The discovery of hundreds of non-consensual deepfake images on a student’s laptop at the University of Hong Kong has reignited debate about privacy, technology, and accountability. The scandal echoes the 2008 Edison Chen photo leak, which exposed gaps in law and gender double standards.
Unlike stolen private images, today’s fabrications are AI-generated composites that can tarnish reputations with a single photo scraped from social media. The dismissal that such content is ‘not real’ fails to address the damage caused by its existence.
The legal system of Hong Kong struggles to keep pace with this shift. Its privacy ordinance, drafted in the 1990s, was not designed for machine-learning fabrications, while traditional harassment and defamation laws predate the advent of AI. Victims risk harm before distribution is even proven.
The city’s privacy watchdog has launched a criminal investigation, but questions remain over whether creation or possession of deepfakes is covered by existing statutes. Critics warn that overreach could suppress legitimate uses, yet inaction leaves space for abuse.
Observers argue that just as the snapshot camera spurred the development of modern privacy law, deepfakes must drive a new legal boundary to safeguard dignity. Without reform, victims may continue facing harm without recourse.
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South Korea’s new administration has unveiled a five-year economic plan to build what it calls a ‘super-innovation economy’ by integrating AI across all sectors of society.
The strategy, led by President Lee Jae-myung, commits 100 trillion won (approximately US$71.5 billion) to position the country among the world’s top three AI powerhouses. Private firms will drive development, with government support for nationwide adoption.
Plans include a sovereign Korean-language AI model, humanoid robots for logistics and industry, and commercialising autonomous vehicles by 2027. Unmanned ships are targeted for completion by 2030, alongside widespread use of drones in firefighting and aviation.
AI will also be introduced into drug approvals, smart factories, welfare services, and tax administration, with AI-based tax consultations expected by 2026. Education initiatives and a national AI training data cluster will nurture talent and accelerate innovation.
Five domestic firms, including Naver Cloud, SK Telecom, and LG AI Research, will receive state support to build homegrown AI foundation models. Industry reports currently rank South Korea between sixth and 10th in global AI competitiveness.
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Luxembourg introduced draft Law 8592 outlining registration, due diligence, and reporting duties for crypto-asset service providers. Mandatory reporting starts on 1 January 2026, covering crypto-assets, life insurance income, cross-border rulings, and expanded automatic tax data exchange.
The law applies to a broad range of crypto-asset activities, including portfolio management, custody, and exchange platforms. It also covers crypto-to-fund or crypto-to-crypto transactions and client order execution.
Luxembourg’s definition of crypto-assets aligns with EU MiCAR rules but includes all assets used for payment or investment purposes. Tax authorities will share reported data with the user’s country of residence by 30 September of the following year, starting with 2026.
CASPs must register with Luxembourg tax authorities by 30 June each year for reporting the previous year’s data. MiCAR-authorised operators are exempt from active registration. Penalties range from €5,000 for missed registrations to €250,000 for failing due diligence or reporting obligations.
The law also requires CASPs to verify user information through reasonable due-diligence procedures.
Law 8592 further updates rules on cross-border arrangements, online platform reporting, the Common Reporting Standard, and country-by-country reporting. DAC6 amendments now follow EU Court rulings, keeping lawyers’ client notifications while removing wider intermediary duties.
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Orange Belgium has confirmed a data breach affecting 850,000 customers, after a cyberattack targeted one of its internal IT systems. The attack, discovered in late July, exposed names, phone numbers, SIM card details, tariff plans and PUK codes. No financial or password data was compromised.
The telecoms provider blocked access to the affected system and notified authorities. A formal complaint has also been filed with the judiciary. All affected users are being informed via email or SMS and are urged to stay alert for phishing and identity fraud attempts.
Orange Belgium has advised users to strengthen account security with strong, unique passwords and to be cautious of suspicious links and messages. This marks the third cyber incident involving Orange in 2025, following earlier attacks, though those breaches varied in impact.
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Australia has taken down 14,000 online scams since July 2023, with more than 3,000 involving crypto. The Australian Securities and Investments Commission (ASIC) has expanded scam enforcement to cover social media ads, investment fraud, and phishing websites.
ASIC Deputy Chair Sarah Court noted takedown powers refer suspicious sites to cybercrime specialists for removal. Common scams include AI trading bots, fake websites, and fraudulent celebrity endorsements, making fraud harder to detect.
Investment scams remain the leading threat, with over $73 million lost this year, though overall losses have fallen since 2023. Regulators urged caution with testimonials, AI investment claims, and schemes on WhatsApp, Telegram, and other messaging apps.
Crypto ATMs have also come under scrutiny. AUSTRAC and the AFP have investigated connections between crypto ATMs and scams, including pig-butchering operations. Australia has nearly 2,000 crypto ATMs, with new limits to curb crime and protect investors.
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Google has expanded its AI Mode in Search to 180 additional countries and territories, introducing new agentic features to help users make restaurant reservations. The service remains limited to English and is not yet available in the European Union.
The update enables users to specify their dining preferences and constraints, allowing the system to scan multiple platforms and present real-time availability. Once a choice is made, users are directed to the restaurant’s booking page.
Partners supporting the service include OpenTable, Resy, SeatGeek, StubHub, Booksy, Tock, and Ticketmaster. The feature is part of Google’s Search Labs experiment, available to subscribers of Google AI Ultra in the United States.
AI Mode also tailors suggestions based on previous searches and introduces a Share function, letting users share restaurant options or planning results with others, with the option to delete links.
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The United States and the European Union have concluded a trade agreement that lowers tariffs and removes barriers for industrial, agricultural, and digital sectors. The pact formalises July’s commitments and aims to strengthen transatlantic economic ties.
Under the terms, Washington will reduce tariffs on European automobiles from 27.5% to 15% once Brussels lowers restrictions on US goods. Europe also pledged to buy $750 billion worth of American energy and to lift tariffs on all US industrial products.
Agricultural concessions include greater access for dairy, pork, nuts, and seafood, with an extension of the 2020 lobster deal.
The agreement extends beyond trade in goods. Brussels committed not to introduce digital network fees opposed by Washington and promised adjustments to sustainability regulations that could disadvantage non-EU firms.
Both sides emphasised the deal as the first step towards deeper cooperation in trade and investment.
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The European Union is accelerating work on a digital euro after the United States introduced new legislation to regulate the $288 billion stablecoin market. Brussels officials warn the euro may lose ground to dollar-backed tokens without swift action.
Sources told the Financial Times that regulators are revisiting issuing the digital euro on public blockchains such as Ethereum or Solana. Privacy concerns had blocked the option, but US developments have led Europe to reconsider.
The European Central Bank warned that reliance on foreign payment systems could weaken Europe’s financial sovereignty. A digital € would provide strategic autonomy, countering the risk of deposits flowing abroad and reinforcing the euro’s role in international settlements.
China has already rolled out its digital yuan, while the UK is evaluating a digital pound. The US market is dominated by companies such as Circle and Tether, with banks like Citi and JPMorgan preparing their own tokens.
Although smaller euro stablecoins exist, ECB officials say a digital € would cement Europe’s competitive position in the evolving global financial system.
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According to sworn interrogations, OpenAI said Musk had discussed possible financing arrangements with Zuckerberg as part of the bid. Musk’s AI startup xAI, a competitor to OpenAI, did not respond to requests for comment.
In the filing, OpenAI asked a federal judge to order Meta to provide documents related to any bid for OpenAI, including internal communications about restructuring or recapitalisation. The firm argued these records could clarify motivations behind the bid.
Meta countered that such documents were irrelevant and suggested OpenAI seek them directly from Musk or xAI. A US judge ruled that Musk must face OpenAI’s claims of attempting to harm the company through public remarks and what it described as a sham takeover attempt.
The legal dispute follows Musk’s lawsuit against OpenAI and Sam Altman over its for-profit transition, with OpenAI filing a countersuit in April. A jury trial is scheduled for spring 2026.
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A ransomware attack against dialysis provider DaVita has exposed the personal data of 2.7 million people, according to a notice on the US health department’s website.
The company first disclosed the cyber incident in April, saying it had taken steps to restore operations but could not predict the scale of disruption.
DaVita confirmed that hackers gained unauthorised access to its laboratory database, which contained sensitive information belonging to some current and former patients. The firm said it is now contacting those affected and offering free credit monitoring to help protect against identity theft.
Despite the intrusion, DaVita maintained uninterrupted dialysis services across its network of nearly 3,000 outpatient clinics and home treatment programmes. The company described the cyberattack as a temporary disruption but stressed that patient care was never compromised.
Financial disclosures show the incident led to around $13.5 million in charges during the second quarter of 2025. Most of the costs were linked to system restoration and third-party support, with $1 million attributed to higher patient care expenses.
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