‍Bitcoin Valuation Reset: NVT Golden Cross Signals Return to Fundamentals The Bitcoin market is entering a new phase where price aligns with network activity, moving away from speculation towards on-chain economics. The NVT Golden Cross, a metric comparing market cap to transaction volume, indicates Bitcoin may be exiting a period of undervaluation. Historically, when the NVT Golden Cross shows a significant divergence below its long-term trend, it signals a structural discount. Currently recovering from a cycle low, this suggests a narrowing "valuation gap" and a move towards more sustainable levels based on actual network usage, rather than short-term sentiment.
‍Hong Kong to Host Global Web3 Summit in 2026 Hong Kong is set to become the hub for digital asset innovation with the Global Web3 Ecosystem Innovation and Application Summit on January 5, 2026, at Hong Kong Cyberport. Co-hosted by Mega Matrix Inc. (NASDAQ: MPU) and CoinQ Exchange, the event highlights the growing convergence of traditional finance and the Web3 space. The summit will feature over ten Web3 institutions and aim to foster discussions on blockchain technology, regulatory compliance, and practical applications of decentralized solutions. It is expected to draw representatives from global regulatory bodies, traditional finance leaders, and over 500 Web3 professionals, underscoring Hong Kong's commitment to advancing its crypto infrastructure.
‍IcomTech Promoter Sentenced to 71 Months for Multi-Million Crypto Ponzi Magdaleno Mendoza has received a 71-month sentence for his role in the IcomTech Ponzi scheme, which defrauded working-class Spanish-speaking investors between 2018 and 2019. Promoters promised guaranteed daily returns from nonexistent crypto mining and trading activities. Mendoza was ordered to pay over $789,000 in restitution and forfeit $1.5 million. The scheme exploited affinity fraud tactics, targeting specific communities. Courts are focusing on traditional fraud factors, with sentences reflecting victim harm and the perpetrator's leadership role. Mendoza also faces charges for illegal reentry and has promoted other schemes.
‍Raoul Pal Analyzes Zcash Surge: Rotation vs. Bull Trend Macro investor Raoul Pal suggests Zcash's significant price appreciation may stem from capital rotation, not a sustainable bull trend. Despite a ~699% year-to-date increase, ZEC has seen a 37% decline over the past 30 days, trading around $385.81. Factors driving Zcash's market cap growth from under $1B to over $7B include Grayscale's filing for a spot ETF, endorsements projecting $10,000 targets, and growing demand for privacy. ZEC's performance will indicate whether this is a temporary spike or sustained institutional accumulation.
‍SEC Classifies Bitcoin Mining Hosting as Securities in $48M VBit Case The SEC has filed a lawsuit against VBit Technologies and its founder, Danh Vo, alleging that their Bitcoin mining hosting services constitute unregistered securities. The regulator claims VBit misappropriated approximately $48 million in investor funds between 2018 and 2022 through a fraudulent scheme. The SEC applied the Howey test, arguing that "Hosting Agreements" met the criteria for investment contracts due to investors' expectation of profit, reliance on VBit's efforts, and a common enterprise. Industry experts suggest VBit's decision to pool all hashrate under company control was a key factor in the SEC's aggressive stance. This case could significantly impact how mining-as-a-service providers structure their operations.
‍Charles Hoskinson Warns Trump's Crypto Ventures Risk Industry Progress Charles Hoskinson, founder of Cardano, has voiced concerns over Donald Trump's involvement in personal cryptocurrency ventures. He argues that a Trump-themed meme coin and the World Liberty Financial project have politicized digital assets, transforming them from a bipartisan policy issue into a partisan liability. This shift could impact the industry's long-term prospects ahead of the 2026 midterm elections. Hoskinson stated that the launch of a "Trump coin" changed the political discourse, providing critics with ammunition to frame crypto as a partisan issue. He also opposes the administration's proposed Strategic Bitcoin Reserve, particularly its expansion to include altcoins like Ethereum, Solana, XRP, and Cardano, arguing the state should not "pick winners and losers." Hoskinson believes a robust regulatory framework should precede such high-profile political crypto ventures.
‍Federal Reserve Study: Dollar Dominance is Cyclical, Stablecoins Bolster Demand A recent Federal Reserve paper reveals that the U.S. dollar's global dominance in bond markets has historically moved in cycles, not linear decline. Despite challenges, the dollar remains resilient, partly due to the growing stablecoin market. Issuers like Tether and Circle, holding billions in U.S. Treasury debt, are reinforcing the dollar's role in the digital economy. The study identified three "dollarization waves" since the 1960s, with the dollar reclaiming share post-2008. Emerging markets rely heavily on USD, and China's Renminbi has seen only modest gains. The burgeoning stablecoin market, now ~ $310 billion (85% USD-pegged), positions issuers as major holders of U.S. Treasurys. This trend prompts regulatory attention, with Europe planning a euro-pegged stablecoin by mid-2026.
‍Cypherpunk Values Face Erosion Amidst Surveillance Concerns The digital age has brought the core principles of the cypherpunk movement back into focus due to unprecedented global surveillance. While early blockchain advocates envisioned financial autonomy, modern data farming and centralized oversight are diminishing these ideals. The conflict between regulatory transparency and the right to privacy remains a key issue in the cryptocurrency ecosystem as of December 2025. Privacy was once a baseline, not an option. Historical cases show public rejection of mandatory identity tracking. However, the shift to digital has automated surveillance. Data farming, cross-referencing, and erosion of agency are key concerns. Despite regulatory pressure, figures like Vitalik Buterin advocate for privacy tools as essential for a free society. This aligns with the "cypherpunk manifesto," which defines privacy as the power to selectively reveal oneself. The fight for self-sovereignty extends to the "right to be forgotten" and "right to repair," pushing back against centralized control. The desire for privacy is not about illicit intent, but a basic need for boundaries. Emerging initiatives aim to preserve decentralization, focusing on tools that protect civil liberties. While some argue cypherpunk values are fading, the development of privacy-centric protocols suggests a resilient phase for digital autonomy.
‍ICE Considers Investment in MoonPay at $5 Billion Valuation Intercontinental Exchange (ICE), parent company of the NYSE, is reportedly in talks to invest in cryptocurrency payments provider MoonPay. MoonPay is seeking capital at a $5 billion valuation. This potential investment highlights the growing integration of traditional finance with the digital asset sector. ICE's strategic moves also include past investments in prediction platforms and explorations into stablecoin integration and Real-World Asset (RWA) tokenization, signaling a move towards infrastructure for future financial services.
‍Ethereum Faces Pressure Near $3,000 Amidst $553M ETF Outflows Ethereum (ETH) is experiencing volatility, struggling to maintain the $3,000 mark despite lower inflation data. A significant 13% weekly decline led to $165 million in liquidations of bullish futures positions. Institutional sentiment has shifted, with US-listed Ethereum ETFs seeing $533 million in net outflows over five days. Open interest in ETH futures has fallen, and the futures premium has decreased. Ethereum's price also shows sensitivity to broader equity market declines, with the Nasdaq index dropping. On-chain activity on the Ethereum network also indicates weakness, with DApp fees declining and a slight decrease in ETH locked in staking. This suggests reduced demand and cautious positioning from both institutions and network participants.