Here are some of the top stories from the crypto industry this week.
MiCA crypto regulation gets green light from EU ministers
In a significant development, the finance ministers of the European Union (EU) have given their approval to the Markets in Crypto-Assets (MiCA) regulation. This new regulatory framework aims to provide legal clarity and consumer protection in the rapidly expanding crypto market within the EU.
MiCA will introduce comprehensive rules for digital assets, including crypto assets, stablecoins, and initial coin offerings (ICOs). The approval of MiCA is expected to pave the way for greater institutional adoption of crypto and boost investor confidence in the EU.
The regulation also seeks to establish a harmonized approach across EU member states, fostering innovation while mitigating risks associated with money laundering, fraud, and market manipulation.
Indian regulators urged to restore UPI access for crypto exchanges
Amid the ongoing debate surrounding crypto regulations in India, industry players and stakeholders are urging Indian authorities to restore crypto exchanges' access to the Unified Payments Interface (UPI).
The financial authorities of India have received multiple proposals, urging them to allow the integration of UPI for crypto transactions. These proposals have been sent by crypto advocacy group Bharat Web3 Association (BWA).
Since August 2022, Indian authorities have been hesitant to permit UPI usage for cryptocurrency purchases as the digital assets sector is largely unregulated and unstable, which could put investors at financial risk.
UPI use in India has grown quickly since 2020; in 2022, there were 74 billion UPI transactions totalling $1.5 trillion.
The move could also contribute to the government's vision of fostering digital innovation and financial inclusion while ensuring proper regulatory oversight to prevent illicit activities in the crypto space.
Australian Big 4 bank start trial for crypto payment blocks
One of Australia's "Big Four" banks, Westpac, is conducting its first trial of scam prevention tools intended to combat fraudulent activities related to crypto assets.
In late May, Westpac intends to begin testing the new crypto payment protection blocks.
Westpac also banned its customers from transacting with Binance, as part of a suite of scam protection measures. This comes amidst mounting pressure on the crypto giant’s operations in the country.
The growth of digital currency has led to an increase in scammers using foreign exchanges as they are now playing a legitimate function in the financial ecosystem.
Crypto ownership rises in Turkey, Argentina, and Philippines amid inflation
As inflation rates skyrocket in Turkey, Argentina, and the Philippines, citizens are turning to crypto assets to preserve their wealth.
Turkey recorded the highest growth in crypto ownership, with 27.1% from July-September 2021 to July-September 2022, Argentina and the Philippines followed as the second and third by increasing their crypto ownership rate by 23.5% and 23.4%, respectively, according to GWI Research.
The decentralized nature of crypto assets, coupled with their potential for higher returns, has made them an attractive investment option for individuals seeking stability in times of economic uncertainty.
Ripple launches platform for central banks to issue CBDCs
Ripple, a leading blockchain technology company, has unveiled a new platform aimed at helping central banks issue their own Central Bank Digital Currencies (CBDCs).
The platform, known as CBDC Private Ledger, offers central banks the necessary tools to create, issue, and manage digital currencies securely and efficiently.
By leveraging Ripple's expertise and technology, central banks can explore the benefits of CBDCs, such as increased financial inclusivity, reduced transaction costs, and improved transparency.
This shows Ripple's dedication to fostering the adoption of digital assets in the global financial system and could accelerate the current trend of nations investigating and testing CBDC initiatives.
