5.3 AI Daily The encryption industry regulation is tightening, and institutions are getting on board faster.

1. Headlines

1. The European Union will fully ban anonymous cryptocurrency accounts and privacy coin transactions starting in 2027.

The EU has officially passed the Anti-Money Laundering Regulation ( AMLR ), which will prohibit all financial institutions from providing anonymous crypto accounts or wallets with crypto service providers starting from July 1, 2027, and will completely ban privacy coins ( such as Monero, Zcash, and Dash ) transactions. The new regulations also require mandatory identity verification for crypto transactions exceeding 1000 euros and establish a new regulatory agency, AMLA, to directly supervise large crypto platforms.

This measure aims to combat money laundering and the financing of terrorism. Cryptocurrency has long been viewed as a safe haven for money launderers and criminals due to its decentralized and anonymous nature. The new regulations will strengthen the oversight of crypto assets, increase transparency, and curb their misuse for illegal activities.

However, the regulation has also sparked controversy over privacy rights and the freedom of innovation. Supporters of privacy coins argue that anonymous transactions reflect personal financial privacy, and the ban will undermine the core principles of cryptocurrency. Industry insiders are concerned that excessive regulation will hinder the innovative development of the crypto industry.

Overall, the new regulations reflect the regulatory authorities' emphasis on the risks of cryptocurrencies, aiming to balance innovation and compliance. Their impact will gradually become apparent in the coming years, leading the crypto industry towards compliance and transparency.

2. Vitalik published a proposal to simplify Ethereum L1, aiming for protocol simplicity to approach that of Bitcoin within five years.

Ethereum co-founder Vitalik Buterin published a blog post, proposing that Ethereum's goal is to become a "world ledger", serving as a foundational layer for storing civilizational assets and records. To achieve this goal, Ethereum needs scalability and resilience. The article focuses on a key aspect of resilience: the simplicity of the protocol.

Vitalik believes that the Bitcoin protocol design is extremely simple and elegant, which helps it become a trusted, neutral, and globally trusted infrastructure layer. In contrast, the complexity of Ethereum is increasing. He suggests that over the next five years, through a series of reforms, the critical code related to consensus in Ethereum should be brought as close to the simplicity of Bitcoin as possible.

Specific measures include: simplifying the consensus layer, utilizing the experience gained over the past decade in consensus theory and ZK-SNARK, to create a long-term optimal consensus layer for Ethereum; simplifying the execution layer, suggesting replacing the EVM with RISC-V or other virtual machines that can be programmed as Ethereum ZK provers.

Vitalik also suggested that in design decisions, priority should be given to solutions with clear verifiable properties and guarantees, favoring "encapsulated complexity" over "systemic complexity".

This proposal aims to enhance the security, reliability, and maintainability of Ethereum, laying the foundation for it to become a true "world ledger". However, the path to reform will be fraught with challenges and will require the collective effort of the entire community.

3. Apple is collaborating with Anthropic to create an AI programming platform.

According to reports, Apple is collaborating with the AI startup Anthropic to develop a "vibe-coding" software platform. In this collaboration, Anthropic's Claude Sonnet model has been integrated into Apple's new version X.

This move indicates that Apple is no longer insisting on completely independent research and development of technology in the field of artificial intelligence, but is beginning to seek cooperation with external companies. Apple hopes to provide developers with a smarter and more efficient programming experience by integrating advanced AI models.

AI-assisted programming is viewed as a future development trend. Through natural language interaction, developers can directly describe their needs to the AI model, which generates or optimizes code, significantly improving development efficiency. The collaboration between Apple and Anthropic will bring this vision closer to reality.

However, the security and reliability of AI programming platforms remain a significant challenge. Issues such as the accuracy of code generation and privacy protection need to be addressed. As a tech giant, Apple's layout in this field will set a benchmark for the industry.

Industry insiders believe that Apple's involvement will further promote the integration of AI with traditional software development, driving a transformation in programming paradigms. In the future, we may see more innovative applications of human-machine collaboration, reshaping the entire software development process.

4. Markets attacker sentenced to 4 years for possessing inappropriate content involving children.

Markets attacker Avraham "Avi" Eisenberg was sentenced to over 4 years in prison by the Southern District of New York federal court for possessing inappropriate photos and videos involving children.

Court documents show that Eisenberg admitted to downloading nearly 1,300 related items between 2017 and 2022. These items were discovered when he was arrested for the Markets attack case.

In October 2022, Eisenberg exploited a price manipulation loophole, illegally profiting approximately $115 million from the Markets platform, which attracted widespread attention. He was subsequently charged with conspiracy, telecommunications fraud, and money laundering.

This case not only reveals the security risks of decentralized finance ( DeFi ) platforms but also highlights the severity of crypto crime. Some people see cryptocurrency as a tool to evade the law, but in fact, law enforcement agencies have the capability to track down and punish crypto criminals.

This ruling is seen as an important signal from the U.S. government in its crackdown on crypto crime. Experts say that the crypto sector needs to establish a stricter compliance system, enhance security, and win public trust. At the same time, relevant laws and regulations must keep pace with industry developments.

5. The FTC accuses IYOVIA of defrauding over $1.2 billion through cryptocurrency investment training courses.

The Federal Trade Commission ( FTC ) filed a lawsuit against a company named IML on May 2 in Nevada, accusing it of defrauding approximately $1.2 billion since 2018 through false advertising of cryptocurrency, forex, binary options, and stock trading courses.

According to the lawsuit documents, IML falsely advertised investment returns while attracting consumers. In reality, the company knew that its salespeople were either losing money or earning very little, with only one in five able to make more than $500.

This case has once again raised questions about cryptocurrency investment training. For a long time, this field has been plagued by false advertising and exaggerated returns, leading many investors to fall victim to scams.

Industry insiders call for relevant institutions to strengthen regulatory efforts, crack down on false advertising, and protect investors' rights. At the same time, investors should also enhance their risk awareness and approach any investment products that promise high returns with caution.

In addition, the rationale for cryptocurrency investment training itself is also questioned. Some experts believe that the cryptocurrency market is highly uncertain, and any investment advice may become outdated and ineffective in a short period, rendering the actual value of training courses limited.

Overall, this case serves as a wake-up call, reminding investors to remain highly vigilant regarding cryptocurrency investments and to steer clear of any false advertising and illegal activities.

2. Industry Data

1. Bitcoin (BTC)

Recent trading price 96380.7000 USD, intraday increase +1.3999%.

2. Ethereum (ETH)

Recently traded price 1814.8400 USD, daily increase +0.2000%.

3. Solana (SOL)

Recent transaction price 148.5200 USD, intraday decline -0.9000%.

4. Sui (SUI)

Recent transaction price is 3.4266 USD, with an intraday decline of -1.9000%.

5. GT (GT)

Recent transaction price is $21.7780, with a daily decline of -1.0000%.

3. Industry News

1. Bitcoin breaks through the $97,000 mark, with institutional buying continuing to push prices higher.

Bitcoin's price has risen by 0.35% in the past 24 hours, breaking through the key resistance level of $96,259.57. This increase has allowed Bitcoin to surpass an important technical milestone, indicating that new bullish momentum is forming. Bitcoin's market capitalization has reached $1.91 trillion, continuing to hold its position as the seventh largest asset in the world.

The main reason driving the rise of Bitcoin is the continued buying by institutional investors. It has been reported that the well-known hedge fund Blackstone purchased $678 million worth of Bitcoin in a single day, which is nearly 15 times the daily mining output of Bitcoin. Such aggressive accumulation indicates strong confidence among institutions in the long-term prospects of Bitcoin. Meanwhile, data shows that in the past 24 hours, there was a net outflow of 4,339.32 Bitcoins from exchanges, reflecting that funds are flowing to institutional investors.

Analysts believe that institutional demand, strong liquidity, and an increasingly active market are bringing Bitcoin closer to the psychological barrier of $100,000. However, the increase in short positions could trigger a squeeze, potentially pushing the price of Bitcoin above $100,000. Investors need to closely monitor Bitcoin's performance after breaking through key resistance levels to assess future market trends.

2. The EU will completely ban anonymous crypto accounts and privacy coin transactions starting in 2027.

The European Union has officially passed the Anti-Money Laundering Regulation ( AMLR ), which will prohibit all financial institutions from providing anonymous cryptocurrency accounts or wallets with cryptocurrency service providers starting from July 1, 2027, and fully ban privacy coins ( such as Monero, Zcash, and Dash ) transactions. The new rules also require mandatory identity verification for cryptocurrency transactions exceeding 1000 euros and establish a new regulatory body, AMLA, to directly oversee large cryptocurrency platforms.

This initiative aims to combat money laundering and terrorist financing activities, but it has also sparked controversy over privacy rights and the decentralized nature of cryptocurrencies. Supporters argue that it helps strengthen regulation and improve transparency, while critics are concerned that it will infringe on personal privacy rights and go against the original intent of cryptocurrencies.

Analysts point out that this move may lead to the loss of privacy coins and decentralized exchanges from the EU market, and it may also encourage innovators to develop new anonymous encryption technologies to circumvent regulations. Investors need to closely monitor the impact of this new regulation on the crypto market, especially the future development prospects of privacy coins.

3. The Solana ecosystem continues to heat up, and the price of SOL is expected to break through the $500 mark.

The Solana ecosystem continues to heat up, and the price of SOL coins may be preparing for a significant breakthrough, similar to Bitcoin's past trends. Analysts believe that the price of SOL could surge to $500, presenting a 237% profit opportunity.

The main factors driving the rise in SOL prices include the continuous growth of Solana ecosystem projects, low transaction fees, and high throughput advantages. In addition, Bloomberg analysts Eric Balchunas and James Seyffart have suggested that the approval of a spot SOL ETF is imminent, which has further boosted market sentiment.

However, the Solana ecosystem also faces some challenges, such as network congestion and centralization concerns. Investors need to keep an eye on Solana's progress in scaling and decentralization to assess its long-term prospects.

Overall, the cryptocurrency market is experiencing a new bull market cycle, with major public chain ecosystems competing to develop. As an emerging high-performance public chain, Solana's development prospects are worth investors' continued attention.

4. Project News

1. Vitalik proposed to simplify the Ethereum L1 protocol, aiming to enhance the protocol's simplicity to nearly the level of Bitcoin within five years.

Ethereum co-founder Vitalik Buterin recently published a blog post proposing an important suggestion – to enhance the simplicity of the Ethereum L1 protocol to nearly the level of Bitcoin within the next five years. This proposal aims to strengthen Ethereum's resilience and scalability, laying the foundation for it to become the "world ledger".

Vitalik pointed out that the simplicity and elegance of Bitcoin's protocol design is one of its greatest advantages, helping it to become a trusted, neutral, and globally trusted infrastructure layer. However, Ethereum has not done enough in this regard. He suggested two important measures: first, to simplify the consensus layer by creating a new consensus layer that is more streamlined than the existing beacon chain; second, to simplify the execution layer by replacing the increasingly complex EVM with a simpler virtual machine.

This proposal reflects the Ethereum community's high regard for protocol simplicity. Simplicity not only helps improve efficiency and security but also contributes to Ethereum becoming a trustworthy infrastructure. Vitalik calls on the Ethereum development team to learn from the tinygrad project and set a "maximum line of code goal" for technical specifications, ensuring that key code related to consensus is as close as possible to Bitcoin's level of simplicity.

Industry insiders have welcomed this proposal. Renowned analysts have stated that it will help Ethereum maintain its advantage in competition with other blockchain projects. However, there are also concerns that excessive simplification could affect Ethereum's functionality and flexibility. Overall, this proposal aims to balance Ethereum's simplicity and functionality, laying the foundation for its long-term development.

2. Claynosaurz announced a partnership with Sui to jointly promote the development of the We entertainment industry.

The animation and entertainment brand Claynosaurz recently announced a partnership with Sui, and both parties will jointly explore the future development of the We entertainment industry. This collaboration will promote innovation in on-chain animation and interactive experiences, bringing a new entertainment experience to mainstream users.

Claynosaurz aims to integrate shows, mobile games, social media brands, NFT collections, and toy companies into a consumer-friendly experience. Blockchain, smart contracts, and digital asset tokenization technologies make this goal possible. However, to compete with traditional entertainment giants, Claynosaurz needs to ensure that its products are flawless and provide users with a frictionless experience.

Sui, as a public-facing Layer 1 blockchain, has unique advantages in scalability and security. Collaborating with Sui will help Claynosaurz overcome the technical challenges faced by We's entertainment products, providing a seamless experience for mainstream users.

Analysts believe that this collaboration marks an important step towards the mainstreaming of the We entertainment industry. We technology brings new opportunities to the entertainment industry, but to truly achieve mass adoption, many challenges still need to be overcome. The collaboration between Claynosaurz and Sui will set a new benchmark for the industry, promoting innovation and development of We entertainment products.

Industry insiders have welcomed this cooperation, believing it will help attract more mainstream users into the We world. However, some are concerned whether We's entertainment products can truly meet the needs of mainstream users, which remains to be seen over time. Overall, this cooperation marks an important step forward for the We entertainment industry.

3. Justin Sun announced the launch of the bounty website for the FDT and ARIA scam case, offering a reward of 50 million dollars to recover the funds.

Justin Sun recently announced the launch of a bounty website for the FDT and ARIA scam cases, offering a reward of $50 million to recover stolen funds. This initiative aims to enhance transparency, recover stolen funds, and uphold trust in the cryptocurrency industry.

FDT and ARIA are two highly controversial cryptocurrency projects, suspected of defrauding billions of dollars. Justin Sun, as the main investor in FDT and ARIA, has previously stated multiple times his intention to recover the stolen funds. The launch of this bounty website is aimed at achieving that goal.

According to the website, anyone who can provide valuable clues or help recover funds can receive a high reward. This practice aims to encourage more people to participate in the investigation and jointly trace the whereabouts of the funds.

Analysts believe that this move demonstrates Justin Sun's determination to maintain trust in the industry. However, some question whether a bounty website alone can truly recover stolen funds. After all, the FDT and ARIA cases are complex and require collaborative efforts from multiple parties.

However, Justin Sun has previously sought to recover stolen funds multiple times through lawsuits and other means, achieving some results. The launch of the bounty website can be seen as part of his ongoing efforts. Industry insiders generally believe that this will help improve the transparency of investigations and protect the interests of investors.

Overall, Justin Sun's launch of the bounty website has garnered widespread attention from industry insiders. This is not only related to the FDT and ARIA cases themselves, but also reflects the importance of maintaining trust in the industry. It is believed that with the joint efforts of all parties, the stolen funds can ultimately be recovered.

4. The Aztec public test network is officially launched, bringing privacy-preserving Layer 2 solutions to the We ecosystem.

The privacy-focused public chain Aztec recently announced the official launch of its testnet, bringing a Layer 2 solution dedicated to privacy protection to the We ecosystem. This milestone event marks an important step for Aztec towards achieving its vision.

Aztec aims to achieve efficient privacy transactions through zero-knowledge proof technology, supporting DApp developers in building secure and anonymous decentralized applications. The launch of the public test network will provide developers with a platform to test and experience Aztec's privacy protection features.

Privacy protection has always been a significant challenge faced by the We ecosystem. Although blockchain technology itself is decentralized and transparent, users' transactions and personal information are often difficult to fully protect. Aztec achieves complete anonymization of transactions through zero-knowledge proof technology, effectively protecting user privacy.

Analysts believe that the launch of the Aztec public test network will bring a new privacy protection experience to the We ecosystem. Developers can build various applications on the public test network, such as private payments, anonymous voting, etc., to meet users' privacy needs. At the same time, Aztec's privacy protection technology can also be applied to other fields, such as finance and healthcare.

However, some have raised questions about the technical feasibility and security of Aztec. After all, zero-knowledge proof technology is still in its early stages of development, and its performance and scalability still need further improvement.

Overall, the launch of the Aztec public test network marks an important step forward for the We ecosystem's privacy protection technology. It is believed that with the joint efforts of developers and the community, Aztec will bring a new privacy protection experience to the We ecosystem.

5. The Melania project team sold 9.99 million MELANIA through unilateral liquidity and DCA in the past 8 days, amounting to approximately 4.65 million USD.

According to on-chain analysts, in the past 8 days, Melania, the MEME project of Mrs. Trump, sold 9.99 million MELANIA tokens through unilateral liquidity and DCA methods, amounting to approximately 4.65 million USD. This move has sparked widespread attention and discussion.

Melania is a controversial cryptocurrency project, whose founder claims to be the former First Lady Melania Trump. The project was met with skepticism from the outset and was accused of being a scam. Despite this, the project still attracted a large number of investors, and the token price soared at one point.

However, recently, the Melania project team has frequently sold tokens, raising dissatisfaction and concerns within the community. Some investors question whether this means the project team is preparing to "run away." Others believe this is just a normal operation for the project team to obtain liquidity funds.

Analysts point out that the actions of the Melania project team do indeed carry certain risks. Frequent large-scale sales may lead to a decline in the token price, harming the interests of investors. At the same time, this also exacerbates the community's distrust of the project.

However, some people believe that the project party has the right to dispose of its own tokens as long as it complies with relevant regulations. Importantly, the project party needs to maintain sufficient transparency to let investors understand the actual situation.

Overall, the actions of the Melania project have sparked widespread attention and discussion. This not only reflects the high level of concern that cryptocurrency investors have regarding the operations of the project, but also highlights the industry's desire for transparency. It is believed that only by maintaining a high level of transparency can trust be earned from investors.

5. Economic Dynamics

1. The U.S. employment data for April is mixed, with moderate inflationary pressures.

Economic Background: The US economy showed signs of recovery in early 2023, but inflation levels remained high. April employment data reflected the resilience of the job market, but wage growth slowed, easing inflationary pressures.

Important Event: The U.S. Labor Department's April non-farm payroll report shows that the number of new jobs added is 177,000, which is lower than the previous month but higher than expected, with the unemployment rate remaining stable at a relatively high level of 4.2%. The average hourly wage increased by 0.2% month-on-month and by 3.8% year-on-year, with the growth rate slowing down.

Market reaction: Investors have mixed feelings about the employment data. On one hand, the resilience of the job market supports expectations for economic recovery; on the other hand, the slowdown in wage growth alleviates inflationary pressures, reducing the need for the Federal Reserve to raise interest rates. Financial markets have cooled expectations for a rate hike at the Federal Reserve's June meeting, and the dollar index has slightly declined.

Expert Opinion: Goldman Sachs Chief Economist Jan Hatzius stated that the employment data aligns with the Federal Reserve's expectation of a "soft landing," but inflationary pressures still need to be alleviated. UBS economist Samuel Coffin believes that the resilience of the labor market may raise inflation expectations, and the Federal Reserve may continue to raise interest rates to curb inflation. Overall, experts believe the Federal Reserve may pause interest rate hikes at the June meeting, closely monitoring changes in economic data.

2. U.S. and Japanese officials engage in working-level consultations on trade issues.

Economic Background: Trade disputes between the United States and its major trading partners have been a significant source of uncertainty for the global economy. As the two largest economies in the world, the development of trade relations between the U.S. and Japan is crucial to the global economic landscape.

Important Event: U.S. Treasury Secretary Janet Yellen, Commerce Secretary Gina Raimondo, and Trade Representative Katherine Tai met with Japan's Minister of Economic Revitalization, Ryōsuke Akizawa, on April 27 to have a candid and constructive discussion on bilateral trade issues. Both sides agreed to immediately initiate working-level consultations and to hold more ministerial meetings in the near future.

Market Reaction: The market has reacted cautiously optimistic to the progress of US-Japan trade negotiations. On one hand, the dialogue between both parties helps to alleviate trade tensions and creates conditions for reaching an agreement in the future; on the other hand, differences still exist, and the trade dispute is unlikely to be completely resolved in the short term. US stocks rose slightly, and the dollar index remained basically flat.

Expert Opinion: Samir Sami, a professor at Columbia University, believes that the focus of US-Japan trade negotiations will be on areas such as automobiles and semiconductors, and both sides need to reach a compromise on issues like market access and subsidies. Former U.S. Trade Representative Michael Froman stated that the U.S. should avoid unilateral tariff measures against Japan to prevent triggering a trade war. Overall, experts are calling for strengthened dialogue between the U.S. and Japan to resolve differences based on mutual respect.

3. The EU has passed new regulations to ban anonymous cryptocurrency accounts and privacy coin transactions starting in 2027.

Economic Background: Cryptocurrency regulation has always been a focal point of global attention. With the continuous development of the cryptocurrency market, governments and regulatory agencies around the world are strengthening their regulatory efforts to address risks such as money laundering and tax evasion.

Important Event: The EU officially passed the Anti-Money Laundering Regulation (AMLR), which will prohibit all financial institutions from providing anonymous cryptocurrency accounts or wallets with crypto service providers starting from July 1, 2027, and will comprehensively ban privacy coins ( such as Monero, Zcash, and Dash ) transactions. The new regulation also requires mandatory identity verification for cryptocurrency transactions exceeding 1,000 euros and establishes a new regulatory agency, AMLA, to directly supervise large cryptocurrency platforms.

Market reaction: The cryptocurrency market has reacted differently to the new regulations. Major cryptocurrencies such as Bitcoin and Ethereum have seen slight declines in price, while privacy coins like Monero have dropped significantly. Some investors are concerned that the new regulations will limit the anonymity and privacy of cryptocurrencies, affecting their development prospects; while others believe that reasonable regulation is beneficial for the long-term healthy development of the cryptocurrency industry.

Expert Opinion: Richard Hans, head of financial services risk consulting at Deloitte, believes that the new regulations will enhance the transparency of cryptocurrency transactions and help combat illegal activities. However, he also pointed out that excessive regulation could hinder innovation. Cryptocurrency researcher Amanda Reid stated that the new regulations may drive cryptocurrency innovation towards a more decentralized and privacy-protecting direction. Overall, experts are calling for a balance between regulation and innovation.

Mixed signals from U.S. economic data, cooling expectations for a Fed rate hike in June.

Economic Background: Since 2023, the pace of economic recovery in the United States has slowed, inflationary pressures persist, and the job market remains resilient. The Federal Reserve has been striving to achieve a "soft landing," which means controlling inflation while avoiding a recession.

Important events: In April, the U.S. Core PCE Price Index rose 4.7% year-on-year, higher than expected; personal spending growth slowed to 0.3%; the Employment Cost Index increased by 1.2% month-on-month, also higher than expected. These figures indicate that inflationary pressures remain significant, but the momentum of economic growth may have slowed.

Market Reaction: Investors have mixed reactions to the U.S. economic data. Higher-than-expected inflation has intensified expectations for the Federal Reserve to continue raising interest rates, leading to a decline in the stock market; however, the rise in the employment cost index supports the possibility of the Federal Reserve pausing interest rate hikes. Overall, market expectations for a rate hike in June by the Federal Reserve have cooled.

Expert Opinion: Goldman Sachs economists indicate that despite inflation data being higher than expected, the rising employment cost index may lead the Federal Reserve to pause interest rate hikes in June. UBS analysts, on the other hand, believe that persistent inflation pressures may prompt the Federal Reserve to raise rates by 25 basis points in June. Overall, experts generally expect the Federal Reserve to continue raising rates, but the pace of increases may slow.

5. China's manufacturing PMI fell in April, and the momentum of economic recovery may slow down.

Economic Background: Since 2023, driven by policy stimulus measures, the Chinese economy has shown signs of recovery. However, whether this recovery momentum can be sustained remains a focus of market attention.

Important event: The National Bureau of Statistics of China announced that the official Manufacturing Purchasing Managers' Index (PMI) for April is 49.2, lower than the previous value of 49.5 and the critical point of 50, ending three consecutive months of expansion. This indicates a contraction in manufacturing activity, and the momentum of economic recovery may have slowed.

Market reaction: The manufacturing PMI data has weakened market optimism regarding the prospects for China's economic recovery. The exchange rate of the renminbi against the US dollar has slightly decreased, with the offshore renminbi falling below the 6.95 mark against the dollar. In the stock market, the Shanghai Composite Index has experienced a slight decline.

Expert Opinion: Tan Xiaofang, a macroeconomist at China International Capital Corporation, stated that the decline in PMI is mainly affected by the weak new orders in the manufacturing sector, reflecting a slowdown in both domestic and external demand. Chen Xiao, a macro analyst at Guotai Junan Securities, indicated that the PMI data shows that the momentum for economic recovery may be waning, but the overall fundamentals remain robust. Most analysts believe that the government will continue to implement policies beneficial for economic recovery.

6. Regulation & Policy

( 1. The European Union will completely ban anonymous cryptocurrency accounts and privacy coin transactions starting in 2027.

The EU has officially passed the Anti-Money Laundering Regulation ) AMLR ###, which will prohibit all financial institutions from providing anonymous cryptocurrency accounts or wallets with crypto service providers starting from July 1, 2027, and will completely ban privacy coins ( such as Monero, Zcash, and Dash ) transactions.

The regulation was proposed by the European Commission and aims to combat money laundering and terrorist financing activities. As part of the EU's anti-money laundering regulatory framework, the regulation will strengthen the oversight of crypto assets. The EU believes that anonymous crypto accounts and privacy coins pose a risk of being misused for illegal activities.

The new regulations also require that cryptocurrency transactions exceeding 1000 euros must undergo mandatory identity verification, and a new regulatory body, AMLA, will directly oversee large cryptocurrency platforms. This means that cryptocurrency transactions will be subject to more stringent scrutiny and monitoring.

Once this regulation takes effect, it will have a profound impact on the cryptocurrency industry. The privacy coin community has stated that this will seriously infringe upon users' privacy rights. Meanwhile, mainstream cryptocurrency companies believe that reasonable regulation is beneficial for the long-term development of the industry.

Experts believe that the regulation reflects the regulators' concern about the risks of crypto assets, but excessive regulation may hinder innovation. They call for a balance between protecting privacy rights and mitigating risks. Overall, there are disagreements within the industry regarding this policy, and its impact remains to be seen.

( 2. The UK's Financial Conduct Authority seeks public feedback on UK cryptocurrency legislation.

The UK's Financial Conduct Authority ) FCA ### is seeking opinions on crypto assets as part of developing further legislative measures. According to a discussion paper released today, the FCA is particularly interested in hearing views on intermediaries, staking, lending, borrowing, and DeFi or decentralized finance.

The FCA stated that the plan aims to establish clear cryptocurrency legislation to enhance confidence and support the growth of the industry. As part of the FCA's five-year strategy from 2025 to 2030, the FCA will focus on smarter regulation to support ongoing economic growth.

Regulation of crypto assets has always been a focus for UK policymakers. As cryptocurrencies become increasingly popular in the UK, it is becoming more important to establish a comprehensive regulatory framework to protect investors, maintain financial stability, and promote innovation.

Industry insiders have welcomed this. They believe that clear regulations will bring certainty to the crypto industry and help attract more institutional investors. However, some are concerned that excessive regulation may stifle innovation.

Experts call for regulation to balance risks and innovation. They suggest that the FCA learn from the experiences of other countries to develop a regulatory framework that is suited to the UK context. Overall, the industry expects the FCA to introduce pragmatic and forward-looking cryptocurrency regulatory policies.

( 3. The Bank of America expressed its willingness to issue stablecoins.

Bank of America stated that it is willing to issue its own stablecoin if Congress enacts relevant legislation.

Bank of America is the second-largest lending institution in the United States. The bank's CEO, Brian Moynihan, previously stated: "As long as legislation allows, we will enter the stablecoin business."

Stablecoins are cryptocurrencies that are pegged to fiat currencies or other assets, aimed at maintaining price stability. Currently, USDC and Tether dominate the stablecoin market. However, with increasing regulation, traditional financial institutions are expected to enter this field.

If American banks really issue stablecoins, it will have a significant impact on the existing stablecoin ecosystem. As a traditional bank with a large customer base, its stablecoin will gain wide recognition and usage.

But some analysts are concerned that stablecoins issued by banks may lack the advantages of decentralization and could be subject to excessive regulation. They believe this could affect the innovative development of stablecoins.

Overall, this move by American banks reflects the growing interest of traditional financial institutions in cryptocurrency. With regulations in place, it is expected that more institutions will enter this field.