‍Abstract

In taxation, crypto tax policies are diverging across jurisdictions. In the U.S., the Senate passed “Big Beautiful Bill,” but key crypto tax reform proposals were excluded. In response, Senator Cynthia Lummis introduced a standalone crypto tax bill. Russia established a national registry for mining equipment to strengthen tax oversight. The U.K. announced that, starting January 1, 2026, crypto users must provide personal information to service providers for tax purposes. Sweden, under a new law, has intensified asset seizure efforts involving crypto linked to unexplained wealth. Trump’s announcement of new tariffs on the EU, Mexico, and Canada also stirred inflation concerns in crypto markets.

In accounting, Strategy (formerly MicroStrategy) faces a class action lawsuit for allegedly failing to fully disclose the financial impact of adopting FASB standard ASU 2023-08. Investors claim the company highlighted Bitcoin-related gains while downplaying the potential for significant unrealized losses under fair value accounting, leading to misinformed assessments of its financial condition.

In regulation, major jurisdictions are accelerating the development of comprehensive crypto regulatory frameworks. On the policy front, the U.S. SEC reaffirmed that tokenized securities remain subject to federal securities laws. Elon Musk announced that his newly formed “The America Party” would explicitly support Bitcoin. During “Crypto Week,” The US Senate passed three cryptocurrency-related bills in their entirety. U.S. banking regulators also issued a joint statement providing a blueprint for banks to offer crypto custody services. In Hong Kong, the new Stablecoin Ordinance will take effect on August 1, with over 40 firms preparing to apply for licenses. On the enforcement front, Robinhood’s tokenized equity product came under investigation in the EU. New Zealand proposed a full ban on crypto ATMs to enhance anti-money laundering controls, and Malta’s fast-track crypto licensing process is under review by EU regulators. From a judicial standpoint, a U.S. court allowed Celsius to proceed with a $4.3 billion lawsuit against Tether. The U.S. Department of Justice charged the founders of OmegaPro with orchestrating a $650 million Ponzi scheme, and the Monetary Authority of Singapore imposed $21.5 million in fines on nine financial institutions for compliance failures related to a $2.2 billion crypto-linked money laundering case.

Part I Tax

1. Crypto Tax Reform Excluded from BBB, Now Advancing as Standalone Legislation (7.4)

President Trump’s “One Big Beautiful Bill”(BBB) narrowly passed by the U.S. Senate, but it did not include any provisions related to crypto assets. Nevertheless, the bill’s projected fiscal expansion, ballooning deficit, and inflationary outlook are widely seen as bullish for Bitcoin and other digital assets. The crypto industry had hoped this legislative window would be used to advance key tax reforms, but those efforts ultimately fell short. In the final hours before the vote, pro-crypto lawmakers—led by Senator Cynthia Lummis (R-WY)—pushed to attach a crypto tax relief amendment. The proposal aimed to provide benefits to miners, stakers, institutional holders, and retail users. However, due to time constraints, the amendment was not formally considered. A leading crypto policy advocate called it a “missed opportunity” but expressed hope that the House could still introduce tax incentives during its review.  Click here to read the original article

2. Sweden to Strengthen Crypto Asset Seizures (7.5)

Swedish Minister of Justice Gunnar Strömmer has instructed local police, tax agencies, and enforcement authorities to step up asset seizures under a new law that took effect in 2024. The crackdown targets proceeds of crime, including cryptocurrency, real estate, and business assets. Notably, the law allows authorities to confiscate such assets even if the holder is not directly under investigation—provided the person owns high-value goods or crypto with no verifiable income source. Since the law came into force, Sweden has seized over $8.3 million in related assets. Click here to read the original article

3. Russia Establishes National Registry for Crypto Mining Equipment to Enhance Tax Oversight (7.7)

Russia’s Ministry of Energy, Federal Tax Service, and Ministry of Digital Development jointly launched a national registry for cryptocurrency mining equipment. One of its core purposes is to accurately identify mining entities and strengthen tax oversight. Starting July 7, all businesses operating mining facilities are required to register with the tax authorities. In addition, miners—regardless of scale—must declare the amount of cryptocurrency they produce. This information will be used to calculate and collect applicable taxes, aiming to ensure effective taxation and combat evasion. Click here to read the original article

4. UK Crypto Users Could Face Fines Starting 2026 (7.9)

According to a July 9 announcement from the UK’s HM Revenue & Customs (HMRC), beginning January 1, 2026, crypto users must submit key identity and tax-related information to service providers or face a fine of up to £300 (approximately $408). Required information includes full name, date of birth, address, country of residence, and tax identification number (TIN). HMRC said the move is aimed at linking crypto activity to individual tax records to accurately determine tax obligations. This rule will apply to all entities classified as “crypto service providers,” including exchanges, wallet apps, NFT marketplaces, and crypto portfolio management platforms. Click here to read the original article

5. Hong Kong Lawmaker Proposes Tax Incentives to Promote Web3 Development (7.13)

Hong Kong Legislative Council member Johnny Ng announced that he had submitted a written proposal to Chief Executive John Lee for the 2025 Policy Address. The proposal contains 27 suggestions across six areas, including a call to advance Hong Kong’s development as a Web3 hub. Measures include strengthening regulatory and tax incentives for crypto and tokenized assets through supportive policy, talent cultivation, and crypto ecosystem development. He also proposed forming a Belt and Road Crypto Regulatory Alliance and establishing an institute focused on real-world asset (RWA) tokenization. Click here to read the original article

Part II Accounting

1. Strategy Faces Lawsuit Over Inadequate Disclosure of New Accounting Standard Impact (7.1)

New York-based law firm Pomerantz LLP has filed a class action lawsuit against Strategy (formerly MicroStrategy), led by Michael Saylor, alleging violations of federal securities laws. The lawsuit claims the company made false and misleading statements about the profitability of its Bitcoin investment strategy and treasury operations. According to the complaint, Strategy overstated its financial performance while downplaying the risks associated with Bitcoin volatility, and failed to adequately disclose the financial implications of adopting a new accounting standard — ASU 2023-08. Specifically, in Q1 2025, Strategy reported $5.9 billion in unrealized losses on its digital assets under the new fair value accounting model, which triggered an over 8% drop in its stock price. Pomerantz alleges that the company highlighted Bitcoin-related gains while concealing the potential for significant losses under fair value measurement. Click here to read the original article

Part III Supervision

1. Judge Allows Celsius to Proceed With $4.3B Lawsuit Against Tether (7.3)

The U.S. Bankruptcy Court for the Southern District of New York has approved Celsius’s $4.3 billion lawsuit against Tether. Celsius alleges that in June 2022, as it neared insolvency, Tether improperly liquidated nearly 40,000 bitcoins used as loan collateral—now worth over $4.3 billion—without honoring the 10-hour grace period stipulated in their contract. Tether, in response, called the lawsuit “extortion,” claiming the liquidation was conducted under the direction of Celsius executives. Judge Martin Glenn dismissed Celsius’s claim that Tether violated the British Virgin Islands’ duty of “good faith and fair dealing” (with leave to amend), but upheld other key claims. He stated that even if Celsius’s former CEO Alex Mashinsky—now jailed for fraud—had verbally approved the action, failure to honor the contractual grace period may still constitute breach of contract. Click here to read the original article

2. Singapore Fines Financial Institutions $21.5M in $2.2B Crypto Money Laundering Case (7. 6)

The Monetary Authority of Singapore (MAS) has fined six banks and three other financial institutions a combined 27.45 million SGD (approx. $21.5 million) following the country’s largest money laundering scandal in 2023. The penalties were imposed due to shortcomings in anti-money laundering (AML) controls, including failures in customer due diligence and transaction monitoring. The case, involving the so-called “Fujian gang,” saw authorities seize large amounts of cash, real estate, luxury goods, and cryptocurrencies. Ten individuals have been convicted to date. Click here to read the original article

3. Robinhood Faces EU Scrutiny Following Tokenized Equity Launch and OpenAI Warning (7.7)

Robinhood is under investigation in the EU after launching a tokenized equity product that claims to allow users to invest in shares of private companies such as OpenAI and SpaceX through blockchain tokens. The move quickly prompted a public denial from OpenAI, which warned that the tokens do not represent actual equity and that any transfer of its shares must be explicitly approved. Lithuania’s central bank, Robinhood’s lead regulator in the EU, has since requested clarification on the structure of the token and whether investor disclosures were adequate and not misleading. Robinhood responded that the product is based on rights to special purpose vehicles (SPVs) and is intended to offer retail investors indirect exposure to private companies. The legal and regulatory status of the product is currently under review. Click here to read the original article

4. Elon Musk Declares Bitcoin Support Through New ‘American Party’ (7.7)

On July 6, Elon Musk announced the creation of a new political party—the “American Party”—which supports technology and free speech. The following day, he stated that the party would formally endorse Bitcoin, declaring that “fiat is hopeless.” Musk’s move comes amid deep disagreements with Donald Trump over fiscal policy. A long-time supporter of crypto, Musk’s companies Tesla and SpaceX both hold Bitcoin on their balance sheets. Click here to read the original article

5. JD.com, Standard Chartered, and Ant Group Among Firms Preparing for Hong Kong’s Stablecoin License (7.8)

Hong Kong’s “Stablecoin Regulation Ordinance” is set to take effect on August 1, after which the Hong Kong Monetary Authority (HKMA) will begin accepting license applications. Industry sources expect the number of available licenses to be very limited—likely in the single digits—yet more than 40 firms, including major Chinese financial and tech giants such as JD.com, Standard Chartered, and Ant Group’s Circle joint venture, are reportedly preparing to apply. Competition is expected to be fierce, and small to mid-sized applicants are seen as having slim chances of success. Click here to read the original article

6. New Zealand Proposes Ban on Crypto ATMs to Strengthen AML Controls (7.9)

New Zealand is planning a complete ban on cryptocurrency ATMs in an effort to bolster anti-money laundering and counter-terrorist financing (AML/CFT) regulations. These machines, which allow users to buy crypto using cash or cards and send it to designated wallets, are viewed by regulators as a high-risk channel for converting illicit cash into digital assets. The government also intends to cap international cash transfers at NZD 5,000 (approx. USD 3,000). With 221 crypto ATMs currently in operation across the country, the proposed ban would lead to their full removal if enacted. Click here to read the original article

7. U.S. SEC Reaffirms: Tokenized Securities Are Still Securities (7.10)

Hester Peirce, Commissioner and head of the SEC’s Crypto Assets and Cyber Unit, stated that tokenizing stocks or other assets does not change their fundamental nature—they still fall under federal securities laws. A longtime advocate for crypto innovation, Peirce nonetheless emphasized that market participants must comply with existing regulatory obligations. Her comments come in response to industry calls for freer blockchain-based trading of tokenized assets, underscoring that digital transformation does not exempt assets from regulation. Click here to read the original article

8. EU Regulator Reviews Malta’s Fast-Track Licensing for Crypto Firms (7.10)

The European Securities and Markets Authority (ESMA) has reviewed the compliance of Malta’s authorization process under the Markets in Crypto-Assets Regulation (MiCA). ESMA raised concerns that the Malta Financial Services Authority (MFSA) granted a license to a crypto asset service provider (CASP) before addressing several key issues. The assessment noted that MFSA did not adequately utilize the review period to ensure the applicant resolved critical deficiencies before approval. ESMA also found insufficient scrutiny in areas such as business expansion, conflict of interest, and governance arrangements. Nevertheless, ESMA acknowledged Malta’s strong regulatory resources, and the MFSA welcomed the review and its feedback. Click here to read the original article

9. Former Bitfury Legal Chief Jonathan Gould Confirmed as OCC Head (7.11)

The U.S. Senate has confirmed Jonathan Gould as the new Comptroller of the Currency (OCC) in a 50–45 vote. Gould, a former Chief Legal Officer at Bitcoin technology firm Bitfury, brings deep blockchain experience to the role. Under the Biden administration, the OCC and other regulators took a cautious approach toward crypto, resulting in a wave of “de-banking” for crypto firms. Click here to read the original article

10. The US Senate Passed Three Cryptocurrency-related Bills (7.17)

The US House of Representatives passed three cryptocurrency-related bills in their entirety, including the CLARITY Act, the GENIUS Act, and the Anti-CBDC Surveillance State Act. The CLARITY Act and the Anti-CBDC Surveillance State Act will be sent to the Senate for consideration. The GENIUS Act is expected to be signed into law by Trump on Friday local time. Click here to read the original article

11. U.S. Banking Regulators Release Crypto Custody Roadmap for Lenders (7.5)

The Federal Reserve, Federal Deposit Insurance Corporation (FDIC), and Office of the Comptroller of the Currency (OCC) issued a joint statement outlining how banks can offer crypto custody services to clients without violating regulations. The guidance — effectively a blueprint — provides clarity on how traditional lending institutions can securely hold digital assets on behalf of customers. Click here to read the original article

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