In mid-December 2023, the Appellate Court of Montenegro revoked the extradition approval for Kwon, preventing his extradition to either the United States or South Korea.
Newly Unveiled AI Safety Consortium in the US Partners with Leading Tech Companies
The United States has announced the formation of an AI safety consortium, which includes renowned tech companies such as Microsoft, Meta, Nvidia, and Google. This initiative is being hailed as the “first of its kind” and aims to address the safety concerns associated with artificial intelligence. By bringing together these leading tech giants, the consortium hopes to collaborate on developing strategies and guidelines to ensure the responsible and ethical use of AI technology. This all-star list of participants highlights the importance of prioritizing safety measures in the rapidly advancing field of AI.
Legal Representation Court Hearing for Sam Bankman-Fried
The former CEO of a cryptocurrency company has been found guilty of seven felony counts on November 3rd. The CEO is now awaiting sentencing, which is scheduled to take place in March.
Former Zipmex CEO faces charges from Thai SEC for alleged corruption and deceit
According to the Thai SEC’s investigation, there were inconsistencies between the information provided by Zipmex Thailand’s former CEO and the actual assets in user Z Wallets. The former CEO’s statements about the assets did not align with the findings of the investigation conducted by the Thai SEC. This suggests that there may have been discrepancies or inaccuracies in the information provided by Zipmex Thailand regarding the assets held in user Z Wallets. These inconsistencies raise questions about the transparency and accuracy of the information provided by the company.
Abu Dhabi Financial Center Collaborates with Solana to Enhance DLT Initiatives
Abu Dhabi Global Market (ADGM) has been experiencing significant growth in recent times, with its expansion efforts gaining momentum. The financial free zone has been attracting attention and investment due to its favorable business environment and strategic location. ADGM’s commitment to fostering innovation and promoting economic diversification has played a crucial role in its rapid development. Additionally, Solana, a blockchain platform, has also been making notable progress. The platform’s performance has been commendable, with its technology and ecosystem gaining traction in the market. Both ADGM and Solana have been demonstrating positive trends and promising prospects in their respective domains.
Ripple’s President Predicts DeFi Compliance as a Major Industry Trend in 2024
Monica Long, the president of Ripple, has made a bold prediction regarding the future of cryptocurrencies. According to her, the industry will soon experience a significant shift from speculative hype cycles to a new era characterized by on-chain compliance. This suggests that the focus will shift from merely trading and speculating on cryptocurrencies to ensuring compliance with regulations directly on the blockchain. Long’s prediction is indicative of a growing recognition within the crypto community that compliance and regulatory adherence are crucial for the long-term sustainability and mainstream adoption of digital assets. This anticipated shift could potentially bring more stability and legitimacy to the crypto market.
US Senators Slam SEC’s Handling of Debt Box Case as ‘Unconscionable’
The U.S. Securities and Exchange Commission has acknowledged that it was not “accurate and candid” in its filings pertaining to Debt Box. Subsequently, the commission has requested the court to dismiss the case.
TradeStation Crypto Settles SEC and State Allegations Related to Asset Lending
The subsidiary of Monex Group, a Japanese company, had previously announced its decision to discontinue its services in the United States.
The financial impact of services in the virtual world
According to user reports, there is a preference for receiving payments in both cryptocurrency and fiat currency. This means that individuals are open to receiving payments in digital currencies such as Bitcoin or Ethereum, as well as traditional government-issued currencies like the US dollar or Euro. This dual preference reflects the growing acceptance and adoption of cryptocurrencies as a legitimate form of payment. By offering payment options in both cryptocurrency and fiat currency, businesses and platforms can cater to the diverse preferences of their users and provide them with greater flexibility and choice in how they receive their payments.
Central Bank Digital Currency (CBDC) in 2024
This research analyses the issuance considerations surrounding retail Central Bank Digital Currency (CBDC), a digital form of sovereign currency issued by a country’s central bank and accessible to the general public. This research focuses solely on the retail CBDC intended for public use. The discussion primarily revolves around CBDC directly issued by the central bank, which is privately issued digital currency backed by central bank reserves and subject to central bank regulation.
Objective – Central Bank Digital Currency (CBDC)
The objective of this research is not to support retail CBDC issuance. Instead, it provides an overview of central bank digital currency, recent research, ongoing projects, CBDC models, challenges, and stakeholder discussions. The research summarizes existing literature to explore policy considerations beyond the binary decision of introducing retail CBDC. It covers operating models, design factors, and risk management. However, the observations are preliminary and not meant to offer strict guidelines, exhaustive coverage, or universally applicable recommendations.
The research provides an overview of central bank digital currency (CBDC), including recent research, ongoing projects, CBDC models, challenges, and stakeholder discussions. It aims to summarize existing literature, exploring policy considerations beyond the decision to introduce retail CBDC. The observations are preliminary and not meant to provide strict guidelines or universally applicable recommendations.
Many central banks exploring CBDC issuance have similar approaches. They begin by identifying objectives and assessing advantages and risks. The primary goals are to enhance financial inclusion and maintain the central bank’s relevance. Other goals include reducing cash expenses, improving payment systems, executing monetary policy, ensuring financial integrity, addressing concerns with private payment systems, and enhancing the distribution of stimulus payments and payment system resilience in the post-COVID-19 era.
At a conceptual level, many prominent central banks and monetary authorities exploring CBDC issuance follow similar approaches. This involves beginning with a clear identification of objectives and subsequently conducting a comprehensive assessment of anticipated advantages and risks.Â
Central banks exploring the issuance of Central Bank Digital Currency (CBDC) are evaluating diverse business models encompassing the issuance, distribution, and payment execution processes of CBDC. While most central banks are inclined to maintain control over the issuance aspect, they are inclined to delegate the distribution and payment aspects to private financial institutions. This entails various strategies, including utilizing traditional centralized ledgers and emerging distributed ledger technology (DLT) platforms. In the context of DLT, the ledger is duplicated and shared among trusted participants within a controlled and permissioned network.
A crucial aspect of CBDC design involves striking a balance between safeguarding user identity and transaction data privacy while adhering to standards of financial integrity. Achieving this equilibrium presents a significant design challenge for central banks.
In CBDC functionality, particular academic research suggests the potential implementation of variable interest rates for CBDC holders. This mechanism could be used to regulate demand or establish a novel instrument for monetary policy. However, among the central banks contemplating CBDC issuance, only a limited number are considering incorporating such interest rate mechanisms from the outset.
Challenges – Central Bank Digital Currency (CBDC)
The decision to embrace Central Bank Digital Currency (CBDC) presents a formidable challenge requiring significant technical expertise and resources, even for well-equipped central banks. This challenge is exacerbated by the rapidly changing technological and risk environment. Successfully implementing CBDC demands meticulous planning, robust infrastructure, and agile response mechanisms to address evolving threats and opportunities. Central banks must navigate complex regulatory frameworks, cybersecurity concerns, and public trust considerations while striving to foster financial inclusion and innovation. As the digital landscape continues to evolve, central banks must remain vigilant and adaptable to ensure the successful integration of CBDC into the global financial ecosystem.