Regulatory Policy

Focuses on global regulatory developments, policy changes, and compliance requirements. It provides in-depth analysis of government regulations and their impact on the cryptocurrency and blockchain industries, helping businesses and investors proactively manage policy-related risks.

Web3 Inside and Outside the Great Wall: The Triple Impact and Solutions for Chinese Entrepreneurs

Chinese Web3 entrepreneurs, once dominant in the crypto industry with leading exchanges and mining ventures, have seen their global influence decline significantly since the DeFi Summer of 2020. This shift stems from three major challenges: stringent regulatory crackdowns in China, which dismantled local ecosystems and forced migration overseas; a structural bias in venture capital favoring Western projects due to compliance advantages and better exit opportunities; and a mismatch in skill sets, as many Chinese developers excel in B2C applications rather than the infrastructure-focused B2B nature of recent Web3 development. While culturally diverse founders like Hyperliquid’s Jeff Yan show that Chinese-background innovators can still succeed, they often do so by integrating into Western cultural and operational frameworks. The future of crypto entrepreneurship will depend less on geographic origin and more on cross-cultural collaboration, long-term technical commitment, and adaptive resilience in a rapidly evolving regulatory landscape.

marsbit12/17 09:04

Web3 Inside and Outside the Great Wall: The Triple Impact and Solutions for Chinese Entrepreneurs

marsbit12/17 09:04

SEC lawsuit puts Shima Capital’s future in question as wind-down message surfaces

The US Securities and Exchange Commission (SEC) has sued crypto venture firm Shima Capital and its founder, Yida Gao, for investor fraud. The SEC alleges that Gao made false and misleading statements while raising nearly $170 million, including inflating an investment return from 2.8x to 90x. He is accused of personally profiting $1.9 million through an undisclosed transaction involving BitClout tokens. Following the lawsuit, an internal email attributed to Gao surfaced online, indicating his plan to step down and that the fund would undergo an "orderly wind-down." The email claims the SEC and DOJ actions relate to Gao's personal conduct, not the portfolio companies, and states that independent advisers will oversee the liquidation process. Shima Capital, which launched a $200 million fund in 2022, has invested in projects like Berachain and Pudgy Penguins. The email's authenticity has not been independently verified.

cointelegraph12/17 08:44

SEC lawsuit puts Shima Capital’s future in question as wind-down message surfaces

cointelegraph12/17 08:44

Russia Has a New Crypto Critic, the Chair of Financial Markets — Here’s What He Said

Anatoly Aksakov, Chairman of the Russian State Duma Committee on Financial Markets, has stated that cryptocurrencies like Bitcoin and Ethereum will never replace the Russian ruble as a form of payment within the country. While crypto can be used as an investment tool, all domestic transactions must be conducted in rubles to protect financial stability and the currency's sovereignty. This aligns with the Central Bank of Russia's conservative stance, which has long opposed domestic crypto payments. Despite this, Russia has increasingly turned to cryptocurrencies for international trade, particularly to circumvent Western sanctions following the invasion of Ukraine. Russian firms have conducted billions in cross-border crypto transactions, and the government is developing comprehensive crypto regulations set for 2026, influenced by approaches like those in the U.S. President Vladimir Putin has played a key role in advancing these pro-crypto policies for economic resilience, overriding earlier opposition from the central bank.

ccn.com12/17 08:27

Russia Has a New Crypto Critic, the Chair of Financial Markets — Here’s What He Said

ccn.com12/17 08:27

U.S. Supreme Court Tariff Ruling Imminent, Trump Repeatedly Voices Warnings, Might He Lose?

A pivotal U.S. Supreme Court ruling expected in January 2025 threatens to overturn the Trump administration’s signature tariff policy, implemented under the International Emergency Economic Powers Act (IEEPA). President Trump has publicly expressed alarm, warning of a "devastating blow" to the nation if the tariffs are struck down, while his cabinet officials project confidence in having alternative legal tools. Market analysts, including Goldman Sachs, predict the Court is likely to rule the tariffs illegal. Two key cases challenge whether the President overstepped constitutional boundaries by using IEEPA to impose Congress’s exclusive taxing authority. If overturned, the administration may attempt to replace the tariffs using other statutes, such as Section 122 of the Trade Act of 1974 (capping tariffs at 15% for 150 days) or Section 338 of the Tariff Act of 1930 (allowing up to 50% tariffs). However, both face significant legal and political hurdles, likely triggering further litigation. A ruling against the government could lead to lower effective tariff rates and trigger massive refunds—estimated at $1.3 trillion and growing. It would also undermine the credibility of administration officials who claimed revocation would cause chaos and weaken the U.S. negotiating position with trade partners. The political fallout would also put Republican lawmakers in a difficult position ahead of the 2026 midterms.

marsbit12/17 08:11

U.S. Supreme Court Tariff Ruling Imminent, Trump Repeatedly Voices Warnings, Might He Lose?

marsbit12/17 08:11

DeFi Trend Shifts: Stablecoin Public Chains Recede, RWA Faces Critical Regulatory Window

Crypto market sentiment is currently bearish, with many traders predicting Bitcoin could fall below $50,000. Attention and capital are shifting toward AI, away from crypto. The author’s strategy has shifted toward holding mostly BTC and ETH, along with a few cash-flow-generating alts like AAVE and LINK, avoiding speculative public chains and L2s. Key topics discussed: - Aave faces governance tension between Aave DAO and Aave Labs, reflecting broader DeFi governance challenges. - Aave V4 introduces improved liquidation mechanisms. - Stablecoin-focused Layer 1 blockchains are struggling to gain market share against established chains like Ethereum and Tron. Their real potential lies in onboarding off-chain users, not competing internally. - RWA and stock tokenization gain momentum after the SEC approved DTCC’s tokenization plan. Ethereum and L2s are seen as compliant options. This development is viewed as a net positive for the sector, including projects like Ondo Finance. - Ondo uses a clever system with its own stablecoin, USDₒ, to enable large on-chain tokenized stock trades without relying on external liquidity. - Ethena’s Season 4 airdrop requires users to deposit and trade on HyENA to qualify, aiming to boost its perps trading platform. - Tempo, developed by Stripe and Paradigm, has launched its testnet, targeting efficient stablecoin payments with major enterprise partners.

比推12/17 07:09

DeFi Trend Shifts: Stablecoin Public Chains Recede, RWA Faces Critical Regulatory Window

比推12/17 07:09

SAFE Crypto Act will have scammers shaking in their boots: Crypto lawyer

The SAFE Crypto Act, introduced by US Senators Elissa Slotkin and Jerry Moran, aims to combat crypto fraud by enhancing coordination between the Treasury, law enforcement, regulators, and private sector entities. The legislation responds to a reported $9.3 billion in crypto-related investment scams in 2024, a 66% increase from the previous year, with seniors being the most affected group. Crypto lawyer Gabriel Shapiro stated that the act could significantly deter scammers by involving high-level officials like the Attorney General in enforcement actions. Blockchain forensic firm TRM Labs has expressed readiness to assist, emphasizing that collaboration between industry and law enforcement can disrupt illicit crypto activities in real-time.

cointelegraph12/17 04:33

SAFE Crypto Act will have scammers shaking in their boots: Crypto lawyer

cointelegraph12/17 04:33

U.S. drops ‘systemic risk’ label for crypto in 2025 policy shift

The Financial Stability Oversight Council (FSOC) has removed cryptocurrency from its list of systemic financial threats in its 2025 Annual Report, marking a dramatic policy shift. The report credits recent legislative progress, particularly the GENIUS Act, for providing a regulatory framework that mitigates risks and encourages innovation. It highlights digital assets' role in facilitating secure transactions and withdraws previous risk-focused warnings. The FSOC has also eliminated the "no objection" requirement, allowing banks to engage in certain crypto activities without prior approval. This change is already evident in the success of Bitcoin and Ethereum ETFs and increased asset tokenization. However, the Financial Stability Board warns that inconsistent global regulation remains a risk to worldwide financial stability. The U.S. move signals that digital assets are now considered a permanent and integrated part of the financial system.

ambcrypto12/17 04:03

U.S. drops ‘systemic risk’ label for crypto in 2025 policy shift

ambcrypto12/17 04:03

Market Pullback Accelerates After Senate Postpones Long-Awaited Crypto Framework Bill

The Senate Banking Committee's postponement of a key crypto market structure bill to early 2026 has triggered a sharp market pullback, erasing around $140 billion in market capitalization. Bitcoin fell below $86,000 and Ethereum dropped under $3,000 as regulatory uncertainty led to risk-off behavior. The delay, occurring at a fragile time, amplified downside moves due to elevated derivatives positioning and ETF outflows. Despite ongoing regulatory actions, the lack of comprehensive legislation continues to fuel volatility, leaving investors facing extended uncertainty until at least 2026.

bitcoinist12/17 03:03

Market Pullback Accelerates After Senate Postpones Long-Awaited Crypto Framework Bill

bitcoinist12/17 03:03

US government ‘tech force’ gets backup from Coinbase, Robinhood

The US government has launched a "Tech Force" initiative to address critical skill shortages in AI, cybersecurity, and software engineering by recruiting private sector talent. Crypto exchange Coinbase and trading platform Robinhood are among nearly 30 initial partners, which also include major firms like Apple, Nvidia, and OpenAI. This signals a government need for crypto expertise as the technology integrates into finance. The program will place about 1,000 early-career and experienced workers in federal agencies for one- to two-year stints. Agencies will hire and fund the tech teams, while private companies provide training. The initiative aims to revitalize the government workforce, where only 7% are early-career professionals, compared to nearly a quarter in the private sector.

cointelegraph12/17 02:59

US government ‘tech force’ gets backup from Coinbase, Robinhood

cointelegraph12/17 02:59

Compliance Guide for Utility Token Issuance

"Functional Token Issuance Compliance Guide" This guide outlines the legal framework for issuing utility tokens, emphasizing that regulatory risk depends not on the token's description, but on its economic reality. A token's classification as a security is determined by market behavior and investor expectations, not technical promises, as seen in cases like Telegram's TON. Projects fall into two main categories with different compliance paths: Infrastructure projects (e.g., Bitcoin, Celestia) often use fair launches for lower risk, while Application-layer projects (e.g., DeFi, GameFi) require careful legal structuring due to higher regulatory scrutiny. Key stages and actions are detailed: * **Testnet Phase:** Separate development (DevCo) and token/ecosystem (Foundation) entities. Use equity + token warrants for fundraising, not direct token sales, to avoid triggering securities laws prematurely. * **Mainnet Launch (TGE):** This is a high-risk phase. Ensure clear disclosure of token utility, allocation, lock-ups, and conduct KYC/AML. Avoid marketing that promises profit. Public airdrops and sales are closely watched. * **DAO Stage:** Achieve true decentralization by relinquishing team control to community governance (e.g., Uniswap DAO). This "verifiable exit" is crucial for reducing securities risk. The core compliance challenge is proactively demonstrating the token is *not* a security by emphasizing its functional use, avoiding profit promises, and progressively decentralizing. Compliance is a continuous process, not a one-time approval. A robust legal structure is the essential foundation for a sustainable project.

marsbit12/17 02:11

Compliance Guide for Utility Token Issuance