Fintech Daily Digest

Bank of Japan Governor Haruhiko Kuroda said there was no talk among G20 finance leaders on the possibility of central banks issuing digital currencies, as part of efforts to enhance cross-border settlement services.

Fidelity is ramping up its cryptocurrency custody business, hoping to profit from the scarcity of big, regulated institutions in the chaotic world of digital assets, according to Abigail Johnson, the investment group's chief executive.

Four Stikeman Elliott lawyers recently co-authored the Canadian chapter of The Virtual Currency Regulation Review (2nd ed.), published by Law Business Research Ltd. The chapter provides an excellent overview of this rapidly developing area of law.

The National Bank of Cambodia (NBC) signed an agreement last week with Malaysia's Maybank to determine how the banks' respective digital payment platforms - Bakong and Maybank2u - can work in tandem to reduce often crippling remittance fees.

Binance's futures exchange is raising leverage to 125x with the launch of bitcoin (BTC)/tether (USDT) contracts today.

The U.S. SEC is reviewing its order issued last week pertaining to a rejected proposal for a bitcoin ETF. The proposal was filed by NYSE Arca for the Bitwise Bitcoin ETF Trust. Meanwhile, the SEC is also evaluating a proposed rule change for a different type of bitcoin ETF.

How did Telegram find itself in this position? What does the SEC's filing mean for the future of the TON project-and for the cryptocurrency industry as a whole?

The Financial Stability Board (FSB) today published an issues note on regulatory issues of stablecoins. The paper was delivered to G20 Finance Ministers and Central Bank Governors for their meeting in Washington D.C this week.

The Libra Association is pleased that the G7 Working Group report, 'Investigating the Impact of Global Stablecoins (GSCs),' recognizes the potential to improve access to fast, secure and inexpensive payment technology.

A report published on Thursday by the G7 warned that stablecoins that reach a global scale could "undermine competition in financial markets", as well as threaten financial stability and monetary policy. 

"This G7 report lays out initial recommendations for both private sector stablecoin developers and public sector authorities to address the challenges and risks. Finally, the report suggests that authorities could develop road maps for improving the efficiency and lowering the cost of payments and financial services."

This Banque de France paper considers the motives, modalities, and possible consequences of retail and wholesale central bank digital currency issuance.

Telegram filed a response to the SEC writing that the SEC's emergency injunction is unwarranted. Telegram is asking a federal court to deny the regulator's motion to enforce a subpoena. Further, Telegram argued its upcoming gram token is not a security, and the SEC should not be able to force the company to produce documents or witnesses about its blockchain project

With its Libra plan for a global digital currency, Facebook has shown both economic and political ambitions. The project would mean a private company controlling a common good and taking over tasks normally discharged by states. This is unacceptable for both economic and political reasons.

Federal Reserve governor Lael Brainard delivered a sharp critique of Libra on Wednesday, stating the Facebook-led project would need to resolve a number of regulatory hurdles before going live.

A digital ID solution for citizens, businesses and government bodies, the Perseid e-ID project is being carried out in partnership with identity program Perseid Network and decentralized credential verification protocol Shyft Network.

ML is increasingly being used in UK financial services. Two thirds of respondents report they already use it in some form. The median firm uses live ML applications in two business areas and this is expected to more than double within the next three years.

An internal Bank of Canada presentation, prepared for Governor Stephen Poloz and the bank's board of directors, offers the most detailed public insight yet into the bank's thinking on a proprietary digital coin.

Telegram has notified investors that the TON blockchain project will be launched later than planned, pushing the deadline from Oct. 30 to April 30, 2020.

Federal Reserve Bank of Dallas President Rob Kaplan said: "We have not at the Fed decided to pursue or drive to develop a digital currency, but it's something we're actively looking at and debating."