAS has put in place competency requirements related to a DTSP's CEO, directors, partners and managers. Hagen Rooke, a partner at law firm Gibson, Dunn & Crutcher, outlined on LinkedIn that while it's possible for unlicensed operators to obtain licensing, it will be very difficult to get a license. In its feedback response document, the regulator stated: “MAS will approach the licensing of DTSPs in a prudent and cautious manner and there will be extremely limited circumstances under which MAS will consider granting an applicant a licence under section 138 of the FSM Act.” Rooke advised crypto companies that may be affected to act swiftly in order to derisk through an operational restructuring or removing the businesses' Singapore touchpoints. He suggested that firms need to consider if it has customers outside of Singapore or front-office functions located outside of the city-state to determine if they could be affected by this regulatory measure. A number of Asian countries have moved to take action against unlicensed foreign firms that have engaged with local investors, with Thailand becoming the latest country to do so recently. However, the Singaporean authorities have approached the issue from the opposite perspective, citing the potential reputational risk that unlicensed DTSPs pose for Singapore.