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The recent passage of the GENIUS stablecoin bill in the United States, which prohibits issuers from directly offering yield on stablecoins, has unexpectedly spurred a significant increase in the supply of yield-bearing stablecoins. This is because investors are now turning to protocols that provide yield when tokens are staked, bypassing the new regulations. Ethena's USDe and Sky's USDS have been the primary beneficiaries of this shift. Since mid-July, USDe's circulating supply has jumped by 70% to $9.49 billion, making it the third-largest stablecoin by market capitalization. Similarly, USDS has seen its supply increase by 23% to nearly $4.81 billion, securing its position as the fourth-largest stablecoin. This surge in demand for USDe has also contributed to a nearly 60% rally in the price of ENA, Ethena's governance token.
Experts believe that the GENIUS Act, by banning direct yield from stablecoin issuers, has inadvertently driven investors to find alternative ways to earn a real rate of return, adjusted for inflation. This has led them to yield-bearing stablecoins, which generate passive income through staking and lending. While the stablecoin market as a whole has grown substantially this year and is projected to reach $300 billion by year-end, some experts believe that the growth of tokenized real-world assets by traditional finance players could eventually pose a challenge to stablecoins by offering similar benefits without sacrificing regulatory oversight. Source
President Donald Trump is reportedly planning to sign an executive order that would require banking regulators to investigate claims of "debanking" from the cryptocurrency industry and political conservatives. The order, according to a draft seen by The Wall Street Journal, would direct regulators to determine if financial institutions have violated antitrust, consumer protection, or fair lending laws by allegedly denying services to these groups. It would also call on regulators to change any policies that may have encouraged banks to cut off certain customers. The order suggests that banks found to be in violation could face fines or other legal consequences, with some cases being referred to the Department of Justice for further action.
The move comes amid long-standing accusations from the crypto sector that the previous administration engaged in "Operation Choke Point 2.0" - a concerted effort by regulators to pressure banks into dropping crypto clients. Coinbase's chief legal officer has publicly stated that the Federal Deposit Insurance Corporation (FDIC) used examinations to "bludgeon" banks, leading them to cease working with crypto firms. The executive order is also said to address similar claims of debanking from conservatives, who allege that financial institutions have denied them services based on their political beliefs. The banking industry refers to this practice as "derisking" and claims it is a way to manage legal, financial, or reputational risks associated with certain clients. Source
Decentralized social media apps are emerging as a challenge to the "walled gardens" of Big Tech, aiming to provide users with privacy, data ownership, and seamless experiences. The article highlights that while traditional Web2 platforms collect user data without consent and rely on opaque rules for monetization, many blockchain-based alternatives have failed to achieve widespread adoption due to poor usability and complex onboarding processes. To address these issues, the Layer-1 blockchain Ice Open Network (ION) has developed the ION Framework, a modular and open-source infrastructure designed to make decentralized applications more user-friendly. Its first application, Online+, is a decentralized social media platform that mimics the familiar look and feel of mainstream apps, but with key differences such as on-chain content, user ownership, and end-to-end encrypted messaging.
Online+ is designed to abstract away the complexities of blockchain technology from the user. It features auto-generated wallets and simplified login methods, ensuring that the benefits of blockchain ownership are present without requiring users to grapple with technical jargon. The platform also offers direct monetization for creators and customizable content feeds free from algorithmic manipulation. The article states that over 100 Web3 projects and thousands of creators are already preparing to launch on Online+. Following the launch of Online+, ION plans to release a no-code DApp builder, which will further democratize the development of decentralized applications, making it as simple as building a website. This initiative is part of ION's broader vision to create a new internet centred on user sovereignty, privacy, and interoperability. Source
Despite the recent passage of the GENIUS Act, a new US law that prohibits stablecoin issuers from paying yield to holders, major financial companies like Coinbase and PayPal are continuing to offer lucrative rewards programs to their customers. Both companies are sidestepping the new regulations by not being the legal issuers of the stablecoins themselves. Coinbase, which offers a 4.1% annual reward on USD Coin (USDC), is not the issuer of the stablecoin; that role belongs to Circle. Similarly, PayPal, which provides a 3.7% annual return on its native stablecoin, PYUSD, has a third-party company, Paxos, as its official issuer.
Executives from both Coinbase and PayPal have publicly stated their commitment to these rewards programs, arguing they are a key differentiator that attracts and retains customers. Coinbase CEO Brian Armstrong specifically clarified that the company does not pay "interest" or "yield" but rather "rewards," and because Coinbase is not the issuer, it is not subject to the act's prohibitions. A Senate staffer confirmed that the legislation was deliberately narrow, focusing only on regulating stablecoin issuers and not secondary markets. This loophole allows these large companies to maintain their competitive offerings and continue to attract customers looking for a return on their stablecoin deposits. Source
Coinbase has shifted its lobbying efforts to the United Kingdom, arguing that the country is falling behind in the global digital asset and stablecoin market. This message was emphasized in a Financial Times op-ed penned by former UK Chancellor and current Coinbase adviser, George Osborne. Osborne criticized the government's slow progress on stablecoin regulation, warning that this inaction could sideline the British pound in the rapidly expanding digital finance landscape. He noted that while the US is moving forward with legislation like the GENIUS Act to solidify the dollar's dominance, the UK's hesitation is preventing the pound from playing a meaningful role in the stablecoin market, despite it being one of the world's most traded currencies.
Osborne’s op-ed and a recent provocative musical ad from Coinbase, titled "Everything Is Fine," are part of the company's renewed campaign to influence UK policy. The ad satirizes the country's economic struggles and cost-of-living crisis, suggesting that crypto offers a solution. This lobbying push marks a redirection of Coinbase's significant influence efforts, which have historically been concentrated in the US, particularly during its pivotal election years. The company's actions are designed to pressure the UK government, particularly Chancellor Rachel Reeves, to act on her previous promises to advance stablecoin regulations and avoid being left behind in the global race for digital financial leadership. Source
Bitcoin has experienced significant growth and institutional acceptance over the past 18 months, driven by factors like the approval of spot Bitcoin ETFs, which increased its liquidity and legitimacy. The article notes that Bitcoin's value has surged by 50% in the last year, crossing the $100,000 mark for the first time. This positive trajectory is further supported by a recent seismic shift in US regulatory policy, with the SEC reclassifying most crypto assets as non-securities and President Trump's executive order allowing cryptocurrencies in 401(k) plans. These developments signal a move towards greater regulatory clarity and integration, which is expected to attract trillions of dollars in new capital and boost the entire cryptocurrency ecosystem.
The article emphasizes that Bitcoin’s performance acts as a barometer for the broader crypto market, with altcoin prices often following its lead due to a strong market correlation. This "Bitcoin dominance" means that Bitcoin's price movements heavily influence market trends and investor sentiment. When Bitcoin rallies, a "ripple effect" often benefits altcoins, especially those with real-world utility. The article cites various bold price predictions from prominent figures, including a forecast that Bitcoin could reach $4 million, which would have a significant ripple effect on altcoins with practical applications, such as Hivecoin, which could potentially surpass $100,000. It suggests that future investment will favour altcoins that offer tangible solutions in areas like supply chain management, DeFi, and Web3 infrastructure. Source
Solana Mobile has begun shipping its second-generation mobile device, the Seeker, to customers in over 50 countries. The new phone, which received more than 150,000 pre-orders—significantly more than its predecessor, the Saga—is generating an estimated $67.5 million in gross revenue. The Seeker is designed to appeal to both developers and crypto enthusiasts by featuring upgraded hardware, a native crypto wallet with a "seed vault" for hardware-level security, and a decentralized app store. This app store is intended to bypass censorship and high fees associated with traditional app marketplaces from companies like Google and Apple. The device also incorporates a three-layer TEEPIN architecture, which decentralizes device access and app distribution for enhanced security and a more Web3-native experience.
The article highlights that the Seeker's key differentiator is its on-chain features, which are deeply integrated into the device. The seed vault, for example, provides a secure environment for private keys, completely separate from the application layer. Furthermore, the TEEPIN architecture ensures the device is running legitimate software through cryptographic attestation. This release comes as tech giants like Apple are facing legal challenges over their app store policies, with recent court rulings giving crypto developers more freedom to link to external payment systems. Solana's new device is positioned to capitalize on this shift by offering a fully decentralized platform that aligns with the core principles of Web3. Source
The US Commodity Futures Trading Commission (CFTC) has initiated a "crypto sprint" to enable spot crypto asset contracts to be traded on its registered futures exchanges. This move is part of the administration's broader effort to implement the recommendations from the President's Working Group on Digital Asset Markets. A spot crypto asset contract would be a listed, futures-style contract on a CFTC-registered designated contract market (DCM) that mirrors current spot crypto prices. Acting Chair Caroline Pham stated that there is a "clear and simple solution" the CFTC can implement immediately to facilitate the federal-level trading of digital assets.
To move forward with this plan, the CFTC is soliciting public feedback on how to apply existing regulations, specifically Section 2(c)(2)(D) of the Commodity Exchange Act and Part 40 of CFTC regulations, to the trading of these new contracts. The commission is also seeking input on potential implications under securities laws, including how a framework from the SEC might apply to trading non-security assets. The public comment period is brief, closing on August 18th, which suggests the commission is looking to act quickly. Source
Two recent studies, from ApeX Protocol and Taurex, shed light on the global cryptocurrency landscape, revealing a disparity between user adoption and professional opportunities. The research highlights Singapore as the world leader in cryptocurrency adoption, with a quarter of its population owning digital assets, a significant increase from just a few years prior. This is attributed to the country's high engagement, rapid user growth, and tech-forward regulatory approach. While the United States ranked third in adoption, it leads the world in professional opportunities, boasting the highest average salaries for blockchain professionals and the most job listings, a reflection of its superior infrastructure and mature regulatory frameworks.
The studies found that different regions are pursuing distinct strategies in the digital asset space. The United States and other North American markets lead in compensation and job volume, while Middle Eastern nations like the UAE are focusing on an "adoption-first" approach, evidenced by the UAE's second-place ranking in both adoption and professional opportunities. Meanwhile, European countries are prioritizing regulatory frameworks that balance innovation with stability, and emerging markets like India are showing a large user base with fewer supporting professional opportunities. The research reveals that while cryptocurrency promises decentralization, its economic benefits still follow traditional patterns of geographic advantage and established financial centers. Source
According to the UK's Credit Industry Fraud Avoidance System (CIFAS), organized criminal groups are deploying sophisticated malware to steal banking information, with an estimated 200,000 victims affected in a six-month period. The malware primarily targets Android devices, though other platforms are not immune. These malicious programs often masquerade as harmless applications like file managers or PDF readers. Once installed, they can activate hidden, harmful features through stealthy updates. The malicious software employs techniques such as overlaying fake login screens on top of genuine banking apps, displaying "busy" screens to hide fraudulent transactions, and preventing users from exiting the application or restarting their device.
CIFAS warns that the best defense is awareness and vigilance. The organization advises users to look for unusual signs of infection, such as unexpected requests to re-authenticate banking sessions, "busy" messages from banking apps that seem out of place, or unusual prompts to grant excessive permissions, particularly accessibility access. CIFAS CEO Mike Haley stresses that this is a growing threat to consumers and the banking services they rely on. He recommends that if something feels suspicious, users should stop, seek a second opinion, and avoid tapping on anything until they have verified its legitimacy. Source
An executive from the venture capital firm Andreessen Horowitz (a16z) is cautioning that major banks may be starting a new effort to undermine the cryptocurrency industry, which he refers to as "Chokepoint 3.0." This new phase follows what was known as "Operation Chokepoint 2.0," a previous push by regulators to debank crypto companies. The warning centers on a recent decision by JPMorgan Chase to begin charging crypto and fintech firms, such as Coinbase and PayPal, for access to customer data like account and routing numbers. According to a16z general partner Alex Rampell, these new fees are "insanely high" and are not intended to create a new revenue stream for the bank, but rather to stifle competition.
Rampell argues that by making it expensive for consumers to connect their bank accounts to crypto and fintech applications, JPMorgan and other banks can effectively eliminate competition. He points out that the data being charged for is often the same information printed on a physical check, yet when accessed electronically, the bank is asserting it comes with a high fee. If other banks follow JPMorgan’s lead, it could make it prohibitively expensive for consumers to use competing services, thereby forcing them to rely on traditional banking products. Rampell believes this is a strategic move to lock customers into the bank's own ecosystem and maintain its dominance in the financial sector. 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.
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