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South Korean Presidential Candidate Proposes Accelerating Stablecoin Regulation Pegged with Won

By
Paul Ugbede Godwin
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0

South Korean presidential candidate Lee Jae-myung, the Democratic Party leader and front-runner for the June 3, 2025, election, has proposed accelerating stablecoin regulation, specifically advocating for a won-pegged stablecoin to curb capital outflows and enhance financial sovereignty. His plan aims to reduce reliance on foreign-issued stablecoins like USDT and USDC, which dominate local crypto markets due to South Korea’s current prohibition on domestic stablecoin issuance.

Lee’s proposal includes the Digital Asset Basic Act to establish a legal framework for cryptocurrencies, covering stablecoin issuance, trading, and regulation with requirements like substantial reserves and Financial Services Commission (FSC) approval. This marks a shift from South Korea’s historically cautious crypto stance, following the recent lifting of a ban on corporate crypto trading. However, the Bank of Korea’s Governor, Lee Chang-yong, has emphasized that stablecoin regulation is urgent, warning that foreign stablecoins could bypass capital and foreign exchange regulations.

Critics, including rival candidate Lee Jun-seok of the Reform Party, argue that Lee Jae-myung’s proposals lack market understanding and could be risky, citing past issues with volatile stablecoins like Terra’s UST. Economists also caution that private stablecoin issuance might undermine the central bank’s control over inflation and liquidity. A won-pegged stablecoin could reduce South Korea’s reliance on foreign stablecoins (e.g., USDT, USDC), which currently dominate 99% of local crypto trading volume. This could limit capital outflows, as foreign stablecoins facilitate cross-border transactions that bypass South Korea’s strict capital controls.

By issuing a domestic stablecoin, South Korea could strengthen its monetary policy control, reducing the influence of foreign currencies like the USD in its crypto markets. This aligns with concerns from the Bank of Korea about foreign stablecoins undermining capital and foreign exchange regulations. A regulated stablecoin framework could foster trust in digital assets, encouraging adoption and investment in South Korea’s crypto market, which is among the world’s most active. However, poorly designed regulations or volatile stablecoin models (e.g., Terra’s UST collapse in 2022) could destabilize markets and erode public confidence.

Private stablecoin issuance might conflict with the Bank of Korea’s authority over monetary policy, potentially complicating inflation and liquidity management. The central bank is exploring a central bank digital currency (CBDC), which could compete with or complement a won-pegged stablecoin. Lee’s pro-crypto stance targets younger voters and crypto enthusiasts, a significant demographic in South Korea, where crypto trading is popular. His promise to lift ICO bans and regulate stablecoins could position him as a forward-thinking candidate.

Rushed or poorly crafted regulations could lead to financial instability, potentially damaging Lee’s credibility if elected. The Terra-Luna crash, linked to South Korean founders, remains a cautionary tale for voters and regulators. South Korea’s move could set a precedent for other Asia-Pacific nations with active crypto markets, like Japan or Singapore, to develop their own stablecoin regulations. A won-pegged stablecoin could challenge the dominance of USD-based stablecoins, though its global adoption may be limited due to the won’s smaller international footprint.

Local exchanges, blockchain startups, and crypto traders support Lee’s proposal, as it could legitimize the industry, attract investment, and reduce dependence on foreign platforms. The recent FSC approval of corporate crypto trading accounts has already boosted optimism. Lee’s pro-crypto policies resonate with tech-savvy, younger demographics who see digital assets as a hedge against economic uncertainty and a path to financial innovation. Policymakers and economists favoring reduced reliance on USD-based systems see a domestic stablecoin as a step toward greater economic independence.

The central bank, led by Governor Lee Chang-yong, warns that private stablecoins could undermine monetary policy and enable regulatory evasion. Economists argue that only a CBDC under central bank control can ensure stability. Lee Jun-seok of the Reform Party criticizes the proposal as populist and poorly thought-out, arguing it lacks understanding of crypto market dynamics and risks repeating past failures like Terra’s UST.

Critics highlight South Korea’s history of stringent crypto oversight (e.g., real-name trading laws, high taxes on crypto gains) and question whether the FSC can implement robust regulations without stifling innovation or exposing consumers to risk. South Korea’s crypto market is vibrant, with over 7 million active traders (14% of the population) as of 2024. Many support deregulation and innovation but remain wary after the $40 billion Terra-Luna collapse.

Older generations and conservative investors, scarred by past crypto scandals, favor stricter oversight or a CBDC over private stablecoins, fearing volatility and fraud. Lee Jae-myung’s push for accelerated stablecoin regulation reflects a balancing act between fostering innovation and addressing economic risks. While it could strengthen South Korea’s crypto market and financial sovereignty, it faces resistance from traditional financial institutions and skeptics wary of regulatory missteps.

Tesla Set to Launch 1,000 Robotaxis in June in Austin, Aiming to Redefine Public Transport and Challenge Waymo

By
Samuel Nwite
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0

Tesla’s long-anticipated robotaxi service is finally making its debut, starting in Austin this June, in what CEO Elon Musk says will be a cautious but fast-paced rollout that could see up to 1,000 autonomous Teslas operating in the city within a few months.

The move marks a significant milestone in Tesla’s vision to reshape urban mobility and carve out a new revenue frontier beyond electric vehicle (EV) sales.

“We’ll start with probably 10 for a week, then increase it to 20, 30, 40,” Musk said in an interview with CNBC on Tuesday. “It will probably be at 1,000 within a few months.”

This will be Tesla’s first real-world deployment of a robotaxi service, part of a broader push by Musk to revolutionize transportation. He has long pitched the idea of a fleet of fully autonomous Teslas that could earn money for their owners, operating like a self-driving Uber, whenever the car is not in personal use. For Tesla owners, this promises a potentially lucrative side hustle. For Tesla, it introduces a new business model that could generate recurring revenue while amplifying the brand’s dominance in mobility tech.

The launch will begin under strict controls. The pilot will be invite-only, and the robotaxis will operate on public roads but be geo-fenced to limited, safer regions of Austin.

“We will geo-fence it,” Musk said. “It’s not going to take intersections unless we are highly confident it’s going to do well with that intersection. Or it will just take a route around that intersection.”

Teleoperators — remote human supervisors — will be on standby to intervene when the autonomous system gets stuck or faces an edge-case scenario. While competitors like Waymo and Zoox also use similar systems, Tesla has historically taken a different approach to autonomy, relying on camera-based systems and neural networks rather than expensive lidar and detailed 3D maps.

Musk has promised that Tesla will scale rapidly once the initial fleet proves itself. After Austin, the company plans to roll out robotaxis to other cities, including San Francisco. By the end of 2026, Musk claims there could be more than 1 million self-driving Teslas on the road in the United States alone — a bolder rehash of a promise he first made in 2019. At the time, Musk claimed there would be 1 million Tesla robotaxis by the end of that year. That goal was missed, and Musk later conceded that punctuality was not his “strong suit.”

Regulatory Hurdles Ahead

But scaling won’t be simple. Tesla’s push to launch robotaxis across multiple states will run headlong into a patchwork of regulations. California, for instance, home to Musk and Tesla’s earliest Full Self-Driving (FSD) experiments, still hasn’t granted full approval to Tesla for robotaxi operations. Alphabet’s Waymo, on the other hand, has already made significant progress in cities like San Francisco, Phoenix, and Los Angeles, and has permission to offer fully driverless rides to paying customers.

“The approval process is very haphazard and sort of state-by-state, and sometimes city-by-city,” Musk said, voicing frustration at the regulatory fragmentation. “We really need to get national regulations in place.”

That lack of federal cohesion could delay Tesla’s rollout in key markets, giving competitors more time to entrench themselves. Waymo, for instance, already operates in dense urban environments and has quietly expanded its fleet while earning regulators’ trust. Unlike Tesla, Waymo has focused on building a purpose-designed self-driving vehicle from the ground up, equipped with lidar and operating under a highly conservative safety model. These choices may slow down development, but have helped avoid high-profile incidents.

Tesla’s Full Self-Driving software remains under public and regulatory scrutiny. A recent test by Business Insider comparing Waymo and Tesla’s supervised FSD showed a Tesla running a red light at a complex intersection in San Francisco. Musk dismissed the test as flawed, saying it “made no sense,” but acknowledged Tesla’s robotaxis will avoid high-risk intersections until system confidence improves.

The robotaxi pilot, while limited in geographic scope, will serve as a crucial test of Tesla’s AI-driven approach to autonomy. Unlike Waymo’s laser-scanned maps and tightly controlled routes, Tesla is betting on fleet-collected real-world data and neural network learning to scale rapidly and cheaply. If it works, Tesla could leapfrog the more cautious, hardware-heavy approaches used by rivals.

A New Business Model

Tesla’s robotaxi venture isn’t just about advancing self-driving technology — it’s also about redefining Tesla as more than an automaker. Musk envisions a future where most Tesla owners can opt in to the autonomous network, allowing their vehicles to work as driverless taxis while they’re at home or at work. This model would transform every Tesla into a potential revenue-generating asset, something no other car company currently offers.

The company has said that eventually, these robotaxis could function without any manual controls, built specifically for autonomy. A new robotaxi design is expected to be unveiled at Tesla’s upcoming event on August 8.

Weak Auction of Japan’s 20-Year Bond Underscores Vulnerabilities in Japan’s Debt Market

By
Paul Ugbede Godwin
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0

The recent auction of Japan’s 20-year government bonds saw the weakest demand since August 2012, with a bid-to-cover ratio of 2.5, down from 2.96 in the previous auction. This indicates that for every ¥100 offered, only ¥250 was bid, reflecting investor hesitancy. The tail, or gap between average and lowest-accepted prices, was 1.14, the widest since 1987, signaling sluggish demand.

This weak auction drove the 20-year JGB yield up by about 15 basis points to 2.555%, the highest since October 2000. The 30-year yield hit a record 3.14%, and the 40-year yield reached 3.6%. Concerns stem from the Bank of Japan’s (BOJ) gradual retreat from its massive bond-buying program, raising fears about who will fill the demand gap as yields rise. Analysts suggest structural issues in Japan’s debt market and global worries about rising government spending are contributing to the lack of investor appetite.

The weak demand for Japan’s 20-year government bonds, with the lowest bid-to-cover ratio since 2012, has significant implications for Japan’s economy and its debt market, while also highlighting a growing divide between market dynamics and policy expectations. The surge in the 20-year JGB yield to 2.555%—a 25-year high—along with record highs for 30-year (3.14%) and 40-year (3.6%) yields, signals increasing borrowing costs for the Japanese government. This could strain public finances, given Japan’s massive public debt, which exceeds 250% of GDP.

The Bank of Japan’s (BOJ) gradual withdrawal from its bond-buying program, part of its ultra-loose monetary policy, is reducing its role as a dominant buyer. This shift leaves uncertainty about who will absorb the supply of JGBs, especially as global investors demand higher yields to compensate for inflation and currency risks. The wide tail (1.14) in the auction reflects poor market depth and investor reluctance, potentially undermining confidence in JGBs. If demand continues to weaken, it could lead to further yield spikes, destabilizing the bond market and complicating the BOJ’s efforts to manage monetary policy.

Rising JGB yields could influence global bond markets, as Japan is a major holder of foreign debt. Higher yields may attract some capital back to Japan, strengthening the yen but potentially disrupting global carry trades that rely on low Japanese rates. With Japan’s aging population and rising social spending, higher borrowing costs could limit fiscal flexibility, forcing tougher choices between austerity, tax hikes, or increased debt issuance, all of which carry economic and political risks.

The BOJ has historically suppressed yields through aggressive bond purchases and yield curve control. However, as it scales back, markets are pushing yields higher, reflecting inflation concerns and expectations of tighter policy. This creates a disconnect between the BOJ’s desire for gradual normalization and the market’s anticipation of faster change. Domestic investors, like Japanese banks and pension funds, have traditionally been reliable buyers of JGBs due to regulatory and structural incentives. However, global investors are less willing to hold JGBs at low yields, especially with the yen weakening (recently hitting a 34-year low against the USD). This divide in demand exacerbates the auction’s weakness.

The BOJ faces a short-term challenge in stabilizing the bond market while addressing long-term structural issues, such as Japan’s shrinking population and stagnant growth. Investors are increasingly skeptical about the sustainability of Japan’s debt-driven economic model, creating a divide between current policy and future risks.

The weak auction underscores vulnerabilities in Japan’s debt market as the BOJ navigates a delicate transition. The divide between policy intentions and market reactions, as well as between domestic and global investor behavior, could amplify volatility if not carefully managed.

India’s Supreme Court’s Push for Regulation of Cryptocurrencies Signals a Progressive Shift

By
Paul Ugbede Godwin
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0

In May 2025, the Supreme Court of India advocated for regulating cryptocurrencies instead of imposing a ban, emphasizing the need for a legal framework to manage digital assets. This stance emerged during a bail hearing involving a cryptocurrency-related fraud case, where the court highlighted the complexity of crypto markets and the necessity for expert consultation to craft effective regulations.

The court noted that cryptocurrencies like Bitcoin are already subject to a 30% tax on profits and a 1% tax deducted at source, indicating partial legal recognition. This follows the court’s 2020 decision to overturn a Reserve Bank of India (RBI) circular that had prohibited banks from facilitating crypto transactions, citing the ban as disproportionate.

Despite concerns about volatility and potential misuse, such as money laundering, the court believes regulation aligns better with global trends and India’s growing crypto market, which had a value of $221.5 million in 2023 and nearly 200 million holders in 2024. However, no comprehensive regulatory framework has been finalized, and the RBI remains cautious, promoting its own digital currency, the e-Rupee, while warning against private cryptocurrencies.

Regulating cryptocurrencies could legitimize and boost India’s crypto market, valued at $221.5 million in 2023 with nearly 200 million holders in 2024. A clear framework may attract institutional investors and foster blockchain innovation. A regulated crypto sector could create jobs in tech, finance, and compliance, supporting India’s growing digital economy.

Aligning with global trends (e.g., U.S. and EU regulatory frameworks) could position India as a hub for crypto innovation, reducing brain drain and capital flight to less restrictive jurisdictions. Regulation could introduce KYC/AML (Know Your Customer/Anti-Money Laundering) norms, reducing scams like the one prompting the Supreme Court’s remarks, where crypto was used for fraudulent activities.

Oversight might curb volatility in crypto markets, protecting retail investors while allowing informed participation. Formalizing the sector could enhance tax compliance, building on the existing 30% capital gains tax and 1% TDS on crypto transactions. 6Crafting rules for a decentralized, volatile asset class requires expertise, as the Supreme Court noted, potentially delaying implementation.

India’s regulatory bodies, like SEBI or RBI, may struggle with monitoring decentralized platforms and cross-border transactions. Overregulation could stifle startups, while underregulation risks financial crimes and investor losses. India’s approach could influence other developing nations, especially in South Asia, to adopt similar regulatory models, shaping global crypto standards.

A balanced framework might encourage international crypto firms to enter India, boosting foreign direct investment. Supreme court advocates regulation over bans to align with global trends and protect investors, as seen in its 2020 ruling against the RBI’s blanket ban and recent calls for a legal framework. Exchanges like CoinDCX and WazirX support regulation, arguing it would provide clarity, reduce fraud, and attract institutional capital. Industry leaders have called for progressive laws to foster innovation.

With nearly 200 million crypto holders, many see regulation as a way to legitimize investments, enhance security, and reduce risks of fraud or exchange failures. Reserve Bank of India (RBI) remains skeptical, citing risks of money laundering, terrorism financing, and financial instability due to crypto’s volatility. The RBI promotes its e-Rupee as a safer, centralized alternative and has historically favored restrictive measures, like the 2018 banking ban.

Banks and financial institutions worry about competition from decentralized finance (DeFi) and the challenges of integrating crypto into existing systems. Policymakers express concerns about crypto’s potential to destabilize India’s economy or enable illicit activities, advocating for stringent controls or outright bans. The Finance Ministry has taken a nuanced stance, imposing taxes on crypto (30% on profits, 1% TDS) but not yet finalizing a comprehensive law. It’s exploring regulation under G20 frameworks to balance innovation and risk.

Economists argue for a risk-based approach, regulating stablecoins and major cryptocurrencies differently from speculative tokens, to harness economic benefits while minimizing harm. The crypto industry pushes for freedom to innovate, while the RBI prioritizes financial stability, creating friction over how strict regulations should be.

The RBI’s e-Rupee represents centralized control, clashing with crypto’s decentralized ethos, raising questions about whether regulation will favor state-backed digital currencies. While the Supreme Court and industry align with global regulatory trends, the RBI’s cautious approach reflects local concerns about economic sovereignty and financial crime.

The Supreme Court’s push for regulation signals a progressive shift, potentially unlocking economic benefits and aligning India with global crypto markets. However, the divide between pro-regulation advocates and cautious entities like the RBI highlights the challenge of balancing innovation, investor protection, and financial stability. The outcome hinges on whether India can craft a framework that addresses these tensions while leveraging its massive crypto user base to drive economic growth.

Preparing Students for Nigeria’s Labour Market Through Experiential Learning

By
Mutiu Iyanda
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0

On May 15, 2025, I had the pleasure of engaging once again with students from the Mass Communication Department at Fountain University, Osogbo. This session was part of an ongoing effort to prepare students for the realities of the labour market in Nigeria. It was my second time walking them through the demands, uncertainties, and strategies necessary to thrive in an environment that is both challenging and full of opportunity.

This year’s event stood out not just because of the dialogue we had, but also because it was organized and executed with a national outlook. It was named the Career and Employability Summit, with the theme: Navigating Nigeria’s Job Market in Times of Uncertainties. It was fully planned and delivered by the students as part of their coursework for the Event Management class. This practical-driven course, anchored by Dr. Rasheed Adebiyi, encourages students to move beyond theory and immerse themselves in hands-on learning. Under his guidance, the students transformed their classroom knowledge into a professional-level event.

Mr. Mutiu Iyanda Lasisi prepares for his presentation, while a student MC looks on.

From the first moment, the level of organization and professionalism on display was exceptional. The students were responsible for the entire process, including communication, publicity, logistics, and content development. They produced an impressive range of information, education, and communication materials. One of the standout elements was an audiovisual production of my professional citation, which they had compiled and shared before the event. It was a well-crafted, insightful presentation that I have since featured on my digital platforms.

This kind of initiative demonstrates something very important. When students are given the right tools, mentorship, and room to lead, they do not just meet expectations (they exceed them). The notion that Nigerian institutions do not prepare students for the workplace does not hold up when you witness such competence in action. The students were not just learning about communication theory. They were practicing communication, managing real-time logistics, and demonstrating creative thinking in solving practical problems.

My keynote focused on guiding the students through the process of understanding and assessing their readiness for the job market. I noted that in a world reshaped by digital disruption, globalisation, and rapid automation, traditional career paths are evolving faster than ever. Gone are the days when a university degree alone was a golden ticket to employment. Today, employers seek not just credentials, but capability—people who understand their value, their potential, and how to position themselves strategically. That is what today is about.

I encouraged them to carry out a personal audit of their skills, knowledge areas, and strengths. We talked about identifying opportunities, understanding potential threats, and navigating the often unpredictable nature of employment in Nigeria. I emphasized that while the environment may not always be ideal, preparation, adaptability, and clarity of purpose go a long way in shaping successful career paths.

A valuable part of the event was a short but insightful talk by Professor Nnamdi Madichie, a respected academic from the Bloomsbury Institute in the United Kingdom. His contribution was focused and practical. He spoke to the students about the importance of writing professional emails and cover letters, highlighting how these often-overlooked elements can make or break a first impression. It was a timely reminder that soft skills matter, and that effective written communication is a critical tool in today’s competitive landscape.

This emphasis on communication aligned perfectly with the broader message of the event. In today’s world, being qualified is no longer enough. Employers are looking for candidates who can express themselves clearly, take initiative, and demonstrate a well-rounded understanding of workplace dynamics.

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