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On July 11, the European Commission formally adopted its new strategy on Web4 and virtual worlds with the aim of ensuring “an open, secure, trustworthy, fair and inclusive digital environment” for European Union citizens. The strategy is based on four main pillars, revolving around the empowerment of human resources, support of businesses, further development of public services, and shaping of global standards for “Web 4.0” — a freshly coined term that attempts to preempt the next technological wave.

While it’s commendable that the European Commission is proactively strategizing for the EU to take the lead on Web 4.0, or Web4, and virtual worlds, we shouldn’t neglect the fact that for all the fanfare of Web3 and the trends that accompanied it, notable credit and financial institutions have so far only firmly and mainly placed their confidence in Bitcoin (BTC) and, to a lesser extent, Ethereum.

Indeed, it is difficult to assert that Web3 left anything of considerable substance behind it — aside from a sharp but short-lived spike in the Lamborghini and Rolex markets. The sooner that term is forgotten, the sooner we’ll be able to focus again on the areas that do matter.

Related: It’s time for the SEC to settle with Coinbase and Ripple

The EU’s general stance on Bitcoin has arguably detracted from its image as a forward-looking, technology-advancing region, and it would do well to either retract or modify previously taken positions on matters such as proof-of-work mining. The reinvention of money is far from a light matter, and if the EU is to take a pincer hold of what ultimately makes the world move, it is well-advised to do so by both advancing its digital euro project and also supporting the other side of the coin, thereby hedging its position to a degree where it is minimizing risks and maximizing possible opportunities.

In order to do so, it must proverbially unstick the European Central Bank’s head from the sands, limit any anti-Bitcoin publications from the famed Fabio Panetta, and adopt a neutral monetary stance that aligns with a technology-neutral one.

Moving on to the cornerstone of the proposed strategy on Web4 — digital twinning — it is evident that the EU faces stiff competition from stalwarts such as the United States and China in digitally dominant areas such as artificial intelligence. While one may argue that, on the physical side of things, the EU enjoys a notable position in areas such as manufacturing and global exportation of goods, there is still an appreciable degree of catching up to do in relation to digital areas such as crypto and cloud computing.

In order for the EU to take the lead on the intersection between the physical and digital realms, it must ramp up its efforts to emancipate digitally exclusive domains such as crypto, which presents notable opportunities given the current lull in the market. While most are forgoing innovations such as decentralized finance (DeFi) and decentralized autonomous organizations as passing trends that have recently exited the limelight, it is clear that these are still very early days for such topics, and that optimally positioning oneself while the general attention is elsewhere will very likely pay handsome dividends in a few years’ time.

Related: Demand is driving the price of Bitcoin to $130K

When it comes to DeFi, specifically, Europe as a continent has quietly asserted itself as a leader, with countries such as Italy and France being the birthplace of some of the most notable projects in the space. It would not do to ignore the advantageous position gained in the market in this respect, and with the total value locked metric still hovering comfortably above the $45 billion mark, it is amply clear that DeFi staunchly took the bear market punch and is nowhere near knocked out. It’s also likely to come back for more in the next market reversal.

With innovations such as ERC-4626 ready to unlock a wealth of exciting new prospects in the space, it is safe to state that we have yet to see DeFi’s true strengths and potential, and if the EU manages to take the helm and steer innovation going forward, it will cement its place in the inevitable financial revolution that has been bubbling in its pot for the past few years.

Over the past decade, cryptocurrency has been reinvented and reshaped to no avail. The promise of a new form of money still remains its strongest premise, and digital assets flourish best in a digital environment. The lessons learned from the repeated security token flops should still be fresh enough to accentuate the fact that we are not yet ready for a seamless intersection between what is digital and what is physical, and that in order for two subjects to simultaneously succeed, there must be a comparable, if not identical, level of excellence.

That is something that is still sorely missing in the EU when it comes to digital and crypto assets, which is why it should remain the focus in the short term.

Jonathan Galea is the CEO and founder of BCAS, a European crypto regulatory consultancy firm. He has consulted numerous regulatory entities across multiple jurisdictions on crypto-related matters, including the structuring of novel legal frameworks. He holds in an LL.D. in law from the University of Malta.

Matteo Vena is the chief strategy officer at BCAS, a crypto-focused regulatory consultancy firm based in Europe. His area of focus is business and marketing strategy in the Bitcoin and digital assets industry. He worked previously as the managing director for Cointelegraph Italy and as the head of content for Blockchain Week Rome.

This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

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‘More people should be given this chance’: The probation centres transforming offenders’ lives

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'More people should be given this chance': The probation centres transforming offenders' lives

The combination of full prisons and tight public finances has forced the government to urgently rethink its approach.

Top of the agenda for an overhaul are short sentences, which look set to give way to more community rehabilitation.

The cost argument is clear – prison is expensive. It’s around £60,000 per person per year compared to community sentences at roughly £4,500 a year.

But it’s not just saving money that is driving the change.

Research shows short custodial terms, especially for first-time offenders, can do more harm than good, compounding criminal behaviour rather than acting as a deterrent.

Charlie describes herself as a former "junkie shoplifter"
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Charlie describes herself as a former ‘junkie shoplifter’

This is certainly the case for Charlie, who describes herself as a former “junkie, shoplifter from Leeds” and spoke to Sky News at Preston probation centre.

She was first sent down as a teenager and has been in and out of prison ever since. She says her experience behind bars exacerbated her drug use.

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Charlie in February 2023
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Charlie in February 2023


“In prison, I would never get clean. It’s easy, to be honest, I used to take them in myself,” she says. “I was just in a cycle of getting released, homeless, and going straight back into trap houses, drug houses, and that cycle needs to be broken.”

Eventually, she turned her life around after a court offered her drug treatment at a rehab facility.

She says that after decades of addiction and criminality, one judge’s decision was the turning point.

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“That was the moment that changed my life and I just want more judges to give more people that chance.”

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How to watch Sophy Ridge’s special programme live from Preston Prison

Also at Preston probation centre, but on the other side of the process, is probation officer Bex, who is also sceptical about short sentences.

“They disrupt people’s lives,” she says. “So, people might lose housing because they’ve gone to prison… they come out homeless and may return to drug use and reoffending.”

Read more from Sky News:
Care homes face ban on overseas recruitment
Woman reveals impact of little-known disorder

Charlie with Becks at the probation centre in Preston 
grab from Liz Bates VT for use in correspondent piece
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Bex works with offenders to turn their lives around

Bex has seen first-hand the value of alternative routes out of crime.

“A lot of the people we work with have had really disjointed lives. It takes a long time for them to trust someone, and there’s some really brilliant work that goes on every single day here that changes lives.”

It’s people like Bex and Charlie, and places like Preston probation centre, that are at the heart of the government’s change in direction.

:: Watch special programme on prisons on Politics Hub with Sophy Ridge at 7pm

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Inside the UK’s broken prison system where tinkering around the edges will no longer work

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Inside the UK's broken prison system where tinkering around the edges will no longer work

“As far as I’m concerned, there’s only three ways to spend the taxpayers’ hard-earned when it comes to prisons. More walls, more bars and more guards.”

Prison reform is one of the hardest sells in government.

Hospitals, schools, defence – these are all things you would put on an election leaflet.

Even the less glamorous end of the spectrum – potholes and bin collections – are vote winners.

But prisons? Let’s face it, the governor’s quote from the Shawshank Redemption reflects public polling pretty accurately.

Right now, however, reform is unavoidable because the system is at breaking point.

It’s a phrase that is frequently used so carelessly that it’s been diluted into cliche. But in this instance, it is absolutely correct.

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Without some kind of intervention, the prison system is at breaking point.

It will break.

Inside Preston Prison

Ahead of the government’s Sentencing Review, expected to recommend more non-custodial sentences, I’ve been talking to staff and inmates at Preston Prison, a Category B men’s prison originally built in 1790.

Overcrowding is at 156% here, according to the Howard League.

Sophy Ridge talking outside Preston Prison
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Sophy Ridge talking outside Preston Prison

One prisoner I interviewed, in for burglary, was, until a few hours before, sharing his cell with his son.

It was his son’s first time in jail – but not his. He had been out of prison since he was a teenager. More than 30 years – in and out of prison.

His family didn’t like it, he said, and now he has, in his own words, dragged his son into it.

Sophie is a prison officer and one of those people who would be utterly brilliant doing absolutely anything, and is exactly the kind of person we should all want working in prisons.

She said the worst thing about the job is seeing young men, at 18, 19, in jail for the first time. Shellshocked. Mental health all over the place. Scared.

And then seeing them again a couple of years later.

And then again.

The same faces. The officers get to know them after a while, which in a way is nice but also terrible.

Sophy Ridge talking to one of the officers who works within Preston Prison
Image:
Sophy Ridge talking to one of the officers who works within Preston Prison

The £18bn spectre of reoffending

We know the stats about reoffending, but it floored me how the system is failing. It’s the same people. Again and again.

The Sentencing Review, which we’re just days away from, will almost certainly recommend fewer people go to prison, introducing more non-custodial or community sentencing and scrapping short sentences that don’t rehabilitate but instead just start people off on the reoffending merry-go-round, like some kind of sick ride.

But they’ll do it on the grounds of cost (reoffending costs £18bn a year, a prison place costs £60,000 a year, community sentences around £4,500 per person).

They’ll do it because prisons are full (one of Keir Starmer’s first acts was being forced to let prisoners out early because there was no space).

If the government wants to be brave, however, it should do it on the grounds of reform, because prison is not working and because there must be a better way.

Inside Preston Prison, Sky News saw firsthand a system truly at breaking point - picture of a prison officer's back with HMP Preston written on it.
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Inside Preston Prison, Sky News saw first-hand a system truly at breaking point

A cold, hard look

I’ve visited prisons before, as part of my job, but this was different.

Before it felt like a PR exercise, I was taken to one room in a pristine modern prison where prisoners were learning rehabilitation skills.

This time, I felt like I really got under the skin of Preston Prison.

It’s important to say that this is a good prison, run by a thoughtful governor with staff that truly care.

But it’s still bloody hard.

“You have to be able to switch off,” one officer told me, “Because the things you see….”

Staff are stretched and many are inexperienced because of high turnover.

After a while, I understood something that had been nagging me. Why have I been given this access? Why are people being so open with me? This isn’t what usually happens with prisons and journalists.

Read more from Sky News:
Hospital accused of ‘covering up’ suspended surgeon concerns
Thunderstorms forecast for large part of UK
BAFTA TV Awards: Nine stand-out moments

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Probation centres answer to UK crime?

That’s when I understood.

They want people to know. They want people to know that yes, they do an incredible job and prisons aren’t perfect, but they’re not as bad as you think.

But that’s despite the government, not because of it.

Sometimes the worst thing you can do on limited resources is to work so hard you push yourself to the brink, so the system itself doesn’t break, because then people think ‘well maybe we can continue like this after all… maybe it’s okay’.

But things aren’t okay. When people say the system is at breaking point – this time it isn’t a cliche.

They really mean it.

:: Watch special programme on prisons on Politics Hub with Sophy Ridge at 7pm

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Crypto custodian BitGo secures MiCA license in Germany

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Crypto custodian BitGo secures MiCA license in Germany

Crypto custodian BitGo secures MiCA license in Germany

Goldman Sachs-backed cryptocurrency custody firm BitGo is the latest cryptocurrency company to secure regulatory approval to operate across the European Union.

Germany’s financial regulator, the Federal Financial Supervisory Authority (BaFin), granted BitGo Europe a Markets in Crypto-Assets Regulation (MiCA) license to provide digital asset services in the EU, the firm announced on May 12.

The license allows BitGo to offer services to crypto-native firms and traditional finance institutions, including banks and asset managers within the EU.

Crypto custodian BitGo secures MiCA license in Germany
Source: BitGo

“This license underscores our commitment to the highest standards of security, transparency, and trust,” BitGo Europe managing director Harald Patt said.

BitGo set up the EU headquarters in 2023

Founded in 2013 in Palo Alto, California, BitGo is a major platform in the cryptocurrency industry specializing in crypto custodial services, holding cryptocurrencies like Bitcoin (BTC) on behalf of its clients. 

BitGo’s latest regulatory milestone in Europe follows efforts to increase its presence in the EU, including establishing local headquarters in Frankfurt in 2023.

Since setting up BitGo Europe in Germany, BitGo has received multiple registrations in EU states, including Italy, Spain, Poland and Greece.

“With the MiCA license now secured, BitGo can operate across the entire EU under a unified, forward-looking regulatory framework,” the firm said in the announcement.

“Broad range of institutional-grade solutions”

BitGo did not specify the services it intends to roll out immediately under the new MiCA license.

“BitGo’s MiCA licence comes at a pivotal moment as BitGo expands its product suite to offer a broad range of institutional-grade digital asset solutions,” the announcement added.

Related: Tether CEO defends decision to skip MiCA registration for USDT

As of May 12, BaFin’s official records did not yet reflect BitGo’s MiCA license, showing only earlier registrations.

Crypto custodian BitGo secures MiCA license in Germany
BaFin data on BitGo’s registrations in Germany as of May 12, 2025, 8:30 am UTC. Source: BaFin

Cointelegraph approached BitGo for additional details on its MiCA license but did not receive a response by the time of publication.

As previously mentioned, Germany has emerged as a major jurisdiction for European businesses seeking MiCA registration, with BaFin issuing licenses to several companies, including Bitpanda and Boerse Stuttgart Digital Custody, in 2025.

Magazine: Crypto wanted to overthrow banks, now it’s becoming them in stablecoin fight

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