Banking and Finance

Crypto Payments Still Not Legal Under Russia’s “Digital Law”

Crypto Payments Still Not Legal Under Russia’s “Digital Law”

Izvestia, the news portal of the Russian Ministry of Information Technologies, recently reported that cryptocurrencies will still not be considered a legitimate method of payment under the country’s “digital bill” which is expected to establish a legal basis for digital rights and digital transactions. President Vladimir Putin had previously ordered the central bank and the government to submit an assessment of cryptocurrency, including the risks involved and the technological solutions it may offer in banking. However, it may follow from the bill that such currencies may be used as payment “in controlled quantities” in the future. It is said that […]

Mexico Central Bank Forms Cybersecurity Team After Hacking Incident

Mexico Central Bank Forms Cybersecurity Team After Hacking Incident

The central bank of Mexico revealed Tuesday that it has created a cybersecurity unit after a hacking incident last April on a domestic payments system that affected a number of banks in the country. Central bank Governor Alejandro Diaz de Leon said that he expects the measure will prevent such attacks from happening again. Fermin Gonzalez, head of forensic services at PricewaterhouseCoopers in Mexico.added that the attack was quite similar to the Bangladesh central bank cyber heist in 2016 where the hackers got away with around $81 million The central bank did not reveal which banks had been affected, but […]

HSCB Claims “World’s First” Trade Finance Transaction Via Blockchain

HSCB Claims “World’s First” Trade Finance Transaction Via Blockchain

Lat Monday, HSBC says that it has conducted the world’s first trade finance transaction using blockchain technology when it issued a credit letter for U.S. food and agriculture company Cargill. The letter of credit, which is a guarantee from one bank to another, was Issued by HSBC to Dutch firm ING for a bulk shipment of soybeans from Argentina to Malaysia. HSBC and ING revealed that the transaction, which normally would take 5 to 10 days, was done within 24 hours. The transaction was performed on a platform developed by blockchain start-up R3 called Corda which is already being used […]

China Targets National Blockchain Standards by 2019

China Targets National Blockchain Standards by 2019

It was revealed in an interview this week that China is already working on a national standard for blockchain technology. The Electronic Industry Standards Research Institute under China’s Ministry of Industry and Information Technology said that the standards will be developed for implementation in multiple sectors encompassing various decentralized designs. Director of the Blockchain Research Office Li Ming also confirmed a nationwide ‘Blockchain and Distributed Accounting Technology Standardization Committee’ is already being established by the combined effort of a number of relevant government departments. He added that basic standards, business and application standards, process and method standards, credible and interoperable […]

Australia Considers Blockchain for Trade Supply Chain Visibility

Australia Considers Blockchain for Trade Supply Chain Visibility

Australia’s Department of Home Affairs (DHA) has reportedly proposed the use of blockchain technology to modernize the government’s approach to the country’s trade process. The DHA told the Joint Standing Committee on Trade and Investment Growth last Thursday that it is looking at emerging technologies such as blockchain, artificial intelligence, and Internet of Things (IoT) for a suitable framework. A department spokesperson said that since a majority of traders are trusted and interact in a secure and transparent supply chain, the use of blockchain technology should improve the veracity, validation, and analysis of intelligence and trade data. Source: ZDNet

Electrum Cryptocurrency Wallet Copycat Caught Stealing Seed Keys

Electrum Cryptocurrency Wallet Copycat Caught Stealing Seed Keys

Earlier this week, the team behind popular Bitcoin wallet Electrum warned on Github that a copycat app called Electrum Pro has been caught stealing user seed keys. According to the Electrum developers, the party behind the fake wallet even registered the “electrum.com” domain where the malicious app uploads the stolen user seed keys. Anyone in possession of a wallet’s seed keys will be able to access funds within the wallet. However, the Electrum devs further reported that they have not seen any reports of stolen funds.      Source: Bleeping Computer

Facebook Creates Blockchain Group Headed by Coinbase Board Member

Facebook Creates Blockchain Group Headed by Coinbase Board Member

Facebook’s David Marcus announced in a post last Tuesday that he will be leaving his post as head of Messenger to helm a small team tasked to study how blockchain technology can be used for Facebook. Marcus, who sits as a board member on Coinbase, says that his team will be starting from scratch. The move follows Mark Zuckerberg’s statement last January where he mentioned that the company will be looking into blockchain and cryptocurrencies to see how they can be used for Facebook’s services. Source: CNBC

Four Crypto Exchanges Take Legal Action Against India’s Bitcoin Banking Ban

Four Crypto Exchanges Take Legal Action Against India’s Bitcoin Banking Ban

It was reported earlier this week that four more Indian cryptocurrency exchanges have jointly filed a Writ Petition (Civil) no. 373 of 2018 under Article 32 of the Constitution to challenge the validity of the Reserve Bank of India’s circular which sought to cut off banking services to cryptocurrency exchanges. Exchanges Coindelta, Koinex, Throughbit, and CoinDCX and their shareholders recently took to the Supreme Court to dispute the Central Bank’s order to regulated banks and payment platforms to immediately halt their services to persons or entities dealing with virtual currencies. It was noted that a first writ petition which sought […]

Japan Eyes Stricter Cryptocurrency Exchange Rules

Japan Eyes Stricter Cryptocurrency Exchange Rules

It was revealed earlier this week that the Japanese Financial Services Agency (FSA) is set to impose stricter standards on cryptocurrency exchanges that wish to set up in the country to protect investors from incidents similar to Mt. Gox and Coincheck. According to Nikkei, a local FSA official said that a “new perspective” was needed to prevent occurrences where an exchange suddenly folds and takes millions of dollars worth of investor money with it. It was pointed out that some were deliberate exit scams that merely seek to dupe investors out of their cryptocurrency. Nikkei added that the exchanges will […]

New Korean Financial Head Speak on “Positive Aspects” Crypto

New Korean Financial Head Speak on “Positive Aspects” Crypto

In a press conference last May 6, newly appointed governor of South Korea’s Financial Supervisory Service (FSS) Yoon Suk-heun said that he sees “some positive aspects” to cryptocurrencies and mentioned that the FSS will be working on crypto regulatory “issues” in collaboration with other regulators. The FSS governor said that better regulation may lead to a secure financial system that makes crypto-related products more accessible. However, he gave a vague reply on the matter of domestic crypto exchanges and said that the FSS will just figure out the issues gradually. South Korean exchange UpBit meanwhile replied that FSS chief should […]

Read more about the Banking and Finance practice at Disini & Disini Law Office