Regulatory Dynamics

1. Europe is seeking opinions on tax standards for crypto assets.

The head of the OECD Tax Policy Center stated that the organization plans to introduce a universal reporting standard for crypto asset taxation in 2021. This standard will be similar to the existing anti-tax evasion standards. The relevant proposal was released in November, and the European Commission will collect public feedback by the end of December. The new rules are expected to be launched in the third quarter of 2021.

2. Kazakhstan Studies Central Bank Digital Currency

The Central Bank of Kazakhstan is studying the launch of a central bank digital currency ( CBDC ). According to a survey, 80% of central banks worldwide are currently conducting research or pilot programs on digital currencies. The Kazakh central bank is collaborating with international organizations to explore regulatory methods and is observing pilot projects in multiple countries. The country plans to release a report on the introduction of digital currency in the second half of 2021.

3. Nigeria establishes new regulatory framework for cryptocurrency

The Nigerian Ministry of Finance is collaborating with the securities regulatory agency to establish a new regulatory framework for blockchain and cryptocurrency. This move aims to provide a regulatory environment for digital assets, which could accelerate the country's adoption of cryptocurrencies. The regulatory objective is to set standards to create a fair and effective market, rather than hindering innovation.

4. Suzhou will test digital renminbi red envelopes.

Following Shenzhen, Suzhou plans to launch a digital RMB red envelope test on December 12. Currently, many merchants in Suzhou's Xiangcheng District have installed NFC QR codes, and testers have experienced digital RMB payments, including "offline" and "tap" functions. Chengdu is also conducting internal testing by inviting users to download the digital RMB wallet.

5. The Queen of England expresses interest in blockchain

Queen Elizabeth II of the United Kingdom recently expressed interest in blockchain. This was in response to receiving a blockchain research journal. The journal is the first open-access blockchain research journal that is available both in print and online.

Industry News

1. The PlusToken case has seized a large amount of cryptocurrency assets.

The second-instance ruling of the PlusToken Ponzi scheme shows that a total of approximately $4.2 billion worth of various cryptocurrencies was seized, including nearly 200,000 bitcoins, 830,000 ethers, and others. The ruling states that the confiscated digital currencies have been handled according to the law, and the funds and profits obtained will be confiscated and turned over to the national treasury. According to reports, most of the assets were sold between the end of 2019 and mid-2020, but there may still be about 15,000 bitcoins that have not been sold.

2. Ethereum 2.0 Genesis Block Launch Conditions Met

The Ethereum 2.0 staking contract has received over 520,000 ETH, meeting the minimum requirement to launch the genesis block. This means Ethereum 2.0 can be launched as planned on December 1. The combination of staking and DeFi also brings new gameplay to ETH2.0.

3. Facebook plans to launch cryptocurrency early next year.

According to informed sources, Facebook plans to launch its cryptocurrency Libra in a limited form as early as January 2021. Initially, it may issue a single stablecoin pegged to the US dollar, with other currencies to be introduced later. The specific issuance time depends on the approval of Swiss financial regulators.

4. China Construction Bank cancels digital bond issuance plan

The digital bond Longbond SR Notes USD Feb 2021, initiated by the China Construction Bank Labuan Branch and based on Ethereum, has been canceled. The trading platform that underwrote the bond stated it has accepted this decision, suspended the relevant listing procedures, and has begun to return funds to investors.

5. South Korea Cryptocurrency Regulation