The SEC wants to supervise cryptocurrency, and the Indian blockchain venture capital increased by 400%!
On August 13, Gary Gensler, chairman of the U.S. Securities and Exchange Commission (SEC), pointed out that there is a real need to regulate cryptocurrency transactions and protect investors and the financial system, as well as to bring these transactions, products or platforms into regulation.
ZB Research Institute believes that the US SEC may be worried that when conducting cryptocurrency transactions on the centralized or DeFi platform, the transaction subject may be unregistered tokens, while the current unregistered tokens only involve securities related regulations, commodity law and banking law. Therefore, many problems such as financial security caused by policy restrictions will make SEC more worried.
Therefore, whether it is stock tokens, stable value tokens supported by securities, or any other synthetic product providing basic securities, SEC wants to fully control its operation. And this kind of policy-based control has a negative impact on blockchain-listed companies. According to statistics on the 13th, the blockchain sector in US stocks weakened before the market. Bit Mining (BTCM.N) fell 5.3%, and Marathon Patent (MARA.O) fell. 4.2%, Riot Blockchain (RIOT.O), Ninth City (NCTY.O), Canaan Technology (CAN.O) fell more than 3%.
ZB exchange, according to relevant Indian data statistics, as of August 13, 2021, India’s encryption and blockchain industry had reached 13 transactions through venture capital companies, with a total amount of more than US $176.9 million, an increase of 400% over the same period in 2020. Industry analysts said that there will be more large transactions in the future. Venture capital companies are looking for top cryptocurrency trading platforms, while smaller companies are looking for seed funds for DAPP and cryptowallet.
On August 13, CARE, a humanitarian organization, announced the development of its first project using blockchain technology in Latin America. CARE says its goal is to use CELO blockchain to achieve faster, cheaper and more traceable rescue delivery. CARE noted that there was no middleman in the dissemination of funds and that more funds would be used for its tasks.
On August 13, ZB Research Institute obtained news from Reuters that Lionel Messi’s financial plan to transfer to Paris Saint Germain club in France includes paying cryptocurrency fan tokens.
ZB Research Institute believes that different from the United States’ desire to regulate cryptocurrency, India’s attitude towards cryptocurrency is even worse. However, the rapid growth of venture capital in India’s blockchain industry also shows that the unilateral supervision of governments around the world may not be as “powerful” as practitioners think. Analysts pointed out that with the transformation between the two attitudes of governments around the world, the blockchain industry has made applied internal business adjustments to its attitude. Therefore, in the future, more venture capital companies will invest in individuals and enterprises with IP effect, such as Messi.
On August 13, DBS Vicker, a securities business of DBS Bank, was approved in principle by the monetary authority of Singapore (MAS) to provide digital payment token services under the management of the Payment Services Act. DBS issued a statement saying that the group has made steady progress in asset digitization strategy, and DBS Vickers is one of the first financial institutions to obtain the approval of this principle. In the future, DBS Vickers can support fund managers and companies to conduct digital payment token transactions through DBS’s digital exchange DDEX. In addition, DDEX will operate 24 hours a day from next week. Previously, the exchange only operated during Asian trading hours.
ZB Research Institute believes that Southeast Asia, especially Singapore, has become a “refuge” in the global blockchain market and cryptocurrency field. After 2020, Singapore has accommodated a large number of blockchain enterprises, and Singapore’s position in the blockchain industry has been continuously improved. Analysts believe that the continuous entry of blockchain enterprises may promote the substantial growth of Singapore’s economy.