Many young Indians are turning to cryptocurrency trading to supplement their income, as slow wage growth and limited job opportunities push them towards alternative financial avenues. Many, like Ashish Nagose, a 28-year-old flower shop owner from Nagpur, are dedicating time to learning the intricacies of crypto trading. Previously involved in stock options trading, Nagose switched to digital assets after tighter regulations made equity derivatives trading less accessible.
The surge in interest has led to a sharp rise in trading volumes, with India’s four largest crypto exchanges seeing a twofold increase to $1.9 billion in late 2024. Experts attribute this momentum to global factors, including optimism surrounding former US President Donald Trump’s pro-crypto stance, alongside growing interest in smaller Indian cities. Non-metro areas such as Jaipur, Lucknow, and Pune have emerged as key centres of crypto activity, with projections suggesting India’s digital assets market could expand from $2.5 billion in 2024 to over $15 billion by 2035.
Despite the enthusiasm, Indian authorities remain cautious. The Reserve Bank of India (RBI) has raised concerns about the risks of widespread crypto adoption, and stringent tax policies continue to pose challenges for traders. While domestic exchanges have regained momentum following a ban on offshore platforms, the government has upheld its strict tax regulations, rejecting calls to lower the tax-deducted-at-source (TDS) rate. However, this has not deterred young investors like Sagar Neware, a 25-year-old mechanical engineer, who hopes crypto trading will enable him to revive his father’s business.
With rising crypto education demand, training centres are thriving across the country. Institutions such as Thoughts Magic Trading Academy in Nagpur claim to have trained thousands of students eager to navigate the market. While regulatory uncertainty lingers, India’s crypto landscape evolves rapidly, driven by a generation determined to carve out new financial opportunities.
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Dubai is tightening its regulations on cryptocurrency transparency, with new rules aimed at exposing the identities of major token holders, often referred to as “crypto whales.” The move is part of the emirate’s strategy to combat market manipulation and provide more clarity in the growing digital asset sector. Matthew White, CEO of the Virtual Assets Regulatory Authority (VARA), stated that the regulations will require crypto businesses to disclose the ownership structures of large token holders to improve market transparency and reduce manipulation risks.
While the rules aim to enhance investor confidence, the challenge lies in the pseudonymous nature of cryptocurrency transactions. Most crypto transactions are recorded under wallet addresses rather than real names, making it difficult to trace individuals behind significant holdings. Despite these obstacles, White believes blockchain technology will help regulators track large asset movements and identify potential market manipulation, even if real identities are not fully revealed.
In addition to crypto whale disclosures, VARA is working on other regulations to improve market stability, such as requiring asset issuers and crypto service providers to disclose reserve compositions and undergo independent audits. These measures are designed to prevent sudden market crashes and boost investor confidence, with White confirming that implementing these regulations is a priority for VARA.
Dubai continues to position itself as a global hub for the crypto industry, attracting major firms and issuing licences to crypto businesses. VARA’s efforts are part of the emirate’s broader vision to become a leading financial and technology hub by 2030, and with clear regulations in place, Dubai hopes to provide regulatory certainty that will encourage market growth and stability.
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The US financial regulator continues discussions with industry leaders over cryptocurrency regulations, with indications that enforcement actions against some companies could be dropped. The Securities and Exchange Commission (SEC) has already closed an investigation into Robinhood Crypto and is reportedly set to abandon its case against Coinbase.
According to recent filings, officials from the SEC’s cryptocurrency task force have met with representatives from multiple companies, including the Crypto Council for Innovation, infrastructure provider Zero Hash, and investment firm Paradigm Operations. Strategy executive chair Michael Saylor was also involved in discussions. Those present urged the regulator to reconsider its previous stance that many digital assets fall under its remit as financial instruments.
The task force, led by Commissioner Hester Peirce, has held similar meetings with the Blockchain Association, Jito Labs, and Multicoin Capital. While it remains unclear whether the SEC will shift its regulatory approach under acting chair Mark Uyeda, the commission has suggested that it may adopt a more flexible stance. Peirce has called for public input on a potential framework that acknowledges some cryptocurrencies may not qualify as financial instruments.
This apparent change in direction comes as the SEC remains without a permanent chair. The US Senate has yet to schedule a hearing for former commissioner Paul Atkins, who is expected to take up the role. Meanwhile, the regulator has withdrawn an appeal blocking a controversial broker-dealer rule for cryptocurrency companies, hinting at a broader move towards easing restrictions under the new administration.
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The European Union has introduced its 16th package of sanctions against Russia, marking three years since the Ukraine conflict began. The measures include financial restrictions, trade bans, and stricter oversight of digital assets linked to Russian entities. A total of 83 new listings have been added, targeting individuals and organisations accused of undermining Ukraine’s sovereignty, including those involved in cryptocurrency transactions used to bypass previous sanctions.
These new restrictions extend to Belarus, adding trade controls and tighter regulations on crypto wallets and financial services. The EU has also blacklisted 74 vessels accused of circumventing oil price caps and imposed stricter controls on banks using Russia’s SPFS messaging system. Further trade limitations target companies in China, India, Kazakhstan, Türkiye, and other nations allegedly supporting Russia’s defence sector.
Beyond direct economic impact, these sanctions highlight the growing role of digital assets in geopolitical conflicts. While regulators push for greater oversight, Russia continues exploring alternative financial systems, including its digital rouble. The effectiveness of these measures remains uncertain, as decentralised networks and emerging payment systems present ongoing challenges for policymakers.
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Crypto exchange Bybit has seen a dramatic drop in reserves, losing over $6 billion in just two days. The mass withdrawals came after a $1.4 billion exploit on 21 February, sparking panic among users. Data shows that Bybit processed $2.5 billion in withdrawals on 22 February and another $3.26 billion the following day, bringing its total assets down from $16.9 billion to $10.8 billion.
The biggest outflows were in stablecoins and Bitcoin, with users withdrawing more than $2.3 billion in USDT and over $1.5 billion in BTC. Some of these funds were reportedly transferred to Binance and over-the-counter (OTC) platforms, raising speculation over whether Bybit sold Bitcoin or used it as collateral to cover Ethereum withdrawals.
Despite the turbulence, the exchange managed to process all withdrawals without major disruptions. Bybit’s CEO, Ben Zhou, reassured users that the platform had resolved its Ethereum shortfall and maintained full backing of customer assets on a 1:1 basis. However, the incident has reignited concerns about security and liquidity in the crypto industry.
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Dubai’s financial regulator has officially recognised Circle’s USDC and EURC stablecoins, marking a major milestone for digital assets in the region. The Dubai Financial Services Authority (DFSA) has approved both tokens under the new regulatory framework of the Dubai International Financial Centre (DIFC), an independent economic zone.
The DIFC, operating since 2004, enforces strict rules on digital assets, permitting only officially recognised tokens for financial services. With this approval, Circle becomes the first stablecoin issuer to receive regulatory clearance in Dubai, strengthening its presence in the global crypto market.
Circle’s success in Dubai follows recent regulatory approvals in the European Union and Canada, where the company has secured compliance with new crypto asset laws. Meanwhile, rival stablecoin issuer Tether has also expanded in the UAE, gaining approval for USDT in the Abu Dhabi Global Market in late 2024.
This recognition underlines Dubai’s growing influence in the regulated digital asset space, positioning the city as a key hub for blockchain innovation and stablecoin adoption.
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Montana’s House of Representatives recently voted 41-59 against a proposal that would have established a Bitcoin reserve in the state. House Bill No. 429 aimed to create a special revenue account for investing in digital assets, including Bitcoin, alongside precious metals and stablecoins. However, many lawmakers expressed concerns that the bill would allow the state to speculate with taxpayer funds, with some describing the proposal as too risky.
While some representatives, like Bill Mercer, opposed the bill on the grounds of financial prudence, others saw potential benefits. Representative Lee Demming argued that the state should aim to maximise returns for taxpayers, suggesting that the bill could have achieved that goal. Curtis Schomer, the bill’s sponsor, emphasised that not passing the bill would limit the state’s investment opportunities and reduce purchasing power.
Despite the proposal’s rejection, Montana is not alone in considering a Bitcoin reserve. Twenty-four states have introduced similar legislation, with Utah making the most progress. While Montana’s bill is effectively dead for now, it could be reintroduced in the future.
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KuCoin’s European subsidiary has applied for a Markets in Crypto-Assets (MiCA) licence in Austria, aiming to expand its services across the European Economic Area. The move aligns with the exchange’s efforts to comply with EU regulations and strengthen its position in the European market. If approved, KuCoin will operate as a regulated crypto-asset service provider, offering secure and compliant digital asset services.
The company has chosen Vienna as its regional headquarters, citing Austria’s strong regulatory framework and access to skilled professionals in the crypto and fintech sectors. KuCoin CEO BC Wong called the MiCA application a major milestone in the company’s global strategy, emphasising its commitment to compliance and transparency. Two industry veterans, Oliver Stauber and Christian Niedermüller, have been appointed to oversee KuCoin EU’s operations.
Austria has emerged as a key player in Europe’s evolving crypto landscape, attracting major exchanges due to its structured regulatory approach. The MiCA framework, set to be fully implemented by the end of 2024, provides a single licensing system for crypto firms to operate across all EEA member states. With several international exchanges securing licences, KuCoin’s application is part of a broader trend as crypto companies race to establish a foothold in the European market.
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The United Arab Emirates saw a sharp rise in cryptocurrency app downloads in 2024, with a total of 15 million installations recorded. According to data from AppsFlyer, this marked a 41% increase compared to the previous year, with the biggest surge occurring in December when downloads hit 2.8 million.
Analysts attribute this spike to several factors, including growing interest in digital assets and global political shifts. The US presidential election in November, won by Donald Trump, was seen as a boost for the crypto industry due to his pro-crypto stance. His launch of a meme coin in January further fuelled global interest, drawing new investors into the market.
While adoption continues to grow, retaining users has proven to be a challenge. AppsFlyer reported that aggressive marketing campaigns contributed to 60% of downloads, yet one in five crypto apps was uninstalled within 30 days. Despite this, January saw another record high, with 3.5 million downloads in the UAE alone, setting the stage for what could be a record-breaking year for the industry.
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The Czech National Bank (CNB) is exploring Bitcoin’s potential as part of its reserve management strategy, according to Governor Aleš Michl. He emphasised that Bitcoin should not be dismissed outright and urged central bankers to study its underlying technology. While the CNB has not committed to buying Bitcoin, its board has approved an analysis of new asset classes, including the cryptocurrency.
Michl acknowledged Bitcoin’s extreme volatility and clarified that this initiative is not an endorsement but an effort to understand its risks and benefits. If CNB were to allocate even a small portion of its €140 billion reserves to Bitcoin, it could become the first Western central bank to invest in the asset publicly. However, sources suggest that potential exposure would be minimal, likely below 1% of total reserves.
Other European central bankers remain sceptical despite Michl’s openness to financial innovation. German central bank governor Joachim Nagel compared Bitcoin to the 17th-century tulip bubble, calling it neither safe nor liquid. European Central Bank President Christine Lagarde also dismissed Bitcoin as a reserve asset, stating that it fails to meet the ECB’s criteria for stability and transparency. However, Michl remains committed to diversifying CNB’s investments, including increasing its holdings in US stocks.
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