Coinone reports decline in customer inquiries due to improved user convenience

Bill Winters, the American banker who heads the British financial group Standard Chartered, appeared at the Hong Kong FinTech Week conference earlier this week, where he predicted a future in which cash will give way to blockchain-based systems for everyday transactions. According to Cointelegraph, Winters’ view aligns with that of Hong Kong regulators. At the same time, he stressed the importance of continued experimentation, noting that it remains uncertain how this transformation will ultimately take shape. Winters also commended Hong Kong’s leadership in exploring the potential of digital finance. Tech-driven finance has certainly been one of the key initiatives Hong Kong has been exploring. Recently, the Hong Kong Monetary Authority (HKMA) released its e-HKD Pilot Programme Phase 2 Report, which showed public support for tokenized deposits.Photo by Shubham Dhage on UnsplashReal-world assets gain ground on the blockchainOn-chain data also underscores the rapid growth of the tokenization sector. According to RWA.xyz, the total value of real-world assets (RWAs) deployed on-chain has climbed to $35.63 billion, up 7.8% from a month ago. A study by Ripple and Boston Consulting Group (BCG) estimates that tokenized assets could be worth $19 trillion by 2033, about 530 times their current value. Among RWA assets, the BlackRock USD Institutional Digital Liquidity (BUIDL) Fund, Tether Gold (XAUT), and Paxos Gold (PAXG) currently lead the market in terms of value. Over the past 30 days, BlackRock’s BUIDL Fund slipped 0.06%, while the two tokenized gold products, XAUT and PAXG, jumped 46.65% and 14.19%, respectively. These gains mirror gold’s bullish run in October, when its price surpassed $4,000 per ounce for the first time on Oct. 7. The momentum has since eased slightly, with gold now trading at around $3,969.55 per ounce. Tokenization brings 24/7 markets and P2P flexibilityIndustry experts point to the convenience of tokenization as a key advantage. Speaking to Yahoo Finance, Will Peck, head of digital assets at WisdomTree, explained that tokenized gold allows for around-the-clock trading and direct peer-to-peer (P2P) transactions. He added that gold and Bitcoin act as complementary stores of value, both serving as deflationary assets. Ian Kane, CEO of fintech company Firepan, said tokenized gold appeals to investors as it enables them to retain ownership, leverage their holdings for loans, and generate extra yield, while preserving their principal against debasement or devaluation. These views are not new. Earlier this month, Robinhood Markets CEO Vlad Tenev described tokenization as “a freight train” that “can’t be stopped,” predicting it will eventually transform the global financial system. Similarly, in his annual letter to investors in April, BlackRock CEO Larry Fink said the tokenization of assets could fundamentally reshape the way people invest. By digitizing ownership, tokenized venture capital funds could move beyond their closed circles, giving ordinary investors a stake in early-stage innovation and greater control over their capital. Venture capital faces hurdles in tokenization pushWhile tokenization promises greater accessibility and liquidity, not all market segments are ready for it. According to TheStreet, tokenized venture capital (VC) funds could open a traditionally closed market to more investors, but the process is more complex than it appears. In an interview with TheStreet, Elena Obukhova, founder of Supermoon Ventures, said that liquidity, not technology, is the main obstacle. Unlike tokenized company shares that can be traded freely on public markets, VC funds invest in private startups whose value may take years to materialize through an exit or acquisition. Allowing such funds to trade freely could increase volatility and pressure founders, as interim valuations might distort perceptions and weaken confidence in early-stage ventures. Still, the promise of tokenized venture finance remains within reach. Firms are testing models that limit trading periods, protect investor data, and refine valuation methods to better reflect the illiquid nature of startup investments. Since liquidity events such as initial public offering (IPOs) or acquisitions typically occur only every one to two years for early-stage startups, the path forward will depend on creating systems that can maintain stable and accurate valuations in the interim. Tokenization is rapidly emerging as a transformative force in the financial world, offering greater accessibility, liquidity, and efficiency. As more assets, from gold to venture capital, make their way onto the blockchain, the potential to reshape investment and trading markets grows. While challenges remain, particularly around liquidity and valuation in sectors like venture capital, the continued advancements in tokenization demonstrate its key role in the future of finance.

Ripple Pursues International Growth Via Dubai ExpansionThe Dubai Fintech Summit was held in the Venice of the Gulf earlier this week, bringing with it an announcement from Ripple outlining its plans to expand in the Middle Eastern location.Photo by Christoph Schulz on UnsplashResponding to the regulatory environmentRipple CEO Brad Garlinghouse was a keynote speaker at the Summit on Monday, and he took that opportunity to outline the company’s plans within the region. Immediately following his speech, Garlinghouse took to social media to confirm those plans. He tweeted out:“As I just shared on stage at #DubaiFintechSummit, @Ripple is expanding in Dubai. With 20% of our customers based in MENA and clear regulatory regimes being developed, it’s no surprise that Dubai is emerging as a key global financial hub for crypto innovation to thrive.”It’s no coincidence that at the very same event, Coinbase CEO Brian Armstrong was present alongside the company’s executive team. Armstrong also spoke at the event and the outcome of that involvement saw Coinbase too, signaling that it sees potential in setting up a regional base in the United Arab Emirates (UAE).In Coinbase’s case, it’s understood that it is considering the Emirate of Abu Dhabi as opposed to Dubai. Nonetheless, the rationale for pursuing such a move by both leading digital assets companies is the same. Both have been outspoken about the issues they have with the regulatory situation as it exists in the United States right now, relative to digital assets.Office presenceAs an initial step in that Middle East expansion, Ripple is opening an office in Dubai. The office will be located within the Dubai International Financial Centre (DFIC). In what appears like an effort to underscore the company’s official arrival in the United Arab Emirates, Ripple is holding its seventh annual customer conference in the country’s capital later this year.This week, Garlinghouse confirmed that the company’s prolonged legal battle with the Securities and Exchange Commission (SEC) in the United States is projected to cost the company a whopping $200 million. The Biden administration is using all the major financial agencies in the US to clamp down on the sector. It’s little wonder, therefore, that companies like Ripple and Coinbase are seeking refuge overseas.That regulatory and administrative landscape in the United States relative to crypto stands in total contrast to the experience of Navin Gupta, Ripple’s Managing Director of South Asia & MENA in respect of the UAE. In an interview with CoinDesk TV Gupta said that the “UAE as a market is very attractive to us, the Middle East as a market is doing very well.”Gupta drew on his experience in working in Silicon Valley previously and recalling how back then it had three ingredients that made it function that he believes is now the case for the UAE: talent, venture capital investment and a workable regulatory approach.

Elliptic and CODE join forces to propel crypto compliance in KoreaElliptic, a global blockchain analytics and crypto compliance solutions provider, has partnered with CODE, a Seoul-based Travel Rule solution provider, as part of efforts to expand its operations into the Korean market. Under this agreement, the two companies aim to actively support virtual asset service providers (VASPs) in South Korea in their attempts to adapt to the evolving international regulatory landscape for anti-money laundering (AML) and the crypto Travel Rule.Photo by NordWood Themes on UnsplashCrypto Travel RuleThe Travel Rule refers to the Financial Action Task Force’s (FATF) Recommendation #16, which outlines that VASPs must share certain personal information about customers — including names and account numbers — when facilitating crypto transactions that exceed a certain amount.Empowering VASPs through risk mitigationElliptic and CODE will work together on comprehensive regulatory technology-based (RegTech) solutions to enable VASPs to identify AML and Counter Financing of Terrorism (CFT) risks among virtual asset transactions, ultimately leading the sustainable growth of the crypto asset industry. In particular, CODE will be able to leverage Elliptic’s services to ensure compliance with Travel Rule regulations. Elliptic offers solutions like wallet screening, transaction monitoring, crypto investigations and VASP screening for big names like Coinbase, Binance and BitGo, as well as law enforcement agencies.“This partnership with Elliptic allows us to expand our compliance services beyond Travel Rule-related solutions for VASPs. Elliptic’s advanced technology and expertise will help our corporate members achieve regulatory compliance more efficiently, contributing greatly to enhancing transparency and security throughout the larger virtual asset industry,” said CODE CEO Lee Sung-mi.