Regulatory Dynamics

1. The central bank of a certain African country has全面禁止加密资产.

Recently, a central bank of an African country ordered a ban on digital assets such as Bitcoin and required local banks to immediately close customer accounts related to cryptocurrency exchanges. This ban may be related to the previous anti-police violence protests in the country, where it was reported that young protesters extensively used Bitcoin to receive donations supporting the movement.

2. Estonia strengthens cryptocurrency licensing regulation

The Estonian Ministry of Finance is developing a stricter cryptocurrency licensing system. The new regulations will be overseen by the financial regulator Finantsinspektsioon, replacing the previous financial intelligence unit. The existing 381 licensed entities will need to reapply for operating licenses, with only 50-100 expected to meet the new requirements. The government stated that this move is not against cryptocurrency but aims to strengthen regulation. At the end of last year, the country had already revoked licenses from over 1,000 cryptocurrency companies.

3. The Indian government clarifies its stance on cryptocurrency regulation

The Indian Ministry of Finance recently responded in Parliament that the government will not consider cryptocurrencies as legal tender and will take measures to prevent their use in illegal activities or payment systems. It also stated that it will actively explore the application of blockchain technology in the digital economy. An executive from a trading platform believes this indicates that the government's focus is on curbing illegal uses rather than an outright ban.

4. The South African Revenue Service requires the disclosure of cryptocurrency transactions

The South African Revenue Service has explicitly required taxpayers to disclose their cryptocurrency trading activities in its latest audit requirements, including the purpose of purchases and transaction timelines. The revenue service emphasized that failing to report truthfully or concealing relevant information is illegal and may result in a maximum of two years in prison.

5. Spain Releases Cryptocurrency Tax Guidelines

The Spanish tax authorities have issued guidelines to reduce the risk of tax evasion involving cryptocurrencies. The main measures include: requiring local exchanges to provide user information, systematically analyzing the obtained information to control taxation, and strengthening international cooperation to acquire more cryptocurrency-related information.

6. A certain province in Argentina imposes taxes on cryptocurrency transactions

The province of Córdoba in central Argentina has passed a new law that will impose a tax of 4%-6.5% on the total income from transactions involving cryptocurrency brokers and exchanges. Individual traders will also be subject to the same tax rate. Individuals or companies that accept cryptocurrency payments are required to pay a tax of 0.25% to the provincial tax authority.

7. Beijing Pilot Digital Renminbi Red Envelopes

Beijing has launched a pilot program for digital renminbi, which will distribute red packets of 200 yuan each to 50,000 selected participants. Participants can spend at designated merchants and e-commerce platforms. Local financial regulatory authorities stated that they will steadily promote more applications of digital renminbi around the 2022 Winter Olympics.

Cryptocurrency Dynamics

1. PayPal increases investment in cryptocurrency business

PayPal CEO revealed that the company is investing in a new department for cryptocurrency, blockchain, and digital currency business. PayPal expects to launch a feature by the end of this quarter that will allow users to top up their accounts using cryptocurrency. Currently, the trading volume of cryptocurrency on the platform has exceeded expectations.

2. Tesla CEO expresses support for Bitcoin

Tesla CEO Elon Musk expressed support for Bitcoin, calling it a good thing, but he missed the early investment opportunity. He also mentioned that it would be an interesting outcome if Dogecoin became the world currency. Additionally, there are reports that SpaceX executives attended a Bitcoin summit to discuss the possibility of incorporating Bitcoin into the company's assets.

3. Forbes Releases the Blockchain 50 List

Forbes released its list of the top 50 global blockchain companies for 2021, with 21 companies making the list for the first time, including the Industrial and Commercial Bank of China. Some American tech giants like Facebook and Google were unable to make the cut. Only 12 companies have been on the list for three consecutive years, with Ant Group being the only Chinese company to be selected for three years in a row.

4. Canadian company applies for Bitcoin ETF

The Canadian fintech company Accelerate has submitted a prospectus for a Bitcoin ETF to the regulatory authorities. The ETF plans to be listed on the Toronto Stock Exchange, offering both USD and CAD as pricing units, with a management fee of 0.70%.

5. Filecoin network upgrade is imminent.

The Filecoin network will undergo a mandatory upgrade to version v1.5.0 in the near future, which includes two important proposals. One of the proposals aims to alleviate network congestion through off-chain verification, improve TPS, and also help miners reduce costs and maintain stable computing power.

6. Cryptocurrency search popularity hits a new high

According to statistics from data provider The TIE, the search volume for "buying cryptocurrency" on Google reached a new high in January, reflecting a sustained increase in public interest in crypto assets.