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standardizing regulation
The Board of the International Organization of Securities Commissions (IOSCO) issued a new report on digital assets yesterday as the standards body asks for a final comment from the public by July 31 before it finalizes recommendations for its members. The 68-page “Crypto and Digital Asset (CDA) Recommendations” offers 18 policy recommendations which aspire to create “greater consistency with respect to regulatory frameworks and oversight in its member jurisdictions, to address concerns related to market integrity and investor protection arising from crypto-asset activities.” See the report (PDF).
IOSCO has been busy preparing structure for its digital asset recommendations to global regulators. In July of last year, it released “IOSCO Crypto-Asset Roadmap for 2022-2023.” Get it (PDF). And in March of last year, it released a report on Decentralized Finance (DeFi) intended to educate its members on DeFi. Get that one (PDF). The Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission are members of IOSCO. Read more in Cointelegraph.
Hong Kong crypto
Hong Kong’s Securities and Futures Commission (SFC) is moving quickly to bring crypto under its regulatory umbrella and unlock crypto markets in the region. In a press release yesterday, the SFC’s Chief Executive Officer Julia Leung said, “Hong Kong’s comprehensive virtual assets regulatory framework follows the principle of ‘same business, same risks, same rules’ and aims to provide robust investor protection and manage key risks. This will enable the industry to develop sustainably and support innovation.”
CNBC reports on the news and how it aligns with Hong Kong’s desire to become a “crypto hub.” Read it.
misinformation mining
Mining may not be having the negative impact across the environment and local economies that critics are pushing. So says a new article from CoinDesk that looks at crypto mining at Greenidge Generation in New York State. “Many of the statements made by environmentalists – for example, that Greenidge is causing the average temperature of Seneca Lake to rise, or causing harmful algal blooms, or emitting jet engine-loud noise – are easily disproved by state-collected data and in-person experience.” Read more.
Nic Carter, who separately raised up the possibility of Choke Point 2.0, tweeted in response his approval of the article saying in part, “Greenidge didn’t restart a coal plant to mine bitcoin – they converted it to cleaner gas, and provide power back to the NY grid (which desperately needs the assistance, given the shuttered nuclear plants).” See his tweet thread.
OFAC eyes virtual currency
The U.S. Treasury’s Office of Foreign Assets Control (OFAC) announced sanctions yesterday against North Korean (DPRK) entities suspected of stealing cryptocurrency among other malfeasance. From a U.S. Treasury statement: “The United States and our partners remain committed to combatting the DPRK’s illicit revenue generation activities and continued efforts to steal money from financial institutions, virtual currency exchanges, companies, and private individuals around the world.” Read the release.
The Hill covers the news and notes the Biden Administration’s concern over illicit cyber activities by the North Koreans for over a year now. Read it.
pro-cash
Not everyone is thrilled with digitization of our lives and money, in particular. In fact, all over the globe there are initiatives to preserve the right to cash rather than the trackable digital world says The Wall Street Journal. In a feature article, The WSJ outlines, “The British parliament is considering moves to make sure people are always within reach of an ATM or bank to withdraw cash. In the U.S., Congress is mulling legislation that would require businesses to accept cash, as is already the case in some cities, such as San Francisco.” Read more.
The bill referred to here is probably “H.R.4395 – Payment Choice Act of 2021” from Rep. Donald Payne (D, NJ) and “S.4497 – Payment Choice Act of 2022” introduced by Senator Robert Menendez (D, NJ).
Here’s an overview of the bills and their status from last October from the Atlanta Federal Reserve. (It passed the House in the 117th Congress but didn’t make it through the Senate.)
There do not appear to be any new updates as of the 118th Congress.
investment infrastructure
WeMade, Circle Ventures, Ripple, Alchemy Ventures, NGC and others are investing in a new $40 million fund led by Dispersion Capital and aiming at early stage Web3 “infrastructure” startups. “Dispersion plans to deploy its fund into startups that want to help onboard new crypto users with technology like refreshed data infrastructure, cybersecurity and smart contracts,” explains TechCrunch. Read more.
still more tips
Come in and Register? These Firms Say They Found an SEC-Friendly Crypto Path – CoinDesk
Crypto giant Binance commingled customer funds and company revenue, former insiders say – Reuters
Emails, Chat Logs, Code and a Notebook: The Mountain of FTX Evidence – The New York Times
Interview With a Crypto Scam Investment Spammer – Krebs on Security
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