March 15, 2020 Weekend Roundup
  • The state of Hawaii announced a two-year regulatory sandbox for cryptocurrency businesses. The announcement is part of a wider review of the state’s cryptocurrency legislation. Specifically, the new policy will exempt cryptocurrency companies from Hawaii’s double-reserve rule and money transmitter license.
  • The Reserve Bank of Zimbabwe (RBZ), Zimbabwe’s central bank is preparing to launch a new regulatory framework for cryptoasset service providers as part of a broader recognition of the industry’s future. The decision is in sharp contrast to RBZ’s previous policy stances towards the industry.
  • Russia’s central bank has indicated that it is pushing for more aggressive legislation against cryptocurrencies in an upcoming bill. The Bank of Russia (BoR) has indicated that it is lobbying Russia’s legislature to consider imposing a ban on the issuance and trading of cryptocurrencies.
  • Legislation in South Korea increased regulatory oversight: exchanges must now officially register with the country’s regulators and establish partnerships with exactly one bank per exchange. The laws additionally require cryptoasset wallets to be linked to bank accounts, increasing regulator’s ability to identify users.
  • France’s Financial Markets Authority (AMF) proposed a regulatory sandbox for security tokens, with its president Robert Ophèle arguing that companies cannot successfully issue STOs under current legislation, demonstrating the need for change. In an independent development, in a ruling on a dispute between Bitcoin marketplace Paymium and crypto investment company BitSpread, France’s Nanterre Commercial Court classified a bitcoin loan as a consumer loan, a conclusion hailed as a recognition that Bitcoin is money.
  • India’s Supreme Court overturned the country’s ban on banking services for cryptocurrency businesses, finding that there was inadequate evidence of the alleged risks such businesses pose. Reacting to the development, Kraken exchange pledged to ‘rebuild services in India.