Category: crypto

U.S. banking groups are urging the Senate to tighten the CLARITY Act’s stablecoin yield rules to prevent payment stablecoins from competing with traditional bank deposits. The current wording of the Act allows for activity-based or transaction-based rewards, which could encourage users to move deposits from banks to stablecoins.

South Korea plans to expand its blockchain sector with stablecoin rules, tokenized government bonds, and spot crypto ETFs. The government will introduce the Digital Asset Basic Act and support large-scale blockchain projects. Additionally, AI and semiconductor investment will receive stronger policy support in the country’s economic growth strategy.

A former Los Angeles sheriff’s deputy was sentenced to 18 months in prison for lying to federal investigators in a cryptocurrency-related extortion case involving threats made by a businessman. The businessman, Adam Iza, remains in federal custody for multiple guilty pleas, including his involvement in a bitcoin-linked kidnapping conspiracy in Connecticut.

The European Central Bank has chosen 36 payment firms, including Deutsche Bank, for a digital euro pilot. The 12-month pilot begins in 2027 in preparation for a possible 2029 CBDC launch. This contrasts with the U.S. efforts to block a Federal Reserve-issued CBDC through 2031.

Circle Internet Group shares fell more than 2% in pre-market trading after US banking groups urged the Senate to tighten stablecoin provisions in the CLARITY Act, causing regulatory uncertainty. Despite long-term growth drivers, Baird lowered its price target for Circle to $100, citing potential revenue issues. The stock remains under selling pressure.

Ripple-backed Evernorth disclosed a $44 million equity package for CEO Asheesh Birla in a recent SEC filing, advancing its merger with Armada Acquisition Corp II to create a Nasdaq-listed XRP treasury company. The filing also included updates on executive compensation, board appointments, and the launch of a Japanese-language XRP information channel.

Cathie Wood’s ARK Invest bought $21.3 million worth of SpaceX shares despite concerns of a potential AI-driven market bubble. A U.S. Treasury report highlights risks of an AI downturn affecting various sectors. Analysts are divided on AI valuations, with BlackRock reducing direct AI exposure. SpaceX stock has declined but ARK Invest continues to purchase shares.

Bitcoin rose towards $65K as U.S. inflation data came in lower than expected, reducing the likelihood of a Federal Reserve rate hike in July. Geopolitical risks, including tensions between the U.S. and Iran, continue to impact market sentiment. Investors are now focused on upcoming Federal Reserve commentary and producer price index data.

Thailand is auditing high-value stablecoin transactions due to suspicious transfers that may have avoided financial reporting systems. The Bank of Thailand and the SEC are investigating using data analytics to crack down on money laundering and online gambling. The authorities are also tightening oversight on other financial activities with money laundering risks.

SBI Holdings and Solana Foundation have partnered to develop an onchain financial market in Japan. The venture aims to connect Japan’s financial system with global blockchain markets, focusing on stablecoins, tokenized assets, payments, and institutional services. The partnership plans to use Solana as the main blockchain infrastructure and expand into Asian and global markets.