"The mania that drove crypto assets to records as Coinbase went public last week turned on itself on the weekend," report Bloomberg — as the price of bitcoin took a big dive: The world's biggest cryptocurrency plunged as much as 15% on Sunday, just days after reaching a record of $64,869. It subsequently pared some of the losses and was trading at about $56,440 at around 8:25 a.m. in Tokyo Monday. Ether, the second-biggest token, dropped as much as 18% to below $2,000 before also paring losses. The volatility buffeted Binance Coin, XRP and Cardano too.

Dogecoin — the token started as a joke — bucked the trend and is up 7% over 24 hours, according to CoinGecko.

The weekend carnage came after a heady period for the industry that saw the value of all coins surge past $2.25 trillion amid a frenzy of demand for all things crypto in the runup to Coinbase's direct listing on Wednesday. The largest U.S. crypto exchange ended the week valued at $68 billion, more than the owner of the New York Stock Exchange... Dogecoin, which has limited use and no fundamentals, rallied last week to be worth about $50 billion at one point before stumbling Saturday. Demand was so brisk for the token that investors trying to trade it on Robinhood crashed the site a few times Friday, the online exchange said in a blog post.

There was also speculation Sunday in several online reports that the crypto plunge was related to concerns the U.S. Treasury may crack down on money laundering carried out through digital assets... Besides the "unsubstantiated" report of a U.S. Treasury crackdown, Antoni Trenchev, co-founder of crypto lender Nexo, said factors for the declines may have included "excess leverage, Coinbase insiders dumping equity after the direct listing and a mass outage in China's Xinjiang province hitting Bitcoin miners."

Long-time Slashdot reader schwit1 shared this analysis from Just Security: Huawei's plans for 6G and beyond make U.S. concerns over 5G look paltry: Huawei is proposing a fundamental internet redesign, which it calls "New IP," designed to build "intrinsic security" into the web. Intrinsic security means that individuals must register to use the internet, and authorities can shut off an individual user's internet access at any time. In short, Huawei is looking to integrate China's "social credit," surveillance, and censorship regimes into the internet's architecture...

To avoid scrutiny of New IP's shortcomings, Huawei has circumvented international standards bodies where experts might challenge the technical shortcomings of the proposal. Instead, Huawei has worked through the United Nations' International Telecommunications Union (ITU), where Beijing holds more political sway...

Huawei dominance on New IP and 6G would not only create a less free, less interoperable internet, it would pave the way for authoritarian governments to gain expanded say over future changes to the internet for years to come.

An anonymous reader quotes a report from Variety: China's internet regulator has launched a hotline for citizens to report online comments that defame the ruling Communist Party and its approved description of history ahead of the Party's upcoming 100th anniversary. The new hotline will enable internet users to stop the spread of "mistaken opinions" and create a "good public opinion atmosphere" to pave the way for the July 1 occasion, the Cyberspace Administration of China (CAC) said in a notice. People can also send in tip-offs via the CAC's website and app.

"For a while now, some people with ulterior motiveshave spread historically nihilistic false statements online, maliciously distorting, slandering and denying Party, national and military history in an attempt to confuse people's thinking," the notice said. "We hope that most internet users will play an active role in supervising societyand enthusiastically report harmful information." "Historically nihilistic" information, in official rhetoric, is content that incites doubt about the Party's account of the past.

It will accept four types of content complaints: distortions of history, attacks on the Party's "leadership, guiding ideology, principles or policies," the defamation of heroes and martyrs, and "denials of the excellence of traditional Chinese culture, revolutionary culture and advanced socialist culture." The CAC notice did not explain what punishments would be in store for violators. China already frequently detains and jails people for online speech deemed politically inappropriate.

A White House plan to rapidly shore up the security of the U.S. power grid will begin with a 100-day sprint, but take years more to transform utilities' ability to fight off hackers, Bloomberg reported Wednesday, citing a draft version of the plan confirmed by two people. From the report: The plan is the policy equivalent of a high-wire act: it provides incentives for electric companies to dramatically change the way they protect themselves against cyber-attacks while trying to avoid political tripwires that have stalled previous efforts, the details suggest. Among its core tenets, the Biden administration's so-called "action plan" will incentivize power utilities to install sophisticated new monitoring equipment to more quickly detect hackers, and to share that information widely with the U.S. government. It will ask utilities to identify critical sites which, if attacked, could have an outsized impact across the grid, according to a six-page draft of the plan, which was drawn up by the National Security Council and described in detail to Bloomberg News. And it will expand a partially classified Energy Department program to identify flaws in grid components that could be exploited by the country's cyber-adversaries, including Russia, Iran and China.

Huawei has blamed the U.S. for the chip crunch rocking the global tech industry, saying Washington's sanctions against Chinese companies have spurred panic buying of semiconductors and other supplies. From a report: "Because of the U.S. sanctions against Huawei, we have seen panic stockpiling among global companies, especially the Chinese ones. In the past, companies were barely stockpiling, but now they are building up three or six months' worth of inventory ... and that has disrupted the whole system," Rotating Chairman Eric Xu said at the company's 18th Huawei Analyst Summit. The U.S. has placed Huawei and other Chinese tech companies on trade blacklists that restrict their access to American technology, citing national security risks. "Clearly the unwarranted U.S. sanctions against Huawei and other [Chinese] companies are creating an industry-wide supply shortage, and this could even trigger a new global economic crisis," Xu added. Xu's remarks come hours before the White House plans to host a summit aimed at addressing the chip shortage, with an emphasis on its impact on the automotive industry. Dozens of executives from U.S., Asian and European tech companies and automakers -- including General Motors, Ford, Google, Intel, Taiwan Semiconductor Manufacturing Co., Samsung Electronics, and NXP -- are slated to attend the event. White House officials have already acknowledged that the chip shortage may be difficult to solve in the short term.

An anonymous reader quotes a report from ZDNet: The Open Invention Network (OIN) defends the intellectual property (IP) rights of Linux and open-source software developers from patent trolls and the like. This is a global fight and now the OIN has a new, powerful allied member in China: Inspur. Inspur is a leading worldwide provider and China's leading data center infrastructure, cloud computing, and artificial intelligence (AI) server providers. While not a household name like Lenovo, Inspur ranks among the world's top-three server manufacturers.

Inspur is only the latest of many companies to join the OIN. Besides such primarily hardware-oriented companies as Inspur, Baidu, China's largest search engine company, and global banks such as Barclays and the TD Bank Group, have joined the OIN. In 2021, companies far removed from traditional Linux companies such as Canonical, Red Hat, and SUSE all recognize Linux and OSS's importance. Donny Zhang, VP of Inspur information, said, "Linux and open source are critical elements in technologies which we are developing and provisioning. By joining the Open Invention Network, we are demonstrating our continued commitment to innovation, and supporting it with patent non-aggression in core Linux and adjacent open-source software." "Linux is rewriting what is possible in infrastructure computing," says OIN CEO Keith Bergelt. "OSS-based cloud computing and on-premise data centers are driving down the cost-per-compute while significantly increasing businesses' ability to provision AI and machine-learning (ML) capabilities. We appreciate Inspur's participation in joining OIN and demonstrating its commitment to innovation and patent non-aggression in open source."

According to the Associated Press, Japan's government decided it will start releasing treated radioactive water accumulated at the crippled Fukushima nuclear plant into the Pacific Ocean in two years. From the report: Under the basic plan adopted Tuesday by the ministers, Tokyo Electric Power Company Holdings, also known as TEPCO, will start releasing the water in about two years after building a facility and compiling release plans adhering to safety requirements. It said the disposal of the water cannot be postponed further and is necessary to improve the environment surrounding the plant so residents can live there safely. TEPCO says its water storage capacity of 1.37 million tons will be full around fall of 2022. Also, the area now filled with storage tanks will have to be freed up for building new facilities needed for removing melted fuel debris from inside the reactors and for other decommissioning work that's expected to start in coming years.

In the decade since the tsunami disaster, water meant to cool the nuclear material has constantly escaped from the damaged primary containment vessels into the basements of the reactor buildings. To make up for the loss, more water has been pumped into the reactors to continue to cool the melted fuel. Water is also pumped out and treated, part of which is recycled as cooling water, and the remainder stored in 1,020 tanks now holding 1.25 million tons of radioactive water. Those tanks that occupy a large space at the plant interfere with the safe and steady progress of the decommissioning, Economy and Industry Minister Hiroshi Kajiyama said. The tanks also could be damaged and leak in case of another powerful earthquake or tsunami, the report said.

Releasing the water to the ocean was described as the most realistic method by a government panel that for nearly seven years had discussed how to dispose of the water. The report it prepared last year mentioned evaporation as a less desirable option. About 70% of the water in the tanks is contaminated beyond discharge limits but will be filtered again and diluted with seawater before it is released, the report says. According to a preliminary estimate, gradual releases of water will take more than 30 years but will be completed before the plant is fully decommissioned. Japan will abide by international rules for a release, obtain support from the International Atomic Energy Agency and others, and ensure disclosure of data and transparency to gain understanding of the international community, the report said. China blasted the Japanese government for being "extremely irresponsible," and warned that it might take action. "The Japanese side has yet to exhaust all avenues of measures, disregarded domestic and external opposition, has decided to unilaterally release the Fukushima plant's nuclear waste water without full consultation with its neighboring countries and the international community," the foreign ministry statement said. "This action is extremely irresponsible and will pose serious harm to the health and safety of the people in neighboring countries and the international community."

South Korea also isn't happy with Japan's decision. "The government expresses strong regret over the Japanese government's decision to release contaminated water from the Fukushima nuclear plant into the ocean," said Koo Yoon-cheol, head of South Korea's Office for Government Policy Coordination.

Intel CEO Pat Gelsinger called Monday for the U.S. to spend billions of dollars over the next few years as part of a "moonshot" designed to regain lost ground in semiconductor manufacturing. The goal, he said, is to see the U.S. again account for a third of global output, up from about 12% today. From a report: Investments made now will take several years to bear fruit, so they won't do much to ease the current semiconductor shortage, but are vital to America's long-term economic future and national security, Gelsinger told Axios on Monday. The White House met with tech leaders in a virtual summit on Monday discussing the need for investment in chip manufacturing. With demand for broad categories of chips exceeding supply, makers of everything from cars to computers and networking gear are having to slow factories and cut output. Automakers have been hit especially hard. At the very leading edge, the vast majority of chip production today is done in Taiwan, an island that remains imperiled by China's longstanding claims. "I would argue the most important building block for our economic livelihood and every aspect of human life is now increasingly not in our control," Gelsinger told Axios in an interview after the White House meeting.

Jess Powell, CEO of Kraken, the world's fourth-largest digital currency exchange, warns that governments around the world may start to clamp down on the use of bitcoin and cryptocurrencies. CNBC reports: "I think there could be some crackdown," Jesse Powell, CEO of Kraken, told CNBC in an interview. Cryptocurrencies have surged in value lately, with bitcoin hitting a record high price of more than $61,000 last month. The world's most valuable digital coin was last trading at around $60,105. [...] Kraken's chief thinks regulatory uncertainty around crypto isn't going away anytime soon. A recent anti-money laundering rule proposed by the U.S. government would require people who hold their crypto in a private digital wallet to undergo identity checks if they make transactions of $3,000 or more.

"Something like that could really hurt crypto and kind of kill the original use case, which was to just make financial services accessible to everyone," Powell said. Cryptocurrencies like bitcoin have often been associated with illicit activities due to the fact that people transacting with it are pseudonymous -- you can see where funds are being sent but not who sent or received them. "I hope that the U.S. and international regulators don't take too much of a narrow view on this," Powell said. "Some other countries, China especially, are taking crypto very seriously and taking a very long-term view."

Kraken's CEO said he feels the U.S. is more "shortsighted" than other nations and "susceptible" to the pressures of incumbent legacy businesses -- in other words, the banks -- that "stand to lose from crypto becoming a big deal." "I also think it might be too late," Powell added. "Maybe the genie's out of the bottle and just trying to ban it at this point would make it more attractive. It would certainly send a message that the government sees this as a superior alternative to their own currency."

Huawei will invest $1 billion on researching self-driving and electric-car technologies, accelerating plans to compete with Tesla and Xiaomi in the world's biggest vehicle arena. From a report: Huawei's autonomous-driving technology has already surpassed Tesla's in some spheres, for instance by allowing cars to cruise for more than 1,000 kilometers (621 miles) without human intervention, Rotating Chairman Eric Xu told analysts in Shenzhen Monday. The Chinese telecom giant will partner with three automakers initially to make self-driving cars that carry the Huawei name as a sub-brand, said Xu, one of three executives who take turns to fill the post. It will keep its circle of partners small and get its logo onto cars -- not unlike how Intel calls attention to its microprocessors on PCs -- that adopt its autonomous driving technology, he added. The mobile giant has so far agreed to team up with BAIC Group, Chongqing Changan Automobile and Guangzhou Automobile Group.

Procter & Gamble "helped develop a technique being tested in China to gather iPhone data for targeted ads, a step intended to give companies a way around Apple Inc.'s new privacy tools," reports the Wall Street Journal. (Citing "people familiar with the matter.") The move is part of a broader effort by the consumer-goods giant to prepare for an era in which new rules and consumer preferences limit the amount of data available to marketers. P&G — among the world's largest advertisers, with brands such as Gillette razors and Charmin toilet paper — is the biggest Western company involved in the effort, the people said.

The company has joined forces with dozens of Chinese trade groups and tech firms working with the state-backed China Advertising Association to develop the new technique, which would use technology called device fingerprinting, the people said. Dubbed CAID, the advertising method is being tested through apps and gathers iPhone user data. Through the use of an algorithm, it can track users for purposes of targeting ads in a way that Apple is seeking to prevent.
Apple's response? "We believe strongly that users should be asked for their permission before being tracked. Apps that are found to disregard the user's choice will be rejected."

New submitter evaverdeazul shared this report from Japan Today: The Japanese government is poised to release treated radioactive water accumulated at the crippled Fukushima nuclear plant into the sea despite opposition from fishermen, sources familiar with the matter said Friday. It will hold a meeting of related ministers as early as Tuesday to formally decide on the plan, a major development following over seven years of discussions on how to discharge the water used to cool down melted fuel at the Fukushima Daiichi plant.

The treated water containing radioactive tritium, a byproduct of nuclear reactors, is said to pose little risk to human health because even if one drinks the water, so long as the tritium concentration is low, the amounts of tritium would not accumulate in the body and would soon be excreted. There is also no risk of external exposure even if the water comes in contact with skin. Still, concerns remain among Japan's fisheries industry and consumers as well as neighboring countries such as South Korea and China.

The government has said it cannot continue postponing a decision on the disposal issue, given that the storage capacity of water tanks at the Fukushima complex is expected to run out as early as fall next year. It asserts that space needs to be secured on the premises, such as for keeping melted fuel debris that will be extracted from the damaged reactors, to move forward with the decades-long process of scrapping the complex.

Plant operator Tokyo Electric Power Company Holdings Inc (TEPCO) says it will take around two years for the discharge to start.

There is something that the average person can do to slow down climate change, and it can be accomplished without leaving the house. Don't waste food. From a report: Some 931 million tons of it went to waste in 2019, according to the United Nations Environment Programme. Individual households were responsible for more than half of that, with the rest coming from retailers and the food service industry. New estimates show that about 17% of food available to consumers worldwide that year ended up being wasted. The matter is even more urgent when considered alongside another UN analysis that tracks the problem further up the supply chain, and shows 14% of food production is lost before it reaches stores. Waste is happening at every point, from the field to the dinner table.

Food waste and loss are responsible for as much as 10% of global emissions, according to the Intergovernmental Panel on Climate Change. If it were a country, this discard would rank third in the ranking of the world's sources of greenhouse gases, after China and the U.S. Among the most effective climate solutions, non-profit Project Drawdown ranks cutting food waste ahead of moving to electric cars and switching to plant-based diets. Thursday's UNEP report suggests the amount of food wasted by consumers could be about double the previous estimate. The analysis conducted by the UN's Food and Agriculture Organization in 2011 relied on data from fewer countries.

The U.S. Commerce Department said Thursday it was adding seven Chinese supercomputing entities to a U.S. economic blacklist for assisting Chinese military efforts. From a report: The department is adding Tianjin Phytium Information Technology, Shanghai High-Performance Integrated Circuit Design Center, Sunway Microelectronics, the National Supercomputing Center Jinan, the National Supercomputing Center Shenzhen, the National Supercomputing Center Wuxi, and the National Supercomputing Center Zhengzhou to its blacklist. The Commerce Department said the seven were "involved with building supercomputers used by China's military actors, its destabilizing military modernization efforts, and/or weapons of mass destruction programs.' The Chinese Embassy in Washington did not immediately respond to requests for comment. "Supercomputing capabilities are vital for the development of many -- perhaps almost all -- modern weapons and national security systems, such as nuclear weapons and hypersonic weapons," Commerce Secretary Gina Raimondo said in a statement.

Peter Thiel is "pro-crypto" and "pro-Bitcoin maximalist," but he also thinks the cryptocurrency may be undermining America. From a report: Thiel, the venture capitalist and conservative political donor, urged the U.S. government to consider tighter regulations on cryptocurrencies in an appearance on Tuesday. The statements seemed to represent a change of heart for Thiel, who is a major investor in virtual currency ventures as well as in cryptocurriences themselves. "I do wonder whether at this point, Bitcoin should also be thought [of] in part as a Chinese financial weapon against the U.S.," Thiel said during an appearance at a virtual event held for members of the Richard Nixon Foundation. "It threatens fiat money, but it especially threatens the U.S. dollar." He added: "[If] China's long Bitcoin, perhaps from a geopolitical perspective, the U.S. should be asking some tougher questions about exactly how that works."

The joint international and Chinese mission organized by the World Health Organization on the origins of Covid released its report last week suggesting that for almost every topic it covered, more study was needed. What kind of study and who will do it is the question. From a report: The report suggested pursuing multiple lines of inquiry, focused on the likely origin of the coronavirus in bats. It concluded that the most likely route to humans was through an intermediate animal, perhaps at a wildlife farm. Among future efforts could be surveys of blood banks to look for cases that could have appeared before December 2019 and tracking down potential animal sources of the virus in wildlife farms, the team proposed. Critics of the report have sought more consideration of the possibility that a laboratory incident in Wuhan could have led to the first human infection. A loosely organized group of scientists and others who have been meeting virtually to discuss the possibility of a lab leak released an open letter this week, detailing several ways to conduct a thorough investigation. It called for further action, arguing that "critical records and biological samples that could provide essential insights into pandemic origins remain inaccessible."

Much of the letter echoes an earlier release from the same group detailing what it saw as the failures of the W.H.O. mission. This second letter is more specific in the kind of future investigations it proposes. The group is seeking a new inquiry that would include biosecurity and biosafety experts, one that could involve the W.H.O. or a separate multination effort to set up a different process to explore the beginnings of the pandemic and its origins in China. Jamie Metzl, an author, senior fellow of the Atlantic Council, an international policy think tank and signer of the scientists' letter, said the renewed calls for a more thorough investigation reflected the need for greater monitoring of and restrictions on what viruses can be studied in labs around the world. "This is not about ganging up on China," Mr. Metzl said. Mr. Metzl's group was among those disappointed by the report issued last week, as it dismissed out of hand the possibility of a leak from the Wuhan Institute of Virology, calling it extremely unlikely. Further reading: Data Withheld From WHO Team Probing COVID-19 Origins in China: Tedros.

According to researchers in Beijing, China, the total carbon footprint of bitcoin mining in the country will peak in 2024, releasing around 130 million metric tons of carbon. This figure exceeds the annual carbon emissions of countries including Italy and the Czech Republic. New Scientist reports: By 2024, bitcoin mining in China will require 297 terawatt-hours of energy and account for approximately 5.4 per cent of the carbon emissions from generating electricity in the country. The researchers predicted the emissions peak in China in 2024 based on calculations of when the overall cost of mining -- the investment in computing equipment and the electricity costs -- outweighs the financial rewards of selling mined bitcoin. They used both financial projections and carbon emissions analysis to model the emissions footprint in China, taking into account factors such as location. Bitcoin miners in Beijing or other parts of northern China are very likely to be using electricity from coal-powered plants. Mining in southern provinces -- especially Guizhou, Yunnan and Sichuan -- is in large part powered by hydroelectricity, says Guan. The findings have been published in the journal Nature Communications.

A thousand years ago, when money meant coins, China invented paper currency. Now the Chinese government is minting cash digitally, in a re-imagination of money that could shake a pillar of American power. From a report: It might seem money is already virtual, as credit cards and payment apps such as Apple Pay in the U.S. and WeChat in China eliminate the need for bills or coins. But those are just ways to move money electronically. China is turning legal tender itself into computer code. Cryptocurrencies such as bitcoin have foreshadowed a potential digital future for money, though they exist outside the traditional global financial system and aren't legal tender like cash issued by governments.

China's version of a digital currency is controlled by its central bank, which will issue the new electronic money. It is expected to give China's government vast new tools to monitor both its economy and its people. By design, the digital yuan will negate one of bitcoin's major draws: anonymity for the user. Beijing is also positioning the digital yuan for international use and designing it to be untethered to the global financial system, where the U.S. dollar has been king since World War II. China is embracing digitization in many forms, including money, in a bid to gain more centralized control while getting a head start on technologies of the future that it regards as up for grabs. "In order to protect our currency sovereignty and legal currency status, we have to plan ahead," said Mu Changchun, who is shepherding the project at the People's Bank of China. Digitized money could reorder the fundamentals of finance the way Amazon.com disrupted retailing and Uber rattled taxi systems. That an authoritarian state and U.S. rival has taken the lead to introduce a national digital currency is propelling what was once a wonky topic for cryptocurrency theorists into a point of anxiety in Washington. Asked in recent weeks how digitized national currencies such as China's might affect the dollar, Treasury Secretary Janet Yellen and Federal Reserve Chairman Jerome Powell have said the issue is being studied in earnest, including whether a digital dollar makes sense someday.

Time magazine reports: On March 10, photos and videos on Twitter were loading more slowly than usual for users in Russia. It was not a network fault or server error but a deliberate move by Russia's state internet regulator Roskomnadzor to limit traffic to the social media site, in what experts say was the first public use of controversial new technology that the Russian authorities introduced after 2019... The action came after Russian authorities had accused Twitter and other social networks in January of failing to delete posts urging children to take part in anti-government protests... In response to the slowdown, Twitter said it did not support any "unlawful behaviour" and was "deeply concerned" by the regulator's attempts to block online public conversation.

But on March 16 Roskomnadzor gave a fresh warning that if Twitter refused to comply with its removal requests within a month, the regulator will consider blocking access to the social network in Russia outright... Twitter has only 700,000 monthly active users in Russia, a fraction of the 68.7 million in the U.S. Despite its use by opposition politicians and journalists the Kremlin doesn't consider it "the most dangerous" platform, says Andrei Soldatov, a Russian cyber expert. Experts say that the authorities used the Twitter slowdown to test technology that could be used to disrupt other, more popular social networks like Facebook, which has an estimated 23 million active monthly users in Russia...

As the government has ramped up its efforts to control what citizens can access online it also has several projects in the pipeline that experts say is part of a strategy to push foreign tech companies out of the Russian market completely. From April 1, Roskomnadzor requires tech companies selling smartphones in Russia to prompt users to download government-approved apps, including search engines, maps and payment systems... In November 2019, the Kremlin made its most controversial move yet toward controlling the country's Internet infrastructure with the so-called "sovereign Internet" law. A series of amendments to existing laws theoretically enabled the Russian authorities to isolate "RuNet" — the unofficial name for websites hosted in Russia and sites on Russian domain names — from the global web in vaguely defined times of crisis, giving the Russian authorities control over flows of data coming in and out of the country... The "sovereign Internet" law required Internet Service Providers to install Deep Packet Inspection (DPI) equipment, which has been used by some countries, like China, for censorship. DPI equipment enables Russia to circumvent providers, automatically block content the government has banned and reroute internet traffic.

Russia's major ISPs have now installed DPI equipment, according to Alena Epifanova, a researcher at the German Council on Foreign Relations. But no one knows if or when Russia will be able to cut off its Internet from the global web.
The article also notes Russia passed a law in December which gives Roskomnadzor "the power to restrict or fully block websites that, according to officials, discriminate against Russian state media."

Reuters reports: A Volkswagen joint venture in China has agreed to buy green car credits from Tesla to help meet local environmental rules
The deal, the first of its kind to be reported between the two companies in China, highlights the scale of the task Volkswagen faces in transforming its huge petrol carmaking business into a leader in electric vehicles to rival Tesla. Shares in Volkswagen, the world's second-biggest automaker, have soared this year as investors warm to its plans to go electric. But in China, and elsewhere, the German company is still heavily reliant on traditional combustion-engine vehicles.

China, the world's biggest auto market where over 25 million vehicles were sold last year, runs a credit system that encourages automakers to work towards a cleaner future by, for example, improving fuel efficiency or making more electric cars. Manufacturers are awarded green credits that can be offset against negative credits for producing more polluting vehicles.
The VW-venture's gas-powered SUVs and sedans "have so far proved far more popular in China than their electric vehicles," Reuters notes.

MarketWatch adds that "A deal to buy credits from Tesla at a premium represents Volkswagen buoying the margins of one of its fiercest rivals in the electric-vehicle space." According to Swiss bank UBS, Tesla and Volkswagen will be the two global leaders in electric-vehicle sales within the next two years. The analysts expect that Volkswagen will catch up with Tesla in terms of total volume of cars sold as soon as next year, when the two companies could deliver around 1.2 million cars each.