South Korean regulators are advancing proposals to apply bank-style consumer protection frameworks to cryptocurrency exchanges. Under the proposed reforms, platforms would be required to compensate users for losses caused by system failures without requiring proof of negligence. Exchanges would also face penalties reaching 3% of annual revenue for serious violations.

France's BPCE has begun a regional rollout of in-app cryptocurrency trading for approximately 2 million users of Banque Populaire and Caisse d'Épargne. The service supports Bitcoin, Ether, Solana, and USDC through a dedicated account managed by its digital-asset subsidiary Hexarq. The bank plans to expand access to 12 million customers by 2026.

Western Union unveiled a digital asset initiative targeting economies with severe inflation. CFO Matthew Cagwin presented the strategy at the UBS Global Technology and AI conference, detailing plans for a "stable card" and proprietary digital coin to protect remittance recipients in countries like Argentina, where inflation has exceeded 250%.

Jupiter Exchange withdrew marketing statements about its lending protocol after acknowledging the use of asset recollateralization. COO Kash Dhanda admitted prior claims of zero contagion risk were inaccurate. Competitor Kamino Finance blocked Jupiter Lend's migration tool in response to the controversy. JUP token traded at $0.23 on December 7, 2025, reflecting a 33.06% decline over 30 days.

Seven Chinese industry associations supervised by the People's Bank of China and China Securities Regulatory Commission issued a joint notice warning firms against trading or issuing tokenized real-world assets within mainland China. The notice represents the first formal industry warning on RWA tokenization and states that foreign firms and their China-based employees engaging in such activities could face legal consequences. Chinese authorities have not approved any tokenization activities for real-world assets.

Britain's tax authority has ruled that transferring tokens to decentralised finance lending or staking platforms does not trigger immediate capital gains tax. The decision removes years of uncertainty over whether protocol interactions create tax liabilities. Stani Kulechov, founder of Aave, said the clarification could encourage institutional and retail participation in DeFi protocols.

Polymarket is building an in-house market-making team that will trade against its own customers, mirroring a strategy used by rival Kalshi. The move comes as the New York-based prediction market prepares to resume U.S. operations after securing regulatory clearance from the CFTC. The platform has been recruiting traders, including sports betting specialists, for the new unit.

A 2% valuation adjustment by Fasanara on its F-ONE tokenized private credit fund has highlighted vulnerabilities when such assets serve as collateral in DeFi lending protocols. The incident affected Morpho's curated vaults, where users borrowed against mF-ONE tokens backed by bundled SME loans. The private credit tokenization market has grown from $49,000 to $2.1B in 12 months, according to RWA.xyz data, prompting warnings about opacity and potential contagion risks in decentralized finance.