8.17 AI Daily Report Crypto Assets Market Sees Major Turning Point: Bitcoin Breaks 120,000 USD

1. Headlines

1. The cryptocurrency market has reached a significant turning point: Bitcoin has broken through the $120,000 mark.

The price of Bitcoin has finally broken through the important psychological barrier of $120,000 after months of sluggishness. This breakthrough marks that the cryptocurrency market is emerging from a prolonged bear market phase and entering a new bull market cycle.

The strong rebound of Bitcoin is mainly driven by the following factors: First, the latest minutes from the Federal Reserve's monetary policy meeting indicate that inflation pressures are easing, bringing positive news to the cryptocurrency market; secondly, institutional investors are making large purchases of Bitcoin, showing confidence in its long-term prospects; moreover, Bitcoin's halving mechanism has also laid the foundation for its price increase.

Analysts believe that Bitcoin's breakthrough of the $120,000 mark will trigger a wave of new buying, attracting more retail investors to enter the market. Meanwhile, other cryptocurrencies will also follow Bitcoin's lead, and the entire market will enter a new upward cycle. However, experts also remind investors that the cryptocurrency market still carries significant volatility risks, and investments should be made with caution.

2. The Ethereum ecosystem is once again thriving: DeFi and NFT markets are regaining momentum.

With the recovery of the cryptocurrency market, the Ethereum ecosystem has also shown a strong rebound trend. The DeFi( decentralized finance) and NFT( non-fungible tokens) markets on the Ethereum network have recently seen active trading, with significant increases in trading volume and user numbers.

Data shows that the total locked value of DeFi on the Ethereum network increased by over 20% in the past week, breaking the $50 billion mark. Among them, the number of users and trading volume of popular DeFi applications such as liquidity mining and lending platforms have seen a significant rise. At the same time, the transaction volume in the Ethereum NFT market is also continuously climbing, with the floor prices of leading projects rising steadily.

Analysts point out that the activity level of the Ethereum ecosystem directly reflects a recovery in investor confidence in the cryptocurrency market. The development of emerging applications such as DeFi and NFTs will further promote the growth of the Ethereum network, attracting more funds and users. However, experts also remind investors that the DeFi and NFT markets have a high degree of speculation, and investments should be approached with extra caution.

3. U.S. regulators intensify scrutiny on cryptocurrency regulation

As the cryptocurrency market continues to heat up, U.S. regulators are also increasing their oversight in the sector, aiming to maintain market order and protect investors' interests.

The U.S. Securities and Exchange Commission ( SEC ) has recently launched investigations into several cryptocurrency exchanges and projects, focusing on whether there are violations such as illegal issuance of securities. At the same time, the U.S. Commodity Futures Trading Commission ( CFTC ) is also strengthening its regulation of the cryptocurrency derivatives market.

In addition, the U.S. Treasury Department is also developing stricter anti-money laundering regulations, requiring cryptocurrency exchanges and wallet providers to strengthen customer identification and transaction record retention. Analysts believe that enhanced regulation will be beneficial for the long-term healthy development of the entire cryptocurrency market, but it may also cause some short-term impact on the market.

4. China's cryptocurrency regulatory policies are tightening, and the industry's development prospects are receiving significant attention.

Recently, Chinese regulatory authorities have implemented a series of stringent regulatory measures on cryptocurrencies, attracting widespread attention both within and outside the industry.

The People's Bank of China and other departments reiterated that cryptocurrency is considered illegal trading activity in China, and any institution or individual is prohibited from engaging in related business. At the same time, several large internet companies and financial institutions have also been ordered to stop providing any form of services for cryptocurrency trading.

Analysts believe that China's strict regulatory policies will have a heavy impact on the development of the domestic cryptocurrency industry. However, there are also views that this may drive the cryptocurrency industry to shift to overseas markets, promoting globalization. Meanwhile, China's development in blockchain and other related technology fields will continue to maintain a leading position.

5. The emerging cryptocurrency project Metaverse has attracted market attention.

Recently, a new cryptocurrency project called Metaverse has attracted widespread attention in the market. The Metaverse project aims to create a virtual reality world based on blockchain technology, allowing users to engage in socializing, gaming, trading, and other activities.

The token META of the Metaverse project experienced a several-fold surge in price just a few weeks after its launch, attracting the attention of a large number of investors. Analysts believe that the concept of the Metaverse project has an enticing outlook, representing the potential applications of blockchain technology in the field of virtual reality.

However, some experts have raised doubts about the sustainability of Metaverse projects, arguing that their business models are still immature and carry high speculative risks. Overall, the development of Metaverse projects is receiving significant market attention, and their future direction may have a certain impact on the entire cryptocurrency market.

2. Industry News

1. Bitcoin breaks through the $118,000 mark, investor sentiment is optimistic.

The price of Bitcoin has risen above $118,000 in the past 24 hours, regaining a foothold above a key psychological price level. This increase is mainly driven by investors' optimistic sentiment regarding expectations of interest rate cuts by the Federal Reserve. Analysts believe that if the Federal Reserve continues to ease monetary policy, risk assets like Bitcoin will benefit. However, some investors remain cautious about whether Bitcoin can break its historical high within the year, concerned that a global economic slowdown and geopolitical tensions may suppress the cryptocurrency market.

Exchange data shows that the trading volume and the number of open contracts for Bitcoin have both increased, reflecting a stronger willingness of investors to enter the market. However, analysts warn that Bitcoin's price may face selling pressure near important resistance levels. If it cannot break through effectively, Bitcoin may oscillate within the current range for a period of time.

2. Ethereum price surged over 10% in the short term, but the long-term outlook is uncertain.

The price of Ethereum has surged over 10% in the past 24 hours, nearly approaching the $2000 mark. The main reason driving this increase is the rise in investor sentiment fueled by some popular projects within the Ethereum ecosystem. However, analysts point out that Ethereum's short-term gains may be hard to sustain due to several long-term challenges it faces.

First, the scalability issues of Ethereum remain fundamentally unresolved, with high transaction fees and network congestion potentially hindering its application in areas such as decentralized finance. Secondly, the number of competitors to Ethereum is continually increasing, with some emerging public chains potentially surpassing Ethereum in terms of performance and innovation. Finally, Ethereum's monetary policy is also being questioned, as its high inflation rate may impact long-term value storage.

Nonetheless, Ethereum's leading position in the smart contract and DApp space still makes it favored by investors. Analysts believe that whether Ethereum can maintain its competitive advantage will determine its long-term price trend.

3. The Solana ecosystem continues to heat up, with trading volume hitting new highs.

The Solana ecosystem has performed impressively in the past 24 hours, with Solana's price rising by over 5%. More notably, the trading volume and user activity of popular projects within the Solana ecosystem have both reached new highs.

Analysts believe that the continued warming of the Solana ecosystem is mainly due to its excellent performance and low transaction fees. Compared to established public chains like Ethereum, Solana has significant advantages in transaction speed and scalability, which has attracted an increasing number of DeFi, NFT, and GameFi projects.

However, the development of the Solana ecosystem also faces some challenges. First, its degree of decentralization is questioned, posing potential security risks. Secondly, the Solana ecosystem lacks sufficient developer support and application scenarios. Finally, Solana faces fierce competition from other emerging public chains.

Overall, the future prospects of the Solana ecosystem remain to be seen. If it can continue to attract quality projects and users, and address issues such as security and decentralization, Solana could become another important public chain outside of Ethereum.

4. Regulatory agencies strengthen scrutiny of cryptocurrencies, the industry faces new challenges.

Recently, multiple regulatory agencies have implemented stricter regulatory measures on the cryptocurrency market, which may pose new challenges for the industry's development.

Firstly, the Basel Committee on Banking Supervision has issued new capital regulations, categorizing major cryptocurrencies as high-risk assets and requiring banks to implement higher capital requirements for their cryptocurrency holdings. This may restrict banks and institutional investors from entering the cryptocurrency market.

Secondly, the Hong Kong Securities and Futures Commission has proposed stricter regulations for cryptocurrency exchanges and custodians, including raising asset custody standards and strengthening anti-money laundering compliance requirements. This may increase the operational costs and compliance pressures for cryptocurrency businesses.

Third, the U.S. Treasury is considering directly verifying user identities in DeFi smart contracts to combat illegal financing activities. This could impact the decentralization and privacy of the DeFi ecosystem.

Analysts point out that increasingly strict regulation is an inevitable path for the development of the cryptocurrency market, but excessive regulation may also stifle innovation. The industry needs to maintain a positive interaction with regulatory agencies to seek a balance between compliance and innovation.

5. Altcoins and Meme coins have once again attracted market attention.

In the past week, some altcoins and meme coins have experienced significant price fluctuations, once again attracting widespread attention from the market.

First, Shiba Inu Coin ( SHIB ) and Dogecoin ( DOGE ), two well-known Meme coins, have surged over 20% and 10% respectively in a short period, primarily driven by the favor of some institutional investors. Analysts believe that the rise of these Meme coins is mainly speculative in nature and lacks support from actual use, thus carrying a high investment risk.

At the same time, some emerging altcoin projects have also attracted a significant influx of funds. For example, the prices of coins like MoonBull, Just a Chill Guy, and Pudgy Penguins have risen several times in a short period. However, analysts warn that most of these emerging altcoins lack genuine user and ecosystem support, and are likely to be speculative bubbles.

Overall, the resurgence of altcoins and meme coins reflects investors' pursuit of high-risk, high-reward investments. However, it also exposes the speculative tendencies in the cryptocurrency market, which may increase systemic risks across the entire market.

6. The trading volume of cryptocurrency exchanges has declined, and user activity has decreased.

Despite a certain degree of increase in cryptocurrency prices, the trading volume and user activity on the exchange have continued to decline over the past period.

Data shows that the monthly active users of MetaMask have dropped from a peak of 30 million during the bull market to 1 million, a decrease of as much as 96%. In addition, the daily trading volume of Up exchange has also fallen to a low of 1.468 billion dollars, with the trading volume of major trading pairs showing varying degrees of decline.

Analysts believe that the decline in trading volume and user activity is mainly due to the following reasons: first, the prolonged bear market in the cryptocurrency market has led to insufficient willingness for investors to enter; second, there has been a lack of killer applications that lead the market in recent times; finally, increasingly strict regulations have also dampened investors' enthusiasm to some extent.

Trading volume and user activity are important indicators of the vitality of the cryptocurrency market. If this trend cannot be reversed, it may further dampen market sentiment and exacerbate the bear market. Therefore, the industry needs to continuously introduce innovative applications to attract more users and capital, thereby revitalizing market vitality.

7. The airdrop frenzy has raised market skepticism, and the scale of real users is under scrutiny.

Recently, a large number of airdrops and liquidity mining activities in the Ethereum ecosystem have triggered widespread skepticism in the market. Third-party research indicates that after the airdrop activities conclude, the user attrition rate can be as high as 80%.

Taking Friendtech as an example, this was a project that was once highly regarded in the market, but after the token issuance, due to a lack of ongoing price maintenance, the vast majority of users ultimately chose to abandon it. A similar situation occurred in the Restaking sector, where after the airdrop ended, the TVL significantly diminished or was transferred to new protocols.

Analysts point out that the real user base brought by airdrops and incentive activities is very limited, with most participants simply there to acquire tokens. Once the token price drops or the incentives end, they will quickly exit. Although this customer acquisition method can attract a large number of users in the short term, it is difficult to retain genuine users, and it does not significantly aid in the long-term development of the project.

Therefore, analysts are calling for the industry to re-examine the utility design and unlocking mechanisms of tokens, avoiding excessive reliance on methods such as airdrops for customer acquisition. Only by truly creating value for users can we attract and retain real users, promoting the sustainable development of the ecosystem.

8. Analysts are optimistic about XRP's long-term prospects, focusing on applications in the payment sector.

Despite recent fluctuations in the price of XRP, analysts remain optimistic about its long-term prospects, mainly based on XRP's application potential in the payment sector.

On one hand, XRP, as an efficient cross-border payment tool, is gradually expanding its application in traditional financial institutions. Its low fees and high settlement speed can significantly reduce the cost and time of cross-border payments. With the clarification of the regulatory environment, XRP is expected to gain recognition in more countries and regions.

On the other hand, XRP is also expected to play a role in the emerging field of crypto payments. For example, countries like the UAE are promoting the use of cryptocurrencies in areas such as tourism, and XRP could become one of the main payment tools.

However, analysts also point out that there are still some uncertainties regarding regulation for XRP, and the issue of its classification as a security needs to be further clarified. In addition, more investment is needed in the ecological development of XRP to enhance its competitiveness in the payment sector.

Overall, the long-term prospects of XRP are worth paying attention to, but it is also necessary to closely monitor regulations and developments.

3. Project News

1. Chainbase: Building efficient data infrastructure for Web3.

Chainbase is a decentralized data infrastructure platform designed to provide efficient and reliable data access for Web3 applications. The project was founded by former Coinbase engineers and completed several million dollars in funding by the end of 2022.

Chainbase provides developers with a simple and high-performance way to access blockchain data by building a distributed data network. Compared to traditional node infrastructure, Chainbase's data network offers higher availability, lower latency, and better scalability. This enables developers to more easily build high-performance Web3 applications.

Latest Update: Chainbase recently launched its mainnet and introduced a new token $C for paying data access fees. The project has also established partnerships with several ecosystems, including Polygon, Arrum, and Optimism. These partnerships will enable Chainbase to provide data support for more Web3 applications.

Market Impact: Chainbase provides an efficient data infrastructure for Web3 applications, which helps drive the development of the entire Web3 ecosystem. As more applications adopt Chainbase, developers will be able to build high-performance decentralized applications more easily, thereby attracting more users into the Web3 world.

Industry Feedback: Chainbase has received support from well-known venture capital firms such as Polychain Capital and y Capital. Analysts believe that Chainbase provides a critical infrastructure layer for Web3 applications, helping to address data access issues in the current ecosystem.

2. Succinct Labs: Simplified Zero-Knowledge Proofs, Promoting the Popularization of ZK Technology

Succinct Labs is a startup focused on zero-knowledge proof (ZK) technology, aiming to turn this complex cryptographic technology into an easy-to-use underlying infrastructure. The company was founded by PhD students from Stanford University and recently completed a multi-million dollar seed round of financing.

Zero-knowledge proof technology is considered one of the key solutions for privacy and scalability in blockchain. However, due to its complexity, currently only a few experts are able to fully leverage this technology. Succinct Labs aims to make this technology more accessible by building user-friendly ZK infrastructure.

Latest Update: Succinct Labs has recently launched its first product Zectra, which is a development framework for building ZK applications. The framework provides a range of tools and libraries that enable developers to more easily integrate ZK technology. Zectra has been deployed in multiple ecosystems, including Ethereum, Polygon, and Arrum.

Market Impact: As privacy and scalability increasingly become key requirements for blockchain applications, ZK technology will play an increasingly important role. Succinct Labs helps drive the adoption of this technology by lowering the barriers to using ZK technology, thereby promoting the development of the entire Web3 ecosystem.

Industry Feedback: Succinct Labs has received support from well-known institutions such as Andreessen Horowitz and Polychain Capital. Analysts believe that the company has made significant contributions to the popularization of ZK technology, helping to drive innovation in this field.

3. Sui: The potential new star in the emerging Move ecosystem

Sui is an emerging blockchain built on the Move language, founded by former Meta( Facebook) engineers. The project completed hundreds of millions of dollars in financing at the end of 2022 and launched its mainnet in 2023.

The Move language was originally designed for Meta's Diem( project, formerly known as Libra), with the aim of providing a secure and efficient smart contract language. With the cessation of the Diem project, the Move language has begun to gain attention in other blockchain projects, such as Aptos and Sui.

Latest updates: Sui recently launched its mainnet and released a new token, SUI. The project also announced a partnership with Grayscale Trust to launch stablecoins such as USDC on Sui. Additionally, Sui has collaborated with several gaming companies to launch gaming applications on its chain.

Market Impact: As an emerging Move ecosystem, Sui is expected to become an important player in this field. With more applications and assets launching on Sui, the project will attract more users and developers, driving the development of the entire Move ecosystem.

Industry feedback: Sui has received support from well-known institutions such as Andreessen Horowitz and Jump Crypto. Analysts believe that Sui has outstanding technical strength and is expected to secure a place in the Move ecosystem. However, some analysts are concerned that competition in the Move ecosystem will become increasingly fierce.

4. Lido: The DeFi Leader in the Ethereum Ecosystem

Lido is one of the largest DeFi protocols in the Ethereum ecosystem, focusing on providing decentralized staking services. The protocol was launched in 2020 and has since become the largest staking provider for Ethereum.

Lido allows users to earn stETH tokens by staking ETH, thereby obtaining corresponding staking rewards. Compared to traditional staking services, Lido offers higher liquidity and lower barriers to entry, enabling ordinary users to participate in staking.

Latest Update: Lido recently announced that its total staked value ( TVL ) has surpassed 4 billion USD. The protocol has also introduced a new governance proposal aimed at supporting its value through the buyback of stETH. In addition, Lido is exploring the expansion of its services to other blockchain ecosystems.

Market Impact: As a leader in the Ethereum ecosystem, Lido's development has a significant impact on the entire DeFi space. With more and more users joining Lido, this will further promote the development of the Ethereum ecosystem and provide a reference for other blockchains.

Industry feedback: Lido has received support from institutions such as Andreessen Horowitz and Polychain Capital. Analysts believe that Lido provides critical infrastructure for the Ethereum ecosystem, contributing to the development of DeFi. However, some analysts are concerned that Lido's monopolistic position may pose risks.

5. Arweave: New Developments in Permanent Storage Blockchain

Arweave is a blockchain project focused on permanent data storage, aimed at providing a reliable and permanent data storage solution for Web3 applications. The project was launched in 2018 and recently completed a round of financing amounting to tens of millions of dollars.

Unlike traditional blockchains, Arweave adopts an innovative "permanence" design that ensures the data stored on it can never be deleted or modified. This provides a secure and reliable data storage method for Web3 applications, helping to ensure the integrity and accessibility of the data.

Latest update: Arweave recently launched its mainnet upgrade, introducing several new features and performance optimizations. The project has also partnered with multiple Web3 companies to provide permanent storage support for their applications. Additionally, Arweave has introduced a new token AR for paying storage fees.

Market Impact: As Web3 applications continue to evolve, data storage will become an increasingly important need. Arweave provides an innovative storage solution for these applications, contributing to the development of the entire Web3 ecosystem.

Industry Feedback: Arweave has received support from institutions such as Union Square Ventures and Andreessen Horowitz. Analysts believe that Arweave offers a unique storage solution for Web3 applications, helping to address data storage issues within the current ecosystem. However, some analysts also express concerns that Arweave's storage costs may be relatively high.

6. Aptos: A heavyweight player in the emerging Move ecosystem

Aptos is an emerging blockchain built on the Move language, founded by members of the Diem team from the former Meta( Facebook). The project completed hundreds of millions of dollars in financing at the end of 2022 and launched its mainnet in 2023.

Similar to Sui, Aptos is also a part of the Move ecosystem. The Move language was originally designed for Meta's Diem project, aimed at providing a secure and efficient smart contract language. With the discontinuation of the Diem project, the Move language has started to gain attention in other blockchain projects.

Latest Update: Aptos recently launched its mainnet and released a new token APT. The project also announced collaborations with several institutions to launch DeFi applications and an NFT marketplace on Aptos. In addition, Aptos has attracted a large number of developers who are building various applications.

Market Impact: As a heavyweight player in the Move ecosystem, Aptos is expected to become one of the leaders in this field. With more applications and assets launching on Aptos, the project will attract more users and developers, driving the development of the entire Move ecosystem.

Industry Feedback: Aptos has received support from well-known institutions such as Andreessen Horowitz and FTX. Analysts believe that Aptos has excellent technical strength and a strong team, and is expected to occupy an important position in the Move ecosystem. However, some analysts are also concerned that competition within the Move ecosystem will become increasingly fierce.

7. Hyperliquid: The Emerging Force in DeFi

Hyperliquid is an emerging DeFi protocol aimed at providing high liquidity for cryptocurrency trading. The project was founded by former Coinbase and Uniswap engineers and has recently completed tens of millions of dollars in funding.

Traditional cryptocurrency exchanges often face liquidity issues, leading to significant price fluctuations. Hyperliquid aims to provide users with a smoother trading experience through an innovative liquidity mining mechanism and pricing algorithm.

4. Economic Dynamics

1. The Federal Reserve meeting minutes release hawkish signals, inflation pressures continue.

Economic Background: The U.S. economy maintained moderate growth in the first half of 2025, but inflationary pressures remained high. The annualized GDP growth rate in the second quarter was 2.4%, slightly below expectations. The core inflation rate reached a high of 5.6% in June, far exceeding the Federal Reserve's target of 2%. The unemployment rate hovered around 3.5%, and the job market remained tight.

Important event: The Federal Reserve released the minutes of the July monetary policy meeting on August 17. The minutes show that most officials believe inflation pressures remain "too high" and that further rate hikes are needed to achieve the 2% inflation target. Some officials even advocated for a larger rate hike at the next meeting. This sends a hawkish signal, suggesting a significant rate hike of 75 basis points may occur in September.

Market reaction: U.S. stocks briefly fell after the release of the minutes, with the S&P 500 index declining by as much as 0.8%. The dollar index slightly rose, reflecting an increase in market expectations for interest rate hikes. The bond yield curve further inverted, with the difference between the 10-year and 2-year Treasury yields widening to negative 24 basis points, which is seen as a signal of economic recession.

Expert Opinion: Goldman Sachs Chief Economist Jan Hatzius stated that the Federal Reserve is still struggling to control inflation, but overly aggressive rate hikes could lead to an economic hard landing. He expects the Fed to raise rates by about 100 basis points for the remainder of this year, and may pause rate hikes next year. Citigroup, on the other hand, believes that the decline in inflation will be a long process, expecting it to fall to around 3% by the end of 2024.

2. The European energy crisis deepens, and the risk of economic recession increases

Economic Background: The Eurozone economy stagnated in the first half of 2025, with a year-on-year GDP growth of only 0.1% in the second quarter. The inflation rate surged to a new high of 9.8% in July, primarily due to soaring energy prices. The unemployment rate is around 6.6%, and the job market is relatively stable.

Important event: Russia announced last Friday that it would stop supplying natural gas to Europe for 3 days starting from August 27. This is the latest countermeasure from Russia against Western sanctions, which will further exacerbate Europe's energy crisis. German Economic Minister Habeck warned that if Russia completely cuts off gas supplies, Germany will face a "widespread, long-term economic recession."

Market reaction: European stock markets fell sharply after Russia announced a gas supply disruption, with the German DAX index dropping by 2.7%. The euro to US dollar exchange rate briefly fell below the 0.99 mark, hitting a 20-year low. Investor pessimism regarding the European economic outlook has intensified.

Expert Opinion: Peter Hooper, Chief Economist at Deutsche Bank, stated that if Russia completely cuts off natural gas supplies, Germany's GDP could shrink by more than 5%, plunging into a deep recession. He urged European governments to take emergency measures to limit energy consumption and provide financial support to businesses. Goldman Sachs, on the other hand, expects the Eurozone economy to enter a mild recession in 2023.

3. The economic data in China is improving, and the policy support is increasing.

Economic Background: In the first half of 2025, the Chinese economy was affected by the pandemic and real estate regulations, with GDP growth year-on-year of only 3.2%, below the annual target of 5.5%. However, key economic indicators in July showed signs of recovery, with industrial production, investment, and consumption data all better than expected, indicating that the economy is gradually recovering.

Important Events: The Chinese government has recently introduced a series of new policies and measures to support the economy. These include increasing infrastructure investment, launching car consumption subsidies, and relaxing restrictions on the real estate industry. The People's Bank of China also unexpectedly lowered the medium-term lending facility rate on August 15, signaling a shift towards a more accommodative monetary policy.

Market Reaction: The A-share market rebounded under the stimulus of favorable policies, with the Shanghai Composite Index rising 2.3% on a weekly basis. The RMB exchange rate strengthened in August, with the exchange rate against the US dollar briefly breaking the 6.7 mark. The bond market's expectations for the economic outlook have improved.

Expert Opinion: Chen Yunliang, Chief Economist of CICC, believes that the Chinese economy is at a critical stage of stabilization and recovery. The government will continue to increase policy support, and it is expected that the GDP growth rate for the whole year will reach around 5%. Goldman Sachs, on the other hand, expects the Chinese economy to begin accelerating recovery in the second half of 2023, with next year's GDP growth rate possibly reaching 6%.

5. Regulation & Policy

1. Thailand launches the "TouristDigiPay" program, supporting foreign tourists to use cryptocurrency for payments.

The Thai government will launch the "TouristDigiPay" program next week, allowing foreign tourists to exchange cryptocurrency for Thai baht for electronic payments within a regulatory sandbox framework. This move aims to boost the recovery of the tourism industry affected by the pandemic.

According to the plan, foreign tourists must open accounts with digital asset companies and electronic money providers regulated by the U.S. Securities and Exchange Commission and the Bank of Thailand. The plan operates within a regulatory sandbox to ensure oversight and prevent the direct use of digital assets as a means of payment. Only foreign tourists temporarily staying in Thailand can use this service. Participants must complete "KYC" and customer due diligence according to the standards of Thailand's Anti-Money Laundering Office.

The plan reflects the Thai government's open attitude towards cryptocurrency regulation. The tourism industry is an important pillar of the Thai economy, and this move is expected to attract more cryptocurrency holders to travel, injecting vitality into the local economy. However, industry insiders point out that the operating model of the regulatory sandbox may limit the scale and impact of the plan.

The Secretary-General of the Securities and Exchange Commission of Thailand, Ruenvadee Suwanmongkol, stated: "We hope to attract more foreign tourists through this program, while ensuring compliance and security in the use of cryptocurrencies." She added that if the program is successful, it may be further expanded in the future.

2. Henan Provincial People's Congress: It is temporarily inappropriate for local authorities to legislate on the disposal of virtual currency.

The Henan Provincial People's Congress recently published the report on the review results of the "Draft Regulations on the Management of Case-Related Property in Henan Province ( )", stating its position on the disposal of virtual currencies, believing that local legislation should not make provisions.

The report points out that virtual currencies have property attributes and belong to the property involved in the case, which has basically formed a consensus in judicial practice. However, virtual currency trading is completely banned in our country, and there are no legal trading platforms. How to dispose of virtual currencies is still being explored in various places. Currently, the Ministry of Public Security is studying and formulating relevant regulations on virtual currencies, and the management of this new type of property involved in the case is more suitable to be uniformly regulated at the national level.

The report sends a policy signal regarding how to handle the virtual currencies seized during case handling. Henan Province believes that local legislative regulations are inappropriate. This reflects the cautious attitude of regulatory authorities towards virtual currencies, hoping to unify standards at the national level.

Industry insiders analyze that the legal status of virtual currencies has always existed in a gray area, lacking clear regulatory policies. There are differences in the identification and handling of virtual currencies in different regions, which can easily lead to difficulties in law enforcement. From the perspective of maintaining financial security and social stability, a unified national-level policy is indeed more reasonable.

However, there are also opinions that believe if national policies have not been issued, allowing local governments to fully permit the circulation and use of virtual currencies also poses certain risks. It is hoped that the top-level design at the national level can quickly clarify the legal status and regulatory requirements of virtual currencies.

3. The Hong Kong Securities and Futures Commission has issued stricter regulations on virtual asset custody.

The Hong Kong Securities and Futures Commission ( has recently implemented stricter custody regulations for virtual asset trading platforms, raised compliance standards, and has had a certain impact on the market.

The new regulations require virtual asset trading platforms to store more than 90% of virtual assets with approved independent custodians and submit balance sheets to the securities regulatory commission every month. In addition, platforms must undergo independent audits annually to ensure asset security.

The Securities and Futures Commission stated that the new regulations aim to enhance the protection of investors' assets and improve the transparency and accountability of platforms. This is an important measure taken by Hong Kong regulators to promote the healthy development of the virtual asset industry.

Industry insiders point out that although these policies are aimed at protecting user assets, they pose challenges for smaller exchanges, which may lead to market consolidation. Some smaller exchanges may be unable to bear the compliance costs and may only choose to exit the Hong Kong market.

The chairman of the Hong Kong Cryptocurrency Exchange Association, Chen Shouren, stated that the association understands the starting point of the Securities and Futures Commission, but also calls for a buffer period for the industry during the implementation process to avoid excessive impact. He said: "We need to seek a balance between investor protection and industry development."

Some analysts believe that Hong Kong's move reflects the regulatory body's cautious attitude towards the cryptocurrency market, and that it may further tighten related policies in the future. Investors need to closely monitor regulatory trends and assess potential impacts.

Overall, the new regulations from the Hong Kong Securities and Futures Commission impose higher compliance requirements on virtual asset trading platforms, which may accelerate the reshuffling of the industry, but also help enhance market transparency and investor confidence.