Crypto regulation in the world: weekly digest # 50

USA

The major US investment companies Invesco, and WisdomTree have applied for a spot Bitcoin exchange-traded fund (ETF) with the Securities and Exchange Commission (SEC). The move comes after BlackRock, the world's largest asset manager, filed for a spot Bitcoin ETF last week. Invesco and WisdomTree followed suit, with Invesco re-filing its application on June 20th and WisdomTree re-filing its application on June 21st.

The SEC has yet to approve a Bitcoin ETF, but the recent surge in applications from major financial institutions suggests that the regulatory body may be more open to the idea than in the past. A Bitcoin ETF would allow investors to gain exposure to Bitcoin without having to purchase the cryptocurrency directly, which could help to increase adoption and mainstream acceptance of the digital asset.

Investors have responded positively to the news, with Bitcoin up 17% since BlackRock's application. However, it remains to be seen whether the SEC will approve any of the applications. In the meantime, the surge in interest from major financial institutions is a positive sign for the future of Bitcoin and the broader cryptocurrency market.

Overall, the applications from BlackRock, Invesco, and WisdomTree for a spot Bitcoin ETF represent a significant development in the cryptocurrency industry. While the SEC has yet to approve a Bitcoin ETF, the surge in applications from major financial institutions suggests that the regulatory body may be more open to the idea than in the past. If approved, a Bitcoin ETF could help to increase adoption and mainstream acceptance of the digital asset.

The growth in the price of cryptocurrencies was supported by the news about the launch of the crypto exchange for institutional investors EDX Markets. It is backed by major financial institutions such as Fidelity Digital Assets, Charles Schwab and Citadel Securities.

EDX Markets is a new player in the cryptocurrency exchange market that aims to provide a more secure and user-friendly platform for institutional traders. Its focus on integrating established practices from traditional financial markets and not directly catering to retail investors sets it apart from other crypto exchanges.

The UK

The UK Parliament's upper house, the House of Lords, has approved the Financial Services and Markets Bill (FSMB), which could recognize crypto as a regulated activity in the country. The bill was introduced in July 2022 to give regulators more power over the UK financial system and take advantage of Brexit freedoms. The original bill included a proposal to regulate stablecoins under the country's payments rules, but amendments were added later to treat all crypto as a regulated activity and to supervise crypto promotions.

The approval of the FSMB by the House of Lords means the bill is going to enter the final stages before it is put into law. The UK government wants the FSMB to give regulators the powers they need to set crypto rules that the Treasury has been consulting on. New specific rules for the crypto sector could come within 12 months.

This is a major milestone for the UK crypto industry, as it could provide more clarity and certainty for businesses operating in the space. The bill is comprehensive, spanning over 340 pages, and could have a significant impact on the UK financial system.

Overall, the approval of the FSMB by the House of Lords is a positive development for the UK crypto industry, as it could lead to more regulation and oversight, which could increase investor confidence and help the industry grow in a responsible and sustainable way.

News from other countries:

• The Belgian Financial Services and Markets Authority has instructed cryptocurrency exchange Binance to immediately stop providing digital asset-related services in the country. The decision comes following Binance’s problems with regulators all over EU.

• The Reserve Bank of Zimbabwe is set to launch a peer-to-peer platform that will facilitate digital gold token transactions. The platform will be used to trade gold-backed digital currencies. However, it is not clear whether the platform will support trading of other cryptocurrencies.

• Deutsche Bank has applied for a digital asset custody license in Germany, which would allow it to operate as a crypto custodian.

• A court in Moscow, Russia has seized bitcoins worth $20 million from Marat Tambiev, a former investigator of the Investigative Committee who is accused of taking bribes from hackers.

We continue to highlight the news of the world of crypto regulation worldwide. Please stay with us!