Research Summary
The report covers the top 10 cryptocurrency news stories in Asia from November 20 to November 26. Key topics include Singapore’s plan to ban margin trading from 2024, Taiwan’s Financial Supervisory Commission’s proposal to establish a new Virtual Asset Bureau, and the Hong Kong Securities and Futures Commission’s addition of the Hong Kong Digital Institute to its list of suspected virtual asset trading platforms. Other notable stories include the Philippine Bureau of the Treasury’s sale of PHP 15 billion worth of tokenized bonds and the launch of Asia’s first tokenized fund by Janus Henderson.
Key Takeaways
Singapore’s Crackdown on Crypto Speculation
- Margin Trading Ban: The Monetary Authority of Singapore (MAS) plans to ban margin trading from 2024 to curb cryptocurrency speculation among retail investors. The MAS has urged Digital Payment Token (DPT) service providers to refrain from offering cryptocurrency trading incentives and facilitating financing, collateral, or leveraged transactions.
Taiwan’s Regulatory Developments
- Virtual Asset Bureau: Taiwan’s Financial Supervisory Commission plans to establish a new Virtual Asset Bureau to oversee the operations of virtual asset service providers. The bureau will be responsible for customer protection, financial inspections, internal audits, and internal controls.
Hong Kong’s Regulatory Actions
- Suspected Virtual Asset Trading Platforms: The Hong Kong Securities and Futures Commission added the Hong Kong Digital Asset Organization to its list of suspected virtual asset trading platforms. The commission also added BitCuped and HOUNAX to this list.
- Virtual Currency Robbery: The High Court of Hong Kong recently adjudicated a case of virtual currency robbery involving HKD 3.5 million. The case involved a female seller who was threatened by four masked assailants during a transaction.
- HOUNAX Scam: The Hong Kong Police Force uncovered a scam involving the HOUNAX virtual asset trading platform. The scam has resulted in 131 reported victims, with a total amount involved exceeding HKD 110 million.
Philippine Bureau of the Treasury’s Tokenized Bonds
- Tokenized Bonds: The Philippines Bureau of Treasury issued 15 billion pesos (approximately 270 million US dollars) in bonds in digital tokenized form. These bonds were directed towards institutional investors and stored in a blockchain-based distributed ledger owned by the Bureau of Treasury.
Asia’s First Tokenized Fund
- Tokenized Fund: JPMorgan Asset Management International and Meta Lab HK launched Asia’s first tokenized fixed-income fund. The fund focuses on high-grade U.S. bonds and is exclusively available to professional investors.
Actionable Insights
- Monitor Regulatory Developments: The proposed ban on margin trading in Singapore and the establishment of a Virtual Asset Bureau in Taiwan highlight the evolving regulatory landscape for cryptocurrencies in Asia. Stakeholders should closely monitor these developments to understand their potential impact on the market.
- Assess Risks: The case of virtual currency robbery in Hong Kong and the HOUNAX scam underscore the risks associated with virtual asset transactions. Investors should assess these risks and implement appropriate safeguards.
- Explore Tokenization Opportunities: The issuance of tokenized bonds by the Philippine Bureau of Treasury and the launch of Asia’s first tokenized fund suggest growing interest in tokenization in Asia. Stakeholders should explore opportunities in this area.
