bitcoin

ethereum

tether

ripple

usd-coin

solana

tron

dogecoin

cardano

bitcoin-cash

hyperliquid

monero

ethena-usde

chainlink

stellar

paypal-usd

multi-collateral-dai

hedera

litecoin

avalanche

zcash

shiba-inu

toncoin

cronos

tether-gold

polkadot

pax-gold

memecore

uniswap

mantle

falcon-finance

aster

bittensor

aave

ripple-usd

pepe

near-protocol

ethereum-classic

internet-computer

ondo-finance

polygon

pump-fun

morpho

quant

cosmos

nexo

ethena

kaspa

official-trump

algorand

usdd

filecoin

Aptos

ondo-us-dollar-yield

beldex

vechain

usual-usd

Arbitrum

jupiter-ag

decred

bonk1

fasttoken

euro-coin

virtual-protocol

just

pudgy-penguins

dash

tezos

first-digital-usd

curve-dao-token

chiliz

artificial-superintelligence-alliance

layerzero

apenft

kaia

aerodrome-finance

bitcoin-sv

sun-token

injective

iota

frax

spx6900

olympus

celestia

The Graph

pyth-network

floki-inu

lido-dao

optimism-ethereum

telcoin

newton

helium

ethereum-name-service

terra-luna

Brett is the blue character from Matt Furie's "Boy's Club" comic (same artist who created Pepe). It became the de facto mascot memecoin of Coinbase's Base chain. When Base exploded in popularity, Brett rode the wave as the chain's top meme token. Simple concept: Pepe's friend, on Coinbase's chain.

based-brett

<h2 class="text-2xl font-bold mb-4">Seven Forks, One Quantum-Ready Chain</h2>
<p class="mb-6">On Wednesday, the Ethereum Foundation revealed its most ambitious roadmap in years: a multi-year plan titled the “strawmap,” outlining seven network upgrades—known as hard forks—scheduled through 2029</p>
<p class="mb-10 max-w-xl">The strawmap’s five primary goals are explicit: reduce Layer 1 transaction finality from today’s 16 minutes to single-digit seconds, boost Layer 1 throughput to roughly 10,000 transactions per second (TPS)—referred to as “gigagas” scale—and push Layer 2 throughput to an eye-popping 10 million TPS (“teragas” scale). In parallel, the roadmap aims to make Ethereum quantum-resistant and introduce built-in privacy features such as shielded ETH transfers. On paper, these targets are bold; in practice, they require sweeping changes across consensus, cryptography, and network architecture.</p> 
<h2 class="text-2xl font-bold mb-4">Seconds to Finality: The Race Begins</h2>
<p class="mb-6">Currently, Ethereum users wait approximately 16 minutes for transaction finality—a guarantee that their transaction cannot be reversed. The strawmap seeks to compress this window dramatically: finality within eight seconds is the explicit target by 2029. This would represent a more than 100-fold reduction in confirmation time over the next three years. Achieving this will rely on a new consensus mechanism called Minimmit, which is designed to replace Ethereum’s existing system with a simpler and faster protocol.</p>
<p class="mb-8 text-lg font-medium">Vitalik Buterin has emphasized that such a leap will be “very invasive,” requiring coordinated changes across multiple forks.</p>
<br><p class="mb-6 italic text-slate-600 my-8">The roadmap, published by researcher Justin Drake and available at strawmap.org, details seven planned hard forks between now and 2029.</p>
<p class="mb-6">Slot times—the intervals at which new blocks are produced—are also set for incremental reductions. Today’s slot time stands at 12 seconds; under the strawmap, this will be trimmed stepwise: first to eight seconds, then six, four, and potentially down to just two seconds per block. Each reduction will be carefully evaluated for network safety before deployment. According to coindesk.com, Buterin described these slot reductions and finality improvements as “very important,” noting that they would fundamentally alter how quickly users can trust their transactions are settled.</p>

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    <blockquote class="twitter-tweet" data-theme="light">
        <a href="https://twitter.com/VitalikButerin/status/2026338053162414545"></a>
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</div> 
<h2 class="text-2xl font-bold mb-4">Post-Quantum Signatures: What Changes</h2>
<p class="mb-6">The looming threat of quantum computers capable of breaking today’s cryptography has pushed Ethereum’s researchers to prioritize post-quantum security in the strawmap. Future forks will transition Ethereum’s signature schemes from current elliptic curve systems to hash-based signatures believed to be resistant against quantum attacks. This shift is not merely theoretical; it is bundled with other major changes such as the new finality system.</p>
<p class="mb-6">Buterin has stated that these upgrades are intentionally grouped together due to their disruptive nature. The aim is clear: ensure that by the end of this seven-fork sequence—targeted for completion by 2029—Ethereum will have native defenses against quantum decryption threats while simultaneously achieving much faster transaction settlement.</p> 
<h2 class="text-2xl font-bold mb-4">Shielded ETH Transfers on the Horizon</h2>
<p class="mb-10 max-w-xl">Beyond speed and security, privacy emerges as a central pillar of the strawmap. Shielded ETH transfers—transactions where amounts and addresses are hidden from public view—are explicitly listed among the five main goals. While details remain technical and implementation timelines uncertain, integrating built-in privacy represents a major shift for Ethereum’s base layer. This would bring features typically reserved for privacy coins directly into mainstream smart contract infrastructure.</p> 
<h2 class="text-2xl font-bold mb-4">Vitalik’s Vision: Speed and Security</h2>
<p class="mb-6">Vitalik Buterin has played an active role in shaping and communicating this roadmap. He has publicly discussed both the technical rationale behind reducing slot times (from 12 down to potentially two seconds) and the necessity of quantum-resistant signatures. Buterin also acknowledged trade-offs: while faster blocks improve user experience and enable higher throughput (up to 10 million TPS on Layer 2), they demand robust peer-to-peer upgrades so that nodes can share data efficiently without risking network instability.</p>
<p class="mb-6">The strawmap does not commit Ethereum developers or stakers to any single path; rather, it serves as a living document guiding discussions through seven forks over four years. Whether all milestones—from gigagas throughput to shielded transfers—can be achieved by 2029 remains uncertain. Yet with each fork scheduled roughly every six months until then, Ethereum’s pace of change is set for acceleration unmatched since its inception.</p><h2 class="text-2xl font-bold mb-4">Key developments still ahead</h2>
<p class="mb-6">If the Ethereum Foundation proceeds with its proposed cadence of one hard fork every six months through 2029, each fork will serve as a measurable checkpoint for implementing faster slot times, reduced finality, and post-quantum upgrades; however, whether these aggressive timelines and technical milestones can be met remains unclear and will depend on network safety assessments at each stage.</p>

Seven Forks, One Quantum-Ready Chain On Wednesday, the Ethereum Foundation revealed its most ambitious roadmap in years: a multi-year plan titled the “strawmap,” outlining seven network upgrades—known as hard forks—scheduled through 2029...

Ethereum Foundation Unveils Strawmap: A Seven-Fork Road to Quantum-Resistant, Instant Finality

<h2 class="text-2xl font-bold mb-4">Senator presses Binance over Iran ties</h2>
<p class="mb-6">U.S. Senator Richard Blumenthal has launched a formal investigation into Binance, the world’s largest cryptocurrency exchange, following allegations that $1.7 billion flowed from Binance accounts to organizations linked with sanctioned Iranian entities and Russia’s oil “shadow fleet.” On Tuesday, Blumenthal, who serves as the ranking member of the Senate Permanent Subcommittee on Investigations, sent a letter to Binance CEO Richard Teng demanding internal records and documentation related to sanctions compliance and controls. The inquiry comes on the heels of reports citing internal Binance probes that allegedly uncovered transfers involving groups such as Yemen’s Houthi militants and Iran’s Islamic Revolutionary Guards Corps.</p>
<p class="mb-10 max-w-xl">The senator’s letter specifically requested information about dealings with two Hong Kong-based entities—Blessed Trust and Hexa Whale—identified as intermediaries in moving funds to organizations connected with the Iranian government.</p> 
<h2 class="text-2xl font-bold mb-4">$1.7B transfer trail under scrutiny</h2>
<p class="mb-6">At the center of the probe is an alleged $1.7 billion in transfers routed through Binance accounts in 2024 and 2025, with some funds reportedly ending up in wallets tied to sanctioned Iranian groups and Russian oil tankers. Internal investigators at Binance are said to have traced these transactions back to Chinese clients registered on the platform, raising concerns about how effectively Binance screens for sanctioned activity. According to cointelegraph.com, these findings were initially flagged by compliance staff who identified Blessed Trust—a Hong Kong company that acted as a vendor for Binance—before its accounts were terminated in January.</p>
<br><p class="mb-6 italic text-slate-600 my-8">Binance reportedly ceased working with Blessed Trust after closing its accounts in January 2024.</p>
<p class="mb-6">On paper, Binance claims robust Know Your Customer (KYC) procedures and asserts that it does not serve Iranian users; however, internal reports suggest otherwise, pointing to possible gaps between policy and practice.</p> 
<h2 class="text-2xl font-bold mb-4">Internal whistleblowers allegedly sidelined</h2>
<p class="mb-6">Multiple media outlets reported that several Binance compliance staff who raised concerns about these transactions were either fired or suspended. The Wall Street Journal alleged that five employees involved in investigating crypto transfers tied to sanctioned entities lost their jobs after flagging approximately $1 billion in questionable flows. In contrast, Binance maintains these employees resigned voluntarily and denies any retaliation or suppression of whistleblowers. The company has publicly challenged these reports as “categorically false,” even sending a legal demand for retraction to one major newspaper.</p>
<p class="mb-8 text-lg font-medium">The fate of these investigators remains uncertain amid ongoing disputes between Binance and the press.</p> 
<h2 class="text-2xl font-bold mb-4">Binance denies Iranian user presence</h2>
<p class="mb-6">Binance has issued strong denials regarding the presence of Iranian users on its platform. In communications with U.S. authorities and public statements, CEO Richard Teng insisted that an internal review found no evidence of violations of applicable sanctions laws or regulations tied to the described transactions. Rachel Conlan, a spokesperson for Binance, told media outlets that a comprehensive report is being prepared for submission to the U.S. Justice Department by February 25.</p>
<p class="mb-6">Despite these assurances, Senator Blumenthal’s inquiry asks for detailed compliance records covering not only recent years but also previous periods when Changpeng Zhao was still CEO—a period during which Binance admitted guilt in violating federal anti-money-laundering statutes.</p> 
<h2 class="text-2xl font-bold mb-4">Why it matters: practical impact</h2>
<p class="mb-6">The latest congressional probe adds fresh scrutiny just months after Binance agreed in November 2023 to pay $4.3 billion in penalties and exit the U.S. market as part of a settlement over anti-money-laundering failures. Changpeng Zhao subsequently stepped down as CEO and served four months in prison before receiving a pardon from President Donald Trump—a rare outcome for financial crime cases at this scale.</p>
<p class="mb-6">For U.S.-based crypto users and global regulators alike, this investigation could set new precedents for how digital asset platforms are held accountable for cross-border sanctions enforcement. With allegations ranging from $1 billion to $1.7 billion in illicit flows involving sanctioned countries, lawmakers are signaling zero tolerance for gaps between stated compliance policies and actual transaction monitoring practices.</p>
<p class="mb-10 max-w-xl">Whether concrete evidence emerges from Blumenthal’s probe or not, the episode underscores persistent challenges facing crypto exchanges operating at global scale—where even terminated vendor relationships like Blessed Trust can become flashpoints for regulatory intervention.</p><h2 class="text-2xl font-bold mb-4">What could move the market</h2>
<p class="mb-6">If Binance submits its full report to the U.S. Justice Department as planned on February 25, any immediate findings or actions disclosed by authorities could trigger market reactions; however, whether the report will confirm or refute the alleged $1.7 billion in transfers to Iran-linked entities remains unclear.</p>

Senator presses Binance over Iran ties U.S. Senator Richard Blumenthal has launched a formal investigation into Binance, the world’s largest cryptocurrency exchange, following allegations that $1.7 billion flowed from Binance accounts to...

US Senator Probes Binance Over $1.7 Billion Iran, Russia Sanctions Allegations

<h2 class="text-2xl font-bold mb-4">Bitcoin Nears Make-or-Break Support</h2>
<p class="mb-6">Bitcoin’s price slipped under $63,000 during Asian trading hours on Tuesday, marking a new low not seen since February 6. The cryptocurrency stabilized near $63,200 but remains down about 4% over the last 24 hours. This brings Bitcoin’s weekly decline to nearly 7%, with the asset now trading at levels where buyers previously stepped in after a sharp drop earlier in the year.</p>
<p class="mb-10 max-w-xl">Market participants are watching the $60,000 level closely, as this has been identified by Kraken’s Matt Howells-Barby as a critical support zone. A decisive break below could trigger another wave of liquidations and potentially push prices down to $52,500—a historical support area dating back to 2021.</p>
<br><p class="mb-6 italic text-slate-600 my-8">BTC has now fallen for four consecutive days, reaching $63,100 at its lowest point since February 6.</p>
<h2 class="text-2xl font-bold mb-4">Market Nerves as Liquidation Looms</h2>
<p class="mb-6">The recent selloff has not been limited to Bitcoin alone. Bitcoin Cash (BCH) tumbled by 11.5% over the past 24 hours, while other cryptocurrencies like SUI, JUP, PUMP, and WLFI each dropped more than 2%. The broader crypto market is feeling the strain as nearly half of Bitcoin’s value has evaporated since its October peak.</p>
<p class="mb-8 text-lg font-medium">A break below $60,000 could set off another round of forced selling for leveraged traders.</p>
<p class="mb-6">On paper, Bitcoin’s resilience above $60,000 looks promising for bulls. But with over 400,000 BTC purchased between $60,000 and $70,000 during the latest downturn—according to Glassnode data—the pain threshold for many recent buyers is being tested. If prices fall further, these holders may be forced to sell at a loss, accelerating downward momentum.</p>
<h2 class="text-2xl font-bold mb-4">Pippin Frenzy Highlights Speculation Risks</h2>
<p class="mb-6">While Bitcoin struggles to hold key support levels, speculative fervor continues elsewhere in the market. Pippin (PIPPIN), an AI-generated memecoin launched on Solana by Yohei Nakajima, surged by 135% over the last four weeks and gained another 10% in just 24 hours. LunarCrush noted that Pippin’s rally is fueled by aggressive speculation and rapid growth in market capitalization.</p>
<p class="mb-6">Some social media accounts have gone further, alleging that Pippin’s price action may involve money laundering and artificial price manipulation. Despite these concerns—and warnings about frothy trading conditions—traders continue to pour into high-risk tokens even as flagship assets like Bitcoin falter.</p>
<h2 class="text-2xl font-bold mb-4">Institutional Demand Falters, Premium Turns Negative</h2>
<p class="mb-6">The mood among institutional investors appears cautious. CryptoQuant reports that the Coinbase Premium Index—a measure comparing prices on Coinbase (a U.S.-focused exchange popular with institutions) versus global averages—has remained negative throughout this downturn. This suggests that large U.S.-based buyers are not stepping up to accumulate Bitcoin at current prices.</p>
<p class="mb-10 max-w-xl">Meanwhile, Bitcoin’s weekly relative strength index (RSI) has dropped to just 25.71 on Tuesday, signaling one of its most oversold conditions ever recorded.</p>
<h2 class="text-2xl font-bold mb-4">Bitcoin’s Pain Cluster: $60K-$70K Buyers</h2>
<p class="mb-6">More than 400,000 BTC were accumulated between $60,000 and $70,000 during this year’s rally and subsequent decline. For these holders—many of whom entered near local highs—the current retreat below $63,000 threatens significant realized losses if they capitulate now. Glassnode data shows that short-term holder realized profit/loss metrics have turned negative: the STH-SOPR ratio sits at just 0.95 after peaking above 1 earlier this year.</p>
<p class="mb-6">According to cointelegraph.com, realized losses for short-term holders cooled from a peak of $1.24 billion per day on February 6 to around $500 million per day recently—a sign that some exhaustion may be setting in among sellers. However, with the dollar index (DXY) rising by 0.5% since Monday and macroeconomic uncertainty increasing following President Trump’s announcement of a new 15% global tariff over the weekend, risk appetite could remain subdued for now.</p>
<p class="mb-6">History offers little comfort: Bitcoin rarely forms a lasting bottom until its long-term moving averages cross decisively—a pattern not yet confirmed in current price action.</p><h2 class="text-2xl font-bold mb-4">What to watch</h2>
<p class="mb-6">If Bitcoin breaks below the $60,000 support level—identified by Kraken’s Matt Howells-Barby and coinciding with over 400,000 BTC bought in that range—another round of liquidations could be triggered, potentially pushing prices down to the historical support at $52,500; whether this threshold holds remains unclear.</p>

Bitcoin Nears Make-or-Break Support Bitcoin’s price slipped under $63,000 during Asian trading hours on Tuesday, marking a new low not seen since February 6.

Bitcoin Slides Below $63,000 as Capitulation Fears Intensify

<h2 class="text-2xl font-bold mb-4">Kraken Bets Big on Wyoming Newborns</h2>
<p class="mb-6">Kraken, the Wyoming-based cryptocurrency exchange, is making headlines with its latest initiative: sponsoring Trump Accounts for every child born in Wyoming in 2026.</p>
<p class="mb-6">Kraken’s co-CEO Dave Ripley confirmed that the company will provide additional funding to these accounts, though the exact amount remains undisclosed. The announcement underscores Kraken’s decision to make Wyoming its global headquarters, citing the state’s favorable regulatory environment for digital assets. Notably, Wyoming enabled Kraken to become the first Special Purpose Depository Institution in the U.S., a regulatory status that allows crypto firms to operate more like banks.</p>
<p class="mb-10 max-w-xl">On paper, this is a windfall for newborns in Wyoming; in practice, it also signals how major crypto players are seeking to shape financial infrastructure at the earliest stages of life.</p> <h2 class="text-2xl font-bold mb-4">Unanswered Questions on Funding Details</h2>
<p class="mb-6">While families and outside entities can contribute to Trump Accounts beyond the initial $1,000 government seed, it remains unclear whether Kraken’s sponsorship will match that figure or take another form. There is also uncertainty about whether these accounts will be invested directly in cryptocurrencies or held as cash until children turn 18. This ambiguity leaves families and observers waiting for specifics from both Kraken and policymakers.</p>
<p class="mb-8 text-lg font-medium">Transparency on these points could determine whether Trump Accounts become a meaningful entry point into crypto for a new generation—or remain a symbolic gesture.</p> <h2 class="text-2xl font-bold mb-4">Trump-Backed Bitcoin Firm Hits 6,000 BTC</h2>
<p class="mb-6">Meanwhile, American Bitcoin Corp. (ABTC), which counts members of the Trump family among its backers, has surpassed 6,000 BTC in reserves according to blockchain data tracked by Arkham Intelligence. As of early February 2026, ABTC holds approximately 6,060 BTC—valued near $413 million at current prices—after adding or mining about 217 BTC over the past month. This places ABTC among the top 20 largest public bitcoin holders globally; for comparison, Galaxy Digital holds around 6,894 BTC.</p>
<p class="mb-6">The company’s shares have reflected this activity but not without volatility: after trading above $2 in January 2026, ABTC shares closed last Friday at roughly $1.14—a drop of about 45% year-to-date despite a reported bitcoin yield of approximately 116% since its Nasdaq debut in September 2025 through late January 2026.</p>

<p class="mb-10 max-w-xl">This market movement highlights both opportunity and risk in tying corporate fortunes so closely to bitcoin reserves.</p> <h2 class="text-2xl font-bold mb-4">World Liberty Forum: Crypto Meets Politics</h2>
<p class="mb-6">The Trump family is set to host a high-profile crypto industry event at Mar-a-Lago on February 18: the World Liberty Forum. This gathering will bring together CEOs from Coinbase, BitGo, Franklin Templeton, and Goldman Sachs alongside FIFA’s president and celebrities like Nicki Minaj and Kevin O’Leary. With only 300 attendees—described as “global leaders”—the event reflects an effort to bridge traditional finance with decentralized finance platforms.</p>
<p class="mb-6">World Liberty Financial, founded in 2024 by Eric Trump, Donald Trump Jr., Barron Trump, Zach Witkoff and Alex Witkoff (with Steve Witkoff and Donald Trump listed as emeritus co-founders), positions itself as both a DeFi platform and stablecoin issuer. The timing comes amid ongoing Democratic investigations and after a $2 trillion market downturn—factors likely to influence discussion topics at Mar-a-Lago.</p>
 <h2 class="text-2xl font-bold mb-4">Why it matters</h2>
<p class="mb-6">Kraken’s sponsorship of Trump Accounts links newborn financial security directly to crypto industry engagement—and could make Wyoming’s youngest citizens early participants in digital asset markets if contributions are ultimately allocated toward cryptocurrencies rather than cash. For parents considering long-term savings options starting in 2025 or later, this partnership may offer unique upside—but also exposes families to questions about volatility and regulatory change over an eighteen-year horizon.</p>
<p class="mb-6">At the same time, American Bitcoin Corp.’s accumulation of over $400 million worth of bitcoin shows how political affiliations and corporate strategy are converging around digital assets at scale. The World Liberty Forum’s lineup—featuring figures from banking giants to pop stars—suggests that crypto is now firmly embedded within mainstream economic and cultural debates. As reported by dlnews.com, this intersection between politics and crypto finance is no longer theoretical: it is playing out in real-time across boardrooms and legislative chambers alike.</p>
        <div class="border-l-4 border-blue-500 bg-white dark:bg-slate-800 pl-6 pr-4 py-5 my-8">
            <h3 class="text-xl font-bold mb-4 text-gray-800 dark:text-white p-2">What Stands Out</h3>
            <ul class="space-y-2 text-gray-700 dark:text-gray-300 p-4">
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Kraken will sponsor Trump Accounts for every child born in Wyoming in 2026, as confirmed by co-CEO Dave Ripley.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Each Trump Account receives a $1,000 federal seed for children born between Jan. 1, 2025, and Dec. 31, 2028; Kraken’s contribution amount is undisclosed.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>American Bitcoin Corp., backed by the Trump family, holds 6,060 BTC (about $413 million) as of February 2026.</li>
            </ul>
        </div><h2 class="text-2xl font-bold mb-4">What remains to be seen</h2>
<p class="mb-6">Whether Kraken will match the $1,000 federal contribution or invest Trump Accounts for Wyoming newborns in crypto or cash remains unclear, and if this is clarified before the World Liberty Forum at Mar-a-Lago on February 18, it would immediately signal the extent of direct crypto exposure for eligible families in 2026.</p>

Kraken Bets Big on Wyoming Newborns Kraken, the Wyoming-based cryptocurrency exchange, is making headlines with its latest initiative: sponsoring Trump Accounts for every child born in Wyoming in 2026.

Trump, Crypto, and the Wyoming Bet: A New Era of Political Finance

<h2 class="text-2xl font-bold mb-4">Dubai Greenlights Animoca’s Crypto Ambitions</h2>
<p class="mb-6">Animoca Brands, the Hong Kong-based blockchain investment firm, has received a Virtual Asset Service Provider (VASP) license from Dubai’s Virtual Assets Regulatory Authority (VARA).</p>
<p class="mb-10 max-w-xl">Dubai established VARA in March 2022 as part of its push to regulate digital assets across the mainland and free zones, except for the Dubai International Financial Centre (DIFC). With this license, Animoca can now serve institutional and qualified investors from within Dubai’s jurisdiction, but activities remain restricted outside DIFC due to separate oversight by the Dubai Financial Services Authority (DFSA).</p>
<br><p class="mb-6 italic text-slate-600 my-8">The VASP license was officially approved and issued on February 5, 2026, according to company announcements.</p>
<h2 class="text-2xl font-bold mb-4">Focus Shifts: Institutional Investors Targeted</h2>
<p class="mb-6">The VASP license is tailored for business with institutional and qualified investors, rather than retail clients. Under VARA’s oversight, Animoca’s broker-dealer and investment management services will be available to these larger market participants both in and from Dubai. This focus is consistent with recent trends in the region: BitGo, for example, obtained a similar broker-dealer license for its Middle East unit in October 2025.</p>
<p class="mb-6">On paper, Dubai offers a progressive regulatory framework; however, the exclusion of DIFC—one of the city’s major financial hubs—means there are still boundaries to expansion. The DFSA recently tightened rules even further by banning privacy tokens such as Monero and Zcash and requiring ongoing suitability checks for all digital assets handled by regulated firms.</p>
<h2 class="text-2xl font-bold mb-4">VARA’s Stamp: What It Enables</h2>
<p class="mb-6">The new license positions Animoca Brands to extend its reach in a jurisdiction that has become a magnet for crypto businesses since VARA’s inception two years ago. The company manages a portfolio of more than 600 blockchain investments worldwide—including well-known platforms like The Sandbox and Moca Network—and will now be able to offer regulated services directly from Dubai. In January 2026, Animoca expanded further by acquiring gaming and collectibles firm Somo, signaling its intent to deepen its ecosystem.</p>
<p class="mb-8 text-lg font-medium">It’s unclear if retail investors will eventually gain access under future regulatory changes.</p>
<h2 class="text-2xl font-bold mb-4">Regulatory Momentum: Abu Dhabi to Dubai</h2>
<p class="mb-6">Animoca Brands’ regulatory progress in the UAE has accelerated over recent months. In November 2025, the company secured in-principle approval as a regulated fund manager in Abu Dhabi—a separate financial center with its own ruleset. Now with VARA’s VASP license granted in February 2026, Animoca is positioned to operate across both major UAE markets, though each comes with distinct compliance requirements.</p>
<p class="mb-10 max-w-xl">Decrypt.co reports that Dubai’s DFSA updated its framework last month to prohibit privacy tools such as mixers or tumblers and redefined what qualifies as fiat-backed tokens—excluding many popular stablecoins from regulated use. These evolving standards reflect heightened scrutiny on digital asset activities within the emirate.</p>
<h2 class="text-2xl font-bold mb-4">Why Dubai’s License Matters Now</h2>
<p class="mb-6">For Animoca Brands, regulatory clarity is crucial as it seeks to expand its Web3 offerings beyond Asia. The timing is notable: global crypto regulation remains fragmented, but Dubai has moved quickly since March 2022 to establish itself as a regional hub for digital assets. With more than 600 investments spanning blockchain gaming, decentralized platforms, and token initiatives, Animoca stands out among industry peers seeking compliant growth paths into new markets.</p>
<p class="mb-6">Yet while this VASP license opens doors for institutional business in Dubai starting February 2026, significant limitations remain—not least the exclusion of DIFC and increasingly strict local rules on asset types and privacy features. Whether these frameworks will adapt further is uncertain. For now, Animoca Brands’ latest regulatory win signals both opportunity and complexity for crypto firms eyeing expansion across the Middle East.</p>
        <div class="border-l-4 border-blue-500 bg-white dark:bg-slate-800 pl-6 pr-4 py-5 my-8">
            <h3 class="text-xl font-bold mb-4 text-gray-800 dark:text-white p-2">The Key Lessons</h3>
            <ul class="space-y-2 text-gray-700 dark:text-gray-300 p-4">
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Animoca Brands received a Virtual Asset Service Provider (VASP) license from Dubai’s VARA on February 5, 2026.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>The license allows Animoca Brands to offer broker-dealer and asset management services to institutional and qualified investors, excluding DIFC.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Animoca Brands manages a portfolio of over 600 blockchain investments, including The Sandbox and Moca Network.</li>
            </ul>
        </div><h2 class="text-2xl font-bold mb-4">What deserves close attention</h2>
<p class="mb-6">If Animoca Brands begins offering broker-dealer and digital asset management services to institutional and qualified investors in Dubai following the February 5 approval of its VASP license by VARA, it would immediately mark the company's operational entry into the regulated Dubai market outside the DIFC; however, the exact launch date for these services remains unclear.</p>

Dubai Greenlights Animoca’s Crypto Ambitions Animoca Brands, the Hong Kong-based blockchain investment firm, has received a Virtual Asset Service Provider (VASP) license from Dubai’s Virtual Assets Regulatory Authority (VARA).

Animoca Brands Secures Dubai Crypto License, Targeting Institutional Growth

<h2 class="text-2xl font-bold mb-4">Jump Trading bets on prediction markets</h2>
<p class="mb-6">Jump Trading, a major player in quantitative trading, is set to acquire minority stakes in two of the world’s largest prediction market platforms—Polymarket and Kalshi. The move comes as both companies have recently achieved multibillion-dollar valuations, with Kalshi reaching $11 billion and Polymarket close behind at $9 billion. Rather than a traditional cash investment, Jump will earn its equity by providing liquidity—essentially acting as a market maker to ensure smoother trading and tighter spreads for users.</p>
<p class="mb-6">This strategy signals a growing institutional interest in the prediction market sector, which allows users to trade contracts based on the outcome of real-world events, from elections to sports matches. Notably, Jump Trading has expanded its team by 20 new hires focused specifically on prediction-market trading in recent months. This expansion underlines the firm's commitment to this emerging asset class.</p> <h2 class="text-2xl font-bold mb-4">Liquidity for equity: the new trend</h2>
<p class="mb-6">The core of Jump’s arrangement with both Polymarket and Kalshi is simple: provide liquidity, receive equity. For Kalshi, the deal is for a fixed amount of equity regardless of future trading volume. In contrast, Jump’s stake in Polymarket will increase over time depending on how much liquidity it supplies to the platform’s U.S. operations. This tiered approach aligns incentives between Jump and Polymarket, encouraging deeper engagement as trading volumes grow.</p>
<p class="mb-10 max-w-xl">According to coindesk.com, these deals are not just about ownership—they position Jump as a key infrastructure provider for two platforms that together have defined much of the current prediction market landscape.</p> <h2 class="text-2xl font-bold mb-4">Kalshi deal locks in fixed stake</h2>
<p class="mb-6">Kalshi operates as a centralized and federally regulated exchange in the United States. Its latest funding round in December secured $1 billion and pushed its valuation to $11 billion. Jump Trading’s agreement with Kalshi grants it a fixed equity stake in exchange for serving as a market maker—a role that involves providing buy and sell offers to keep markets active and liquid.</p>
<p class="mb-8 text-lg font-medium">On paper, this gives Jump a predictable ownership share; but unlike Polymarket, there’s no upside tied directly to future trading activity.</p> <h2 class="text-2xl font-bold mb-4">Polymarket stake tied to trading volume</h2>
<p class="mb-6">Polymarket stands apart as a decentralized platform built on the Polygon blockchain, enabling onchain settlement of contracts—a technical distinction that appeals to crypto-native traders. Its $9 billion valuation was buoyed by a $2 billion raise from Intercontinental Exchange, parent company of the New York Stock Exchange. For Jump Trading, equity in Polymarket will be determined by how much liquidity it provides over time; the more capital it commits to making markets, the larger its stake could become.</p>
<p class="mb-6">This approach reflects confidence in growing user demand and trading volumes on decentralized exchanges. Survey data shows that 31% of Americans believe prediction markets are likely to become a “bigger, more important part of culture,” suggesting potential mainstream adoption is on the horizon.</p>
<p class="mb-6">Still, it’s unclear how regulatory scrutiny—especially given past lawsuits involving crypto firms—might impact these partnerships moving forward.</p> <h2 class="text-2xl font-bold mb-4">Wall Street enters decentralized prediction platforms</h2>
<p class="mb-6">Jump Trading’s entry into this space is part of a broader institutional movement toward alternative financial products built on blockchain technology. Other Wall Street names have made similar moves: Susquehanna International Group partnered with Robinhood for derivatives exchange LedgerX, while Robinhood itself collaborates with Kalshi for its own prediction market product.</p>
<p class="mb-10 max-w-xl">Sports-related contracts have emerged as a primary growth driver within these platforms; research from Eilers & Krejcik Gaming indicates that sports betting could account for nearly half of all projected expansion in the sector.</p>
<p class="mb-6">As institutional players like Jump deepen their involvement—and as both centralized (Kalshi) and decentralized (Polymarket) models attract billions—the lines between traditional finance and crypto-native innovation continue to blur. Whether this convergence can withstand regulatory challenges remains an open question.</p>
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            <h3 class="text-xl font-bold mb-4 text-gray-800 dark:text-white p-2">The Wrap-Up</h3>
            <ul class="space-y-2 text-gray-700 dark:text-gray-300 p-4">
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Jump Trading will receive a fixed equity stake in Kalshi and a scalable stake in Polymarket for providing liquidity.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Kalshi and Polymarket recently reached valuations of $11 billion and $9 billion, respectively.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Jump Trading has hired 20 staffers in recent months to focus on prediction-market trading.</li>
            </ul>
        </div><h2 class="text-2xl font-bold mb-4">Key points still in play</h2>
<p class="mb-6">Jump Trading’s stake in Polymarket will increase if it provides greater trading capacity to the platform’s U.S. operation, so if Jump ramps up its market-making activity, its equity share will immediately rise beyond the initial small package; the exact scale and timing of this increase remain unclear.</p>

Jump Trading bets on prediction markets Jump Trading, a major player in quantitative trading, is set to acquire minority stakes in two of the world’s largest prediction market platforms—Polymarket and Kalshi.

Jump Trading Secures Stakes in Polymarket and Kalshi Through Liquidity Deals

<h2 class="text-2xl font-bold mb-4">Mega liquidations shake crypto's core</h2>
<p class="mb-6">The cryptocurrency market faced a dramatic downturn in early February, with both bitcoin and ether suffering steep declines that triggered massive liquidations across trading desks.</p>
<p class="mb-6">This sharp correction forced major players to unwind leveraged positions. Trend Research, led by Jack Yi, had built a $2 billion bullish bet on ether by borrowing stablecoins against ETH collateral on Aave. As prices tumbled, the firm was compelled to liquidate over 300,000 ETH—moving 332,000 ETH worth approximately $700 million to Binance within five days to repay debt. The result was a staggering $686 million loss for Trend Research and a near-total wipeout of their ether holdings; they now retain just 1.463 ETH.</p>
<br><p class="mb-6 italic text-slate-600 my-8">Ether's price reached a low of $1,750 on February 4, its weakest level since April 2025.</p>
<p class="mb-10 max-w-xl">The forced sales by large entities amplified selling pressure and contributed to further price declines throughout the market.</p> <h2 class="text-2xl font-bold mb-4">Record options bets signal panic</h2>
<p class="mb-6">During Thursday’s crash, options activity on BlackRock’s spot bitcoin ETF (IBIT) exploded to unprecedented levels. According to coindesk.com, IBIT options volume soared to 2.33 million contracts in one day—an all-time high—with puts (bets on further downside) narrowly outpacing calls. The demand for protection against falling prices was so intense that options buyers paid a record $900 million in premiums during the session, a sum equivalent to the market capitalization of several mid-tier crypto tokens.</p>
<p class="mb-8 text-lg font-medium">On paper these premiums represent hedging activity, but some market watchers speculated about a hedge fund blowup behind the scenes.</p>

<p class="mb-6">While one analyst claimed that these outsized premium payments were linked to a major hedge fund’s collapse due to heavy IBIT exposure, others disputed this explanation. What is clear is that fear dominated trading desks as volatility spiked and investors scrambled for protection against further losses.</p> <h2 class="text-2xl font-bold mb-4">$900M premiums: fear or opportunity?</h2>
<p class="mb-6">The sheer scale of Thursday’s options activity underscored just how rapidly sentiment shifted from greed to fear. The Crypto Fear and Greed Index plunged into single digits—a territory reached only a handful of times in bitcoin’s 17-year history—mirroring panic seen at previous cycle bottoms. Simultaneously, bitcoin became the third most oversold it has ever been based on the Relative Strength Index (RSI), signaling extreme short-term pessimism among traders.</p>
<p class="mb-10 max-w-xl">With roughly 10 million BTC now held at a loss and another 10 million still in profit, supply metrics have nearly converged—a pattern typically observed at major market turning points such as those in 2015, 2019, and late 2022.</p> <h2 class="text-2xl font-bold mb-4">Ether whales forced to capitulate</h2>
<p class="mb-6">For ether holders with leveraged bets, the selloff brought swift consequences. Trend Research’s liquidation of over 300,000 ETH was described by Jack Yi as a risk-control measure rather than outright capitulation. However, with losses totaling $686 million and their position reduced from hundreds of thousands of ETH to just over one token after repaying Aave loans via Binance transfers, the scale of forced selling was impossible to ignore.</p>
<p class="mb-6">Despite these setbacks, Yi stated publicly that his firm remains optimistic about both bitcoin and ether reaching new highs in the future—a stance echoed by some long-term investors who see deep drawdowns as potential accumulation opportunities rather than signals of permanent defeat.</p>
<p class="mb-8 text-lg font-medium">Yet optimism alone cannot erase realized losses or restore lost capital overnight.</p> <h2 class="text-2xl font-bold mb-4">Flash crash exposes exchange fragility</h2>
<p class="mb-6">Even as global markets reeled from forced liquidations and record options activity, an unrelated incident on South Korean exchange Bithumb highlighted another form of systemic vulnerability. A software error mistakenly credited users with 2,000 BTC each instead of a small reward worth just $1.50 (about 2,000 Korean won). This led hundreds of accounts to show tens of millions in phantom bitcoin balances overnight—even though no actual BTC moved onchain.</p>
<p class="mb-10 max-w-xl">When users rushed to sell these nonexistent assets, Bithumb’s BTC/KRW price crashed nearly 16% below other exchanges—trading briefly at just $55,000 while global prices remained stable.</p>
<p class="mb-6">Bithumb quickly froze affected accounts after detecting abnormal transactions through internal controls and later confirmed there was no hack or external breach involved. Customer assets remain secure according to Bithumb officials; however, the episode demonstrates how technical glitches can trigger flash crashes independent of broader market trends.</p> <h2 class="text-2xl font-bold mb-4">Next support: bargain hunters or freefall?</h2>
<p class="mb-6">As both bitcoin and ether approach key technical levels—the former hovering near its 200-week moving average around $58,011—the market faces an inflection point between renewed accumulation and deeper declines. With long-term holders now sitting on unrealized losses for over 4.6 million BTC (a figure last seen at bear-market lows), some see parallels with past bottoming events where capitulation set the stage for recovery.</p>
<p class="mb-6">But while metrics suggest exhaustion among sellers and historic levels of oversold conditions, it remains uncertain whether bargain hunters will step in forcefully enough to reverse momentum or if further pain lies ahead before stability returns. For now, big players have taken big hits—and smaller investors are left weighing risk versus reward amid ongoing volatility.</p>
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            <h3 class="text-xl font-bold mb-4 text-gray-800 dark:text-white p-2">Key Takeaways</h3>
            <ul class="space-y-2 text-gray-700 dark:text-gray-300 p-4">
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Trend Research lost $686 million after liquidating over 300,000 ETH as ether fell to $1,750 on February 4, 2025.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>BlackRock’s bitcoin ETF (IBIT) saw a record 2.33 million options contracts traded and $900 million in premiums paid during Thursday’s crash.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Bitcoin’s price dropped over $10,000 to around $62,000 on February 5, marking its largest single-day decline since November 2022.</li>
            </ul>
        </div><h2 class="text-2xl font-bold mb-4">What remains to be seen</h2>
<p class="mb-6">If bitcoin’s price falls below its 200-week moving average of $58,011, it would mark a breach of a historically significant support level that has only been crossed during major bear market lows, but whether this occurs in the aftermath of the Feb. 5 crash remains unclear.</p>

Mega liquidations shake crypto's core The cryptocurrency market faced a dramatic downturn in early February, with both bitcoin and ether suffering steep declines that triggered massive liquidations across trading desks.

Bitcoin and Ethereum Rout Triggers Liquidations and Bottom Signals Across Crypto Markets

<h2 class="text-2xl font-bold mb-4">$2.6B Liquidated Amid Panic Selling</h2>
<p class="mb-6">The cryptocurrency market was rocked on Thursday as more than $2.6 billion in positions were liquidated during a rapid selloff that sent bitcoin tumbling to $60,000.</p>
<p class="mb-10 max-w-xl">While bitcoin’s drawdown dominated headlines, other major tokens also suffered heavy losses. Ether (ETH) plunged to $1,750 before rebounding, and Zcash (ZEC) lost 34% of its value in just seven days. The scale of the liquidation underscores both the leverage present in crypto markets and the speed at which sentiment can shift when prices nosedive.</p> <h2 class="text-2xl font-bold mb-4">Traders Suspect a Hidden Whale Blowup</h2>
<p class="mb-6">As prices collapsed, speculation mounted about the source of the selling pressure. Some traders described the action as “forced” and “indiscriminate,” suggesting that a large player—possibly based in Asia—was offloading massive holdings with little regard for price impact. Pantera Capital’s Franklin Bi pointed to limited crypto-native counterparties in Asia as a potential clue, but it remains unclear whether a single fund blowup triggered the cascade or if multiple entities were involved.</p>
<p class="mb-6">On paper, bitcoin’s fundamentals have not changed dramatically in recent weeks, but the sudden surge in liquidations and thin liquidity created conditions ripe for outsized volatility. During this period, the relative strength index (RSI) showed bitcoin reaching its third most “oversold” level ever recorded—a rare technical signal that typically only appears during historic drawdowns.</p> <h2 class="text-2xl font-bold mb-4">Extreme Fear Index Hits FTX Lows</h2>
<p class="mb-8 text-lg font-medium">The Crypto Fear and Greed Index dropped to 9 on Friday—its lowest reading since November 2022—signaling “extreme fear” not seen since the FTX debacle.</p>
<p class="mb-6">This sentiment gauge, built around factors like volatility, trading volume, and social media engagement, had already fallen from 42 last month to 16 last week before plunging further as bitcoin neared $60,000. The index serves as a snapshot of market anxiety rather than a predictor of future moves, but such low readings often coincide with periods of capitulation and deleveraging. As reported by coindesk.com, this latest drop was accompanied by a sharp contraction in market momentum and an exodus from risky positions.</p> <h2 class="text-2xl font-bold mb-4">Asia Open Sparks Bitcoin Rebound</h2>
<p class="mb-10 max-w-xl">After hitting overnight lows near $60,000 during late U.S. hourrs on Thursday, bitcoin staged a partial recovery as Asian markets opened on Friday morning.</p>

<p class="mb-6">The price rebounded above $65,000—a swing of more than 8% within hours—as buyers stepped back into the market amid extreme volatility. Volmex’s bitcoin volatility index (BVIV), which measures expected price turbulence over four weeks, spiked from 56% to nearly 100%. Such levels had not been seen since the FTX exchange collapse two years prior. The top five most traded options on Deribit were all bearish puts with strikes ranging from $70,000 down to an extreme $20,000—highlighting just how wide traders perceive potential downside risk to be at present.</p> <h2 class="text-2xl font-bold mb-4">Altcoins Slammed Harder Than Bitcoin</h2>
<p class="mb-6">While bitcoin’s fall grabbed attention due to its size and symbolic significance, altcoins suffered even steeper declines over the past week. Solana (SOL), Optimism (OP), and Ether (ETH) each registered losses around 30%, outpacing even bitcoin’s dramatic slide. Zcash’s 34% weekly drop stood out as one of the sharpest among major cryptocurrencies.</p>
<p class="mb-6">This broad-based pain was compounded by thin liquidity across major trading venues. With fewer buyers willing to step in during moments of stress, token prices became more vulnerable to outsized moves—even minor sell orders could move markets significantly lower. Meanwhile, traditional assets were not immune: since January 28, the Nasdaq 100 fell by 6%, gold declined by 12%, and silver plummeted by 38%, underscoring a wider risk-off mood beyond crypto alone.</p>
<p class="mb-6">ETF activity also surged amid the chaos: BlackRock’s spot bitcoin ETF (IBIT) saw its biggest-ever volume day at $10.7 billion traded and a record $900 million in options premium exchanged—a sign that institutional players were active participants during this volatile episode.</p>
        <div class="border-l-4 border-blue-500 bg-white dark:bg-slate-800 pl-6 pr-4 py-5 my-8">
            <h3 class="text-xl font-bold mb-4 text-gray-800 dark:text-white p-2">Key Points</h3>
            <ul class="space-y-2 text-gray-700 dark:text-gray-300 p-4">
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Over $2.6 billion in crypto positions were liquidated during Thursday’s selloff, with bitcoin dropping to $60,000.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>The Crypto Fear and Greed Index hit 9 on Friday, its lowest since the FTX collapse in November 2022.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Bitcoin volatility index (BVIV) surged to nearly 100% Thursday, matching levels last seen during the 2022 FTX crisis.</li>
            </ul>
        </div><h2 class="text-2xl font-bold mb-4">What to track going forward</h2>
<p class="mb-6">If the Crypto Fear and Greed Index, which hit an “extreme fear” reading of 9 on Friday—the lowest since the FTX collapse—remains at or below this level in the coming days, it would indicate persistent market stress and continued risk of further forced liquidations.</p>

$2.6B Liquidated Amid Panic Selling The cryptocurrency market was rocked on Thursday as more than $2.6 billion in positions were liquidated during a rapid selloff that sent bitcoin tumbling to $60,000.

Bitcoin Plunges to $60,000: Liquidations, Fear, and Forced Selling Roil Crypto Markets

<h2 class="text-2xl font-bold mb-4">Fear Index Plunges to 2024 Lows</h2>
<p class="mb-6">Bitcoin’s price tumbled below the $70,000 threshold on Thursday, sliding to a session low of $69,917.20 and marking a drop of more than 7% over the previous 24 hours. Ether mirrored the decline, also falling over 7%, as market sentiment deteriorated rapidly. The widely watched Fear and Greed Index—a barometer for investor mood—plummeted to 11, its lowest point in 2024 and a level reached only a handful of times in the past. This sharp swing in sentiment has left traders on edge, with many recalling similar episodes of extreme fear that preceded periods of prolonged volatility.</p>
<p class="mb-6">The current downturn comes at a time when bitcoin is revisiting price zones that acted as strong resistance between March and October 2024. For context, in May 2022, a comparable selloff led to a month-long consolidation before prices slid even lower. Market participants are now watching closely for signs that history could repeat itself.</p>
<br><p class="mb-6 italic text-slate-600 my-8">Alex Kupsikevich, chief market analyst at The FxPro, noted that bitcoin has returned to a resistance area last seen from March to October 2024.</p>
<h2 class="text-2xl font-bold mb-4">Leverage Unwinds Accelerate Crypto Slide</h2>
<p class="mb-10 max-w-xl">Derivatives liquidations have played a central role in amplifying bitcoin’s decline this week. As leveraged positions unwound en masse, selling pressure intensified across major cryptocurrencies—including XRP and ether—triggering further losses. Bitget’s chief market analyst cited not only the impact of derivatives but also macroeconomic headwinds such as heightened geopolitical risk and uncertainty around interest rates. These factors have prompted investors to reduce exposure to higher-beta assets, accelerating the downward momentum.</p>
<p class="mb-6">On paper, the Nasdaq-tracking Invesco QQQ ETF was up slightly by 0.05% in pre-market trading; in contrast, crypto-linked equities took a hit. MicroStrategy shares dropped more than 5%, leaving them nearly 80% below their all-time high from November 2024. Coinbase fell another 2%, while digital asset firms like Strive and Nakamoto each lost around 6%. The disconnect between traditional tech stocks and digital assets has rarely been so stark.</p>

<p class="mb-8 text-lg font-medium">Gold and silver joined the selloff: gold slipped more than 1% to under $4,900 per ounce, while silver plunged over 11% to below $79 per ounce.</p> <h2 class="text-2xl font-bold mb-4">Miners Face Mounting Profit Pressure</h2>
<p class="mb-6">For bitcoin miners, the recent price drop has introduced new financial strains. The average cost to mine one bitcoin currently stands at roughly $87,000—about 20% above spot prices after this week’s fall toward $70,000. This means that many miners are now operating at a loss based on industry-wide production cost estimates that use network difficulty as a key metric. In response, some miners have begun selling their bitcoin reserves to cover energy bills and service debt obligations.</p>
<p class="mb-6">Hashrate—the measure of computational power securing the network—peaked near 1.1 zettahash (ZH/s) last October before dropping by approximately 20%. While it has recently rebounded to around 913 exahash (EH/s), the sector remains under pressure as profitability dwindles. Previous bear markets in both 2019 and 2022 saw bitcoin trade below production costs for extended periods before eventually recovering.</p> <h2 class="text-2xl font-bold mb-4">Historic Selloff Mirrors Past Patterns</h2>
<p class="mb-6">Stifel analysts issued a stark warning on Wednesday: bitcoin could crash as low as $38,000 if historical patterns persist. Their note referenced previous drawdowns of up to 93% (2011), 84% (2015), 83% (2018), and most recently, 76% (2022). With bitcoin having peaked above $126,000 last October before halving its value by June 2025, comparisons to prior cycles are increasingly hard to ignore.</p>
<p class="mb-6">Despite these warnings, broader macroeconomic conditions remain uncertain. The Federal Reserve cut interest rates during its final three meetings of 2025 but maintained a hawkish tone; meanwhile, the Dollar Index has dropped nearly 1% this year after sliding almost 10% in the previous year. Oil prices have also stayed volatile amid escalating U.S.-Iran tensions—a reminder that crypto markets do not operate in isolation.</p>
<p class="mb-6">As reported by coindesk.com, many miners are now selling off their holdings just to keep operations afloat—a move reminiscent of prior capitulation phases during major downturns.</p>
        <div class="border-l-4 border-blue-500 bg-white dark:bg-slate-800 pl-6 pr-4 py-5 my-8">
            <h3 class="text-xl font-bold mb-4 text-gray-800 dark:text-white p-2">The Key Lessons</h3>
            <ul class="space-y-2 text-gray-700 dark:text-gray-300 p-4">
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Bitcoin (BTC) fell below $70,000 to $69,917.20, dropping over 7% in the past 24 hours.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>The Fear and Greed Index plunged to 11.00, its lowest level in 2024 and rarely seen historically.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Derivatives liquidations and leveraged selling accelerated declines across major cryptocurrencies, including ether (ETH) and XRP.</li>
            </ul>
        </div><h2 class="text-2xl font-bold mb-4">Key variables ahead</h2>
<p class="mb-6">MicroStrategy is scheduled to report fourth-quarter earnings later Thursday, and if the company discloses additional bitcoin sales or impairment losses amid BTC's drop below $70,000—now about 20% under the estimated $87,000 mining cost—it could trigger further immediate selling pressure from miners and institutional holders.</p>

Fear Index Plunges to 2024 Lows Bitcoin’s price tumbled below the $70,000 threshold on Thursday, sliding to a session low of $69,917.20 and marking a drop of more than 7% over the previous 24 hours.

Bitcoin Sinks Below $70,000 as Fear Index Hits Yearly Lows and Liquidations Surge

<h2 class="text-2xl font-bold mb-4">Warsh’s Crypto Skepticism Haunts Markets</h2>
<p class="mb-6">Donald Trump’s nomination of Kevin Warsh as the next U.S. Federal Reserve chair has reignited debate over the central bank’s stance on digital assets. Warsh, age 55, brings a complex history to the role: he served as the youngest-ever Fed governor from 2006 to 2011 and was a key player during the 2008 financial crisis. Despite his Wall Street pedigree at Morgan Stanley and his policy background under George W. Bush, Warsh’s relationship with crypto is anything but straightforward.</p>
<p class="mb-6">In 2015, Warsh expressed doubts about bitcoin’s ability to serve as a stable medium of exchange. Yet he acknowledged blockchain technology as “the newest, coolest software,” hinting at its disruptive potential in finance. This duality—skepticism about bitcoin as money but enthusiasm for its underlying tech—has left crypto traders unsure what to expect from his leadership.</p> <h2 class="text-2xl font-bold mb-4">Bitcoin’s Slide Follows Fed Shakeup Leak</h2>
<p class="mb-6">The market wasted no time reacting to news of Warsh’s likely appointment. After reports surfaced that Trump intended to replace Jerome Powell with Warsh, bitcoin’s price dropped sharply, falling back to $81,000. The move came despite a brief rally after Trump confirmed the nomination on Truth Social; bitcoin rose 0.7% before settling near $82,600 later in the day.</p>

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<p class="mb-8 text-lg font-medium">Risk markets across the board—including cryptocurrencies—registered immediate volatility following the leak.</p>
<p class="mb-10 max-w-xl">This swift reaction underscores how sensitive digital asset markets remain to perceived changes in monetary policy leadership, especially when uncertainty clouds the incoming chair’s stance on innovation and regulation.</p> <h2 class="text-2xl font-bold mb-4">Druckenmiller’s Protégé Faces Digital Dollar Questions</h2>
<p class="mb-6">On paper, Warsh appears to straddle two worlds: traditional finance and emerging fintech. Since leaving the Fed in 2011, he has been a partner at Duquesne Capital Management, working closely with hedge fund billionaire Stanley Druckenmiller—a relationship described as akin to father and son. Druckenmiller told the Financial Times that “no one [is] better equipped” than Warsh for the Fed chair role and emphasized that Warsh is not always hawkish on interest rates.</p>
<p class="mb-6">But Warsh’s direct involvement in crypto ventures adds another layer of intrigue. He invested in Basis, an algorithmic central bank project that sought to create a price-stable cryptocurrency before shuttering due to regulatory concerns. Additionally, Warsh has advised Electric Capital, a venture firm focused on blockchain and fintech startups.</p>
<p class="mb-6">Despite these credentials, it remains uncertain whether Warsh would champion or constrain a digital dollar initiative if confirmed as Fed chair.</p> <h2 class="text-2xl font-bold mb-4">Why It Matters: Practical Impact for Crypto Markets</h2>
<p class="mb-6">For traders and industry leaders alike, Warsh’s nomination lands at a critical juncture. Jerome Powell’s current term expires on May 15, 2026—a date now looming larger for anyone watching U.S. monetary policy and its ripple effects on crypto valuations. As recently as July, Warsh argued that bitcoin could serve as a form of “market discipline” without weakening the Fed’s ability to manage the economy, according to cointelegraph.com.</p>
<p class="mb-6">However, his criticism of “ultra-loose” monetary policy and calls for a “regime change” at the Fed could signal tighter conditions ahead—potentially dampening risk appetite across digital assets. The fact that gold and silver prices dropped alongside bitcoin after Trump’s announcement only highlights how broad-based these market jitters have become.</p> <h2 class="text-2xl font-bold mb-4">Old-School Banker, New-Tech Challenge</h2>
<p class="mb-6">Warsh is no stranger to navigating uncharted waters; during his tenure at the Fed from 2006 through 2011 he was tasked with bridging communication between central bankers and financial markets amid historic turmoil. Now, he faces an entirely new set of challenges: guiding U.S. monetary policy at a time when cryptocurrencies are both maturing and facing unprecedented regulatory scrutiny.</p>
<p class="mb-6">His previous writings warn against unchecked balance-sheet expansion by central banks—a stance that may affect future decisions about stablecoins or central bank digital currencies (CBDCs). Whether this means stricter oversight or more open experimentation is still up in the air.</p>
<p class="mb-8 text-lg font-medium">Crypto markets may have reacted quickly this week—but their longer-term direction under Warsh remains deeply uncertain.</p>
        <div class="border-l-4 border-blue-500 bg-white dark:bg-slate-800 pl-6 pr-4 py-5 my-8">
            <h3 class="text-xl font-bold mb-4 text-gray-800 dark:text-white p-2">The Core Points</h3>
            <ul class="space-y-2 text-gray-700 dark:text-gray-300 p-4">
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>On the day Trump confirmed Kevin Warsh's Fed chair nomination, bitcoin briefly rose 0.7% before returning to around $82,600.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Following leaks of Warsh’s likely appointment, bitcoin’s price dropped sharply to $81,000 amid broader risk market declines.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>In 2015, Warsh expressed skepticism about bitcoin as a stable medium of exchange but praised blockchain’s disruptive potential.</li>
            </ul>
        </div><h2 class="text-2xl font-bold mb-4">What to watch closely</h2>
<p class="mb-6">If the Senate schedules a confirmation hearing for Kevin Warsh following President Trump’s nomination announced Friday on Truth Social, immediate market reactions—such as Bitcoin’s price movement, which briefly rose 0.7% before returning to $82,600 after the news—will provide a concrete signal of investor sentiment toward his potential leadership at the Fed.</p>

Warsh’s Crypto Skepticism Haunts Markets Donald Trump’s nomination of Kevin Warsh as the next U.S. Federal Reserve chair has reignited debate over the central bank’s stance on digital assets.

Kevin Warsh’s Fed Chair Nomination Sends Crypto Markets Spinning

<h2 class="text-2xl font-bold mb-4">ETF Outflows Fuel Steep Selloff</h2>
<p class="mb-6">Bitcoin’s price tumbled through the $85,000 level and briefly touched $81,000 during U.S. trading hours on Thursday, marking one of the sharpest declines since late last year. The selloff coincided with nearly $1 billion in outflows from U.S.-listed spot bitcoin and ether ETFs in a single day. Investors pulled $817.9 million from spot bitcoin ETFs on January 29, the largest daily outflow since November 20. Ether ETFs were also hit hard, losing $155.6 million on the same day, and total ether ETF assets fell to $16.75 billion from over $18 billion earlier in the month.</p>
<p class="mb-10 max-w-xl">Major funds were not spared: BlackRock’s IBIT saw $317.8 million redeemed, Fidelity’s FBTC lost $168 million, and Grayscale’s GBTC had another $119.4 million exit.</p>
<p class="mb-6">On paper, ETFs are designed to provide stability and easy access for investors; in practice this week, they became a channel for rapid capital flight as sentiment turned.</p> <h2 class="text-2xl font-bold mb-4">Liquidations Mount as Bulls Retreat</h2>
<p class="mb-6">The cascade of redemptions set off a chain reaction across derivatives makrets. More than $1.7 billion in leveraged positions were liquidated within 24 hours, with 93% of these coming from long bets on rising prices. Bitcoin accounted for about $780 million of these forced liquidations, while ether contributed over $414 million. The largest single wipeout was an $80.57 million BTC-USDT position on HTX exchange.</p>
<p class="mb-8 text-lg font-medium">Roughly 267,370 traders saw their positions forcibly closed as exchanges moved to cover margin shortfalls.</p>
<p class="mb-6">Long exposure dominated the pain: Hyperliquid reported $598 million in liquidations (94% long), Bybit followed with $339 million, and Binance logged $181 million—all with longs bearing the brunt. Short sellers did not escape unscathed but accounted for just $118 million in liquidations.</p> <h2 class="text-2xl font-bold mb-4">Volatility Surges to November Highs</h2>
<p class="mb-6">As prices unraveled, volatility metrics spiked to levels not seen since November. Deribit’s bitcoin volatility index (DVOL) jumped from around 37 to above 44 during Thursday’s sell-off, signaling a sharp rise in expected price swings over the next month based on options pricing. At the same time, Wall Street’s VIX—a barometer of equity market nerves—also climbed higher.</p>

<p class="mb-6">Deribit data placed bitcoin’s implied volatility (IV) rank at 36 and IV percentile near 50, suggesting that while options traders are bracing for more turbulence ahead, outright panic has yet to take hold. Some participants are now targeting the $70,000 mark as a possible destination if selling pressure persists in coming weeks.</p> <h2 class="text-2xl font-bold mb-4">Dollar Strength Adds to Crypto Woes</h2>
<p class="mb-10 max-w-xl">The rout in crypto was mirrored by moves in traditional markets: silver dropped 20% from Thursday’s record high of $121 to trade at $96, while gold slid below $5,000 after falling 11% from Wednesday’s peak of $5,600.</p>
<p class="mb-6">Meanwhile, the U.S. dollar index (DXY) posted a gain of 0.57%, adding further headwinds for risk assets like bitcoin and ether as a stronger dollar tends to sap demand for alternative stores of value. Uncertainty around Federal Reserve leadership—specifically expectations that Kevin Warsh may become chairman—added another layer of caution across global markets.</p>
<p class="mb-6">As risk aversion spread, even high-flying NFT projects like Pudgy Penguins continued retail sales momentum but could not offset broader declines; the CoinDesk 20 Index is down 6.6% since January began.</p> <h2 class="text-2xl font-bold mb-4">Why It Matters</h2>
<p class="mb-6">The synchronized drop across crypto tokens and related ETFs underscores how tightly interconnected digital assets have become with traditional financial flows and sentiment shifts. With nearly $1.8 billion erased through forced liquidations and ETF outflows topping records within a single day, many traders are rethinking leverage strategies heading into February.</p>
<p class="mb-6">It remains uncertain whether support near current levels will hold or if deeper losses toward the targeted $70,000 region will materialize soon. As reported by coindesk.com, options markets signal caution but not outright panic—yet mass unwinding of bullish bets has already changed the landscape for both retail and institutional participants this week.</p>
        <div class="border-l-4 border-blue-500 bg-white dark:bg-slate-800 pl-6 pr-4 py-5 my-8">
            <h3 class="text-xl font-bold mb-4 text-gray-800 dark:text-white p-2">The Snapshot</h3>
            <ul class="space-y-2 text-gray-700 dark:text-gray-300 p-4">
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Bitcoin fell through $85,000, briefly touching $81,000 during U.S. trading hours on January 29, 2024.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Over $1.7 billion in leveraged crypto positions were liquidated in 24 hours, with 93% from long positions.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>U.S.-listed spot bitcoin ETFs saw $817.9 million in outflows on January 29, the largest daily exit since November 20.</li>
            </ul>
        </div><h2 class="text-2xl font-bold mb-4">What remains under scrutiny</h2>
<p class="mb-6">If outflows from U.S.-listed spot bitcoin and ether ETFs, which totaled nearly $1 billion on Thursday, continue at this scale in the coming sessions, immediate further pressure on bitcoin’s price and additional liquidations—already at $1.68 billion in the past 24 hours—would be likely; whether ETF redemptions persist or subside remains unclear.</p>

ETF Outflows Fuel Steep Selloff Bitcoin’s price tumbled through the $85,000 level and briefly touched $81,000 during U.S.

Bitcoin Plunges Below $81,000 as ETF Outflows and Liquidations Trigger Market Shakeout

<h2 class="text-2xl font-bold mb-4">Ethereum fees drop, usage surges</h2>
<p class="mb-6">Ethereum’s network activity has remained robust even as the broader crypto market faces persistent weakness. Over the past week, Ethereum processed 16.</p>
<p class="mb-6">Alongside record transaction counts, daily active user numbers have climbed to new highs. The network’s ability to handle surging activity without pricing out users has been attributed in part to the December 2025 Fusaka upgrade, which increased data capacity and introduced more efficient transaction batching. As a result, Ethereum’s fee environment now sits at a nine-year low, creating a more accessible landscape for both retail users and developers.</p>
<br><p class="mb-6 italic text-slate-600 my-8">Weekly decentralized exchange volume on Ethereum reached $13 billion, rising from $8.15 billion just four weeks earlier.</p>
<p class="mb-10 max-w-xl">On paper, these metrics signal strength; yet, the price of Ether (ETH) has not reflected the underlying growth.</p> <h2 class="text-2xl font-bold mb-4">Bullish bets liquidated as ETH dips</h2>
<p class="mb-6">Despite positive network fundamentals, Ether experienced a sharp 15.9% correction over the seven days ending Sunday, falling 14% from its 2026 high above $3,200. This downturn triggered $910 million in liquidations for leveraged bullish positions—traders who had bet on rising prices were forced out as markets moved against them. The sell-off left ETH trading 41% below its all-time high of $4,950 set in August 2025.</p>

<p class="mb-6">In response to the correction, Ethereum’s network fees actually jumped by 19% over the same week—a sign that transactional demand remains sticky even during price volatility. Market analysts point to this technical correction as a retest of key support levels rather than a fundamental breakdown.</p> <h2 class="text-2xl font-bold mb-4">Layer-2s eclipse rivals in volume</h2>
<p class="mb-8 text-lg font-medium">Aggregate weekly transactions on Ethereum’s layer-2 networks surged to 128 million, overtaking both BNB Chain and Tron by volume.</p>
<p class="mb-6">This growth highlights how scaling solutions are absorbing much of Ethereum’s transactional load while keeping costs low for end users. Decentralized exchange (DEX) activity further underscores this trend: DEX volumes across the Ethereum ecosystem hit $26.8 billion last week, with $13 billion coming directly from mainnet-based protocols—up from just $8.15 billion four weeks prior.</p>
<p class="mb-6">However, not every project is thriving in this environment. Forgotten Runiverse, an MMORPG built on Ethereum’s Ronin scaling network and backed by investors like Alexis Ohanian, announced it will go offline less than a year after launch due to financial infeasibility. All player data will be preserved while the team considers next steps.</p> <h2 class="text-2xl font-bold mb-4">Traders eye $10K despite correction</h2>
<p class="mb-6">While ETH remains well below its previous peak, some traders continue to set ambitious targets for this cycle. Technical analysis using methods such as Wyckoff patterns and liquidity cycles points to potential price levels between $10,000 and $15,000 if key supports are reclaimed. Annie, a crypto analyst cited by cointelegraph.com, highlighted that these models suggest a breakout above $10K is still possible for ETH this cycle.</p>

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<p class="mb-6">Bitcoinsensus also shared a bullish outlook based on recurring cycle patterns seen in previous years. However, until ETH reclaims critical support zones lost during the recent correction—and with nearly a billion dollars already liquidated from long positions—the path higher remains uncertain.</p> <h2 class="text-2xl font-bold mb-4">Why it matters: Practical impact beyond price</h2>
<p class="mb-6">Ethereum’s technical roadmap extends far beyond short-term price action. On January 24th, the Ethereum Foundation announced the formation of a dedicated Post Quantum team led by Thomas Coratger to address future cryptographic threats posed by quantum computers. According to Antonio Sanso of the Foundation, Ethereum is “probably 20%” of the way toward full quantum resilience—a process expected to take years as multi-client test networks come online and new standards are developed.</p>
<p class="mb-6">The median expectation for quantum computers capable of breaking current cryptography is set at 2040; however, there is a one-in-five chance happen by 2030. With post-quantum security now declared a top strategic priority and biweekly core developer calls underway since February 4th, Ethereum is positioning itself proactively for long-term stability—even as near-term market sentiment remains volatile.</p>
        <div class="border-l-4 border-blue-500 bg-white dark:bg-slate-800 pl-6 pr-4 py-5 my-8">
            <h3 class="text-xl font-bold mb-4 text-gray-800 dark:text-white p-2">Key Learnings</h3>
            <ul class="space-y-2 text-gray-700 dark:text-gray-300 p-4">
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Ethereum processed 16.4 million weekly transactions with fees below $0.20, following the December 2025 Fusaka upgrade.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Ether (ETH) price dropped 15.9% in seven days, triggering $910 million in bullish leveraged liquidations.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Ethereum layer-2 networks handled 128 million aggregate weekly transactions, surpassing BNB Chain and Tron in volume.</li>
            </ul>
        </div><h2 class="text-2xl font-bold mb-4">Next milestones</h2>
<p class="mb-6">A post-quantum (PQ) roadmap for Ethereum will be released soon, and if the Ethereum Foundation provides a concrete timeline or technical targets in this document, it would immediately clarify the next steps for the network’s quantum resilience efforts; however, the exact release date remains unclear.</p>

Ethereum fees drop, usage surges Ethereum’s network activity has remained robust even as the broader crypto market faces persistent weakness.

Ethereum Metrics Signal Resilience Amid Price Pressure and Quantum Security Push

<h2 class="text-2xl font-bold mb-4">Stablecoins Threaten Regional Bank Deposits</h2>
<p class="mb-6">Standard Chartered analysts have issued a stark warning that the rapid expansion of stablecoins could siphon off critical deposits from U.S. regional banks.</p>
<p class="mb-10 max-w-xl">On paper, stablecoins are intended to offer a seamless bridge between crypto and fiat currencies, but in practice their popularity may be eroding the foundation of smaller banks already under pressure.</p> 
<h2 class="text-2xl font-bold mb-4">Lawmakers Stall Crypto Rules in Storm</h2>
<p class="mb-6">Severe winter weather in the United States has thrown a wrench into Congressional efforts to regulate digital assets. Lawmakers recently postponed work on multiple pieces of digital asset legislation, including the CLARITY Act—a bill aimed at prohibiting interest payments on stablecoin holdings. This delay comes at a time when regulatory clarity is being demanded by both industry players and critics alike.</p>
<br><p class="mb-6 italic text-slate-600 my-8">On Sunday, Bitcoin’s hashrate plunged to 663 EH/s, marking a 40% drop in just two days according to CoinWarz.</p>
<p class="mb-8 text-lg font-medium">The CLARITY Act’s postponement highlights how even the weather can influence crypto’s legislative fate.</p>
<p class="mb-6">According to cointelegraph.com, this legislative freeze coincided with another cold snap: Bitcoin's network hashrate dropped more than 40% over two days, falling to 663 exahashes per second (EH/s) as reported by CoinWarz. The timing illustrates how both natural and political storms can disrupt crypto markets and policymaking simultaneously.</p>

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<h2 class="text-2xl font-bold mb-4">Banks Face One-Third Deposit Drain</h2>
<p class="mb-6">The Standard Chartered report quantifies a potential deposit loss scenario for U.S. banks: if stablecoins continue their ascent, regional lenders could see deposit bases shrink by roughly one-third of the stablecoin market cap. With CoinGecko measuring U.S. dollar-pegged stablecoins at $301.4 billion as of this week, that translates into approximately $100 billion in possible outflows—an amount that would stress liquidity and lending capacity for smaller banks.</p>
<p class="mb-6">While large national banks may have diversified balance sheets to absorb such shocks, regional players like Huntington Bancshares and Truist Financial face disproportionate risk due to their higher reliance on retail deposits. The report underscores that these vulnerabilities are not merely theoretical; they reflect real-time shifts in consumer preferences toward digital assets over traditional savings accounts.</p> 
<h2 class="text-2xl font-bold mb-4">Chainlink Joins Korea Stablecoin Push</h2>
<p class="mb-6">In South Korea, Wemade is responding to regulatory uncertainty by strengthening its technical alliances for its KRW-backed stablecoin initiative. Chainlink Labs was added in January 2026 to Wemade’s Global Alliance for KRW Stablecoins (GAKS), joining firms like Chainalysis (analytics), CertiK (security audits), and SentBe (remittance infrastructure). Chainlink’s role will focus on providing standardized data feeds and oracle services—key components for ensuring price accuracy and onchain verification within institutional digital asset systems.</p>
<p class="mb-10 max-w-xl">Launched in November 2025 as part of a strategic reset, GAKS aims to support StableNet—a blockchain platform for Korean won-backed stablecoins—not as an issuer but as a technology partner. Chainlink’s addition brings new layers of data integrity and interoperability to this consortium-based approach.</p> 
<h2 class="text-2xl font-bold mb-4">Why it matters</h2>
<p class="mb-6">For everyday consumers and businesses alike, these developments carry immediate consequences: regional banks could face tighter lending conditions if deposit flight accelerates, while delays in Washington mean continued uncertainty over how digital assets will be taxed or regulated in 2026. Meanwhile, international projects like GAKS show that some jurisdictions are moving ahead with robust technical standards even as U.S. policy remains gridlocked.</p>
<p class="mb-6">Critics such as Peter Schiff argue that calls for regulatory “clarity” are veiled attempts by the crypto industry to secure government endorsement or even bailouts—positions he aired recently in an interview with Tucker Carlson. Schiff contends that Bitcoin’s volatility makes it unsuitable as a reserve asset for central banks and points out that its value has dropped roughly 40% compared to gold over the last four years.</p>
<p class="mb-6">The contrast is sharp: while some advocate for integration between crypto and mainstream finance through regulation or technical partnerships, others warn that such moves risk legitimizing volatility and undermining financial stability. The timeline for decisive action remains uncertain—and both investors and institutions are left waiting for clearer signals from policymakers.</p>
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            <h3 class="text-xl font-bold mb-4 text-gray-800 dark:text-white p-2">The Essentials</h3>
            <ul class="space-y-2 text-gray-700 dark:text-gray-300 p-4">
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Standard Chartered estimates US regional banks could lose about $100 billion in deposits, equal to one-third of the $301.4B stablecoin market cap.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>The US CLARITY Act, which would prohibit interest on stablecoin holdings, was delayed due to severe winter weather in January 2026.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Huntington Bancshares, M&T Bank, Truist Financial, and CFG Bank are identified as the most exposed to stablecoin-driven deposit outflows.</li>
            </ul>
        </div><h2 class="text-2xl font-bold mb-4">What to keep in focus</h2>
<p class="mb-6">The US CLARITY Act, which proposes to prohibit interest on stablecoin holdings, has been delayed due to severe winter weather, so if lawmakers resume work and advance the bill, immediate attention will turn to its impact on regional US banks such as Huntington Bancshares, M&T Bank, Truist Financial, and CFG Bank, which Standard Chartered analysts identify as most exposed to stablecoin-related deposit outflows.</p>

Stablecoins Threaten Regional Bank Deposits Standard Chartered analysts have issued a stark warning that the rapid expansion of stablecoins could siphon off critical deposits from U.S.

Stablecoins, Storms, and Stalled Bills: Crypto Regulation Faces New Headwinds

<h2 class="text-2xl font-bold mb-4">Trump Family Crypto Venture Raises Eyebrows</h2>
<p class="mb-6">The intersection of politics and cryptocurrency has rarely been more visible than in the recent activities surrounding World Liberty Financial Inc., a crypto firm partially owned by former President Donald Trump. The company’s flagship stablecoin, USD1, boasts a market capitalization of $3.2 billion and has become a centerpiece in new partnerships, including a headline-grabbing deal with Spacecoin. This collaboration included a token swap and plans to integrate USD1 into Spacecoin’s satellite-based infrastructure—an unusual move that blends DeFi with physical space assets.</p>
<p class="mb-6">On paper, the Trump connection gives World Liberty Financial instant name recognition, but it also brings increased regulatory attention. Senator Elizabeth Warren has publicly questioned whether Trump’s involvement could lead to conflicts of interest as World Liberty seeks a trust bank charter in the U.S., intensifying debate over political influence in financial innovation.</p>
<br><p class="mb-6 italic text-slate-600 my-8">Senator Warren’s letter to the OCC was sent on February 12, 2024, specifically referencing World Liberty’s $3.2 billion USD1 stablecoin.</p>
<h2 class="text-2xl font-bold mb-4">OCC Dismisses Warren’s Conflict Concerns</h2>
<p class="mb-10 max-w-xl">Despite Warren's calls for heightened scrutiny, the Office of the Comptroller of the Currency (OCC) is moving forward with World Liberty’s banking application as scheduled. Comptroller Jonathan Gould, who previously worked at blockchain firm Bitfury, made it clear that the OCC would treat the application like any other, emphasizing an apolitical and nonpartisan approach. In his correspondence with Warren, Gould stated that delaying or treating the application differently would undermine the agency's mandate to process applications promptly.</p>
<p class="mb-6">Warren was quick to criticize this stance, calling the OCC review process “a sham” and citing what she sees as insufficient safeguards against conflicts of interest when high-profile political figures are involved. The tension highlights ongoing uncertainty about how regulators will handle crypto ventures with direct links to national politicians.</p>
<h2 class="text-2xl font-bold mb-4">Spacecoin’s Price Tumbles After Launch</h2>
<p class="mb-6">Spacecoin’s newly launched SPACE token went live on major exchanges—including Binance, Kraken, and OKX—just days after its partnership with World Liberty Financial was announced. However, the token’s debut has been rocky: SPACE is down approximately 12.2% since launch, leaving its fully diluted valuation at $357 million according to CoinMarketCap at time of publication.</p>

<p class="mb-8 text-lg font-medium">Early supporters who met promotional campaign requirements can now claim their airdrop allocations, but so far this has not buoyed prices.</p>
<p class="mb-6">The price drop comes amid broader skepticism about projects tied to well-known political figures and follows volatility seen in other tokens linked to controversial public personalities. Market participants remain watchful for signs of stabilization or further decline.</p>
<h2 class="text-2xl font-bold mb-4">World Liberty’s $3.2B Stablecoin Ambitions</h2>
<p class="mb-6">World Liberty Financial’s USD1 stablecoin is not only central to its own DeFi ecosystem but is also being positioned as an interlink between digital finance and physical infrastructure projects like Spacecoin. The $3.2 billion market cap figure underscores significant adoption—or at least substantial backing—despite persistent questions about regulatory oversight and transparency.</p>
<p class="mb-6">Last year, Abu Dhabi investment firm MGX invested $2 billion into Binance using USD1 stablecoins issued by World Liberty Financial. While Binance founder Changpeng “CZ” Zhao denied any direct relationship with Trump or his crypto dealings, he confirmed that such large transactions took place using Trump-linked digital assets—a detail that further blurs the line between global finance and U.S. political interests.</p>
<h2 class="text-2xl font-bold mb-4">Politicians Spar Over Bank Charter Scrutiny</h2>
<p class="mb-6">Senator Warren’s push for extra scrutiny over World Liberty’s trust bank application illustrates how political rivalries are now playing out in crypto regulation. The OCC’s decision to proceed without delay drew sharp criticism from Warren but was defended internally as necessary to maintain fairness and avoid politicizing routine financial processes.</p>
<p class="mb-6">According to coindesk.com, Jonathan Gould emphasized that all applications must be reviewed objectively and within reasonable timeframes regardless of applicant profile—especially when high-profile names like Trump are attached. This stance may set precedent for future cases where crypto ventures intersect with politics at the highest levels.</p>

<p class="mb-6">It remains uncertain whether regulatory agencies will revisit their approach if further evidence emerges of conflicts or improprieties tied to politically connected crypto firms.</p>
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            <h3 class="text-xl font-bold mb-4 text-gray-800 dark:text-white p-2">Essential Facts</h3>
            <ul class="space-y-2 text-gray-700 dark:text-gray-300 p-4">
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>World Liberty Financial, partially owned by Donald Trump, partnered with Spacecoin to connect its $3.2 billion USD1 stablecoin to satellite infrastructure.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>On February 12, 2024, Senator Warren requested the OCC delay World Liberty’s trust bank charter over Trump’s involvement; the OCC declined.</li>
                <li class="flex items-start"><span class="mr-2 text-blue-500 italic">•</span>Comptroller Jonathan Gould, ex-Bitfury executive, confirmed World Liberty’s bank application will follow standard procedures despite political concerns.</li>
            </ul>
        </div><h2 class="text-2xl font-bold mb-4">What may drive the next phase</h2>
<p class="mb-6">If the Office of the Comptroller of the Currency (OCC) approves World Liberty Financial Inc.'s trust bank application—proceeding as stated by Comptroller Jonathan Gould despite Senator Warren's objections over Trump ties—it would immediately clear a regulatory hurdle for the Trump-linked crypto project, though the exact timing of a decision remains unclear.</p>

Trump Family Crypto Venture Raises Eyebrows The intersection of politics and cryptocurrency has rarely been more visible than in the recent activities surrounding World Liberty Financial Inc., a crypto firm partially owned by former...

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