Asia Market Daily: Japan's BOJ signals more rate hikes while Korea targets offshore perpetual platforms (2026/10/17)

Bank of Japan Signals More Rate Hikes as Inflation Nears Target

Bank of Japan Governor Kazuo Ueda said the central bank has entered a "new phase" of monetary policy, with underlying inflation approaching 2%. He confirmed the BOJ will continue raising rates and adjusting its ultra-loose policy, citing concerns about further inflation acceleration. Ueda flagged that Middle East tensions, AI-driven demand, and yen weakness will influence the timing of future hikes. The remarks reinforce expectations that Japan's monetary tightening cycle will persist, with direct implications for yen-denominated crypto flows and regional risk appetite.

South Korea Steps Up Oversight of Offshore Perpetual Contract Platforms

South Korea's Financial Services Commission and Financial Supervisory Service will intensify monitoring of offshore platforms offering perpetual contracts tied to Korean stocks and equity indices. Regulators warned they will take a hard line against illegal business activities, including referral-code recruitment of Korean residents or commission collection, and may refer cases to law enforcement. Authorities also plan to assess whether these offshore products are distorting the domestic stock market, and will engage with major foreign platforms to demand compliance with Korean law.

Hong Kong Hit by Wave of WhatsApp Hijacking Scams Targeting Crypto Sector

Hong Kong police received more than 150 reports of WhatsApp account hijacking scams over the past two weeks, with total losses exceeding HK$15 million. In one prominent case, scammers took over the WhatsApp account of an employee at a cryptocurrency exchange firm, replicated a real work group chat, impersonated a client, and requested a crypto transfer that cost the company over HK$4 million. The surge highlights the growing sophistication of social engineering attacks targeting Asian crypto businesses and retail users.

Cobo Wallet App to Shut Down, Charging 2% Monthly Fee on Remaining Assets

Cobo announced it will close its consumer-facing Cobo Wallet App on December 1, 2026, citing a strategic shift toward institutional and enterprise services. Users must withdraw all assets by November 30, 23:59 UTC+8. Any remaining balances will incur a monthly management fee of 2% of the remaining assets, with a minimum charge of US$100. The move underscores Cobo's ongoing pivot away from retail products, as the company now serves over 680 institutional clients across nearly 50 countries.

Upbit Suspends Large Transfers with BitMEX Over Travel Rule Compliance

South Korean exchange Upbit will suspend digital asset deposits and withdrawals of 1 million KRW (approximately US$750) or more with BitMEX, effective October 16. The decision follows BitMEX's termination of access to the VerifyVASP travel rule solution. Withdrawals from Upbit to BitMEX were already halted on September 23. Manual deposits from BitMEX to Upbit above the threshold will stop on December 18, with incoming assets entering a return process.

Japanese Banks Complete Stablecoin Cross-Border Payment Pilot

Mizuho Bank, MUFG Bank, Sumitomo Mitsui Banking Corporation, MUFG Trust Bank, and TISI announced the completion of a joint stablecoin issuance and cross-border payment experiment conducted from July 17-23, 2026. Three banks served as co-originators and MUFG Trust Bank as trustee to issue the stablecoin, verifying issuance, transfer, and redemption flows for Mitsubishi Corporation's cross-border settlement between Japan and overseas entities. The results confirmed the feasibility of a multi-bank co-issuance model and demonstrated system security and reliability.

OKX Founder Explains Recurring KYC Requests Amid User Concerns

OKX founder Star addressed community concerns after mainland China users reported receiving secondary identity verification prompts. He clarified that OKX periodically verifies and updates user identity information based on account circumstances, including at the one-year, three-year, and five-year account milestones or when ID documents expire. Star emphasized this is a standard KYC obligation for global financial institutions and does not indicate account abnormalities, urging users to follow official prompts for updates.

Solana Accelerate Shenzhen Event Postponed Due to Overwhelming Registration

Solana Accelerate China announced the postponement of its Shenzhen event, originally scheduled for October 20, citing registration numbers that quadrupled overnight and far exceeded the local authority's approved headcount limit. The team said registration information will be retained and a new date will be announced once a larger venue can accommodate the surge in participants. The postponement reflects both the strength of Solana's community interest in China and the practical constraints of hosting large-scale crypto events under local regulatory guidance.

DeepSeek Consolidates Teams into New Product Division

Chinese AI firm DeepSeek is merging its Harness team with its Web, App, and Platform teams to form a unified "Product Department" responsible for all product, design, and R&D functions. Former Harness team lead Cui Tianyi will head the new division. The restructuring comes as DeepSeek continues to scale its product offerings and reflects the company's push to streamline development across its consumer and developer-facing products.

Analyst: Exchange Inflows from High-Buyers of Bitcoin Have Dried Up

Crypto analyst IT Tech reported that only 4.4% of Bitcoin held for 6-12 months flowed into exchanges over the past 30 days, down sharply from 40.4% in mid-June. These coins largely came from holders who bought near or after the 2025 peak. The monthly movement volume remains between 143,700 and 216,500 BTC, but the proportion flowing to exchanges has been consistently declining. The analysis suggests high-level buyers have largely stopped selling, reducing resistance to price appreciation, though fresh buying momentum has yet to emerge.

Join the official Coincamps community:

X: https://x.com/coincamps

Telegram: https://t.me/coin_camps