Hong Kong Chief Executive John Lee has stated that the government will cooperate with regulators if they require more power to crack down on unlicensed crypto exchanges. This comes after an investigation into Hounax, an unlicensed virtual-asset trading platform that reportedly defrauded people of millions of dollars. Lee believes that government supervision is necessary to protect investors and prevent unlicensed platforms. The Securities and Futures Commission (SFC) has published a list of licensed virtual-asset trading platforms to aid investors in choosing a safe platform, but they do not have the power to close unlicensed crypto exchanges.

Despite recent cryptocurrency scandals in Hong Kong, the one-year grace period for unregistered exchanges will remain in place for the time being. Julia Leung, Hong Kong's Under Secretary for Financial Services and the Treasury, stated that even if the grace period ends, fraud will still occur. Crypto exchanges operating in Hong Kong must apply for a Virtual Asset Service Provider license by June 2024 or face deregistration, but unregistered exchanges can still operate during the transition period. Recent scandals include the collapse of unlicensed exchange JPEX and the scamming of 131 residents by unlicensed exchange Hounax.

Hong Kong-based virtual asset trading platform HKVAEX has applied for a license with the Securities and Futures Commission (SFC), joining other recent applicants such as Panthertrade and OKX in seeking regulatory approval under Hong Kong's new crypto regulatory framework. The new framework, which permits retail investors to engage in virtual asset trading, has democratized access to digital assets and spurred the SFC to begin issuing licenses to crypto exchanges. The world's largest cryptocurrency exchange, Binance, is reportedly behind the establishment of HKVAEX, although the platform has maintained its independence and commitment to applying for the SFC's virtual asset trading platform license. The JPEX scandal has accelerated the SFC's efforts to approve cryptocurrency products to bolster industry compliance, while regulatory bodies are increasingly monitoring non-compliant platforms and curbing aggressive advertising tactics.

Binance and its former CEO CZ have agreed to pay a $4.3 billion fine in a deal with U.S. prosecutors, which has led one lawmaker to argue that current laws are sufficient for regulating cryptocurrencies. Rep. Tom Emmer stated that the successful prosecution shows that current laws can weed out bad actors, and that Congress should focus on bringing more crypto companies to the U.S. instead of creating new laws. However, Emmer's stance may not bode well for bills currently moving through Congress, including one regarding stablecoins introduced by his colleague Rep. Patrick McHenry. Meanwhile, Sen. Elizabeth Warren has called for more government action against the crypto industry, citing Binance's alleged flaunting of anti-money laundering laws as a predictable trend.

People's Daily reported that the Digital Currency Office of the Head Office of the Bank of China has released the "Bank of China's Cross-border E-commerce B2B Digital RMB Application Solution". This solution explores the improvement of cross-border payment experience through digital RMB, and provides comprehensive services for cross-border fund circulation, Chinagoods order information matching, and foreign exchange compliance for all parties participating in cross-border trade. By building an umbrella wallet architecture, it achieves "horizontal connectivity between domestic and foreign, and vertical support for the entire system". Currently, this model has been successfully implemented in some customers of Yiwu Small Commodity City.

When purchasing Bitcoin in the UK, it is important to prioritize security measures and understand the potential risks. While cryptocurrencies are legal in the UK, they are considered taxable assets and subject to taxation regulations. It is crucial to maintain accurate records in order to comply with these regulations. Investors should secure their holdings with a reliable crypto wallet and choose a reputable cryptocurrency exchange or broker. The Financial Conduct Authority (FCA) mandates registration for crypto exchanges in the UK, and investors should exercise caution due to the speculative nature of cryptocurrencies.

The Investment Association has given the green light for fund tokenization in the UK's investment sector, which is a significant development. This move, which was approved by a government working group in collaboration with the UK Treasury and the Financial Conduct Authority (FCA), aims to utilize blockchain technology to enhance efficiency, transparency, and global competitiveness in the investment management industry. A blueprint for implementation has been released, which presents a clear model for integrating tokenization within the existing legal and regulatory framework. This initiative allows FCA-authorized funds to engage in tokenized sales and redemption transactions, subject to certain criteria being met.

Lawmakers in the United States are yet to pass legislation providing regulatory clarity on stablecoins and other aspects of the digital asset space. Consensys senior counsel Bill Hughes believes that once issues related to state-level regulators are resolved, legislating on stablecoins should be a "no-brainer" for lawmakers. Hughes also commented on proposed crypto bills, stating that the Clarity for Payment Stablecoins Act was "pretty sensible" while Massachusetts Senator Elizabeth Warren's bill was "problematic" in addressing Anti-Money Laundering. Candidates for the 2024 presidential election expressed their support for crypto-related policies at the North American Blockchain Summit, an issue that has not taken center stage at Republican Party debates.

Singapore has announced new measures to tighten crypto regulations in order to protect retail investors from risky practices. The measures will be rolled out in phases from mid-2024 and will include a ban on the use of locally issued credit cards to purchase cryptocurrencies, as well as a prohibition on offering free tokens, trading credits, and leveraged trading as incentives for new sign-ups and referrals. The Monetary Authority of Singapore (MAS) believes that such promotional bonuses may trigger risky trading behavior among clients, potentially inducing harmful practices among retail investors. However, the MAS also acknowledges that tighter regulations are not enough to fully protect customers from the inherent uncertainties of the crypto market, and urges consumers to exercise caution when dealing with unregulated and overseas entities.

On November 23rd, the UK's digital asset industry received a boost as announced in the Chancellor's Autumn Statement outlining 110 measures for national economic growth. This includes a government initiative aimed at promoting the expansion of the digital asset industry. The UK government will legislate the Digital Securities Sandbox (DSS) to promote the adoption of digital assets in financial markets. The budget statement states: "The government will introduce a legislative framework to establish a DSS and plans to implement a financial market infrastructure sandbox by 2023."