Newsfeed

On 1 August 2024, Mr. Lim Tuang Lee, Assistant Managing Director (Capital Markets Group) at the Monetary Authority of Singapore (MAS), addressed the Singapore Governance and Transparency Forum, highlighting the critical importance of sustainable governance. Mr. Lim congratulated the award winners for their progress in corporate governance disclosures and practices, emphasizing the theme “Navigating Sustainable Governance.” He stressed the growing investor interest in companies that prioritize sustainability, business ethics, and integrity. Mr. Lim articulated three key principles—Profit, People, and Planet—that companies should focus on to achieve sustainable governance. He proposed that businesses, while aiming for profitability, should also prioritize their ecosystems, including customers, employees, and communities, to ensure long-term viability. He emphasized the importance of fostering a positive culture within organizations to engage stakeholders effectively and highlighted the...

On 30 July 2024, Coinbase came under scrutiny following allegations that it violated campaign finance laws by making a $25 million donation to the Fairshake super political action committee (PAC) while bidding for a federal government contract. These claims were brought forward by Molly White, a prominent crypto skeptic and founder of the “Web3 is Going Just Great” website. White contends that the timing of Coinbase’s contribution coincides suspiciously with its involvement in federal contract negotiations. She noted that the U.S. Marshals Service had issued a request for proposals on 4 March 2024, with Coinbase securing a $32.5 million contract on 1 July 2024. White alleges that the $25 million donation on 30 May 2024 fell within a period prohibited for contributions by federal contractors. In response, Paul Grewal, Coinbase’s Chief Legal Officer, dismissed the allegations as "misinformation" in a post on 2 August 2024. Grewal emphasized that Coinbase does not classify as a federal...

On 30 July 2024, in a recent development, the XRP Ledger will now offer tokenized US Treasury bills (T-bills) to investors through a new partnership with OpenEden, a leading tokenization platform. This initiative, set to transform decentralized finance (DeFi), integrates traditional real-world assets (RWAs) into the XRPL ecosystem, providing new investment opportunities and enhanced security. OpenEden’s introduction of tokenized T-bills to the XRP Ledger marks a significant milestone. T-bills, short-term US government debt obligations backed by the Department of the Treasury, will be available as TBILL tokens on the XRPL. These tokens are backed by short-dated US T-bills and reverse repurchase agreements collateralized by US Treasuries. To ensure security and regulatory compliance, minters undergo stringent Know Your Customer (KYC) and Anti-Money Laundering (AML) screenings. Ripple, the company behind the cryptocurrency XRP, has committed $10 million to OpenEden’s TBILL tokens. This...

On 30 July 2024, the Commodity Futures Trading Commission’s (CFTC) Office of Customer Education and Outreach (OCEO) issued a customer advisory highlighting the risks and multi-faceted nature of fraud schemes that often target victims repeatedly. This warning serves to remind the public that trading frauds can evolve into additional scams, such as fraud-recovery scams and money laundering schemes. Fraud in the digital asset space has become increasingly sophisticated, often involving multiple stages to extract as much value as possible from victims. "We tend to see this in what we call relationship confidence frauds or what the perpetrators call pig butchering frauds," said Melanie Devoe, Director of the Office of Customer Education and Outreach. "These frauds are heinous crimes that leave victims with significant losses and broken hearts. Then, the victims are harmed again by fraud-recovery schemes or convinced to open bank accounts and move stolen money." Victims of initial frauds...

On 26 July 2024, the Commodity Futures Trading Commission (CFTC) announced that Senior Judge David C. Guaderrama of the U.S. District Court for the Western District of Texas entered an order on 9 July 2024, assessing monetary relief totaling over $31 million against Abner Alejandro Tinoco and his company, Kikit & Mess Investments, LLC. The court's ruling mandates Tinoco and Kikit & Mess to pay, jointly and severally, $6,203,792.18 in restitution to 199 defrauded victims, $6,257,904.89 in disgorgement with credit for restitution payments, and a $18,773,714 civil monetary penalty, which is three times the amount of unlawful gains from their fraudulent forex and cryptocurrency scheme. This order follows an initial consent decree issued on 25 March 2022, permanently enjoining Tinoco and his firm from future violations of the Commodity Exchange Act (CEA) and CFTC regulations, and banning them from trading in any CFTC-regulated markets. The court found that the defendants engaged...

On 30 July 2024, the Seoul Central District Court made a landmark ruling in favor of Wemade CEO Park Kwan-ho, ordering the now-defunct virtual asset exchange GDAC to return 7.8 million WEMIX tokens, valued at approximately $7.31 million, to Park. This decision brings to light critical issues surrounding exchange operations, regulatory compliance, and investor protection in the unpredictable world of digital assets. The court's decision, which supports Park’s application for a temporary injunction filed on 29 July 2024, requires GDAC to comply within 30 days or face a daily fine of 3 million won after the deadline. The ruling dismisses GDAC’s allegations against Park of market manipulation and money laundering, raising questions about the exchange’s ability to maintain a 100% reserve ratio, contradicting its previous statements. GDAC's troubles began after a hacker attack in April 2022 resulted in losses of about 20 billion won ($14.48 million), which may have compromised the...

On July 30, 2024, the Securities and Exchange Commission (SEC) charged Nader Al-Naji, the founder of the BitClout blockchain protocol now known as Decentralized Social (DeSo), with perpetrating a multi-million-dollar fraudulent crypto asset scheme. Al-Naji, who adopted the pseudonym "Diamondhands" to evade regulatory scrutiny, is accused of defrauding investors through the unregistered offering of BitClout’s native token, BTCLT. According to the SEC’s complaint, Al-Naji began raising funds in November 2020, ultimately amassing over $257 million through unregistered offers and sales of BTCLT. He misled investors by claiming that the proceeds would not be used to compensate him or BitClout employees. Contrary to these assurances, Al-Naji allegedly diverted more than $7 million of investor funds for personal expenditures, including rental payments for a Beverly Hills mansion and extravagant cash gifts to family members. To further obscure his activities and avoid regulatory scrutiny,...

On 29 Jul 2024, the Securities and Futures Commission (SFC) issued a public warning regarding Proxinex, an entity suspected of engaging in virtual asset-related fraud. The alert comes in response to numerous reports from investors who have encountered significant difficulties when attempting to withdraw virtual assets from Proxinex. In many instances, investors were informed that their "accounts did not exist," raising serious concerns about the legitimacy of the platform. The SFC has uncovered troubling evidence that suggests Proxinex recruited an agent to entice investors to deposit funds via dating apps. This agent allegedly fabricated documents, including an income certificate purportedly issued by a financial institution in Hong Kong and a letter purportedly issued by a local financial regulator. These falsified documents were used to bolster the agent’s personal profile, thereby gaining the trust of potential investors and luring them into the fraudulent scheme. In response to...

On July 28, 2024, Moomoo announced it has secured a Major Payment Institution (MPI) license from the Monetary Authority of Singapore (MAS), making it the first digital brokerage in Singapore to obtain a license for digital payment token services. This milestone allows Moomoo to operate as a regulated crypto business in the region. As a broker-dealer and custodian licensed by MAS (License No. CMS101000), Moomoo ensures that all its users can continue to deposit and withdraw in SGD or USD from their local bank accounts with zero fees. Additionally, the first 5,000 clients of Moomoo Crypto will enjoy 0% commission until September 30, 2024. Founded in 2018 as a subsidiary of Nasdaq-listed Futu Holdings, Moomoo debuted in Singapore in 2021, offering low-cost stock trading on its mobile app. Earlier this month, Futu also upgraded its Type 1 license in Hong Kong to include virtual asset dealing services. This upgrade enables Futu Securities to provide virtual asset dealing services to both...

On 29 July 2024, the Monetary Authority of Singapore (MAS) announced that Mr. Chee Hong Tat, the Minister for Transport and Second Minister for Finance, will be appointed Deputy Chairman of the MAS Board of Directors. This appointment, set to take effect from 23 August 2024, will run until 31 May 2027. Mr. Chee was previously appointed to the MAS Board on 1 June 2024, underscoring his rising influence within the organization. Mr. Chee's appointment marks another milestone in his illustrious career. Elected as a Member of Parliament for the Bishan-Toa Payoh Group Representation Constituency (GRC) in 2015 and re-elected during the 2020 General Elections, he has held several key positions. These include serving as Acting Minister for Transport and concurrently as Senior Minister of State for Finance since 12 July 2023. His experience spans various ministries, including Health, Communications & Information, Education, Trade & Industry, and Foreign Affairs. Born in 1973, Mr. Chee...

On 26 July 2024, the Swiss Financial Market Supervisory Authority (FINMA) released its latest guidance, “FINMA Guidance 06/2024,” addressing the burgeoning field of stablecoins. As these digital assets gain prominence, FINMA’s guidelines underscore the legal, financial, and reputational considerations for issuers and banking institutions. This guidance represents a forward-thinking approach, poised to significantly enhance the landscape of stablecoin regulation and cryptocurrency engagement in Switzerland. The guidance builds on FINMA’s 2019 supplement to the ICO guidelines, elucidating the regulatory nuances for stablecoin issuers. Stablecoins, designed to provide price stability through linkage to underlying assets such as national currencies, fall under banking law or collective investment schemes depending on asset management practices. These digital currencies must comply with the Anti-Money Laundering Act (AMLA), reinforcing the need for robust verification processes to...

On July 27, 2024, former U.S. President Donald Trump delivered the keynote address at the Bitcoin 2024 conference in Nashville, Tennessee, sending ripples through the cryptocurrency community and igniting a wave of bullish sentiment. With a packed audience and millions watching online, Trump passionately declared his ambition to transform the United States into the “crypto capital of the world.” His speech, filled with bold promises and visionary statements, significantly influenced social media and market reactions, positioning Bitcoin (BTC) as the focal point of positive speculation and optimism. By outlining a strategic plan that includes creating a national Bitcoin reserve and appointing a dedicated advisory council for cryptocurrency regulation, Trump vowed his commitment to integrating digital assets into the national economic framework, further solidifying Bitcoin's role in the financial landscape. Furthermore, declaring that Bitcoin would one day overtake gold, he highlighted...