YM Lee

Bealls, a U.S. retail chain with a 110-year tradition, has officially adopted virtual asset cryptocurrency payments, joining the wave of digital transformation in the traditional retail industry. According to The Block on the 21st (local time), Bealls, founded in Florida in 1915, has begun supporting virtual asset payments at about 660 stores nationwide through a partnership with payment technology company Flexa. With this integration, consumers can pay with more than 99 cryptocurrencies via Flexa's payment infrastructure 'Flexa Payments', and it also links with over 300 digital wallet services. This service is available at Bealls, Bealls Florida, and Home Centric stores. Flexa co-founder Trevor Filter said, "It is a natural evolution that Bealls, which has played a major role in U.S. retail for 110 years, is now adopting one of the world's most innovative payment technologies," adding, "This collaboration is an important turning point that breaks down the boundaries between offline retail and blockchain payments." Currently, about 65 million cryptocurrency users are in the U.S., which corresponds to 28% of the adult population. Experts say Bealls' decision could serve as a catalyst for expanding cryptocurrencies as a means of real-world payment. Industry insiders commented, "If customers can use cryptocurrencies at familiar stores, the everyday use of digital assets will accelerate," and "The participation of such traditional companies will raise market credibility."

Kraken CEO Dave Ripley directly rebutted criticism from traditional finance, saying, "Stablecoin interest earnings are not a practice harmful to banks but a matter of consumers' freedom to choose." On the 22nd (local time), according to Cointelegraph, Ripley publicly rebutted after Brooke Ybarra, senior vice president of innovation and strategy at the American Bankers Association (ABA), argued that "cryptocurrency exchanges paying interest on stablecoin deposits harms banks' ability to support communities." Ripley asked, "Harmful to whom, exactly?" and emphasized, "Consumers should have the freedom to choose where to store their value (assets) and how to transfer it." He added, "Banks have generated profits from customers' assets without returning those profits to the customers," and said, "We are building a new system that opens financial services that were available only to the wealthy to everyone." Dan Spuller, head of industry policy at the Blockchain Association, also pointed out, "The reason big banks are attacking Coinbase and Kraken is to defend their turf," and said, "In the end, competition is winning." Solana developer Voss also added, "This is capitalism; they must accept competition." Some exchanges currently offer up to 5% interest rates on stablecoin deposits, which is higher than the U.S. average deposit rate of 0.6% or the maximum rate of 4% for high-yield savings accounts. This debate arose as stablecoins are being integrated into the regulatory framework following President Donald Trump's signing in July of the 'U.S. Stablecoin Innovation Act (GENIUS Act).' The bill mandates 100% reserves and regular audits for stablecoin issuers and aims to strengthen payment and remittance functions. Meanwhile, tensions between traditional finance and the crypto industry continue outside the U.S. In Australia, bank barriers to using cryptocurrency exchanges still exist, and Matt Poblocki, head of Binance Australia & New Zealand, said, "Constraints on financial access have a direct negative impact on market participation and trust formation." Ripley emphasized, "Stablecoin yields are a symbol of financial innovation," and said, "Now consumers can choose better terms in decentralized markets rather than at banks."

Binance founder Changpeng Zhao (CZ) said "Bitcoin will eventually surpass gold," suggesting a long-term 'Flip Gold' possibility. He said, "I don't know the timing, but it's something that will inevitably happen someday," and added, "Save this tweet." On the 22nd (local time), according to crypto-focused media AMBCrypto, Zhao predicted that Bitcoin has the potential to surpass gold's market capitalization in the long term. Currently, Bitcoin's market capitalization is about $2.21 trillion, still a large gap compared to gold's approximately $30.34 trillion. Although gold is still considered the world's most valuable asset, Zhao argued that Bitcoin is gradually gaining trust as a store of value and has a high possibility of replacing gold in the long term. He added, "Bitcoin is undervalued and has room to rise to the $130,000–$150,000 range." Market data shows Bitcoin fell 2.91% in the past 24 hours to trade around $107,848, while gold remains at $4,346 per ounce. Experts analyzed that both assets are perceived as hedges against a decline in the dollar's value (debasement trade). According to Singapore's 10X Research, due to the spread of 'Bitcoin accumulation-type listed companies (DAT)' this year, Bitcoin's price has risen 18% year-to-date, but after entering a recent correction phase some individual investors have suffered losses amounting to $17 billion. Market analyst Shanaka Anslem Perera explained, "Given gold's market capitalization of about $29.7 trillion and Bitcoin's circulating supply of about 19.9 million, Bitcoin would need to reach about $1.49 million per coin to 'flip' gold." He added, "Considering Bitcoin's mining structure, global payment speed, and adoption spread, this target is not a mere slogan but a calculable reality." Within the community, opinions were also raised that "it may be an understatement to say 'it will take time' given that the U.S. government, BlackRock, the Securities and Exchange Commission (SEC), and traditional finance are all adopting cryptocurrencies." Currently, the Bitcoin-to-gold ratio is 0.03941, up 0.59%, and experts assessed that as gold's rally slows, Bitcoin is expanding its position as a new 'digital safe-haven asset.' Meanwhile, CryptoQuant and Binance data analyzed that recent fear-driven selling in the market is entering a cooling phase, and if the buy ratio (Taker Buy Ratio) recovers above 0.5, the possibility of a short-term rebound may open.

Major Asian stock exchanges such as those in Hong Kong, India and Australia are imposing strong brakes on the recently proliferated 'cryptocurrency accumulation-type listed companies (Digital Asset Treasuries·DATs)'. These exchanges have repeatedly rejected listing and business plans from companies seeking to shift their core operations to large-scale cryptocurrency holdings, citing concerns over increased market speculation and deteriorating financial soundness. According to Bloomberg on the 22nd (local time), the Hong Kong Stock Exchange (HKEX) reviewed plans from more than five companies in recent months that intended to make digital assets their primary financial strategy, but denied all of them. HKEX warned that if a listed company shifts its structure to be centered on 'liquid assets', it may be regarded as a 'cash company' and could face trading suspension. This is a measure to curb so-called 'crypto portfolio companies' that seek to use their listed status while holding large amounts of cryptocurrency. Similar measures have followed in India and Australia. The Bombay Stock Exchange (BSE) rejected a listing application after IT firm Jetking Infotrain recently announced it would use part of its public offering funds to invest in cryptocurrencies. The Australian Securities Exchange (ASX) stipulates that listed companies cannot hold more than 50% of their assets in cash-like assets, and this clause is said to effectively make a cryptocurrency-centric financial strategy impossible. An ASX official said, "Companies seeking to switch to cryptocurrency investments should structure their listing in the form of an exchange-traded fund (ETF)," adding, "Otherwise, it will be difficult to qualify for official listing." By contrast, Japan is considered an exceptional case within the Asia-Pacific region. The Japan Exchange Group (JPX) has shown a relatively lenient attitude, saying, "If a company clearly discloses bitcoin purchases even after listing, it is difficult to immediately prohibit them." Currently, there are 14 listed companies in Japan holding bitcoin, the largest number in Asia. A representative example is hotel operator Metaplanet, which holds 3.3 billion dollars worth of bitcoin. However, signs of backlash are emerging even within Japan. Global index compiler MSCI is reportedly considering removing listed companies with cryptocurrency holdings exceeding 50% of total assets from global indices. This proposal was raised after Metaplanet purchased an additional 10,687 bitcoins following a 1.4 billion dollar overseas share issuance, and the controversy stems from the fact that the company is included in the MSCI Japan Small Cap Index. MSCI stated that DAT companies "have characteristics similar to investment funds and do not meet index composition requirements." If this proposal is implemented, automatic inflows from passive funds would be blocked, and these companies' stock price premiums are likely to disappear, analysts say. Bloomberg reported, "Although the bitcoin-centered DAT model rapidly spread in 2025, major Asian exchanges are putting the brakes on this trend by tightening listing regulations," adding, "This could become a short-term burden on the bitcoin market rally, which had risen 180% this year."

On the 22nd, the KOSPI is expected to start higher, eyeing a突破 above the 3,900 level. Securities firms say the index's uptrend will continue centered on earnings-based sectors. Shipbuilding, automakers, and parts stocks in a record-high rally According to the Korea Exchange on the 22nd, Hyundai Motor, Kia, HD Hyundai Heavy Industries, HD Hyundai Heavy Industries and U.K., Korea Shipbuilding & Offshore Engineering, Korea Electric Power Corporation and others recorded new 52-week highs during the session the previous day. Hyundai Motor and Kia each rose to 267,000 won and 119,800 won respectively, both setting new record highs, and HD Hyundai Heavy Industries, HD Hyundai Mipo Dockyard, and HD Hyundai Heavy Industries & Shipbuilding all of HD Hyundai Group's three shipbuilders also hit new highs. Samsung Heavy Industries also surged intraday to 23,900 won and maintained its strength. The sharp rise in the shipbuilding sector is interpreted as reflecting expectations after the U.S. announced plans to strengthen cooperation with Korea to rebuild its shipbuilding industry. Related stocks broadly strengthened amid suggestions that Korean shipbuilders could expand orders in connection with the 'MASGA (Make American Shipbuilding Great Again)' project. Also, with a Korea-U.S. summit scheduled during the Asia-Pacific Economic Cooperation (APEC) summit, expectations that a plan to lower tariffs on major items such as automobiles and shipbuilding from 25% to 15% would be discussed helped improve investor sentiment. As U.S. Apple shares surged to an all-time high, an 'Apple-driven tailwind' also blew through domestic related parts stocks. LG Innotek rose to 230,500 won the previous day to set a new high, and Samsung Electro-Mechanics and Jahwa Electronics also reached record highs at 221,000 won and 23,700 won respectively. However, the upward trend did not hold through the close. As profit-taking emerged in the afternoon, the KOSPI, which had risen as high as 3,893.06, gave up part of its gains. Samsung Electronics, which was on the verge of the '100,000-won' mark right after the open, and SK Hynix, which had surpassed the '500,000-won' level, turned lower and weighed on the index. "Samsung Electronics and SK Hynix stocks will go further" Nevertheless, the stock outlooks for Samsung Electronics and SK Hynix remain positive. Experts say the semiconductor sector's long-term growth potential and room for valuation improvement are still large. Kim Dong-won, a researcher at KB Securities, said, "Samsung Electronics is expected to achieve its largest operating profit next year, the biggest in eight years since 2018, and SK Hynix is expected to record its largest results for three consecutive years since 2023." He added, "Next year, KOSPI operating profit is expected to increase by 91 trillion won from the previous year, and semiconductors will account for 55% of the increase," and forecasted, "Samsung Electronics and SK Hynix will lead the KOSPI's overall profit growth with respective shares of 31% and 24%." He also said, "Considering cases since 1985 in which the KOSPI's price-to-book ratio (PBR) rose from 0.52x to 1.8x, next year the semiconductor sector is also likely to enter a phase of simultaneous expansion of profits and valuation," adding, "Both companies have sufficient medium- to long-term upside." U.S. markets, Dow hits an all-time high... "Q3 corporate earnings drove the rise" On the 21st (local time), New York markets closed mixed as third-quarter corporate earnings were generally reported as solid. The Dow Jones Industrial Average rose 0.47% to 46,924.74, hitting an all-time high, the S&P 500 rose 0.00% to 6,735.35, and the tech-heavy Nasdaq closed down 0.16% at 22,953.67. Strong results in cyclical sectors such as industrials, consumer goods, and capital goods drove the Dow's rise, but weakness in growth stocks and semiconductor stocks weighed on the Nasdaq. The market is pricing in a high probability that the U.S. central bank (Fed) will cut the policy rate by an additional 0.25 percentage point at the FOMC meeting on October 28–29. However, with some key economic data releases delayed due to a U.S. government shutdown, markets are expected to react sensitively in the short term to earnings, policy, and remarks. Reporter Park Ju-yeon grumpy_cat@hankyung.com

Crypto exchange Gemini has offered an optimistic outlook for the UK market. The share of crypto ownership in the UK rose to 24%, recording the largest growth among major markets worldwide, but many investors are still waiting for a clear regulatory framework, it analyzed. Gemini's UK head Daniel Slutzkin said on the 21st (local time) at the 'Zebu Live' event held in London, in an interview with The Block, "The UK is one of Gemini's core markets, and the digital asset industry is about to enter the formal regulatory fold." He said Gemini was one of the first exchanges to be formally registered by the UK's Financial Conduct Authority (FCA) in 2020, established an office in central London, and has recruited many key personnel over the past year. Slutzkin said, "London has been the center of global finance for centuries, and that will continue in the digital asset market," adding, "Gemini is investing in the UK market for the long term." According to Gemini's '2025 Global State of Crypto' report, the crypto ownership rate in the UK rose from 18% year-on-year to 24%. In particular, the proportion of investors under 35 reaches 40~45%, highlighting that the market is driven by younger generations. However, he said, "Many potential investors are still waiting for the regulatory 'stamp of approval'," adding, "Regulatory clarity needs to be secured for the market to expand in earnest." The UK government is preparing a new regulatory framework covering the crypto industry as a whole, including stablecoins, exchanges, lending, and custody, which is expected to take effect in 2026. Slutzkin said, "2026 will be a turning point for UK digital asset regulation," adding, "It could be January or December, we do not know, but the market is waiting for regulation to be finalized." He added, "Once investors and firms can confidently say, 'We are a regulated institution,' industry credibility will increase." He forecast that Gemini's core business areas—trading, custody, and staking services—would not be greatly affected by future regulation. He also said, "Gemini has operated with a regulatory-first principle since its founding and is ready to respond quickly to future regulatory changes." Meanwhile, Gemini also described the new tax reporting framework (CARF), soon to be implemented in the UK, as "a positive measure that increases transparency and legitimacy." However, he pointed out, "With increased detailed reporting obligations, small and medium-sized exchanges may struggle to bear the regulatory burden," and "excessive regulation could also stifle innovation." Regarding the recent market crash, Slutzkin said, "There was a historic-scale liquidation event in early October, but the market is quickly stabilizing," adding, "No signs of crisis are detected in our internal indicators."

Senator Elizabeth Warren, the ranking Democrat on the Senate Banking Committee, strongly criticized the new stablecoin bill, the "Guiding and Establishing Innovation for U.S. Stablecoins Act (GENIUS)." Senator Warren urged the Treasury Department to address conflicts of interest tied to former President Trump and financial stability risks in the bill's implementation process. In a letter sent on the 21st (local time) to Treasury Secretary Scott Bessent, Warren stressed, "The Treasury must fully implement the law to protect America's financial stability and consumers, taxpayers, and national security." The bill was enacted in July with former President Trump's signature and requires stablecoin issuers to maintain 100% reserves in U.S. dollars or similar liquid assets. It mandates annual audits for issuers with market capitalizations of USD 50 billion or more and establishes guidelines for foreign issuance. Warren argued that broader crypto market regulatory legislation currently being discussed in Congress should play a key role in plugging the GENIUS Act's gaps. She said, "The Treasury has an opportunity, through bipartisan consultation, to propose concrete measures to address these risks." On that day, the Senate and the House planned separate meetings with crypto industry representatives held by Democrats and Republicans, respectively, to discuss an overall regulatory framework for the crypto industry. Warren's concerns align with remarks by Federal Reserve Board Governor Michael Barr. Barr recently said the GENIUS Act leaves regulatory gaps and urged federal financial regulators and state authorities to cooperate in formulating rules to protect the financial system. Warren specifically raised concerns about former President Trump's involvement in crypto businesses. Democrats are alarmed that the "World Liberty Financial USD" run by the Trump family has grown into one of the world's largest stablecoins. She urged, "The Treasury should present concrete solutions to these corruption issues and establish clear standards to prevent conflicts of interest." Warren also emphasized that the Treasury must present concrete measures to prevent illicit financing and consumer harm. She noted, "The GENIUS Act lacks safeguards to prevent scenarios in which stablecoins could shock the entire financial system." Warren cited the recent Paxos issuance error as an example. Paxos mistakenly issued some 300 trillion units of the PayPal stablecoin (PYUSD) due to a technical error and immediately burned them, but Warren called it "an example showing how operational failures pose serious risks to issuers and market stability." She added, "The Treasury must clearly explain to the public how it will manage these risks and what legislation is needed if it lacks the necessary authority."

U.S. President Donald Trump said it was possible that the war between Russia and Ukraine could be concluded. On the 22nd (local time), according to economic breaking-news channel Walter Bloomberg, President Trump said, "Putin and Zelensky want to end the war, and I think the war will end afterward. There is still a possibility of a ceasefire."

The crypto asset (cryptocurrency) market, despite experiencing the largest-ever liquidation in history, is still deemed by experts to have a valid October bull market. Bitcoin and major coins underwent short-term corrections, but analysts say structural factors and seasonal rally patterns are supporting expectations of market gains. On the 15th (local time), according to Cointelegraph, well-known market analyst Scott Melker said, "I expected October to be painted red after the largest-ever liquidation, but it's still holding," adding, "It feels like a small miracle. I don't think we're entering a bear market." Last weekend's sharp drop pushed crypto market capitalization below $4 trillion, but it quickly rebounded to recover the $4 trillion level. However, Bitcoin (BTC) slipped again below $111,000, temporarily pausing the upward momentum. Melker said, "This decline arose from structural issues within the market, not from external shocks like the 2017 ICO frenzy or the 2021 FTX collapse," and explained, "This incident will be an opportunity for the market to reassess risk and reorganize its structure." Tim Sun, chief researcher at HashKey Group, also viewed short-term volatility as inevitable. He said, "Investor sentiment has not fully recovered after rapid deleveraging, and risk appetite remains low," diagnosing, "Short-term volatility is expected, but excessive pessimism is unnecessary." He added, "In the medium to long term, monetary easing, easing geopolitical tensions, and liquidity recovery will remain the main trends for the market." Historically, Bitcoin has shown its strongest returns in October. It earned the nickname 'Uptober' after rising in 10 out of the past 12 Octobers. This year, through early this month it was down 0.6 percent, but since most of the usual gains are concentrated in the latter half of October, there is significant potential for additional rebounds. In fact, after mid-October 2024 Bitcoin rose 16 percent, in 2023 it rose 29 percent, and in 2020 it rose 18 percent. Melker also said, "With gold recently hitting an all-time high, investors are likely to reallocate funds back into Bitcoin," explaining, "This is a phase of portfolio adjustment, not fear." Meanwhile, the U.S.-China trade tariff conflict that acted as a catalyst for the market crash is showing signs of easing. A White House official said, "President Donald Trump and Chairman Xi Jinping are pursuing talks related to trade negotiations," and Sun evaluated, "Trade conflicts are not a zero-sum game. Since both countries want tangible benefits, the final result is likely to be more conciliatory than the market fears." Alongside this, expectations of additional rate cuts by the U.S. Federal Reserve (Fed) and hopes for a 'devaluation trade' due to dollar weakness are also cited as factors supporting October's upswing.

Larry Fink, CEO of the world's largest asset manager BlackRock, said that "tokenization will be a new growth opportunity for BlackRock for decades to come." He said that traditional financial assets will gradually convert into digital forms, which he expects will expand inflows of individual investors. On the 15th (local time) in an interview on CNBC's "Squawk on the Street," CEO Fink said, "If you tokenize and digitize ETFs, you can naturally connect investors who previously entered the market through crypto assets to traditional assets such as long-term retirement products," adding, "This will be a core opportunity for BlackRock going forward." He added, "The tokenization of all assets—real estate, stocks, bonds—is only just beginning," and "blockchain-based securitization will expand across the financial industry." According to market research firm Mordor Intelligence, the global asset tokenization market is estimated at about 2 trillion dollars as of 2025 and is expected to grow to more than 13 trillion dollars by 2030. BlackRock already operates the world's largest tokenized cash market fund, BUIDL (USD Institutional Digital Liquidity Fund). The fund was launched in March 2024 and has assets of 2.8 billion dollars. CEO Fink emphasized, "Several departments within the company are reviewing ways to expand tokenization strategies," and "BlackRock will play a leading role in this field." BlackRock currently allocates about 104 billion dollars of its 13.46 trillion dollars in assets under management (AUM) to crypto-related assets, which represents about 1 percent of the total. In a recent CBS "60 Minutes" interview, CEO Fink also said, "Crypto assets play a role similar to gold as a means of portfolio diversification," adding, "They should not be a large weight, but they play a meaningful role as an alternative asset." He explained that until 2017 he was skeptical, saying "cryptocurrencies were an indicator of money laundering," but that "over time I learned and grew," and he changed his stance.

Global payments company Stripe has applied to the Office of the Comptroller of the Currency (OCC) to establish a federal trust bank for the issuance and management of stablecoins, and federal charter competition is intensifying. According to Decrypt on the 15th (local time), Bridge, Stripe's stablecoin infrastructure subsidiary, submitted an application to the OCC to establish the 'Bridge National Trust Bank'. Zack Abrams, co-founder, said, "This application is intended to operate under a unified federal regulatory framework consistent with the GENIUS Act (Guiding and Establishing National Innovation for U.S. Stablecoins Act)." If authorized, Bridge would be able to issue, redeem, and custody stablecoins under federal supervision without obtaining state-level money transmitter licenses. Abrams said, "This infrastructure buildout will make it possible to tokenize assets on the scale of trillions of dollars." Stripe acquired Bridge in October last year for about $1.1 billion and is pursuing a strategy to integrate it into its global payments network as a blockchain-based payment system. This application comes after the implementation of the GENIUS Act passed in July, which introduced a new charter system for 'permitted payment stablecoin issuers'. Under the bill, stablecoin issuers must meet requirements such as 100 percent backing in cash or U.S. Treasury securities, monthly financial disclosures, and guaranteeing token holders' priority redemption rights. Major issuers have already joined this federal charter competition. Circle applied in July for a federal trust license to manage USDC reserves under OCC supervision, and Ripple and Paxos are also undergoing federal charter processes. Earlier this month, Coinbase also applied for a 'National Trust Company' charter. If Bridge is authorized, it is expected to become one of the first federal trust banks in the U.S. specialized in stablecoins. A representative from DeFi aggregator 'Astros' said, "This is a turning point in which the U.S. finally recognizes digital dollar infrastructure at the federal level," and added, "It will be an important case for establishing interoperability between on-chain liquidity and off-chain supervision." He added, "Bridge's move is more of a complement to, rather than a replacement for, the state-level charter models of incumbents like Circle and Paxos," and said, "It will lay the foundation for building a layered system in which regulators and decentralized protocols can coexist."

According to Token Mindshare (a metric that quantifies the influence of a specific token in the virtual asset (cryptocurrency) market) top gainer, as of the 14th the cryptocurrency-related keywords people are most interested in are Monad (MONAD), Theo (THEO), Coinbase (BASE), Bitcoin (BTC), Phantom (PHANTOM), etc. MONAD recently drew investors' attention by opening an airdrop portal ahead of its token launch. MONAD plans to verify airdrop claim eligibility via the portal through EVM, Solana wallets, Twitter, Discord, email, etc. THEO recently gained investors' interest after being newly listed on Kaito. Recently, THEO was added to the leaderboard and allocated 0.05% of the token supply to the Kaito campaign. Bitcoin attracted investor attention as the market fluctuated due to recent US-China trade disputes. The US and China are continuing communication amid tensions, seeking clues to resolve the trade dispute. On the heightened-tension 10th, Bitcoin fell by about more than 18% in a single day to the $102,000 level, then rebounded. Additionally, investors were found to be interested in ENSO, FARCASTER, PIZZA, etc.

In a market where unlimited leverage and emotionally driven pricing can trigger tens of billions of dollars in liquidations in a single day, it was argued that the maturation of virtual assets (cryptocurrencies) should begin with 'systemic discipline' rather than 'speculative fever.' Lucas Kiely, CEO of Future Digital, wrote in a Cointelegraph op-ed on the 15th (local time) that "virtual assets are inherently speculative because, unlike traditional assets, they lack tangible value metrics such as earnings or supply chains," and he warned that "unless market participants establish systematic, long-term investment criteria, crashes and liquidations will repeat." Kiely noted in particular that "the virtual asset market allows unlimited leverage, enabling even retail investors to open positions greater than 100x," calling this "a structural vulnerability that triggers a 'liquidation domino' that can evaporate billions of dollars in hours." In fact, in two large crashes at the end of September and the beginning of October, positions totaling $1.8 billion and $19 billion, respectively, were liquidated. He explained, "Only Bitcoin has a limited supply structure and a higher share of institutional capital, but most tokens are extremely unpredictable assets driven by demand and sentiment," adding that "this instability originates from a free-market structure lacking financial discipline." Kiely also emphasized, "There are claims that tech stock valuations are overheated, but companies like Apple or NVIDIA still have fundamentals such as earnings, cash flow, and products. However, most digital assets lack these basic values." For future market development, he suggested that ▲leverage limits ▲increased risk awareness ▲and liquidity stabilization through the systematic inflow of institutional capital are essential. "Those who built wealth with Bitcoin were merely lucky cases; now that the market is entering a maturation stage, investors must also adopt systemic thinking and risk management skills," he added.

Global cryptocurrency exchange Coinbase has begun a full-scale expansion into the Indian and Middle Eastern markets and made an additional investment in India’s leading exchange CoinDCX. This investment is a follow-on to a previous round that involved Coinbase Ventures, and the company said it reiterated its confidence in the growth of the on-chain economy centered on India and the Middle East. Coinbase said on the 15th (local time) on its official blog, "India and the Middle East have established themselves as some of the fastest-growing crypto markets in the world based on high adoption rates, clear regulation, and economic potential," adding, "this investment reflects confidence in the region’s future growth potential and CoinDCX’s leadership." India and the Middle East are currently assessed as markets with a population of more than 1.4 billion people and over 100 million crypto asset holders. CoinDCX has grown into India’s largest retail-focused platform through trust-based operations and collaboration with regulators, and recently expanded its business into the Middle East. According to Coinbase, CoinDCX’s annualized group revenue as of July 2025 exceeded 117.9 billion rupees (approximately $141 million), annualized trading volume exceeded 13.7 trillion rupees (approximately $165 billion), and assets under management exceeded 1 trillion rupees (approximately $1.2 billion). The number of users stands at 20.4 million. Coinbase assessed that "after CoinDCX overcame the challenges it faced earlier this year, we became even more convinced of the strengths of the team and the platform." This investment is expected to further strengthen Coinbase’s presence in the Indian and Middle Eastern markets. The company has already secured local operating bases and is expanding key partnerships, and it plans to formalize the cooperation after regulatory approvals and deal-closing procedures. Shan Aggarwal, Vice President of Global Corporate Development at Coinbase, said, "We are confident that India and neighboring countries will become a core pillar of the global on-chain economy," and added, "through cooperation with CoinDCX, we will provide reliable and useful cryptocurrency services to hundreds of millions of users."

J.P. Morgan unveiled plans to integrate with the Coinbase wallet in 2026 and is set to actively pursue cryptocurrency (virtual asset) trading services. The firm aims to lay the groundwork for entering the digital asset market worth trillions of dollars through an 'AND' strategy that runs internal blockchains and public blockchains in parallel. On the 14th (local time), Scott Lucas, J.P. Morgan head of global markets and digital assets, who appeared on CNBC Squawk Box Europe, said, "We are taking an 'AND' approach that seeks opportunities in both existing financial markets and new markets," adding, "We will proceed in parallel rather than be limited to a single path." J.P. Morgan is processing institutional client trades through its deposit token 'J.P.M.D.' and is also considering issuing a stablecoin within a clear regulatory environment. Lucas said, "We plan to collaborate not only on transactions using our internal blockchain but also with Ethereum and layer-1 networks being developed by Google, SWIFT, Stripe, and others." J.P. Morgan does not plan to offer cryptocurrency custody (safekeeping) services in the short term, though it has left open the possibility depending on market conditions and its level of risk management. Lucas said, "CEO Jamie Dimon is also positive about participating in the trading side, but custody services are not yet under consideration." Immediately after the interview, J.P. Morgan shares traded up 2.35% at 307.97 dollars, reflecting investor optimism. In particular, the stock rally was bolstered by news that a bank integration service directly connecting to the Coinbase wallet is planned for launch starting in 2026. This service will allow users to top up the Coinbase wallet via bank accounts or link and use credit card reward points. Having once been skeptical about cryptocurrencies, CEO Dimon has recognized the value of blockchain and stablecoins, and J.P. Morgan is exploring strategic expansion into decentralized finance (DeFi). Lucas said, "J.P. Morgan will seize the coming trillions-of-dollars digital asset opportunity by combining its own infrastructure with public networks."

Samsung Electronics·SK Hynix rebound in one day Won–dollar rate starts lower The KOSPI index rose back above the 3600 level despite U.S.-China trade tensions. As of 9:08 a.m. on the 15th, the KOSPI index was trading at 3604.81, up 43 points (1.21%) from the previous day. The index opened up 0.53% and has been gradually widening its gains. U.S. President Donald Trump warned on social media (SNS) that "China's halt of imports of U.S. soybeans is an obvious hostile act" and that he is "considering measures to sever business relations with China related to cooking oil and other traded items," escalating tensions in just one day. At this time, individual investors are net buyers of 109.6 billion won in the securities market. Foreigners and institutions are net sellers by 91.7 billion won and 17.5 billion won, respectively. Top market-cap KOSPI stocks are mixed. Samsung Electronics and SK Hynix, which closed lower the previous day, are up 1.97% and 0.73%, respectively. Doosan Enerbility, HD Hyundai Heavy Industries, and Naver are also rising. Samsung Biologics is surging in the 6% range on earnings expectations. Hanwha Ocean, which plunged after the Chinese government's sanctions announcement the previous day, is up in the 1% range. Meanwhile, LG Energy Solution, Hyundai Motor, and Kia are declining. Following President Trump's remark about considering severing cooking oil trade with China, Sempio jumped to the daily upper limit during trading. Sempio Foods is also soaring in the 23% range. The KOSDAQ index also turned to gains in one day. At this time, the KOSDAQ index is at 855.76, up 0.92% from the previous day. In the KOSDAQ market, individual and institutional investors are net buyers of 73.4 billion won and 12.2 billion won, respectively. Foreigners are net sellers of 80.1 billion won. Top market-cap KOSDAQ stocks are showing mixed movements. Alteogen, Rainbow Robotics, Pharma Research, and LIGACEM Bio are rising, while EcoPro BM, EcoPro, and Peptron are falling. The won–dollar exchange rate opened lower. In the Seoul foreign exchange market on the day, the won–dollar exchange rate started trading at 1429.1 won, down 1.9 won from the previous day. No Jeong-dong, Hankyung.com reporter dong2@hankyung.com

The world's largest virtual asset (cryptocurrency) exchange Binance has denied that it profits from the process of listing its tokens. This is an official response to an allegation raised by CJ Hedrington, CEO of Limitless Labs, that "Binance demanded 8% of a project's tokens." On the 14th (local time), Binance said in a statement posted on social media X that "we do not derive any benefit from the token listing process" and that "the statement is false and defamatory." It also suggested possible legal action, saying that "CJ's illegal and unauthorized disclosure of private communications has harmed industry trust." Earlier, Hedrington of Limitless Labs, which received investment from Coinbase Ventures and the Base Ecosystem Fund, claimed that Binance demanded 8% of project tokens and a separate cash/token deposit as a condition for listing. In response, Binance explained that "Binance does not charge listing fees, and deposits in cash or tokens are mostly refunded within 1~2 years." It added that "there have been no cases of executives selling tokens related to listings." However, some market participants raised the view that unofficial costs exist. In the industry, there are claims that it has been customary for project teams to allocate up to 7% of tokens for listing on major exchanges. Meanwhile, cryptocurrency analyst Mike Dudas said on X that "in the past month I have personally seen listing offers with conditions similar to Limitless," adding that "this appears to be a method Binance has maintained for years."

Nikkei reported on the 15th (local time) that Japanese financial authorities are pushing for measures to ban insider trading in the virtual asset (cryptocurrency) market. The measure would expand insider trading regulations, which previously applied only to existing financial products, to virtual assets, and is expected to be the first case of its kind introduced among major Asian countries. According to the report, the Securities and Exchange Surveillance Commission (SESC) under the Financial Services Agency (FSA) would be granted the authority to investigate trading based on undisclosed information related to virtual assets. If violations are confirmed, the authorities may recommend the imposition of administrative fines or criminal prosecution. Under current Japanese law, insider trading regulations apply only to traditional financial products such as stocks and bonds. The FSA is preparing detailed regulations to reclassify virtual assets as a form of financial product and is discussing related legislative amendments with the goal of submitting them to the Diet in 2026. Nikkei said the authorities plan to first spell out the principle that "trading virtual assets using undisclosed information is prohibited," and then establish specific enforcement standards. Insider trading is the act of obtaining unfair profits by trading assets using information not disclosed to the public. A representative case is the Coinbase insider trading incident that occurred in the United States in 2022. At the time, product manager Ishan Wahi leaked information about newly listed tokens in advance, and his brother Nikhil Wahi and acquaintance Sameer Ramani bought the tokens before the listing announcement and sold them after they surged to earn profits. Japan has long been a country with a developed virtual asset industry, and at one time the world's largest Bitcoin exchange, Mt. Gox, was headquartered in Tokyo. However, after it went out of business following a 2014 hacking incident, the Japanese government has continuously refined the regulatory framework to restore trust in and institutionalize the virtual asset market. This discussion on banning insider trading reflects Japan's recent policy trend of incorporating virtual assets into a regulatory framework at the level of traditional financial markets.

Recently, concerns have arisen that there could be a 'bottleneck' in the global infrastructure for storing and verifying gold. Physical gold demand has surged amid the global 'gold rush'. The opening of the $4,000 era According to Reuters on the 15th, the international spot gold price reached $4,078 per troy ounce, setting an all-time high. It has risen more than 53% so far this year. Analysts say it is the most explosive rally since the 1979 second oil shock. The recent gold rally is qualitatively different from the past. It goes beyond simple inflation hedging or short-term safe-haven preference. It is occurring amid a reordering of the global monetary and geopolitical system. In particular, the impact has grown as three powerful buyers—central banks, exchange-traded fund (ETF) investors, and individual investors—are all buying physical gold simultaneously. Bob Triest, an economics professor at Northeastern University, said 'gold passing $4,000 is not just a milestone' and added 'it is a strong signal that structural concerns about geopolitical instability and currency depreciation have crossed a critical threshold.' Strategic moves by central banks One major factor behind this rally is a change in confidence in the U.S. dollar. The trend began when Western countries froze Russia's foreign exchange reserves after Russia's invasion of Ukraine in 2022. That showed dollar assets are no longer a safe haven free from geopolitical conflict. 'De-dollarization' has accelerated among central banks. According to Reuters, citing IMF statistics, the share of the U.S. dollar in global central bank foreign exchange reserves has recently been on the decline. The dollar share, about 71% in 2001, fell to 57.4% in the third quarter last year. IMF's latest 'Currency Composition of Official Foreign Exchange Reserves (COFER)' data (as of Q4 2024) also show dollar assets account for only 57.8% of global official foreign exchange reserves. This is roughly a 9 percentage point decrease from ten years earlier. Gold is not included among central banks' official foreign currency reserves. However, central banks have expanded their gold holdings. According to the Atlantic Council, gold is estimated to account for about 15% of global central banks' official reserve assets. Data from the World Gold Council (WGC) indicate that central banks are expected to purchase more than 1,000 tonnes of gold per year for four consecutive years from 2022 to 2025. That pace is more than double the average annual purchases in the 2010s. Specifically, emerging markets and countries with recent geopolitical risks have preferred gold. Russia and China are representative examples. The People's Bank of China had a gold share of only 1.8% of its foreign exchange reserves in 2015. It has recently raised that to 4.9%. Russia also greatly increased gold holdings instead of dollar assets after the 2022 war in Ukraine due to concerns about Western financial sanctions. Turkey, India, Kazakhstan, Uzbekistan, Thailand, and others have joined the buying ranks. In the first quarter of this year alone, China, Poland, and Azerbaijan actively bought gold, recording net purchases of 244 tonnes for the quarter. That is 25% larger than the recent five-year average. Juan Carlos Artigas, head of research at the World Gold Council (WGC), analyzed that 'central banks' gold purchases go beyond simple portfolio diversification and are strategic moves to secure sovereignty over national assets amid distrust of the Western-centric financial system.' Central banks are also actively repatriating gold to their own territories. The share of gold held domestically, which was about 50% in 2020, rose to 68% last year. This is seen as a direct response to concerns that assets held overseas (New York, London, etc.) could be exposed to potential sanction risks. If central bank demand has provided a floor for the gold market, the catalyst for the price rally has been funds from institutions and individual investors. Inflows into physically backed gold ETFs reached record levels. In Q3 this year, global gold ETFs saw a record quarterly net inflow of $26 billion. Inflows into gold ETFs do more than shift liquidity within financial markets. When investors buy shares of physically backed gold ETFs such as 'SPDR Gold Shares (GLD)' or 'iShares Gold Trust (IAU)', a process of physical conversion of gold takes place. The key actors in this process are large financial institutions known as 'authorized participants (Authorized Participant·AP)'. APs, in exchange for receiving large blocks of ETF shares from the ETF manager, must deliver an equivalent value of physical gold bars directly to the ETF's 'custodian bank'. These custodian banks include global banks such as HSBC and J.P. Morgan. Their vaults are mostly concentrated in London. This is why London was chosen as the hub for global over-the-counter (OTC) gold trading. The 'Good Delivery Bar' standard established by the London Bullion Market Association (LBMA) strictly specifies gold bar purity, weight, and refinery certification, serving as a globally accepted quality assurance. Shortage of popular vaults? The pressure on the gold infrastructure market is easier to understand when investment amounts are converted into the actual weight of gold. In the past, when gold was $1,250 per troy ounce, $1 billion could secure about 25 tonnes of gold. As of October this year, at $4,000 per troy ounce, one metric tonne (tonne) is about 32,150.7 troy ounces. With $1 billion, you could secure about 7.78 tonnes, a reduced weight compared to the past. The amount of physical gold obtained for the same money—the 'weight'—has sharply decreased. Yet the absolute scale of funds flowing from ETFs and central banks has grown. This still places considerable strain on the physical gold storage and logistics system. For example, Q3 ETF inflows of $26 billion created demand for about 202 tonnes of physical gold. According to the LBMA, as of August this year, the total amount of gold stored in London's accredited vaults was 8,841 tonnes. Bottlenecks in the gold infrastructure arise as market participants seek top-tier gold and storage space. Institutions such as central banks and large pension funds do not entrust their assets to just any vault. They prefer only top-grade facilities that guarantee political stability, predictable legal systems, high levels of insurance coverage, and regular independent audits. There is a subtle 'location premium' in the global gold market where the value of a gold bar varies depending on where it is stored. Top-tier investors such as central banks, sovereign wealth funds, and large ETFs require the highest standards for asset safety. They prefer vaults that are LBMA-accredited and located in countries whose political and legal stability has been proven for decades. Vaults meeting these conditions are concentrated in a few global financial hubs such as London, New York, and Zurich. Recently, new Asian hubs such as Singapore and Hong Kong have emerged, but it will take time to overcome the wall of long-established trust and infrastructure. In Hong Kong, concerns about political risk remain. Robert Gottlieb, a former HSBC precious metals trader, pointed out that 'there is always a fear about whether the Hong Kong market is a genuine international market or a place where the Chinese government could change regulations if it does not like the outcome.' A new gold valuation method has recently appeared. In January, the LBMA announced the 'Gold Bar Integrity (GBI) database' initiative. GBI, based on blockchain technology, assigns a unique digital identifier to every gold bar produced at LBMA-accredited refineries. It is a system that permanently records production information, ownership transfer history, and storage locations. The goal of this system is to trace the entire life cycle of gold 'from refinery to vault' and increase market transparency. Through this, illegal gold involved in 'conflict minerals', money laundering, or terrorist financing can be blocked from entering legitimate distribution channels at the source. Demand for physical assets such as gold has surged recently, drawing attention to the gold security logistics and vault industry. Rising companies in this field include Brink's and Loomis. Both companies operate precious metals transport and storage divisions. Their performance has improved due to increased physical movement demand in the gold market. Brink's said in its Q1 earnings release that 'global service grew due to increased precious metals movement.' Bank of Korea in 'cautious mode' While the world is reshaping safe-asset portfolios around gold, the Bank of Korea's stance is judged to be cautious. Global central banks have bought more than 1,000 tonnes of gold per year on average over the past three years. Over the same period, the Bank of Korea's official gold holdings have remained at 104.4 tonnes for more than ten years since February 2013. As of the end of September this year, that is only about 1.2% of foreign exchange reserves. Reasons cited include gold's low liquidity, high price volatility, and the fact that it is a non-yielding asset with no cash flows such as interest or dividends. Some speculate that the Bank of Korea hesitates to buy gold because of past experience. The Bank of Korea concentrated its purchases of 90 tonnes of gold between 2011 and 2013 at prices of $1,500–1,600 per troy ounce, and after gold prices plunged, it faced criticism for 'buying at the peak.' [Global Money X-file covers important but little-known flows of world money. If you want to conveniently read necessary global economic news, please subscribe to the reporter page] Reporter Kim Ju-wan kjwan@hankyung.com