Regulators are way more active than ever now to regulate the crypto sector globally. Some nations are setting up crypto-friendly ecosystems, while others are taking strict action. The crypto market remains volatile and could see some volatility in the coming weeks. The interest of institutional investors in cryptocurrencies continues to grow, which is one of the positive signals.
Crypto Token Issuers in Japan Get Tax Relief on Unrealized Gains
To boost the cryptocurrency sector, Japan’s National Tax Agency has decided to exclude cryptocurrency token issuers from paying corporation tax on unrealized profits from their holdings.
The Japanese government is taking a more accommodating stance towards crypto token issuers by exempting them from corporate tax on unrealized gains, provided that the tokens are issued by the company itself and held continuously since issuance and that the tokens are subject to “transfer restrictions” since issuance.
HSBC Steps into Crypto by Enabling Trading of Bitcoin and Ethereum ETFs in Hong Kong
By enabling its customers to purchase and sell Bitcoin and Ethereum ETFs, HSBC is making a significant step towards accepting cryptocurrencies.
HSBC is making a limited but significant move into the cryptocurrency market by offering its customers access to three ETFs traded on the Hong Kong Stock Exchange: CSOP Bitcoin Futures ETF, CSOP Ethereum Futures ETF, and Samsung Bitcoin Futures Active ETF.
RBI Says Stablecoins Pose Risk to Developing Economies
The RBI has expressed concerns that stablecoins could undermine the stability of the financial system in emerging markets and developing economies, and could also be used for money laundering and other illegal activities.
The RBI’s warning was a sobering reminder that stablecoins are not a safe investment and that investors in emerging markets and developing economies should be particularly wary of them.
Canada Makes Move to Support Blockchain and Crypto Industry
In a report issued by the Parliamentary Standing Committee on Industry and Technology (INDU), Canadian legislators have backed cryptocurrencies and blockchain technology.
The report’s 16 proposals provide a roadmap for how blockchain technology can be used to revolutionize industries as diverse as finance, healthcare, and supply chain management.
South Korea’s Crypto Legislation to Safeguard Users
South Korea is taking a proactive approach to virtual asset regulation, with new legislation that aims to protect users and ensure a fair and transparent market.
Specific Financial Transaction Information Act has paved the way for the South Korean government to regulate cryptocurrency more comprehensively.
Fed Chair Powell Says More Rate Hikes Ahead
The Fed is emphasizing to the markets that it takes inflation seriously and will not hold back when required from raising rates.
Jerome Powell, the chairman of the Federal Reserve, stated on Thursday that while the Fed is unsure of the exact timing or magnitude of its interest rate hikes, it intends to proceed at a “moderate pace.”