Uzbekistan has identified a number of crypto exchanges that have been operating without a license, according to an official at the country's central bank.

The crackdown will see exchanges being blocked by internet service providers, said Vassily Sinaisky, who heads up the regulator's policy and strategies department. He added: "We found out that some exchanges were operating without a licence. We sent them written warnings that they need to stop their activities."

## Anonymous Trading to be Blocked

The central bank's move comes after earlier reports suggested Uzbekistan was looking to become the next country in the region to block anonymous trading on crypto exchanges.

The crackdown will see cryptocurrency traders required to provide identification documents when signing up for an exchange, Sinaisky added.

More [Business news](/news/category/crypto-business-news).

Uzbekistan Cracks Down on Crypto Exchange Licenses

MTax authorities in Japan have been investigating tax evasion of cryptocurrency transitions. The numbers have been up for discussion as a whole lot of people have been reporting lower gains than they actually made.

The National Tax Agency has already investigated a grand total of 1600 people this year. They were checking into the claims from last tax season, according to the Nikkei Asian Review . After that, about 250 more cases will be investigated. These investigations will continue through the next year as well.

## Failing to File Means Penalties

Cryptocurrency exchanges in Japan are obligated to file user tax reports by February 15th of every year . If you fail to do so, it’s possible that you’ll face penalties or even jail time if proven guilty.

Japanese authorities carried out a large-scale investigation in the Kanto region, including cities such as Saitama, Tochigi, Gunma, Niigata and Nagano. They found that only about 20% of cryptocurrency investors reported their gains or losses on crypto assets.

This was possible through a new system where exchanges match up data supplied by users and what they actually owe to the government.

More [Business news](/news/category/crypto-business-news).

Authorities Investigating Crypto Tax Evasion in Japan

SEBA Bank has been granted a license to offer digital crypto assets to Swiss-domiciled mutual funds – a first for Switzerland according to the FINMA-licensed Swiss Bank.

It was announced on Wednesday that SEBA has been granted a licence to act as a custodian bank for Swiss collective investment schemes pursuant to Art. 72 CISA (KAG).

## A Bridge Between Digital and Traditional

In a statement SEBA, which provides a bridge between digital and traditional assets, said the licence will accelerate its growth by extending its institutional-grade digital asset custody services to Swiss-domiciled mutual funds.

This new licence extends SEBA Bank’s digital asset investment activities by offering digital custody services for Swiss-domiciled mutual funds.

The bank’s statement said it is ‘an important new enabler of liquid investment funds with crypto or other digital assets as an underlying investment class’.

## Excellent Business Momentum

SEBA Bank Guido Buehler added: ‘Two years ago, SEBA Bank received a Swiss banking and securities firm licence and is now enjoying excellent business momentum as institutional adoption of crypto and digital assets accelerate globally.

‘With our new CISA licence, SEBA Bank continues its pioneering role in the institutional digital asset space. Asset Managers can now offer strategies based on crypto or other digital asset underlying’s to a broader audience utilizing Swiss-based mutual fund structures secured by SEBA Bank as the CISA-licensed custodian.’

Swiss Bank Achieves Crypto First

Regulation in the US will not destroy cryptocurrency, but it could slow development. That was the warning given by Tesla boss Elon Musk this week.

Speaking at the Code Conference in California, Musk suggested the US Government should avoid regulating crypto markets.

He said: ‘It is not possible to, I think, destroy crypto, but it is possible for governments to slow down its advancement.’

Directly asked whether the US Government should actively regulate the crypto industry, Musk said: ‘I would say, “Do nothing”.’

Musk has publicly supported some digital coins is positive about the part crypto will play in addressing issues with traditional financial systems. At the Code Conference, however, he accepted the impact of cryptocurrency has limits.

He said: ‘I wouldn’t say that I’m a massive cryptocurrency expert. I think there’s some value in cryptocurrency, but I wouldn’t say it’s the second coming of the Messiah.’

## Power Shortages

During the interview, Musk addresses recent developments in crypto mining and regulation in China.

Tougher measures to crack down on cryptocurrency trading, including stronger systems to monitor crypto transactions, have been outlined by China’s central bank.

Musk believes the move is power-related, but electrical, not political.

He said the crackdown was due to the country’s ‘significant electricity generation issues’.

Musk added: ‘Part of it may actually be due to electricity shortages in many parts of China. A lot of South China right now is having random power outages, because the power demand is higher than expected.

‘Crypto mining might be playing a role in that.’

However, he acknowledges the Chinese Government may have issues with decentralised nature of cryptocurrencies may present a challenge for the Chinese government.

He said: ‘I suppose cryptocurrency is fundamentally aimed at reducing the power of a centralised government. They don’t like that.’

Elon Musk Tells Regulators to ‘Do Nothing’ on Crypto

Revolut, a London based FinTech company has recently announced expansion of the firm as there are plans to launch its own cryptocurrency token that would initially be available to European and other US markets to begin with.

According to the reports coming from Revolut, they are planning to bring out a cryptocurrency token of their own and this would be available initially in London and US markets. The token is dubbed as "Revolut coin" and will be usable on the platform for free services like payment transfers and ATM withdrawals.

Token holders will be able to have premium access to features such as discounts, rewards and other benefits within the platform.

The company started providing cryptocurrency buying and selling services in 2017. But it started expanding its crypto offerings this year, increasing its crypto-asset offerings to 53.

Revolut to Launch its Own Crypto Token

Switzerland’s financial regulator has approved a cryptocurrency investment fund offered by a subsidiary of the country's stock exchange. On Wednesday, the FINMA approved Switzerland's first ever crypto fund which will be called the Crypto Market Index Fund, categorised by FINMA as "other funds for alternative investments".

The new cryptocurrency fund mentioned earlier will track an unspecified index that comprises of “cryptocurrencies and crypto assets” based on market cap, which means it cannot include Ripple or Stellar due to their lack of decentralisation. As reported by local news agency Aargauer Zeitung, the fund is also currently limited to professional or qualified investors.

## No Concerns for Investor Protection

The Financial Market Supervisory Authority (FINMA) stated publicly that it has approved the very first cryptocurrency fund. The regulator said in an official statement, "The FINMA has issued a binding order to Crypto Fund AG in connection with its initial approval of the fund domiciled in Switzerland for listing on the SIX Swiss Exchange. At the same time, it has notified the Zug-based asset manager to cease unauthorized promotional and advertising activities."

The Supervisory authority said that an initial assessment of cryptocurrency funds did not pose any concerns for investor protection but added that future financial market innovators should comply with the current regulations.


Switzerland News: First-Ever Crypto Fund Approved

Cryptocurrency trading platforms are more likely to succeed if they submit to existing crypto regulation, according to the head of the [US Securities and Exchange Commission.](https://www.sec.gov/)

Talking during the Code Conference in Beverly Hills, SEC Chair Gary Gensler stopped short of confirming cryptocurrencies would come under SEC regulation, but did say observing existing tax compliance, money laundering and insider trading laws could assist exchanges.

## Investors Expect Profit

Gensler said US law has a broad view of what a securities market is, but the common thread is that it involves organisations raising money from investors who expect a profit.

Being interviewed on Monday by the former US attorney for the Southern District of New York, Preet Bharara, he added: ‘I think there is a lot of clarity in the law. This won’t end well if they stay outside the regulatory space.’

There was little doubt Gensler believes cryptocurrency, including creating and trading, does come within the existing definitions of securities trading, and he believes crypto would benefit from clear regulation.

## Request to Improve Transparency

During the Code Conference, Gensler also discussed regulation of special purpose acquisition companies (SPACs), confirming he’s asked the SEC staff to recommend regulatory measures, including improve transparency.

The SEC website notes Gensler was nominated by President, Joe Biden, and sworn in as Chair on April 17, 2021.

Prior to joining the SEC, Gensler was professor of the Practice of Global Economics and Management at the MIT Sloan School of Management, co-director of MIT’s Fintech@CSAIL, and senior advisor to the MIT Media Lab Digital Currency Initiative. He also served as chair of the Maryland Financial Consumer Protection Commission.



'Crypto Regulation Could Lead to Success'

A leading figure in cryptocurrency trading says the industry can create more opportunities for women.

Speaking to Bloomberg, the chief executive officer of Melbourne-based BTC Markets, Caroline Bowler, said blockchain needs more female involvement and opportunities will emerge as the industry matures and crypto gains wider acceptance.

She said: ‘There are lots of entry points into cryptocurrency and into blockchain businesses and you don’t have to be a developer or specializing in blockchain in order to find your place within this ecosystem.’

Cryptocurrency is largely male-dominated, with men also more likely to be involved in crypto trading and investing.

Bowler, who sits on the board of Blockchain Australia, told Bloomberg: ‘It’s not perfect, there is that whole “crypto bros” subsection that still exists and I have no doubt will continue to exist. But as crypto becomes increasingly mainstream and more women come in, the impact of that crypto bro is diluted and the normal mainstream acceptance comes through.’

There remains a long way to go to achieve representative female involvement in finance, and especially fintech. While the numbers are increasing, it is a slow process. A 2021 report by Citywire confirmed the percentage of women who manage money worldwide had risen, but only from 10.3 per cent to 11.8 per cent.

Cryptocurrency Needs More Women, Says Exchange Boss

[Bank of England](https://www.bankofengland.co.uk/) have warned of considering tough new rules to prevent British banks from building up exposure to crypto assets. The Deputy Governor for the Bank of England, Sam Woods, said that rules set out by the Basel Committee, that would require banks to hold capital in reserve equal to their bitcoin exposure, are "quite sensible".

## Crypto Warning Issued

The Basel Committee recently issued a warning to the financial industry about cryptocurrencies. The committee, which is made up of representatives from 27 countries, stated that they are currently investigating rules to prevent British banks from having exposure to cryptos.

## Bank of England Prepared

Woods said that the Bank of England was prepared to introduce rules on capital treatment that "front run" worldwide regulation and tighten regulation on new assets. He said that cryptocurrencies are currently unregulated and do not meet the requirements of a "serious financial asset."

Bank of England Considering Tighter Crypto Rules

US President, Joe Biden, will nominate the anti-crypto, Saule Omarova, for the top position of OCC. The official White House [website](https://www.whitehouse.gov/) continues its series of nominations since yesterday evening.

There is no text about Omarova's nomination on the president's website, but it does mention that she has worked "in various capacities at the Board of Governors of the Federal Reserve System".

The nomination was announced in a press release that thanks for all past work rather than just announcing a new name.

## Omarova Sceptical of Crypto

It is unknown whether this will have any effect on the current plans to recognize virtual currencies as commodities , but it certainly seems strange timing for Omarova to take office. This may be seen as negative news within the crypto industry as Omarova is known to have previously been sceptical of cryptocurrencies and even argued for their banning.

She had previously spoke at a hearing on virtual currencies where she said that cryptocurrencies should be considered as any other type of financial instrument and therefore require maximum transparency, describing them as "trustless".



Saule Omarova to be Nominated as Head of OCC

Dutch football team, PSV, has announced that it is now holding Bitcoin (BTC) on its balance sheet following partnership with Bitcoin exchange, Anycoin Direct, in August earlier this year.

## Cryptocurrencies 'Fit Well'

When the sponsorship agreement was signed, commercial director of PSV Frans Janssen said "The possibilities and the future that the world of cryptocurrency offers is very promising, as a club in the heart of the Brainport region, we are always innovating, and cryptocurrency fits well into this picture."

PSV Football Team to Hold Bitcoin on Balance Sheet

Financial app, Robinhood, has announced that the company is planning to launch a new cryptocurrency wallet in 2022. Robinhood is a popular app that allows users to buy and sell stocks with zero fees.

In early 2019, the company announced its plans to create an integrated cryptocurrency wallet for buying, selling and storing cryptocurrencies in addition to trading traditional assets on their platform which comes as standard for any financial services firm.

## Plans For Roll Outs

The company has said that they will be rolling out the new wallet to users on the waiting list early next year to an initial group of customers. This will enable the company to identify any changes that will need to be made to the wallet in order to ensure it’s fully secure and ready for full roll out.

Robinhood has also said that the company will be rolling out crypto trading categories, allowing users to view all their crypto assets together rather than having them segregated which is currently how they are displayed on the platform.

Robinhood to Launch New Crypto Wallet Next Year

An article in the [New York Times ](https://www.nytimes.com/) explaining cryptocurrency is being seen as an indication that crypto regulation is on its way in the United States.

The explainer looked at stable coins and suggested that regulatory control might be “the most important conversation in Washington financial circles this year.”

The stability and use of stablecoins has been questioned, despite the value being linked to government currencies, chiefly the US dollar.

## Regulation Could Add Comfort

While they act as a bridge between cryptocurrency and the traditional financial world, regulation could add comfort to investors and encourage wider use. It could also, of course, be an attempt to restrict the growth of crypto.

Mainstream media has previously reported on the question of regulating stablecoins, but the appearance of this article in the New York Times has caused a stir. Seen as a newspaper of record with serious contacts in Washington DC, the story has prompted commentators to see it as an indication of something on the horizon.

While some see the explainer article as near-confirmation that regulation of stablecoins is coming, there is still the questions of who will regulate, in what form and how much regulation will there be?

Helpfully, the New York Times outlines likely options for regulators.

## A Risk To The System

These includes, designating them as a risk to the system, calling them securities, potentially making them subject to SEC regulation and treating them as money market and mutual funds.

The articles adds that regulators could treat stablecoins like banks, under the regulatory oversight of the Office of the Comptroller of Currency, or even issue a competing Central Bank Digital Currency (CBDC).

The New York Times articles does observe, however, that US regulators cannot go it alone in corralling stablecoins. International cooperation would be needed, and possible international regulation in 2023 is mooted.

Does NYT Article Signal US Crypto Regulations? 

It looks like Elon Musk has done it again. A seemingly innocuous three-word tweet from the Tesla and SpaceX founder saw a spike in the value of little-known Floki.

Musk simply shared a picture of his new Shiba Inu puppy with the caption “Floki has arrived”. Sweet sentiment, but the tweet went viral and spikes in the value of cryptocurrency with similar names were soon recorded.

The biggest winner was Shiba Floki which saw a 958.09% surge within one day of the tweet, according to reports.

## Floki Token Increase

Floki Inu witnesses increases in excess of 59% in a 24-hour period. Others, including Floki Shiba and Super Floki, also saw value rises.

It is not the first time a tweet from Musk has apparently impacted on markets; comments around Dogecoin and Bitcoin have seen values change.

Dogecoin prices also seemed to be affected by the Floki tweet. Perhaps this is unsurprising as the tweet featured a picture of a Shiba Inu dog. Dogecoin gained by 0.36% following the latest post from Musk, while Baby Doge Coin saw a 24-hour surge of 45.3%

## Shiba Inu Rises

Previous tweets from Musk have had a similar impact on Floki-related cryptocurrencies. Last month, when he said he would name his new pet Floki, Shiba Inu saw a 16% price rise.



Floki Crypto Surges After Elon Musk Tweet

El Salvador has upped its investment in [bitcoin (BTC)](/coins/btc) following a 5% last week. The country, the first to make BTC a legal tender, took advantage of the fall to increase its position. El Salvador President Nayib Bukele, on Twitter, said the country has bought an additional 150 BTC worth $6.8 million. 

## President Advises Buying the Dip

That brings El Salvador’s holding to 700 BTC, just two weeks after starting to buy. Interestingly, the President advised people that they should buy during dips, rather than worrying about the price fall. In June, El Salvador passed the Bitcoin bill, making BTC legal tender from September 12. This prompted warnings from, among others, the World Bank and IMF that there could be disastrous economic impact. 

They also refused to help the country in the technical integration of BTC as legal tender and several rating agencies, like Fitch and Moody’s, downgraded Salvador’s credit rating. In El Salvador the move prompted protests, some violent. 

## Could Other Countries Follow?

Yet the President maintains most of the population support the move and use BTC for daily needs. He also pointed to the success of the official bitcoin wallet app, [Chivo](https://marketrealist.com/p/chivo-wallet-explained/), which was downloaded more than 500,000 times in two weeks. Other countries could follow the lead of El Salvador, with Cuba and Panama among those looking at bitcoin to assist in economic revival.

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