Crypto Regulation Meets Institutional Adoption (2026-06-09)

CZ: Bitcoin won’t “die” for too long

CZ posted on X: “Bitcoin doesn’t ‘die’ for too long. Don’t panic.”

[ChainCatcher]

EU orders Meta to restore WhatsApp access for rival AI chatbots

EU antitrust regulators have ordered Meta to give rival AI chatbots free access to WhatsApp during an active competition probe. The European Commission said Meta must maintain access while Brussels investigates its policy toward competing AI assistants.

The interim measure follows complaints from three AI companies and targets Meta’s October 2025 access change. The European Commission issued the interim measure on Tuesday against Meta Platforms. It represents the Commission’s first interim measure in an antitrust case in 17 years.

The order followed complaints from The Interaction Company, French AI startup Agentik, and a Spanish rival. The Interaction Company, based in California, develops the Poke.com AI assistant. The EU opened its investigation in December after Meta restricted rival AI providers from WhatsApp. The probe examines whether Meta abused market power by blocking competitors from the messaging app.

“Today, we require Meta to restore access to WhatsApp for competing AI assistants,” Teresa Ribera said. Ribera serves as the EU antitrust commissioner and oversees competition enforcement. The Commission said the measure will prevent serious harm to competition during the probe. It said Meta’s conduct appears to infringe EU competition rules at an early stage.

The EU warned Meta in February that interim measures could follow without restored access. Meta later introduced an access fee for rival AI assistant providers. Brussels rejected that proposal in April and called it unsatisfactory. The Commission said the fee was, at first sight, equivalent to the earlier access ban.

The EU wants Meta to restore third-party access under the same conditions used before October 2025. According to the Commission, Meta’s policy change effectively barred rival AI assistants from WhatsApp. Traditional antitrust cases can take years before regulators issue final decisions.

European officials argue that late fines may fail to address damage already done. The Commission said Meta must comply with the interim measure while the investigation continues. Brussels has not set a legal deadline for the probe’s completion.

The Commission said Meta could face fines if it breaches the interim order. The penalty could reach 10% of Meta’s total turnover from the prior business year. The fine would apply if Meta intentionally or negligently violated the decision. The Commission said it has the authority to impose penalties under EU competition rules.

Brussels described an urgent need to protect the market for general-purpose AI assistants. It said smaller players and new entrants need fair access to compete with large platforms. Meta has faced several EU enforcement actions in recent years.

In April, EU regulators said Meta failed to keep under-13 users off Facebook and Instagram. Regulators also continue to examine Meta’s protections for users’ physical and mental well-being. The same probe covers the design of Facebook and Instagram under digital content rules. Meta has appealed a 200 million euro fine issued under the Digital Markets Act. Apple also criticized the DMA on Monday over its delayed rollout of an AI-enhanced Siri.

AI-related stocks continue to decline, and SK Hynix briefly fell more than 10%.

According to MSX.COM data, AI-related stocks continued to decline, with SK Hynix dropping over 10% in the short term, Marvell (MRVL) falling over 7.47%, and ARM dropping over 5.64%.

Dell (DELL) fell over 4.04%, Micron (MU) dropped over 8% in the short term, and Corning (CBRS) fell over 10% in the short term.

[Odaily]

StarkWare launches privacy tokens that still allow compliance checks

StarkWare has launched a new privacy framework for Starknet tokens that allows users to conceal balances and transaction details while preserving tools for compliance reviews and regulatory disclosures. The newly released STRK20 standard brings privacy features to ERC-20 tokens on Starknet by enabling users to shield balances and transaction information on-chain.

The framework was announced on Tuesday as developers across the crypto industry continue looking for ways to offer transaction privacy without removing oversight mechanisms relied upon by institutions, exchanges, and regulators. STRK20s is officially live. Practical privacy for all assets, accessible in one click, with deep DeFi integration. We’re fixing onchain privacy for good, and for everyone. https://t.co/5eEG011zBz

Providing details on how the system works, StarkWare co-founder and CEO Eli Ben-Sasson notes that STRK20 should not be viewed as a guarantee of regulatory approval or legal compliance. Instead, he said the framework follows a risk-based approach where privacy remains conditional. Ben-Sasson explained that screening occurs before assets enter shielded pools and that viewing-key technology can be used to disclose information when lawful requests require access.

Unlike traditional privacy-focused cryptocurrencies that seek to obscure most transaction data, STRK20 introduces disclosure tools designed to balance confidentiality with accountability. Under the model described by StarkWare, transaction details remain hidden from the public while authorized disclosure remains possible under specific circumstances.

Elsewhere in the sector, developers are adopting similar approaches to encrypted transactions. According to an announcement published on June 8, Sui opened public testing for confidential transfers on its Devnet. The feature encrypts token balances and transfer amounts while leaving sender and recipient addresses, token types, and transaction timestamps visible on-chain. As reported by crypto.news, Sui stated that authorized parties can access relevant data when required for auditing or compliance purposes. A Testnet rollout is scheduled for later this year.

Rather than removing transparency entirely, the Sui design keeps selected transaction information visible while concealing financial details. The network described the system as a way to support privacy requirements without limiting access for compliance teams and auditors. Taken together, the launches from StarkWare and Sui highlight how blockchain developers are increasingly incorporating controlled disclosure features into privacy products instead of relying on complete anonymity.

At the same time, several privacy-focused projects have recently faced scrutiny over compliance and operational safeguards. Earlier this month, blockchain privacy company Zama said it would speed up work on its compliance roadmap after approximately $12.5 million in USDC held within its confidential USDC wrapper was frozen under a court order. According to Zama, the restriction was later removed once the underlying legal request was resolved. Following the incident, the company highlighted disclosure tools and regulatory coordination procedures available for encrypted transactions.

Meanwhile, developers behind Zcash recently disclosed a vulnerability that raised concerns about the possible creation of counterfeit tokens. According to the project, an emergency network upgrade completed in early June addressed the issue, and no evidence of exploitation has been found. Zcash developers noted that reconstructing historical activity inside shielded pools can be difficult after vulnerabilities are disclosed, a limitation that has renewed discussion around how privacy systems can provide confidentiality while still supporting verification and oversight when needed.

[StarkWare]

TradFi plans to deploy $650 million in on-chain private credit with W3 over the next four years.

Trad.Fi, an institution focused on providing loans to companies purchasing heavy equipment, is partnering with enterprise AI agent developer W3 to deploy $650 million in on-chain private credit on Avalanche within the next 48 months.

The project targets the U.S. equipment distribution industry, with a focus on manufacturing systems, industrial electrical infrastructure, and residential solar installations. Trad.Fi leverages AI for risk assessment, due diligence, and loan pricing, aiming to shorten the financing process—which typically takes small and medium-sized enterprises (SMEs) several months—down to one day.

[Foresight News]

SpaceX’s IPO is reportedly oversubscribed several times over.

June 9th news, according to informed sources, as SpaceX’s listing date approaches, its initial public offering has attracted subscription demand from institutional investors several times the number of available shares.

Sources said that the lead underwriters for this IPO informed investors early Tuesday morning that subscription demand further increased through meetings with management. These individuals stated that the number of stock subscription orders has continued to increase since Monday.

Some informed sources said that the underwriting banks have indicated that the allocation for institutional investors in this offering will mainly focus on large pure long-only investment management firms. According to foreign media reports, several institutional investors have each placed orders to subscribe for approximately $10.00 billion or more in shares.

[PANews]

Adam Back Warns of Bitcoin Fork Risk Over New Proposal: ‘Fork Off and Find Out’

Blockstream CEO Adam Back dismissed BIP-110 on June 8, calling it technically flawed. He warned that forcing its activation could split Bitcoin into a minority fork. Back’s remarks came as BIP-110 momentum reached a flashpoint in early June. The proposal would restrict non-monetary data in Bitcoin transactions through a user-activated soft fork (UASF), bypassing miner consensus.

Back argued that the proposal fails on both technical and ecosystem grounds. He contrasted BIP-110 sharply with SegWit, which secured broad developer and ecosystem support. A late-stage disruption affected SegWit’s activation, but consensus had already formed, he said. SegWit was activated in 2017 after years of coordination among miners, developers, and node operators. BIP-110 supporters have drawn parallels to that process, but Back rejected the comparison.

Back also dismissed the spam-reduction argument central to BIP-110’s case. Proponents claim the proposal would clean up the Bitcoin (BTC) network, but Back said it simply would not work. Michael Saylor separately flagged BIP-110 as a protocol threat. He called it Bitcoin’s biggest self-inflicted risk.

Back left little ambiguity about the outcome he expects. He said forcing a user-activated soft fork through without genuine ecosystem backing produces a minority chain, not a real upgrade. Critics have also accused BIP-110’s lead proponent of misrepresenting past events. Back posted a cat sitting in a blue-tape square. The label read “DEFAULT OP_RETURN LIMIT.” He captioned it “the 110 contentious fork in a nutshell.” The image captured his view that BIP-110 enforces a boundary that Bitcoin’s consensus process does not recognize. He has laid out his broader thesis in his Bitcoin treasury arbitrage piece, linking sound money principles to long-term asset value.

Despite the protocol dispute, Back retained his bullish stance on Bitcoin. On June 9, he identified “the bitcoin permabulls” as those still fully committed to BTC when asked about market sentiment. His bitcoin investment strategy centers on long-term sound money fundamentals, a position the BIP-110 debate highlights rather than undermines. BIP-110’s activation window narrows over the coming months. Node support sits at low single-digit levels. Whether those shifts will determine if Back’s minority fork scenario becomes real.

“1011 Insider Whale” went long approximately $12.00 million ZEC at an average price of $460.00

According to on-chain data, “1011 insider whale” opened a ZEC long position worth approximately $12.00 million USD at an average price of $460 USD.

The current position size is approximately 26,100 ZEC, with an unrealized profit of approximately $60,000.00 USD.

[Odaily]

Trump Family Cashes in $2.3 Billion from Crypto Empire, While Investors get Crushed

The Trump crypto empire generated estimated profits of $2.3 billion as affiliated projects expanded across digital assets and attracted significant investor participation. At the same time, losses reported among outside buyers reignited debate about risk, influence, and accountability in crypto.

The Trump crypto empire developed around a strategy that combined political visibility, brand licensing, and rapid expansion into digital assets. Unlike traditional business models, several ventures required little direct capital while creating large financial upside.

The largest contributor was World Liberty Financial, the family’s flagship decentralized finance project. The structure reportedly granted Trump-linked entities a 75% percent share of token sale proceeds. World Liberty Financial raised approximately $1.4 billion through the sale of 30 billion governance tokens. After expenses, estimates suggest nearly $987 million flowed to the family. Additional sales involving roughly three billion more tokens may have pushed total proceeds above $1.4 billion. Analysts cited by Reuters noted that early token sales and exchange activity were unusual for a project at that stage, raising questions about insider selling patterns.

The second major source was the TRUMP meme coin. Blockchain analysis estimated total sales at roughly $1.2 billion. Based on estimated allocations and marketing influence, family-related proceeds may have reached approximately $616 million.

Two additional public market vehicles expanded the ecosystem. ALT5 Sigma, later renamed AI Financial Corp., reportedly purchased more than $700 million in World Liberty Financial tokens, directing over $500 million toward Trump-linked entities. American Bitcoin became another contributor; Trump family members reportedly received ownership stakes without direct purchase costs. By late April, Eric Trump’s position alone was valued at more than $70 million. Another report also reveals that the Trump Family’s gains outperform major industry players, including Coinbase ($2.1 billion), IREN Ltd., and BlackRock, while far exceeding those posting losses, such as Galaxy Digital.

While profits expanded rapidly, investor outcomes moved in the opposite direction: World Liberty Financial buyers accumulated estimated losses approaching $674 million. A significant portion of early holdings remained restricted, resulting in accounting values close to zero until unlock periods.

TRUMP meme coin investors also suffered substantial declines. Buyers entered aggressively during peaks that reached approximately $75 per token. By late April, the token traded near $2.38, contributing to estimated investor losses of more than $700 million. While early large traders captured gains, many smaller participants remained exposed to the downside.

Public companies connected to the ecosystem also declined sharply. ALT5 Sigma fell from more than $9 to approximately $75 cents. American Bitcoin dropped from around $11 to near $1.15 by late April. Combined investor losses across those vehicles exceeded $875 million.

Supporters describe the strategy as efficient entrepreneurship supported by disclosed risks. Critics argue that the timing, influence, and regulatory environment raise broader questions about conflicts of interest. Regardless of interpretation, the Trump crypto ventures illustrate how political reach, media attention, and digital assets can generate extraordinary outcomes for both winners and losers.

Warren calls weakened CFTC a ‘recipe for disaster’ as Congress advances crypto legislation

Senator Elizabeth Warren pressed Commodity Futures Trading Commission Chair Michael Selig over whether the agency is equipped to take on a larger role in regulating crypto and prediction markets as Congress advances legislation that would expand its authority.

In a letter sent to Selig on Friday, Warren argued that staffing cuts, declining enforcement activity and growing influence over the agency have left it weakened and stretched too thin to effectively police crypto and prediction market firms simultaneously. “A CFTC with fewer staff members, reduced enforcement activity, and expanded responsibilities is a recipe for disaster,” Warren wrote.

Warren cited reports that the CFTC’s workforce has shrunk by around 25% and pointed to a major decline in enforcement actions since President Donald Trump took office. She also criticized how the agency has handled recent cases involving high-profile crypto and prediction market firms.

Among these was the CFTC’s decision to join Gemini’s request to vacate a judgment from a 2022 case that alleged the exchange made “false or misleading statements” to the CFTC in 2017 about the risk of manipulation in its bitcoin futures contract. Last month, the agency ultimately concluded that the complaint against Gemini “should not have been filed” and would not meet enforcement standards as they stand today.

Warren also cited recent reporting that officials who tried to raise concerns about companies, including Polymarket and Crypto.com, were pushed out of the agency. Selig maintains that prediction markets and event contracts fall under the CFTC’s “exclusive jurisdiction,” while several states have argued the platforms violate their local gambling laws. This has even led to the CFTC suing multiple states that tried to ban prediction market platforms from operating.

Warren concluded the letter with requests for records related to staff reassignments, communications with prediction market firms and contacts between the CFTC and crypto industry participants regarding the Clarity Act.

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© 2026 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

‘Third leg of the stool:’ House lawmakers set to debate crypto tax bills as questions still loom

Lawmakers are set to debate several cryptocurrency tax bills Tuesday afternoon amid growing questions over how tax rules should apply to digital assets and whether the measures can attract bipartisan support.

The House Ways and Means Committee, the primary tax-writing panel in the House, is set to hold a hearing at 2 p.m. ET to discuss a slew of crypto bills — from language that would create a cap for when assets would be taxable to clarifying how taxes apply to staking and mining.

The hearing comes as Senate lawmakers grapple with how to advance the Clarity Act, legislation that would establish the first comprehensive federal framework for regulating the cryptocurrency industry. It follows last year’s enactment of a federal stablecoin bill, with regulators now working to implement its provisions.

Alison Mangiero, senior director of the staking coalition and industry affairs at the Crypto Council for Innovation, called tax policy the “third leg of the stool.” “You can have stablecoin policy, you can have the Clarity Act pass, but without tax policy that recognizes digital assets as kind of an essential pillar, then the other two fall apart,” Mangiero said in an interview with The Block.

Since last week, seven crypto tax bills have been introduced by Republican lawmakers in the tax committee. One bill sets tax limits on smaller crypto transactions, another defers taxation for mining and staking until the assets are sold, and a separate bill extends wash sale rules to cryptocurrencies. “The idea across the board is parity and trying to apply long-standing tax rules to this new asset class that is used in other asset classes,” Mangiero said.

There is also a bill focused on charitable donations, which would apply the same rules to digital assets as it does for other assets, such as stocks, Mangiero said. The crypto industry has been pushing for staking rewards to be taxed when they are sold, not when they are created. One of the new bills creates a sort of elective process where people can choose to either pay taxes at the time of sale or at the time of receipt, and does not have a time limit, Mangiero said.

This week, Democratic Rep. Steven Horsford, who has been working on crypto tax legislation, brought forth an amendment that would set a time limit of up to five years. Horsford also filed an amendment on charitable donations. Both are likely to be discussed during the hearing.

Horsford has said he won’t support the tax bills until his Republican counterparts make changes, voicing concerns around validation rewards and charitable giving, which he is working to solve ahead of Tuesday’s hearing.

Ahead of the hearing, concerns around applying wash sale rules to crypto have come up — an IRS rule that prevents people from claiming a tax deduction if they see an asset at a loss and then buy an identical investment within a certain time. Coin Center Communications Director Neeraj Agrawal called them “unworkable.” “Congress wants to extend wash-sale rules to crypto,” Agrawal said in a post on X. “Doing so would make everyday crypto use, DeFi, and multi-wallet tracking nearly unworkable.”

In prepared testimony for Tuesday’s hearing, Coin Center Director of Policy Jason Somensatto said applying wash sale rules would “significantly increase compliance burdens while providing limited tax-administration benefits in the context of crypto networks.” Overall, Somensatto, who will testify during the hearing, said that current tax rules focus on how intermediaries work and how they can report and track users, which doesn’t apply to crypto.

“What may feel to a user like sending a simple electronic payment, using an app on their phone, or even playing a video game and receiving a reward can trigger tax consequences that require substantial recordkeeping and analysis,” Somensatto said in his testimony. “The result is a compliance burden that is often out of proportion to the amount of tax at stake and what we would expect of individual taxpayers in similar scenarios.”

Bank groups like the American Bankers Association also voiced their own concerns on Tuesday. In a post, ABA Senior Vice President for Fiscal Policy, Joey Connor, criticized the bills giving cryptocurrencies a “significant advantage” over other assets, citing the bills’ treatment of staking, mining, and yields. “At its core, the question is simple,” Connor said. “If two investments generate similar returns, should one be taxed annually while the other is taxed only when the investor decides? Departing from the key principle of tax parity would not clarify the rules. It would tilt the playing field across the financial system with significant implications.”

The hearing could forecast Democratic support and messaging, sources told The Block. The bills could be included in a third reconciliation bill — legislation that needs a simple majority to pass, with certain rules around what is included. That may not pass this year, so Democratic support for the tax bills is important if Democrats take control of the House next year, a crypto industry source said. Midterm elections are in November.

Tax experts, including Coinbase Vice President of Tax Lawrence Zlatkin, Fidelity Investments Vice President and Senior Tax Counsel Sarah Reilly, Coin Center Director of Policy Jason Somensatto, and Deputy Director of the Tax Law Center at NYU Law Mike Kaercher, will testify at Tuesday’s hearing.

[The Block]

Databricks is in talks for a new funding round, targeting a valuation of over $165.00 billion

On June 9, data analytics and AI software company Databricks is in discussions with investors for a new funding round, targeting a valuation range of approximately $165 billion to $175 billion. This funding round could launch as early as next month.

Earlier this year, Databricks completed a funding round of approximately $5 billion at a valuation of about $134 billion. The company stated its revenue run rate has exceeded $5.4 billion, a year-over-year increase of 65%.

Citing sources, the report indicated that CEO Ali Ghodsi told investors the company still plans for an IPO, which could be advanced as early as next year.

[PANews]

Spot gold fell to $4,300 per ounce, and spot silver dropped by 3.5%.

According to Gate data, spot gold fell to $4,300 per ounce, down 0.69% on the day.

Spot silver fell by 3.5%.

[Odaily]

Six draft cryptocurrency tax bills released by Republican members of the U.S. House Committee on Ways and Means

June 9th news, according to Eleanor Terrett, Republicans on the U.S. House Ways and Means Committee today released six separate bills and a discussion draft ahead of a crypto tax hearing.

These bills focus on crypto donations, mining and staking taxation, reporting requirements, tax treatment consistency, voluntary disclosure, and applying existing anti-tax avoidance rules to the digital asset space; the discussion draft addresses offshore crypto tax avoidance arrangements.

[PANews]

The U.S. House of Representatives has introduced several bills aimed at adjusting cryptocurrency taxation.

According to crypto reporter Eleanor Terrett, Republicans on the House Ways and Means Committee have introduced six separate bills and a discussion draft.

The bills address tax treatment of crypto donations, mining and staking, reporting requirements, tax parity, voluntary disclosures, and the application of existing anti-tax avoidance rules to digital assets. The discussion draft targets the use of offshore crypto tax havens.

[Foresight News]

WTI crude oil futures fell 5%, international oil prices continued to decline

According to Gate data, international oil prices continue to decline. WTI crude oil futures fell 5% to $86.747 per barrel, while Brent crude oil futures fell 4.33% to $90.169 per barrel.

Domestic SC crude oil futures main contract fell 3.85% to 564 yuan/barrel.

[Odaily Planet Daily]

Anthropic plans to launch a new model, Claude Fable, priced at approximately twice that of Opus.

June 9th news, according to The Information, Anthropic plans to release its next-generation safeguarded Mythos-class model, Claude Fable, later today (US time).

The model is priced at approximately 2 times that of Claude Opus, while the initial pricing for the Mythos series was previously 5 times that of Opus.

[PANews]

Paradigm challenges FDIC over controversial stablecoin yield ban

Crypto investment firm Paradigm has urged the U.S. Federal Deposit Insurance Corporation to remove provisions from its proposed stablecoin framework that could restrict third-party firms from offering rewards tied to stablecoins. In a comment letter submitted to the FDIC, Paradigm argued that the agency’s interpretation of the GENIUS Act goes beyond the law approved by Congress.

The firm stated that while the legislation bars stablecoin issuers from paying yield directly to holders, it does not prohibit independent third parties from distributing rewards linked to stablecoin activity. “Nothing in the statutory text can be read to expand the yield prohibition to ‘related third parties’ or to authorize an agency’s presumption that the yield prohibition reaches those entities.” Paradigm said the FDIC should withdraw what it described as an expansion of the statute or align its approach with proposals already put forward by the Office of the Comptroller of the Currency and the National Credit Union Administration. The firm also asked the regulator to establish an enforcement cure period that would protect compliant issuers from unintended violations.

The dispute comes as lawmakers continue work on the CLARITY Act, a separate crypto market structure bill that preserves activity-based stablecoin rewards offered by third-party companies such as exchanges. Several digital asset firms, including Ripple and Coinbase, have recently called on Congress to advance the legislation to a floor vote.

Within its filing, Paradigm pointed to the legislative history of the GENIUS Act and argued that Congress had already considered and declined proposals that would have extended restrictions on stablecoin rewards to outside firms. According to the company, nothing in the law authorizes the FDIC to presume that third-party reward programs violate the statute. Paradigm stated that lawmakers deliberately limited the prohibition to stablecoin issuers rather than distributors or other service providers.

Part of the disagreement centers on how stablecoins are distributed through the crypto ecosystem. Activity-based rewards have become common among exchanges and fintech platforms that use stablecoins for payments, transfers, or customer incentive programs. Earlier feedback submitted by Consensys raised similar concerns. In a separate filing reported by crypto.news, the blockchain software company argued that parts of the FDIC proposal could capture ordinary commercial arrangements involving distribution partners and brand licensing agreements. Consensys also cited legislative discussions surrounding the GENIUS Act, stating that lawmakers ultimately abandoned efforts to extend remuneration restrictions to third parties.

Beyond the yield issue, Paradigm challenged several operational requirements contained in the FDIC proposal. The company urged the agency to preserve white-label stablecoin arrangements, arguing that requiring separate reserve pools, accounts, and compliance systems for every branded stablecoin would create unnecessary burdens. Instead, Paradigm recommended allowing subledgering practices similar to those proposed by the OCC. Recognition of tokenized reserve assets formed another part of the firm’s submission. Paradigm asked the FDIC to follow the OCC’s approach and formally accommodate such assets within the regulatory framework.

Reporting requirements also drew criticism. According to Paradigm, weekly supervisory reports would impose high fixed costs on issuers. The firm recommended monthly reporting and asked regulators to define reporting categories directly in the rule text rather than through forms that could later be revised without public consultation. Questions about how failed institutions would be handled under the GENIUS Act remain unresolved as well. Paradigm stated that the law does not clearly identify which agency would oversee the resolution of a national trust bank, prompting the company to request additional guidance from the FDIC.

Paradigm joins a growing list of industry participants weighing in on the proposed rules. Alongside Consensys, USDC issuer Circle has also submitted comments, urging regulators to clearly distinguish payment stablecoins from tokenized bank deposits.