Market Update

The total cryptocurrency market capitalization fell 3.8% to $2.26 trillion. Over the past 24 hours, Bitcoin (BTC) is down 4.7% to $63,300, while Ethereum (ETH) has declined 4.9% to $1,830. Sector performance was mixed, with PayFi and GameFi categories posting 2% gains, while the Meme sector experienced a 2% loss.

Stablecoin Growth Could Reshape US Treasury Market

A new report from Standard Chartered projects that the stablecoin market could fundamentally alter how the U.S. government finances its debt. The bank forecasts the stablecoin market cap will reach $2 trillion by 2028, which would in turn generate between $800 billion and $1 trillion in new demand for U.S. Treasury bills (T-bills). This demand stems from the requirement for stablecoin issuers to hold high-quality liquid assets as reserves, with short-dated Treasurys being the preferred instrument. The analysis suggests this surge in demand, primarily from regulated stablecoins, could create a significant T-bill supply shortfall, potentially forcing the U.S. Treasury to adjust its issuance strategy by increasing the supply of short-term bills and reducing issuance of long-dated bonds. For investors, this signals the increasing integration of digital assets into core macroeconomic functions, with the potential to influence the entire U.S. interest rate curve and solidify stablecoins as a major pillar of the global financial system.

Federal Reserve Moves to End ‘Debanking’ of Crypto-Friendly Firms

The Federal Reserve has proposed a rule to formally remove “reputation risk” from its bank supervisory framework, a move that could significantly lower the barrier for banks to service the digital asset industry. The policy aims to prevent supervisors from pressuring financial institutions to terminate relationships with customers in lawful but politically “disfavored” sectors, a practice critics have labeled “Operation Choke Point 2.0.” For investors and crypto firms, this represents a major de-risking event. By codifying that supervisory actions must be based on material financial risks rather than reputational concerns, the Fed is creating a more predictable regulatory environment that could unlock broader access to traditional banking services for cryptocurrency companies, mitigating a key operational hurdle for the sector.

Bitmine Increases Ethereum Treasury to 3.66% of Total Supply

Corporate crypto holder Bitmine Immersion Technologies has increased its Ethereum holdings to 4.42 million ETH, now controlling 3.66% of the total circulating supply with a value of approximately $8.7 billion. The company’s continued accumulation during a market downturn signals strong institutional conviction in Ethereum’s long-term utility for tokenization, AI, and the creator economy. For the market, this level of sustained corporate buying provides a significant source of potential price support. Furthermore, Bitmine’s strategy of staking a majority of its holdings—currently generating an estimated $171 million in annualized revenue—highlights a sophisticated treasury management approach that values yield generation in addition to asset appreciation, presenting a model for other corporate adopters.

Crypto.com Receives Conditional Approval for US Bank Charter

Crypto.com has secured conditional approval from the Office of the Comptroller of the Currency (OCC) to pursue a federal bank charter, allowing it to move toward offering federally regulated digital asset custody and staking services.

Global Crypto ETPs See Fifth Consecutive Week of Outflows

Digital asset investment products experienced their fifth straight week of net outflows, with $288 million exiting funds globally as weekly trading volumes fell to their lowest point since July 2025, indicating cooling institutional sentiment.

Terraform Labs Alleges Insider Trading by Jane Street in New Lawsuit

The administrator overseeing Terraform Labs’ bankruptcy has filed a lawsuit against trading giant Jane Street, alleging the firm used non-public information to profit from the collapse of the TerraUSD stablecoin in 2022.

Ethereum Foundation Forms New Team to Support DeFi Protocol Development

The Ethereum Foundation announced the formation of a new internal unit dedicated to supporting the development of DeFi protocols that adhere to core “Defipunk” principles, including censorship resistance and decentralization.

Chainlink Labs’ Former Deputy General Counsel Joins SEC Crypto Task Force

Taylor Lindman, who previously served as deputy general counsel at Chainlink Labs, has been appointed as the new chief counsel for the Securities and Exchange Commission’s crypto task force.