Four in 10 wealthy UAE investors hold crypto, survey finds

Korea Blockchain Week to Expand Online Next YearFactBlock, the organizer of South Korea’s largest blockchain event Korea Blockchain Week (KBW) 2023, has unveiled its vision to bring KBW online, aiming to resolve information asymmetry and cater to a larger audience.Photo by Sergey Zolkin on UnsplashExpanding accessThe company’s CEO, Jeon Seon-ik, shared future plans to extend KBW’s reach to the digital realm during the event’s main conference, Impact, at the Shilla Hotel in Seoul on Tuesday. “Next year, we plan to implement online passes to enable people overseas who cannot attend the event in person to do so online,” he said.Growing popularityKBW has experienced continuous growth since its inception in 2018. Last year’s Impact conference attracted over 8,700 attendees, and this year’s event is expected to host more than 10,000. The number of speakers at Impact increased from around 140 last year to over 200 this year, while side events have also doubled.“As KBW grows every year, we are preparing for the event with a greater sense of mission,” Jeon said.This year’s KBW has also come back bigger than ever with events like The Gateway: Korea — an annual Web3 event held to celebrate the NFT community and digital artists — and the SEOULBOUND EDM festival, integrating a diverse range of realms like tech, art, and music.The driving force behind KBWNotably, Jeon also emphasized the importance of the blockchain community. He underscored that KBW’s planning and growth have been achieved with the help of the community and expressed a commitment to continue working closely with it. “We will always strive to make KBW an event with the community, by the community, and for the community,” he said.Jeon also mentioned FactBlock’s plans to provide communities with information on blockchains and virtual assets through its upcoming online platform Fablo, where these communities can learn, interact, and grow together.

BLOX, the Malaysian Web3 firm, has forged a strategic partnership with AsiaPay, a payment processor and gateway solution provider in Asia, focused on crypto payments. Memorandum of understanding (MOU)According to a recently published press release, the collaboration has been formalized through a memorandum of understanding (MOU) and aims to collectively explore and develop cryptocurrency digital payment solutions tailored for the Malaysian market. As global consumers increasingly gravitate towards the most frictionless payment methods, cryptocurrencies are gaining significant traction. However, the seamless integration of cryptocurrencies into day-to-day transactions requires the support of adept payment service providers.Photo by Esmonde Yong on UnsplashStablecoin potentialDespite the burgeoning popularity of cryptocurrencies, the inherent volatility in their prices poses a considerable challenge. To address this challenge, stablecoins have emerged as a viable solution. The adoption of stablecoins has gained momentum, particularly in the business-to-business (B2B) segment, where the efficiency of blockchain-based payments and instant settlement can be harnessed without being hampered by the uncertainties of price fluctuations. It is within the area of stablecoins that BLOX can lend support, given that the entity is responsible for the first Malaysian ringgit-denominated stablecoin (MYRC). Ethan Chung, CEO and Co-Founder of BLOX, expressed enthusiasm about the partnership, stating:“I’m excited to announce our partnership with AsiaPay, enabling Malaysian merchants to effortlessly accept crypto payments without the need for technical expertise. Empowering businesses, simplifying transactions.” Regulatory sandboxThe crypto payment exploration, which will be undertaken by the two companies, is being enabled under the auspices of a regulatory sandbox environment provided by Malaysian central bank Bank Negara Malaysia. Loo Tak Kheong, Country Head and Director at AsiaPay Malaysia, emphasized the added value this collaboration brings to their payment solutions. He said:“At AsiaPay, we provide payment acceptance solutions with multi-currency, multi-lingual, multi-card, and multi-channeled payment capabilities, which we believe by adding an additional payment method via crypto, will further enhance the value-add service to our Merchants and Partners in the payments ecosystem.” AsiaPay operates throughout the Asian region, headquartered in Hong Kong but with a local corporate entity also established to serve the Malaysian market. Malaysia has shown interest in harnessing blockchain for the purposes of international trade and payments. Last year the Southeast Asian country’s Prime Minister had expressed interest in decreasing its dependency on use of the U.S. dollar. Under the guidance of the country’s central bank, Malaysian banks have explored the use of blockchain for the purpose of trade finance. The country had expressed interest in a central bank digital currency (CBDC) in a financial sector blueprint it had previously published, mapping a way forward from 2022 to 2026. The same document deems decentralized cryptocurrencies like bitcoin to be “non-backed digital assets.” Previously the country’s deputy finance minister had said, “cryptocurrencies like Bitcoin are not suitable for use as a payment instrument due to various limitations.” This strategic alliance between BLOX and AsiaPay reflects the ongoing evolution of payment systems, positioning both companies at the forefront of the exploration of crypto-as-a-payment means in Malaysia.

Two Russian nationals have been referred to prosecutors in South Korea for allegedly facilitating the illegal transfer of roughly 58 billion won ($42.2 million) to Russia using USDT, a U.S. dollar-pegged stablecoin. According to a report by KBS News, the Seoul branch of the Korea Customs Service (KCS) announced the charges on May 22, citing violations of the country’s Foreign Exchange Transaction Act. The suspects, a man and a woman both in their 40s, reportedly operated an unauthorized money exchange business to carry out the transactions.Photo by Polina Tankilevitch on PexelsOver 6K transactionsAuthorities suspect the pair of repeatedly using USDT to conduct cross-border transfers between South Korea and Russia. From January 2023 to July 2023, the duo allegedly completed 6,156 illegal remittance transactions, either sending funds abroad or receiving payments on behalf of others, totaling the full 58 billion won in question. Investigators revealed that the two suspects, who hold permanent residency in South Korea and have overseas Korean status, used the messaging app Telegram to solicit clients. When transferring money to Russia, they reportedly collected funds via kiosks in convenience stores that allow users to send money without a bank account. The collected cash was then used to purchase USDT to complete the remittances. According to customs officials, the suspects would either send the cryptocurrency directly to a crypto wallet specified by the customer, or forward it to accomplices in Russia. These accomplices would then convert the crypto to cash and distribute rubles to recipients through local channels. Illicit crypto use by businesses The operation also handled export payments for South Korean businesses. The suspects reportedly accepted payments from Russian importers on behalf of Korean used car dealers and cosmetics exporters. In these cases, associates in Russia would collect ruble payments from importers, convert the funds into USDT and send the cryptocurrency to contacts in Korea. The funds were then exchanged for Korean won and deposited into the accounts of the businesses. Customs officials believe that the group’s services became particularly appealing after the start of the Russia-Ukraine war in 2022. In the wake of U.S. and international sanctions against Russia, legitimate financial channels for cross-border transactions became restricted, prompting some companies and individuals to turn to illegal alternatives. The Korean export companies involved in these transactions have been fined. The Seoul Customs Office emphasized that illegal money exchange operations are often exploited for criminal activities such as drug trafficking, voice phishing and gambling. In response, the agency committed to stronger enforcement and pledged to spare no effort in combating unlawful financial operations. Scams grow inside the borderThe surge in crypto-related financial crimes in South Korea extends beyond cross-border transactions. According to a recent report by Maeil Business Newspaper, Kakao Pay—a local mobile payment platform—has detected around 70,000 cases of malicious apps linked to virtual assets over the past month. Of those, 80% were associated with Ponzi schemes, where fraudsters lure victims with promises of high returns before disappearing with the funds. A Kakao Pay spokesperson noted that new forms of security threats are emerging alongside the rapid growth of the crypto market, adding that the company is prioritizing the development of stronger security systems.