‍Multicoin Capital Expands AAVE Holdings Amidst Unrealized Losses Multicoin Capital has acquired an additional 60,000 AAVE tokens, valued at approximately $10.68 million, via an OTC trade facilitated by Galaxy Digital. This move increases their total AAVE acquisitions over the past six weeks to 338,000 tokens, with a cumulative investment of $60.46 million. Despite currently holding $13.5 million in unrealized losses on its AAVE portfolio, the firm demonstrates a long-term conviction in the Aave protocol's potential. This strategic accumulation, even amidst market fluctuations, signals confidence in future appreciation.
‍Kevin Hassett – Frontrunner for Fed Chair: Implications for Digital Assets White House National Economic Council Director Kevin Hassett is reportedly the leading candidate to become the next Federal Reserve Chair. This appointment could significantly influence monetary policy and the trajectory of digital asset markets. Hassett has indicated support for interest rate reductions. A move towards lower rates could increase market liquidity, potentially benefiting riskier assets like Bitcoin and Ethereum as investors seek higher returns. This dovish shift, if it occurs, may drive capital flow into the blockchain ecosystem. Market participants are closely monitoring this potential leadership change and its impact on interest rates and liquidity.
‍Saudi Arabia's Quantum Leap Spurs Blockchain Security Debate Saudi Arabia has deployed its first quantum computer, a 200-qubit system by Pasqal. While intended for industrial applications like energy modeling, this advancement has rekindled discussions on the potential quantum threat to blockchain networks, including Bitcoin. Experts emphasize that current quantum machines are not yet capable of breaking modern cryptography. However, the rapid progress necessitates continued research into quantum-resistant solutions for long-term security. The threat of "Q-Day," when quantum computers could forge digital signatures, remains a future concern.
‍MegaETH Cancels $1B Funding Expansion Amid Technical Glitches MegaETH, an Ethereum layer-2 protocol, has canceled its planned $1 billion funding expansion due to technical failures during a pre-deposit event. The event was intended for verified users to secure MEGA token allocations. However, configuration errors and rate-limit issues in the KYC system, coupled with a premature execution of a multisig transaction, led to deposits exceeding the initial $250 million limit. Deposits were ultimately frozen at $500 million. The MegaETH team stated that no assets were at risk and committed to providing a retro analysis and withdrawal option. Despite the setback, the project continues with its development roadmap, aiming for a native MEGA token launch in early 2026.
‍MoonPay Secures New York Trust Charter, Expanding Digital Asset Custody and OTC Capabilities Crypto payments firm MoonPay has obtained a New York Trust Charter from the NYDFS, allowing it to safeguard customer digital assets and facilitate over-the-counter (OTC) trades. This marks a significant step in bridging traditional and digital finance, placing MoonPay among a select group of regulated crypto entities in New York. The charter is expected to deepen relationships with financial institutions and expand regulated service offerings.
‍Kraken Launches Bitcoin Rewards Debit Card in EU & UK Kraken has introduced a new Bitcoin rewards debit Mastercard for users in the European Union and the United Kingdom. The "Krak Card" integrates with the Krak app, allowing users to spend over 400 digital assets and earn 1% cashback in Bitcoin on every purchase. The card enables global payments and features automatic fund merging, drawing from various digital assets if the primary currency is insufficient. Kraken plans to expand the service to U.S. users and introduce further card options and credit products.
‍Paxos Acquires Fordefi to Bolster Stablecoin and Tokenization Infrastructure Blockchain infrastructure provider Paxos has acquired Fordefi, a New York-based institutional crypto wallet and custody technology startup. The deal, valued at over $100 million, aims to integrate Fordefi's multi-party computation (MPC) wallet technology with Paxos's regulated custody solutions. This will create a unified platform for institutions to issue stablecoins, tokenize assets, and manage onchain transactions. This move aligns with a broader industry trend of increasing DeFi integration into mainstream crypto products. Paxos, a regulated entity, currently provides services to major enterprises and issues stablecoins like PYUSD and PAXG. The acquisition is expected to enhance its offerings and accelerate institutional adoption of digital assets.
‍Polymarket Secures CFTC Approval, Returns to US Prediction Market Scene Polymarket has received an Amended Order of Designation from the CFTC, allowing it to operate as an intermediated contract market in the U.S. This marks a return to the American market after ceasing operations in 2022 due to regulatory challenges, for which it paid a $1.4 million fine. The approval enables Polymarket to directly onboard U.S. customers and brokerages. The platform has also seen increased mainstream exposure through partnerships with entities like X, Google, the NHL, and the UFC, contributing to a trading volume that recently exceeded $1 billion in a single week.
‍Klarna Launches USD Stablecoin on Stripe's Tempo Blockchain Swedish fintech Klarna has introduced KlarnaUSD, a US dollar-pegged stablecoin, making it the first digital bank to issue a token on Stripe's Tempo blockchain. The stablecoin is currently on testnet, with mainnet launch planned for 2026. Developed by Bridge, KlarnaUSD initially targets internal use, aiming to reduce international payment costs. This move occurs amidst a growing stablecoin market, influenced by regulatory clarity and adoption by major players like MetaMask and Western Union.
‍Doma Protocol Mainnet Launches, Tokenizing $360 Billion Domain Aftermarket The Doma Protocol's mainnet has officially launched, enabling the tokenization, fractionalization, and trading of premium domains as ERC-20 tokens. This move injects DeFi liquidity into the $360 billion domain aftermarket, allowing for continuous, 24/7 trading of fractional ownership on-chain. The protocol allows users to tokenize .com, .ai, and .xyz domains, trade fractional domain tokens on DEXs, and potentially earn yield by providing liquidity. Integrations with registrars like InterNetX and NicNames provide access to over 30 million domains. Backed by Paradigm, Doma Protocol aims to tokenize over 362 million domains. This innovation bridges the traditional internet economy with DeFi, offering a new, yield-generating asset class.