Every Friday we pull the top Asia headlines on digital-asset regulation, cyber risk, industry moves and insurance signals — short, actionable for insurers and corporate risk teams.
1) Regulatory
• South Korea: 2026 growth plan signals stablecoin rules + spot-ETF approvals— Seoul’s new economic blueprint explicitly includes a Phase-2 digital-asset push (stablecoin framework and steps to enable spot Bitcoin ETFs).
• India: FIU mandates live-selfie KYC and geotagging (effective early Jan)— India’s updated AML/KYC rules require liveness selfies, geo-coordinates and penny-drop bank checks for crypto onboarding.
2) Hacking & Physical Risks
• NPM / JavaScript supply-chain backdoors remain an active threat— detailed post-incident analyses show large npm package compromises continue to be weaponised to swap on-chain addresses and steal funds.
• Flow blockchain exploit — counterfeit / duplicated tokens (~$3.9M) — A Cadence/runtime bug allowed certain assets to be duplicated on Flow; validators halted the chain and exchanges flagged/delisted the token while recovery work continues.
3) Industry & Markets
• Tokenisation pilots & wholesale CBDC tests gain traction (Singapore & regional banks)— new coverage highlights MAS tokenised-bill pilots and continued bank pilots for tokenised settlement.
• BTC/ETF flows and renewed institutional demand — market reshuffle— January fund-flow notes show fresh ETF allocation and liquidity moves that affect custody sizing and liquidity risk for APAC platforms.
4) Insurance Spotlight
• Reinsurance / sidecar capacity expands for APAC renewals— major ILS/sidecar vehicles have grown capacity for 2026 renewals, signalling incremental capital for specialty placements but within tighter risk criteria.
• AI / emerging-tech funding & captive signals— market reporting shows large AI firms exploring investor-funded settlements and captive structures where traditional insurers limit open-ended liability.
