Regulation & Policy

On March 10th, crypto journalist Eleanor Terrett pointed out that U.S. Judge Failla showed a different attitude when presiding over cases involving Tornado Cash and Uniswap developers, considering Uniswap as neutral infrastructure, while viewing Tornado Cash as involved in illegal financial activities, which could influence the future liability determination for DeFi project developers.

The Office of the Comptroller of the Currency (OCC) has released a federal rule proposal for payment stablecoin issuers to establish a unified regulatory framework for the stablecoin market. The draft restricts issuers from paying interest to holders, requires transparent reserve management, and sets capital requirements. This move marks the concretization of the U.S. stablecoin regulatory system, aiming to ensure compliance and industry stability.

The Korean judicial system is reducing the debt burden of cryptocurrency investors through bankruptcy restructuring mechanisms, excluding some debts from liquidation, which may lead to cryptocurrency asset investment losses being considered as "ordinary property losses." This policy aims to address rising household debt levels but has also sparked controversy over moral hazard. The courts will strengthen review processes to prevent abuse and explore a balance between debt relief and risk control.

China strengthens its regulatory policies on cryptocurrencies, reaffirming a comprehensive ban on RMB-pegged stablecoins and classifying most RWA tokenization activities as illegal. The market response is muted, indicating that investors have adapted to this change. The policy's first mention of stablecoins may signal future regulatory reforms, but implementation will still take time. Global digital asset trading could develop into a USD-denominated system, with liquidity being a key factor. Future regulatory frameworks will influence the global market landscape.

China issues a ban on unauthorized Renminbi-pegged stablecoins and considers RWA tokenization activities illegal, aiming to prevent industry expansion. Analysts believe that this ban cannot stop the global demand for USD stablecoins, and Hong Kong's stablecoin licensing may also present opportunities for Chinese-funded banks, indicating a subtle regulatory adjustment. Overall, China's measures are targeted at the domestic market rather than an obstacle to global RWA development.

The Supreme People's Court of China is drafting policy documents regarding legal issues related to AI-generated works copyright and large model training, clarifying rules for originality recognition and the responsibilities of service providers. Taking the "Ultraman case" as an example, the court ruled that the AI platform must cease infringement and bear responsibility.

CFTC Chairman Mike Selig emphasized the future focus areas at the FIA conference, including the launch of real crypto perpetual contracts within a few weeks, resolving regulatory disputes with the SEC, and establishing regulatory standards for prediction markets. Selig advocates for a "minimum effective intervention" approach to regulation, aiming to promote market liquidity and clear regulations, reduce political interference, and reposition the CFTC as a facilitator of the market.

The crypto faction in the Brazilian Congress is expecting the issuance of a decree to establish a 3.5% tax on stablecoin transactions to file a draft bill and block this initiative. The Parliamentary Front for the Free Market argues that the measure would constitute an overreach of the Executive

Wyoming Senator Cynthia Lummis is advocating for tax exemptions on cryptocurrency transactions under $300 to promote everyday use of cryptocurrencies. However, the CLARITY Act faces obstacles in the Senate, mainly due to regulatory disputes over crypto token stocks and opposition from the banking industry. With Lummis stepping down soon, the legislative prospects remain uncertain.

CFTC Chairman Mike Selig stated at the conference that the United States is experiencing a technological revolution driven by AI and blockchain, emphasizing the need to adjust the regulatory framework to adapt to changes. Key areas include derivatives market regulation, addressing legacy issues in legislation, clarifying the classification of crypto contracts, and prioritizing agricultural and energy needs.

The US banking industry is considering filing a lawsuit against the Office of the Comptroller of the Currency (OCC) because the OCC has granted national trust bank charters to cryptocurrency and fintech companies. BPI believes this move is illegal and has led to regulatory unfairness. Opposing voices include the Banking Association and state regulators, who argue that this measure could bypass traditional regulation. The OCC has approved licenses for multiple crypto companies, but this has sparked controversy, especially with applications from companies related to the Trump family drawing congressional scrutiny. If the lawsuit succeeds, it could impact the compliance status of crypto companies and the regulatory framework.

The U.S. Securities and Exchange Commission (SEC) has submitted new interpretive guidance on crypto assets, planning to establish a token classification framework to clearly define which crypto assets are securities and their related regulatory requirements. The guidance aims to fill legislative gaps and influence the operational models of crypto companies. As the global digital asset market develops, the U.S. regulatory framework is moving towards institutionalization, which could change global regulatory trends.

Moldova's National Anti-Corruption Center has disclosed a plan to influence the 2025 parliamentary elections using cryptocurrency, involving a total amount of $107 million. The funds are transferred through non-custodial crypto wallets to intermediaries, who then exchange them for cash to bribe voters and promote candidates. The source of the funds is mainly from crypto platforms in Russia and Kyrgyzstan.

Trump stated at the Florida conference that he will refuse to sign any other laws until the "SAVE America Act" is approved by Congress, which addresses issues such as voter identification. This stance could impact the progress of legislation related to the cryptocurrency industry. At the same time, Trump has prioritized crypto regulation but currently considers the voter identification bill as the top priority.

The Korean court will implement new guidelines in March to exclude debts arising from stocks and cryptocurrencies, reducing the debt burden from the total repayment amount in personal restructuring. This move aims to address the high levels of household debt, with the government promising to control debt growth.

Wyoming Senator Cynthia Lummis is advocating for a proposal to exempt small cryptocurrency transactions from taxation while discussing the Digital Asset Market Structure Act. She proposed establishing a $300 tax-free allowance, allowing users to trade cryptocurrencies without paying capital gains tax, aiming to address the issue of when taxes should be applied during transactions. The proposal has not yet gained support from her Democratic colleagues.

Ripple's Chief Legal Officer, Stuart Alderoty, met Senator Gillibrand to discuss bipartisan digital asset regulation, praising her leadership on cryptocurrency legislation amid Ripple's ongoing legal challenges with the SEC over XRP classification.

U.S. Department of the Treasury proposed a law allowing exchanges to freeze suspicious crypto funds during probes. The report says a “hold law” would let platforms pause transfers without a court order while law enforcement investigates. Treasury also urged clearer AML rules for DeFi

TRON founder Justin Sun says his companies maintains zero tolerance against illegal activities like embezzlement, unauthorised computer access and bribery. He threatened legal action against those who spread false rumors online and ‘smear judicial organs’ just days after two of his companies

Regulators equalize capital rules for tokenized securities. Permissionless and permissioned blockchains treated the same. Tokenized securities qualify as financial collateral. US banking agencies have clarified that tokenized securities should be treated similarly to the capital treatment