Hong Kong’s ZA Bank, Blockchain gaming investments rise, Binance CEO’s view on crypto regulations and more
ZA Bank’s Crypto Expansion: Pioneering Digital Asset Services in Hong Kong
> Co-founded by Chinese tycoon Ou Yaping, among others, the bank plans to facilitate token-to-fiat currency exchange through licensed platforms, according to CEO Ronald Iu in a recent interview.
> Acting as a settlement bank, ZA Bank will enable customers to withdraw funds in Hong Kong, China and US currencies after depositing crypto tokens on exchanges.
> Iu revealed that this business model is already working with HashKey and OSL, the only two licensed crypto exchanges in Hong Kong currently. More here.
Q1 2023 Sees 12.95% Increase in Blockchain Gaming and Metaverse Investments, Reaching $739 Million
In Q1 2023, the blockchain gaming and metaverse sectors saw a significant increase in investment, with an increase of 12.95% bringing the total to $739 million, according to the latest DappRadar x BGA Games Report.
> Although daily unique active wallets fell by 8.58% during the same period, the overall dominance of the blockchain game in the dapp industry rose to 45.60%, up from 42.87% in Q4 2022.
> Polygon, a blockchain previously known for its DeFi dapps, has emerged as a major player in the blockchain gaming industry, ranking third in terms of activity with an average of 122,307 daily unique active wallets (dUAW) in Q1 2023.
> Alien Worlds and Splinterlands stood out as the top games in terms of user activity on their respective blockchain platforms, with Alien Worlds accounting for 66% of WAX activity and Splinterlands taking 99% of Hive activity.
Binance CEO stresses need for clear crypto regulations at Hong Kong Web3 Festival
> He stated: “Having no regulatory clarity is the worst.
> Having bad restrictive rules is better than that. And then having unclear and then chasing people with enforcement is really, really bad.”
> These comments follow a recent lawsuit against CZ and Binance by the US Commodity Futures Trading Commission, which accuses them of operating an “illegal” exchange and a “sham” compliance program.
> At the time, Zhao had characterized the suit as “unexpected and disappointing”.
> CZ discussed how regulators often attempt to apply traditional financial rules to the crypto sector, despite their fundamental differences. Continue here.
EU pushes for stricter crypto-identity controls to combat Darknet markets
> The study, commissioned by the EU’s European Monitoring Center for Drugs and Drug Addiction, comes as lawmakers in the region advocate for tougher measures against money laundering of cryptocurrency transactions.
> The report also suggests that improved police training may be more effective than outright bans.
> The authors of the report, Kim Grauer and Eric Jardine of Chainalysis, emphasize the importance of countries around the world implementing the recommendations of the Financial Action Task Force.
> This will ensure that users of exchanges, brokers and ATMs can be identified when they withdraw illegal income. Details here.
Zane Tackett’s vision for credit cards and a new market
> He communicated this idea via Telegram, saying: “If they try and fail, it’s not like the creditors are much worse off.”
> Tackett believes FTX should be relaunched with all its previous products and include a market for trading creditors’ claims on the bankrupt firm.
> He cited the example of Bitfinex, which introduced a BFX token after being hacked in 2016. Tackett suggested that the new exchange could offer a market for FTX claims based on one token per $1 lost, similar to Bitfinex’s approach. More here.
Bitcoin rallies strongly amid regulatory hurdles and banking crisis
> The bank highlights that both bitcoin and gold have seen gains as they are seen as hedges against a potentially “catastrophic scenario.”
> According to the report, led by analyst Nikolaos Panigirtzoglou, recent problems in the banking sector have “highlighted the weaknesses of the traditional financial system, as banks’ maturity mismatches make them vulnerable to bank runs”.
> This situation has been perceived by cryptocurrency enthusiasts as evidence supporting the value of the crypto ecosystem.
> In addition, the launch of bitcoin ordinals two months ago has been seen as a positive for the cryptocurrency, with some claiming it could increase transaction fees and increase miner income. Continue here.
Unveiling the Ethereum Shanghai Update: A Comprehensive Guide
> It allows validators to withdraw staked ether (ETH) and rewards that have been unlocked in the Ethereum network.
> This marks the completion of Ethereum’s transition from a PoW to a PoS network, opening new opportunities for scalability, sustainability and mainstream adoption.
> Ethereum started the transition from a PoW to a PoS blockchain in September 2022 with the Ethereum Merge.
> This upgrade replaced the energy-intensive PoW consensus mechanism with the more energy-efficient PoS, where users stake cryptocurrency to validate transactions and receive rewards for their participation. Continue reading.
Warren Buffett lashes out at Bitcoin again: calls it a ‘gambling token’
> Buffett is a highly respected name in the financial world, and his skepticism about the leading cryptocurrency is well known.
> However, his latest comments may seem ill-timed given the asset’s strong performance since early 2023.
> During a recent appearance on CNBC’s Squawk Box, Warren Buffett labeled Bitcoin (BTC) a “gambling token” while questioning its overall value.
> The legendary investor has previously expressed doubts about the digital asset, and his latest comments reinforce his negative view of its value. More here.
Over $7.3 billion recovered in cash and crypto assets
> FTX attorney Andy Dietderich mentioned during a court hearing in Delaware that the company is beginning to consider its future after months of efforts to gather assets and determine the causes of the problems under the leadership of its indicted former founder, Sam Bankman-Fried.
> “The situation has stabilized and the landfill fire is out,” Dietderich stated.
> FTX filed for bankruptcy protection in November 2022 as traders withdrew $6 billion from the platform within three days, and rival exchange Binance pulled out of a bailout. Full report here.
Bitcoin hovers around $30,000 as inflation slows, Ethereum’s Shanghai upgrade concludes
Bitcoin teetered around the $30,000 mark on Wednesday afternoon as the latest Consumer Price Index (CPI) report revealed that inflation eased slightly, but not as much as economists had predicted.
> The leading cryptocurrency by market cap hovered at $30,030, showing little change over the past 24 hours, according to CoinDesk data.
> BTC’s price peaked at $30,548 earlier in the day, following the closely watched Bureau of Labor Statistics inflation report, which showed a 0.1% increase in the CPI for March.
> Meanwhile, Ether (ETH), the second largest cryptocurrency by market cap, was trading at $1,914, up 0.3% from Tuesday at the same time.
