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.

After Futu Securities Was Banned, Will Buying Stocks On-Chain Be a New Solution?

After Chinese regulators announced crackdowns on cross-border securities platforms like Futu Securities, some investors are exploring whether blockchain-based stock trading could offer an alternative. However, this article argues that "on-chain stocks" are not a legal loophole for mainland Chinese investors to bypass securities, foreign exchange, and cryptocurrency regulations. Instead, it represents an infrastructure experiment in tokenizing traditional assets like U.S. stocks and ETFs for a global audience. The appeal of on-chain stocks lies in offering a more seamless, 24/7 trading experience using crypto wallets and stablecoins, particularly for non-U.S. investors and crypto natives. Projects typically issue tokens that track the price of underlying assets, but these are often financial instruments or structured products, not direct equity ownership conferring voting rights. For investors, key risks include unclear legal rights, redemption mechanisms, regional access restrictions, and the misalignment between on-chain token trading hours and the actual stock market. Using stablecoins to purchase these tokens does not legitimize otherwise restricted capital outflows for Chinese residents. For entrepreneurs, the opportunity lies not in creating new retail channels to circumvent regulations, but in building B2B infrastructure—such as compliance, custody, identity verification, and reporting tools—for licensed institutions exploring asset tokenization. In conclusion, while on-chain stocks represent a significant trend in bridging traditional finance with blockchain, they are not a regulatory workaround. Their long-term viability depends on robust compliance, clear legal structures, and serving legitimate global demand, rather than facilitating unauthorized cross-border investment.

marsbit05/26 01:47

After Futu Securities Was Banned, Will Buying Stocks On-Chain Be a New Solution?

marsbit05/26 01:47

New York Lawsuit Takes Aim At 3.79 Million Dormant Bitcoin

A lawsuit filed in New York by "Noah Doe" and two Wyoming LLCs seeks a court declaration that approximately 39,069 long-dormant Bitcoin wallets, allegedly holding about 3.79 million BTC, are legally abandoned property. The plaintiffs claim to have identified the wallets, reported them to the NYPD, and conducted a notification campaign via blockchain messages and a webpage. They argue this satisfies New York's lost-property laws, transferring ownership rights to them. The claim includes addresses linked to Satoshi Nakamoto and early miners, though the complaint itself does not specify these attributions or the total BTC amount. The case centers on the novel legal argument that inactive self-custodied crypto addresses constitute recoverable abandoned property, despite the practical impossibility of accessing the funds without private keys. The campaign was connected to Salomon Brothers Strategic Advisors, a firm separate from the historic Wall Street entity.

bitcoinist05/25 14:31

New York Lawsuit Takes Aim At 3.79 Million Dormant Bitcoin

bitcoinist05/25 14:31

FTX Lawyers Pay $54M In Settlement Over Services Rendered To Exchange – Details

U.S. law firm Fenwick & West has agreed to pay $54 million to settle claims from FTX customers who alleged the firm facilitated the crypto exchange's fraud. The settlement, pending court approval, resolves accusations that the lawyers helped craft regulatory and operational structures tied to the misuse of customer funds. Fenwick denied any knowledge of FTX's illicit activities. This marks the largest settlement in a second wave of FTX-related class actions, following the exchange's 2022 collapse and the conviction of founder Sam Bankman-Fried. The FTX bankruptcy estate has meanwhile distributed billions to reimburse creditors.

bitcoinist05/25 12:41

FTX Lawyers Pay $54M In Settlement Over Services Rendered To Exchange – Details

bitcoinist05/25 12:41

When Futu Turns into a Matchmaking Corner: Overseas Identity Becomes the Hard Currency for the Middle Class

When Futu Becomes a Matchmaking Corner: Overseas Status as the New Hard Currency for China's Middle Class Following a severe penalty announcement from Chinese regulators on May 22nd targeting offshore brokerages like Futu, its app community unexpectedly transformed into an impromptu matchmaking platform. Users posted相亲 (matchmaking) requests, explicitly seeking partners with overseas residency or citizenship, revealing a stark new reality: for China's middle class, an overseas identity has become a crucial asset. The regulatory crackdown, which restricts mainland Chinese residents from opening new accounts to buy overseas securities like US stocks, has sharply escalated the value of a foreign passport or permanent residency. This status now acts as a gateway to global asset allocation—including US equities, offshore property, and foreign currency deposits—effectively becoming a new form of "hard currency." Its scarcity, non-transferability (except through marriage, inheritance, etc.), and role as a hedge against domestic uncertainty have driven its premium. The article traces the evolution of how China's middle class views overseas resources: from an investment for opportunity (2000s), to risk diversification (2010s), and now to a mandatory "insurance policy" for financial access. With the regulatory window closing for many, the demand is shifting towards securing such status for the next generation through international education. The surreal scene of high-performing investors posting dating resumes underscores a 2026 where financial talent can be secondary to the right passport.

marsbit05/25 09:16

When Futu Turns into a Matchmaking Corner: Overseas Identity Becomes the Hard Currency for the Middle Class

marsbit05/25 09:16

Stablecoin Regulation: FDIC Announces New Proposed AML Rules For Issuers

The FDIC has proposed new rules to extend Bank Secrecy Act (BSA) and economic sanctions compliance standards to FDIC-supervised Permitted Payment Stablecoin Issuers (PPSIs). This would formally classify PPSIs as financial institutions, requiring them to implement full Anti-Money Laundering/Countering the Financing of Terrorism (AML/CFT) programs, OFAC-aligned sanctions compliance structures, and related reporting obligations. The proposal follows earlier prudential standards for PPSIs. Supervision would involve FDIC coordination with FinCEN, with enforcement shielded for entities with effective programs unless significant failures occur. The public comment period lasts until June 9, 2026, with a final rule expected later that year. The FDIC estimates 5-30 PPSIs may seek approval initially, with compliance costs likely modest due to leveraging parent companies' existing infrastructure.

bitcoinist05/24 09:45

Stablecoin Regulation: FDIC Announces New Proposed AML Rules For Issuers

bitcoinist05/24 09:45

$2 Billion Write-Off: Manus Plans Hong Kong IPO for a Comeback?

The $2 billion acquisition of Chinese AI startup Manus by Meta was officially blocked by Chinese regulators in April 2026, citing national security concerns under foreign investment review rules. Despite the deal being completed months prior, with Manus integrated into Meta, the unprecedented "prohibited" ruling forced a reversal. In response, Manus's founders are now negotiating a $1 billion funding round to buy back the company from Meta at a valuation matching the original $2 billion, followed by plans to establish a Chinese joint venture and pursue a Hong Kong IPO. The article details Manus's rapid rise to $100 million in annual recurring revenue within eight months, leading to Meta's swift acquisition. However, regulators deemed its core technology and data too strategically linked to China, regardless of its Singapore headquarters. The forced unwind is complex, as Manus's team and tech are deeply embedded within Meta. Facing a reshaped competitive landscape in China's AI Agent sector with rivals like Zhipu and MiniMax, Manus sees an IPO as essential for survival and future funding. Hong Kong is presented as the ideal venue, given its recent boom in AI listings, investor appetite for high-growth tech firms, and favorable mechanisms for ongoing capital raises. The move symbolizes Manus's shift from dependence on a foreign giant to seeking independent, market-driven growth.

marsbit05/24 00:30

$2 Billion Write-Off: Manus Plans Hong Kong IPO for a Comeback?

marsbit05/24 00:30

Bitcoin Trading Enters New Era With SEC-Approved Nasdaq Index Options

The U.S. Securities and Exchange Commission (SEC) has approved Nasdaq's proposal to list and trade Bitcoin index options, though trading is not immediate. Final approval is also required from the Commodity Futures Trading Commission (CFTC), which has jurisdiction over Bitcoin as a commodity. The cash-settled, European-style options, to trade under ticker QBTC on the Philadelphia Stock Exchange, will derive their value from the Nasdaq Bitcoin Index and will not involve physical Bitcoin delivery. This decision reflects a broader regulatory shift under SEC Chairman Paul Atkins, including a move toward clearer rules supporting innovation and reports of a potential "innovation exemption" for tokenized securities. The approval represents a continued integration of Bitcoin-linked products into mainstream finance.

bitcoinist05/23 19:01

Bitcoin Trading Enters New Era With SEC-Approved Nasdaq Index Options

bitcoinist05/23 19:01

Bidding Farewell to the 'Gray Gambling Game'! Polymarket Charges into the Compliance Track—How Will This Impact the Entire Crypto Industry?

From Gray to Regulated: How Polymarket’s Compliance Journey Reshapes Crypto The evolution of Polymarket, a decentralized prediction market platform, illustrates a critical trend in crypto: innovative, high-value sectors ultimately integrate into regulatory frameworks. Founded in 2020, Polymarket quickly gained traction by leveraging low-cost Layer 2 blockchain technology for event-based trading, notably during the 2024 US presidential election where its markets outperformed traditional polls. However, its "build first, comply later" approach led to a 2022 CFTC enforcement action, resulting in a $1.4 million fine and a ban from the US market. A pivotal shift occurred in 2025 under a new US administration. Polymarket strategically acquired CFTC-licensed derivatives exchange QCX for $112 million, securing a regulated pathway back into the US. This move coincided with a regulatory reversal, as the CFTC withdrew a prior proposal to ban political event contracts. The platform’s successful "regulatory acquisition" strategy, avoiding a lengthy independent licensing process, highlights a viable compliance path for crypto-native projects. Its journey from regulatory target to a CFTC-recognized entity—bolstered by a major data partnership and investment from Intercontinental Exchange (ICE)—signals the maturation of prediction markets from a "crypto novelty" into acknowledged financial infrastructure. The story underscores that genuine utility provides negotiating power with regulators and that embracing compliance does not necessarily mean sacrificing core technological advantages.

marsbit05/23 01:05

Bidding Farewell to the 'Gray Gambling Game'! Polymarket Charges into the Compliance Track—How Will This Impact the Entire Crypto Industry?

marsbit05/23 01:05

How Donald Trump’s Order On Dollar Payment Rails Could Be A Game-Changer For Ripple’s XRP

President Trump signed an executive order directing federal regulators to review whether cryptocurrency and fintech firms can gain access to the US dollar payment infrastructure, including Federal Reserve accounts. This could be a major development for Ripple and XRP. Ripple has long positioned XRP as a tool for fast, low-cost cross-border payments, but its growth has been hindered by limited access to the Fed's payment systems, which are typically reserved for traditional banks. The order mandates regulators to identify and potentially remove barriers preventing crypto firms from partnering with banks and obtaining national bank charters. If the Fed grants direct access, Ripple could integrate its technology directly into the dollar payment rails, allowing XRP to serve as a bridge asset for real-time settlements and significantly increasing its utility and demand.

bitcoinist05/22 22:27

How Donald Trump’s Order On Dollar Payment Rails Could Be A Game-Changer For Ripple’s XRP

bitcoinist05/22 22:27

Polymarket And Kalshi Are Now Under Congressional Investigation — The Evidence That Triggered It Is Hard To Dismiss

Congress has launched a formal investigation into prediction market platforms Polymarket and Kalshi, led by House Oversight Committee Chairman James Comer. The probe demands explanations on how the platforms prevent insider trading, sparked by suspicious bets tied to classified U.S. military actions. Evidence includes a U.S. soldier's trades before the Venezuela incursion and accounts netting millions from well-timed wagers on U.S.-Iran strikes and a ceasefire announcement. Both companies, which recently updated their rules, face scrutiny over their rapid growth and Washington lobbying. This investigation poses a significant threat that could reshape the prediction market industry.

bitcoinist05/22 17:32

Polymarket And Kalshi Are Now Under Congressional Investigation — The Evidence That Triggered It Is Hard To Dismiss