The Importance of Crypto Legislation

The world of cryptocurrency is constantly in flux. Digital assets can be speculative and have a tendency to increase and decrease in value over time (known as volatility.) Not only that but, due to the nature of crypto, it is possible for anyone to craft and exchange new currencies, meaning the crypto market is always growing. This is evidenced in the constant emergence of various crypto presale project initiatives, as well as the community that surrounds and encourages these new projects. On such occasions, investors, traders, and recreational crypto buyers alike have a chance to purchase a new coin (or its share) at a potentially more affordable price. Once the cryptocurrency in question becomes available to mainstream buyers, it may bring certain earnings to the owner (but it can also flop, just to be clear). That’s why every buyer needs to collect enough data about the coin in question and the logistics behind it beforehand. 

Additionally, crypto is becoming much more mainstream. for example, as of 2025 in the US 27% of adults own cryptocurrency. These digital assets have certain benefits, and it seems they are not going anywhere any time soon.

In order to keep up with the demand and popularity of this versatile and changing world, governments need to craft clear legislation for their users, and quickly.

With that in mind, here are Five countries that are crafting new crypto regulations this year.

The United Kingdom

After its election win last year, the Labour Party has remained constant in its commitment to adopt and support the use of cryptocurrency in 2025. Speaking on their behalf Tulip Siddiq, a Labour Party minister, stated that the government is dedicated to forming new regulations, with all policies to be finalised by 2026. She also reassured crypto supporters by highlighting the initiative the government had shown in their crafting of the Digital Securities Sandbox last year which will aid the financial sector to use distributed ledger technology (DLT)  to enhance the security of crypto trading. Additionally, the Chancellor of the Exchequer, Rachel Reeves announced that the government will be using this sandbox in order to issue a Digital Gilt Instrument (DIGIT) which will use blockchain technology. 

All of this comes as a reassurance to UK-based crypto investors as it shows they the government remains steadfast in its commitment to crafting regulations, and that the timeline they have given is likely to be kept to.

The United States of America

President Donald Trump has been incredibly vocal about his support of cryptocurrency since his presidential campaign, where he promised to make the US the ‘crypto capital of the planet.’ Since his successful election, he has continued this rhetoric. Many are expecting an aggressive pro-crypto approach to crafting legislation this year. Dusty Johnson, who aided in the creation of the Financial Innovation and Technology for the 21st Century Act (FIT21), has stated that creating a regulatory framework for the industry is America’s priority. This commitment adds reassurance to those based in America that this work is very much at the forefront of their government’s minds.

However, many people remain concerned that the government is not as committed to reducing the security risks of crypto as they are to bringing it into mainstream society. In response, Johnson highlighted crypto-cyber security provisions in the act, predicting that these will be built upon in the near future. Hopefully, this will be a priority as legislation becomes more clear.

The State of Japan

Japan has remained supportive of incorporating cryptocurrency since its creation in 2009. This year, exciting developments are expected to come into action, which will see the various currencies redefined as ‘financial assets’ as opposed to their previous classification as ‘payment instruments.’ This would give cryptocurrencies more credibility and, Japan hopes, could see it better integrated into wider society. Additionally, the financial services agency (FSA) has considered changing Japan’s crypto tax rule, which aligns with the beliefs of the ruling Liberal Democratic Party (LDP)

Such a change could see traders subjected to significantly less income tax, which is good news for crypto enthusiasts based in Japan.

The People’s Republic of China

New regulations within China have had a detrimental effect on crypto traders. China, which has not legalised cryptocurrency transactions, has some of the harshest regulations and bans on the use of cryptocurrency in general. Such regulations have been even more tightly enforced in 2025, with banks now required, by law, to report seemingly suspicious crypto transactions. The result of this could see the user banned from other financial services.

However, all hope is not lost for China-based crypto enthusiasts as the country has actively praised Hong Kong for its position as a leader in the crypto realm. This proves the nation is not entirely against cryptocurrency, but it seems regular use and supportive legislation are still a long way off.

The European Union’s Markets in Crypto Assets (MiCA) 

An exciting development, which saw the 27 countries of the European Union joining together to work on crypto regulation was finalised late last year. The Markets in Crypto Assets (MiCA) is the first major jurisdiction to have formed full regulation for the use of crypto assets. They have established legislation relating to how cryptocurrencies are issued as well as how related services operate. Not only that, but this move has seen the introduction of licensing requirements for cryptocurrency companies.

All of this contributes to the smooth integration of cryptocurrency on a global scale and also gives the countries that are a part of the EU clear rules and regulations when it comes to the distribution of digital assets and the transactions of these currencies.

Conclusion

The first cryptocurrency (Bitcoin) was created in 2009, but at that time it was mostly unknown. Although almost two decades have passed since its creation, governments still have a long way to go before all legislation is clear and unified in its aims. With that being said, as the population and use of crypto is more popular than ever, it does seem that movements to draft these necessary regulations are happening much more quickly than they ever have before.

Crypto users have been waiting a long time for clear legislation, but it seems their desires are soon to be met.

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The Evolution of Contract Management

Contract management has historically been a manual, time-consuming technique fraught with challenges together with human error, inefficiencies, and compliance dangers. Over the years, CLM software programs have developed to address those issues by way of automating diverse tiers of the settlement lifecycle, from advent to execution and renewal. However, the mixing of AI into CLM software programs marks a vast leap ahead, introducing capabilities that have been previously not possible.

Key Benefits of AI in CLM Software

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AI brings a multitude of benefits to CLM software programs, remodeling how contracts are managed and processed. Here are a number of the key blessings:

1. Enhanced Efficiency: AI automates repetitive responsibilities, notably reducing the effort and time required for settlement management. This lets in legal teams to focus on greater strategic sports.
2. Improved Accuracy: AI-powered gear can examine and extract records with high precision, minimizing human errors and ensuring that contracts are correct and compliant.
3. Risk Mitigation: AI can pick out capability dangers and compliance problems in contracts, allowing proactive threat control and reducing the likelihood of legal disputes.
4. Data-Driven Insights: AI can analyze considerable amounts of contract facts to offer precious insights, supporting businesses to make knowledgeable decisions and optimize their settlement strategies.
5. Scalability: AI allows businesses to control a huge quantity of contracts efficiently, making it simpler to scale operations without compromising on fine or compliance.

Key Features of AI-Driven CLM Software

AI-pushed CLM software comes geared up with a variety of advanced features designed to beautify contract management strategies. Some of these functions encompass:

1. Automated Contract Drafting: AI can generate agreement drafts based on predefined templates and information inputs, making sure consistency and compliance with organizational standards.
2. Intelligent Clause Identification: AI can identify and extract particular clauses from contracts, making it simpler to analyze and evaluate terms throughout exclusive files.
3. Predictive Analytics: AI can predict contract effects based totally on historical records, helping organizations assume potential issues and take preventive measures.
4. Natural Language Processing (NLP): NLP talents allow AI to apprehend and interpret complicated felony language, facilitating more correct statistics extraction and analysis.
5. Smart Contract Review: AI can evaluate contracts for compliance with regulatory necessities and organizational guidelines, flagging any discrepancies or capacity risks.

Transforming Legal Workflows with AI

The integration of AI in the CLM software program is reworking prison workflows, making them more streamlined and green. Here’s how AI is revolutionizing various stages of the agreement lifecycle:

1. Contract Creation: AI automates the drafting process, lowering the time required to create contracts and making sure that they adhere to conventional templates and guidelines.
2. Contract Negotiation: AI can examine contract phrases and propose highest quality negotiation techniques, supporting prison teams achieve better consequences even as keeping compliance.
3. Contract Execution: AI can automate the execution manner, which includes digital signatures and approval workflows, making sure that contracts are done right away and as it should be.
4. Contract Management: AI-powered equipment can screen agreement performance, song key milestones, and ship alerts for upcoming renewals or expirations, ensuring that no essential deadlines are neglected.
5. Contract Analysis: AI can examine contract records to become aware of traits, risks, and opportunities, providing precious insights that could tell strategic selection-making.

Real-World Applications of AI in CLM Software

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Several organizations have already started harnessing the energy of AI for their CLM software program, reaping big benefits. Here are a few examples of the way AI is being carried out in agreement control:

1. Risk Management: A multinational agency used AI to analyze its contracts and discover potential compliance dangers. The AI-powered CLM software program flagged several contracts with non-compliant clauses, allowing the legal group to take corrective action before any troubles arose.
2. Efficiency Gains: A huge law corporation carried out AI-pushed CLM software to automate settlement drafting and overview methods.

This resulted in a 40% reduction in settlement turnaround time and a substantial decrease in human mistakes.

• Data Insights: A monetary offerings agency leveraged AI to investigate its settlement portfolio and gain insights into settlement overall performance. The AI-pushed evaluation found opportunities for fee financial savings and manner enhancements, mainly to higher agreement control practices.

The integration of AI in CLM software programs is revolutionizing the sector of settlement management, providing unprecedented efficiency, accuracy, and insights. By automating repetitive duties, mitigating dangers, and supplying information-pushed insights, AI-pushed CLM software is empowering felony groups to operate more efficiently and strategically. As LegalTech keeps evolving, the role of AI in CLM software becomes more and more pivotal, shaping the destiny of settlement control and putting new standards for excellence within the prison enterprise. Embracing these advancements will enable businesses to stay in advance of the curve, ensuring that their settlement management techniques are robust, green, and compliant.

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Link: https://www.fintechnexus.com/three-technologies-banks-will-invest-more-in-this-year/?utm_source=pocket_saves

Source: https://www.fintechnexus.com

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Link: https://www.fintechnexus.com/compliance-isnt-just-for-banks/?utm_source=pocket_saves

Source: https://www.fintechnexus.com

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Link: https://www.investopedia.com/european-union-passes-first-crypto-regulation-7482999?utm_source=pocket_saves

Source: https://www.investopedia.com

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International Monetary Fund (IMF) Managing Director Kristalina Georgieva says crypto needs “more regulation.” She added, “We should not take off the table banning those assets,” if regulation fails or is too slow to implement.

By Kevin Helms

IMF’s Chief Calls for More Crypto Regulation

IMF Managing Director Kristalina Georgieva talked about crypto regulation Saturday on the sidelines of G20 meetings for finance ministers and central bank governors under India’s presidency in Bengaluru. Commenting on crypto oversight, she told reporters:

There has to be more regulation.

Her statement followed a roundtable discussion she co-chaired with Indian Finance Minister Nirmala Sitharaman. The IMF chief and India’s finance minister agreed that besides debt restructuring, regulating cryptocurrencies is a priority area for India.

Georgieva explained that the IMF, the Financial Stability Board (FSB), and the Bank for International Settlements (BIS) are committed to establishing a foundation for the regulation of cryptocurrencies that are not issued by governments or central banks. “We have to differentiate between central bank digital currencies [CBDCs] that are backed by the state and stablecoins, and crypto assets that are privately issued,” she stressed.

“There has to be very strong push for regulation,” the IMF chief emphasized, noting:

If regulation fails, if you’re slow to do it, then we should not take off the table banning those assets, because they may create financial stability risk.

The IMF executive board provided guidance this week to help countries develop effective crypto policies. While most executive board directors agreed that “strict bans are not the first-best option, but that targeted restrictions could apply,” a few thought that “outright bans should not be ruled out.”

In addition, the board advised: “Crypto assets should not be granted official currency or legal tender status in order to safeguard monetary sovereignty and stability.” Georgieva similarly said Saturday:

Crypto assets are nothing, they cannot be accepted as a legal tender.

The Fund has been against El Salvador accepting bitcoin as legal tender since the country made the crypto a national currency back in September 2021. However, the IMF said earlier this month that, so far, the risks from El Salvador adopting BTC as legal tender have not materialized.

Link: https://news.bitcoin.com/imf-calls-for-more-crypto-regulation-says-banning-should-be-an-option/

Source: https://news.bitcoin.com

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Link: https://www.techrepublic.com/article/data-governance-in-banking/

Source: https://www.techrepublic.com

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ASA, an embedded fintech solution that connects financial institutions with customer-facing fintechs in a secure, compliant and easy to implement marketplace, today shared trends expected to most significantly impact the financial services landscape next year.

The rise in embedded fintech. As we continue to face thinning margins, skyrocketing customer expectations, quickly evolving technology and an increasingly competitive marketplace, banks and credit unions must quickly determine how to retain relevance and prominence in customers’ and members’ financial lives.

In response, more financial institutions will embrace embedded fintech, extending their brand and presence into everything the customer does in ecommerce. To do so successfully, banks and credit unions will look to a collaborative banking model.

Collaborative banking allows institutions to connect with customer-facing fintechs via digital rails that anonymize and tokenize all customer data. This removes the regulatory risk traditionally associated with bank-fintech partnerships and enables unprecedented innovation.

An influx of fintech regulation. Keep an eye on the regulatory and compliance landscape. With recent challenges exposed in the Buy Now Pay Later (BNPL) space and Banking as a Service models, more will prioritize account holder permissioned, anonymized, secure data transactions to enable access while reducing risk. The narrowed compliance focus for those who have pursued Banking as a Service especially will be a complex task as the players face increased regulatory scrutiny. Many will find themselves looking at alternatives to gain market share and meet customer needs.

The increasing importance of customer choice. Open banking has demonstrated the critical imperative of putting the account holder in control of their data and finances. However, most of the control that has been granted today is largely one sided; the customer can choose what technology they want, but that choice almost always results with the account holder having to share data or open accounts outside of their financial institution. More emphasis will be placed on giving customers and members control over not only the technology they adopt, but which institution (and therefore the type and level of trust and service) backs it.

“Despite recent challenges, the financial services industry continues to be filled with opportunity and innovation. It’s time for financial institutions and fintechs to reconsider how they work together,” said Landon Glenn, CEO and founder of ASA. “Next year, we expect to see the rise of embedded fintech, backed by a collaborative banking model. This will help solve increasing compliance and risk challenges while empowering the customer with greater control and choice.”

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Why should your geographic location limit your ability to send and receive money? Why should it affect your ability to buy goods and services from around the globe? And why should someone from Lagos or Kampala not have the same kind of access to global markets as someone based in London? These are the kinds of questions that many organisations looking to embrace Africa’s young, digitally-savvy population and fast-growing economies are asking; and these are questions that regulators and governments on the continent should be asking themselves too.   

As it turns out, one of the key factors helping create this kind of intracontinental and intercontinental economic freedom is interoperability. Simply put, interoperability is about ensuring that merchants are able to accept payments from any consumer, whether they’re using mobile money or a card and whether they’re online or offline. It also allows merchants to sell as easily to someone on the other side of the planet as they can to someone standing right in front of them.

Implemented properly, it’s something that can be wholly transformative for consumers and merchants alike. The former, frequently saddled with the inaccurate label of being “unbanked” can seamlessly access goods and services from around the world. The latter, meanwhile, can access new markets and previously unavailable opportunities. But in order for interoperability’s potential to be realised, regulatory frameworks that facilitate this seamless access are crucial. 

Understanding Africa’s monetary shifts 

In order to understand why this is so critical, it’s worth taking a look at some of the ways that the movement of money in Africa has changed over the years. Not too long ago, the picture that most people had in their minds was of small businesses using cash, and more recently, a domestic mobile money option like M-PESA or MTN MoMo to accept money.

But things have changed dramatically. Today’s African consumer is savvy, globally connected, and a digital native. They care about access more than the platform, meaning that the various available platforms being complementary is more important than any other sense of adversarial competition. 

Let’s take a small trader in Lagos as an example. Although she can send money via bank transfer to a family member in Port Harcourt, her options are limited. Transferring money to someone outside Nigeria through the same channel becomes tedious. If that businessman travels to Nairobi, he should be able to withdraw cash from his own account from a local M-PESA agent. It should be similarly easy for him to make a mobile payment to a driver in Cape Town if he takes a holiday there.

Her reality is something that we’ve worked hard to bring to people across Africa for the past decade because we know how big of an opportunity it presents. Right now, for example, just 15% of African trade is intra-continental. And even so, that number is distorted by countries like Nigeria, Egypt, and South Africa which have long established global trade relations. The African Continental Free Trade Area (ACFTA) should help bring that number up, but it can’t achieve its full aims unless consumers and merchants across the continent are given the freedom that true interoperability presents. 

Facilitating and embracing regulatory compliance 

As an organisation that specialises in interoperability, we know first-hand how important regulations and regulatory compliance are to achieving that vision. Among other things, regulations enable the efficiency and integrity of financial markets, promote the fair treatment of customers by financial institutions, provide financial education and promote financial literacy, and aid in maintaining financial stability. 

Those are all things that make life easier for those playing in the interoperability space. Stable and sensible regulations make it much easier for them to draw up lasting agreements with payment partners and other financial institutions, allowing for the legitimate free flow of money. It’s also important to remember that regulations are there to protect all players in the payments chain, including the end consumer. And when people feel that they and their money are safe, they’re much more likely to feel comfortable using new products and services. 

With interoperability being a significant contributor to financial inclusion and economic growth, Regulators can play an important role in providing a regulatory environment which fosters digital payments and interoperability within their domestic markets and across the continent. 

As a business, we take a proactive approach to compliance by scanning the environment for emerging trends in the payment space and how this may affect our partners, and MFS Africa as an organisation. With this approach, we can effectively address any emerging risks within the confines of local and international law and best practice.

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Currencycloud, the experts simplifying business in a multi-currency world, have contracted Clausematch, the global regulatory technology (RegTech) company and compliance experts, to implement its policy management solution.

Clausematch’s solution will allow Currencycloud to effectively manage its evolving suite of policies, procedures and other business-critical documentation. Clausamatch’s solution will facilitate ongoing compliance with a rapidly-changing global regulatory landscape, enable smarter collaboration across Currencycloud’s expanding global footprint, and automate previously manual, time-consuming document management tasks.

Prior to the relationship with Clausematch Currencycloud’s policies and procedures were developed and maintained using conventional office software. Sharedrives had to be organized, approval processes designed, reviews scheduled and versions managed, all as manual processes. Clausematch’s solution automates all of this and includes additional features such as document connections and attestations that will significantly reduce the time spent on these tasks and enhance the level of sophistication of document management.

Tanya Ziv, Chief Compliance Officer at Currencycloud, commented, “We are delighted to be working with Clausematch to enhance our policy management solution. They will be able to support us in managing the critical evolution of our policies and procedures as we continue to grow and expand.”

Evgeny Likhoded, Clausematch’s founder and CEO said: “We’re thrilled to have Currencycloud onboard. It is a great opportunity for Clausematch to work with a high-growth Fintech company to show its capabilities when it comes to supporting our clients with tricky compliance regulations across different geographies.”

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