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New Developments Happening in the Blockchain Space: 12-12-2025

Posted by Simon Keighley on December 12, 2025 - 9:02am

New Developments Happening in the Blockchain Space: 12-12-2025

New Developments Happening in the Blockchain Space 12-12-2025


Bitcoin rallies fail at $94K despite Fed policy shift: Here’s why

Bitcoin continued to struggle below 94,000 this week despite a more bullish long-term outlook from traders following the Federal Reserve’s 0.25% rate cut. Attempts to reclaim the monthly VWAP and hold above 93,000 were repeatedly rejected as liquidity contraction weighed on the market. Stablecoin inflows have fallen sharply from 158 billion in August to about 76 billion, signalling reduced buying power and weakening the fuel needed for sustained rallies. With rebounds driven more by a temporary drop in sell pressure than genuine accumulation, Bitcoin remains stuck in a shallow range where liquidity near 97,000 to 98,000 cannot be reached until 94,000 is convincingly broken.

Structurally, Bitcoin has now failed three attempts to clear 93,000, forming a swing failure pattern that highlights trend exhaustion. The price is edging toward confirming a bearish rising wedge, which activates below 88,000 and could expose liquidity targets around 84,000 and even the 80,600 quarterly low. Some traders argue these pullbacks are designed to flush weak hands, but a meaningful bullish shift requires Bitcoin to close the week above 90,000 and ideally reclaim the 93,000 area. Only then would momentum have a foundation to push toward 96,000, where a breakout could finally take hold. Source


 

Binance Deepens Ties to Trump-Backed Stablecoin Following Founder’s Pardon

World Liberty Financial’s USD1 stablecoin has become more deeply integrated into Binance after being added to the exchange’s core infrastructure, expanding trading pairs to include BNB, Ethereum, and Solana. The move follows Changpeng Zhao’s presidential pardon in October, a development that has strengthened the relationship between Binance and the Trump-backed stablecoin project. Users can now convert USDC or USDT into USD1 without fees, a change the project says will increase accessibility for Binance’s large global user base. CEO Zach Witkoff framed the integration as a major step in promoting stablecoin adoption, especially as liquidity and collateral systems on Binance now support USD1.

USD1 has attracted attention since it was chosen for a 2 billion dollar investment in Binance from Abu Dhabi’s MGX fund, leading to criticism from U.S. lawmakers over possible conflicts of interest. Despite its growing footprint, World Liberty’s WLFI token has dropped to around 0.14 dollars, down 30 percent since launch. USD1 itself is backed by cash and U.S. Treasuries, enabling revenue generation based on its market cap, which has risen from 2.6 billion dollars in September to 2.75 billion dollars. Trading activity remains strong across major exchanges, with Bullish handling 55 million dollars in daily volume and Binance about 38 million dollars, most of it against USDT. Source


 

Texas grid is heating up again, this time from AI, not Bitcoin miners

Texas is experiencing a dramatic rise in energy demand, driven primarily by AI data centres, which now dominate ERCOT’s surge in large-load power requests. ERCOT’s interconnection queue has expanded to 226 gigawatts, with roughly 73 percent tied to AI facilities, marking a major shift from the previous wave led by Bitcoin miners. While nearly two thousand new generation proposals totalling 432 gigawatts are under review, most of the planned supply comes from solar and battery projects, which cannot deliver the continuous power required for AI workloads. This imbalance between rapidly growing demand and intermittent supply is creating new reliability concerns and forcing regulators to introduce special handling rules for large customers while significantly expanding transmission planning.

Bitcoin miners, once a primary source of new load in Texas, are now being eclipsed as the state’s grid challenges become increasingly shaped by artificial intelligence. Mining operations previously contributed to stability by curtailing usage during peak periods, helping save the state an estimated 18 billion dollars. But with AI’s rise, many mining firms are shifting their infrastructure toward high-performance computing to meet soaring GPU demand. Galaxy’s 460 million dollar conversion of a former mining site into an AI data centre highlights this pivot and underscores how Texas’ energy landscape is evolving toward a more power-intensive, round-the-clock model. Source


 

Bitcoin's Persistent Long-Term Buyers Step In as Market Struggles For Liquidity

Long-term Bitcoin holders are accumulating aggressively despite mounting market stress and shrinking liquidity. Accumulator wallets purchased 75,000 BTC in the first ten days of December, including a single-day buy of 40,000 BTC, signalling strong demand from buyers with no history of selling. This accumulation comes as short-term holders sit on losses of 20 to 30 percent and unrealized losses across the crypto market reach roughly 350 billion dollars, with about 85 billion dollars tied to Bitcoin. Analysts note that these conditions historically correspond to wealth transferring from weaker hands to stronger ones, but they also warn that the current liquidity drought points to an upcoming period of elevated volatility.

Experts are cautiously optimistic about Bitcoin’s trajectory heading into the holidays, though expectations for a major rally remain muted. The Federal Reserve’s 40 billion dollar monthly Treasury bill purchase program is providing technical support, but it is designed to stabilize banking operations rather than inject the kind of excess liquidity crypto markets need. Thin order books, tax-loss harvesting, and overall liquidity bottlenecks argue against a steep year-end surge, even as macro conditions continue to shift in Bitcoin’s favour. Analysts expect a low-liquidity run-up rather than an explosive move, with some predicting gradually increasing buying pressure as rate cuts accumulate. Bitcoin is currently trading near 92,250 dollars, reflecting modest gains amid these mixed signals. Source


 

Bhutan goes for gold, announces sovereign-backed RWA token

Bhutan’s Gelephu Mindfulness City is launching a sovereign gold-backed digital token called TER, issued on the Solana blockchain and backed by physical gold held at DK Bank. The tokenization is powered by Matrixdock, with initial phases keeping the tokens in bank custody and rollout dates yet to be confirmed. The initiative is positioned as a secure and inflation-resistant way for citizens and investors to gain exposure to gold while advancing the country’s broader blockchain strategy.

This move aligns with Bhutan’s rapid adoption of crypto and blockchain technology, which includes Bitcoin mining since 2019, a digital asset reserve of major cryptocurrencies, and nationwide crypto-payment partnerships for the tourism industry. The government’s integration of digital assets aims to modernize its financial system, support economic development, and strengthen the country’s appeal as a regional crypto hub, with over 1,000 businesses already accepting crypto payments. Source


 

Xiaomi to pre-install Sei crypto wallet on millions of phones in global rollout

Sei Labs has partnered with Xiaomi to pre-install a crypto wallet and discovery app on all Xiaomi smartphones sold outside mainland China and the United States, giving Sei instant mobile distribution across major crypto markets. Users will be able to log in with Google or Xiaomi accounts, use a secure multiparty computation wallet, access popular crypto apps, and make both peer-to-peer and merchant payments. The rollout begins across Europe, Latin America, Southeast Asia and Africa, alongside a 5 million dollar fund to support mobile-focused blockchain projects. The companies also plan to enable stablecoin payments for Xiaomi products, including phones and electric vehicles, with initial launches targeted for Hong Kong and the EU by mid-2026.

This initiative adds to a broader trend of integrating crypto directly into smartphones, following similar efforts by Solana Mobile and Samsung. Solana’s Saga and Seeker devices have incorporated built-in crypto capabilities, a decentralized app store and token-based incentives, while Samsung’s partnership with Coinbase now lets tens of millions of US Galaxy users buy crypto through Samsung Wallet. Xiaomi’s collaboration with Sei positions both companies to compete in this growing mobile Web3 ecosystem by embedding blockchain functionality into mainstream consumer hardware. Source


 

Stablecoins Gain Ground in Blockchain Gaming as Studios Tighten Spending, Study Finds

Stablecoins are becoming central to blockchain gaming economies as developers shift away from speculative models and toward more sustainable operations. New research shows studios increasingly using fiat-pegged tokens for payouts, rewards and in-game transactions as they seek predictable settlement and lower volatility. Stablecoins processed 27.6 trillion dollars in transfer volume in 2024, representing about 30 percent of all crypto activity, with confidence in the sector rebounding to 65.8 percent as developers move through a corrective phase. They offer fast, low-fee, borderless payments, though challenges such as fragmented user experiences and cross-chain complexity still hinder seamless adoption.

The move toward disciplined business models is also driven by tighter capital conditions and accelerating global regulation. Jurisdictions including Singapore, Japan, Hong Kong and the UAE are establishing formal stablecoin frameworks that impose reserve, redemption and security requirements while piloting interoperability and settlement systems. These regulatory developments, combined with shifting market sentiment, are pushing studios to prioritize product quality, durable revenue and operational discipline, marking a maturing stage for blockchain gaming as stablecoins become integral to its financial infrastructure. Source


 

The Markethive Market Network Bill of Rights: Dedicated to Upholding Trust, Respect, and Integrity, Free from Censorship and Bias

Markethive presents itself as a decentralized ecosystem designed to protect free expression, user autonomy and digital sovereignty. It positions its platform as a sanctuary from censorship, offering business tools, marketing systems and creative channels that allow members to interact, transact and broadcast without interference from centralized authorities. Backed by a distributed database and its native cryptocurrency, Hivecoin, the network emphasizes user ownership of data, financial independence and resilience against external control. Markethive’s approach includes strategies to bypass restrictive social media algorithms, preserve user content through distributed storage and maintain a secure environment where creators retain full rights over their work.

The platform further outlines a detailed Bill of Rights that grants users full control of their information, unfiltered access to content, private network protections and the ability to manage or remove their data at will. It rejects targeted advertising, tracking, profiling, facial recognition and feed manipulation, advocating instead for transparency and personal autonomy. Across its infrastructure, Markethive stresses self-governance, privacy and operational independence supported by blockchain technology and its proprietary coin. The project envisions a global community empowered with unrestricted speech, secure content ownership and decentralized economic opportunities. Source


 

HIVE tests investor appetite for AI-Bitcoin infrastructure in Andean markets

HIVE Digital Technologies began trading on the Colombian Stock Exchange under the ticker HIVECO, becoming the first Bitcoin and AI infrastructure company listed on a Latin American exchange. The listing opens the door for investors in Colombia, Peru and Chile to access a sector that blends high-performance computing, renewable energy and Bitcoin mining. This expansion gives HIVE a more institutionally connected investor base and broadens its global presence alongside existing listings in North America and Europe.

As Bitcoin mining economics have tightened, HIVE has increased its focus on AI and high-performance computing, supported by fully hydro-powered data centers in Paraguay and the acquisition of its Yguazú site. Other major miners are following similar diversification strategies as margins shrink due to the 2024 Bitcoin halving, lower hash price and rising operational costs. These pressures have made alternative revenue streams more important for miners seeking stability in a challenging environment. Source


 

YouTube Now Lets US Creators Take Earnings in PayPal's Stablecoin: Report

YouTube now allows U.S. creators to receive their earnings in PayPal’s PYUSD stablecoin, following PayPal’s rollout of PYUSD payouts earlier in the year. The integration reflects growing mainstream acceptance of stablecoins as payment infrastructure, giving creators faster settlement times and smoother cross-border transactions. Industry figures note that major platforms adopt new payment systems only when they are mature and low-friction, and PayPal’s stablecoin setup allows creators to benefit from on-chain settlement without dealing with additional custody or compliance burdens.

The move comes as stablecoin adoption accelerates under clearer U.S. regulation, particularly after the GENIUS Act established a federal framework for the sector. Market participants see this clarity as a boost for institutional confidence even as questions remain about the sector’s growth ceiling. PYUSD continues to expand across payment products and multiple blockchains, strengthening its position with a market capitalization above 3 billion and widening support across platforms and networks. Source


 

Bitcoin, blockchain should form Pakistan’s new financial rail, minister says

Pakistan aims to position Bitcoin, digital assets, and blockchain as the foundation for a new financial infrastructure serving its 240 million citizens, signaling a shift toward regulated crypto markets. Bilal Bin Saqib, chairman of the Virtual Asset Regulatory Authority, emphasized that digital assets should be treated as infrastructure rather than speculation, framing them as essential for creating a compliant, innovation-driven ecosystem. He highlighted Pakistan’s youthful population and digital engagement as key advantages for building a large-scale, regulated crypto market, drawing comparisons to smaller early adopters like El Salvador.

Crypto adoption in Pakistan has accelerated rapidly, with the country ranking third in Chainalysis’ 2025 Global Crypto Adoption Index. Recent initiatives include planning a strategic Bitcoin reserve, allocating surplus electricity for Bitcoin mining and AI data centers, and inviting global crypto companies to apply for licenses under a new federal regulatory framework. These steps are intended to attract foreign investment, create high-tech jobs, and integrate digital assets into the country’s broader economic development strategy. Source


 

SEC Approves DTCC Pilot to Record US Securities on Select Blockchains Via 'Registered' Wallets

The SEC has approved a three-year pilot allowing the Depository Trust Company, DTCC’s clearing subsidiary, to record certain U.S. securities on selected blockchains using tokenized representations. Under the program, DTCC can mint and burn blockchain-based tokens that mirror securities held in custody without triggering standard clearing-agency compliance rules. Participants may convert eligible securities, including Russell 1000 stocks, Treasurys, and major index ETFs, into blockchain-based entitlements held in registered wallets, while DTCC maintains oversight and the ability to reverse transactions if needed.

The pilot aims to modernize the U.S. securities infrastructure by leveraging blockchain technology to reduce reconciliation requirements and allow entitlement transfers outside traditional market hours. While tokens can exist on approved public or private blockchains, they operate within a permissioned system where only registered wallets can transact. DTCC is required to report quarterly on participants, tokenized asset values, blockchain usage, outages, and transaction reversals, ensuring regulatory standards are maintained while exploring a bridge between traditional finance and decentralized technology. Source


 

CFTC pulls ‘actual delivery’ crypto guidance, giving flexibility to exchanges

The US Commodity Futures Trading Commission has withdrawn its 2020 guidance on the “actual delivery” of crypto in commodity transactions, a move seen as providing exchanges more operational flexibility. The guidance had previously dictated that exchanges could only offer margin or leverage if actual delivery occurred within 28 days, which many argued stifled innovation. Acting Chairman Caroline Pham described the guidance as outdated and overly complex, emphasizing that removing it aligns with the administration’s broader goal of supporting innovation in the crypto sector. The decision follows recommendations from the president’s crypto working group, which suggested clarifying how crypto could be considered commodities and expanding on previous guidance for virtual asset delivery.

While the removal of the guidance is welcomed by industry experts for allowing more flexible exchange operations, it also creates regulatory uncertainty. Without any current definition of actual delivery, exchanges and market participants are unclear on registration requirements and compliance obligations. Analysts suggest the move signals a more scalable, forward-looking approach to crypto regulation, reflecting changes in custody, collateralization, and crypto-backed credit markets. However, since the guidance is not legally binding, it could be modified again with future leadership changes, leaving the industry navigating a period of ambiguity. Source


 

Web3 gaming shifts to sustainability as confidence returns: BGA

The blockchain gaming industry is moving toward more sustainable business models, with sentiment among developers improving significantly. The Blockchain Game Alliance reported optimism rising to nearly 66%, as the sector shifts focus from speculative token economics to operational discipline, product quality, and resilient revenue models. Growth is increasingly tied to delivering high-quality games and establishing payment infrastructure that supports real-world commerce at scale. Clearer regulations have also been seen as a positive development, contributing to increased confidence and market maturity.

After a period of collapse following the 2021 play-to-earn boom, funding in Web3 gaming plummeted from $4 billion to $293 million in 2025, forcing many studios to downsize or close. Despite this downturn, factors such as regulatory clarity, the adoption of stablecoins for fast and low-cost transactions, and the launch of high-quality games have helped stabilize the sector. Experts note that blockchain gaming is now among the most resilient parts of the crypto ecosystem, with real adoption taking hold and quality projects demonstrating lasting potential. Source


 

Elliptic Flags Global Crypto Pivot as Banks, Stablecoins and Asian Hubs Take the Lead

Global crypto regulation is shifting toward innovation, with banks, stablecoins, and Asian financial hubs emerging as key drivers of policy development. Elliptic’s 2025 Global Crypto Regulation Review highlights a move away from enforcement-heavy approaches, particularly in the U.S., where the Trump administration prioritized crypto leadership and enacted the GENIUS Act, establishing the country’s first federal stablecoin framework. Stablecoins are now being used natively across blockchains as collateral, settlement rails, and yield-bearing instruments, transforming liquidity management and protocol design. Meanwhile, U.S. regulators have issued guidance enabling banks to safely provide crypto custody services, signaling increased institutional participation in the market.

The report also highlights progress in the Asia-Pacific and Middle East regions, where jurisdictions such as Hong Kong, Singapore, South Korea, Japan, the UAE, and Australia have advanced licensing, tokenization, and stablecoin regimes. Despite these developments, regional coordination remains unlikely due to differing regulatory foundations and vested national interests. Comprehensive stablecoin frameworks in multiple jurisdictions, alongside guidance from global banking associations, are contributing to maturation and confidence in the crypto ecosystem, positioning the sector for continued growth and innovation in the coming years. Source


 

CFTC gives prediction markets leeway on data and record-keeping rules

The Commodity Futures Trading Commission has issued “no-action” letters to several prediction market platforms, including Polymarket US, LedgerX, PredictIt, and Gemini Titan, exempting them from certain swap data reporting and record-keeping obligations. Under the letters, the CFTC will not take enforcement action as long as the platforms meet specific conditions, such as fully collateralizing all contracts and publishing time and sales data for all event contract transactions. These measures allow the platforms to operate with reduced regulatory risk while maintaining transparency and financial security, without altering the underlying legal requirements.

The move comes amid growing popularity and trading activity in prediction markets, which allow users to take positions on outcomes ranging from sports events to unconventional topics. Platforms like Kalshi and Polymarket have seen billions in trading volume over recent months, and other major players, including Crypto.com and Coinbase, are entering the space. By providing temporary regulatory flexibility, the CFTC aims to support the evolution and growth of these markets while ensuring that participants adhere to critical safeguards. Source


 

Disclaimer: These articles are provided for informational purposes only. They are not offered or intended to be used as legal, tax, investment, financial, or any other advice.

Featured Image - Source: Pixabay

 

 

 

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