Staking will not be considered a collective investment scheme in the United Kingdom, according to a recent amendment by the U.K. Treasury. U.K. Authorities have updated a section of the Financial Services and Markets Act 2000, which regulates financial markets in the U.K., to clarify that crypto staking is not a “collective investment scheme.” Staking is a process where blockchain users lock up a network’s native tokens for a chance to participate in transaction validation on proof-of-stake blockchain networks like Ethereum. In return, participants earn rewards, usually in the form of additional tokens. The Treasury’s amendment clarifies that staking does not fit the definition of a collective investment scheme. A CIS involves arrangements where individuals pool their funds for shared profits or income, such as exchange-traded funds or mutual funds. These are regulated by the U.K.’s Financial Conduct Authority, requiring registration, authorization, and ongoing compliance by approved managers to ensure investor protection. You might also like: UK government to introduce legislation on stablecoins, staking: report The updated law explicitly states that ‘arrangements for qualifying crypto asset staking do not amount to a collective investment scheme,’ distinguishing staking from traditional investment models. The amendment will be effective starting Jan. 31 and applies to all four constituent countries of the United Kingdom. Commenting on the development, Bill Hughes, a lawyer at Consensys, described it as a positive step, stating that “the way a blockchain works is not an investment scheme” but rather a form of “cybersecurity.” This clarification aligns with broader efforts by British officials to regulate crypto assets and staking services in a way that fosters innovation while reducing legal uncertainty. As previously reported by crypto.news, in November, the Treasury announced plans to introduce crypto-specific legislation, focusing on stablecoins and staking exemptions to make the U.K. more appealing to blockchain firms. In October, a proposal to categorize digital assets as personal property was presented in parliament as a response to a consultation paper published by the Law Commission, which recommended including digital assets under property law. Read more: UK-based Copper adds custody, staking support for MINA
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Stacks Achieves 500% Bandwidth Expansion: A Game-Changer for Bitcoin Layer 2 Network
On January 10th, COINOTAG reported that the Stacks network, a prominent Bitcoin Layer 2 solution, has successfully executed a significant upgrade that enhances its network bandwidth by 500%. This crucial crypto.news
Key Advice for Pi Network Users Struggling to Complete KYC Verifications
TL;DR Pi Network requires 15 million users to pass KYC and migrate to the mainnet by January 31. Users should complete liveness checks and sign a specific token acknowledgment to get approved. The project has become increasingly popular, which explains why fraudsters often target the community. To avoid bad actors, users should rely only on official Pi Network channels and use the designated Pi Browser for Pi Wallet access. Users Should Take These Required Actions It has been more than five years since Pi Network’s birth , but the community is still awaiting the launch of its native token and open mainnet. The team previously claimed that the first major milestone before these developments is the introduction of Open Network. To see the light of day , the project requires 15 million users to pass necessary Know-Your-Customer (KYC) verifications and migrate to the mainnet (known as the Grace Period) before January 31 . Earlier this year, Pi Network announced that it is making “excellent progress,” with over 9 million successful migrations. However, many community members have complained about issues when completing the procedures. On that note, the team issued important guidance that could be of help to those in need. The developers claimed that people’s long wait for full KYC results and migration “may be caused by your need to complete actions.” They said some Pioneers must pass additional liveness checks to “ make sure the video is clear with good lighting.” “When prompted in the mining app for such additional liveness checks, please take the liveness checks and do not close the popup. Sign the token acknowledgment even if you are still waiting for your KYC results, as it is required for anyone to migrate to Mainnet anyway,” the advice reads. Other users need to secure their accounts as required in the Mainnet Checklist. To do so, they have to check the application and take the necessary steps when prompted to receive final KYC results and prepare for migration as soon as possible. Beware of These Scams Pi Network remains one of the most controversial projects in the cryptocurrency sector, but that doesn’t stop it from increasing its popularity. Last month, its application exceeded the major milestone of 100 million downloads. The project is particularly popular in Asia, creating strong community bases in nations like China, Vietnam, South Korea , India, Singapore, Japan, and others. The rising prominence, though, could be one reason why scammers often attack members of its community. To protect users, Pi Network issued two critical warnings. Firstly, they advised people to trust only information shared through official channels. Additionally, the developers created a dedicated safety page listing verified sources and URLs. Secondly, they warned users to access their Pi Wallets exclusively through the designated Pi Browser. “Ensure you’re in the correct Pi Wallet, not any fake one, to safeguard your Pi. The authentic Pi Wallet is also visually identified by a purple color in the navigation bar of the Pi Browser with a Pi logo featuring the Core Team apps logo,” the alert reads. The post Key Advice for Pi Network Users Struggling to Complete KYC Verifications appeared first on CryptoPotato . crypto.news