The world of digital assets continues to evolve rapidly, with governments, financial institutions, and tech innovators shaping the future of finance. From national stablecoin initiatives to major exchange IPO considerations and sweeping regulatory updates, this week’s top developments highlight a maturing ecosystem where innovation meets oversight.
🌏 Hong Kong’s Digital Asset Vision: LEAP Forward with Policy 2.0
Hong Kong has reaffirmed its ambition to become a global hub for digital asset innovation through the release of its Digital Asset Development Policy Declaration 2.0. The updated framework introduces the LEAP initiative, focusing on four core pillars:
- Legal & Regulatory Optimization: Strengthening investor protection while fostering innovation.
- Tokenized Product Expansion: Broadening access to tokenized real-world assets (RWAs) such as bonds, funds, and real estate.
- Use Case Development & Cross-Sector Collaboration: Encouraging blockchain integration in public services, supply chains, and financial infrastructure.
- Talent & Ecosystem Growth: Attracting skilled professionals and international partners.
Finance Secretary Paul Chan emphasized that Hong Kong aims to build a vibrant digital asset ecosystem aligned with real economic value—balancing prudent regulation with market-driven growth. This strategic move reinforces the region’s position as a leading financial gateway in Asia.
👉 Discover how global exchanges are adapting to new regulatory landscapes.
💰 South Korea’s Banking Giants Unite for Won-Backed Stablecoin
In a landmark collaboration, eight major South Korean banks—including KB Kookmin, Shinhan, Woori, NH NongHyup, IBK Enterprise Bank, KFB, Citi Korea, and Standard Chartered Korea—are forming a joint venture to launch a Korean won-pegged stablecoin. This marks the first time domestic banks have banded together to enter the digital asset space.
The consortium is working alongside the Open Blockchain & DID Association and the Financial Settlement Institute to develop two potential models:
- Trust-based stablecoin
- Deposit-backed stablecoin
Expected to incorporate strict compliance with anti-money laundering (AML) and know-your-customer (KYC) standards, the project could see the new entity established by late 2025 or early 2026. This initiative reflects growing institutional confidence in blockchain technology and sets the stage for broader adoption across payments and cross-border remittances.
🇯🇵 Japan Moves Toward Bitcoin ETFs and Tax Reform
Japan’s Financial Services Agency (FSA) is advancing plans to bring cryptocurrencies under the Financial Instruments and Exchange Act (FIEA). A proposal released on June 24, 2025, signals a major regulatory shift that could unlock several key innovations:
- Approval of spot Bitcoin ETFs listed on Japanese exchanges
- Introduction of a ~20% flat tax rate under the申报separate taxation system, replacing the current progressive tax model that reaches up to 55%
This reform aims to reduce investor burden and attract institutional participation. If passed, Japan would join a growing list of nations embracing crypto-friendly policies, further legitimizing digital assets within traditional finance.
🏦 Barclays Blocks Crypto Transactions Amid Risk Concerns
Starting June 27, 2025, UK banking giant Barclays has prohibited customers from using its credit and debit cards for cryptocurrency purchases. As one of the Globally Systemically Important Banks (G-SIBs) designated by the Financial Stability Board, this decision underscores rising caution among legacy financial institutions.
Barclays cited two primary concerns:
- High volatility leading to potential consumer debt issues
- Lack of protection under the Financial Ombudsman Service and Financial Services Compensation Scheme
While not banning ownership of crypto assets, the restriction reflects ongoing skepticism in traditional banking circles about retail exposure to digital currencies.
🚀 OKX Eyes U.S. IPO After Market Reentry
Following its re-launch in the U.S. market in April 2025, leading crypto exchange OKX is reportedly considering an initial public offering (IPO) on American soil. According to sources close to the matter, the move aligns with OKX’s long-term strategy to enhance transparency, expand institutional trust, and comply with evolving regulatory expectations.
An IPO would mark a significant milestone for the global exchange industry, positioning OKX among pioneers like Coinbase in navigating regulated capital markets.
👉 Explore how top platforms are preparing for compliance-focused growth.
📈 Coinbase Launches Regulated Perpetual Futures in U.S.
In a major step for compliant derivatives trading, Coinbase Derivatives Exchange will introduce "US Perpetual-Style Futures" on July 21, 2025. These contracts—available for nano Bitcoin (0.01 BTC) and nano Ethereum (0.10 ETH)—will be regulated by the Commodity Futures Trading Commission (CFTC).
Key benefits include:
- Accessible contract sizes for retail traders
- Transparent pricing and risk management
- Elimination of reliance on offshore exchanges
This launch represents the first regulated perpetual-style futures product available to U.S. traders, signaling stronger alignment between crypto innovation and federal oversight.
⛏️ Bhutan’s Bitcoin Strategy: Mining Wealth from Water Power
Tiny Himalayan nation Bhutan now holds approximately $1.3 billion in Bitcoin, representing nearly 40% of its GDP—making it one of the largest national holders globally. Since launching a state-backed mining initiative in 2020, Bhutan has leveraged its abundant hydropower resources to operate at least six large-scale mining facilities.
Partnering with mining firm Bitdeer, Bhutan plans to:
- Maintain a long-term "HODL" strategy
- Integrate crypto payments into tourism
- Explore blockchain applications in urban development
This bold fiscal experiment demonstrates how small economies can harness renewable energy for digital sovereignty.
🇦🇪 UAE Fund Invests $100M in WLFI Token
An Abu Dhabi-based Web3 investment fund, Aqua1 Fund, has committed $100 million to purchase tokens of World Liberty Financial Inc. (WLFI)—a decentralized finance platform linked to the Trump family. The fund’s ENS address (aqua1.eth) confirms its identity.
WLFI co-founder Zak Folkman announced growing interest from public companies looking to add WLFI to corporate treasuries and unveiled the upcoming World Liberty Financial App, aimed at expanding retail access.
🔐 Turkey Cracks Down on Crypto Money Laundering
Turkey’s Ministry of Treasury and Finance has introduced stringent new rules targeting illicit crypto flows, particularly from illegal gambling and scams. Key measures include:
- Mandatory transaction memos (minimum 20 characters)
- 72-hour delay on first-time withdrawals if “Travel Rule” data is missing
- Daily cap of $3,000** and monthly limit of **$50,000 on stablecoin transfers (double for compliant platforms)
- Possible license revocation for non-compliant exchanges
Despite crackdowns, Turkey remains one of the most active crypto markets globally due to high inflation and currency instability.
🔍 Core Keywords
- Stablecoin development
- Cryptocurrency regulation
- Bitcoin ETF
- Institutional crypto adoption
- Digital asset policy
- Crypto IPO
- Central bank digital currency (CBDC) trends
- DeFi innovation
❓ Frequently Asked Questions
Q: Why are banks launching their own stablecoins?
A: Banks aim to modernize payment systems, reduce settlement times, and retain control over financial rails amid rising competition from private stablecoins like USDT and USDC.
Q: Can individuals still buy crypto if Barclays blocks transactions?
A: Yes—Barclays only restricts card purchases. Users can still transfer funds to exchanges via bank transfers or use other financial institutions.
Q: What does Japan’s proposed crypto tax reform mean for investors?
A: A shift from a 55% progressive tax to a flat ~20% rate would significantly lower liabilities for frequent traders and encourage wider participation.
Q: Is Bhutan selling any of its Bitcoin holdings?
A: No official sales have been reported. Bhutan maintains a long-term hold strategy, viewing Bitcoin as a strategic reserve asset.
Q: How does Coinbase’s new futures product differ from offshore offerings?
A: Unlike unregulated offshore platforms, Coinbase’s futures are CFTC-supervised, offering legal clarity, investor protections, and integration with U.S. tax reporting.
Q: Could Hong Kong’s LEAP framework influence other regions?
A: Absolutely. By combining innovation with strong regulation, Hong Kong offers a model other jurisdictions may emulate—especially in Asia-Pacific markets.
💼 Major Funding Highlights in Blockchain & AI
Recent weeks saw significant capital inflows across crypto and AI sectors:
- Zama raised $57M for fully homomorphic encryption (FHE), becoming the first FHE unicorn.
- Digital Asset, developer of the privacy-focused Canton network, secured $135M.
- Veda, a DeFi vault infrastructure provider managing over $3.7B in assets, raised $18M.
- Paradigm led a $15M Series A for GTE, builder of what it claims is the world’s fastest DEX.
- Several firms—including ECD Automotive, Sequans, and KindlyMD—are adopting Bitcoin treasury strategies, collectively raising over $700M in equity financing.
These moves reflect deepening convergence between traditional finance and blockchain-native business models.
👉 See how emerging platforms are integrating Bitcoin into corporate balance sheets.