US lawmakers have reintroduced the Securities Clarity Act, which aims to clarify how digital assets are labeled. The bill proposes a new term, "investment contract asset," to distinguish assets from the securities contracts they are part of. Without this distinction, token projects that have to raise capital in the early stages will not be able to move out of the securities framework once the project is decentralized, which will harm token holders. The bill has received support from crypto advocacy groups in Washington D.C. and is seen as crucial legislation that provides much-needed certainty for investors, consumers, and businesses.

Greenland, a Chinese state-owned real estate developer, is reportedly applying for a virtual assets trading license in Hong Kong. This move comes as Hong Kong is increasing its regulations in the crypto space. The fintech unit of Greenland will be the one to apply for the license, and the Shanghai municipal government owns 46.4% of the company. This would make Greenland the first state-owned entity to apply for a digital assets license in Hong Kong. Meanwhile, Chinese authorities continue to crack down on the crypto market, particularly in the NFT space. Hong Kong, on the other hand, is taking a more favorable approach to regulation, with a licensing process set to begin on June 1.

Swiss family-owned company Cofra Holding has joined the Hedera Governing Council, a decentralized public network for creating and deploying dApps. As a governing council member, Cofra will contribute to Hedera's strategic direction and play an essential role in driving the adoption of distributed ledger technology (DLT) and sustainability leadership. Hedera's unique governance model and technical capabilities have set it apart from other blockchain networks, and recent partnerships with notable firms have enabled the network to expand its reach and support the development of innovative solutions. Cofra's expertise in sustainability practices further solidifies Hedera's position as a leading network in the DLT space and opens up possibilities for collaboration on projects that promote sustainable practices within the network.

France is offering a welcoming environment for crypto companies seeking regulatory certainty amidst uncertainty in the US. The country already has 74 registered crypto companies, with more expected to join as they anticipate the EU's Markets in Crypto Assets rules. France's regulatory framework, known as PSAN, offers predictability and legal certainty, though there are still some gray areas, such as the regulation of crypto social media influencers. The AMF, responsible for supervising market infrastructure and intermediaries, has a reputation for being a major market regulator that manages risk well.

Crypto companies looking to establish themselves in Hong Kong are facing difficulties in opening bank accounts, despite the city's efforts to become a hub for the industry. The Securities and Futures Commission is handling a large number of applications with only eight officers, and even licensed firms are struggling. While the Hong Kong Monetary Authority has reminded banks that they are not banned from offering accounts to crypto firms, a recent roundtable focused on easing access for firms with licenses. Money-service operators have also faced reluctance from banks due to concerns about anti-money laundering and counter-terrorist financing, but some local players are stepping up to serve the industry. Despite recent collapses of crypto companies in Singapore, most players in Hong Kong remain optimistic about future discussions with regulators.

The U.S. Justice Department is set to increase its scrutiny of cryptocurrency trading platforms in order to target illicit behavior. The department will be targeting exchanges that engage in criminal activities or allow other criminal actors to profit from their crimes. The DOJ also plans to focus on crimes in the decentralized finance space, particularly relating to chain bridges. The crackdown on the crypto sector has led to more companies leaving the U.S. in search of friendlier jurisdictions, and American policymakers should provide a realistic registration rulebook for centralized exchanges to operate within the country instead of killing innovation with impossible rules.

South Korea is currently working on regulations for digital assets, including cryptocurrency trading, to regulate the volatile industry. However, there is a disagreement between the Financial Services Commission (FSC) and the central bank over access to data from cryptocurrency platforms. The FSC has agreed to the central bank's request for access to data from crypto companies, but the dispute may arise again. South Korea has a significant cryptocurrency market, with around 10% of the population invested in cryptocurrencies, and the central bank is concerned about the potential impact on financial stability. The digital asset industry welcomes regulatory clarity, but is worried about excessive regulations if financial authorities continue to dispute who is in charge. South Korea plans to complete its crypto regulatory framework in two parts, with an emphasis on consumer protection and standardizing the issue of crypto tokens and disclosure of information to investors.

Binance's Chief Strategy Officer Patrick Hillman criticized the confusing enforcement of crypto regulations in the US and called for clearer rules similar to those in Europe. Hillman suggested that US regulators should learn from the European Union's comprehensive Markets in Crypto Assets (MiCA) regulatory framework, which has been praised by Binance CEO Changpeng Zhao. Despite the UK's exit from the EU, Hillman expressed Binance's interest in becoming regulated under UK law. This comes after Coinbase CEO Brian Armstrong also floated the idea of relocating operations abroad to avoid regulatory uncertainty in the US.

The White House is taking aim at the domestic crypto industry by deploying financial regulators and enlisting the banking sector. They are also seeking to impose a de facto ban on mining in the US through the Digital Asset Mining Energy (DAME) excise tax, which would increase electricity costs for miners by 30%. However, this tax sets a dangerous precedent as it unfairly targets an industry that legitimately purchases electricity. Furthermore, the tax would not achieve its intended goals and would actually increase emissions associated with Bitcoin mining.

Texas lawmakers have voted overwhelmingly to amend the state's bill of rights to include the right of its residents to own, hold and use digital currency. The bill, HJR 146, was authored by Republican State Rep. Giovanni Capriglione in March. The lone state's crypto enthusiast, Texas Republican US Sen. Ted Cruz, has been supportive of crypto through the introduction of multiple bills over the past year. Cruz has also suggested banning the US Federal Reserve from issuing a central bank digital currency, in line with other Republican lawmakers' criticism of a US-backed CBDC.