PA Weekly | Blockchain companies send aid to Hubei, while Europe and the US unveil new cryptocurrency regulations

Get all the important news of the week in this article.

Special Focus | Wuhan Coronavirus Outbreak, Supporting Hubei, Blockchain Industry Taking Action! (Updated)

Eukey Group: First Batch of Aid Supplies to Hubei Have Arrived, Second Batch En Route

Eukey Group has mobilized staff domestically and internationally to procure supplies globally. These epidemic prevention supplies include medical protective suits, goggles, latex gloves, etc. The first batch of supplies has already been delivered to hospitals in Wuhan, Huanggang, Ezhou, Xianning, and other cities, and the second batch is en route. Additionally, Eukey Group has established a special fund of 10 million yuan for epidemic prevention and control, jointly supporting frontline protection work with the China Charity Federation.

Huobi: Epidemic Prevention Supplies Procured through Huobi Charity Arrive at Hospitals in Hubei, Hunan, and Beijing

Currently, Huobi Group's offices in over ten countries have been actively procuring scarce medical supplies such as medical masks, gloves, protective suits, oximeters, and disinfectants. They have purchased a total of 600,000 pairs of medical-grade gloves, 200,000 sets of medical masks and gloves, 1,000 oximeters, 50,000 protective suits, and 9 tons of disinfectant. Some of these supplies have been transported to regions such as Hubei and Hunan, while others are on their way to twenty hospitals in Hunan, Hubei, and Beijing in need.

Canaan Technology: Donates a Total of 2 Million Yuan to Hubei and Shenzhen Charities

Canaan Technology has donated 1 million yuan to the Hubei Charity Federation and 1 million yuan to the Nanshan District Charity Association in Shenzhen to support the prevention and control of the Wuhan Coronavirus outbreak.

Gate.io: First Batch of Targeted Aid Supplies Arrive

Gate.io's first batch of targeted donated protective supplies amount to nearly 90,000 pieces, including 20,000 protective masks, 20,000 latex gloves, 240 sets of protective suits, 200 sets of goggles, and 400 kg of disinfectant. This donation is being directed to two medical institutions in Danjiangkou City, Hubei, totaling 20,000 protective masks, 20,000 latex gloves, 240 sets of protective suits, 200 sets of goggles, and 400 kg of disinfectant. Additionally, a donation to a medical institution in Hong'an County, Huanggang City, Hubei, totaling 20,000 latex gloves, 5,000 medical masks, and 200 kg of disinfectant, is in transit.

WikiChain Foundation: Donates 210,000 Yuan to Huangmei County Charity Association in Huanggang

The WikiChain Foundation has donated 210,000 yuan to the Huangmei County Charity Association in Huanggang, one of the severely affected areas, for the purchase of medical masks, protective suits, goggles, and other epidemic prevention supplies.

The blockchain industry practitioners have launched the "Love Donation of Medical Supplies for Wuhan and Surrounding Cities" public welfare activity, initiating donations of medical supplies to Wuhan and surrounding cities. Follow Weibo "Blockchain Charity Organization" to participate in industry donations.

Regulatory Updates

01IRS and Spanish Tax Authorities to Focus on Cryptocurrencies in 2020

According to News.Bitcoin on February 2, the Internal Revenue Service (IRS) in the United States included cryptocurrency questions for the first time in this year's tax forms, with a deadline of April 15, 2020, for submission and payment of taxes owed. The IRS anticipates receiving over 150 million individual tax returns. IRS Commissioner Charles Rettig stated that cryptocurrencies are a priority for the IRS, aiming to help taxpayers understand their obligations related to virtual currencies. Additionally, the IRS announced that cryptocurrencies will remain a key focus in 2020.

According to Cryptonews, the Spanish tax authority AEAT also stated that they would strengthen their scrutiny of cryptocurrencies in 2020. The agency emphasized that using Bitcoin and altcoins would pose significant financial risks.

02French Central Bank Deputy Governor Warns of Significant Risks with Stablecoins, Calls for Global Regulatory Framework

Forbes reported that French Central Bank Deputy Governor Denis Beau recently stated that while stablecoins offer opportunities to improve the payment system, they could also pose significant risks that need to be addressed. He proposed three recommendations for regulators, including: first, that French and European regulators respond to the positive potential impact of stablecoin innovation, second, regulators should coordinate regulatory frameworks internationally, and third, policymakers should conduct field tests and other measures to address current shortcomings in payment and settlement areas.

03Ukraine to Oversee Cryptocurrency Transactions Over $1,200

Newsbitcoin reported that Ukrainian Finance Minister Oksana Markarova announced that Ukraine will strictly monitor cryptocurrency transactions, conducting reviews and verification of cryptocurrency companies and exchanges, with all cryptocurrency transactions valued at 30,000 hryvnias (approximately $1,200) or more subject to government supervision. Markarova emphasized that the legalization of cryptocurrencies remains a top priority as the government has clearly stated that its benefits outweigh the risks.

04Deputy Governor of the Bank of Japan Prepares for Public Demand for Digital Currency

Deputy Governor of the Bank of Japan Masayoshi Amamiya stated that some American scholars believe that central bank digital currency will deepen negative interest rates, which is worth noting. We need to be prepared to address the rapid digitization driving public demand for digital currency.

Additionally, according to Jp.cointelegraph, during a meeting of the Japanese Parliament's Budget Committee on January 30, discussions were held on whether to use blockchain in document management. Senator Shun Otokita proposed the digitization of official documents and the application of blockchain technology. Regarding the issue of electronicization of administrative documents, Cabinet Minister Makoto Kitamura stated that they are "discussing specific implementation methods."

05Singapore's Payment Services Act Officially Takes Effect

Bloomberg reported that the Monetary Authority of Singapore (MAS) announced that the Payment Services Act (PS Act) has officially taken effect. The new PS Act is the first comprehensive regulatory provision for businesses engaging in activities ranging from digital payments to transactions involving tokens like Bitcoin and Ethereum. In addition to bringing cryptocurrency companies under regulatory oversight, the law grants MAS formal regulatory powers to oversee cybersecurity risks, control money laundering, and counter terrorist financing.

The implementation of the new law will improve Singapore's payment services regulatory framework, enhance consumer protection, boost confidence in using electronic payments, and provide global cryptocurrency companies with the opportunity to expand their business in the country by obtaining operating licenses through initial applications.

06Cambodia to Introduce Central Bank Digital Currency Payment System

According to Bitcoinist, the National Bank of Cambodia will launch the "Project Bakong," a central bank digital currency (CBDC) payment system. Chea Serey, Director-General of the National Bank of Cambodia (NBC), stated that the project has already received support from 11 commercial banks in the country. According to Serey, once the project goes live, more financial institutions will join the platform and use the CBDC.

Industry News

01Mimblewimble Enables Non-Interactive Transactions, Litecoin and Grin to Benefit

Grin++ wallet developer David Burkett proposed a solution supporting Mimblewimble non-interactive transactions applicable to blockchain projects like Litecoin and Grin. This solution eliminates major user experience barriers while supporting receipt through cold storage, making it easier for hardware wallets to support. In terms of development, the construction process for libmw has been determined, and local construction is in progress for libmw-ltc. In February, LBMW will be integrated into the existing Litecoin code repository after completing the consensus rules for Litecoin's extension blocks (EB).

02Baidu Launches Online Learning Resources Including Blockchain

According to Sina Education Network, amidst the critical period of epidemic prevention for the new coronavirus outbreak, Baidu Cloud Wisdom Academy has opened all online learning resources for free from February 1 to February 8. These resources include specialized courses in cutting-edge technology areas such as artificial intelligence, deep learning, virtual reality, blockchain, IoT, and full-stack courses in programming languages like Python.

03Bitcoin.com Announces Withdrawal of Support for "BCH Development Fund" Proposal

On January 29, Bitcoin.com announced that without broader consensus from more participants in the BCH ecosystem, they would no longer support the "BCH Development Fund" proposal.

The BCH Development Fund proposal was initiated by BTC.TOP CEO Jiang Zhuoer and supported by Bitmain Chairman Wu Jihan, ViaBTC founder Yang Haibo, and Bitcoin.com founder Roger Ver. The proposal sought to have miners donate 12.5% of block rewards to a fund supporting Bitcoin Cash infrastructure for six months. The proposal stated that all donated funds would be used for development costs, covering the implementation of full nodes and the development of other key infrastructure. Miners unwilling to make donations would be orphaned and receive no rewards.

This proposal sparked widespread discussions in the cryptocurrency community. An organization of anonymous miners from North America and Europe stated that assuming the proposal was not withdrawn, they would continue mining until a hard fork. Due to the consensus rule changes introduced by the signatories, a hard fork would create their own chain.

04Bitcoin Network Hashrate Dominated by Five Chinese Mining Pools

Bloomberg reported that a new analysis by TokenAnalyst found that five mining entities in China controlled 49.9% of all computing power on the Bitcoin network, marking the most concentrated mining power in history. These five major mining entities include AntPool, BTC.com, BTC.top, F2 Pool, and ViaBTC. Cloud mining contract provider BitDeer acts as the connecting organization between these five pools, allowing individual miners to extract resources and share newly minted bitcoins as rewards. However, miners with over 50% of the hash power may disrupt the network, increasing the possibility of double-spending tokens, halting payments, and causing transaction delays.

05Google Trends Show Interest in "Bitcoin Halving" Increased 12 Times Compared to 2016

According to Google Trends data, interest in the Bitcoin halving is far higher than four years ago. In 2016, 97 days before the second Bitcoin halving, the Google Trends index was only 3, while now, at a similar point before the halving, the index has reached 38, a 12-fold increase.

06Facebook Developing Digital Wallet to Use Alongside Libra

According to Ejinsight, during this week's earnings conference call, Facebook CEO Mark Zuckerberg stated that the work on the Libra project is being handled by the Libra Association, emphasizing the separation between the foundation and the social network. Additionally, he mentioned that Facebook is developing a digital wallet to be used alongside Libra to make payment infrastructure around the world, especially for cross-border transfers, more efficient.

07Coronavirus Outbreak Leads to Possible Delay in ASIC Miner Shipments by at Least a Week

Due to the impact of the novel coronavirus outbreak, major ASIC mining manufacturers such as Bitmain, Canaan Creative, and Canaan are all announced delays in production, shipments, and after-sales services. CoinDesk estimates the delayed shipment time to be at least one week. Additionally, according to "Wu Shuo Blockchain," Xindong Technology in Wuhan is facing more severe challenges due to factors such as the city lockdown. Chinese mining manufacturers will face greater pressure in 2020.

08Chairman of the U.S. Commodity Futures Trading Commission Reiterates Ethereum Futures Coming Soon

According to U.today, Chairman of the U.S. Commodity Futures Trading Commission (CFTC) Heath Tarbert reiterated in a Bloomberg interview that Ethereum (ETH) futures are in the works. Tarbert previously stated in October last year that Ethereum futures could start trading in 2020, and expressed that the CFTC is willing to give the green light for new products.

Investment and Financing Progress

According to PANews statistics, three blockchain projects announced financing last week, with a total amount exceeding $7.1 million (excluding projects with undisclosed funding amounts), involving enterprise services and trading platforms.

01Enterprise Blockchain Platform SettleMint Announces €1.9 Million Financing

SettleMint, an enterprise blockchain platform providing infrastructure and low-code development solutions for corporate clients, announced a €1.9 million financing, with investments from KPN Ventures (a venture capital firm under Royal Dutch Telecom) and Medici Ventures (a venture capital firm under Overstock). This financing will further accelerate the international expansion and commercialization of SettleMint's enterprise and blockchain solutions, including market expansion in Europe, the Middle East, Africa, and the Asia-Pacific region.

02Blockchain Oil Trading Platform VAKT Receives $5 Million Investment

Blockchain-based oil trading platform VAKT announced a $5 million investment from Saudi Aramco's investment firm Saudi Aramco Energy Ventures (SAEV). Additionally, Aramco Trading Company, a subsidiary of Saudi Aramco, will become a future user of VAKT. This funding will further develop the VAKT platform and expand global markets, particularly in Asia. Prior to this, oil giants Chevron, Total, and Reliance had joined its blockchain-driven new commodity trading platform.

03Standard Chartered Bank Makes Additional Investment in Blockchain Trading Platform Contour

Standard Chartered Bank has invested an undisclosed amount in the Corda-based blockchain trading platform Contour to streamline trade settlement processes. Previously, Contour received funding from Bain & Company, MUFG Bank, BNP Paribas, HSBC, ING, SEB, R3, CryptoBLK, and CTBC Ventures.

This article is from our partner PANEWS

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