It is unquestioningly true—and positive!—that the upcoming US elections are the first to feature statements by presidential candidates about crypto. However, a reality check is needed on the presidential candidates' interest in crypto. Whether and how crypto regulatory and policy updates play out is a more complicated and nuanced discussion. More on those dynamics in this edition of the Digital Assets Download.
In this edition, we also cover the Hong Kong Monetary Authority’s E-HKD Pilot Programme Phase 2 and the US Department of Justice’s Whistleblower Program, among other topics.
For the Uninitiated: Digital Assets Download is a curated mix of insights and headlines that provide a Layer 3 Legal Perspective™ on the digital assets multiverse—created by Mayer Brown’s global Digital Assets, Blockchain & Cryptocurrency group.
The Lead Block
News Node
Crypto Developers Take Aim At 'Patent Trolls' In New Deal
Coinbase to Delist Unauthorized Stablecoins in EU by December
Asset Manager Working on Tokenizing Money Market Funds as Collateral
Major Payment Network Unveils Platform for Tokenized Digital Asset Management
Online Payment System Pays EY With In-House Stablecoin to Show ‘Well-Suited’ Enterprise Capabilities
Use of Investment Company Tokens as Collateral Moves Closer to Mainstream
ECB Study: US Monetary Policy Has Biggest Impact on Stablecoin Market Cap
IMF Paper Compares CBDC, Faster Payments, E-money
S&P Global Report Explores Intersection of AI and Crypto
DLT Exchange FCX Lands Trading, Settlement Licenses in Australia
Crypto Is Pouring Cash Into the 2024 Elections. Will It Pay Off?
United Arab Emirates Exempts Crypto Transactions From Value-Added Tax
SEC Director Who Helped Lead Crypto Crackdown Is Departing
Crypto.com Sues SEC, Chair Gary Gensler After Receiving Wells Notice
FTX Cleared to Repay Billions to Customers After Bankruptcy Plan Approval
Major Financial Services Company Approved by SEC for Crypto Custody Beyond ETFs, Gensler Says
Tokenization of Real-World Assets: Signals from the US House Committee on Financial Services
Select Events
On Thursday, October 17, Mayer Brown partners will host a discussion on what the election could mean for financial services and digital assets. This session is one in a series of election-related panels on the most significant topics facing candidates and voters in the upcoming US elections.
CFTC Commissioner Pham to Speak at Blockworks Permissionless III (Virtual)
On Friday, October 11, Commodity Futures Trading Commission Commissioner Caroline D. Pham speaks virtually on a fireside chat titled “Pushing Crypto Forward in the US” at Permissionless III, presented by Blockworks and BANKLESS.
The Definitive Conference for Institutional Crypto
On Wednesday, November 6, The Tie is hosting its 2nd annual The Bridge conference in New York City. This event will gather executives from leading traditional institutions and digital asset firms, focusing on the intersection of digital assets and institutional finance. Look for the Mayer Brown team there!
FDIC's Proposed Pass-Through Insurance Rules: Impact on Bank-Fintech Partnerships
On Wednesday, September 25, Mayer Brown Fintech partners analyzed the Federal Deposit Insurance Corporation’s proposed rules and identified ways we think it could impact these partnerships (including some that may not be obvious). We also weighed in on how industry leaders can shape the rule during the public comment period.
LEARN THE LINGO
For those new to the digital assets and DeFi world, each edition of the Digital Assets Download will highlight a different term to help you be a part of the conversation.
Zero Knowledge Proof
A zero-knowledge proof is a cryptographic technique that allows the sharing of cryptographically encrypted information while keeping private the underlying data and personally identifiable information that may be part of the data.
Blockchains are generally designed to be transparent, with each node able to see and download all data stored on the ledger. Zero-knowledge proofs allow the use of private datasets in applications (such as smart contracts) without revealing the underlying data. As a result, zero-knowledge proofs are generally considered to offer greater privacy in blockchain transactions.
In general, in a zero-knowledge proof, one party (the prover) can prove to another party (the verifier) the truth of a statement without sharing the statement’s contents or revealing how the prover discovered the truth. The proof works by having the verifier ask the prover to perform a series of actions that can only be performed accurately if the prover knows the underlying information.
A few applications where zero-knowledge proofs can be used include money transfers and identity authentication.
Writing on the Wall, Translating ‘Crypto’ Terms with Mayer Brown
From Airdrop to Wrapped Token, our illustrated glossary, “Writing on the Wall, Translating Securities with Mayer Brown,” has been updated with additional digital assets and cryptocurrency terms. Check out our “featured” list for the crypto terms and the full list of terms.
