CBDCs

Bank Indonesia Consults on Wholesale CBDC Development

31/01/2023

The consultation paper covers access, issuance, redemption, funds transfer, technical aspects and implications for the financial system.

KYC & CDD

Westpac Fined in Hong Kong Over Delayed Customer Reviews

31/01/2023

Out of 143 customers who were subject to periodic reviews between June 2016 and May 2017, there were delays in 121 customers – of which 58 were of high risk.

PEPs & Sanctions

Australia’s Autonomous Sanctions Framework to Undergo Review

31/01/2023

The review will consider whether Australia’s Autonomous Sanctions Regulations and its associated instruments remain fit for purpose and how they can be made more efficient.

Anti-Money Laundering

Bankman-Fried Lawyers Request Access to Crypto Held by FTX

31/01/2023

The DOJ asked for a communications ban against Bankman-Fried as an additional bail condition. Last week, a 116-page list of the FTX’s creditors was filed to the bankruptcy court.

Anti-Money Laundering

Korea Justice Ministry to Start Tracking Crypto Transactions

31/01/2023

The “Virtual Currency Tracking System” will be launched as part of a new cloud system that will allow other agencies to leverage prosecutors’ investigative and forensics expertise.

Emerging Prudential Risks

US Fed Refuses Application by Crypto-focused Custodia Bank

31/01/2023

The Fed Board considers that Custodia’s business model and proposed focus on crypto-assets presented “significant safety and soundness risks”.

Market Abuse

Korea Probes Price Manipulation via Crypto Exchange Bithumb

31/01/2023

Bithumb offices were raided last week. The crypto exchange is not accused of misconduct, though it is under a separate probe for possible tax evasion.

Market Abuse

UPDATED – Citadel Securities Fined in Korea for ‘Disrupting Market Order’

31/01/2023

The case was the first in which the FSC imposed a penalty for market order disruptions as a result of high-frequency algorithmic trading.

Stablecoins

Moody’s is Developing a Scoring System for Stablecoins – Report

31/01/2023

The project, still in the early stages of development, will produce scores for up to 20 stablecoins based on reserve attestation quality.