China and Russia tighten encryption regulations, Morocco studies CBDC.

Regulatory Dynamics

South Korea Introduces New Regulatory Measures for Cryptocurrency Exchanges

The Financial Intelligence Unit (FIU) of the Financial Services Commission of South Korea has recently issued a series of new regulatory requirements for cryptocurrency exchanges. These measures aim to strengthen anti-money laundering and counter-terrorism financing (AML/CFT) efforts.

According to the new regulations, exchanges are required to identify and report abnormal transactions on the platform within three working days. In addition, they must provide the FIU with the following evidence: certification of information protection management system, a real-name authentication contract signed with the domestic bank, and qualified personnel assigned to key positions.

At the same time, the South Korean Financial Services Commission is considering amending the existing "Specific Financial Transaction Information Reporting and Supervision Regulations." The revised regulations may allow "shared orders" under certain conditions, meaning that customers can trade assets with other business owners through corporate alliances. This amendment will undergo legislative notice from February 18 to March 2.

Russia Advances Cryptocurrency Tax Legislation

On February 15, the State Duma's Committee on National Construction and Legislation approved a cryptocurrency tax bill. The bill amends the Russian Federation Tax Code to officially recognize cryptocurrencies such as Bitcoin as property and plans to tax the profits from cryptocurrency transactions of Russian residents.

The bill applies to all domestic residents, including citizens, foreigners, and both domestic and international organizations established in Russia. According to the draft, if the annual trading total exceeds 600,000 rubles (approximately 8,100 USD), the relevant entities must declare their cryptocurrency transactions. Failure to pay or underpayment of taxes will face a 40% fine.

The Russian Duma is expected to review this new cryptocurrency legislation on February 17.

Morocco is considering launching a central bank digital currency

The Moroccan government is actively studying the possibility of launching a central bank digital currency (CBDC). This move demonstrates the country's focus on digital financial innovation and its emphasis on keeping up with global trends in central bank digital currencies. This initiative may have a profound impact on the country's financial system and economic development.