Crypto news Solana and Ethereum connected by Key App, ECB publishes 2 reports on Digital Euro, Russia cancels national crypto exchange plans, and CoinEx introduces BitHK

Read about the latest news and developments in the world of cryptoassets and blockchain, including stories that may not be making headlines in mainstream news outlets. __________

Payments news

  • Key App, a remittance service, has introduced a bridge that connects users between the Solana and Ethereum networks within the Key App platform. Gas fees are covered for transfers over $50. By utilizing Wormhole’s bridging technology, Key App streamlines the user interface, enabling anyone to send tokens between the two networks with minimal steps. Key App users are given an Ethereum address on Key App and can send from Ethereum to Solana without having to connect a third wallet. They can also withdraw funds from Solana to Ethereum and pay the fee in the same token they are sending.

CBDC news

  • The European Central Bank (ECB) has finalized prototypes for a digital euro. The bank published two reports on its market research and prototyping exercise, both conducted as part of the investigation phase of the digital euro project. “The findings of these reports will feed into both the conclusions of the investigation phase and the potential next steps,” it said. “This exercise shows that it is possible to smoothly integrate the digital euro design choices into the existing payment landscape while leaving ample scope for innovative features and technologies,” said ECB Executive Board member Fabio Panetta in a letter.

Regulation news

  • Russian lawmakers have abandoned the idea of creating a national crypto exchange and will instead focus on setting rules and regulations for the establishment and operation of such companies. Exchanges will be used to conduct cross-border settlements, including bypassing sanctions restrictions, so new restrictions may be introduced against them. Other exchanges will be able to open as long as they comply with the rules and are overseen by the Central Bank of the Russian Federation, according to Anatoly Aksakov, the head of the State Duma’s Committee on the Financial Markets.

Exchange news

  • CoinEx has announced the official launch of BitHK, a crypto trading platform that caters specifically to users in Hong Kong. As per the Guidelines for Virtual Asset Trading Platform Operators, BitHK will submit its license application as a Virtual Asset Service Provider (VASP) to the Securities and Futures Commission (SFC) on June 1. Users can now engage in spot trading and store crypto assets on the platform, which is currently available in Traditional Chinese and English.

Adoption news

  • Crypto founders are optimistic about the Beijing paper promoting Web3, despite it not mentioning cryptocurrency. The report, titled “Beijing Internet 3.0: Innovation and Development White Paper,” suggests the moves in Beijing and Hong Kong signal China’s greater support for Web3, according to Binance CEO Changpeng Zhao, Huobi adviser Justin Sun, and Animoca Brands co-founder and chairman Yat Siu, as reported by the South China Morning Post.
  • US federal prosecutors have responded to filings made by Sam Bankman-Fried’s lawyers in a bid to convince a judge to toss out criminal charges alleging that the FTX founder stole from investors in his multibillion-dollar cryptocurrency fund. The prosecutors said that Bankman-Fried’s lawyers made meritless arguments, insisting that the US overreached in its case against the FTX founder, making federal crimes out of regulatory issues. “These motions are meritless,” prosecutors wrote. “The charges track the relevant statutes and the defendant’s alleged misconduct falls within the heartland of what these statutes prohibit,” as reported by the Independent.