Weekly Report: Bermuda's Mainnet Economy, Thailand's Crypto ETF, and Russia's Ban on WhiteBIT

Source: CritpoTendencia Original Title: Crypto Summary: From Bermuda's Historic Milestone to WhiteBIT Ban in Russia Original Link:

Market Dynamics Overview

In a non-stop market, continuous updates are not a luxury but a competitive advantage. This week delivered a clear signal that an ecosystem is advancing in multiple directions simultaneously: some countries are tightening regulatory boundaries, other economies are adopting on-chain infrastructure at the national level, and traditional banking is beginning to break down barriers that seemed unbreakable for years.

Staying informed is the only way to understand why a move in Southeast Asia or a policy in a small Atlantic island could signal profound changes in the global industry. Here are six landmark events from this week:

• Thailand Securities and Exchange Commission approves first spot cryptocurrency ETFs
• UBS prepares crypto asset-sensitive permissions for high-net-worth clients
• Bermuda becomes the world's first 100% crypto-based economy
• A leading exchange founder states no one uses crypto for payments
• Merkle Manufactory refunds investors $180 million after Farcaster sale
• Russia declares WhiteBIT exchange an "unwanted" organization

Thailand Securities and Exchange Commission Approves First Spot Cryptocurrency ETFs

The Thailand Securities and Exchange Commission is preparing to launch cryptocurrency spot ETFs under a new market-making system designed to ensure liquidity and stability on the Thai Stock Exchange.

According to the regulator, the commission is finalizing operational rules for these products, expected to be launched early this year. The core of the plan is to authorize multiple entities—including digital asset exchanges, financial institutions, and large corporations—to act as market makers.

"To ensure sufficient liquidity, the commission is considering establishing a broad network of market makers," explained the agency's deputy secretary-general. Entities already holding cryptocurrencies on their balance sheets could also assume this role, narrowing the gap between crypto markets and traditional regulated stock exchanges.

UBS Prepares Crypto Asset Permissions for High-Net-Worth Clients

UBS Group has made progress in designing crypto investment options targeted at select private banking clients, marking an important step for the wealth management firm in institutional digital asset adoption.

Reports indicate UBS is evaluating different technology partners to build its future crypto products. These discussions have been ongoing for months, though the bank has yet to make a final decision.

Sources say the proposal will initially allow certain high-net-worth clients in Switzerland to buy and sell Bitcoin and Ethereum. Subsequently, the product could expand to other regions such as Asia-Pacific and the United States.

Bermuda Becomes the World's First 100% Crypto-Based Economy

The Bermuda government announced a national initiative to integrate blockchain technology across all levels of its financial system, aiming to become the first fully on-chain economy globally.

The announcement was made during the World Economic Forum annual meeting in Davos, with support from a compliance platform and Circle, which will provide infrastructure, technical solutions, and operational support to realize this strategy.

The plan includes government agencies, banks, insurance companies, and SMEs adopting tokenized payment systems and digital assets. Additionally, partners will promote educational programs to help the local population embrace this new financial paradigm.

A Leading Exchange Founder States No One Uses Crypto for Payments

A founder and former CEO of a leading exchange stated at Davos that despite over a decade of effort, crypto payments have not achieved mass adoption.

The founder reflected on the current state of the sector and admitted that even with years of promoting Bitcoin as a payment method, its everyday use remains marginal.

"Crypto payments are something we've tried, but we haven't conquered it. We've tried, but no one uses them widely," he said.

He added that this pattern is common in innovation processes: most experiments fail, but a few successful cases eventually have disproportionate impacts.

Merkle Manufactory Refunds $180 Million After Farcaster Sale

Merkle Manufactory, the organization behind the Farcaster Web3 social network protocol, announced that after selling the platform to infrastructure provider Neynar, it will refund investors $180 million.

Farcaster co-founder clarified that the deal will continue to operate normally after the acquisition. "Regarding Merkle, we plan to return all $180 million raised to investors," he stated.

Russia Declares WhiteBIT an "Unwanted" Organization

Russia's Prosecutor General's Office announced that WhiteBIT exchange is an "unwanted organization" in the country. According to the agency, the platform "was used to transfer funds abroad and facilitate various illegal activities."

The decision is also related to the exchange's support for Ukraine following Russia's invasion. Prosecutors claim that "in 2022, WhiteBIT's management transferred approximately $11 million," including "$900,000 used to purchase drone systems for the Ukrainian armed forces." Additionally, prosecutors noted that WhiteBIT maintains cooperation with the Ukrainian Ministry of Foreign Affairs.

As Eric Schmidt said: "Bitcoin is an extraordinary cryptographic achievement, but the ability to create something in the digital world that is non-reproducible has enormous value."