👉Issue #111 of QX Snapshots is out!

Welcome to QX Snapshots - a weekly recap of the key news on emerging technologies. In this newsletter, you will get a "digest" of the latest info on Enterprise Blockchain, AI, Quantum Technology, and more. We hope it brings you value!

[Blockchain] Calastone Introduces Calastone Tokenised Distribution, DTCC Unveils Digital Collateral Management Platform, SMBC Partners with Ava Labs to Explore Stablecoin, and Wintermute Upgrades NODE Platform. Calastone, the leading global funds network, introduces Calastone Tokenised Distribution, enabling asset managers to tokenize funds for seamless blockchain distribution. Leveraging Calastone's extensive network, the solution supports Ethereum, Polygon, and Canton, automating orders and maintaining compatibility with traditional operations. Benefits include reduced distribution costs, preserved service provider relationships, and positioning for future market trends. A recent study suggests tokenization could save the industry $135 billion annually. Meanwhile, DTCC has announced its digital collateral management platform, leveraging blockchain technology to streamline collateral flow and unlock capital efficiencies. The AppChain-based approach increases mobility, velocity, and liquidity, facilitating convergence of traditional and digital assets. The platform, built on LF Decentralized Trust's Besu blockchain, offers greater control over privacy, security, and data. DTCC aims to enable real-world, institutional-grade digital collateral market infrastructure, with plans to develop industry standards, engage with regulators, and provide direct market access to the buy-side. Also, Sumitomo Mitsui Financial Group (SMBC), one of Japan's largest banking groups is partnering with Ava Labs, Fireblocks, and TIS to explore stablecoin commercialization in Japan. The collaboration aims to develop a framework for stablecoin issuance and circulation, including use cases like settling tokenized financial assets. And, Hashgraph has unveiled HashSphere, a private, permissioned blockchain built with Hedera technology. HashSphere offers enterprises a flexible DLT solution with security, compliance, and interoperability. It ensures regulatory compliance, privacy, and control by restricting access to verified participants, with future interoperability with Hedera's public network. HashSphere addresses challenges faced by private DLT solutions, such as vendor lock-in and security risks. In other news, Wintermute has upgraded its NODE platform. The all-in-one interface now offers a seamless OTC trading experience, with features like frictionless onboarding, instant credit access, and streamlined settlement. NODE aims to match traditional finance standards, providing a single platform for onboarding, credit, execution, and settlement.

[AI] Midjourney Releases V7, Runway Gen-4, Large Language Models Pass Turing Test, and Amazon Unveils Nova Act, Along with Lindy's AI Agent Swarms . Midjourney has released V7, its first new AI image model in nearly a year. V7 offers a "totally different architecture" with improved text prompts, image quality, and coherence. Users can access V7 by rating 200 images to build a personalization profile and selecting the model on the website or Discord chatbot. V7 is available in two flavors, Turbo and Relax, and features a new Draft Mode that renders images at 10x the speed and half the cost of standard mode. Meanwhile, Runway Gen-4 introduced a new generation of media generation AI models, allowing for consistent and controllable characters, locations, and objects across scenes. With a single reference image, Gen-4 can generate characters that remain consistent under different lighting conditions, locations, and treatments. The model can also place objects in any location or condition, and generate videos with realistic motion and subject consistency. Also, a new paper claims that Large Language Models (LLMs) have passed the Turing Test, a benchmark for human-like intelligence. In a series of controlled tests, GPT-4.5 was judged to be human-like 73% of the time, while LLaMa-3.1 was judged to be human-like 56% of the time. Baseline models were unable to pass the test. These results provide empirical evidence that LLMs can exhibit human-like intelligence and have significant implications for debates about the capabilities and social and economic impacts of these systems. And, Amazon has unveiled Nova Act, a general-purpose AI agent that can control a web browser and perform simple actions independently. The agent is part of a research preview and is designed to power features of Amazon's upcoming Alexa+ upgrade. In other news, Lindy has launched AI Agent Swarms, a system that assigns multiple AI agents smaller tasks to work together for a higher quality output. Examples include researching conference attendees, providing meeting context, and conducting competitive analysis. The system can automate these tasks more efficiently and effectively than manually building them with tools like CRON jobs and web crawlers.

[Quantum Technology] Quantinuum Validates Quantum Origin, Switzerland Tightens Export Controls, DARPA Selects 18 Companies for Quantum Benchmarking Initiative. Quantinuum's Quantum Origin, a software-based Quantum Random Number Generator, has received NIST validation, becoming the first software-based QRNG to achieve this milestone. Quantum Origin delivers mathematically proven randomness through flexible, hardware-free deployment, supporting cybersecurity needs in various environments. This achievement positions Quantum Origin as a key tool for US agencies transitioning to post-quantum cryptography, strengthening cybersecurity in the age of PQC. Meanwhile, Switzerland will expand its export controls to include dual-use emerging technologies like quantum computing, semiconductors, and additive manufacturing. The move aligns with US and EU measures, reflecting a global trend to regulate quantum technologies. The Swiss government aims to balance security and access, maintaining competitiveness in research and industry while preventing misuse. Specific items subject to regulation have not been detailed, but an official list will be published. Also, India and Taiwan are deepening cooperation in quantum technology to bypass export restrictions and strengthen diplomatic and innovation ties. Both countries are investing heavily in quantum development, with Taiwan having launched a $259 million national quantum initiative and India's National Quantum Mission focusing on computing, communication, sensing, and materials. A partnership could provide a way for India to bypass export controls and leverage Taiwan's chipmaking expertise and emerging quantum capabilities. And, DARPA has selected 18 companies for its Quantum Benchmarking Initiative, a program aimed at verifying whether any can build a fault-tolerant, utility-scale quantum computer by 2033. The selected companies include major players in quantum computing, such as IBM, Microsoft, and Rigetti, and are being evaluated on their technical roadmaps and architectures. The program's goal is to separate "hype from reality" and identify concepts that can lead to transformative, fault-tolerant quantum computing. The selected companies will undergo a rigorous review process, including independent hardware testing, to assess their ability to deliver on DARPA's objectives.

[General technology] France Rejects Bill That Would Weaken Encryption, Microsoft Warns of Phishing Campaigns, and Europol Dismantles Kidflix. France rejected a bill that would have forced messaging platforms to weaken encryption, ensuring private conversations remain secure. The proposal, criticized by security experts, would have introduced vulnerabilities and undermined trust in secure communication platforms. Lawmakers listened to digital rights organizations and cybersecurity experts, understanding that encryption protects everyone, not just activists. This decision sends a message to governments worldwide: undermining encryption doesn't make society safer, it makes everyone more vulnerable. The victory was achieved through sustained public pressure, expert input, and advocacy, but similar proposals will likely continue to emerge. Meanwhile, Microsoft is warning of phishing campaigns that target tax season users with malware-laced PDFs and QR codes. The campaigns use phishing-as-a-service platforms and deliver remote access trojans, malware, and post-exploitation frameworks. Victims are redirected to fake pages, including Docusign, Microsoft 365, and fake Windows 11 Pro downloads, which install malware like BRc4, Latrodectus, and GuLoader. The campaigns are attributed to Storm-0249, an initial access broker, and use QR codes to disguise malicious URLs. Microsoft has detected multiple campaigns in the US, targeting engineering, IT, and consulting sectors. Also, Europol has dismantled Kidflix, a streaming platform that offered child sexual abuse material (CSAM). The operation, codenamed Operation Stream, involved 38 countries and 1,393 identified individuals globally. The platform, launched in 2021, had 190,000 registered users and offered CSAM for download and streaming. Authorities seized 72,000 videos and 3,000 devices. The investigation is ongoing, and 79 individuals have been arrested. The dismantling of Kidflix is a major victory in combating child sexual exploitation and a testament to the effectiveness of international cooperation.