HashKey OTC scores in-principle approval in Singapore

Sony Network Communications and Startale Labs to Launch Joint Blockchain VentureProminent Japanese internet service provider Sony Network Communications and Singapore-based Web3 company Startale Labs are undertaking a new joint venture to develop a blockchain network for facilitating the worldwide adoption of Web3.Photo by CHUTTERSNAP on UnsplashCultivating an innovative Web3 ecosystemThis comes after Sony Network Communications’ initial $3.5 million investment in Startale Labs back in June. Both companies expressed their commitment to paving the way for revolutionary Web3 applications through the development of a solid blockchain infrastructure. To do so, they said that they would leverage Sony Group’s knowledge and expertise in various sectors, such as gaming, music, entertainment, and financial services, to apply a multifaceted approach to the joint venture.“By combining Sony Network Communications’ experience in communication, the Internet of Things (IoT), artificial intelligence (AI), and solution services with Startale Labs’ insights and technical prowess in Web3, we aspire to create a global infrastructure that underpins the Web3 era, driving innovation across existing industries,” said Jun Watanabe, President and Representative Director of Sony Network Communications.The new business will be established this month under the name Sony Network Communications Labs.“This joint venture is founded on the synergy created by our respective assets and knowledge, and it is aimed at collectively developing a leading blockchain ecosystem. We are determined to discern Web3 trends and drive them globally,” said Sota Watanabe, CEO of Startale Labs.Governmental supportSony Group, Sony Network Communications’ parent company, has consistently been making strides in the Web3 realm. Sony Bank, another affiliate of the group, joined hands with Mitsui & Co. Digital Asset Management (MDM) a few months ago to establish MDM’s security token service Alterna.These efforts have been encouraged by a backdrop of active support for Web3 and crypto businesses from the Japanese government. The Japanese National Tax Agency recently announced the revised corporate taxation rules for crypto assets, which renders companies exempt from taxes on unrealized gains from cryptocurrencies if the virtual assets were issued by the company and have been continuously held since issuance, or if they have remained subject to certain transfer restrictions since issuance.Startale Labs’ popular smart contract platform Astar Network also recently launched an Ethereum layer 2 scaling solution dubbed Astar zkEVM: Supernova with Polygon Labs in a strategic move to expand Web3 adoption in Japan and onboard more enterprise partners.

BitOasis Obtains First Early-Stage Broker Dealer License in DubaiBitOasis, a leading platform within the Middle East and North Africa (MENA) region for the purchase, sale and trading of cryptocurrency, has become the first crypto company to be awarded a broker-dealer license by the Dubai regulator.Photo by ZQ Lee on UnsplashMinimum viable productIn a blog post published to the company’s website on Monday, BitOasis outlined that it has received a minimum viable product (MVP) Operational License from the Virtual Asset Regulatory Authority (VARA) of Dubai. An MVP incorporates the minimum features necessary to satisfy early adopter clients.It’s a means through which a basic offering can be brought onto the market, feedback can be solicited and the product offering can be improved upon on that basis. From the regulator’s perspective, by offering an MVP licensing programme, it too can adjust regulation as products are further developed.BitOasis CEO and Co-Founder Ola Doudin took to Twitter to welcome the news, outlining that the award of the license is “an important milestone for @bitoasis , the Emirate of Dubai and the growing UAE crypto ecosystem.”The license award now allows BitOasis to provide broker-dealer services in respect of virtual assets under VARAs regulatory oversight, to qualified institutional and retail investors, while basing operations out of Dubai.Serving GCC and MENA regionsBitOasis was founded in 2016 by Doudin alongside Daniel Robenek. It’s focusing its efforts on servicing the Gulf Cooperation Council (GCC) area (which covers six Arab countries, Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates), together with the broader MENA region. BitOasis has also obtained “in-principle” approval from the regulator in Bahrain.The platform offers clients the ability to trade in excess of sixty cryptocurrencies in trading pairs with fiat currencies such as the US dollar (USD), the United Arab Emirates dirham (AED), the Saudi rial (SAR) and the Turkish lira (TL). In developing the business, BitOasis has undergone six funding rounds to date, including two initial seed rounds, together with Series A and Series B-level funding. Its backers include companies such as Banvest, Pantera Capital, Digital Currency Group, Wamda Capital and Global Founders Capital.Strategic partnershipsThe company stated that it intends to leverage the license to “launch strategic partnerships in Dubai and across the United Arab Emirates.” Additionally, the licensing will enable the company to launch new virtual asset products “with a continued focus on driving accessibility, consumer protection and utility across the virtual asset ecosystem.”VARAs CEO Henson Orser welcomed BitOasis to the Dubai regulator’s MVP programme phase and outlined that “the VARA ecosystem aims to strike a balance between value creation, risk mitigation, and enhanced investment opportunities with consumer protection at its core.”Dubai and the United Arab Emirates more broadly, have been moving at pace more recently in an effort to develop a regional hub for the virtual assets industry. Last month it emerged that the UAE had begun accepting licensing applications from crypto companies and only a number of weeks later, Dubai’s VARA has already awarded its first license.A number of weeks ago, crypto exchange Bybit announced that it was basing its operations out of Dubai. VARA is licensing crypto companies on a stage by stage basis. In response to a number of high profile crypto firm failures in other jurisdictions in 2022, the Dubai regulator outlined in April that it was stepping up its level of scrutiny of crypto businesses.

Cryptocurrency exchanges operating in the Dubai International Financial Centre (DIFC), a financial hub in the United Arab Emirates (UAE), entered a new compliance environment on Jan. 12 as updated Crypto Token rules issued by the Dubai Financial Services Authority (DFSA) came into force. The revised framework bars exchanges from offering certain digital assets.Photo by Christoph Schulz on UnsplashPrivacy tokens restricted to private walletsThe affected assets are privacy tokens like Zcash (ZEC) and Monero (XMR), although the restriction does not prevent Dubai residents from holding those coins in private wallets. The move is aimed at addressing anti-money laundering (AML) and sanctions compliance risks. The exclusion of privacy tokens reflects alignment with global compliance standards, according to Elisabeth Wallace, Associate Director of Policy & Legal at the DFSA. She told CoinDesk that bans of this kind are effectively inevitable if crypto businesses want to align with standards set by the Financial Action Task Force (FATF), given that privacy tokens are designed to obscure transaction histories and the identities of holders. The revised rules extend beyond token classifications, preventing regulated firms from deploying or providing tools designed to mask blockchain activity. These include mixers, tumblers, and other technologies that obscure transaction information. At the same time, the DFSA refined its classification of what it terms “Fiat Crypto Tokens,” limiting the category to tokens pegged to fiat currencies and backed by high-quality, liquid assets capable of meeting redemption requests under market stress. Under this definition, algorithmic stablecoins such as Ethena (ENA) would not qualify as stablecoins, though they would still be treated as cryptocurrencies. The update also alters how token eligibility is determined. Rather than maintaining a centralized list of approved assets, the DFSA now requires licensed firms to carry out their own assessments of the crypto assets they offer, document those judgments, and keep them under ongoing review. Thailand enforces crypto travel ruleComparable regulatory tightening is unfolding elsewhere in Asia. In Thailand, during a high-level meeting on Jan. 9, Prime Minister Anutin Charnvirakul said the Securities and Exchange Commission had been instructed to strictly enforce the travel rule, according to The Nation Thailand. The international standard requires crypto service providers to verify both senders and recipients in wallet-to-wallet transfers. The directive forms part of a broader government initiative to establish a national data bureau, envisioned as a centralized platform for real-time monitoring of suspicious transactions and the development of detailed financial risk profiles. In South Korea, enforcement actions have similarly intensified. According to Dailian, Korbit, the country’s fourth-largest crypto exchange, paid a 2.73 billion won ($1.9 million) fine imposed by the Financial Information Unit (FIU) under the Financial Services Commission (FSC) for violations of anti-money laundering (AML) rules. The payment followed a board decision and was made within a reduced-penalty period, allowing Korbit to receive a 20% discount. Crypto firms comprise 77% of Korean finesA broader review of penalties issued by the FIU since the disclosure of its sanctions guidelines shows that 77% of total fines were levied against virtual asset service providers (VASPs). While an analysis by Digital Asset found that only four of 95 fine cases issued since August 2023 involved VASPs, those cases accounted for a disproportionately large total of 41.8 billion won ($28.4 million). Exchanges fined to date include Delio, Hanbitco Korea, Dunamu—the operator of Upbit—and Korbit, with Dunamu receiving the largest penalty imposed by the FIU to date. The sanctions were linked to alleged know-your-customer (KYC) failures, unreported transactions involving individuals subject to warrants, and shortcomings in systems designed to detect suspicious activity. Separately, the FIU had issued disciplinary measures against Dunamu, including a warning to its chief executive and a three-month partial suspension of operations, which the company is contesting in court. The next hearing is scheduled for February. In overall fine totals, casinos ranked behind crypto firms, underscoring how enforcement against crypto intermediaries has been particularly robust, as oversight patterns continue to evolve.