The first Solana-based ETF with staking capabilities, the REX-Osprey Solana Staking ETF (SSK), has launched in the United States, according to Bloomberg ETF analyst Eric Balchunas. On its first day of trading on the CBOE BZX exchange, SSK attracted $12 million in inflows with a total trading volume of $33 million. The fund offers investors direct exposure to spot Solana as well as access to staking yields. Bloomberg ETF analyst James Seyffarth described the trading debut as “healthy,” noting that $8 million in volume was recorded within the first 20 minutes. Balchunas further noted that SSK’s launch significantly outperformed the initial trading of Solana and XRP futures ETFs, although it was surpassed by the debut of spot Bitcoin and Ethereum funds. Regulatory Highlights The fund is structured under the Investment Company Act of 1940, which allows it to bypass the standard Form 19b-4 filing process typically required for spot ETFs. Nate Geraci, President of NovaDius Wealth Management, described this approach as a “regulatory workaround.” Anchorage Digital serves as both the staking and custody partner for SSK. Growing Institutional Interest The launch of SSK coincided with a surge in institutional interest in Solana. Open interest in Solana futures on the CME reached a record $167 million, signaling increased attention from institutional investors. Meanwhile, spot Bitcoin ETFs in the US have returned to positive capital inflows. Over the course of two days, investors poured more than $1 billion into these funds, offsetting a previous outflow of $342.2 million. On July 2, net inflows totaled $407.8 million, followed by $601.8 million the next day. Fidelity’s FBTC fund led the way, attracting $184 million and $237.1 million on those respective days. BlackRock’s IBIT fund also saw strong interest, raising $224.5 million on July 3 after two days of zero flows.

2025-07-05 18:53

Drug cartel hired a hacker to spy on the FBI A Spanish group stole more than €460 million Hackers infiltrated gamers' PCs through the game Call of Duty: WWII Migrants hacked into a program that locates agents of state control Drug cartel hired hacker to spy on FBI In late June, the U.S. Justice Department released a report on the FBI's internal security review. According to the document, the bureau conducted an investigation in 2018 that ended with the arrest of syndicate leader Joaquin ”El Chapo” Guzman. A person associated with the cartel told the FBI that the criminal organization had hired a hacker. The cybercriminal hacked into electronic devices, cell phones, and monitored people visiting the U.S. Embassy in the Mexican capital. A key figure in the surveillance was an FBI assistant legal attaché working overseas. The hacker was able to use the FBI employee's phone number to obtain call and geolocation data. In addition, the attacker tapped into the city's surveillance camera system in Mexico City to track the attaché's movements and identify the people he met with. According to the operative, the cartel used the information to intimidate and kill potential witnesses and informants. Spanish group stole more than €460 million Members of the Spanish Guardia Civil, together with Europol, uncovered a major fraud network that stole more than €460 million from over 5,000 victims around the world through bogus cryptocurrency investment schemes. On June 25, law enforcement detained three suspects in the Canary Islands and two in Madrid. Europol had coordinated the investigation since 2023 and involved a cryptocurrency expert during the Spanish operation. According to the investigation, the organizers created a global scheme to collect funds through bank transfers, cryptocurrency transactions, and cash. They allegedly used payment gateways, cryptocurrency exchange accounts, and a corporate structure linked to Hong Kong. The network operated with agents around the world who lured victims to fake investment platforms. Hackers infiltrated gamers' PCs through Call of Duty: WWII The release of Call of Duty: WWII triggered massive hacks. On July 3, two days after the release, complaints from players began about attacks from an unknown hacker using remote code execution (RCE) exploits. An attacker exploiting multiplayer vulnerabilities executed arbitrary commands on users' computers while they were playing and streaming. There are known cases of hackers forcibly opening the Notepad application, displaying unwanted content on the screen, and rebooting the system. According to a gamer under the nickname MikeRxqe, the outdated P2P network model used in the game makes it much easier to get the IP addresses of players. In this case, users connect directly to each other, and the IP address of each becomes known to everyone else. The attacker can then send specially crafted network packets directly to the victim. These packets masquerade as legitimate game data (movement and shot information) but contain malicious payloads. On July 2, Activision conducted short-term technical maintenance on the servers, but there were no official statements regarding any connection to the RCE vulnerability. Migrants hacked the program that determines the location of state control agents The ICEBlock iPhone app, which allows anonymous reporting of sightings of U.S. Immigration and Customs Enforcement (ICE) agents, went viral following a mention by Attorney General Pam Bondi. The bulk of ICEBlock users—about 20,000 people—are in Los Angeles, where ICE raids have become commonplace in recent weeks. After Bondi's evening statements, the following day on July 2, it made the list of the most downloaded free software in the United States. With ICEBlock, users can share the location of ICE agents within an ~8 km radius. The app sends a notification when enforcement officers are spotted in the vicinity. Police arrest two hackers targeting high-ranking officials and journalists On July 1, Spanish police arrested two men in Las Palmas province on suspicion of cybercrimes, including stealing data from the country's government agencies. Both suspects have been characterized as a ”serious threat to national security.” The investigation began after law enforcement officials detected a leak of personal data. The leaked data directly concerned politicians, representatives of the central and regional governments, as well as media workers. It is believed that the first suspect specialized in siphoning data, while the second managed the financial part: selling access to databases and accounts, as well as controlling the cryptocurrency wallet that received the funds. Both were detained. During the searches, police seized a large number of electronic devices that could lead to new evidence, buyers, or accomplices. Malware targeting cryptocurrency theft has learned to self-heal North Korean hackers are using a new macOS malware family, NimDoor, targeting cryptocurrency and Web3 organizations. The attack chain includes contacting victims via Telegram and trying to convince them to install a fake update for Zoom. The malware is being distributed via the Calendly meeting scheduling service and email. In a report published on July 2, SentinelOne experts said the attackers used binaries compiled in C++ and Nim to attack macOS, which is a fairly rare choice. The most sophisticated element of the attack is the event-driven CoreKitAgent application. A notable feature is the use of persistence mechanisms that make it difficult to terminate or delete. Bluetooth vulnerability allows hackers to eavesdrop on gadget owners At the TROOPERS security conference, researchers from ERNW disclosed three vulnerabilities in Airoha chips (SoCs). They are widely used in speakers, headphones, headsets, and wireless microphones across 29 types of devices. Hackers can exploit the Bluetooth chipset to eavesdrop and steal sensitive information. At risk are gadgets from Beyerdynamic, Bose, Sony, Marshall, Jabra, JBL, Jlab, EarisMax, MoerLabs, and Teufel. Security issues allow attackers to gain control of your device. On some smartphones, an attacker within Bluetooth range can extract call history and contact lists. Airoha has released an updated SDK with the necessary protection measures, and device manufacturers have already started developing and distributing patches. The number of attacks via contactless payments has increased 35 times globally since the beginning of the year According to data from ESET experts, the number of thefts via contactless payment systems continues to grow. In the first half of the year alone, the number of NFC attacks worldwide increased by a factor of 35 compared to 2024. This scheme combines standard attack methods (social engineering, phishing, Android malware) with a tool called NFCGate to create an entirely new scenario. The NGate malware allows relaying NFC data between two devices remotely, including bank cards, and bypasses security by acting on behalf of the victim. More than 40 malicious extensions that steal private keys have been discovered in Firefox The extensions are visually indistinguishable from legitimate ones and have a huge number of fake reviews and ratings to gain trust. More than 40 fake extensions for the Firefox browser are designed to steal cryptocurrency wallet data. They masquerade as solutions from popular platforms: Coinbase, MetaMask, Trust Wallet, Phantom, Exodus, OKX, Keplr, MyMonero, Bitget, Leap, Ethereum Wallet, and Filfox. Once installed, the software stealthily steals data, putting users' assets at risk. During initialization, the attackers also send the victim's external IP address, presumably for tracking or pinpoint targeting. The campaign has been active since at least April 2025. New malicious extensions were uploaded to the Firefox catalog as recently as the last days of June.

2025-07-05 12:36

As various bullish on-chain metrics continue taking center stage, the 4th-largest cryptocurrency based on market capitalization might be gearing up for its next leg up. Is XRP Gearing up for a Bullish Break? According to market analyst Lingrid, “XRP is breaking out from a multi-month descending triangle after reclaiming the upper boundary with a clear bullish break. Price action shows a sequence of compression patterns, with each breakout gaining strength from underlying support levels.” Since a descending triangle typically forms during a downtrend and consists of lower highs and a relatively flat support level, price breaking above the descending resistance line signals that selling pressure is weakening and buyers are taking control. Therefore, XRP is experiencing a shift in market sentiment. Lingrid added, “A clean move above the triangle now points to a potential climb toward the $2.60–$2.70 target zone. As long as the price stays above $2.15, this rally may gain traction with increasing momentum.” At the time of this writing, XRP was hovering around the $2.22 zone , representing a 6.6% increase in the past week. As bullish momentum builds for the 4th-largest cryptocurreny, it remains to be seen whether XRP will soar to the psychological price of $5 . XRP Trading Volume Explodes Coinglass reports a surge in trading volume across major exchanges, led by Binance at $2.77B, followed by Bitget ($2.11B), Bybit ($1.20B), and MEXC ($674.81M). When XRP's trading volume explodes across major exchanges, it signals a significant shift in market activity and investor interest. Therefore, when aligned with upward price movement and positive news, it reflects increased interest, potential institutional activity, and a possible trend acceleration. Interestingly, breakouts from descending triangles are often accompanied by a spike in trading volume, which confirms the strength of the breakout and suggests that more participants are entering the market, supporting the move higher. Therefore, XRP might be eyeing a notable bullish run with its dominance skyrocketing . XRP Holders’ Conviction Plays Out According to crypto pundit Edo Farina, “ XRP holders have been proven right time and time again. We had the courage to speak the truth, even when the facts pointed the other way. The SEC lawsuit and XRP stuck at $0.50 felt like an eternity. But we were on the right side of history. We deserve prosperity.” As XRP holders continue to show their strong conviction, why are they positioned for considerable long-term prosperity? 1. On‑Chain Growth & Holder Base Expansion XRP started 2025 strong, adding 58,000 new wallet addresses, marking the fastest relative growth among top cryptocurrencies at a 1% rise in holders. More impressively, recent data shows XRP surpassed 7.1 million holders, a milestone driven by robust retail adoption. This surge signals a broadening user base and deeper network effect. 2. Institutional & Regulatory Clarity Institutional interest in XRP is accelerating. In Q1 2025, average daily trading volume surged to $1.73 billion, up from $1.42 billion in Q1 2024. Notably, 19% of this volume moved via OTC—a hallmark of institutional trading. Whale accumulation continues too: over 610 million XRP valued at $1.33 billion was scooped up by large holders. Legal clarity is advancing. Ripple and the SEC edged closer to resolution: Ripple has dropped its cross‑appeal while the SEC is expected to follow, simplifying the regulatory landscape. Although one judge recently rejected a proposed settlement fine reduction, the core ambiguity has been largely lifted. 3. Technological Advances & Real‑World Use Ripple is actively building infrastructure to boost XRP’s utility: Introduction of an EVM-compatible XRPL sidechain, enabling Ethereum-style smart contracts on XRP Ledger. Escrow strategy enactment—locked 400 million XRP in early July—which ensures predictable and transparent token release. Ripple’s pursuit of a national trust bank charter and integration with Federal Reserve systems will deepen its institutional backbone 4. Price Catalysts & Outlook With whales accumulating and institutional inflows rising, short‑term price momentum shaped around the $2.23‑2.40 resistance zone is promising. Historical patterns indicate July returns averaging 6.9%, hinting at seasonal upside. Optimistic forecasts peg XRP at $3–$5 by late 2025, with some long‑term models stretching toward the $8 level as adoption compounds. Conclusion XRP holders stand at the crossroads of technology, finance, and regulation. With a burgeoning user base, institutional adoption, and a clear roadmap, XRP is no longer just a speculative asset, it’s becoming a financial infrastructure staple. Having broken out of a multi-month descending triangle, it remains to be seen if this will be the catalyst to new heights.

2025-07-05 12:15

If this sees the light of day, XRP might soar to unprecedented heights, thanks to a notable leg up. Is XRP Eyeing the $10 Zone? According to market analyst Leandrocrypto, “XRP It’s respecting this uptrend beautifully on both the 4H and daily charts. Every dip is getting bought up — feels like something big is being built here. Could this be the early steps on the road to $10?” From the above chart, XRP continues to form higher highs and higher lows, which is bullish. This is because each higher low shows that buyers are stepping in at higher prices during pullbacks, meaning demand is increasing. Furthermore, higher highs confirm that the market is willing to push prices beyond previous peaks, showing strong bullish sentiment. If this trend continues, XRP might be primed to reach the $10 level in the near future, thanks to various bullish developments, such as the high chances of an XRP exchange-traded fund (ETF) approval . Crypto pundit Vincent Van Code added , “By popular demand, I thought I would add to this post by explaining why I think an XRP price of $30-$50 is possible (timing unknown), here's what I am now following (list gets bigger every month).” Vincent Van Code noted that there was a possibility of XRP hitting the $30 to $50 price range because Ripple is eyeing a master account approval from the Fed as RippleNet targets 20–30% of the $1T cross-border payments market. Furthermore, the XRP Spot ETF approval could unlock $20–$50B in institutional inflows, as global momentum builds with more than 50 countries adopting XRP for Central Bank Digital Currency (CBDC) bridges. Why the Approval of Ripple’s U.S. Banking License Would Be a Game-Changer Ripple’s July 2 application to the OCC for a national trust bank charter represents a major turning point, not just for Ripple Labs, but for the broader crypto industry. If approved, this license would empower Ripple to fully integrate crypto-native financial services into the regulated mainstream, delivering enhanced transparency, lower costs, and faster transactions. 1. Dual Oversight: Building Trust Currently, Ripple's RLUSD stablecoin is regulated at the state level by the New York Department of Financial Services. A federal OCC charter would layer in national oversight, creating an unprecedented “benchmark for trust in the stablecoin market.” This dual oversight signals a new era where crypto issuers operate under the same rigorous standards as established financial institutions. 2. Direct Fed Access: Smoothing the Rails Ripple’s subsidiary, Standard Custody & Trust Company, also applied for a Federal Reserve master account. Approval would grant Ripple direct access to the Fed’s payment rails, enabling 24/7 settlement, reserve custody, and issuance without reliance on middlemen. That’s a groundbreaking leap forward in reducing both cost and friction. 3. Regulatory Momentum & Legislative Alignment Ripple’s move comes in step with Circle, BitGo, Wise, and others seeking charters , reflecting a broader pivot in crypto towards regulated trust banks. The Senate’s recent advancement of the GENIUS Act further cements this trajectory, preparing for mandatory stablecoin issuer licensing. Ripple is positioning itself ahead of the curve. 4. Faster, Cheaper, Transparent Payments With a charter, Ripple can bypass correspondent banks, speeding up cross-border and institutional payments. As Reuters notes, this could drastically reduce costs and improve settlement times. 5. Strategic Edge in Institutional Adoption Federal charters attract institutional clients who prioritize compliance. With explorer-level transparency over reserves and direct Fed custody, RLUSD becomes far more appealing to banks, fintechs, and enterprise partners. 6. Confidence Building after Legal Headwinds Ripple has spent years in legal limbo over SEC issues. A federal banking charter would signal maturity and resolve, reinforcing its legitimacy in U.S. finance. Conclusion If the OCC green-lights Ripple’s application, it would mark the first major crypto-native stablecoin issuer to earn a U.S. federal charter. That opens doors to better regulation, faster payments, deeper institutional adoption, which will set a new standard for how digital assets move from fringe to foundational. As a result, this will be a major foundation for XRP’s journey to the psychological price of $10.

2025-07-04 23:52

Two of the all-time great Bitcoin whale wallets, which had lain dormant since 2011, have mysteriously come back to life and shifted a combined 20,000 BTC—over $2 billion at today's prices—out of them to brand-new addresses. The cinematic resurrection of these Satoshi-era wallets has once again sparked controversy about Bitcoin's real circulating supply, the destiny of lost coins, and the possibility of fresh volatility as the market teeters at all-time highs. Following the Whale Transactions The two wallets, both of which were opened back in April 2011 when Bitcoin traded for just $0.78, each moved 10,000 BTC on 4th July 2025. The moves were first pointed out by Blockchain analysts at Whale Alert and Lookonchain before other on-chain data accelerated verification. The BTC, now worth over $1 billion per wallet, had remained completely dormant through three bear markets, the collapse of Mt. Gox, and Bitcoin's run to over $110,000. Most significantly, the coins were not being deposited onto exchanges, but into other fresh addresses, causing speculators to suspect the owner may be upscaling wallet security or preparing for future transactions rather than selling. This intel has fueled gossip on social media outlets, with some speculating the wallets could be owned by Satoshi Nakamoto or other early Bitcoin influencers, while others suggest possible links to Silk Road or recently pardoned individuals. Market Volatility and Impact Signals Historically, the re-appearance of long-dormant Bitcoin addresses—specifically ones of such magnitude—has been a signal for market volatility. While these particular transactions have yet to mean pressure in the form of selling (since the coins did not move to exchanges), the psychological impact to the market is enormous. Traders and experts look closely at such whale activity as potential indicators of supply shocks or price volatility. Real-time on-chain analysis presents the information that while some of these vintage whales have sold during 2025's rally, there are still most coins in such Satoshi-era wallets remaining off exchanges, limiting near-term risk of downside. CryptoQuant data presents the news that the exchange whale ratio has actually fallen, meaning fewer whales selling out and a more ”natural” market environment. Even then, the mere possibility of these coins surfacing on the market at some point is sufficient to keep traders on their toes. What Previous Whale Reactivations Mean for Bitcoin In the past, whale reactivations on a large scale have happened during periods of heightened volatility and, at times, local market tops. However, not all dormant wallet movements translate into a sell-off. Whales sometimes simply upgrade security, roll coins into new custody solutions, or set up for inheritance and estate planning. Recent movements, to non-exchange addresses, suggest no immediate seller intent, but they also re-raise the question of how much Bitcoin supply is truly ”lost” vs simply dormant. On-chain data also shows that the percentage of long-term holders' Bitcoin supply is near all-time highs despite some of the older coins moving. Such action is double-edged: it can prop up prices by reducing circulating supply, yet impulsive whale movement can quickly change sentiment.

2025-07-04 22:52

Ripple’s bold move to apply for a US national banking charter has reignited debate over the future of XRP and the company’s ambitions to bridge traditional finance and blockchain. The application, confirmed by CEO Brad Garlinghouse, positions Ripple alongside Circle in seeking a federal trust bank license as Congress pushes forward with new stablecoin regulation. The outcome could reshape Ripple’s role in the financial sector—and determine whether XRP can finally break out of its long-standing price range. What Ripple’s Bank License Means If approved by the Office of the Comptroller of the Currency (OCC) , Ripple would operate under both state and federal oversight, joining a select group of crypto firms with such status. The charter would allow Ripple to: Expand services nationwide without needing dozens of state licenses Directly custody reserves for its RLUSD stablecoin with the Federal Reserve, if its master account application is also approved Deepen institutional partnerships by offering regulated custody, payment, and settlement services Enhance trust and compliance in the eyes of banks and large enterprises This move comes amid the passage of the GENIUS Act , which sets new standards for stablecoin issuers and puts the OCC in charge of regulating major players. XRP Price Forecast: Bulls vs. Bears The banking license news has already boosted XRP, which jumped 3–5% on the announcement and is trading near $2.30, testing key resistance levels. Technical analysts see a bullish pattern forming, with targets ranging from $2.65 to $3.04 if XRP can break above $2.34. Some models, factoring in institutional adoption and historical breakouts, suggest possible surges to $5 or even higher by year-end. Analyst/Model Short-Term Target Year-End/Long-Term Target Cointelegraph $2.65–$3.04 $5+ Finder Q3 Panel $3.06 $6.45 by 2030 Egrag Crypto $5.50–$11.75 $18 (cycle top) ChatGPT $10.91 (theoretical) - Bearish and cautionary voices point to significant hurdles: Regulatory delays: OCC and Fed master account approvals are not guaranteed and could take months or years SEC litigation overhang: Ripple’s unresolved legal battle with the SEC continues to cast a shadow Market selling pressure: Each price spike has historically led to profit-taking and retracements; whales and insiders may sell into rallies Competition and banking lobby resistance: Traditional banks may oppose Ripple’s entry, slowing the process RippleNet and Institutional Adoption: The Real-World Test While RippleNet and its On-Demand Liquidity (ODL) solution have seen global adoption, especially in Asia and with partners like SBI Holdings, most US banks are not yet using XRP directly for settlement . However, the banking license could open doors for more regulated, large-scale institutional use—especially if Ripple can offer custody and payment services under federal oversight. On-chain metrics show XRP Ledger processing over 8 million payments weekly, with positive money flow and RSI indicators suggesting smart money accumulation. Yet, true institutional adoption remains the key to sustaining higher price levels and breaking out of the current trading range. Licensing Hurdles and What to Watch The process is rigorous and can be slowed by political, legal, or industry opposition Direct access to Fed payment rails would be a game-changer, but remains rare for crypto firms Any negative outcome could cap XRP’s upside, regardless of banking status Watch for whale activity and on-chain flows as price approaches resistance Ripple’s US bank license bid is more than a compliance move—it’s a high-stakes gamble that could redefine XRP’s future. Bulls see a path to $5 and beyond; skeptics warn of regulatory quicksand. As the OCC weighs its decision, all eyes are on the charts, the courtrooms, and the corridors of Washington.

2025-07-04 20:09

In a stunning week for crypto equities, Bitmine Immersion Technologies (BMNR) stole the headlines with a jaw-dropping 3,000% spike following news of a $250 million private placement to build an Ethereum (ETH) treasury. Bitmine official Twitter update on Q1 2025 revenue and mining capacity expansion: ”$BMNR reports a 135% revenue increase YOY for Q1 2025 and tripled self-mining capacity with 3,000 new miners!” This bold move from Bitcoin mining to an Ethereum-focused treasury strategy at the hands of Fundstrat's Tom Lee as new chairman has been drawing investors' eyes and sending Bitmine's stock from around $4.50 to over $135 in days. The surge is one of a broader crypto mining stocks rally throughout 2025, which as a group have outperformed Bitcoin and traditional assets. Crypto stocks have surged 119% year to date, with miners like Riot Platforms, Hive Digital, Hut 8, MARA Holdings, and Bitfarms posting double-digit returns of 13% to 28% in recent sessions, as per recent news. The rally has been driven by encouraging macroeconomic trends, such as the improved-than-expected U.S. job growth, which has supported risk-on mood in the equity markets. Ethereum Treasury Strategy: The Catalyst Behind Bitmine's Meteoric Rise Bitmine's devotion of its treasury nearly wholly to Ethereum is a strategic decision in accordance with growing institutional demand for ETH as a hold asset for reserve purposes. Its $250 million fundraise assembled crypto heavyweight investors in the guise of Founders Fund, Pantera Capital, Galaxy Digital, and Kraken. Bitmine is attempting to mimic MicroStrategy's Bitcoin treasury strategy but in Ethereum, claiming proxy status for public exposure to ETH. This move is part of a broader trend of companies placing Ethereum in their treasury strategies, driven by the rise in stablecoins, tokenization, and fresh DeFi use cases. Institutional ETH holding reached all-time highs, with wallets holding over 22 million ETH through June 2025, up 36% in one month. Mining Stocks vs. Bitcoin While Bitcoin mining stocks historically have tracked Bitcoin price action, 2025 has seen them beating Bitcoin itself, anticipating adoption and profitability optimism in digital assets. The VanEck Digital Transformation ETF, which tracks cryptocurrency-related companies including miners, has gained more than 20% year-to-date. Bitcoin's hashprice — the revenue miners earn per unit of computational capacity — also increased recently, rising nearly 10% to approximately $58 per PH/s/day, which indicates better mining economics with rising Bitcoin prices and network changes. The improvement adds validity to valuations of mining shares but also highlights the industry's underlying volatility. What Investors Should Watch While the euphoria grips, analysts are warning against caution. Bitmine's rally is a reminder of Sharplink Gaming's earlier spike and subsequent fall, whose shares also fell precipitously after insiders sold out. The speculative nature of crypto equities and the price volatility mean that investors must scrutinize fundamentals and market conditions before riding gains. This crypto mining stock rally, led by Bitmine's historic 3,000% jump, signals an active transformation in the manner in which mining companies and investors are queueing up for the emerging crypto market in 2025. While there may be vast upside potential, the whiplash volatility and speculation risks call for guardedly strategic approach as the sector keeps unfolding.

2025-07-04 19:33

The tokenization of real-world assets (RWAs) enters a new cycle of competition with Ondo Finance and Pantera Capital launching a $250 million Catalyst fund, Abu Dhabi listing the Middle East's first blockchain bond, and the UK and Singapore further deepening their regulatory partnership. With the RWA tokenization market valued at a record $24 billion—380% higher than in 2022—the traditional finance incumbents and crypto-native players are hot on the heels to grow from pilot programs to institutional-scale solutions. The Ondo's $250M Fuel for RWA Arms Race Ondo Finance, a leader in tokenized U.S. Treasuries, and Pantera Capital, one of the most prominent crypto VCs, have partnered up to introduce the Ondo Catalyst fund. The $250 million fund will invest in equity and tokens in protocols, platforms, and infrastructure underlying on-chain capital markets. ”We are seeing a bit of an arms race right now,” Ondo's chief strategy officer Ian De Bode said, referring to the influx of companies and exchanges diving into the tokenization market. The fund has a two-sided emphasis: Protocols & Platforms : Investing in DeFi protocols and developer platforms supporting tokenized RWAs. Infrastructure : Investing in custody, compliance, and interoperability infrastructure to bring tokenized assets more broadly and securely within reach. Pantera's strategic capital and extensive technical expertise are set to scale next-generation financial applications, optimizing utility, scalability, and adoption. ”Tokenization of traditional financial assets is the biggest change in infrastructure since electronic trading,” said Pantera's Paul Veradittakit. Abu Dhabi and the UK-Singapore Agreement: Bond Pilots Live Middle East is also setting history: First Abu Dhabi Bank (FAB) has issued the Middle East's first digital bond on HSBC's Orion platform, listing on the Abu Dhabi Securities Exchange (ADX). The blockchain-born bond, available to investors globally through Euroclear, Clearstream, and Hong Kong's CMU, demonstrates the speed of digital bonds in operations—faster settlement, reduced counterparty risk, and enhanced transparency. ADX CEO Abdulla Salem Alnuaimi called it a ”defining moment” paving the way for tokenized sukuk, green bonds, and real estate products. HSBC, the sole bookrunner and coordinator, says the move ”makes the promise of tokenization a reality for our region.” Meanwhile, the UK and Singapore reaffirmed their backing of Project Guardian, an initiative to test the reality of tokenized financial assets. The next phase will see greater collaboration with industry groups and efforts in cross-border trading via shared ledgers, reducing technical and regulatory barriers. Comparing Models Ondo Catalyst targets both equity and token investments, aiming for yields competitive with traditional finance but with 24/7 liquidity and programmable features. Ondo’s OUSG and USDY tokens already offer exposure to U.S. Treasuries, with nearly $1.4 billion in market cap. Abu Dhabi’s digital bond offers institutional-grade access, faster settlement, and is designed to attract global investors through established custody networks. UK-Singapore Project Guardian is all about interoperability, aiming to make investors seamlessly trade tokenized assets across borders. Middle East (Bahrain, Saudi Arabia, Kuwait) and Asian regulatory sandboxes are inducing innovation by facilitating fintechs to test tokenization solutions in real-world environments—balancing compliance with accelerated product development. Can Regulation Keep Pace With Investor Demand? While tokenization moves from pilots to competition, the regulatory landscape is changing fast. The U.S. is increasingly embracing tokenized securities, while the UK, Singapore, and Abu Dhabi are creating frameworks to draw in international capital. However, the pace of innovation is stretching rules to the limit, raising new issues around custody, secondary trading, and cross-border compliance. Industry leaders believe that regulatory clarity and robust infrastructure will be the enablers of unlocking trillions of tokenized assets. “At some point, the question is going to be, ‘Why would I hold my asset off-chain in a brokerage account?’” said Ondo’s De Bode. Bottom Line With $250 million of new capital, digital bonds are now in the Middle East, and cross-border regulatory deals, tokenization of physical assets is leaving pilot phases and entering a global race. With yields getting better, access, and infrastructure, the battle is on to see which models—and which markets—will define the next generation of tokenized finance.

2025-07-04 19:12

Senator Cynthia Lummis has unveiled a new legislative proposal aimed at updating the United States’ tax framework for digital assets, following the exclusion of crypto provisions from the latest federal budget. The move comes as a separate report from the US Treasury Inspector General highlights procedural failures within the IRS Criminal Investigation division regarding the seizure and custody of cryptocurrencies—further underscoring the need for clearer, more consistent federal policies on digital assets. Senator Cynthia Lummis Introduces Groundbreaking Crypto Tax Reform Bill Amid Frustrations Over Budget Bill Omissions US Senator Cynthia Lummis of Wyoming has unveiled a sweeping new draft bill aimed at modernizing the country’s outdated tax framework to accommodate digital assets, after lawmakers once again failed to include crypto-related provisions in the latest federal spending package. The standalone bill proposes a series of reforms long sought by digital asset investors, including a de minimis exemption for small transactions and tax deferrals on mining and staking rewards. The draft legislation, introduced Thursday, seeks to alleviate the mounting tax burden on everyday crypto users and blockchain innovators by carving out specific exemptions for common crypto-related activities. Among the bill’s headline proposals is a de minimis capital gains exemption of $300 per transaction, with a $5,000 annual limit, allowing users to make everyday purchases with crypto without triggering tax reporting obligations. In a statement accompanying the release, Senator Lummis said the bill was “groundbreaking” and designed to bring common sense and clarity to how digital asset activity is taxed in the United States. “This groundbreaking legislation is fully paid for, cuts through the bureaucratic red tape, and establishes common-sense rules that reflect how digital technologies function in the real world,” said Lummis . “We cannot allow our archaic tax policies to stifle American innovation. My legislation ensures Americans can participate in the digital economy without inadvertent tax violations.” Beyond the small transaction exemptions, the bill also proposes deferring taxes on mining and staking rewards until the earned digital assets are sold — a move that addresses long-standing complaints that the current tax code unfairly penalizes miners and proof-of-stake validators by treating newly minted tokens as immediate income. Lummis' bill would also exempt crypto lending agreements and digital assets donated to charity from taxation, aligning them more closely with traditional asset treatment. Currently, many crypto users risk facing tax obligations even when using or donating their assets in good faith — a disincentive that critics say hinders broader adoption and philanthropic use of blockchain-based wealth. A Solo Shot After Budget Disappointment The proposal represents Senator Lummis’ latest attempt to deliver on promises made to the cryptocurrency community after crypto-specific tax provisions were left out of the most recent Congressional budget negotiations. Despite bipartisan support for modernizing crypto regulations, the final budget bill moved forward without language addressing the treatment of digital assets. Without a legislative vehicle attached to broader government funding, Lummis’ standalone draft bill now becomes the most realistic path forward for immediate pro-crypto tax reform — but it faces an uphill battle in a deeply divided Senate. Still, industry advocates are applauding the move as a bold step in the right direction. The US crypto community has grown increasingly frustrated over what they describe as “double taxation” and inconsistent treatment of digital assets across jurisdictions and use cases. One of the most contentious issues revolves around decentralized finance (DeFi) protocols, which operate autonomously and without custodians. Under current interpretations of IRS guidance, users interacting with such protocols could be subject to the same reporting requirements as centralized platforms, despite the lack of a centralized counterparty. This has led to confusion and compliance challenges for retail and institutional users alike. Adding to the complexity, crypto earnings from staking, liquidity provision, or protocol participation can be taxed as income upon receipt, even if the user has not sold or realized any actual profit. In highly volatile markets, this tax timing can result in significant financial losses. DeFi Developers May See Regulatory Relief In a related development, members of the House Financial Services Committee recently proposed an amendment to the Digital Asset Market Clarity Act of 2025, aiming to exempt developers of decentralized protocols from being classified as money transmitters. This exemption would shield them from burdensome tax reporting rules that currently apply to centralized exchanges. If passed in conjunction with Lummis’ tax bill, the pair of reforms could mark a turning point in how the US treats decentralized platforms, potentially positioning the country as a friendlier jurisdiction for Web3 innovation. Meanwhile, Congressional leaders are scrambling to find a way to incorporate crypto provisions into the final version of the budget bill before it lands on President Donald Trump’s desk. With rising global competition — and more welcoming regulatory frameworks in the EU, UAE, and Hong Kong — pressure is building on US lawmakers to catch up. The crypto industry remains cautiously optimistic. While previous efforts have stalled or been watered down, Senator Lummis’ persistence, combined with growing bipartisan support for digital asset clarity, may finally move the needle. Outlook: A Defining Moment for US Crypto Policy? As the digital asset industry matures, calls for reasonable tax reform and regulatory clarity have grown louder — and more politically urgent. With trillions of dollars in value already flowing through blockchain networks and millions of Americans now holding crypto, the need for a modern tax framework has never been more acute. Senator Lummis’ bill represents a significant step forward, even if it faces procedural hurdles. At a time when innovation is global, many see her proposal as a chance for the US to retain its competitive edge in the digital economy. US Watchdog Criticizes IRS Over Mishandling of Seized Crypto Assets, Calls for Urgent Reforms In related news, a new report from the US Treasury Inspector General for Tax Administration (TIGTA) has revealed major shortcomings in how the Internal Revenue Service Criminal Investigation division (IRS-CI) manages the seizure and custody of digital assets, adding fuel to growing concerns over the federal government’s ability to securely and transparently handle crypto enforcement cases. The watchdog’s report , published Tuesday, highlights repeated failures by IRS-CI personnel to comply with established protocols for handling confiscated cryptocurrencies between December 2023 and January 2025. The findings raise red flags at a time when the federal government holds one of the largest cryptocurrency stockpiles in the world — estimated at over 200,000 Bitcoin, or more than $21 billion at current market prices. Missing Records and Lax Oversight According to TIGTA’s audit, IRS-CI agents failed to complete or update required seizure memorandums, which are meant to document key details of confiscated digital assets, including wallet addresses, transaction dates, and amounts. The absence of such documentation has left gaps in the official record and raised questions about transparency and accountability. The watchdog emphasized that this failure was not isolated to a single incident but represented a pattern of negligence over a 14-month period. TIGTA's evaluation identified several critical recommendations to fix the deficiencies — all of which were agreed to by IRS-CI leadership. These include: Ensuring IRS-CI personnel understand and adhere to seizure memorandum requirements. Establishing a robust inventory management system to accurately track seized digital assets by quantity, address, and type. Updating internal guidelines to include time frame requirements for preparing seizure memos and for timely updating the inventory system. These reforms, if implemented effectively, could mark a significant shift in how the federal government manages one of the most sensitive and valuable categories of criminally seized assets: cryptocurrency. The report comes at a pivotal moment in US crypto policy. Under President Donald Trump’s renewed term, the administration has revived discussions around establishing a national Bitcoin reserve using digital assets confiscated in criminal cases. While White House officials have floated the idea of converting these holdings into strategic digital reserves, others have proposed alternative acquisition methods, including imposing crypto tariffs or revaluing gold certificates. Regardless of the acquisition method, safe custody of digital assets is a prerequisite for such plans — making the IRS’ missteps particularly alarming. The Scale of Government Crypto Holdings Public interest in the government’s crypto holdings has surged as the value of Bitcoin and other digital assets continues to climb. Based on available data from major criminal seizures, the US government is believed to control approximately 200,000 BTC, although the exact amount may fluctuate with ongoing investigations and asset liquidations. Among the most notable cases: 94,000 BTC from the 2016 Bitfinex hack, seized in 2022. 50,000 BTC tied to the Silk Road darknet marketplace, recovered in separate operations. Other significant seizures from ransomware groups, darknet markets, and fraud schemes. While some of these holdings have been auctioned off in the past, the majority of high-profile Bitcoin seizures in recent years remain under government custody — a responsibility that now appears to be fraught with internal weaknesses.

2025-07-04 17:23