Web3 & Emerging Tech Weekly

European Commission to Develop a Vision for Emerging Virtual Worlds

The European Commission will develop a vision for emerging virtual worlds (e.g. metaverses), based on respect for digital rights and EU laws and values. The aim is open, interoperable and innovative virtual worlds that can be used safely and with confidence by the public and businesses. Informed by input from a ‘citizens’ panel’ .

Generative AI

Office of the Privacy Commissioner of Canada/Commissariat à la protection de la vie privée du Canada?has launched an investigation into the company behind artificial intelligence-powered chatbot?ChatGPT.

“AI?technology and its effects on privacy is a priority for my Office,” Privacy Commissioner Philippe Dufresne says. “We need to keep up with – and stay ahead of – fast-moving technological advances, and that is one of my key focus areas as Commissioner.”

The investigation into?OpenAI, the operator of?ChatGPT, was launched in response to a complaint alleging the collection, use and disclosure of?#personalinformation?without consent.

#regulators?in?#germany?,?#france?and?#spain?could possibly contemplate a similar legal action against?OpenAI

IT Ministry, Govt of India, notifies rules for Online Gaming

Govt. notifies Amendments to Information Technology (Intermediary Guidelines and Digital Media Ethics code) rules, 2021 for an Open, Safe & Trusted and Accountable Internet.

These amendments layout a comprehensive framework for Online Gaming Eco-system and also deals with Fact checking related to online content pertaining to Government.

These rules address the twin challenges of catalyzing and expanding online gaming innovation and at the same time protecting citizens from illegal betting and wagering online. Rules will be catalyst for expanding #innovation , while banning/prohibiting wagering on outcome of games and betting.

Industry participating SROs(Self-Regulatory Organizations) will be core of the enabling framework which will certify permissible #onlinegames .

India's has no plans to regulate AI

?#India?has no plans to?#regulate?#AI?. Artificial Intelligence is a kinetic enabler of?#digital?#innovation?ecosystem.

IT Minister acknowledges the ethical risks posed by AI and stands by responsible development of AI.

Web3.0 | Blockchain

UK Govt's?Intellectual Property Office UK?has issued a Practice Amendment Notice(PAN) regarding " The classification of?#nonfungibletokens?(NFTs), virtual goods, and?#services?provided in the #metaverse ."

Japan approves Web3 White Paper to Promote Industry Growth in the Country. The document proposes more tax reform, clearer?#acccounting?standards and a?#DAO?law.

U.S. Department of the Treasury has released Illicit Finance Risk Assessment of Decentralized Finance. This risk assessment explores how illicit actors are abusing what is commonly referred to as decentralized finance (DeFi) services as well as vulnerabilities unique to DeFi services.

The findings will inform efforts to identify and address potential gaps in the United States’ #antimoneylaundering and countering the financing of terrorism (AML/CFT) regulatory, supervisory, and enforcement regimes for DeFi.

There is currently no generally accepted definition of DeFi, even among industry participants, or what characteristics would make a product, service, arrangement or activity “decentralized.” The term broadly refers to virtual asset protocols and services that purport to allow for some form of automated peer-to-peer (P2P) transactions, often through the use of self-executing code known as “smart contracts” based on #blockchaintechnology . This term is frequently used loosely in the #virtualasset industry, and often refers to services that are not functionally decentralized.

The degree to which a purported DeFi service is in reality decentralized is a matter of facts and circumstances, and this risk assessment finds that DeFi services often have a controlling organization that provides a measure of centralized administration and governance. The assessment finds that illicit actors, including #ransomware cybercriminals, thieves, scammers, and Democratic People’s Republic of Korea (DPRK) cyber actors, are using DeFi services in the process of transferring and laundering their illicit proceeds. To accomplish this, illicit actors are exploiting vulnerabilities in the U.S. and foreign AML/CFT regulatory, supervisory, and enforcement regimes as well as the technology underpinning DeFi services.

In particular, the assessment by US Treasury finds that the most significant current illicit finance risk in this domain is from DeFi services that are not compliant with existing AML/CFT obligations.?

Uttar Pradesh Electricity Regulatory Commission has issued landmark regulations on Peer-to-Peer (P2P) trading of?#solarenergy?on?#blockchain?platform.

Monetary Policy & Fintech

RBI puts a pause on Rate Hikes . Proposes pre-sanctioned credit lines at banks through #UPI

Reserve Bank of India (RBI)?proposed to expand the scope of UPI by enabling transfer to / from pre-sanctioned?#credit?lines at banks, in addition to deposit accounts.

In other words, UPI network will facilitate?#payments?financed by credit from?#banks?.

This can reduce the cost of such offerings and help in development of unique products for Indian markets.