Busan BDX Consortium named preferred bidder for Digital Asset Exchange

Indonesia's cryptocurrency regulatory body is urging the government to reconsider its tax policies concerning digital assets. Officials from Indonesia’s Commodity Futures Trading Supervisory Agency (Bappebti) argued last week that the imposition of double taxation on crypto transactions warrants a reevaluation. That’s according to a report which appeared in local news source, Bisnis Indonesia, a Jakarta-based daily newspaper. Currently, cryptocurrencies in Indonesia are classified as commodities, subjecting them to a value-added tax (VAT) of 0.11% and an income tax of 0.1%.Photo by Bisma Mahendra on UnsplashProposed changes in 2025Tirta Karma Senjaya, the head of Bappebti, the Indonesian Commodities and Futures Trading Regulatory Authority, highlighted that the classification of cryptocurrencies as commodities might undergo changes in 2025. This potential shift is due to the planned transfer of crypto oversight from Bappebti to the Southeast Asian country’s financial services authority, OJK.It had been speculated that the switch of oversight would potentially reclassify digital assets as securities. With that change would come a necessary adjustment to the applicable tax policy. Tirta suggested that given that cryptocurrencies are expected to be integrated into the financial sector by January 2025, he urged the Tax Director General to reconsider these tax rates. The regulatory body head added that it’s been over a year since the implementation of these rules. With that, tax policies typically undergo annual reviews. Accommodating crypto’s developmental stateAddressing an event in Jakarta, the regulatory body head emphasized the nascent stage of the crypto industry and its regulatory framework. Consequently, he advocated for providing the industry with leeway to mature until it becomes a substantial contributor to national revenue. In response to Bappebti's call for a reassessment of crypto taxes, Dwi Astuti, a spokesperson for the Ministry of Finance, assured that the Ministry would consider input from both industry stakeholders and the public. "We welcome input from Bappebti and the public. It will certainly be discussed internally," remarked Astuti during a media interaction last week. 2023 crypto tax take slumpThe existing tax structure for cryptocurrencies has been in effect since April 2022, generating approximately $2.49 million in revenue in January 2024. In contrast, Indonesia recorded $41.2 million in crypto tax revenue in the previous year. However in 2023, the country witnessed a decline of 63% in crypto tax revenue compared to the previous year, despite Bitcoin's remarkable surge of approximately 160% during that period. Local crypto exchanges such as INDODAX had attributed the significant drop in trading volume throughout 2023 directly to hefty taxes, expressing concerns that it would drive users towards foreign exchanges. Hasan Fawzi from the Ministry of Finance highlighted the trend of decreasing crypto asset transaction values in 2023. Nonetheless, he noted that the number of crypto asset customers continued to rise, reaching 18.06 million users throughout the year. The crypto sector is seen as having a lot of potential in Indonesia. Last October data released by Bappebti suggested robust growth of the crypto investment landscape within the country. Over the space of a year, Indonesia had seen a 10.1% growth in the number of crypto investors. That data may not have been lost on the country’s politicians as in December, crypto featured as an election campaign issue.

The Hong Kong Securities and Futures Commission (SFC) has unveiled a new roadmap for digital asset regulation titled “ASPIRe.” The authorities in the Chinese autonomous territory have been working towards crypto hub status in recent years. This latest ASPIRe roadmap initiative has been formulated in an effort to future-proof Hong Kong’s status as a location that has been optimized for crypto businesses to form and develop. The ASPIRe roadmap was announced by the SFC on Feb. 19 with comprehensive details on the plan published to the regulator’s website. Photo by Skull Kat on UnsplashFive pillarsA-S-P-I-Re details five pillars that the regulator is focusing on in order to address challenges to strengthen Hong Kong’s crypto hub status going forward. The “A” pillar refers to “access,” with a focus on fostering an ecosystem that’s aligned with a regulatory regime that enables global participation. The regulator wants to attract “qualified participants,” while enhancing investor choice and integrating Hong Kong’s digital assets sector with global liquidity. The “S” pillar stands for “safeguards” with the objective of adopting risk-proportionate oversight, promoting regulatory clarity and aligning compliance requirements such that a balance is struck between core regulatory objectives and providing flexibility for the adoption of new technology. “Products” forms another pillar, with a focus on expanding the range of digital asset products and services offered by regulated service providers in Hong Kong. “Infrastructure” is another aspect that the plan homes in on. The focus in this regard is on modernizing reporting, surveillance and cross-agency collaboration through infrastructure building and the use of new technology.  The final pillar, “relationships” (Re), focuses on the empowerment of both investors and the industry in general through education, engagement and transparency. Influencing modern financeThe Hong Kong regulator is putting forward this plan with the understanding that the global virtual asset market was valued at $3 trillion in 2024. It suggests that the sector “has significantly influenced modern finance.” At Consensus Hong Kong 2025 this week, a crypto conference held in the Chinese autonomous territory, SFC CEO Julia Leung suggested that this plan will put Hong Kong in a strong position to secure its role as a crypto industry hub going forward. Hong Kong Financial Secretary Paul Chan Mo-po also delivered a keynote speech at the conference. He said that Hong Kong would “remain a stable, open and vibrant market for digital assets,” adding that Hong Kong is “investing heavily in the related infrastructure and talent development.” Mo-po went on to assert that Hong Kong’s Cyberport Web3 network and the Hong Kong Science and Technology Park are “vibrant hubs for Web3 innovation and fintech.” He also claimed that industry partnerships and the city’s universities are bringing through blockchain expertise.  The Financial Secretary understands the importance of appropriate regulation. He stated: “The key to success lies in maintaining an open, fair, balanced and forward-looking regulatory approach that is conducive to the sustainable and responsible development of financial innovation, including Web3.”

NFTs to Enrich Reading Experience for Book Lovers in JapanBook lovers in Japan are soon going to be able to enjoy an enhanced reading experience with the introduction of electronic books based on non-fungible tokens (NFTs). Media Do, an ebook distributor based in Tokyo, has partnered with Hayakawa Books & Magazines to publish a series of five NFT-based ebooks. The first lineup is scheduled for release on June 20, 2023.Photo by Hiroshi Tsubono on UnsplashTraditional and digital publishingThis collaboration is noteworthy as it merges the world of physical paper books with digital editions, making it the first-ever initiative to create non-fungible token (NFT) copies of traditional books. By bridging the gap between traditional and digital publishing, readers can now enjoy the benefits of both formats.These NFT-based ebooks offer readers the convenience of accessing and reading them through smartphone apps, while also serving as proof of ownership for each book. Media Do’s NFT platform, FanTop, will facilitate the trading of these NFTs, creating a marketplace for enthusiasts to buy, sell, and collect these unique digital editions.Copyright owner supportWhat sets FanTop apart is its dedication to supporting authors. Each NFT transaction on FanTop will result in a fee paid to the copyright owners, ensuring they receive fair compensation for their valuable work. Connecting more than 2,200 publishers and 150 ebook stores, Media Do aims to develop FanTop into a platform that consistently provides fair and appropriate incentives to copyright owners, including authors and publishing houses.Enriched reading experienceMoreover, these NFT-based ebooks will elevate the reading experience by offering exclusive content such as alternative endings, commentaries, and guidelines. NFT ebooks possess a unique ability to incorporate videos and music, thereby enriching the reader’s understanding of the original text and immersing them in the world of the work. In the future, NFT ebooks may even include licensed works such as films or music that inspired the author during the writing process. This additional value will fuel demand in the secondary market, including trading on FanTop.Empowering creatorsFanTop aims to establish itself as a non-speculative platform that focuses on distributing valuable content. It is dedicated to empowering creators, allowing them to exercise autonomy in determining specific trading details for their works. This includes the ability to set royalties and other parameters that align with their preferences and goals.Higher books sales with NFTsSince October 2021, FanTop has been offering exclusive NFT materials to promote sales of paper books. This initiative has allowed readers to enjoy the digital versions of their books on FanTop. As of March 2023, the sales of about 100 works, which included NFT copies, were 32% higher than their original editions within 30 days of release. Their average sales price was also 31% higher than their original counterparts. Media Do has been collaborating with over 70 companies, including publishers, to plan and develop content with NFT-based books.