consultation

According to Caixin, the one-month public consultation for the "Financial Law of the People's Republic of China (Draft)" ended today (April 19). This is the first overarching law in China and the world with "finance" in its name. The expansion of "quasi-judicial powers" for financial regulation is a topic of great concern in the market.According to Article 55 and related provisions, financial regulatory authorities have the right to access and copy property rights information, communication records, and transaction records of relevant entities and individuals when investigating financial violations. They can directly freeze or seal assets if there is evidence suggesting the transfer or concealment of illegal funds and securities. They can even decide that individuals suspected of violations cannot leave the country during the investigation.In addition, Zeng Gang, chief expert and director of the Shanghai Financial and Development Laboratory, believes that the "Financial Law" should also strengthen its focus and coverage on emerging financial formats. Topics such as AI-driven financial decision-making, the legal status of digital currencies, and the regulatory boundaries of crypto assets have sparked widespread controversy globally, but the draft addresses them very little. How to maintain a dynamic balance between lawful regulation and inclusive innovation is a problem left to be solved by legislation.

The Hong Kong Stock Exchange today published a consultation document regarding the shortening of the settlement cycle for the Hong Kong stock cash market (the "Consultation Document"), proposing to shorten the settlement cycle from the current T+2 to T+1, and seeking market opinions on the proposal.

Simon Gerovich, CEO of the Japanese Bitcoin listed company Metaplanet, posted on the X platform in response to the Japan Exchange Group (JPX) announcing the postponement of including companies with major assets in cryptocurrency into the index, stating that he respects the relevant procedures and will actively participate, which will not affect the advancement of Bitcoin strategy and ecological layout.He added that Metaplanet was established to provide Japanese investors with a compliant channel to access Bitcoin through companies listed on the Tokyo Stock Exchange, but the company's strategy goes beyond asset allocation and will promote the development of the Japanese Bitcoin ecosystem through "Project Nova," including the layout of operational businesses and investment in industry partners. So far, more than 216,000 Japanese shareholders have participated in this strategy, and Metaplanet will continue to maintain constructive communication with all parties, including JPX, to enhance the market's understanding of Bitcoin and the company's role in the Japanese financial system.

The spokesperson of the Chinese Ministry of Foreign Affairs, Hua Chunying, hosted a regular press conference. The new round of China-U.S. economic and trade consultations will be held this weekend in Paris. A reporter asked what topics will be discussed and what expectations does the Chinese side have for this consultation?In response, Hua Chunying stated: "The Chinese side has already released information about the sixth round of China-U.S. economic and trade consultations, which you can refer to. For specific issues, it is recommended to inquire with the relevant Chinese authorities."

According to market news, Federal Reserve Vice Chair for Supervision Michelle Bowman stated that U.S. regulators will propose rules for implementing the final phase of the Basel III framework in the coming weeks, expected to be released during the week of March 17 to 21, followed by a 90-day public comment period.The proposal is being coordinated by the Federal Reserve, the Office of the Comptroller of the Currency, and the Federal Deposit Insurance Corporation. According to the global crypto framework finalized by the Basel Committee in 2022, Bitcoin is classified as a Group 2b asset, which regulators consider difficult to hedge and inherently volatile, facing a risk weight of 1250%. This means that a bank holding $100 million in Bitcoin exposure will be viewed as having $1.25 billion in risk-weighted assets, requiring approximately $100 million in capital.Compared to the zero risk weight for cash, gold, and U.S. Treasury securities, as well as the 20%-100% range for corporate loans, the capital treatment of Bitcoin is extremely harsh. Crypto industry institutions criticize the framework for misclassifying Bitcoin, hindering banks from providing related services.

According to the CFTC official website, the U.S. Commodity Futures Trading Commission (CFTC) has issued a consultation opinion on the trading of event contracts in the prediction market. In light of the rapid development of prediction markets, the agency aims to encourage the growth and innovation of these markets while reminding designated contract markets (DCM) to fulfill their regulatory obligations under the Commodity Exchange Act (CEA) and the Commission's regulations.The consultation opinion emphasizes the regulatory responsibilities of DCM in complying with CEA Section 5(d), Part 38, DCM Core Principle 3, and Appendix C guidelines, as well as product submission requirements. It also discusses some details that may be particularly applicable to sports event contracts.The Market Oversight Division believes that, as the frontline regulatory agency, DCM should proactively take measures to ensure that its markets continue to comply with the requirements of the CEA and the Commission's regulations during their development.

Cryptocurrency journalist Eleanor Terrett posted on X that insiders revealed the next round of discussions between the White House and cryptocurrency institutions regarding stablecoin yield issues is scheduled for next Tuesday.This meeting will still involve bank staff, but in addition to representatives from the banks themselves, representatives from various industry associations will also attend. The specific list of attendees will be disclosed later.

According to market news, the UK's Financial Conduct Authority (FCA) has entered the final consultation phase for key cryptocurrency rule-making and is seeking final feedback on 10 regulatory proposals. These proposals aim to apply traditional financial standards to the crypto market, covering various aspects such as codes of conduct, credit purchases of crypto assets, regulatory reporting, asset protection, and retail collateral handling.As part of the UK government's crypto roadmap, the FCA plans to open licensing applications for crypto asset service providers in September 2026 (yet to be confirmed). This licensing regime will impose stricter oversight on crypto companies, requiring them to obtain FCA authorization to operate in the UK.

The UK's Financial Conduct Authority (FCA) has entered the final stage of its regulatory consultation for cryptocurrency companies and is seeking feedback on how its consumer duty rules apply to crypto asset firms, with a deadline of March 12. The FCA plans to open the application process for crypto asset licenses in September 2026.Consumer duty is a regulation from the UK's Financial Conduct Authority (FCA) aimed at setting high standards for how financial firms treat retail customers. The regulation requires firms to act with integrity, avoid causing foreseeable harm, and help people achieve their financial goals. Companies must provide clear information, fair pricing, and support throughout the entire customer journey (not just at the point of transaction).

According to Reuters, the UK's Financial Conduct Authority (FCA) launched a wide-ranging consultation on Tuesday regarding a series of proposed rules for the cryptocurrency industry.The day before, the UK government announced that it would implement regulations for the industry starting in October 2027. Alongside the announcement of related proposals, the FCA also released a research report indicating that the proportion of UK adults holding cryptocurrencies has decreased by one-third over the past year, from 12% to 8%. The FCA stated on Tuesday that its rules will cover the listing of crypto assets, measures to prevent insider trading and manipulation, standards for cryptocurrency trading platforms, and broker regulations.The agency is also consulting on matters such as prudential requirements, regulatory provisions to clarify the risks of cryptocurrency staking, enhanced protections for both parties in cryptocurrency lending, and potential financial safeguards for managing risks in crypto companies. The FCA is seeking feedback on its proposals, with a deadline of February 12, 2026. The regulatory body has committed to finalizing the regulatory framework by the end of next year.

According to a report by Sina Finance, recently, seven financial industry associations jointly issued a risk warning, clearly prohibiting domestic participation in virtual currency and real-world asset (RWA) token issuance and trading activities. After the regulatory clarification, mainland companies' RWA business in Hong Kong has encountered a comprehensive downturn, with industry insiders revealing that the consultation volume has plummeted by more than 90%, and many projects have been asked to pause their progress. Related concept stocks have responded by falling back, with companies like Longxin Group and Xiexin Energy Technology seeing their high points cut in half. Some enterprises have begun to explore RDA (Real Data Assets) as an alternative direction.

Michael Saylor posted on the X platform that Strategy has submitted a response to MSCI regarding the consultation on digital asset financial companies. Index standards should remain neutral, consistent, and reflect the development trends of the global market.

Hong Kong stated in a press release on Tuesday that it is seeking opinions on the implementation of CARF and the modification of tax reporting standards. This move is clearly related to the local government's efforts to combat cross-border tax evasion. Hong Kong's Secretary for Financial Services and the Treasury, Christopher Hui, stated that the adoption of CARF will demonstrate the government's "commitment to promoting international tax cooperation and combating cross-border tax evasion."In addition to CARF, Hong Kong is also seeking opinions on the adoption of the Common Reporting Standard (CRS). Both CARF and CRS are initiatives of the Organisation for Economic Co-operation and Development (OECD) aimed at standardizing various aspects of international tax reporting. Currently, CARF has been widely adopted globally. The latest list maintained by the OECD shows that 48 countries have committed to adopting CARF by 2027, 27 countries have committed to adopting it by 2028, and the United States has committed to adopting it by 2029.

The Hong Kong Special Administrative Region Government today launched a public consultation on the implementation of the OECD's framework for the declaration of crypto assets and the amendments related to the Common Reporting Standard in Hong Kong.The OECD announced the declaration framework in 2023, which requires partner tax jurisdictions to automatically exchange tax information related to crypto asset transactions annually, as well as to incorporate new digital financial products and optimized declaration and due diligence rules into the Common Reporting Standard. The Hong Kong government plans to complete the necessary local legislative amendments within the next year, aiming to automatically exchange tax information related to crypto asset transactions with relevant partner tax jurisdictions starting in 2028, and to implement the newly revised Common Reporting Standard from 2029. Hong Kong will automatically exchange tax information with suitable partners on a reciprocal basis, provided that the partners meet standards related to the confidentiality and security of the information. The public is invited to submit comments on the various proposals by February 6, 2026.

Recent adjustments to multiple tariff and non-tariff measures have been made by both China and the United States, beginning to implement the consensus reached during the Kuala Lumpur economic and trade consultations. On the 4th local time, the White House issued two presidential executive orders, announcing that starting from November 10, 2025, the 10% so-called fentanyl tariff imposed on Chinese goods will be canceled, and the one-year extension of the 24% reciprocal tariff on Chinese goods will be implemented. On the 5th, two Chinese departments successively released corresponding adjustment measures. Huo Jian Guo, vice president of the China WTO Research Association, stated that currently, both sides are implementing the first aspect of the consensus, which involves the increase of fentanyl tariffs and the reciprocal tariffs imposed on China on March 4 and April 4, with China taking corresponding countermeasures.He indicated that according to the consensus reached by both sides, the future implementation of the results of China-U.S. consultations will involve the U.S. 50% penetration rules and relevant trade restrictions related to the 301 investigations on China's maritime, logistics, and shipbuilding industries, as well as cooperation on fentanyl control and the expansion of agricultural trade between both sides. (Global Times)

ChainCatcher News, the U.S. Department of the Treasury has recently initiated the "Advance Notice of Proposed Rulemaking" (ANPRM) process to promote the formal implementation of the "GENIUS Act" (the U.S. Stablecoin National Innovation and Establishment Act) signed by President Trump, marking the entry of stablecoin legislation into a substantive regulatory phase.The Treasury is soliciting opinions on details such as issuer restrictions, sanctions compliance, anti-money laundering requirements, the balance between federal and state regulation, tax issues, and reserve asset custody. The public and crypto companies can submit feedback by October 20. The GENIUS Act, as the first piece of crypto legislation, has become law, and the Treasury's move aims to further refine the regulatory framework and complement the ongoing discussions on the "Digital Asset Market Structure Act."

ChainCatcher news, according to Caixin reports, the Hong Kong Monetary Authority has issued a consultation draft of the new module CRP-1 "Classification of Crypto Assets" in the "Banking Supervisory Policy Manual" (SPM) to the local banking industry, aiming to further clarify regulatory guidelines for the new bank capital rules on crypto asset regulation set to be implemented in early 2026 by the Basel Committee on Banking Supervision (hereinafter referred to as the "Basel Committee").The new rules categorize crypto assets into two groups, each further divided into two subgroups (Group 1a, Group 1b, Group 2a, Group 2b). According to the revised Hong Kong "Banking (Capital) Rules," Group 1a consists of tokenized traditional assets, while Group 1b includes stablecoins with effective stabilization mechanisms; Group 2 assets encompass all unbacked crypto assets such as Bitcoin and Ethereum, as well as any tokenized traditional assets and stablecoins that do not meet classification criteria, further subdivided into 2a (limited recognition of hedging) and 2b (unrecognized hedging) through a set of recognized hedging criteria.

ChainCatcher news, according to Zhitong Finance, some online media recently circulated information such as "China Rare Earth Group and Ant Group, the People's Bank of China jointly build the world's first rare earth RMB stablecoin."In response to this false fabrication, which seriously misleads the public and disrupts financial order, China Rare Earth Group Co., Ltd. stated that it has never cooperated, negotiated, or planned with relevant institutions or units regarding the so-called "rare earth RMB stablecoin." This information is maliciously fabricated by criminals, and the public and investors are urged not to believe or spread it.We remind all sectors of society and investors to be vigilant against illegal financial activities, to be aware of risk prevention, and to guard against property losses. The company has reported to the relevant authorities and sternly demands that the relevant units immediately stop infringing, defrauding, and other illegal activities.

ChainCatcher news, according to the Hong Kong Radio website, the Secretary for Financial Services and the Treasury, Christopher Hui, stated that tokenization, as a hot topic in global fintech, is profoundly changing the way financial markets operate. Hong Kong has made significant achievements in the field of tokenization, establishing a leading position globally.In terms of optimizing the legal and regulatory framework, the stablecoin bill has come into effect since August 1 of this year, providing a clear regulatory framework for stablecoin issuers, while public consultations for digital asset trading service providers and digital asset custodians are currently ongoing and will conclude by the end of this month.

ChainCatcher news, according to Yahoo Finance, U.S. Treasury Secretary Yellen announced during an interview with Fox News on the 22nd local time that the third round of China-U.S. trade talks will be held next Monday and Tuesday in Stockholm, Sweden. Previously, the two sides held two meetings in Geneva and London. The report states that August 12 is the deadline for the suspension of tariff increases between China and the U.S., and the latest round of talks aims to postpone this deadline.According to CNBC, Swedish Prime Minister Kristersson later confirmed on the 22nd that Sweden will host the latest round of talks between Washington and Beijing. He stated on X, "This negotiation primarily concerns China-U.S. relations, but it also has significant implications for global trade and the economy."