Microsoft is under scrutiny from shareholders regarding a potential investment in Bitcoin as they prepare for a crucial vote in December. The proposal, spearheaded by the National Center for Public Policy Research (NCPPR), suggests that the tech giant conduct an assessment of investing in the cryptocurrency. Ethan Peck, deputy director of the NCPPR’s Free Enterprise Project, warned that if Microsoft chooses not to invest and Bitcoin’s value rises, it could face legal repercussions from disgruntled shareholders.
Despite the board’s recommendation to reject the proposal, citing existing evaluations of various assets, Peck noted that the discussion initiated by the proposal is significant. He believes it may pave the way for a stronger resubmission in 2025, irrespective of the current vote’s outcome. The NCPPR highlighted the successful investment strategy of MicroStrategy in Bitcoin, pointing out that it has significantly outperformed Microsoft this year.
As Bitcoin trades at approximately $67,035, down from near its all-time high of $73,562, the growing institutional interest in cryptocurrencies, particularly through spot Bitcoin exchange-traded funds, underscores the urgency for companies like Microsoft to reconsider their stance on digital assets.
In a pioneering move, British pension specialist Cartwright has helped a UK pension fund allocate 3% of its £50 million assets into Bitcoin, marking the first such investment in the country. The decision follows thorough consultations on environmental, social, and governance (ESG) factors, security, and the investment potential of Bitcoin, according to Cartwright’s head of digital assets, Glenn Cameron.
Unlike similar investments where funds have opted for Bitcoin-linked ETFs, this UK pension fund has chosen to hold the asset directly, with private key security spread across five independent institutions. This allocation stands out for its size, as it represents a much larger percentage of assets than recent Bitcoin investments by pension funds abroad, such as the State of Wisconsin’s 0.1% allocation.
Cartwright has also announced a new Bitcoin Employee Benefits scheme, allowing interested employers to pay staff in Bitcoin. With five companies already considering the scheme, Cartwright is positioning itself at the forefront of integrating Bitcoin into UK pension and employment benefits, reflecting its commitment to a forward-thinking approach to digital assets.
World Liberty Financial, a decentralized finance (DeFi) crypto project associated with former President Donald Trump and his sons, plans to limit its token sales to $30 million within the United States. According to a recent filing with the US regulators, the company, based in Delaware but operated from Puerto Rico, has approximately $288.5 million worth of tokens available, meaning around 90% of the sales will occur offshore. So far, fewer than 350 investors in the US have purchased these tokens.
To navigate regulatory challenges from the US Securities and Exchange Commission (SEC), which aims to classify tokens as securities, World Liberty is leveraging an exemption known as Regulation D. This allows the company to raise unlimited funds from wealthy individuals and institutions meeting certain criteria, such as having a net worth exceeding $1 million. Since mid-October, World Liberty has reportedly raised $2.7 million from 348 investors through this mechanism.
While Trump and his sons are mentioned in the company’s filings, the document clarifies that their names are included for informational purposes and do not indicate official endorsement of the offering. The project promotes itself as part of a broader initiative to democratise access to financial services. Looking ahead, any potential sales to non-US investors will be conducted under Regulation S, which imposes fewer requirements but is limited to foreign investors only.
A new survey by Turkish crypto exchange Paribu reveals that Turkish investors are turning increasingly to cryptocurrencies as their preferred investment, even surpassing traditional assets like real estate. The ‘2024 Cryptocurrency Awareness and Perception’ survey, which included over 2,000 participants familiar with crypto, found that 30% of respondents now favour digital assets over real estate and stocks. This trend highlights a shift in Turkey’s investment landscape as investors seek the speed, accessibility, and potential returns offered by crypto.
Gold remains the top investment choice for 56% of those surveyed, while foreign currency and cryptocurrency follow closely. Interestingly, real estate dropped in preference from 30% last year to 26% this year, signalling a broader change in investor sentiment. Paribu’s research content manager, Nergis Nurcan Karababa, explained that the rise in crypto interest is also driven by institutional support, reflecting an optimistic outlook on crypto’s role in Turkey’s economy.
While cryptocurrency awareness in Turkey has nearly reached universal levels, with almost 99% recognising digital assets, understanding of blockchain technology remains limited, with 72% lacking basic knowledge. Despite this gap, Turkey has solidified its position as a global crypto market leader, ranking fourth worldwide. Regulatory support is expanding, with 47 crypto firms, including Bitfinex and Binance TR, applying for licences to operate under Turkey’s new regulations.
The Blockchain Association, an advocacy group for cryptocurrency and blockchain, reported that the US Securities and Exchange Commission (SEC) has cost crypto firms over $426 million in legal expenses since Gary Gensler became chair. According to the group, SEC actions against digital asset companies have increased since 2021, with 104 cases filed over two years. Industry leaders argue that this ‘regulation by enforcement’ approach has hindered growth and cost jobs.
Calling for change, the Blockchain Association stated that voters want fair regulations and an end to what it describes as the SEC’s “anti-innovation crypto crusade.” The association’s CEO, Kristin Smith, urged the public to support new SEC leadership, echoing complaints from other industry advocates and some lawmakers about Gensler’s strict approach.
The association further hinted that crypto could play a significant role in the upcoming election, with 18% of voters reportedly open to supporting candidates favouring digital asset innovation. As Election Day nears, political parties may increasingly see crypto regulation as a key issue in attracting undecided voters.
Eastern Europe is witnessing a significant increase in cryptocurrency activity, with over $499 billion in digital assets received between July 2023 and June 2024, according to a report from Chainalysis. Notably, decentralized finance (DeFi) activities contributed more than $165 billion to this total, accounting for about one-third of the region’s cryptocurrency transactions. This surge has propelled Eastern Europe to become the fourth-largest cryptocurrency market globally, representing over 11% of total crypto value received worldwide.
Despite the ongoing war and international sanctions, both Russia and Ukraine are leading in crypto transaction values, with Russia receiving over $182 billion and Ukraine over $106 billion. The report indicates that large institutional transfers significantly drive Ukraine’s market growth, as investors seek financial stability amid turmoil. Local exchanges like WhiteBIT remain active, facilitating a surge in professional transfers, which have been influenced by global market volatility and inflation.
In Ukraine, the rise in Bitcoin transactions has been particularly notable, with purchases using the national currency, the hryvnia, exceeding $882 million in the past year. This trend follows a period of high inflation, which peaked at over 26% in December 2022, prompting many Ukrainians to view Bitcoin as a safer alternative for storing value.
Taiwan is moving towards stricter oversight of the crypto sector, with the Financial Supervisory Commission (FSC) set to introduce a registration system for crypto exchanges on 30 November. This early implementation is part of Taiwan’s efforts to bring clarity and regulatory compliance to digital asset exchanges, a growing segment of the financial market.
FSC Chairman Peng Chin-long recently noted that 26 exchanges have already fulfilled compliance declarations under Taiwan’s anti-money laundering laws, with up to 30 more applications under review. Following previous inspections that uncovered serious issues around identity verification and transaction monitoring, the FSC plans to inspect six more crypto firms in November and December.
In addition, the FSC is drafting a “Special Law for Crypto Exchange Management” to establish transparent licensing standards and enhanced consumer protection measures. The proposed law will undergo public hearings in early 2025, providing the public with a chance to weigh in on future crypto regulations.
Coinbase users in the UK and US can now fund their accounts instantly using eligible Visa debit cards, following a recent partnership with Visa. This integration, announced on 29 October, allows customers to deposit funds in real-time through the Visa Direct network, providing flexibility for those looking to quickly respond to crypto market changes.
The new feature is set to simplify access to trading funds by reducing traditional wait times associated with crypto funding. With Visa Direct, Coinbase users can now top up their accounts or make crypto purchases almost instantly, while also benefiting from instant cash-outs to bank accounts, minimising delays on major transactions.
The partnership further underscores Visa’s growing involvement in the crypto sector. Earlier in October, Visa also launched its Tokenized Asset Platform, enabling banks to manage fiat-backed tokens, including stablecoins. BBVA, a major Spanish bank, is set to trial this platform on the Ethereum blockchain in 2025, marking a significant step in Visa’s broader blockchain strategy.
The United States and Nigeria have launched the Bilateral Liaison Group on Illicit Finance and Cryptocurrencies to counter cybercrime and misuse of digital assets. Led by the US Department of Justice and Nigerian authorities, this new initiative aims to strengthen both countries’ capabilities in investigating and prosecuting cyber and crypto-related financial crimes as digital finance expands globally.
The group’s formation comes soon after the release of Tigran Gambaryan, Binance’s head of financial crime compliance, who was detained in Nigeria since February on money laundering charges. His release due to health concerns follows rising tensions, and this new collaboration may help ease strained relations as both nations work toward secure cyberspace operations.
Aligned with US goals for global cyber enforcement, this liaison group aims to streamline coordination between the two countries’ enforcement bodies. This joint effort underscores the importance of cross-border cooperation to address the unique challenges posed by digital assets in the fight against financial crime.
Kraken, a prominent cryptocurrency exchange, is set to unveil its new blockchain platform, Ink, in early 2025. The initiative marks a strategic shift towards decentralised finance (DeFi), empowering users to trade, borrow, and lend assets without intermediaries, a departure from Kraken’s traditional centralised operations. Ink aims to streamline DeFi access, making it more user-friendly and cost-effective.
The blockchain, inspired by similar efforts like Binance’s BNB Smart Chain and Coinbase’s Base, will launch without a native token but will include DeFi tools such as decentralised exchanges (DEXs) and yield-generating platforms, all accessible through the Kraken Wallet app. Kraken also plans to serve as Ink’s primary sequencer, managing network transactions and generating revenue, a model that has proven profitable for competitors.
Kraken introduced a derivatives trading platform in Bermuda on 3 October, following the receipt of a Class F Digital Business Licence from the Bermuda Monetary Authority in July. This expansion allows Kraken to provide digital asset wallet services, as well as futures and derivatives trading, aiming to capitalise on the growing market demand for these offerings.
