Digital Currency and Blockchain Weekly Round-Up – May 24th, 2019

U.S. IRS to soon issue crypto tax guidance
The United States Internal Revenue Service is currently drafting its first crypto tax guidance since 2014, Commissioner Charles P. Rettig said recently, CoinDesk reported. In response to a request from Rep. Tom Emmer for additional guidance on reporting cryptocurrencies, Rettig said that the agency has been working with internal and external stakeholders to identify the areas where needed and helpful additional guidance can be provided.

PBoC-backed Shenzhen Fintech Research Institute seeks blockchain talent
The Shenzhen Fintech Research Institute is seeking blockchain talent, the institute’s recent job posting has revealed. CoinDesk reported that the institute has posted 29 job openings via the recruitment website Lagou.com. Three of these require blockchain-related expertise.

Japan’s new crypto regulations move to upper house of National Diet
Japan’s House of Representatives on Tuesday submitted new crypto regulation in the upper house of the National Diet, called the House of Councillors, according to Nikkei. The lower house passed amendments to two existing financial laws, namely, the Funds Settlement Act and the Financial Instruments and Exchange Act. Both intend to enhance the local regulations of the cryptocurrency trading process.

Bank of Russia to review proposal on gold-backed cryptocurrency
A proposal on a gold-backed cryptocurrency will be reviewed by the central bank of Russia, Bank of Russia Governor Elvira Nabiullina was quoted saying by TASS. The crypto is intended to help facilitate mutual settlements with other countries. Nabiullina, however, noted that fiat currency settlements in the Eurasian Economic Union framework are currently developing and have “good dynamics.”

South Korean government to run second study group on blockchain regulation
South Korea’s Ministry of Science and ICT has announced that it will run a second study group to promote the adoption of blockchain technology. In a press release issued this week, the government said that the “Blockchain Regulation Improvement Study Group”, which was launched last June, aims to “improve the legal system that prevents the spread of block chain technology.”

Seoul to roll out blockchain-based citizen cards
The city of Seoul in South Korea is planning to implement blockchain technology in citizen cards, Cointelegraph reported referring to a report from Queen.co.kr. Speaking at a conference, Seoul Mayor Park Won-soon said, “We will implement a blockchain integrated authentication system in Seoul citizen’s card and expand the base for easy access to various administrative services.”

Bahamas securities watchdog proposes cryptocurrency regulations
The Securities Commission of The Bahamas (SCB) has proposed a new framework to regulate the issuance and sale of digital tokens to lure blockchain businesses and crypto investments to the island nation. The draft, entitled “Digital Assets and Registered Exchanges Bill 2019,” seeks to regulate token offerings that are not deemed securities.

Research Studies

• Crypto and forex scams more than tripled in 2018/19 financial year, FCA finds
• Crypto-assets pose no immediate threat but need monitoring: ECB

Company News

• Crypto bank Galaxy Digital sells Block.one stake for $71M as EOS maker eyes 10% buyback of its stock
• Crypto startup Circle lays off 10 pct of its staff
• Ethereum Foundation lays out details of $30M budget for network development
• Crypto exchange Kraken raises over $6.5M in equity funding
• Blockchain software firm Unstoppable Domains raises $4M from Draper Associates, Boost VC
• Facebook registers new cryptocurrency firm Libra Networks in Switzerland
• Bitfinex, Tether claim another legal victory, obtain stay of demands from court
• Binance CEO CZ seeks compensation for reputational damage from Sequoia

Partnerships/Consortiums

• Crypto broker Voyager joins Wall Street Blockchain Alliance
• CULedger to integrate R3’s Corda Settler for blockchain-based cross-border payments

Digital Currency and Blockchain Initiatives

• Facebook to launch its cryptocurrency 'GlobalCoin' in Q1 2020: Report
• Switzerland’s stock exchange SIX developing Swiss Franc-pegged stablecoin
• Firefox allows users to automatically block crypto mining scripts
• AT&T teams up with BitPay to become the first telecom to accept cryptocurrency payments
• Billion, Microsoft to work with University of Warsaw on blockchain development
• Four banks trial blockchain platform ‘finledger’ for processing promissory note loans
• Russia's NSD to roll out security token blockchain in June
• Wipro develops blockchain-based digital currency payments solution for airline industry
• EY and Guardtime-backed blockchain firm Insurwave inks MoU with China's Zhuhai Port Holdings
• Austrian fiber producer Lenzing to launch blockchain-based traceability platform
• Honda and GM team up to explore blockchain potential in smart grid and electric car interoperability
• ABB, Evolvere launch blockchain pilot for energy sector
• ABN Amro to roll out blockchain and IoT platform for commodities industry
• German engineering giant Bosch trials Ethereum blockchain
• Indian telco Airtel selects IBM for blockchain-based pan India anti-spam call solution: Report
• Overstock.com’s blockchain subsidiary signs MOU with Lusaka city to develop land governance platform
• Toyota, University of Tokyo, TRENDE to start testing blockchain-based electricity trading solution