FCA issues new regulations for tokenized funds, paving the way for blockchain applications in the asset management sector
On May 01, the UK Financial Conduct Authority (FCA) released policy statement PS26/7, allowing tokenized funds to be included in the existing fund regulatory framework and supporting fund companies in maintaining investor records through distributed ledger technology (DLT) systems. The new rules allow on-chain transaction records to serve as the main ledger for fund unit transactions, but companies must develop corresponding resilience plans.
FCA has also introduced an optional Direct-to-Fund (D2F) model, where the fund or custodian acts directly as the investor’s counterparty to simplify the subscription and redemption process and adapt to on-chain settlement. The FCA stated that it will continue to evaluate the application of stablecoins, digital cash, and smart contracts in fund settlement and operations.
[TechFlow]
Exponent, a Solana ecosystem yield trading platform, has completed a $5.00 million seed funding round led by Multicoin Capital.
Solana-based yield trading platform Exponent Finance announced the completion of a $5.00 million seed round led by Multicoin Capital, with participation from Solana Ventures, RockawayX, L1D, Prelude, and Theia Blockchain, as well as several core figures in the Solana ecosystem as angel investors.
It is reported that this round of financing was launched in May last year and completed in August, bringing Exponent’s cumulative financing to $7.10 million.
Exponent stated that the funds will be used to expand its yield trading platform and upgrade it to a more complete on-chain yield infrastructure, covering the active yield management needs of the Solana ecosystem.
[The Block]
Ethereum Protocol Fellowship (EPF) Cohort 7 is now open for applications, with a deadline of May 13.
The Ethereum protocol support team has announced the launch of Ethereum Protocol Fellowship Cohort 7 (EPF7), and the application channel is now open, with a deadline of May 13.
The program aims to cultivate engineers who can participate in the core protocol development of Ethereum, focusing on the core attributes of the network, including censorship resistance, open source, privacy, and security, with a focus on client implementation, protocol specifications, testing, and cutting-edge research.
EPF7 will be adjusted to a “small-scale, high-density” model, reducing the number of participants to improve the depth of mentor guidance and the quality of project contributions, and to strengthen collaboration opportunities with core development teams. The project period for this phase is from June to November, and selected participants will receive guidance and support from the Ethereum core developer community, and some participants will also receive monthly funding to focus on protocol development work. The project goals include delivering long-term contributors to the Ethereum core R&D team and promoting substantial results for participants in client development and protocol research.
It is reported that the EPF team will hold an online briefing session on May 6 at 15:00 UTC to further introduce the project details and answer application-related questions.
[Odaily]
Crypto market structure bill expected to advance in May, ethical controversies and Trump’s interests pose obstacles.
PANews, May 1: Momentum is building for the U.S. Crypto Market Structure Bill in the Senate Banking Committee, with lawmakers aiming to hold a markup hearing by mid-May.
However, several controversies remain unresolved, including how to regulate stablecoin yields, ethics provisions, and how to address President Trump’s crypto-related financial interests. Senator Thom Tillis has urged Committee Chairman Tim Scott to move forward with the markup but stated he would oppose the bill if it lacks ethics provisions.
Senator Angela Alsobrooks emphasized that resolving illicit finance and ethics issues is essential to securing bipartisan support. Senator John Kennedy is currently withholding support for crypto legislation due to controversies surrounding the housing bill.
Committee Chairman Scott described the bill as now entering the “red zone” and expressed hope for a bipartisan markup in May, followed by a Senate floor vote in June or July.
[The Block]
Exponent completes $5.00M seed round, led by Multicoin Capital
Exponent Finance, a yield trading platform built on Solana, announced the completion of a $5 million seed funding round, led by Multicoin Capital, with participation from Solana Ventures, RockawayX, L1D, Prelude, and Theia Blockchain. Additionally, several key figures from the Solana ecosystem participated as angel investors.
This funding round was launched in May last year and closed in August, bringing Exponent’s total funding to $7.1 million. Exponent stated that the funds will be used to expand its yield trading platform.
[Foresight News]
Musk said in the OpenAI lawsuit trial that “most cryptocurrencies are scams,” once again drawing market attention.
During his trial against OpenAI, Musk stated, “Some cryptocurrencies have value, but most are scams.” This remark was made during cross-examination at the Oakland, California courthouse, where the case involved OpenAI’s early consideration of raising funds via an ICO.
In responding to related questions during the trial, Musk pointed out that the crypto asset space is rife with speculation and fraud, drawing market attention. Notably, Musk’s stance on the crypto market has long exhibited significant volatility: during the 2021 bull run, he spearheaded Tesla’s purchase of approximately $1.5 billion worth of Bitcoin and repeatedly mentioned Dogecoin publicly—driving substantial price increases in those assets.
However, Tesla sold off 75% of its Bitcoin holdings in 2022 and recorded an impairment charge of approximately $222 million on its remaining holdings in Q1 2026. As of its latest financial report, Tesla still holds approximately 11,509 Bitcoin, with a book value of roughly $786 million.
[ChainCatcher]
Musk had briefly supported OpenAI’s ICO proposal before changing his mind and withdrawing his support.
April 30th news, OpenAI announced in a previous document: In mid-January 2018, Elon Musk congratulated us on our successful fundraising and agreed that we should conduct an initial coin offering (ICO) to raise $10.00B—which would involve a for-profit subsidiary—and told us that we had solved the long-term funding problem.
However, by the end of January, he told us that he no longer supported ICOs (at that time we also lost confidence in ICOs) and believed that OpenAI was “doomed to fail relative to Google.”
Then in February 2018, Elon Musk determined that OpenAI could not raise enough funds. That month, he resigned and turned his attention to developing general artificial intelligence (AGI) at Tesla.
[PANews]
Tether Proposes Merger of Twenty-One Capital, Strike and Elektron Energy Into Publicly Traded Bitcoin Giant
Tether Investments proposed a triple merger involving Twenty-One Capital, Strike, and Elektron Energy to create a leading Bitcoin company.
The merger would combine significant Bitcoin holdings, financial services, and mining infrastructure under one public entity.
The U.S. Senate unanimously passed a resolution prohibiting senators from participating in prediction market trading.
On May 01, the U.S. Senate unanimously passed the S. Res. 708 resolution, effective immediately, which prohibits senators from trading in prediction markets. The resolution was introduced by Senator Bernie Moreno and is aimed at preventing insider trading.
Previously, a Polymarket account suspected of using insider information to bet on the ouster of Venezuelan President Maduro and profiting $400,000 led to the arrest of active-duty soldier Gannon Ken Van Dyke, who currently denies the allegations.
Kalshi founder Tarek Mansour and Polymarket have both publicly expressed support for the resolution. Polymarket stated that its platform rules already prohibit such activities and that it will actively cooperate to promote the legislative process.
[TechFlow]
Arbitrum DAO has launched a vote to release 30,766 ETH for post-attack remediation following the Kelp incident.
The Arbitrum DAO has initiated a governance vote to release 30,766 ETH—previously frozen—to support the DeFi United post-attack remediation plan following the Kelp DAO incident.
This portion of assets was frozen by the Arbitrum Security Council on April 20 and is valued at approximately $71.1 million; it originally consisted of funds transferred into the Arbitrum network by the attacker. If the proposal passes, it will represent the largest single funding commitment under the DeFi United initiative.
In the early stages of voting, 16.9 million ARB tokens have already voted in favor of the proposal, with no opposing votes recorded so far. Voting will remain open until May 7.
[Odaily]
US President Trump: Iran is eager to reach a deal, Iran cannot have nuclear weapons
US President Trump: Iran is eager to reach a deal. Iran cannot possess nuclear weapons.
[Odaily]
Anchorage Digital Partners with M0 to Expand Compliant Stablecoin Issuance Platform
On April 30, according to CoinDesk, Anchorage Digital—a crypto custodial bank holding a U.S. federal charter—has partnered with M0, a stablecoin infrastructure project, which will serve as Anchorage’s core technology provider to support institutions in issuing and managing U.S.-regulated stablecoins.
Anchorage will leverage M0’s modular stablecoin protocol to offer custodial and issuance engines to crypto projects, payment institutions, exchanges, and other entities seeking to launch compliant stablecoins. M0 has already provided configurable stablecoin minting capabilities to institutions including Stripe, Moonpay, and MetaMask.
The report notes that with the implementation of the GENIUS Act, U.S. stablecoins are becoming regulated financial instruments, and this collaboration deepens integration within a compliance framework.
[PANews]
Today, U.S. Bitcoin ETFs saw a net outflow of 1,725 BTC, and Ethereum ETFs saw a net outflow of 41,275 ETH.
According to Lookonchain monitoring, today the U.S. Bitcoin ETF saw a net outflow of 1,725 BTC, while the Ethereum ETF experienced a net outflow of 41,275 ETH.
Meanwhile, the Solana ETF recorded a net inflow of 1,465 SOL.
[Odaily Planet Daily News]
Coinbase delays the launch of Wrapped Ronin (WRON) spot trading
On May 01, according to official news, the spot trading launch of Coinbase Wrapped Ronin (WRON) has been delayed. The specific opening time for the WRON-USD trading pair will be announced at a later date.
Previously, Coinbase stated that if liquidity conditions were met, it would open the WRON-USD trading pair after 00:00 Beijing time on May 1.
[TechFlow]
U.S. AI Child Safety Bill Gains Support from Senate Panel, Impacting Tech Giants
A powerful committee in the U.S. Senate has backed legislation requiring OpenAI, Meta Platforms (META.O), and other AI companies to block minors from using AI chatbots, responding to growing public concern over the harms this rapidly spreading technology poses to children and adolescents.
In the ideologically polarized Senate Judiciary Committee, Republicans and Democrats have crossed party lines to unanimously support this bill.
The bill would require AI companies to maintain rigorous age-verification systems, prohibit providing AI companion services to minors, and ban chatbots from推送 harmful content to minors.
[Jin10]
Musk had briefly supported OpenAI’s ICO proposal before changing his mind and withdrawing his support.
April 30th news, OpenAI announced in a previous document: In mid-January 2018, Elon Musk congratulated us on the success of our fundraising and agreed that we should conduct an initial coin offering (ICO) to raise $10.00B—which would involve a for-profit subsidiary—and told us that we had solved the long-term funding problem.
However, by the end of January, he told us that he no longer supported ICOs (at that time we also lost confidence in ICOs) and believed that OpenAI was “doomed to fail relative to Google.”
Then in February 2018, Elon Musk determined that OpenAI could not raise enough funds. That month, he resigned and turned his attention to developing general artificial intelligence (AGI) at Tesla.
[PANews]
Benchmark strongly supports Strategy STRC model: It is not circular financing, but a long-term Bitcoin funding engine.
The financing model centered around Strategy—using preferred shares (STRC) to continuously accumulate Bitcoin—is fueling growing market divergence. In its latest report, Benchmark analyst Mark Palmer stated that the external interpretation of the STRC model as a “circular funding or Ponzi structure” constitutes a “serious misreading,” emphasizing instead that the mechanism is an “intentionally designed and sustainable capital framework,” whose core logic is to convert market demand for returns into long-term Bitcoin exposure.
According to the SEC Form 8-K filing, Strategy raised approximately $3.5 billion in the first three weeks of April, with over 85% coming from STRC issuances. It then purchased a total of 51,364 Bitcoins across three consecutive buys in the following three weeks, valued at roughly $3.9 billion. Strategy’s Bitcoin holdings have now increased to 818,334 BTC, with a market value of approximately $62.5 billion, and it has recently returned to a paper profit of about $700 million.
Benchmark contends that this structure does not rely on continuous issuance to remain operational; if necessary, it could even pay preferred-share dividends by selling a portion of its Bitcoin holdings. However, significant skepticism remains in the market: some observers argue that selling Bitcoin-financed assets to cover dividend payments could be perceived as a risk signal, potentially triggering broader market stress.
[The Block]
Bubblemaps: 8,360 addresses received the MEGA token airdrop, and 40% have sold all of them.
On-chain analytics platform Bubblemaps published the latest data on X, showing that the MEGA airdrop covered a total of 8,360 wallet addresses, with the following distribution:
50% of wallets still hold all airdropped tokens; 40% have sold all of them; and 10% have partially sold.
MEGA’s current fully diluted valuation (FDV) is approximately $1.7 billion.
[Odaily]
Trump: Doesn’t care if Powell stays on the board
U.S. President Donald Trump stated that he wouldn’t care even if Powell remained as a governor after his term as Federal Reserve Chairman ends. Powell’s term as Federal Reserve Chairman will end on May 15, but his term as a governor will not expire until 2028, and he has stated that he intends to “continue to serve as a governor for an indefinite period.”
On the other hand, Kevin Warsh is expected to be approved by the full Senate before Powell’s term ends, and Powell’s continued tenure could complicate Trump’s efforts to reshape the Federal Reserve.
When asked if he was prepared to take any action regarding Powell’s decision to continue serving as a governor, Trump replied, “No, I don’t care if he stays. I just want to make sure Kevin can take the position.”
[Odaily]
Trump said he might need to break the Iran ceasefire agreement.
U.S. President Trump commented on the status of negotiations with Iran but refused to rule out the possibility that hostile actions might continue.
When asked by reporters whether he was “eager to break the ceasefire agreement,” Trump stated that negotiations with Iran faced numerous challenges due to Tehran’s “intransigence,” adding that “nobody knows who their leaders are.” Returning to the original question, he concluded, “I don’t know if we need to do that”; yet he added, “We might indeed need to.”
Trump also called the blockade of the Strait of Hormuz “unbelievable” and claimed that Washington had “destroyed” Iran’s nuclear capabilities.
[Golden Ten]
Today’s Market Pulse
Today’s crypto market is characterized by significant regulatory progress in both the UK and US, coupled with divergent capital flows across major blockchain ecosystems and continued influence from high-profile figures like Elon Musk.
Key Themes
1. Regulatory Tailwinds Build
The UK FCA has issued new regulations for tokenized funds, allowing blockchain technology to be used for fund record-keeping and introducing a Direct-to-Fund model. Simultaneously, the US Crypto Market Structure Bill advances toward a markup hearing in mid-May, though faces ethical controversies and Trump’s financial interests as obstacles. The Senate also passed a resolution banning prediction market trading, signaling increasing regulatory scrutiny.
Why it matters: These developments represent institutional acceptance of blockchain technology in traditional finance while establishing clearer regulatory boundaries for crypto assets and related activities.
Near-term implication: We may see accelerated institutional adoption of tokenized products in the UK, while US regulatory clarity could come by mid-summer, though with potential carveouts for certain stakeholders.
2. Divergent Capital Flows
Bitcoin and Ethereum ETFs saw net outflows today (1,725 BTC and 41,275 ETH respectively), while Solana ETF experienced inflows (1,465 SOL). Meanwhile, Exponent Finance completed a $5M seed round for its Solana-based yield platform, and the STRC Bitcoin accumulation model faces skepticism despite raising $3.5B in three weeks.
Why it matters: Capital is flowing toward more specialized yield opportunities and smaller ecosystems, suggesting investors are diversifying beyond established Layer 1 blockchains.
Near-term implication: This divergence may continue as investors seek yield beyond traditional staking options, potentially leading to more sophisticated yield products emerging across different blockchain ecosystems.
3. Ecosystem Consolidation
Tether proposed a merger of Twenty-One Capital, Strike, and Elektron Energy to create a publicly traded Bitcoin giant, while Arbitrum DAO voted to release $71M in ETH for post-attack remediation. Anchorage Digital partnered with M0 to expand compliant stablecoin issuance.
Why it matters: These moves signal maturation of the crypto ecosystem, with increased focus on compliance, security, and consolidation of specialized services into larger platforms.
Near-term implication: We may see more mergers and acquisitions as the industry matures, with greater emphasis on regulatory compliance and security infrastructure.
RichSilo Verdict
Smart money should watch the US Crypto Market Structure Bill’s progress through mid-May as a potential catalyst for market direction. The FCA’s tokenized fund regulations may present near-term opportunities for traditional asset managers entering the crypto space. Meanwhile, Elon Musk’s continued influence on market sentiment warrants monitoring, particularly as his Tesla still holds significant Bitcoin positions. The divergence in ETF flows suggests a reallocation strategy among institutional investors that may continue, with Solana emerging as an alternative ecosystem for yield-focused products.
