Crypto Weekly Wrap-up 

Telegram Making Strides in Crypto Adoption, Quietly yet Effectively

 

In the crypto and Web3 realm, talks of “integrating the next 100 million users” have almost turned cliché, with substantial progress rarely seen. However, Telegram, the messaging app renowned globally with a massive user base of 800 million, is emerging as a strong contender in this sector. This summer, they took a step forward by initiating a wallet bot that facilitates transactions using BTC, Tether, and TON on the TON network. Recently, they escalated this initiative by launching TON Space, a wallet rooted in the TON network accessible to their existing users through the settings tab, aiming for a global rollout this November.

Created as a secure communications platform, Telegram enjoys immense popularity in several emerging markets, including a significant presence in India, its largest market with over 100 million users. This move towards crypto integration could potentially catapult them as a frontrunner in the digital asset sphere, especially in regions where banking avenues are limited and where a censorship-resistant platform is a crucial requirement.

However, the road is not without hurdles. Due to regulatory uncertainty, U.S. users, which constitute a large portion of Telegram’s base, will not have access to TON Space. Despite this setback, the resilience shown by the TON community, even after facing legal issues in 2020, speaks volumes about its potential and the vast opportunities it holds in the evolving crypto market.

EU Spearheads Crypto Taxation with Innovative Rules

 

As the crypto industry grows, the importance of establishing robust tax structures has been felt globally. The European Union is now leading in this aspect, introducing new rules to streamline the tax reporting process in the crypto sector. The recently passed DAC8 directive in the EU parliament is a testament to their commitment to fostering transparency and reducing fraud in crypto transactions.

The directive, which comes into effect on January 1, 2026, mandates digital asset service providers to report crypto transactions involving EU residents, thus negating any geographical loopholes that might be exploited for evading reporting obligations. This move aligns perfectly with the G20’s recent appeal for well-defined tax structures in the crypto sphere.

However, critics argue that DAC8 might impose burdensome reporting requirements on service providers while potentially infringing on financial privacy in the EU. Despite these concerns, the directive marks a significant step in evolving a cohesive regulatory framework for the burgeoning digital asset industry in the EU.

Sony Steps into the Web3 Space, Backing Japan’s Vision for “New Capitalism”

 

Japan is fostering a new wave of growth and wealth distribution through “new capitalism”, a vision shared by Prime Minister Fumio Kishida. Highlighting Web3 as a potential catalyst for social transformation, numerous Japanese corporate entities and governmental agencies are venturing into this space.

Recently, Sony announced its collaboration with Singapore’s Startale Labs to create a global blockchain network, joining other Japanese corporates in embracing Web3 initiatives. From crowdsourcing platforms like CAMPFIRE delving into DAO and NFT spaces to government-led projects encouraging connectivity with global innovation hubs, Japan is fostering a Web3-friendly environment that prioritizes user protection and inclusivity.

Moreover, a potential shift in governmental attitudes towards digital assets is anticipated, as indicated by recent moves by the country’s Financial Services Agency to amend tax codes that would benefit local businesses dealing in crypto. This signifies a positive stride in the adoption and integration of digital assets in the economic framework of Japan.

Rapid Fire Updates

 

Regulatory and Security Developments

• N.Y. Department of Financial Services considers tougher rules for coin listings, inviting public feedback.
• Hong Kong Police investigates over 1,400 complaints regarding JPEX, halting some of its trading activities.
• SEC imposes fines on Stoner Cats for selling unregistered securities as NFTs.

Developments in DeFi and Web3

• Google Cloud partners with Orderly Network to develop DeFi development tools.
• PayPal launches on and off-ramps facilitating Web3 payments in the U.S.
• AlgoBharat, Algorand’s new initiative in India, explores significant prospects in Web3.

Midweek Market Overview

Over the past week, the global crypto market exhibited a positive trend, with the market cap surging by 4.3% to reach $1.08 trillion. Bitcoin led the way, witnessing a 5.8% increase, buoyed by expectations of stable interest rates from the Federal Reserve. Following suit, Ethereum and major altcoins also recorded appreciable gains.

In other news, the New York Department of Financial Services revised its list of pre-approved cryptocurrencies, with previously approved tokens like Bitcoin Cash and Litecoin being removed, though the market prices remained unaffected. Lastly, Stellar’s native token, XLM, experienced a minor dip despite earlier anticipation built on a promising announcement. Unfortunately, the reveal, which turned out to be a commercial starring Idris Elba, did not match investor expectations, indicating a minor hiccup in the celebrity crypto advertisement space.

 

 

Remember to subscribe to this newsletter and follow us on social for regular updates on the dynamic world of blockchain and cryptocurrency. If you’re interested in an easy and personal way to buy/sell/swap cryptocurrency, don’t hesitate to contact us – call 1800 AINSLIE. Our team of friendly consultants are ready to guide you, your company, or SMSF through the process, making your cryptocurrency buying journey effortless. We also offer industry-leading crypto custody with minute-by-minute internal audits to guarantee the safety of your assets.