Chinese e-commerce giant Alibaba has agreed to a $433.5 M settlement to resolve a US class-action lawsuit accusing the company of monopolistic practices. The lawsuit, filed in 2020, claimed that Alibaba misled investors by denying any anti-monopoly or unfair competition violations while allegedly pressuring merchants to stick to a single platform.
Although Alibaba denies any wrongdoing, the company opted for the settlement to avoid the costs and potential disruptions associated with prolonged legal battles. The settlement, which covers investors in Alibaba’s American depositary shares between 13 November 2019, and 23 December 2020, is pending approval from US District Judge George Daniels in Manhattan.
Lawyers for the plaintiffs have praised the deal, describing it as “an exceptional result” considering the potential damages in the case. Had the investors continued litigating, they could have sought up to $11.63 B in damages, far beyond the settlement amount. Approval of the settlement would mark the end of a major legal challenge for Alibaba, as it seeks to move forward from a period of regulatory scrutiny.
South Korea has unveiled plans to regulate cross-border cryptocurrency transactions, set to take effect in the latter half of 2025. The forthcoming regulations will mandate that businesses engaged in virtual asset trading across international borders register with relevant authorities and provide monthly transaction reports to the Bank of Korea. This initiative aims to enhance transparency and oversight in a rapidly evolving market that has seen explosive growth in recent years.
The move comes in response to alarming statistics from the customs agency, which revealed that since 2020, foreign exchange-related crimes have amounted to 11 trillion won (approximately $7.97 billion). Notably, over 80% of these crimes have involved virtual assets, highlighting the need for stricter controls. The South Korean government is prioritising legislative measures to ensure the successful implementation of these regulations within the next 18 months, reflecting its commitment to combating financial crime and protecting investors.
By introducing these regulations, South Korea aims to create a safer environment for cryptocurrency transactions, aligning with global efforts to establish clearer frameworks for digital asset trading. As countries worldwide grapple with the implications of cryptocurrency, South Korea’s proactive stance may serve as a model for other nations looking to regulate the digital asset space effectively.
The Dutch government has invited public input on a new law proposal aimed at increasing transparency around cryptocurrency ownership. The legislation would require crypto service providers to collect and share user data with the local tax authority, aligning with the European Union’s reporting requirements to reduce tax evasion. According to the Netherlands’ Ministry of Finance, the law will not change current tax obligations for Dutch crypto owners, who are already required to declare their assets.
Under these new rules, the Dutch tax authority would share collected data on EU residents with other member states, as per the EU’s DAC8 crypto tax reporting framework. Additionally, non-EU countries that adhere to the OECD’s Crypto-Asset Reporting Framework, such as the United States and the United Kingdom, would receive relevant data through international cooperation agreements.
The United States has fined Apple and Goldman Sachs $89 million for allegedly misleading customers of their co-branded Apple Card and mishandling customer service. The Consumer Financial Protection Bureau (CFPB) accused both companies of failing to address user complaints properly and causing confusion over interest-free payment plans, impacting hundreds of thousands of Apple Card holders since its launch in 2019.
According to the CFPB, Apple did not forward thousands of customer disputes to Goldman Sachs, who also failed to follow federal guidelines in investigating the claims. Furthermore, the companies were found to have misled customers into believing that purchases of Apple products made with the Apple Card would qualify for automatic interest-free payments, resulting in unexpected charges for many.
CFPB Director Rohit Chopra stated that big tech and Wall Street firms are not exempt from federal laws, banning Goldman Sachs from issuing new consumer credit cards until it complies with regulatory standards. The bureau also criticised both companies for launching the Apple Card despite early technological issues, which led to delayed refunds and even damaged some users’ credit scores.
In response, Goldman Sachs and Apple said they had worked to address the issues, while Apple disputed the CFPB’s interpretation of events. Goldman Sachs has been ordered to pay $19.8 million in compensation and a $45 million fine, with Apple receiving a $25 million penalty.
Garanti BBVA, Ripple, and IBM have joined forces to significantly enhance Garanti BBVA Kripto’s digital asset platform, addressing the rapidly growing demand for secure, reliable trading and storage solutions for over 14,000 users in Turkey. By leveraging Ripple’s transaction services alongside IBM’s advanced custody solutions, Garanti BBVA Kripto provides a secure environment for digital assets, including BTC, ETH, and USDC.
Furthermore, the Ripple-IBM partnership delivers an institutional-grade infrastructure incorporating essential security features, such as data encryption, isolated customer environments, and hardware security modules. Consequently, this setup ensures compliance with regulatory standards and establishes a robust governance framework to protect customer data and mitigate risks from potentially malicious actors. In addition, IBM’s sustainable infrastructure, powered by IBM LinuxONE, enables Garanti BBVA Kripto to maintain a high-performance and eco-friendly platform.
As a result of this partnership, Garanti BBVA, Ripple, and IBM are now better positioned to support Turkey’s burgeoning crypto asset market. Their combined focus on security, performance, and regulatory compliance enables Garanti BBVA Kripto to expand its digital asset offerings and strengthen its presence in the digital economy.
As demand continues to rise, collaboration provides the essential technological backbone for Garanti BBVA Kripto to innovate further and develop a secure, trustworthy, and scalable digital asset management ecosystem.
Five individuals in Austria have received prison sentences for their roles in a $21.6 million cryptocurrency scam that deceived around 40,000 investors. The fraud, linked to EXW Wallet and EXW token, involved charges of commercial fraud, money laundering, and operating pyramid schemes, marking one of Austria’s largest financial crime cases. The trial, held at the Klagenfurt Regional Court, lasted over 300 hours, with Judge Claudia Bandion-Ortner delivering the sentences.
Two of the defendants were sentenced to five years, while others received shorter terms, with additional perpetrators still on the run. Investigations revealed extravagant spending from the stolen funds, including luxury cars, private jets, and parties in Dubai, as well as a shark tank in a Bali villa. Prosecutors stated that the operation’s scale could reach between €14 million and €120 million, far exceeding original estimates.
Although the defence argued the scheme began with genuine investment intentions, the prosecution maintained it was fraudulent from the start. With appeals expected, the defendants face additional compensation and legal costs, while related investigations continue.
Britain’s Competition and Markets Authority (CMA) is investigating the partnership between Alphabet, Google’s parent company, and AI startup Anthropic due to concerns about competition. Regulators have grown increasingly cautious about agreements between major tech firms and smaller startups, especially after Microsoft-backed OpenAI sparked an AI boom with ChatGPT’s launch.
Anthropic, founded by former OpenAI executives Dario and Daniela Amodei, received a $500 million investment from Alphabet last year, with another $1.5 billion promised. The AI startup also relies on Google Cloud services to support its operations, raising concerns over the competitive impact of their collaboration.
The CMA began assessing the partnership in July and has set 19 December as the deadline for its Phase 1 decision. The regulator will determine whether the investigation should proceed to the next stage. Anthropic has pledged full cooperation, insisting that its strategic alliances do not compromise its independence or partnerships with other firms.
Alphabet has emphasised its commitment to fostering an open AI ecosystem. A spokesperson clarified that Anthropic is not restricted to using only Google Cloud services and is free to explore partnerships with multiple providers.
An Indian court has instructed insurer Star Health to assist Telegram in identifying chatbots responsible for leaking sensitive customer data through the messaging app. Star Health, the country’s largest insurer, sought the directive after a report revealed that a hacker leaked private information, including medical and tax documents, via Telegram chatbots.
Justice K Kumaresh Babu of the Madras High Court ordered Star Health to provide details on the chatbots so Telegram could delete them. Telegram’s legal representative, Thriyambak Kannan, stated that while the app can’t independently track data leaks, it will remove the chatbots if the insurer supplies specific information.
Star Health is facing a $68,000 ransom demand and has launched an investigation into the leak, which includes claims about potential involvement of its chief security officer. However, the insurer has found no evidence implicating the officer.
LinkedIn has been fined 310 million euros by European Union regulators for breaching the bloc’s strict data privacy rules. The penalty targets the Microsoft-owned platform for improperly using personal data to target users with ads.
Ireland’s Data Protection Commission (DPC) issued the fine, criticising LinkedIn for failing to handle user data lawfully, fairly, and transparently. As LinkedIn’s European headquarters is in Dublin, the DPC acts as the platform’s lead privacy regulator across the EU.
The investigation found LinkedIn lacked a lawful basis to collect personal information for advertising, violating the General Data Protection Regulation (GDPR). Regulators have ordered the company to align its practices with GDPR standards.
LinkedIn maintains it was operating within the rules but confirmed it is adjusting its advertising practices to meet compliance requirements. Deputy Commissioner Graham Doyle stressed that processing data without legal grounds undermines the fundamental right to privacy.
The UK is expected to introduce laws regulating stablecoins within the next few months, according to Circle’s global head of policy, Dante Disparte. Stablecoin usage has surged recently, with the market reaching a record high of nearly $170 billion in Q3 2024, pushing regulators to act.
While the European Union has already implemented its Markets in Crypto-Assets regulation, the UK has been slower to create specific rules. However, recent developments, including a proposal to classify digital assets as personal property, suggest progress is being made.
With clearer regulations, the UK hopes to capitalise on the potential benefits of stablecoins, such as faster payments and innovation in financial services, while addressing risks linked to these digital assets.
