The US Securities and Exchange Commission (SEC) has requested a federal court to dismiss three key defences presented by cryptocurrency exchange Kraken in a lawsuit accusing the platform of securities violations. The SEC’s motion, filed on 5 November, seeks to invalidate Kraken’s argument that it lacks clear legal guidance on which digital assets qualify as securities. The SEC contends that existing securities laws are clear enough and that Kraken was fully aware of potential breaches.
Kraken’s defences include invoking the “major questions doctrine,” which argues the SEC needs explicit Parliamentary approval to regulate digital assets as securities. Kraken also claims that it did not receive adequate notice of which aspects of its operations may violate securities laws. The SEC rejected these claims, labelling the defences as attempts to delay proceedings by complicating the evidence process.
According to the SEC, dismissing Kraken’s defences would simplify the case, reducing unnecessary document requests and preventing delays in reaching a verdict. Kraken initially attempted to dismiss the case in August, but the court ruled in the SEC’s favour, allowing the lawsuit to proceed. The outcome could have significant implications for the SEC’s regulatory authority over digital assets in the cryptocurrency industry.
If Elon Musk takes up a role in the incoming Trump administration, he could still face personal liability from the European Commission for potential breaches of the Digital Services Act (DSA) by his company X. The EU executive emphasised that the US election would not affect its enforcement of platform rules. X is under investigation for failing to curb illegal content and allowing dark patterns, with a decision expected soon.
Musk’s potential appointment would not provide him immunity from any fines or legal actions under the DSA, according to a European Union spokesperson. While the Commission can fine a business entity or a decision-maker, it remains unclear if Musk himself would be personally held accountable, though he could face penalties based on his company’s worldwide turnover.
Despite being praised by Trump and potentially offered a cabinet role, Musk’s relationship with the EU remains complex. Former EU Commissioner Thierry Breton stated that any necessary corrections to X’s operations would be enforced, even if political tensions arise. If Musk takes a public position, it’s uncertain how his actions might affect the regulatory landscape for tech companies in Europe.
India’s antitrust regulator, the Competition Commission of India (CCI), has found that food delivery giants Zomato and Swiggy violated competition laws by favouring select restaurants on their platforms. According to the CCI’s investigation, Zomato used ‘exclusivity contracts’ to offer lower commissions to certain partners, while Swiggy promised growth to restaurants that listed exclusively with them. These practices, the report states, hinder market competition, as they prevent smaller players from gaining a fair foothold.
The investigation, which began in 2022 following a complaint by the National Restaurant Association of India, also highlights restrictive pricing practices on both platforms. Zomato imposed conditions to maintain price and discount parity across online platforms, even threatening penalties for non-compliance. Swiggy, on the other hand, pressured some partners by suggesting their ranking on the app would drop if they failed to match prices elsewhere. Swiggy later claimed that it discontinued its exclusivity program in 2023 but has plans to launch similar initiatives in smaller cities.
The probe has potential implications for Swiggy’s $1.4 billion IPO and lists the CCI investigation as an “internal risk” in its prospectus. Both companies have faced additional scrutiny recently, as India’s largest retail distributors have urged the CCI to investigate alleged predatory pricing in their quick-commerce grocery services. The CCI’s final decision on penalties or required changes to Zomato’s and Swiggy’s business practices is expected in the coming weeks, though the companies may challenge the findings.
Nvidia’s stock surged to new highs on Thursday, pushing its market value to an unprecedented $3.65T, fueled by a broad rally following Donald Trump’s presidential election win. Investors, optimistic about potential tax cuts and deregulation under the renewed Republican administration, helped boost Nvidia shares by 2.2%, establishing the AI chipmaker as the most valuable company worldwide, surpassing Apple’s previous record of $3.57T.
Since the beginning of November, Nvidia’s stock has climbed 12%, reflecting investor confidence in the company’s leadership in artificial intelligence technology. Demand for Nvidia’s AI chips from tech giants like Microsoft and Google has kept its growth momentum strong, with analysts expecting Nvidia to report an 80% revenue increase to $32.9B in the upcoming quarterly results.
As the tech sector overall continues to benefit from Trump’s anticipated policies, Nvidia’s valuation has also outpaced the combined worth of industry heavyweights such as Walmart, JPMorgan, and UnitedHealth. This significant milestone highlights Nvidia’s dominant role in the AI chip industry amid intense competition to build computing power for AI applications.
The UK’s Financial Conduct Authority (FCA) has successfully prosecuted two men, Raymondip Bedi and Patrick Mavanga, for running a £1.5 million cryptocurrency investment fraud that misled 65 investors. Between 2017 and 2019, Bedi and Mavanga lured investors through cold calls and fraudulent, professional-looking websites, offering high returns on fake crypto platforms. The tactic resulted in substantial losses for their victims, totalling over £1.5 million.
The FCA charged both men with conspiracy to defraud, operating without FCA authorisation, and money laundering. Mavanga also faced additional charges for perverting the course of justice by deleting phone records linked to the scheme. The prosecution underscores the FCA’s mandate to uphold financial service standards and highlights the importance of being wary of unsolicited calls and online investment offers.
Two other suspects were involved: Rowena Bedi was acquitted, while a third defendant awaits a retrial in 2025. Another individual, Minas Filippidis, remains at large. The FCA advises consumers to stay vigilant against scams and only trust financial services authorised by the agency.
The Swiss city of Lugano has taken another step in its embrace of blockchain technology by issuing a third bond on digital platforms. Valued at 120 million CHF (around $139 million), the new bond is dual-listed on the SIX Digital Exchange and the SIX Swiss Exchange. The issuance is part of Project Helvetia, the Swiss central bank’s pilot programme for wholesale central bank digital currency, and its settlement is planned for 25 November.
Since its first digital bond issuance in January 2023, Lugano has raised a total of 320 million CHF (£365 million) through blockchain technology. City officials see these moves as part of a larger mission to lead digital finance innovation, with Deputy CFO Paolo Bortolin expressing hope that Lugano’s initiatives will encourage other issuers to consider blockchain bonds.
In addition to bonds, Lugano has pioneered the use of digital currencies, including allowing Bitcoin for tax payments and introducing a Bitcoin-backed stablecoin, LUGA, accepted by over 350 merchants in the city. The city’s efforts underscore its commitment to positioning Lugano as a global centre for Bitcoin and blockchain technology.
Italy’s economy minister, Giancarlo Giorgetti, is open to reviewing proposals to raise the tax on cryptocurrency capital gains. The government’s 2025 budget, to be approved by parliament by December, includes a plan to increase the tax rate on capital gains from cryptocurrencies like bitcoin to 42% from 26%. This change is expected to bring in an additional 16.7 million euros annually, adding to the current 27 million euros collected from the existing tax rate.
Despite the modest revenue boost in a country with a budget exceeding 800 billion euros, the proposal has faced criticism, particularly from Giorgetti’s own League party. Lawmaker Giulio Centemero argued that raising the tax could be “counterproductive” and called for more in-depth dialogue with market participants to address the issue.
Giorgetti, however, defended the measure, stating that speculation should be taxed more. His comments indicate a willingness to adapt the proposal but also reflect his stance on ensuring that speculative investments face higher taxation. The outcome of these discussions will depend on ongoing negotiations within the government.
GlobalWafers has expressed optimism that the US Chips and Science Act will continue to provide strong support for chip manufacturers under the new administration. This landmark act, aimed at boosting domestic semiconductor production, offers financial incentives to encourage companies to invest in US facilities—a vital step toward securing supply chains and reducing reliance on foreign manufacturing.
In a recent statement, GlobalWafers noted that programs of this scale and duration are typically supported across different US administrations, given their importance to economic and national security. The company sees the CHIPS Act as essential for driving investments in semiconductor production and also for advancing technological innovation within the industry. They anticipate that the act’s stability under a Trump administration will allow businesses to plan long-term investments in US operations without interruption.
By fostering consistent investment in chip manufacturing, GlobalWafers believes the CHIPS Act will help ensure a robust, self-reliant US semiconductor ecosystem. The program’s continuation is seen as crucial for sustaining growth in the industry, creating jobs, and advancing the global competitiveness of the US in semiconductor technology.
Swiss bank UBS has successfully tested a new blockchain-based payment system, UBS Digital Cash, aimed at streamlining cross-border transactions. The pilot, which included multinational corporations and banks, processed both domestic and international payments in currencies like the US dollar, Swiss franc, euro, and Chinese yuan. This move marks a significant step in UBS’s efforts to enhance payment efficiency and transparency for its clients.
Andy Kollegger, head of UBS Institutional & Multinational Banking, emphasised that cross-border blockchain payments are a strategic priority for the bank, as they offer a more efficient and visible way to handle international transfers. The UBS Digital Cash pilot also allowed liquidity transfers between various UBS entities, demonstrating the system’s capability to improve internal cash management.
UBS plans to further develop UBS Digital Cash, which operates on a private blockchain network accessible only to authorised clients. By using smart contracts, the system automatically settles payments once specific conditions are met, providing clients with enhanced control over intraday liquidity and account buffers through real-time cash position tracking.
BNB Chain has introduced a tokenisation solution to ease entry into web3 for individuals and small businesses. The platform’s one-stop solution supports tokenising real-world assets and company shares, making it easier for users to navigate the web3 ecosystem. The initiative aims to bring tangible assets, such as property and commodities, into the digital sphere by converting them into tradable tokens.
Through partnerships with firms like BitBond and Matrixdock, BNB Chain’s business tokenisation service allows companies to issue their tokens on the blockchain. It is part of a broader effort to remove technical barriers and open up Web3 access to more people. According to BNB Chain, tokenising real-world assets is expected to be a key step in expanding Web3 use cases, particularly for small and medium-sized enterprises.
BNB Chain’s ecosystem has grown to over 4 million users, with more than 4,000 decentralised applications now running on its network. Supporting services such as carbon credits and natural hydrogen tokenisation, the chain aims to diversify its offerings and drive even greater adoption of web3 technology.
