Digital business models

South Korea’s crypto industry set to benefit regardless of election

South Korea’s cryptocurrency sector is poised to grow no matter the outcome of the upcoming snap presidential election on 3 June. Both candidates have pledged to ease regulations, legalise spot crypto ETFs, and launch a won-backed stablecoin to modernise finance.

Lee Jae-myung of the Democratic Party and Kim Moon-soo from the conservative People Power Party share strong pro-crypto stances.

Lee proposes allowing the national pension fund to invest in crypto and loosening strict banking rules requiring exchanges to work with licensed banks. Both candidates also support legalising spot crypto ETFs, reflecting rare bipartisan agreement.

The push for clearer regulations is urgent, given South Korea’s highly active retail crypto market. Recent government measures impose tough rules on exchanges, including strict listing standards and potential life sentences for violations.

With more than 16 million users and trading volumes rivaling major stock indexes, South Korea’s crypto industry stands to benefit significantly from the election promises.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot! 

AI copyright clash stalls UK data bill

A bitter standoff over AI and copyright has returned to the House of Lords, as ministers and peers clash over how to protect creative workers while fostering technological innovation.

At the centre of the debate is the proposed Data (Use and Access) Bill, which was expected to pass smoothly but is now stuck in parliamentary limbo due to growing resistance.

The bill would allow AI firms to access copyrighted material unless rights holders opt out, a proposal that many artists and peers believe threatens the UK’s £124bn creative industry.

Nearly 300 Lords have called for AI developers to disclose what content they use and seek licences instead of relying on blanket access. Former film director Baroness Kidron described the policy as ‘state-sanctioned theft’ and warned it would sacrifice British talent to benefit large tech companies.

Supporters of the bill, like former Meta executive Sir Nick Clegg, argue that forcing AI firms to seek individual permissions would severely damage the UK’s AI sector. The Department for Science, Innovation and Technology insists it will only consider changes if they are proven to benefit creators.

If no resolution is found, the bill risks being shelved entirely. That would also scrap unrelated proposals bundled into it, such as new NHS data-sharing rules and plans for a nationwide underground map.

Despite the bill’s wide scope, the fight over copyright remains its most divisive and emotionally charged feature.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

Bank of Italy criticises limited MiCA impact

Fabio Panetta, the Governor of the Bank of Italy, has emphasised that a digital euro is more effective than regulation alone. It can better address the growing risks associated with cryptocurrencies.

In his annual economic remarks, Panetta said the EU must advance the CBDC project to protect financial stability and meet growing demand for secure digital payments.

Panetta noted that the Markets in Crypto-Assets Regulation (MiCA), which came into full force in late 2024, has had minimal influence on stablecoin adoption in Europe.

Only a small number of electronic money tokens (EMTs) have been issued, with limited circulation and little interest from supervised intermediaries in Italy. Although MiCA encourages transparency, it has not stimulated significant crypto development in the region.

The governor also warned that European citizens remain exposed to risks due to inconsistent regulatory standards worldwide.

He urged stronger international cooperation, saying only a central bank-backed digital euro can ensure trust, efficiency, and security in digital payments.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot! 

Gmail adds automatic AI summaries

Gmail on mobile now displays AI-generated summaries by default, marking a shift in how Google’s Gemini assistant operates within inboxes.

Instead of relying on users to request a summary, Gemini will now decide when it’s useful—typically for long email threads with multiple replies—and present a brief summary card at the top of the message.

These summaries update automatically as conversations evolve, aiming to save users from scrolling through lengthy discussions.

The feature is currently limited to mobile devices and available only to users with Google Workspace accounts, Gemini Education add-ons, or a Google One AI Premium subscription. For the moment, summaries are confined to emails written in English.

Google expects the rollout to take around two weeks, though it remains unclear when, or if, the tool will extend to standard Gmail accounts or desktop users.

Anyone wanting to opt out must disable Gmail’s smart features entirely—giving up tools like Smart Compose, Smart Reply, and package tracking in the process.

While some may welcome the convenience, others may feel uneasy about their emails being analysed by large language models, especially since this process could contribute to further training of Google’s AI systems.

The move reflects a wider trend across Google’s products, where AI is becoming central to everyday user experiences.

Additional user controls and privacy commitments

According to Google Workspace, users have some control over the summary cards. They can collapse a Gemini summary card, and it will remain collapsed for that specific email thread.

In the near future, Gmail will introduce enhancements, such as automatically collapsing future summary cards for users who consistently collapse them, until the user chooses to expand them again. For emails that don’t display automatic summaries, Gmail still offers manual options.

Users can tap the ‘summarise this email’ chip at the top of the message or use the Gemini side panel to trigger a summary manually. Google also reaffirms its commitment to data protection and user privacy. All AI features in Gmail adhere to its privacy principles, with more details available on the Privacy Hub.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

Europe’s digital euro ambitions: A bid for global currency influence

At a recent speech in Berlin, European Central Bank President Christine Lagarde highlighted the potential of the euro to take on a greater international role amid growing uncertainty in the global monetary system. With the dominance of the US dollar increasingly under scrutiny and central banks turning to gold at levels unseen in decades, Lagarde outlined how a digital euro could be pivotal in shifting the balance of global finance.

Lagarde emphasised that the euro already accounts for around 20% of global foreign exchange reserves but still lags far behind the US dollar’s 58%. She argued that a more internationally accepted euro would shield Europe from exchange rate volatility, reduce borrowing costs, and help protect the EU from coercive economic measures.

One of the key steps in this direction is the ongoing development of a digital euro—an initiative the ECB is pursuing to modernise cross-border payments and reinforce the euro’s international utility. The ECB President noted that trade alone won’t be enough to elevate the euro to global reserve status.

Investors also need confidence in Europe’s geopolitical strength and legal institutions. She linked the US dollar’s global standing to its economy, military alliances, and legal predictability—areas where Europe must step up.

A digital euro, supported by robust capital markets and legal credibility, could become a cornerstone in this strategy. Lagarde concluded with a call for bold action.

The global economic landscape is shifting, and Europe must seize this ‘global euro moment.’ But success is not guaranteed, she warned.

For the euro to rise as a true rival to the dollar, the EU must act decisively, invest in unity, and deliver on reforms that inspire trust and stability, both politically and economically.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

Reform UK embraces Bitcoin donations, Farage promises crypto-friendly policies

Reform UK has become the first British political party to accept donations in Bitcoin, party leader Nigel Farage announced during a cryptocurrency conference in Las Vegas. Farage presented a draft ‘Crypto Assets and Digital Finance Bill’ that he pledged to enact if elected prime minister, promising to spearhead a ‘crypto revolution’ in the UK and declaring that digital assets are ‘here to stay.’

The proposed bill includes significant reforms such as slashing the capital gains tax on cryptocurrencies from 24% to 10% and establishing a Bitcoin digital reserve at the Bank of England. Reform UK’s website was updated Thursday evening to begin accepting crypto contributions.

Farage’s stance contrasts with Labour Chancellor Rachel Reeves, who recently outlined plans to regulate crypto firms similarly to traditional finance institutions, aiming to make the UK a ‘world leader’ in the field. However, not all British lawmakers are aligned on the issue.

A Treasury Select Committee earlier recommended regulating crypto like gambling due to its volatility and risks for investors. The Treasury rejected this idea, signalling ongoing debate over how best to manage the rapidly evolving digital asset landscape.

Farage’s embrace of crypto echoes moves seen in the US, where former President Donald Trump’s campaign raised millions in digital currency. Reform UK’s leader praised America’s crypto adoption, voicing his ambition to make London a global hub for digital finance, despite ongoing political controversy surrounding crypto-linked campaign contributions in the US.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

Clean energy projects in the US stall amid tax credit uncertainty

US clean energy companies are facing mounting uncertainty as Congress weighs deep cuts to green energy tax credits. Projects like HIF Global’s proposed $7bn e-methanol facility in Texas are now in limbo, with developers warning that the loss of hydrogen subsidies could stall investment decisions.

The plant would convert green hydrogen and captured carbon into low-emission fuel for global aviation and shipping, but without support, firms may shift focus to other markets.

The Biden-era Inflation Reduction Act (IRA) and Infrastructure Investment and Jobs Act (IIJA) had sparked billions in green investment, especially in Republican-led states.

However, the Trump administration’s rollback efforts and proposed budget cuts could sharply reduce or terminate credits for clean electricity, electric vehicles, and energy-efficient home improvements. Agencies have paused or delayed funding while legal disputes continue, worsening industry-wide uncertainty.

Clean energy investment fell for the second consecutive quarter, according to new data, with $6.9bn in battery manufacturing projects cancelled.

Developers now face rising tariffs, high interest rates, and unclear policy direction, leading to declining confidence in the market. Firms are adjusting strategies to appeal to stakeholders beyond climate goals, focusing instead on local benefits and energy security.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

AI takes over eCommerce tasks as Visa and Mastercard adapt

Visa and Mastercard have announced major AI initiatives that could reshape the future of e-commerce, marking a significant step in the evolution of retail technology.

The initiatives—Visa’s Intelligent Commerce and Mastercard’s Agent Pay—move beyond traditional recommendation engines to empower AI agents to make purchases directly on behalf of consumers.

Visa is partnering with leading tech firms, including Anthropic, IBM, Microsoft, OpenAI, and Stripe, to build a system where AI agents shop according to user preferences.

Meanwhile, Mastercard’s Agent Pay integrates payment functionality into AI-driven conversational platforms, blending commerce and conversation into a seamless user experience.

These announcements follow years of AI integration into retail, with adoption growing at 40% annually and the market projected to surpass $8 billion by 2024. Retailers initially used AI for backend optimisation, but nearly 87% now apply it in customer-facing roles.

The next phase, where AI doesn’t just suggest but acts, is rapidly taking shape—backed by consumer demand for hyper-personalisation and efficiency.

Research suggests 71% of consumers want generative AI embedded in their shopping journeys, with 58% already turning to AI tools over traditional search engines for recommendations. However, consumer trust remains a challenge.

Satisfaction with AI dropped slightly last year, highlighting concerns over privacy and implementation quality—especially critical for financial transactions.

Visa and Mastercard’s moves reflect both opportunity and necessity. With 75% of retailers viewing AI agents as essential within the next year, and AI expected to handle 20% of eCommerce tasks, the payment giants are positioning themselves as indispensable infrastructure in a fast-changing market.

Their broad alliances across AI, payments, and tech underline a shared goal: to stay central as shopping behaviours evolve in the AI era.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

SCO members invited to join new AI cooperation plan

China has proposed the creation of an AI application centre in cooperation with member states of the Shanghai Cooperation Organization (SCO). The plan was introduced at the 2025 China-SCO AI Cooperation Forum, held in Tianjin, with the goal of deepening collaboration in AI across the region.

The proposed centre aims to support talent development, foster industrial partnerships, and promote open-source service cooperation.

Presented under the theme ‘Intelligence Converges in China, Wisdom Benefits SCO,‘ the forum brought together officials and experts to discuss practical AI cooperation and governance mechanisms that would serve the shared interests of SCO nations.

According to Huang Ru of China’s National Development and Reform Commission, closer cooperation in AI will drive economic and social growth across the SCO, reduce the digital divide, and contribute to inclusive global progress.

China reaffirmed its commitment to the ‘Shanghai Spirit’ and called for joint efforts to ensure AI development remains secure, equitable and beneficial for all member states.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

Central African Republic will tokenise land using $CAR coin

The Central African Republic (CAR) will begin tokenising over 1,700 hectares of land using its national meme coin, $CAR, according to President Faustin-Archange Touadéra. The announcement came shortly after a notable price surge in the token, which has risen over 127% in the past week.

From June, land concessions will be accessible online via $CAR on the Solana blockchain. The initiative is part of the country’s broader push to integrate crypto into its national development strategy, with a focus on transparency and accessibility.

The targeted area lies west of Bossongo, roughly 45 kilometres from Bangui.

The land tokenisation follows earlier crypto efforts such as Sango Coin, which has since been scrapped. However, $CAR continues to receive strong backing from the president.

The coin now has more than 18,400 holders and a market cap of over $56 million. Its recent use may also involve mining, as the decree references CAR’s mining laws and history of resource extraction.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot! 

Diplo chatbot can make mistakes. Consider checking important information.