Microsoft to invest in Southeast Asian ride-hailing firm Grab

Last week, Reuters reported that existing backer SoftBank Group Corp was closing in on a deal to invest about $500 million in Grab as part of the …

SINGAPORE (Reuters) – Microsoft Corp is investing in Southeast Asian ride-hailing firm Grab as part of a partnership that the two companies said will allow them to collaborate on technology projects, including big data and artificial intelligence.

The companies did not disclose the deal value.

Grab had earlier said it planned to raise roughly $3 billion by year-end, of which it has already raised $2 billion.

Last week, Reuters reported that existing backer SoftBank Group Corp was closing in on a deal to invest about $500 million in Grab as part of the funding round.

Sources told Reuters that Grab is likely to tap strategic and financial firms for the remainder of the funding.

Before Tuesday’s deal, it raised $2 billion in 2018, led by Toyota Motor Corp and financial firms, including Microsoft co-founder Paul Allen’s Vulcan Capital.

Singapore-headquartered Grab has taken its ride-hailing business to 235 cities in eight countries in Southeast Asia in the past six years.

It is looking to transform itself into a leading consumer technology group, offering services such as food and parcel deliveries, electronic money transfers, micro-loans and mobile payments, besides ride-hailing.

Grab will work with Microsoft to explore mobile facial recognition, image recognition and computer vision technologies to improve the pick-up experience, the companies said in a statement on Tuesday.

For example, passengers will be able to take a photo of their current location and have it translated into an actual address for the driver.

Other areas of the five year-agreement include Grab adopting Microsoft’s Azure as its preferred cloud platform and using it for data analytics and fraud detection services.

Southeast Asia, home to some 640 million people, is shaping up as a battleground for global technology giants such as Alibaba, Tencent Holdings Ltd, JD.com, Alphabet Inc’s Google and SoftBank, particularly in ride-hailing, online payments and e-commerce.

Competition for Grab is heating up with Indonesian rival Go-Jek also expanding in the region.

(Reporting by Aradhana Aravindan; Editing by Stephen Coates)

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ICO Regulations Guide: World’s Initial Coin Offering Country By Country

Virtual currencies is that used by internet users via the web. It is characterized by the absence of physical support such as coins, notes payments by …
ICO Regulations Guide: World's Initial Coin Offering Country By Country

An Overview of ICO Regulations by Country

The regulatory environment for ICOs is not uniform from country to country. Understanding ICO regulation on a global level can help investors in their decision-making process. Here is what ICO regulation looks like:

Country Name Status Other Information
Algeria Not permitted Banned use of virtual currencies in 2017 – “The purchase, sale, use, and holding of so-called virtual currency is prohibited. Virtual currencies is that used by internet users via the web. It is characterized by the absence of physical support such as coins, notes payments by cheque or credit card. Any breach of this provision is punishable in accordance with the laws and regulations in force.”
Argentina Permitted Altcoins recognized as money but not legal tender
Australia Permitted
Bangladesh Not Permitted
Belarus Permitted
Belgium Permitted
Bolivia Not permitted
Bosnia and Herzegovina Permitted
Brazil Permitted
Bulgaria Permitted
Cambodia Permitted Discourages use of altcoins
Canada Permitted ICOs are managed by the Canadian Securities Administrators, which has determined that ICOs and altcoins are securities and subject to regulation on a case-by-case basis. There is a “regulatory sandbox” in place to regulate fintech projects that are outside of the normal regulatory scheme.

As for altcoins, they are recognized as intangible assets. Commercial altcoin dealers must be registered and treated as a money service business in the future. Canada’s largest banks are temporarily banning purchase of altcoins.

Chile Permitted
China Banned People’s Bank of China has banned ICOs for all businesses and individuals. ICOs in the country that have completed their funding cycle must refund altcoins raised. The Bank will investigate entities found to violate the ruling. Altcoin trading is also banned, but individuals can hold the altcoins.
Colombia Permitted
Croatia Permitted
Cyprus Permitted
Czech Republic Permitted
Denmark Permitted
Ecuador Not permitted Ecuador developing its own national altcoin
Estonia Permitted The country is considering to start its own ICO for fundraising, but there is a split opinion on how the Eurozone rule on nation states affects the ICO fundraising campaign.
European Union ICOs permitted but subject to future regulations The EU permits ICOs, so long as they comply with Anti-Money Laundering/Know Your Customer policies. In November 2017, the European Securities and Markets Authority adopted a strict position on ICOs, determining that they are a high risk to investors – as a result, firms must adhere to the regulatory requirements.
Finland Permitted
France Permitted but regulated
Germany Permitted Though permitted, the Federal Financial Supervisory Authority issued a warning on the risks of ICO investments, which states, “Due to the lack of legal requirements and transparency rules, the consumer is left on their own when it comes to verifying the identity, reputability and credit standing of the token provider and understanding and assessing the investment offer. It can also not be guaranteed that personal data will be protected in accordance with German standards.”
Gibraltar Permitted but subject to regulation Regulators planning on offering regulations for ICOs by January 2018 to permanently codify legal protections for altcoins
Greece Permitted
Hong Kong Permitted but subject to regulation Certain altcoins should be treated as securities
Hungary Permitted
Iceland
India Permitted but very regulated Use of altcoins is discouraged. Reserve Bank of India banned altcoin use in banking system
Indonesia Permitted Permitted as commodity – but not as money
Iran Permitted but subject to future regulation
Ireland Permitted
Isle of Man Permitted by subject to regulations Seeking to forge regulations in the future to establish and protect ICOs legal status
Israel Permitted Altcoins subject to a 25 percent capital gain tax. Miners and traders must pay corporate income tax and a 17 percent value-added tax (VAT).
Italy Permitted
Jamaica Permitted Publicly announced support of altcoins as growth opportunity
Jordan Permitted but very regulated Banks and financial institutions are not permitted to use altcoins
Kyrgyzstan Permitted Prohibits use of altcoins as currency
Lebanon Permitted
Lithuania
Luxembourg Permitted but regulated Supports Bit License for altcoin business
Malaysia Permitted but subject to regulation Country was scheduled to ban altcoins
Malta Permitted
Mexico Permitted but regulated Nation’s FinTech law recognizes altcoins as virtual assets
Morocco Not permitted Bitcoin introduced as payment conduit. In 2017, the government warned that the use of altcoins violates exchange rules for the Office des Changes and the use of such devices could be used for illicit purposes.
Namibia Permitted Altcoin exchanges are forbidden and altcoins cannot be used as payment – but these stances do not have the force of law
Nepal Not Permitted
Netherlands
Nicaragua Permitted No official position on altcoins
Nigeria Permitted Use of virtual currency banned. Central Bank released a statement to correct perception that it banned altcoins – bank takes the position that it cannot regulate the internet, and therefore it cannot regulate altcoin use.
Norway Permitted
Pakistan Not permitted State Bank of Pakistan banned altcoins to all organizations and institutions – ban not enforced judicially.
Philippines Permitted but subject to regulation Regulators recognize bitcoin as a form of remittance payment – but country also feels that regulations addressing AML/KYC protections may be needed. Companies offering exchange services must register.
Poland Permitted
Portugal
Romania Permitted
Russia Permitted but very regulated Five orders have been issued by the Kremlin requiring altcoin miner registration and taxation, application of securities laws to ICOs, and use of altcoins to create a “single payment space” in Eurasian Economic Union to oppose Eurozone. Position is shifting to altcoins being “probably illegal” but no official policy et.
Saudi Arabia Permitted
Singapore Permitted but very regulated Monetary Authority of Singapore provided a guide on Digital Token Offerings, indicating how altcoins should be treated under current securities laws. The guidance states that any ICOs or altcoins that are “capital market products” under the Securities an Futures Act can be regulated under MAS. The regulation includes altcoins that either infer ownership of a corporation or product, debt, or a share in an investment scheme.
Slovakia Permitted
Slovenia Permitted
South Africa Permitted Altcoin are intangible assets
South Korea Permitted No explicit ban of altcoins, though the government has embraced a “zero-tolerance” attitude for malicious ICOs. Altcoin futures and derivatives trading is banned
Spain
Sweden Permitted No VAT for altcoins, but subject to the Swedish Financial Supervisory Authority – currently under appeal.
Switzerland Permitted but subject to future regulations Attempts to regulate ICOs have failed, but may occur in the future. Swiss Financial Market Supervisory Authority examines ICOs for possible breaches of securities law, which could be the first signs of a new wave of campaigning for regulatory oversight. Regulations may not be able to halt the current momentum to incorporate ICOs into Swiss culture.
Taiwan Permitted Taiwan’s Central Bank warned banks against altcoin use and altcoin ATMS are not permitted. Altcoin purchases permitted by three of the country’s four major convenience stores
Thailand Permitted but very regulated Financial institutions prohibited from investing or trading in altcoins, exchanging coins for fiat currency or other altcoins or commodities, from creating a platform for altcoin trading, from allowing altcoin purchasing via issued credit cards, and from advising about altcoin investing or trading. Government has not banned trading.
Trinidad Permitted
Turkey Permitted
Ukraine Permitted
United Arab Emirates Permitted but subject to future regulations
United Kingdom Permitted but subject to regulations Issued investor warning on unregulated nature of ICOs – even if the ICO acts in good faith, investors can lose their investment. According to the Financial Conduct Authority, “Typically ICO projects are in a very early stage of development and their business models are experimental.”
United States Permitted but heavily regulated States have their own ICO rules, which vary. There is no uniform regulation, but some states require deposits in equal to or in excess of all local transactions. Others require a license for businesses to engage in altcoin activities. On the federal level, ICOs are not banned, but are expected to be registered and licensed with the SEC if the ICO trades or sells securities. Further, SEC determined that some ICOs are securities and subject to its rulings. ICOs must also adhere to AML/KYC practices and failure to do so can lead to legal action.

United States recognized celebrity endorsement of ICOs to be illegal, unless compensation involved id disclosed.

Purchase of altcoins is not permitted by several credit card processors and banks.
Vietnam Permitted Altcoins cannot be used as currency, but no laws prohibiting trading
Zimbabwe Permitted No official position on altcoin, but the government is skeptic. Altcoins currently traded in the country.

The chart above shows that there is no uniform attitude toward ICOs. Further, it indicates that there are international concerns about malicious or fraudulent ICOs, a nationalistic cornering of the altcoin market, and the risks involved in the ICO space. Many nations and financial institutions have released their stance on ICOs and altcoins, which either recognize or don’t recognize the digital currency. On the other hand, there seems to be a positive reception of distributed ledger technology. Which is the technology behind altcoins,

Moreover, many countries’ issues with ICOs is that they work around establish regulatory schemes. Rather than initiating an initial public offering, businesses can preform seed funding, without proper due diligence, regulatory requirements time, or fiduciary permissions a traditional IPO requires. Further, small business often deal with untested or unknown technologies, a peer-based alternative may provide funding opportunities for businesses that cannot conduct a traditional funding scheme.

The trouble is, the above approach can include fraudulent practices. China is not a proponent, and it worries that scammers can use ICOs to defraud investors. As a result, it has banned the creation or sale of them. As for the SEC, it issued an alert indicating that public companies engaging in “pump-and-dump” practices tend to manipulate market prices.

As for countries that have a “zero-tolerance” position concerning fraudulent or malicious ICOs, have some mechanisms in place that show support for altcoins. For instance, Australia introduced regulations allowing the questioning and prosecution of malicious ICO operators. South Korea relaxed its bank on ICOs and is committed to punishing bad actors in the ICO sphere.

Countries are pursuing changes to regulatory policies to reflect an anti-money laundering/know your customer practices. ICOs may also require additional oversight, such as registration and disclosures.

As for investors interested in getting into the space, it is best to understand the changing nature of regulation. This will ultimately protect investors from running afoul of the regulations and it also reduces the risk associated with investments. Ultimately, the best practices for investors include research, preparation, and understanding the regulatory marketplace.

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Uber driver mad at Valley principal using service for student transportation

PHOENIX – A Valley Uber driver is calling out a school administrator for trying to turn his ride-share van into a school bus. The man, who asked us not …

PHOENIX – A Valley Uber driver is calling out a school administrator for trying to turn his ride-share van into a school bus.

The man, who asked us not to identify him, said on Wednesday he showed up at the Arizona Academy of Science and Technology and was surprised to see six school children who appeared to be under the age of eight getting into his Uber.

In a video recorded inside his vehicle, a frustrated exchange takes place between the driver and the woman who identifies herself as an acting principal. The woman tells the Uber driver the person who requested the ride was the assistant principal since the principal was out of town.

After the children are loaded up in the van, the driver asks the woman if she is going with them. When she says no, he tells her he cannot transport the children without an adult riding with them. The woman asks him why, and he tells her it is against Uber’s company policy.

In the video exchange you hear the woman say: “So, every Uber ride we’ve had this week has a different story. Are you a Lyft or Uber driver?” The man responds that he is with Uber. The woman goes on to say, “Every Uber we’ve had has a different story. Why?” The driver responds by saying “They don’t know the policy. I have been doing this for over three years.”

ABC15 reached out to the school to get their side of the story.

Despite our repeated phone calls, we have not received a response yet. On their website, school officials state while they do not provide transportation for students, they are happy to work with families by linking them together and promoting car-pooling.

The Uber driver said he was bringing this story to light because he felt school administrators were putting the children at risk.

“It’s one thing to carpool with another family or an adult but another thing entirely to put small children in a strangers car you know,” said the driver.

A spokesman for Uber says under their community guidelines, children must be supervised by a parent or guardian at all times. A rider must be 18 years or older to ride or have an account, or they can be accompanied by someone who is 18 years or older.

You can read the Uber Community guidelines here.

ABC15 will update this story as soon as we get a response from the Arizona Academy of Science and Technology.

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New bylaw designed to drive Uber out of Kingston, driver says

The new bylaw governing Uber in Kingston is designed to drive the ride-sharing company out of the city, one of its drivers said. The bylaw was …

The new bylaw governing Uber in Kingston is designed to drive the ride-sharing company out of the city, one of its drivers said.

The bylaw was approved by the Kingston Area Taxi Commission in late June and comes into effect on Sept. 15.

But Vic Guilherme, who has been driving for Uber for almost two years, said the new rules are unfair to the company and will make it difficult for it to do business.

“The bylaw was basically put into effect to drive them out. It wasn’t designed to work with them at all,” Guilherme said.

The bylaw, which took more than three years to finalize, caps the number of vehicles operated by ride-sharing services, such as Uber and Lyft, and requires their drivers to have photo identification, proof of insurance and undergo in-person police criminal background checks, and have annual vehicle safety inspections.

The new bylaw caps at 50 the number of ride-sharing vehicles allowed on the road in a 24-hour period and limits the total number of ride-sharing vehicles in the city at 150.

Guilherme said Uber has fewer than 50 vehicles on the road in Kingston now.

“What happens in two years when Uber is more popular in Kingston? They are stuck with these restrictions,” he said.

The bylaw also lays out how Uber is to operate, including provisions that prohibit fares from exceeding what is initially quoted to the client on the app.

“It’s not fair. I think it was done by a lot of ignorant people,” Guilherme said. “Having to tell a customer how much their fare is going to be before starting the ride was obviously done by people who have never taken an Uber. We have no idea who the client is or where they are going or how much the fare is until we start the ride. We don’t know how much the fare is until we end the ride.”

Guilherme also questioned the fees ride-sharing companies would have to pay when compared to other jurisdictions where Uber operates.

Kingston will require Uber to pay a $35,000 annual administration fee to operate in the city, and each driver will need to pay $600 a year to work in the city.

Guilherme said Toronto’s regulations only require the company to pay $22,000 a year and drivers only need to pay $35 a year to work there.

A spokesperson for Uber Canada declined to comment about the bylaw on Wednesday.

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Institutional Crypto Dealer Secures $23 Million Funding Round from Airbnb Co-Founder

… venture capital heavyweights–including co-leaders Tribe Capital and Social Capital; investors Y Combinator, Khosla Ventures, Blockchain Capital; …

SFOX, a San Francisco-based cryptocurrency prime broker, has successfully closed a $22.7 million funding round to build an institutional-grade asset management platform for the industry’s largest investors.

As the former head of growth and business development at Airbnb, SFOX CEO Akbar Thobhani would appear to have struck a chord with some of the most influential figures in Silicon Valley.

SFOX’s Series A round attracted a number of venture capital heavyweights–including co-leaders Tribe Capital and Social Capital; investors Y Combinator, Khosla Ventures, Blockchain Capital; and Airbnb Co-Founder Nathan Blecharczyk.

Feeding the Whales

Catering to some of the most affluent investors in crypto, SFOX claims to have dealt more than $9 billion worth of crypto-assets to hedge funds, family offices and high net worth individuals—or what retail traders would dub the “smart money.”

Since 2014, SFOX has helped clients execute high-ticket cryptocurrency orders presumably in the tens, if not hundreds, of millions of dollars. By simultaneously purchasing from a multitude of exchanges and over-the-counter brokers, SFOX can offer its investors more attractive rates while mitigating the adverse effects of market footprints.

Where so-called “whales” may wish to purchase cryptocurrency on regular exchanges, the sheer size of their orders has been known to cause severe repercussions. As previously reported by CryptoSlate, the largest contract holder on OKEx purportedly caused market-wide chaos when their $460 million long position in BTC was partially liquidated.

Despite the market’s destitute capitalization, SFOX told Bloomberg that institutional interest is unwavering and that their business is growing “rapidly.” According to Thobhani, the new SFOX platform will make it easier for institutional clients to migrate to crypto from traditional assets such as equities.

As previously stated by Coinbase CEO Brian Armstrong, Thobhani believes that Wall Street is on the edge of adoption. He noted:

“More and more Wall Street will want to get involved, but the challenge most of them are having is that the platforms they’ve built for trading things like equities doesn’t transfer to crypto.”

Many investors may hold up the prospective VanEck Bitcoin ETF as the elixir for an institutional injection of capital; however, it would appear that an equally profound infrastructure is unfolding largely unnoticed.

Cover Photo by Daniel Olah on Unsplash

Disclaimer: Our writers’ opinions are solely their own and do not reflect the opinion of CryptoSlate. None of the information you read on CryptoSlate should be taken as investment advice, nor does CryptoSlate endorse any project that may be mentioned or linked to in this article. Buying and trading cryptocurrencies should be considered a high-risk activity. Please do your own due diligence before taking any action related to content within this article. Finally, CryptoSlate takes no responsibility should you lose money trading cryptocurrencies.

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