Blockchainreporter Weekly News Review, Crypto Industry Faces More Regulations

The crypto industry’s recent progress around the globe has led to several developments. Several countries are now working to protect crypto consumers, especially Singapore and South Africa, as reported this week. Crypto exchanges like OKX are also offering new trading services for traders.

New deals from Alchemy Pay and Helio Protocol also point to a bright outlook for the crypto market. Still, this week saw Australia’s ASIC launch an investigation into Binance’s local unit. And Chinese authorities reportedly ruled out any plan to embrace crypto.

Singapore Fortifies Crypto Regulations by Holding User Assets in Trust

The Monetary Authority of Singapore (MAS) has recently taken measures to tighten crypto rules and protect investors. The new rules include:

• Crypto exchanges must hold user assets in trust.
• Retail investors will be barred from crypto staking and lending.

According to the MAS, these steps aim to keep user funds safe and reduce risks for investors. The agency said extra safeguards are needed, especially after disasters such as the FTX implosion. With these measures, Singapore is keeping its promise to build a stronger regulatory framework for the industry.

Central Bank of China Dismisses the Speculations Regarding Crypto Adoption

China’s central bank has wiped out recent hopes that it might lift its crypto ban. Pan Gongsheng has been named the central bank’s top Communist Party official. This signals that policy will stay the same. The role also makes him the likely next governor of the central bank.

Back in 2021, the central bank banned all crypto transactions outright. Gongsheng’s past remarks during an earlier crypto crackdown are now drawing attention again. At that time, he cited Kedge Business School professor Eric Pichet, who predicted Bitcoin’s demise. China is still focused on developing its own digital currency and on fighting money laundering.

South Africa Takes Radical Measures by Implementing Licensing Requirements to Protect Crypto Investors

South Africa plans to become the first African country to require licensing for crypto asset exchanges. The country’s Financial Sector Conduct Authority (FSCA) has started accepting license applications. The deadline to comply is the 30^th of November. The goal is to protect crypto clients from fraud and other risks.

The FSCA has received several applications so far. This shows the market is ready to follow the new rules. FSCA Commissioner Unathi Kamlana said the decision stresses the need to protect users from fraud. The agency has warned that it will take action against firms that keep operating without a license after the deadline.

Alchemy Pay and BitMart Join Forces for Ramp Solution

Digital payment firm Alchemy Pay has teamed up with crypto exchange BitMart. The deal offers on-ramp and off-ramp services. An on-ramp lets you buy crypto with regular money. An off-ramp lets you turn crypto back into cash.

What the partnership offers:

• Buy crypto with Visa and Mastercard
• Convert digital assets into fiat currency with ease
• Lower fees and better conversion rates

Alchemy Pay also wants to bring crypto payments into the mainstream. It plans to support payments for crypto and Web3 services. The integration can work on platforms such as DeFi protocols, NFT marketplaces and exchanges.

Helio Protocol to Widen up the DeFi Sector by Partnering with Synclub

Helio Protocol, a well-known Web3 payment firm, has merged with Synclub, a PoS infrastructure platform. Together, they want to build one platform to grow liquid staking tokens (LSTs) in DeFi. LSTs are tokens you receive when you stake crypto, which you can still trade or use.

The merger includes these plans:

• Set up a dedicated foundation within a year, which may change how the firm is run
• Issue a governance token for voting across its different units
• Use Synclub’s skills and setup in staking-as-a-service infrastructure

OKX to Start Signal Trading to Transform the Execution of Strategies by the Traders

The prominent crypto exchange OKX recently announced the launch of Signal Trading. The platform aims to give traders high-quality signals and better strategy execution. Signals are automated trading plans. They come from technical analysis and show when to buy or sell crypto assets.

According to OKX, the product will launch in August or September this year. Key features include:

• Access to many signal providers, including professional traders and investors
• Integration with TradingView
• The option to create signals directly on TradingView to save time and effort

ASIC Initiates an Investigation into Binance Australia to Search for Its Office

Recent reports say that the Australian Securities and Investments Commission (ASIC) has opened an investigation into Binance Australia and searched its office. The probe looks at the firm’s recently closed derivatives business. It deals with claims that retail investors were wrongly classed as wholesale clients.

A Binance spokesperson said the firm is working with local officials. The spokesperson added that the platform is committed to meeting local regulatory standards.

The exchange faces regulatory probes and challenges around the globe:

• In March this year, the US Commodity Futures Trading Commission (CFTC) sued Binance and its CEO, Changpeng Zhao, for running an illegal exchange.
• The US SEC also accused both of breaking securities laws.

For the latest headlines, see our crypto news today page.