Calea Digital meticulously selects news that we believe has the most significant impact on the Blockchain & Web3 trends ecosystem based on a set of well-defined criteria. Our aim is to highlight developments that not only demonstrate the innovative strides being made within the space but also to provide insights into how these advancements can redefine the technological, economic, and social landscapes. We prioritize stories that showcase groundbreaking applications of blockchain technology, notable shifts in tokenomics and governance models, and major regulatory or legal milestones that might influence the framework within which these technologies operate. By focusing on these key areas, we ensure our audience is informed about the most consequential changes shaping the future of decentralized systems and digital assets.
Below, we summarize the most important news from the blockchain and cryptocurrency sector over the past week, explaining the news, highlighting the key points and outlining conclusions and next steps.
General Web3 Trends and News
South Korea to Push 20% Crypto Tax in 2025 with Higher Exemption Limit
South Korea's ruling Democratic Party plans to implement a 20% tax (22% with local tax) on cryptocurrency gains starting January 1, 2025, after previous delays due to investor opposition. The amended tax plan significantly raises the exemption threshold to $35,919 and includes adjustments to address the challenge of tracking crypto purchase records.
Key Points:
A 20% tax rate on crypto gains (22% with local tax) will take effect starting January 1, 2025.
The tax exemption limit will increase from 2.5 million Korean won ($1,795) to 50 million won ($35,919).
The plan allows using a percentage of the sale price as a proxy for the purchase price if records are unavailable.
Raising the exemption limit is expected to reduce the number of investors affected by the tax.
The updated plan is set to be voted on by the National Assembly's tax subcommittee (Nov. 25) and general meeting (Nov. 26).
The amended tax proposal awaits approval from the National Assembly's tax subcommittee and general meeting. Its implementation and effects on South Korea's crypto industry will be closely monitored starting in 2025.
Russia plans to restrict crypto mining in 13 regions to save electricity
The Russian government is planning to impose crypto mining restrictions in 13 regions, including key mining hubs like Irkutsk and annexed Ukrainian territories, to address power shortages during winter heating seasons. The restrictions, set to last until 2031, are expected to heavily impact major mining firms operating in these regions.
Key Points:
Restrictions proposed in Siberian regions, including Irkutsk, Zabaikalsky, and parts of Buryatia.
Annexed Ukrainian territories such as Donetsk, Luhansk, Zaporizhzhia, and Kherson are included.
Restrictions planned for winter seasons (December to March) until 2031.
Measures aim to prevent power shortages during peak energy demand periods.
Major hubs like Irkutsk rely on cheap hydropower, making them key areas for mining firms like BitRiver.
Putin recently signed crypto mining laws, introducing legal uncertainty and several restrictions, including bans on foreign entities mining in Russia.
Monitor the approval and implementation of the restrictions, especially their impact on major mining firms and regional power supplies. Observe how miners adapt to new regulations, including registering to continue operations under stricter limits.
UK to Regulate Cryptocurrencies, Stablecoins, and Staking by 2025
The UK government has announced its plan to introduce a unified regulatory framework for cryptocurrencies, stablecoins, and staking services by 2025. This initiative aims to provide legal certainty, foster digital finance innovation, and position the UK as a global leader in the sector. The framework will reclassify staking as a technology service rather than an investment product and apply lighter regulatory measures to stablecoins used for payments.
Key Points:
Unified regulatory framework will cover cryptocurrencies, stablecoins, and staking.
Staking will no longer be classified as a Collective Investment Scheme (CIS).
Stablecoins will be regulated with a lighter approach, supporting retail and wholesale payments.
The initiative aims to position the UK as a global frontrunner in digital finance.
Focus on tokenization and modernizing the financial system through blockchain technology.
The UK government will work closely with the industry and regulators to implement the framework, balancing consumer protection and innovation to ensure the country remains competitive in global digital finance.
Pump.fun Live Streams Are Going Too Far — Even for the Crypto Community's Liking
The Solana-based memecoin launchpad Pump.fun, known for its decentralized token launch platform, is under fire for incidents of users threatening violence and self-harm during its promotional live streams. While the platform claims to moderate such content, its decentralized structure poses challenges, raising alarm within the crypto community and sparking debates on regulation and ethical practices.
Key Points:
Users have threatened self-harm, violence, and other harmful acts during Pump.fun’s live streams if their token prices don't reach specific targets.
Notable incidents include threats of suicide, family harm, animal abuse, and overtly criminal behavior.
Critics warn of potential regulatory scrutiny and possible platform bans due to safety concerns and illegal activity.
The platform claims to actively moderate, removing harmful streams and illicit content, but struggles with the scale and nature of decentralization.
Responses within the community are divided between calls for regulation and a push for self-regulation to balance free expression and accountability.
Pump.fun must enhance its content moderation efforts and transparency to prevent further harmful incidents and avoid regulatory crackdowns. The broader crypto community needs to address the ethical responsibilities of decentralized platforms to ensure safer standards.
Web3 Companies
MicroStrategy acquires another 55,500 bitcoin for $5.4 billion, taking holdings to 386,700 BTC
Business intelligence firm MicroStrategy has made its largest bitcoin acquisition yet, purchasing 55,500 BTC for $5.4 billion at an average price of $97,862 per coin. This acquisition follows a $3 billion debt offering and a $2.46 billion share sale, showcasing the company's aggressive strategy to accumulate bitcoin for its holdings, now totaling 386,700 BTC worth over $37 billion.
Key Points:
MicroStrategy purchased 55,500 BTC for $5.4 billion at an average price of $97,862 between Nov. 18 and Nov. 24.
This is its largest bitcoin acquisition to date.
The purchase follows a $3 billion debt offering and a $2.46 billion sale of over 5.5 million shares.
The company plans a $42 billion capital raise for further bitcoin acquisitions over the next three years.
MicroStrategy’s total holdings of 386,700 BTC were acquired for $21.9 billion at an average cost of $56,761 per BTC.
Analysts predict MicroStrategy could control 4% of bitcoin's circulating supply by 2033, potentially amassing 830,000 BTC.
MicroStrategy's ongoing bitcoin acquisition strategy will be closely observed, alongside its financial performance and the implications for the cryptocurrency market. The company's "Bitcoin Yield" will remain a critical metric as it balances shareholder interests with continued accumulation.
dYdX Unlimited launches MegaVault for automated liquidity
dYdX Unlimited has launched, introducing transformative features like Instant Market Listings, MegaVault for automated liquidity and yield, revamped Trading Rewards, and a new Affiliates Program. These updates aim to revolutionize decentralized derivatives trading by addressing liquidity challenges and creating new earning opportunities for users.
Key Points:
Instant Market Listings: Enables users to create and trade markets instantly without approval delays, bringing more flexibility and inclusivity to derivatives trading.
MegaVault: Automates liquidity allocation across markets, ensuring sustainable liquidity while offering USDC depositors passive income through market-making strategies.
Trading Rewards: Distributes $1.5M in DYDX tokens monthly and rewards trades with additional tokens.
Affiliates Program: Provides lifetime USDC commissions for referrals, with enhanced rewards for high-performing affiliates.
Monitor the impact and adoption of these new features, especially Instant Market Listings and MegaVault's liquidity solutions. Assess their contribution to increased user engagement and the broader development of the DeFi and derivatives trading ecosystem.
Allianz, Germany’s biggest insurer, buys 24% of MicroStrategy’s $2.6B notes
Allianz, Germany’s largest insurer and the second-largest insurance provider in Europe, has acquired 24.75% of MicroStrategy’s $2.6 billion convertible note offering. MicroStrategy intends to use the capital to purchase more Bitcoin, marking increased institutional interest in the crypto market.
Key Points:
Allianz made the $2.6 billion investment through four of its subsidiaries.
The funds raised by MicroStrategy will primarily go toward acquiring additional Bitcoin.
Bitcoin recently broke the $99,000 mark, with analysts predicting a surge past $100,000.
MicroStrategy raised $3 billion in total from the oversubscribed note offering.
Some experts warn about growing leverage in crypto markets as institutional interest rises.
Monitor Bitcoin’s price trajectory as Allianz’s involvement could bolster market confidence and drive a potential rally. Additionally, continue assessing the impact of institutional investments on crypto market dynamics and leverage concerns.
Web3 Investments
Singapore Gulf Bank seeks $50M to fund stablecoin firm acquisition
The crypto-friendly Singapore Gulf Bank, operated by the Whampoa Group, is reportedly planning to raise $50 million by selling 10% of its equity to fund product development, talent acquisition, and the acquisition of a stablecoin payments company in early 2025. Discussions are underway with key investors, including a sovereign wealth fund in the Middle East, though the bank has not confirmed the rumors.
Key Points:
Singapore Gulf Bank aims to raise $50 million through a 10% equity sale.
Funds will be allocated for product development, talent acquisition, and payment network expansion.
Acquisition of a stablecoin payments firm is expected by Q1 2025.
The bank, backed by the Whampoa Group, recently secured an operational license in Bahrain.
The MENA region represents 7.5% of global crypto transactions, with high-value transactions dominating.
The success of this funding round and the planned acquisition will rely on investor confidence and favorable market conditions. As the bank expands into stablecoin payments, its progress will be closely monitored within the MENA region and beyond.
Hong Kong's ZA Bank Becomes First Asian Bank to Offer Cryptocurrency Trading to Retail Clients
ZA Bank, a digital bank based in Hong Kong, has become the first in Asia to allow retail clients to trade cryptocurrencies like Bitcoin and Ethereum. The new service enables users to trade these assets directly from the bank's app using Hong Kong (HKD) or U.S. dollars (USD). Through a partnership with HashKey exchange, the bank ensures compliance with regulations and provides a secure platform.
Key Points:
First Asian bank to offer retail cryptocurrency trading.
Users can trade Bitcoin and Ethereum using HKD or USD on the ZA Bank app.
Collaboration with HashKey, a licensed crypto exchange, for regulatory compliance and secure transactions.
No fees for the first three months of the service.
Minimum purchase limit set at $70.
Aims to integrate traditional banking (TradFi) with the Web3 ecosystem.
Monitor the adoption and user reception of ZA Bank's new service as a benchmark for integrating crypto in traditional banking. Evaluate the impact on cryptocurrency adoption in Asia and the implications for regulatory developments in the region.
Regulation
Trump Nominates Hedge Fund Manager Scott Bessent as Treasury Secretary
President-elect Donald Trump has nominated Scott Bessent, a renowned international investor, founder of Key Square Capital Management, and former chief investment officer at Soros Capital Management, to serve as the next U.S. Treasury Secretary. Bessent, a major fundraiser for Trump's campaign, has publicly supported the cryptocurrency sector and aligns with the administration's growing crypto-friendly stance.
Key Points:
Bessent is a respected global investor and strategist with extensive experience in hedge fund management.
He co-founded Key Square Capital Management and previously worked at Soros Capital Management.
Bessent is openly supportive of cryptocurrencies, emphasizing their connection to freedom and economic opportunity.
If confirmed by the Senate, he would become the first openly gay U.S. Treasury Secretary.
Trump has nominated other crypto-friendly individuals to key positions, including Robert F. Kennedy Jr. for Health and Human Services and Pete Hegseth for Defense.
Trump’s administration has prioritized embracing cryptocurrencies, meeting with industry leaders and advancing pro-crypto policies.
The Senate will need to confirm Bessent's nomination before he can assume the role. If approved, his leadership is likely to shape U.S. financial policy, particularly in the area of cryptocurrency regulation.
Bibliography
General Web3 trends and news
Web3 companies
Investments Web3
Regulation
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