One Store’s App Market to Support Polygon-Based dApps

Blockchain-based digital payment network enterprise Ripple has announced that it has acquired in-principle approval of a financial services license from the Dubai Financial Services Authority (DFSA) in the United Arab Emirates (UAE). In a press release published on the firm’s website on Oct. 1, Ripple claimed that the approval “unlocks Ripple’s end-to-end payment services in the UAE, boosting Middle East operations.” The in-principle approval is a first step on the company’s path towards full approval. That eventuality will enable Ripple to offer cross-border payment services relative to fiat and digital assets, within the Dubai International Financial Center (DIFC) special economic zone.Photo by Moose Photos on PexelsExpanding Middle Eastern presenceThe company claims that pursuing the license is part of a broader strategy to expand its Middle Eastern presence. It follows on from the firm’s move in 2020 to establish its Middle Eastern headquarters in Dubai. Ripple claims that the licensing “significantly strengthens Ripple’s global footprint as a regulated entity and enables the introduction of seamless cross-border payment services, including Ripple Payments Direct (RPD), in the United Arab Emirates (UAE).” In moving from in-principle approval to full approval, Ripple will have further obligations to accomplish, such as securing office space within the DIFC special economic zone. The company had previously indicated its intention of establishing an office within the DIFC. Back in August, it emerged that Ripple had partnered with the DIFC Innovation Hub with a view towards promoting blockchain and digital asset innovation within the UAE. Regulatory clarity in the UAERipple is striving to become the first blockchain-enabled payment services provider licensed by the DFSA. Once licensed, the company plans to roll out its enterprise-grade digital asset infrastructure. Ripple’s XRP has been one of five digital assets approved by the DFSA such that investment funds are allowed to invest in it, although the regulator did indicate in June that it is moving towards expanding the list of recognized tokens. Mired in legal difficulties with local regulator the Securities and Exchange Commission (SEC) in its home market of the United States in recent years, the company signaled a change of strategy in 2023, indicating its interest in focusing more on international expansion. While speaking at an event in Dubai at the time, Ripple CEO Brad Garlinghouse said that Ripple was expanding in Dubai. Taking to X in relation to this latest milestone, Garlinghouse wrote that “regulatory clarity is what businesses want, and what consumers need,” adding that “the UAE understands that.” In the company’s press release, Garlinghouse referred to the “forward-thinking regulatory approach” being pursued in the UAE, which he believes is positioning the country “as a global leader in this new era of financial technology.” The UAE isn’t the only focus for the company’s international expansion. Ripple has established an office in Singapore which handles over 50% of the firm’s payment flows. On Oct. 1, U.S. investment bank Houlihan Lokey published a report in which it highlighted Ripple as an emerging competitor to the SWIFT cross-border payments system.  Although the company has had some success in navigating its way through litigation with the SEC in the U.S., it’s thought that the dispute may be prolonged further as some commentators have suggested that the SEC plans to appeal a recent court decision. 

Korea and Japan Collaborate to Develop Accounting Standards for Virtual AssetsThe Korea Accounting Institute (KAI) announced today that it held a bilateral meeting yesterday with the Japanese Financial Accounting Standards Foundation (FASF) to discuss devising accounting standards for virtual assets. Among the attendees were high-level officials of the FASF, including Yasunobu Kawanishi, Chair of the Accounting Standards Board of Japan.Photo by Shubham’s Web3 on UnsplashConsensus on establishing standardsBoth parties agreed on the importance of establishing accounting standards for virtual assets. These standards should be practical and easy to follow, ensuring that they offer sufficient information to readers of financial statements.Reciprocal sharing of progressKAI is in the process of revising the Korean version of the International Financial Reporting Standards (K-IFRS) to require companies to disclose information related to virtual assets within the annotations of their financial statements. This mandatory disclosure of virtual asset-related details was announced by the Korean Financial Services Commission last month, with implementation scheduled for January of next year. This significant update was a topic of discussion in the meeting. Similarly, the FASF reciprocated by sharing its own progress and advancements.This meeting was arranged in light of the deepening relations between the two nations. The close collaboration between the two groups is poised to give Korea momentum to broaden its global presence. Moving forward, the accounting bodies of both countries are committed to continuing their cooperative efforts.

KuCoin Ups Compliance via Mandatory KYCKuCoin, the Seychelles-headquartered global cryptocurrency exchange, has unveiled plans to strengthen its Know Your Customer (KYC) system by introducing mandatory identity checks.In an official announcement on Wednesday, KuCoin stated that this upgrade aims to ensure compliance with global anti-money laundering (AML) regulations. Effective from July 15, KuCoin will require all new users to undergo KYC authentication as part of the registration process. Those who fail to complete the KYC process will be unable to access KuCoin’s wide range of products and services, according to the exchange.Photo by Markus Winkler on UnsplashExisting and new usersFurthermore, existing users who registered prior to July 15, 2023, will also be required to complete the KYC process to access certain features on KuCoin. Withdrawals will remain unaffected for these users. However, they will no longer be able to deposit new funds, the announcement outlines.Despite the introduction of mandatory KYC, KuCoin’s existing non-KYC users will still be able to utilize services such as spot trading sell orders, futures trading deleveraging, and margin trading deleveraging. Additionally, other available services for existing non-KYC users include redemptions at KuCoin’s staking and lending hub, KuCoin Earn, and exchange-traded funds’ redemption.Johnny Lyu, the CEO of KuCoin, explained the KYC process, stating: “A complete KYC process requires users to provide their name, identification number, and identification photo, and undergo facial recognition.” Lyu emphasized that KuCoin carefully verifies customer identification and collects the necessary data in compliance with the laws and regulations of applicable jurisdictions.He added: “Typically, we require customer identification information including information on the customer’s name and further identifiers such as a physical address, date of birth, and national ID number.”Risk profile data collectionIn accordance with regulatory requirements, KuCoin also collects additional information regarding a customer’s business and risk profile. This includes details about the nature and volume of trading activity and the origin of virtual funds deposited, according to Lyu.Lyu underscored that KYC has always been a principle adhered to by KuCoin and that identity recognition is an established part of its process. He further highlighted that KuCoin’s KYC policy is designed to align with regulations in applicable jurisdictions, as there is no unified global KYC regulation at present.KuCoin has also made it clear that the exchange does not support the United States KYC requirements based on their current or updated KYC rules. This new mandatory KYC update will impact a significant number of cryptocurrency users globally. As of July 2022, KuCoin reported over 20 million registered accounts on its platform.Leading global exchangeKuCoin is also recognized as one of the world’s largest cryptocurrency exchanges in terms of trading volumes. At the time of writing, KuCoin’s daily trading volumes exceed $540 million, with more than 8 million monthly visits, according to data from CoinGecko. For comparison, major United States-based exchange Kraken receives approximately 5 million visits per month, with a daily trading volume of around $380 million.This move by KuCoin follows a trend of increasing KYC policies among cryptocurrency exchanges. In May, Dubai-based Bybit restricted non-KYC users from withdrawing more than 20,000 Tether (USDT) monthly. It has been reported that cybercriminals have taken advantage of KYC requirements, selling hacked and verified crypto accounts on the darknet for as low as $30 as of April 2023.