Nauru, a small Pacific nation, has enacted legislation to create a regulatory body for virtual assets, including cryptocurrency, digital banking, and Web3 innovations, with the goal of becoming a crypto hub. This island nation, measuring just 21 square kilometers and home to about 12,500 residents, will establish the Command Ridge Virtual Asset Authority (CRVAA) to manage a licensing framework for crypto businesses. Under the new law, cryptocurrencies are classified as commodities, and payment tokens are not considered investment contracts. The CRVAA will regulate various crypto activities, including exchanges, initial coin offerings, and decentralized finance services, as well as oversee stablecoin issuance and digital banks. President David Adeang expressed that this regulation aims to position Nauru as a leader in digital assets within Oceania, enhancing economic resilience amid vulnerabilities. Previously, while crypto trading was permitted, there were no specific regulations in place. The initiative seeks to diversify revenue and attract new financial investments. Read more AI-generated news on: https://app.chaingpt.org/news