Kiffmeister’s #Fintech Daily Digest (09/27/2021)

Derivatives DEX dYdX beats out Coinbase’s spot markets by volume amid China FUD

Decentralized derivatives exchange dYdX has seen a surge in trade activity, with the decentralized exchange (DEX) now processing more volume than Coinbase’s spot markets for the first time, amid renewed concerns regarding the threat of heavy-handed Chinese regulation. On September 24, Chinese authorities intensified their crackdown on crypto-assets by banning all digital currency transactions, including those with offshore exchanges. DEXes rely on smart contracts, allowing people to trade crypto-assets without intermediaries. [Read more]  

Chinese crypto exchange Huobi looks to the world as China shuts the door on crypto

Chinese crypto-asset exchange Huobi announced that it has stopped account registration for new customers in mainland China and will close down the accounts for existing mainland Chinese users by December 31. Huobi had already been scaling back its operations and product offerings in China. In July, Huobi closed its Beijing Huobi Network Technology entity and tightened over-the-counter trading restrictions. The exchange, in June, stopped offering crypto derivatives trading to users in China and Taiwan. The exchange had also stopped hosting Bitcoin mining services and providing leverage trading. [Read more] blocks fiat deposits and spot crypto trading for Singapore users

Binance announced that users in Singapore will no longer have access to fiat deposits, crypto spot trading, liquid swap and crypto purchases via fiat channels on its main website. The restrictions are being imposed for regulatory compliance reasons. However, Binance also operates a separate local platform, which has applied for a licence in Singapore. Like other applicants, it is allowed to operate in Singapore under an exemption while the MAS processes applications. [Read more]  

Singapore’s PayNow and Malaysia’s DuitNow to Link in 2022

The Monetary Authority of Singapore (MAS) and Bank Negara Malaysia announced plans to commence a phased linkage of Singapore’s PayNow and Malaysia’s DuitNow instant payment systems. Customers will also be able to make retail payments by scanning QR codes displayed at merchants’ storefronts. The first phase, to be launched in the fourth quarter of 2022, will allow customers of participating financial institutions to make real-time fund transfers between Singapore and Malaysia using just a mobile number. In June, the MAS and the Reserve Bank of India announced plans to link PayNow and India’s Unified Payments Interface real-time payment systems by July 2022. [Read more]    

Central Bank of Chile Sets Up Team to Study CBDC Issuance

The Central Bank of Chile is exploring the issuance of central bank digital currency (CBDC). The bank will form a team to analyze the objectives, requirements and regulations for the development of a CBDC. The group aims to deliver a white paper in the first quarter of 2022, presenting a framework for action and strategic objectives, lines of action and expected results. [Read more]  

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September 28-30 CordaCon Conference

At the September 28-30 CordaCon2021, I’ll be providing an overview of recent retail #CBDC developments. You can register for the event here:

October 4-6 CBDC Conference

On October 4 I’ll be providing an overview of international work on retail CBDC and evolving thinking on motivations, system design and safeguards at The CBDC Conference. You can register for this and the full three-day (October 4-6) event here: