India uses AI to catch crypto tax evaders

India’s Income Tax Department is using AI and data tools to identify tax evasion in cryptocurrency transactions. The government collected ₹437 crore in crypto taxes in 2022-2023 using machine learning and digital forensics to spot suspicious activity.

Tax authorities match deducted at source (TDS) data from crypto exchanges to improve compliance. The introduction of the Crypto-Asset Reporting Framework (CARF) also enables automated sharing of tax information, aligning India’s efforts with international tax agreements.

These moves mark a push for greater transparency in India’s digital asset market. Enhanced wallet visibility and automatic data exchange aim to reduce anonymity and curb tax evasion in the crypto space.

India continues to develop regulations focused on consumer protection, cross-border cooperation, and tax compliance, demonstrating a commitment to a more traceable and accountable crypto industry.

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Coinbase users can now pay with Samsung Wallet

Samsung has announced a partnership with Coinbase, enabling Samsung Wallet users to buy and deposit cryptocurrency directly through the Coinbase app. The new feature will be gradually rolled out to select users in the US and Canada, with broader access expected soon.

The integration brings Samsung Pay into Coinbase as a supported payment and deposit method, enhancing convenience for users looking to trade or fund crypto accounts using mobile devices.

The partnership highlights Samsung’s strategy of open collaboration to deliver richer mobile experiences. Coinbase, meanwhile, continues to expand its compliant crypto services to mainstream audiences.

Samsung Wallet combines digital payments, crypto, and identity features in one secure app. It includes multiple layers of protection such as tokenisation, biometric login, and Samsung Knox security.

Sensitive data is safeguarded in a secure on-device element, offering users peace of mind when managing digital assets.

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Bank of Korea launches new crypto oversight unit

The Bank of Korea is forming a virtual asset committee to monitor the country’s growing crypto market and support legislative developments around stablecoins. The new Virtual Asset Team will assist regulators and handle policy matters on digital assets and stablecoins.

As part of this shift, the central bank has renamed its CBDC-related units to reflect a more business-driven approach. The newly titled Digital Currency Team replaces the former Digital Currency Research Team.

Two additional teams, Digital Currency Technology and Digital Currency Infrastructure, will focus on testing platforms and voucher systems using deposit tokens.

Although South Korea’s central bank postponed its CBDC trial in late June due to regulatory uncertainty and concerns from local banks, discussions are expected to resume once legal issues are addressed.

At the same time, the country’s major banks are preparing to issue stablecoins pegged to the Korean won by 2025 or 2026, with support from the Bank of Korea for a bank-led rollout.

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Thailand launches crypto sandbox to boost tourism

Thailand has launched a digital asset sandbox to attract high-spending, tech-savvy tourists by enabling seamless cryptocurrency payments. The initiative lets foreign visitors convert digital assets to Thai baht and spend them using local e-money platforms.

The Securities and Exchange Commission, the Bank of Thailand, and other agencies oversee the regulatory sandbox. It aims to simplify payments from street vendors to luxury retailers, eliminating currency conversion friction and card fees.

Authorities plan to focus on merchant education, compliance, and cybersecurity to support the programme’s success.

The move aligns with Thailand’s broader strategy to become a regional digital finance and blockchain innovation hub. Recent policies include a five-year capital gains tax exemption on crypto sales through local exchanges.

The sandbox could attract fintech firms and blockchain events, signalling Thailand’s ambition to lead in digital asset adoption while maintaining regulatory safeguards.

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Indonesia prepares new crypto tax rules

Indonesia plans to implement fresh tax regulations on cryptocurrency starting August 2025, reclassifying digital assets as financial instruments. The regulatory authority is shifting from Bappebti to the Financial Services Authority, marking a significant overhaul in oversight and licensing.

The upcoming tax increase on crypto transactions aims to boost government revenue, but risks discouraging retail investors due to higher costs. OJK Chair Mahendra Siregar emphasises that the new framework aligns cryptocurrencies with broader financial regulations.

The allowlist of tradable digital assets will nearly double, expanding market opportunities amid the changing landscape.

Fintech startups face challenges adapting to stricter rules and rising operational expenses, potentially disadvantaging them compared to regional competitors like Singapore and Hong Kong.

While retail investors may find initial barriers, more straightforward rules and regulatory sandboxes could foster long-term stability and innovation. Indonesia’s approach will require a careful balance between encouraging growth and ensuring oversight.

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Hanwha and Samsung lead Korea’s cyber insurance push

South Korea is stepping up efforts to strengthen its cyber insurance sector as corporate cyberattacks surge across industries. A string of major breaches has revealed widespread vulnerability and renewed demand for more comprehensive digital risk protection.

Hanwha General Insurance launched Korea’s first Cyber Risk Management Centre last November and partnered with global cybersecurity firm Theori and law firm Shin & Kim to expand its offerings.

Despite the growing need, the market remains underdeveloped. Cyber insurance makes up only 1 percent of Korea’s accident insurance sector, with a 2024 report estimating local cyber premiums at $50 million, just 0.3 percent of the global total.

Regulators and industry voices call for higher mandatory coverage, clearer underwriting standards, and financial incentives to promote adoption.

As Korean demand rises, comprehensive policies offering tailored options and emergency coverage are gaining traction, with Hanwha reporting a 200 percent revenue jump in under a year.

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EU Commission accuses Temu of failing DSA checks

The European Commission has accused Temu of breaching the Digital Services Act by failing to assess and address the sale of illegal or dangerous products.

The accusation follows months of investigation and a review of a required risk report submitted by Temu, which the Commission found too vague.

A mystery shopping exercise by the EU uncovered unsafe toys and electronics on the platform, raising concerns over consumer safety.

Additional parts of the probe are ongoing, including scrutiny of Temu’s use of addictive designs, algorithmic transparency and product recommendations.

Temu now has a few weeks to respond to the preliminary findings, though no final deadline has been given. Under the DSA, confirmed violations could result in fines of up to 6% of a company’s global turnover.

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AI bands rise as real musicians struggle to compete

AI is quickly transforming the music industry, with AI-generated bands now drawing millions of plays on platforms like Spotify.

While these acts may sound like traditional musicians, they are entirely digital creations. Streaming services rarely label AI music clearly, and the producers behind these tracks often remain anonymous and unreachable. Human artists, meanwhile, are quietly watching their workload dry up.

Music professionals are beginning to express concern. Composer Leo Sidran believes AI is already taking work away from creators like him, noting that many former clients now rely on AI-generated solutions instead of original compositions.

Unlike previous tech innovations, which empowered musicians, AI risks erasing job opportunities entirely, according to Berklee College of Music professor George Howard, who warns it could become a zero-sum game.

AI music is especially popular for passive listening—background tracks for everyday life. In contrast, real musicians still hold value among fans who engage more actively with music.

However, AI is cheap, fast, and royalty-free, making it attractive to publishers and advertisers. From film soundtracks to playlists filled with faceless artists, synthetic sound is rapidly replacing human creativity in many commercial spaces.

Experts urge musicians to double down on what makes them unique instead of mimicking trends that AI can easily replicate. Live performance remains one of the few areas where AI has yet to gain traction. Until synthetic bands take the stage, artists may still find refuge in concerts and personal connection with fans.

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Flipkart employee deletes ChatGPT over emotional dependency

ChatGPT has become an everyday tool for many, serving as a homework partner, a research aid, and even a comforting listener. But questions are beginning to emerge about the emotional bonds users form with it. A recent LinkedIn post has reignited the debate around AI overuse.

Simrann M Bhambani, a marketing professional at Flipkart, publicly shared her decision to delete ChatGPT from her devices. In a post titled ‘ChatGPT is TOXIC! (for me)’, she described how casual interaction escalated into emotional dependence. The platform began to resemble a digital therapist.

Bhambani admitted to confiding every minor frustration and emotional spiral to the chatbot. Its constant availability and non-judgemental replies gave her a false sense of security. Even with supportive friends, she felt drawn to the machine’s quiet reliability.

What began as curiosity turned into compulsion. She found herself spending hours feeding the bot intrusive thoughts and endless questions. ‘I gave my energy to something that wasn’t even real,’ she wrote. The experience led to more confusion instead of clarity.

Rather than offering mental relief, the chatbot fuelled her overthinking. The emotional noise grew louder, eventually becoming overwhelming. She realised that the problem wasn’t the technology itself, but how it quietly replaced self-reflection.

Deleting the app marked a turning point. Bhambani described the decision as a way to reclaim mental space and reduce digital clutter. She warned others that AI tools, while useful, can easily replace human habits and emotional processing if left unchecked.

Many users may not notice such patterns until they are deeply entrenched. AI chatbots are designed to be helpful and responsive, but they lack the nuance and care of human conversation. Their steady presence can foster a deceptive sense of intimacy.

People increasingly rely on digital tools to navigate their daily emotions, often without understanding the consequences. Some may find themselves withdrawing from human relationships or journalling less often. Emotional outsourcing to machines can significantly change how people process personal experiences.

Industry experts have warned about the risks of emotional reliance on generative AI. Chatbots are known to produce inaccurate or hallucinated responses, especially when asked to provide personal advice. Sole dependence on such tools can lead to misinformation or emotional confusion.

Companies like OpenAI have stressed that ChatGPT is not a substitute for professional mental health support. While the bot is trained to provide helpful and empathetic responses, it cannot replace human judgement or real-world relationships. Boundaries are essential.

Mental health professionals also caution against using AI as an emotional crutch. Reflection and self-awareness take time and require discomfort, which AI often smooths over. The convenience can dull long-term growth and self-understanding.

Bhambani’s story has resonated with many who have quietly developed similar habits. Her openness has sparked important discussions on emotional hygiene in the age of AI. More users are starting to reflect on their relationship with digital tools.

Social media platforms are also witnessing an increased number of posts about AI fatigue and cognitive overload. People are beginning to question how constant access to information and feedback affects emotional well-being. There is growing awareness around the need for balance.

AI is expected to become even more integrated into daily life, from virtual assistants to therapy bots. Recognising the line between convenience and dependency will be key. Tools are meant to serve, not dominate, personal reflection.

Developers and users alike must remain mindful of how often and why they turn to AI. Chatbots can complement human support systems, but they are not replacements. Bhambani’s experience serves as a cautionary tale in the age of machine intimacy.

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EU clears Microsoft deal after privacy changes

The European Data Protection Supervisor (EDPS) has ended its enforcement action against the European Commission over its use of Microsoft, following improvements to data protection practices. The decision came after the Commission revised its contract with Microsoft to improve privacy standards.

Under the updated terms, Microsoft must clarify the reasons for data transfers outside the European Economic Area and name the recipients. Transfers are only allowed to countries with EU-recognised protections or in public interest cases.

Microsoft must also inform the Commission if a foreign government requests access to EU data, unless the request comes from within the EU or a country with equivalent safeguards. The EDPS urged other EU institutions to adopt similar contractual protections if using Microsoft 365.

Despite the EDPS’ clearance, the Commission remains concerned about relying too heavily on a non-EU tech provider for essential digital services. It continues to support the current EU-US data adequacy deal, though recent political changes in the US have cast doubt on its long-term stability.

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