Will Singapore, Hong Kong step up crypto scrutiny as US cracks down on Binance, Coinbase?

Will Singapore, Hong Kong step up crypto scrutiny as US cracks down on Binance, Coinbase?
  • The moves by the US SEC against Binance, Coinbase spooked investment sentiment just as Hong Kong seeks to establish itself as a trading hub along with Singapore
  • Unlike Singapore and Hong Kong, the US does not have comprehensive regulations for crypto and blockchain firms to operate without fear of regulatory action

US regulatory action against two major cryptocurrency exchanges, Coinbase and Binance, is likely to serve as a reference point for Hong Kong and Singapore as they seek to balance growth with investors’ safety, analysts have said.

The crackdown is the latest in a series of measures by the US Securities and Exchange Commission (SEC), which has levied fines and other penalties against crypto-lending firms, following the collapse of one of the most-reliable crypto exchanges FTX last November that sparked public outrage.

The SEC said Coinbase had acted as a broker, exchange and clearing agency for investments without proper registration. The complaint came a day after the regulator sued Binance, alleging it had tried to evade US regulation.

Binance said the enforcement action was unwarranted and alleged it was a regulatory “overreach” that damages the United States’ status as a global financial hub. Paul Grewal, Coinbase’s general counsel, said in a statement that the company would continue operating as usual and had “demonstrated commitment to compliance”, according to Reuters.

The development spooked investment sentiment just as Hong Kong is seeking to frame regulations to establish itself as a trading hub along with Singapore, which already has such a framework.

The two cities may look at the US action as a reference point, which could mean tighter scrutiny even in the Asian hubs, analysts say.

“There will be a fallout for sure. Hong Kong and Singapore are taking measures to regulate the cryptocurrency industry by proposing new licensing regimes for virtual asset trading platforms,” said Anndy Lian, Singapore-based author of the book “NFT: From Zero to Hero”.

Unlike Singapore and Hong Kong, the US has yet to come up with a comprehensive set of regulations that allows cryptocurrency and blockchain firms to operate transparently without fear of regulatory action.

“The war that the US is waging on cryptocurrencies shows no signs of abating, and it will only intensify as time wears on,” said Julian Hosp, the CEO and co-founder of Cake Group, a fast-growing Southeast Asia’s digital assets innovator.

The regulator’s action is part of a larger trend which is likely to continue into the 2024 presidential election, Hosp said.

Industry cautions on overkill

The Securities and Futures Commission (SFC) in Hong Kong has requested feedback on a proposal that would require virtual asset trading platform operators to obtain the same type of licences as securities traders, Lian said, adding that it had asked other firms who were not applying to prepare for an orderly closure.

Securities, as opposed to other financial assets, are strictly regulated and require detailed disclosures to inform investors of potential risks.

“These developments indicate that cryptocurrency exchanges seeking approval in Hong Kong and Singapore will have to adhere to new regulatory requirements and may be subject to increased scrutiny from regulators,” Lian said.

But new regulations could help establish the legitimacy of the cryptocurrency industry and potentially attract more investors and businesses at a time people are increasingly wary of the US market, analysts said.

“The SEC’s lawsuit primarily focuses on actions that have taken place in the United States and their impact on American citizens,” said Rajagopal Menon, vice-president of WazirX, India’s leading cryptocurrency exchange.

“As for regulators in Hong Kong, such as the Securities and Futures Commission, and Dubai’s Virtual Asset Regulatory Authority, the SEC’s lawsuit can serve as a point of reference or information. However, it does not automatically alter their regulatory stance or trigger immediate action,” he added.

At the two-day Crypto Expo Asia in Singapore, attendees were unbothered by news about Binance and Coinbase, with little to no mention about the developments.

Though the US action may not have a direct impact on other regions, Menon conceded that it could potentially have some indirect influence on their decision-making processes.

Nizam Ismail, founder of Singapore-based compliance consultancy Ethikom Consultancy, said crypto investors too were likely to be more cautious about risks and the need for due diligence on intermediaries.

“These products will be subject to prudential and consumer protection requirements. In the longer term, regulatory gaps will be addressed and consumer protection measures are likely to be introduced,” he added.

The development also exposed extreme price fluctuations in the digital assets which have made many traditional investors in assets like stocks and bonds cautious about investing in the digital asset.

After initially falling to a three-month low of US$25,750 following the Binance lawsuit, bitcoin has rebounded to around US$27,000 in afternoon trade in Asian hours.

Some investors – typically traditional investors, family offices and high net worth individuals – may have been deterred by the US regulator’s lawsuits, while “die-hards” long time investors “would not care”, said Hayden Hughes, the chief executive office and co-founder of Alpha Impact, a social trading platform.

A key takeaway from the incident for Asian hubs like Hong Kong is to have “regulatory clarity”, he said, adding that Hong Kong’s decision to open up to crypto and implement regulations had been a step in the right direction.

But it is unlikely that the event would deter crypto exchanges from seeking approval from Hong Kong and Singapore authorities, he said, highlighting that the two cities would gain from establishing clear rules and a licensing framework.

“Asian hubs can focus on their core mission of protecting the retail investors. There is absolutely no incentive for regulators to move fast and break things,” Hughes said.

Industry executives urged regulators to strike a balance with the fledgling industry.

Hong Kong and Singapore were unlikely to be impacted by the developments “if there is a will on both sides” and regulators are cautious “to not overkill the opportunity”, said Thomas Tallis, CEO of TVVIN, a firm that takes real-world assets and issues them on the blockchain.

Source: https://www.scmp.com/week-asia/economics/article/3223305/will-singapore-hong-kong-step-crypto-scrutiny-us-cracks-down-binance-coinbase

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

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Regulation Rumble: Unpacking The Coinbase-SEC Showdown And What It Means For Crypto

Regulation Rumble: Unpacking The Coinbase-SEC Showdown And What It Means For Crypto
ZINGER KEY POINTS
  • Fitting crypto into traditional laws: Experts question SEC’s approach.
  • Experts call for collaboration: Establishing clear legal framework for crypto in the US.

The Securities and Exchange Commission’s (SEC) Wells notice to Coinbase has sent ripples across the cryptocurrency industry, with experts expressing concerns over the regulator’s approach to regulating the market.

The SEC alleges several violations and highlighted the potential consequences of the ongoing debate about classifying cryptocurrencies as securities, emphasizing Coinbase’s history of compliance with regulatory requirements.

The experts called for a cooperative stance between Coinbase and regulators, urging the establishment of a clear legal framework around cryptocurrency in the United States in order to benefit the entire industry.

AMLBot co-founder Slava Demchuk expressed concerns over the SEC’s approach to regulating the cryptocurrency market, which attempts to fit cryptocurrencies within existing laws designed for traditional financial institutions.

“I suppose all crypto market will support Coinbase in the battle against SEC. It seems like SEC’s latest active participation against crypto market participants aims at destroying the crypto market in the USA,” he said.

Nikolay Denisenko, co-founder and CTO of neo-digital banking app Brighty, highlighted the potential consequences of the SEC’s Wells notice for the ongoing debate about classifying cryptocurrencies as securities and Coinbase’s defense strategy.

“If Coinbase successfully defends itself, it could lead to increased regulatory clarity for the crypto industry, benefiting all parties involved. Coinbase has a strong interest in safeguarding its position, and by doing so, it contributes to the establishment of transparent regulatory guidelines for the future,” he said.

Intergovernmental Blockchain Advisor Anndy Lian called for a cooperative stance between Coinbase and regulators in establishing a clear legal framework around cryptocurrency in the U.S.

“Listing on Coinbase is so much harder than Nasdaq in my humble opinion. If Coinbase fails this preview, then no other companies in the U.S. will pass it. This is just a way for regulators to know more about the crypto business. The stance for Coinbase should be cooperative and work together with the regulators to create clear laws around crypto which will then benefit the whole crypto industry,” Lian said.

Coinbase described the investigation as “cursory” and said the notice provided “relatively little information” about the alleged violations.

Source: https://www.benzinga.com/markets/cryptocurrency/23/03/31509547/regulation-rumble-unpacking-the-coinbase-sec-showdown-and-what-it-means-for-crypto

 

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

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Jupiter price prediction: Coinbase listing gives JUP forecast a bump

Jupiter price prediction: Coinbase listing gives JUP forecast a bump

Layer 1 blockchain network Jupiter’s native token JUP, has outperformed most cryptocurrencies in 2022 by returning over 100% year-to-date as of 12 July. JUP’s listing on crypto exchange Coinbase (COIN) in June has helped the token gain exposure to return-seeking investors amid a crypto bear market.

However, historical data from CoinMarketCap showed that JUP has been through multiple phases of peaks and troughs. The token last hit an all-time high of $0.9044 in September 2017. It lost 99.9% of its value between January 2018 and December 2020.

After more than doubling in value since the start of 2022, JUP still remains about 98% below its record levels at current prices of near $0.015. Here we take a look at what’s next for the token and what factors could shape Jupiter price prediction.

What is Jupiter?

Jupiter is a layer 1 blockchain that allows developers to build applications on top of its network. The project was developed by Missouri-based Sigwo Technologies co-founded by Steve Grove and David May.

According to the company’s website, Grove is an IT professional with over 20 years of experience and has worked in the blockchain technology sector for five years. May had previously founded a decentralised sports-betting blockchain in 2016. He is also a medical practitioner and is exploring the role of blockchain technology in the medical field.

According to its website, Jupiter uses “military-grade encryption” to store data on applications. The blockchain is powered by the Gravity framework that developers can use to create customisable and secure decentralised applications (dApps) on its network. Developers can also use the Jupiter SDK to complete common tasks like data fetching and data encrypting/decrypting.

Metis, an encrypted and decentralised messaging application, is the project’s flagship offering. According to Jupiter, users do not need to submit their personal information to use Metis. The app also offers ad-free experience and two-factor authentication security.

Leda is a non-fungible token (NFT) marketplace built on the Jupiter blockchain that uses the network’s native JUP token to create or buy NFTs. Fndr is an encryption password manager on Jupiter.

JUP is the native token of the Jupiter blockchain used to create and buy NFTs on Jupiter’s NFT marketplace Leda and to earn yield on decentralised and centralised crypto exchanges.

Token holders can also  join the Jupiter Earn program by buying a crypto called FORGE in exchange for JUP.

According to CoinMarketCap, as of 12 July, JUP is the 643rd largest cryptocurrency with a market capitalisation of about $15m. The token has a maximum supply of one billion tokens and JUP’s circulating supply was at 999.17 million tokens at the time of writing.

Coinbase listing and other JUP news

In the most recent Jupiter news, on 22 June Coinbase (COIN) announced that it will list the JUP coin on its exchange, boosting the coin’s value to reach $0.02191 on 24 June, a 70% surge from the $0.0728 a day earlier.

According to Anndy Lian, chief digital advisor at Mongolian Productivity Organization and the author of Blockchain Revolution 2030, the price spike was accompanied by a series of factors.

“Many investors were very hopeful and thought that the market had gone into a recovery mode when the increase happened. I think the market is not at its lowest right now and we could be halfway down the dip,” he told Capital.com.
“The project should market more and build up the confidence level in case the market dips further. It is a fact that most people have not heard much about JUP, and personally, I do not see any of my peers using their blockchain. Listing on Coinbase is the beginning, not the end,” Lian added.

Earlier in June, Metis Messenger was launched on Apple’s App Store. In February this year, Jupiter released Metis Messenger v1.4 that allowed sending and receiving JUP tokens. Future versions will focus on buying and selling assets and managing NFTs within the app.

In late December 2021, crypto exchange KuCoin integrated Jupiter Mainnet to allow deposit and withdrawal services. KuCoin previously listed the token in June 2021.

Earlier in 2021, Jupiter Bridge was hacked on multiple occasions. Fortunately for the users, their funds were not lost and only the Jupiter team was affected, according to the project’s blog post. JUP slumped over 50% in the fourth week of November 2021.

JUP price performance: Volatile ride

Data from CoinMarketCap showed that JUP was trading at around $0.02 on 12 January 2017. The token would see its best year in 2017 amid an initial coin offering (ICO) boom in the cryptocurrency sector.

JUP soared to an all-time high of $0.9044 on 17 September 2017. Even though the token saw its prices drop after hitting record highs, JUP closed the year over 1600% higher at $0.33.

However, its value nearly wiped out in the three years that followed. Between 1 January 2018 and 31 December 2020, the token fell from $0.33 to $0.00029, a slump of 99.9%.

JUP price got a boost after KuCoin listed the token in June 2021, rising to a high of $0.07 in the first week of that month. However, JUP prices failed to keep the momentum and fell 90% to $0.007 by 31 December 2021.

The token has rebounded in 2022 helped by Jupiter’s mainnet integration on KuCoin, release of its latest version of decentralised messaging app and token listing on Coinbase (COIN). As of 12 July 2022, JUP has gained 109% year-to-date from about $0.007 to its current price of about $0.015.

Jupiter price prediction

As of 12 July, CoinCodex’s Jupiter coin price prediction based on technical indicators showed that the token’s value could surge over 100% to reach $  0.030899 by 17 July 2022.

CoinCodex’s one-month JUP price prediction saw the token rising further to $0.047442.

For the longer term, algorithm-based website Wallet Investor’s Jupiter price prediction for 2022 suggested the token could trade at an average price of $0.00159 by the end of the year.

Wallet Investor’s Jupiter price prediction for 2025 saw the token to rise to an average price of $0.000542 by the end of 2025.

DigitalCoinPrice was bullish on JUP’s price performance for the long term. According to its Jupiter price prediction for 2030, the site expected the token to trade at an average price of $0.0695 in 2030.

GovCapital’s Jupiter price prediction as of 12 July 2022 saw the token trading at $0.214 in five years’ time.

 

 

 

Original Source: https://capital.com/jupiter-jup-price-prediction

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

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