E-commerce and trade Archives | Digital Watch Observatory

Kraken becomes official crypto exchange supporter of FIFA World Cup 2026

Cryptocurrency exchange Kraken has been named the Official Crypto Exchange Supporter of the FIFA World Cup 2026, extending the visibility of digital asset firms in mainstream sports and entertainment.

According to Kraken, the partnership will focus on fan activations and product experiences across the tournament’s 16 host cities in Mexico, Canada and the United States. The company said the event is expected to reach a cumulative global audience of more than six billion people during its seven-week run.

The FIFA World Cup 2026 will be the first edition of the tournament to feature 48 teams, with 104 matches scheduled from 11 June to 19 July 2026. Kraken said the partnership is part of its broader strategy to use sports and cultural partnerships to raise awareness of digital assets.

The collaboration is expected to begin with the FIFA World Cup 2026 Countdown Concert, followed by further fan-focused programming during the tournament.

The announcement reflects the continued use of global sports events by crypto companies to reach mainstream audiences, even as digital asset products remain subject to regulatory scrutiny and consumer-risk concerns in many markets.

Why does it matter?

The partnership shows how crypto firms continue to use high-visibility sports events to reach mass audiences and normalise digital asset products. For digital policy, the relevant issue is not the sponsorship itself, but the consumer protection and regulatory context around crypto promotion, especially when marketing is attached to global events watched by millions of casual fans.

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Visa expands AI and stablecoin tools for programmable commerce

Visa has announced new AI, stablecoin and tokenisation capabilities aimed at supporting agentic and programmable commerce.

The updates were presented at the Visa Payments Forum 2026 and focus on transactions initiated or supported by AI agents, as well as blockchain-based settlement and value transfer. Visa said the tools are intended to add trust, security and control as commerce becomes more automated.

The company introduced Agent Score, which allows merchants to assess whether their websites are ready for AI agents to navigate and complete tasks. It also announced an Agentic Directory of verified agents and merchants, intended to help participants identify legitimate actors in agentic commerce.

Visa also announced a strategic partnership with OpenAI that would allow AI agents to initiate Visa payments within defined user permissions. OpenAI will provide the conversational interface, while Visa will provide the underlying payment infrastructure.

The company introduced a Large Transaction Model trained on billions of transactions to improve fraud detection, authorisation performance and reduce false declines. It also announced token enhancements designed to add more transaction context, identity, permissions and behavioural signals to digital payment credentials.

On the settlement side, Visa said it is developing technology that would allow banks to issue tokenised deposits and is expanding stablecoin settlement pilots across multiple regions, blockchains and currencies. The company said it has moved billions of dollars in stablecoins across VisaNet, with an annualised run rate of about $7 billion as of March 2026. More than 160 stablecoin-linked card programmes are live or in development globally, according to Visa.

Why does it matter?

Visa’s announcements show how major payment networks are preparing for AI agents to initiate transactions and for stablecoins and tokenised deposits to play a larger role in settlement. The policy relevance lies in trust infrastructure: verifying agents and merchants, defining user permissions, managing fraud risk, strengthening digital identity signals and keeping programmable payment systems within regulated financial channels.

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Crypto mixers gain recognition in US Treasury assessment

The US Treasury Department has acknowledged that cryptocurrency mixers may have lawful privacy uses, while warning that such tools remain vulnerable to abuse by illicit actors.

In a March 2026 report to Congress on innovative technologies to counter illicit finance involving digital assets, Treasury said lawful users may rely on mixers to protect sensitive financial information when transacting on public blockchains. The report said users may seek to conceal details about personal wealth, business payments, charitable donations or consumer spending habits.

Treasury distinguished between custodial digital asset services, including custodial mixers, and decentralised or non-custodial mechanisms that can operate without a central intermediary. Custodial services that accept and transmit value may be required to register with the Financial Crimes Enforcement Network as money services businesses, maintain records and file suspicious activity reports.

The report nevertheless stressed that criminals commonly use mixers, bridges and swaps to make illicit digital asset flows harder to trace. Treasury said mixing is frequently used by North Korea-linked cyber actors, money launderers, ransomware actors and darknet market participants.

Treasury also warned that stablecoins can form part of complex laundering processes involving mixers and other obfuscation techniques. According to the report, illicit actors may move stolen or fraud-linked assets through mixers and then swap them into stablecoins to break the traceable link to the original criminal activity.

The assessment was prepared under the GENIUS Act, which required the Treasury to examine innovative tools for countering illicit finance involving digital assets, including the role of mixers, tumblers and similar services.

Why does it matter?

The report shows the regulatory tension at the centre of digital asset policy: privacy tools can protect legitimate users on transparent public blockchains, but the same tools can also weaken AML/CFT controls, sanctions enforcement and law enforcement tracing. Treasury’s framing matters because future rules on mixers, DeFi, blockchain analytics and stablecoin compliance will need to balance financial privacy with security and illicit finance risks.

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Russian State Duma advances crypto licensing bill in first reading

Russia’s State Duma has approved the first reading of draft law No. 1194918-8, ‘On Digital Currency and Digital Rights’, moving the country closer to a formal legal framework for cryptocurrency activity.

The bill would establish a legal framework for the circulation of digital currencies in Russia and vest key supervisory powers in the Bank of Russia. It would also reform parts of the existing framework for digital financial assets and digital rights.

The proposed legislation would channel cryptocurrency activity through regulated intermediaries, including licensed exchanges, brokers, and authorised financial entities. Firms already operating within the Bank of Russia’s experimental legal regime would be able to use simplified approval procedures.

The draft maintains Russia’s prohibition on the use of cryptocurrency for domestic payments, while creating a framework for the use of digital currencies in foreign trade and cross-border settlements.

Retail access would remain limited. Non-qualified investors would be subject to purchase limits, while professional participants and licensed institutions would operate with broader access under regulatory oversight.

The bill would also define digital currency as property, strengthening its legal status in areas such as disputes, enforcement, and insolvency.

The proposal reflects Russia’s effort to bring cryptocurrency activity under tighter state supervision while preserving selected use cases for international transactions. The bill must still pass further readings before becoming law.

Why does it matter?

The bill shows how Russia is moving towards a controlled crypto framework rather than full market liberalisation. By allowing regulated circulation through licensed intermediaries while maintaining a ban on domestic payments, the proposal would give the state greater oversight of digital asset activity. The foreign trade angle is especially significant because Russia has been exploring alternative settlement channels amid sanctions and restrictions on access to traditional financial infrastructure.

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Hungary prepares rollback of crypto penalties

Hungary is preparing a significant shift in its digital asset policy after newly appointed Science and Technology Minister Zoltán Tanács announced plans to dismantle restrictive measures imposed by the previous government. The proposed changes would remove criminal penalties for unauthorised crypto services, marking a clear reversal in national regulatory direction.

The earlier framework, introduced in July 2025, tightened oversight of crypto activity and led several firms to scale back services in the country due to increased compliance pressure. The incoming policy direction frames those measures as politically driven rather than market-supportive, signalling a shift toward regulatory easing and improved competitiveness.

Alongside crypto reform, authorities are also reassessing cybersecurity auditor obligations linked to the EU’s NIS2 directive, a regulatory structure designed to strengthen digital infrastructure resilience. The changes could affect roughly 4,000 Hungarian companies approaching a 30 June compliance deadline, adding urgency to the policy review.

Hungary’s broader digital strategy appears to be aligning more closely with EU-wide standards such as the Markets in Crypto-Assets framework, which aims to harmonise rules across member states. The government is also reportedly drawing inspiration from Estonia’s digital governance model, seeking a more innovation-friendly regulatory environment while maintaining alignment with the EU.

Why does it matter?

If Hungary follows through, the shift could improve regulatory predictability across Central Europe, support the return of fintech and crypto firms, and increase competitive pressure on jurisdictions that continue to apply stricter or less consistent crypto rules.

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EU and India deepen digital cooperation through Tech Business Forum

The European Union and India have concluded the first EU-India Tech Business Forum in New Delhi, advancing digital and trade cooperation under the framework of the EU-India Trade and Technology Council (TTC). The forum brought together businesses, policymakers, researchers, think tanks, and civil society to strengthen private-sector collaboration and identify opportunities for joint innovation.

The forum was organised by the EU Delegation to I n dia and Bhutan and India’s Ministry of Electronics and Information Technology, with support from industry organisations including the Federation of European Business in India and the National Association of Software and Service Companies (NASSCOM).

More than 100 European and Indian technology companies participated in discussions covering semiconductors, AI, cybersecurity, data governance and digital public infrastructure.

Participants explored opportunities to strengthen interoperability, advance cooperation on technical standards and improve market access for companies operating in both markets. The forum also aimed to operationalise wider EU-India cooperation, including the recently concluded Free Trade Agreement and the Administrative Arrangement on Advanced Electronic Signatures and Seals signed under the Trade and Technology Council in January 2026.

Speaking at the forum, EU Ambassador to India Hervé Delphin said:

‘In today’s fragmented world, working with trusted partners like India is essential to diversify supply chains and reduce over-reliance on certain sources and geographies.‘

He said Europe brings strengths in advanced technology, innovation, and regulation, while India offers scale, talent, and technological applications.

The forum’s outcomes are expected to shape the next steps in EU-India digital and trade cooperation. The Trade and Technology Council remains the primary framework for EU-India cooperation on strategic technologies, digital governance and connectivity, covering areas such as digital public infrastructure, semiconductors, data governance and emerging technologies.

Why does it matter?

The EU and India are seeking to deepen cooperation on strategic technologies at a time when governments are prioritising supply chain resilience, digital sovereignty and secure technology partnerships. Closer collaboration in areas such as AI, semiconductors and cybersecurity could help both sides reduce dependencies and strengthen innovation ecosystems.

The forum also demonstrates the growing role of technology diplomacy in trade relations, with policymakers and businesses working together to address standards, interoperability and market access challenges that increasingly shape the global digital economy.

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France fines Shein over consumer protection breaches

France’s consumer watchdog has imposed two administrative fines on companies linked to Shein after finding consumer protection and environmental disclosure breaches on the retailer’s French website.

The Directorate General for Competition, Consumer Affairs and Fraud Control said an investigation carried out in 2025 on fr.shein.com found failures linked to the right of withdrawal, environmental product information, and order confirmation requirements.

Infinite Styles Ecommerce Co Limited, the seller of Shein-branded products on the French site, was fined €5.76 million. The investigation found that consumers were unable to cancel purchases under the legally required withdrawal procedures. It also found missing information on product traceability and the presence of plastic microfibres in certain textile products.

The watchdog said consumers must be informed when textiles containing more than 50% synthetic fibres release plastic microfibres into the environment during washing.

A second company, Infinite Styles Services Co Limited, which operates fr.shein.com, was fined €16.73 million for non-compliant order confirmations. The DGCCRF said confirmations sent to consumers were missing mandatory information, including the price of goods, delivery dates or deadlines, seller identity and contact details, legal guarantees, mediation options, and withdrawal forms and rights.

French authorities said the missing information weakened consumer protection by making it harder for customers to exercise rights such as cancelling purchases or seeking refunds.

Why does it matter?

The penalties show how consumer protection enforcement is increasingly targeting cross-border e-commerce platforms over both purchasing rights and environmental transparency. For fast-fashion platforms, compliance is no longer only about prices and delivery terms, but also about product traceability, withdrawal rights, order documentation, and disclosures on environmental impact.

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Unlicensed crypto exchanges to be barred from EU under MiCA rules

Crypto-asset service providers operating under national transitional regimes must obtain MiCA authorisation or stop serving the EU clients when the Markets in Crypto-Assets Regulation transitional period ends on 1 July 2026.

The European Securities and Markets Authority has said the transitional period will expire across the EU on that date. Under MiCA, crypto-asset service providers that were operating legally before 30 December 2024 could continue providing services until 1 July 2026, or until they were granted or refused authorisation, whichever came first.

ESMA has urged firms and national supervisors to ensure an orderly transition, with a focus on timely authorisation, client protection, and market integrity. Providers that do not obtain MiCA authorisation will need to stop unauthorised activities, wind down services, or transfer clients where appropriate.

Applications still under review do not, by themselves, give firms the right to continue operating after the deadline. Firms that continue offering crypto-asset services without authorisation risk enforcement action under national law.

The end of the transition marks a major shift from fragmented national registration regimes towards a single EU-wide licensing framework for crypto-asset service providers. MiCA authorisation allows firms to passport services across the EU, while also subjecting them to common requirements on governance, consumer protection, market integrity, prudential safeguards, and supervision.

Some member states shortened or did not fully apply the transitional regime, meaning certain national markets have already moved more quickly towards MiCA-only authorisation. From 1 July, however, the transitional period ends across the EU.

Why does it matter?

The deadline marks the point at which MiCA becomes the effective gateway to the EU crypto market. Firms that previously operated under national regimes will need full authorisation or lose access to the EU clients. In the short term, that could lead to service disruptions, client migrations, or consolidation among crypto providers. In the longer term, it strengthens the EU’s shift towards a single regulatory framework for digital asset platforms.

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US SEC outlines roadmap for market growth, digital assets and investor protection

The US Securities and Exchange Commission (SEC) has released a draft strategic plan outlining its priorities for the coming years, with a focus on investor protection, market efficiency and capital formation.

The agency is seeking public feedback on the proposal, which also highlights the growing importance of digital assets and emerging technologies within the financial system.

Under the plan, the SEC aims to modernise its regulatory framework by supporting innovation while maintaining market integrity. Among its objectives is the development of a clearer and more consistent regulatory approach to digital assets and distributed ledger technologies, with the aim of providing businesses and investors with greater certainty.

The regulator also intends to strengthen engagement with market participants and review existing rules to improve compliance and effectiveness. The draft plan states that enforcement should focus on fraud, market manipulation and violations of existing laws, rather than relying on expansive interpretations of regulatory authority.

Technology modernisation is also a key component of the strategy, including plans to upgrade legacy systems and expand the use of technologies such as AI and blockchain. According to the SEC, these improvements could enhance oversight capabilities, reduce operational costs, and improve efficiency across the agency.

Why does it matter?

The SEC plays a central role in regulating the world’s largest capital market, making its approach to digital assets and emerging technologies influential beyond the United States. Greater regulatory clarity could affect how businesses develop blockchain-based services, how investors engage with digital assets and how other jurisdictions shape their own regulatory frameworks.

The proposal also signals a broader shift towards integrating AI and advanced technologies into financial supervision, reflecting growing efforts by regulators to adapt to increasingly digital and technology-driven markets.

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Japan finalises rules for cryptoasset service intermediaries

Japan’s Financial Services Agency has finalised regulatory amendments linked to the 2025 revision of the Payment Services Act, creating a new intermediary category for electronic payment instruments and cryptoasset services.

The amendments, which enter into force on 1 June 2026, establish rules for the newly created electronic payment instrument and cryptoasset service intermediary business. The framework sets out registration application requirements, information that must be clearly explained or provided to users, prohibited conduct, user protection measures, and record-keeping obligations.

The new category allows intermediaries to provide certain electronic payment instruments and cryptoasset-related services without operating as full electronic payment instrument service providers or cryptoasset exchange service providers. The structure is intended to support intermediary activity while maintaining user protection and oversight requirements.

The wider amendment package also develops rules for electronic payment instruments and cryptoassets, including the scope of assets that may be subject to domestic holding orders for electronic payment instrument service providers and cryptoasset exchange service providers.

The FSA also finalised related provisions on funds transfer services, banks, insurance companies and their subsidiaries, and other required amendments. Public consultation on the relevant cabinet orders, cabinet office orders, notices and guidelines drew 259 comments from 62 individuals and organisations.

The amendments form part of Japan’s ongoing effort to refine its digital finance framework as cryptoassets, stablecoin-related services, payment intermediaries, and traditional financial institutions become increasingly interconnected.

Why does it matter?

Japan’s new intermediary category shows how regulators are creating more tailored frameworks for different roles in digital asset services. Rather than treating every participant as a full exchange or electronic payment instrument service provider, the framework gives intermediaries a defined route into the market while preserving registration, conduct, disclosure, and user protection requirements.

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