The Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) have announced their planned coordination to support crypto, DeFi, prediction markets, perpetual contracts & portfolio margining. The two major regulatory bodies in the US aim to harmonize rules, reduce regulatory gaps, expand trading hours, and use innovation exemptions to keep US markets competitive. 🚨JUST IN: The @SECGov and @CFTC are ramping up coordination to support crypto, DeFi, prediction markets, perpetual contracts & portfolio margining. The two agencies are aiming to harmonize rules, reduce regulatory gaps, expand trading hours, and use innovation exemptions to… pic.twitter.com/T8utxyhbKe — Eleanor Terrett (@EleanorTerrett) September 5, 2025 The two said, “As the markets for securities and non-securities increasingly converge, we are excited to embark on a new beginning for coordination between U.S. market regulators. The work of the SEC and CFTC has never been more intertwined—and the wave of innovation before us never more dependent on the depth of our cooperation.” A coordinated SEC and CFTC framework for portfolio margining This announcement comes days after their joint staff statement on spot crypto asset products, which was their first step of collaboration. Both agencies have had tensions in the past, primarily due to overlapping jurisdictions and opposing regulatory approaches, particularly where crypto is concerned. However, now both of them have agreed that a coordinated SEC-CFTC framework for portfolio margining could potentially reduce capital inefficiencies by recognizing offsetting positions across product classes. Both have reaffirmed that they are prepared to consider “innovation exemptions” to create safe harbors or exemptions that allow market participants to engage in peer-to-peer trading of spot, leveraged, margin, or other transactions in spot crypto assets. This includes derivatives such as perpetual contracts over DeFi protocols. These safe harbors and exemptions would allow market participants to build commercially viable models while the agencies advance longer-term rulemaking. According to the SEC and CFTC, the right to self-custody one’s assets is a core American value. As things stand, market participants can trade spot crypto on government-regulated venues. The regulatory bodies say that there are other ways for users to trade spot crypto with each other. A joint roundtable is to be held this September The two regulatory bodies announced a joint SEC and CFTC roundtable on regulatory harmonization, which will be held on September 29, 2025. According to the press release seen by Cryptopolitan, they both said, “As detailed by the President’s Working Group on Digital Asset Markets report on strengthening American leadership in digital financial technology, we are committed to using our existing authorities to establish fit-for-purpose regulations for innovative products and trading platforms.” On the roundtable, the SEC and CFTC will discuss ways to encourage ways of harmonizing their approaches to product offerings, enabling increased market choice, and protecting investors through clear, predictable, and pro-innovation regulatory frameworks. The SEC and CFTC are open to collaborating with a possibility of further expanding trading hours, where appropriate. Expanding trading hours further could better align the US markets with the evolving reality of a global, always-on economy. However, there may not be a single best way to handle all goods when it comes to trading hours. Still, it may work better for some types of assets than others. In addition, the SEC and CFTC are set to examine collaboration opportunities to consider where event contracts may be made available to US market participants. This is regardless of where the jurisdictional lines fall. The statement also addressed offshore crypto markets with many perpetual contracts, which are swaps that don’t have a defined expiry date. They aren’t used as much in the US as they could be because of jurisdiction and definitional constraints. According to the regulatory bodies, “the agencies could consider concurrent steps to onshore perpetual contracts that meet investor and customer-protection standards, potentially allowing these products to trade across SEC- and CFTC-regulated platforms.” Get seen where it counts. Advertise in Cryptopolitan Research and reach crypto’s sharpest investors and builders.

South Korea Financial Services Commission (FSC) has introduced new regulations for crypto lending platforms. According to the announcement , these rules aim to better protect consumers and improve transparency in the crypto market. The regulations will take effect soon as part of the country’s effort to regulate the fast-changing digital asset industry. Key Changes in Korea’s Crypto Lending Rules South Korea has issued a ban on leveraged crypto loans. This means platforms cannot offer leveraged loans anymore. To stop unfair lending practices, the FSC has set a limit on interest rates for crypto loans at 20%. This helps create a fairer lending environment for consumers. Lenders will also have limits on the types of cryptocurrencies they can use. Likewise, crypto exchanges must work with the Digital Asset eXchange Alliance (DAXA) to ensure that new borrowers complete online training and pass a suitability test. These steps help make sure that individuals understand the risks and workings of crypto lending before they take part. As crypto lending platforms become more popular, there are growing concerns about investor safety, fraud, and market manipulation. The Financial Services Commission’s new rules will balance innovation with regulation. Summarily, these rules aim to create a safer environment for both retail and institutional investors. South Korea to Introduce Stablecoin Rules Last month, the FSC announced its plans to submit a stablecoin bill to the National Assembly in October. Notably, the bill is part of the country’s second set of digital asset laws under development. The proposed legislation is similar to the U.S. GENIUS Act on stablecoin rules signed into law in June. The upcoming bill will focus on regulating the creation and maintenance of stablecoins. It will also require that every stablecoin is backed by reliable collateral to protect users from financial loss. In addition, issuers will need to put in place strong internal systems to manage risks, both financial and technical. These measures aim to establish trust in stablecoins, prevent misuse, and simultaneously foster innovation in South Korea’s digital finance sector. South Korea Issues New Crypto Investment Guidelines Similarly, South Korea’s FSC plans to issue new guidelines for crypto investment in the third quarter of this year. As reported by TheCoinRise, this move signals the country’s intention to end the de facto ban on institutional investment in digital assets. It is worth noting that South Korea is progressing towards establishing a complete regulatory framework for crypto. Its follow-up legislation is expected to be completed this year. The FSC outlined specific areas the legislation would address. The main topic includes making new crypto exchange listings more transparent. Recall that South Korea introduced its first crypto laws in July 2024 after a draft bill was approved in May 2023 . The post South Korea to Introduce New Rules for Crypto Lending appeared first on TheCoinrise.com .

A joint statement regarding the cryptocurrency industry was made by SEC Chairman Paul Atkins and CFTC Deputy Chairman Caroline D. Pham. According to this statement, the SEC and CFTC will hold a meeting on cryptocurrency regulations on September 29. Watch out for September 29! The U.S. Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) announced in a joint statement that they will hold a meeting on September 29 to collaborate on cryptocurrency regulations. The meeting, which will be broadcast live to the public, will also cover topics such as crypto prediction markets, perpetual futures, and DeFi. The statement said they planned a comprehensive discussion on adjusting the regulatory scope and easing rules for innovative technologies, such as regulatory testing grounds. Officials stated that they will specifically consider introducing cryptocurrency perpetual contracts or derivatives to the US market, noting that these instruments are currently mostly traded on overseas exchanges due to local regulatory restrictions. “Perpetual contracts or derivatives without a defined expiration date are common in offshore crypto markets. Jurisdiction and definition restrictions have limited their use in the US. Institutions could consider simultaneous steps to bring perpetual contracts that meet investor and customer protection standards into domestic markets and allow these products to trade on platforms regulated by the SEC and CFTC. This initiative would capture economic activity currently flowing exclusively to foreign platforms and provide US investors with access to products that offer transparent leverage limits and robust risk management. Through this meeting and collaboration, the two institutions aim to harmonize rules, reduce regulatory gaps, expand trading hours, and leverage innovation exemptions to ensure U.S. markets remain competitive. *This is not investment advice. Continue Reading: SEC and CFTC Issue Joint Statement Concerning the Cryptocurrency Industry! "Pay Attention to September 29th!"

On Friday, the US Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) unveiled a new joint initiative aimed at fostering a more robust regulatory environment for the crypto market. Central to this initiative is a bold proposal to enable traditional financial markets to operate around the clock, a move designed to align with the digital asset landscape. Collaborative Approach To Crypto Regulation In their announcement , the SEC and CFTC emphasized that the crypto market necessitates a collaborative approach, particularly in the wake of their previous joint statement addressing the trading of certain spot crypto asset products. Among the key proposals discussed is the possibility of extending trading hours for various asset classes. The SEC and CFTC acknowledged that certain markets, such as foreign crypto exchanges and commodities, already function continuously. Another significant topic that was addressed was the growth of prediction markets and the increasing demand for event contracts. Crypto platforms like Kalshi and Polymarket have fueled the growth of these markets worldwide and the agencies aim to provide the guidance they need to responsibly list such contracts in the US. Bitcoinist recently reported that, after facing significant restrictions in 2022, Polymarket has been granted permission to resume providing its services to American clients after a three-year absence. Joint Roundtable Scheduled The discussion also touched on the potential for onshoring perpetual contracts, which are commonly used in offshore crypto markets. By working together, the SEC and CFTC hope to establish a framework that allows these contracts to be traded within regulated environments. The agencies also reaffirmed their willingness to explore “innovation exemptions” that would facilitate peer-to-peer trading in decentralized finance (DeFi) protocols. The regulators assert that such exemptions could foster a safer environment for market participants while allowing them to engage in innovative trading models without excessive regulatory burdens. As part of their commitment to “regulatory harmonization,” the SEC and CFTC announced a joint roundtable scheduled for September 29, 2025. Featured image from DALL-E, chart from TradingView.com

South Korean regulators have developed new guidelines to address the growing competition and risks associated with the crypto lending sector as they work to ensure investors are protected and market stability is uncompromised. “If high-risk lending services proliferate indiscriminately amid the regulatory vacuum under the current law, investor damage is inevitable,” an official with the Financial Services Commission said. “We plan to establish order through self-regulation and quickly pursue legislation based on future operational results.” South Korea’s FSC intervenes in lending regulation The Financial Services Commission ( FSC ) in South Korea has effectively blocked short selling with its latest move, which involves implementing a blanket ban on leverage and money lending, and establishing individual limits and fee caps. The virtual asset lending guidelines, which were announced on the 5th and tagged self-regulatory, were reportedly prepared by the Financial Supervisory Service in collaboration with the Digital Asset Exchange Association (DAXA). The new guidelines focus on three pillars, including service scope restrictions, user protection, and market stability. It ensures leveraged lending that exceeds the collateral value, and lending in Korean won is not allowed. Exchanges must also utilize their own assets, and indirect lending via third-party consignment or collaboration is also prohibited. In terms of user protection measures, first-time users will be forced to complete DAXA-sponsored online training and aptitude tests, and lending limits of up to 30 million to 70 million won are to be applied based on trading experience and history. If there are concerns about forced liquidation during a loan, the guidelines mandate prior notice and permit additional collateral. The commission rate is not allowed to exceed 20% per annum, and disclosure of loan status by product and instances of forced liquidation is mandatory. To keep the market stable, considering factors such as price impact, the list of available stocks for lending is limited to the top 20 by market capitalization or three or more listed assets on the Korean Won Exchange. Meanwhile, stocks subject to trading restrictions or suspected of unusual trading will be excluded, and internal control mechanisms are required to prevent excessive price fluctuations due to concentration in certain stocks. Financial authorities requested a temporary halt to virtual asset lending services last month On the 18th of last month, the financial authorities put in a request for a temporary suspension of virtual asset lending services through administrative guidance. Back in July, the FSC and the Financial Supervisory Service (FSS) announced the formation of a joint task force to develop a regulatory framework for crypto lending. These guidelines are to be taken seriously as the FSC has plans to conduct on-site inspections and take supervisory action against platforms that fail to comply. The decision to hash out new guidelines follows reports of widespread user losses, including thousands of forced liquidations in lending programs run by exchanges. One unidentified exchange reportedly attracted over 27,000 users in a month after launching a lending service in mid-June, according to the FSC. The platform recorded about 1.5 trillion Korean won ($1.1 billion) in volume, and among its users, about 13%, or 3,635 people, faced forced liquidations as their crypto positions declined in value. The FSC also highlighted a case involving two companies that offered Tether lending services, triggering a surge in sell volume and an unusual decline in USDT prices. The agency said encouraging new lending operations without safeguards could further damage investor funds, hence the guidelines. Want your project in front of crypto’s top minds? Feature it in our next industry report, where data meets impact.

Astana regulator begins trial accepting USD-backed stablecoins for payments through Bybit integration

Kristin N. Johnson , who is stepping down from her role as a commissioner at the Commodity Futures Trading Commission (CFTC), used her final public appearance to raise concerns about the risks retail users face when participating in prediction markets .

BTC bounces ahead of jobs report. SEC plans to revamp crypto policies. WLFI blacklists Justin Sun’s address, freezes tokens. WLFI tokens unreasonably frozen: Sun. Nasdaq to step up scrutiny on DATs, MSTR falls. Sora Ventures to buy $1b BTC. HK’s Yungfeng Financial buys $44m ETH. DFDV buys $40m SOL. ETH ICO participant moves to stake $646m ETH. Tether considers investing in gold miners. Fireblocks launches stablecoin payments network. Etherscan expands to SEI with Seiscan. Stripe, Paradigm unveil Tempo blockchain. UK to impose stricter AML rules on crypto firms. S. Korea caps crypto lending at 20% rate, bans lev loans. EU lawmakers still sceptical of digital euro.

The blockchain analytics specialist Elliptic has released a due diligence toolset for stablecoins. According to Elliptic, the product can scrutinize wallets and track assets moving from one blockchain to another. According to James Smith, the founder of Elliptic, Companies in mainstream finance can use the tracking tools and dashboard. The tools can be used by stablecoin issuers like Tether and Circle, which are the two biggest in an industry worth almost $300 billion, as well as their major suppliers and counterparties. In addition, the product is relevant to all stablecoin issuers operating today, not just the major ones. Smith revealed that several big banks that work with the issuers are already using Elliptic’s Stablecoin Issuer Due Diligence product. Per market data, the stablecoin industry has become the playground for criminals as they try to escape accountability. The industry is also growing so fast that the crime tool is essential. On-chain data shows that $94 billion worth of stablecoins have changed hands in the past 24 hours. The uniqueness of the Elliptic crime-tracking tool Most stablecoin issuers have been fighting crime through their ability to freeze or blacklist specific wallet addresses, preventing them from transferring or redeeming the stablecoins they hold. According to Smith, this functionality is typically built into the smart contracts that also allow issuers to revoke previously granted approvals and burn or seize tokens. “Elliptic’s investigators have often observed illicit actors rapidly converting their assets to non-freezable stablecoins or to native assets during the early money-laundering stages to avoid disruption,” Smith said. Blockchains that play host to nefarious activity are mostly in Southeast Asia, where USDT on Tron is very popular. Tether’s website shows that the Tron blockchain is home to more than $78 billion of USDT, the largest destination after Ethereum’s $85 billion. It is not different for Tron, Tether, and the blockchain analytics company TRM Labs. It started the T3 Financial Crime Unit less than a year ago. Last month, the unit said it had frozen more than $250 million in illegal assets. However, Smith says that Elliptic’s Issuer Due Diligence app is different from other blockchain analytics tools that are static. The tools take a lot of research, and are often hard for people who aren’t tech-savvy to use. Smith explained, “It offers a configurable dashboard rather than an investigative tool, provides custom clustering and dynamic historical insights to show how risk changes over time, and is designed to integrate seamlessly into financial institutions’ workflows with flexibility and privacy.” The US dollar-denominated stablecoin market is up today Today, the US dollar-denominated stablecoin market, which makes up around 99% of the global stablecoin market, has grown to $225 billion. J.P. Morgan says this accounts for roughly 7% of the broader $3 trillion crypto ecosystem. Stablecoin transaction volumes. Source: J.P. Morgan Kenneth Worthington, an equity analyst at J.P. Morgan, said, “The market cap of the basket of stablecoins we track ended June 2% higher month over month, sustaining seven consecutive months of positive market cap growth despite a more volatile crypto market year-to-date.” Some news sources say stablecoins could reach $2 trillion by the end of 2028. However, J.P. Morgan does not agree. According to their analysts, the market for stablecoins could reach $500 billion to $700 billion in the next few years. They added, “A more realistic scenario is that the market could grow two to three times from where we are right now in the next couple of years, which is equivalent to $500 to $750 billion.” Don’t just read crypto news. Understand it. Subscribe to our newsletter. It's free .

On-chain data shows that Dogecoin whales are offloading their coins, providing a bearish outlook for the foremost meme coin. This comes amid the significant decline in the DOGE price, with the meme coin at risk of dropping below the psychological $0.2 level. Dogecoin Whales Are Dumping Their Coins Santiment data shows that Dogecoin whales, who hold between 10 million and 100 million DOGE, are currently dumping their coins. The number of coins that these whales hold has declined since July 19. At the time, these investors accounted for 16.85% of the meme coin’s total supply . Since then, this percentage has dropped with Dogecoin whales selling some of their coins, although they still account for around 16% of DOGE’s total supply. Notably, this development coincides with the decline in the DOGE price , which indicates that these whales may be derisking to avoid potential losses. The Dogecoin price had rallied to as high as $0.27 in July but has since then been on a downtrend and is now at risk of dropping below $0.2. The bearish sentiment towards the foremost meme coin is also strengthened by the current Bitcoin price action . The flagship crypto has been on a decline since it reached a new all-time high (ATH) of $124,000 early last month. However, despite the current bearish sentiment towards DOGE even among Dogecoin whales, there are upcoming developments that paint a bullish outlook for the foremost meme coin. The Fed is expected to cut rates at its September FOMC meeting , which could inject new liquidity into DOGE and serve as a catalyst for higher prices. Meanwhile, the Dogecoin ETFs could launch in October, with the SEC expected to approve these funds next month. Moreover, Bloomberg analyst Eric Balchunas revealed that REX Osprey could launch a DOGE ETF through the 40 Act by next week. DOGE Is Stuck In a Wedge In an X post , crypto analyst Brittany Willo noted that Dogecoin is currently stuck in a wedge. The analyst urged the bulls to step and defend the $0.21 to $0.22 range. Will predicted that the DOGE price could reach as high as $0.30 if it breaks out to the upside. This will mark a new 2025 high for the meme coin. Meanwhile, crypto analyst Trader Tardigrade provided a more bullish outlook for the Dogecoin price. In an X post , he said that DOGE remains bullish with the 5-wave Descending Broadening Wedge. His accompanying chart showed that the meme coin is preparing for a rally to as high as $0.7, which will bring it within reach of its current ATH of $0.73. At the time of writing, the Dogecoin price is trading at around $0.21, down in the last 24 hours, according to data from CoinMarketCap.

The European Central Bank (ECB) has stressed the importance of developing a digital euro.Its goal is to ensure secure, reliable capital flows even during major disruptions. And, of course, to strengthen resilience across the European financial system. This is fantastic news for Best Wallet, a novel non-custodial crypto wallet. As digital currencies like the euro move closer to mainstream adoption, the need for secure storage like Best Wallet becomes all the more apparent. For this reason, users might even prefer Best Wallet Token ($BEST) over the digital euro. Digital Euro Proposal Includes Distributed Infrastructure & Peer-to-Peer Payments In a recent press release , the ECB highlights its goals to make the euro ‘fit for the future’ with a digital euro that complements cash and guarantees payments are always possible. Such an initiative follows the heels of growing concerns over the currency’s resilience, particularly in the face of geopolitical tensions, cyberattacks, and infrastructure outages. By introducing a digital counterpart to cash, it aims to provide Europeans with constant access to a secure currency accepted worldwide – regardless of current circumstances. The digital euro proposal cites that it would be supported by a distributed infrastructure that operates across multiple regions. In turn, this should significantly reduce the risk of single points of failure. To top it off, it aims to launch an ECB-backed app that gives users the flexibility to switch between payment providers. This way, they can always make transactions, even if their preferred service of choice happens to be compromised. And that’s not all. The digital euro also plans to have offline functionality. Facilitating peer-to-peer payments without internet access would further strengthen its resilience during troublesome times. The timing perhaps couldn’t be better for $BEST . As the ECB lays the groundwork for the digital euro, demand for trusted wallets like its very own Best Wallet app is bound to surge. Best Wallet Aims to Dominate Crypto Wallet Sector by 2027 Best Wallet is a mobile-first crypto wallet with the ultimate aim of dominating the global wallet market by the end of next year. On the app, you can easily buy, sell, swap, and stake over a thousand tokens across major chains like Ethereum, Polygon, and BNB Chain. Support for over 60 networks is also on the way, opening up even more crypto opportunities. Best of all, it’s a super secure option for holding digital assets. As a non-custodial wallet, it gives you complete control over your private keys. It also supports 2FA, biometrics, and local encryption, so you can rest easy knowing that only you can access your funds. Plus, it offers personal cloud backups and simple account recovery so you can regain access anytime – even if you’ve lost your device and/or seed phrase. Beyond storage, it’s packed with lots of cutting-edge features. This includes a token launchpad for hunting down the best crypto presales to help boost your gains. It also has a swap feature that leverages an autorater so you can find the best exchange rates across 330+ DEXs and 30 bridges at the lowest possible prices. And it doesn’t end there. Best Wallet’s roadmap is jam-packed with upcoming innovations, including its own crypto debit card (Best Card), NFT gallery, and rewards hub. But to unwrap all the ecosystem’s benefits, you’ll want to scoop up some $BEST . Then, you can enjoy lower gas fees, staking rewards (currently at an 85% APY), and early access to the best crypto presales . Verdict – Digital Euro Could Significantly Bolster Best Wallet’s Demand The ECB’s plan to launch a digital euro highlights that the world is moving toward digital-first money. With resilience, security, and inclusion at the heart of its design, the digital euro could have what it takes to reshape payments across the entire European Union. As more users adopt digital currencies, they may become less skeptical about crypto assets. In turn, it could significantly help propel Best Wallet’s demand, and thus $BEST’s. $BEST is available on presale for $0.025595 and poised for growth owing to its utility. Projections even go as far as saying that it’ll reach $0.072 this year , after the app rollouts and exchange listings. Considering it has already attracted over $15.5M on presale, this could prove true; investor confidence is clearly substantial. But only time can truly be the judge. So DYOR and never invest more than you’d be sad to lose.

Crypto markets quickly sold off in mid-morning U.S. Friday hours even as August employment data argued for a quick pace of monetary easing from the Federal Reserve. At first, news that the U.S. added just 22,000 jobs last month had all markets - crypto, stocks, bonds and gold — in rally mode amid anticipation of the Fed cutting its benchmark interest rate 25 or even 50 basis points later in September. Things, however, quickly reversed following the opening of the stock market. Leading the way lower, was ether (ETH), which shed nearly 4% in a manner of minutes and is now down by 1.5% over the past 24 hours at $4,279. Solana (SOL) and XRP (XRP) suffered similar percentage-wise declines. Bitcoin (BTC) outperformed a bit, sliding closer to 2.5%, but still remaining slightly higher over the past day at $110,500. U.S. stocks reversed early gains, with the Nasdaq now down 0.6% and S&P 500 0.7%. Gold, however, continues to attract capital — though lower by a hair since touching a record high of $3,654 following the jobs data, the yellow metal is still up 0.9% for the session. “There’s barely been any job growth in the past 4 months,” Heather Long, chief economist at Navy Federal, wrote on X. “The Federal Reserve has to cut in September. And maybe October now.” Traders on the Chicago Mercantile Exchange (CME) have shifted their opinion on the size of the Fed’s cut in September. Before this morning’s report, odds of a 25 basis point rate cut were essentially 100%, but that's now slipped to 86%, with a 14% chance of a 50 basis point move. President Trump also weighed in on his Truth Social: Jerome 'Too Late"'Powell should have lowered rates long ago. As usual, he's 'too late'." “The warning bell that rang in the labor market a month ago just got louder," said Olu Sonola, Head of US Economic Research at Fitch Ratings. "A weaker-than-expected jobs report all but seals a 25-basis-point rate cut later this month," he continued. "Near term, the Fed is likely to prioritize labor market stability over its inflation mandate, even as inflation drifts further from the 2% target. Four straight months of manufacturing job losses stand out. It’s hard to argue that tariff uncertainty isn’t a key driver of this weakness." A check of crypto-related stocks finds this week's sizable weakness continuing. Coinbase (COIN) is lower by 4%, Circle (CRLC) by 7.5%, Strategy (MSTR) by 1.5%, MARA Holdings (MARA) by 3.2%. Leading ether treasury names Bitmine Immersion (BMNR) and Sharplink Gaming (SBET) are down 5.4% and 6%, respectively.

SEC chair Paul Atkins and CFTC acting chair Caroline Pham proposed a “24/7 Markets” policy plus eased rules for prediction markets and perpetual derivatives, aiming to align U.S. trading hours

More on Bullish Bullish: Hard To Be Bullish Bullish: Riding The Crypto Wave, Be Patient Bullish: Don't Fall Into The FOMO Trap Crypto extends decline as investors shed riskier assets Bullish says it arranged to receive $1.15B of IPO proceeds in stablecoins

The agencies also floated new policies intended to accelerate the creation of prediction markets, perpetuals markets, and related DeFi protocols in the United States.

BitcoinWorld Crucial Fed Rate Cuts: Bank of America’s Pivotal Shift for 2024 The financial world is buzzing with a significant update from Bank of America. They’ve made a pivotal shift in their economic outlook, now forecasting two Fed rate cuts this year. This is a big change from their previous stance of no cuts at all. What does this surprising reversal mean for the broader economy and, more specifically, for the dynamic cryptocurrency markets? Let’s dive into the implications of this crucial development. Why the Sudden Change in Fed Rate Cuts Outlook? Bank of America’s economists have revised their projections, citing evolving economic data. Initially, the expectation was for the Federal Reserve to hold steady. However, recent indicators suggest a different path. This shift reflects a growing consensus among some financial institutions. They believe the Fed will now ease monetary policy sooner than previously anticipated. Understanding these Fed rate cuts is key for investors and market watchers. It signals a potential change in the economic environment. The Federal Reserve’s decisions on interest rates are a primary tool for managing inflation and economic growth. When rates are cut, borrowing becomes cheaper, which can stimulate spending and investment. This can have a ripple effect across various sectors. For the crypto space, lower interest rates often translate to a more attractive environment for risk assets. Investors might seek higher returns in alternative investments like digital currencies. This dynamic makes the prospect of Fed rate cuts particularly relevant for crypto enthusiasts. How Do Fed Rate Cuts Impact the Broader Economy? Lower interest rates typically lead to several economic outcomes: Increased Borrowing: Businesses and consumers find it less expensive to take out loans for expansion or purchases. Stimulated Spending: Cheaper credit can boost consumer confidence and spending, driving economic activity. Stock Market Rally: Companies might see increased profits, potentially leading to higher stock valuations. Weakened Dollar: A lower interest rate environment can make the U.S. dollar less attractive to foreign investors. These factors collectively aim to prevent economic slowdowns or recessions. The potential for two Fed rate cuts suggests the central bank is prepared to act to support growth. However, there are also considerations. While stimulating growth, aggressive rate cuts could reignite inflationary pressures. The Fed must carefully balance these competing objectives. Their primary mandate is price stability and maximum employment. For everyday consumers, lower rates can mean reduced mortgage payments or cheaper car loans. This directly impacts household budgets and purchasing power. The forecast of upcoming Fed rate cuts is therefore significant for personal finance. What Could These Fed Rate Cuts Mean for Crypto? The cryptocurrency market often reacts to macroeconomic shifts. Historically, periods of lower interest rates have sometimes coincided with increased interest in digital assets. Here’s why: Search for Yield: In a low-interest-rate environment, traditional savings and bonds offer less attractive returns. Investors may look for higher-yield opportunities, including cryptocurrencies. Increased Liquidity: Easier money policies can lead to more capital flowing into various markets, including crypto. Inflation Hedge Narrative: If rate cuts lead to inflation concerns, some investors might turn to Bitcoin and other cryptocurrencies as a potential hedge against a devaluing fiat currency. Therefore, the anticipated Fed rate cuts could provide a tailwind for the crypto market, though it’s never a guaranteed outcome. It’s important to remember that the crypto market is influenced by many factors beyond just interest rates. Regulatory developments, technological advancements, and market sentiment all play crucial roles. However, the macroeconomic backdrop set by the Federal Reserve’s policy decisions remains a powerful force. Investors should closely monitor the Fed’s communications and economic data releases as the year progresses. These insights will be crucial for navigating the evolving landscape. Bank of America’s revised forecast for two Fed rate cuts in 2024 marks a significant pivot in economic expectations. This change suggests a proactive stance by the Federal Reserve to support economic growth. While the full impact will unfold over time, the implications for both traditional markets and the dynamic cryptocurrency space are considerable. Investors should stay informed and consider how these potential policy shifts might influence their strategies. The coming months promise to be fascinating as we watch these economic currents develop. Frequently Asked Questions (FAQs) What is the Federal Reserve’s primary role? The Federal Reserve, often called the Fed, is the central bank of the United States. Its primary roles include managing the nation’s monetary policy, supervising and regulating banking institutions, maintaining financial stability, and providing financial services. What does “cutting interest rates” mean? When the Fed cuts interest rates, it typically refers to lowering the federal funds rate, which is the target rate for overnight lending between banks. This action generally leads to lower interest rates across the economy, making borrowing cheaper for consumers and businesses. Why did Bank of America change its forecast for Fed rate cuts? Bank of America revised its forecast based on evolving economic data and its economists’ analysis of the Federal Reserve’s potential actions. This suggests new information or a reinterpretation of existing trends led to the change from zero cuts to two cuts. How might Fed rate cuts specifically affect Bitcoin and other cryptocurrencies? Lower interest rates can make traditional assets like bonds less attractive, prompting investors to seek higher returns in riskier assets, including cryptocurrencies. Additionally, increased liquidity in the financial system due to easier monetary policy can flow into crypto markets. Are Fed rate cuts guaranteed to boost the crypto market? While Fed rate cuts can be a positive catalyst for crypto, they do not guarantee a market boost. The crypto market is influenced by a multitude of factors, including regulatory news, technological developments, and overall market sentiment. It’s one factor among many. Did you find this analysis of the anticipated Fed rate cuts insightful? Share this article with your network on social media to keep others informed about these crucial economic developments and their potential impact on financial markets, including crypto! To learn more about the latest crypto market trends, explore our article on key developments shaping Bitcoin price action . This post Crucial Fed Rate Cuts: Bank of America’s Pivotal Shift for 2024 first appeared on BitcoinWorld and is written by Editorial Team

BitcoinWorld Kazakhstan Stablecoins: Pioneering a New Era for Regulatory Payments A groundbreaking development is reshaping the financial landscape: Kazakhstan has begun accepting dollar-pegged stablecoins for licensing and regulatory fees. This innovative move, reported by Cointelegraph, marks a significant step forward for digital assets within a regulated framework. It signals a future where Kazakhstan stablecoins could become a standard for government-related transactions, offering a glimpse into the potential for broader crypto integration. How Does This New System Work with Kazakhstan Stablecoins? To facilitate this pioneering initiative, Kazakhstan’s financial regulator has established a crucial partnership. They signed a multilateral memorandum of understanding (MOU) with Bybit, a prominent cryptocurrency exchange. This collaboration is central to the operational success of the new payment method. MOU Requirement: Companies interested in paying their fees with stablecoins must also sign this multilateral MOU. This ensures all parties understand and adhere to the established protocols. Streamlined Process: The system aims to simplify the payment of licensing and regulatory fees, potentially reducing administrative hurdles for businesses operating in Kazakhstan. Dollar-Pegged Focus: The emphasis on dollar-pegged stablecoins, such as USDT or USDC, highlights a preference for assets that maintain a stable value, mitigating volatility concerns often associated with other cryptocurrencies. This strategic alliance underscores Kazakhstan’s commitment to embracing financial technology while maintaining regulatory oversight. The acceptance of stablecoins is not just about convenience; it’s about integrating digital solutions into traditional financial operations. Why Are Kazakhstan Stablecoins a Game Changer for Crypto Adoption? This move by Kazakhstan holds profound implications beyond just fee payments. It represents a significant endorsement of stablecoins as a legitimate and practical medium for financial transactions within a national economy. It sets a precedent that other nations might consider following. The integration of Kazakhstan stablecoins into regulatory payments offers several key advantages: Efficiency: Stablecoin transactions can be processed faster and often at lower costs compared to traditional banking methods, especially for international payments. Transparency: Blockchain technology provides an immutable record of transactions, enhancing transparency for both the regulator and the paying entity. Accessibility: It opens up payment avenues for companies that might find traditional banking systems less accessible or more cumbersome for cross-border operations. Regulatory Clarity: By establishing a clear framework for stablecoin use, Kazakhstan provides much-needed regulatory clarity, encouraging more businesses to explore digital asset opportunities within its borders. This initiative positions Kazakhstan as a forward-thinking nation in the global digital finance arena, demonstrating a practical approach to leveraging blockchain technology for governmental functions. What Challenges and Opportunities Lie Ahead? While the adoption of Kazakhstan stablecoins for regulatory fees presents immense opportunities, it also comes with its share of challenges. Navigating this new landscape will require careful consideration and adaptability from all stakeholders. Compliance and Education: Companies will need to understand the specific compliance requirements associated with stablecoin payments and ensure their financial teams are adequately educated on the process. Technological Infrastructure: Both the regulator and businesses must ensure robust technological infrastructure is in place to support these transactions securely and efficiently. Market Volatility (Indirect): While stablecoins are designed to minimize volatility, broader market perceptions of cryptocurrencies could still influence their acceptance and integration. However, the opportunities far outweigh the challenges. This move could attract more blockchain and crypto-focused businesses to Kazakhstan, fostering innovation and economic growth. It solidifies the country’s position as a hub for digital finance in Central Asia. In conclusion, Kazakhstan’s decision to accept stablecoins for regulatory fees is a monumental step. It’s a testament to the growing maturity and acceptance of digital assets within established financial systems. This bold move by the financial regulator, in partnership with Bybit, not only streamlines payment processes but also paves the way for deeper integration of blockchain technology into governmental functions globally. The future of finance is increasingly digital, and Kazakhstan stablecoins are leading the charge. Frequently Asked Questions (FAQs) Q1: What exactly are stablecoins? A1: Stablecoins are a type of cryptocurrency designed to maintain a stable value by being pegged to a reserve asset, such as the U.S. dollar, gold, or other fiat currencies. This stability makes them suitable for transactions where price volatility is a concern. Q2: Which stablecoins are accepted by Kazakhstan’s financial regulator? A2: The report indicates that dollar-pegged stablecoins are being accepted. While specific stablecoin names like USDT or USDC are not explicitly mentioned in the initial report, these are common examples of dollar-pegged stablecoins that could be used. Q3: Do all companies have to pay fees with stablecoins? A3: No, it’s an option. Companies wishing to pay with stablecoins must sign a multilateral memorandum of understanding (MOU) with the regulator and Bybit. Traditional payment methods are likely still available. Q4: How does this benefit businesses operating in Kazakhstan? A4: Businesses can benefit from potentially faster and more efficient payment processing, especially for international transactions. It also provides a modern alternative to traditional payment systems and demonstrates a progressive regulatory environment. Q5: What role does Bybit play in this initiative? A5: Bybit has signed a multilateral MOU with Kazakhstan’s financial regulator to facilitate the acceptance of stablecoins for fees. This suggests Bybit likely acts as a key partner in processing or enabling these stablecoin transactions. Q6: Could other countries follow Kazakhstan’s lead? A6: Yes, Kazakhstan’s move could serve as a case study and encourage other nations to explore similar initiatives. As digital assets gain wider acceptance, more governments may look for ways to integrate them into their financial and regulatory systems. Did you find this article insightful? Share this exciting development about Kazakhstan’s pioneering move with your network on social media! Let’s spread the word about the future of digital finance. To learn more about the latest crypto market trends, explore our article on key developments shaping stablecoins institutional adoption . This post Kazakhstan Stablecoins: Pioneering a New Era for Regulatory Payments first appeared on BitcoinWorld and is written by Editorial Team

Cryptocurrency exchange Gemini, founded by the Winklevoss twins, has announced a significant expansion of its services in the European Union, introducing Ethereum and Solana staking alongside perpetual futures contracts. This move aligns with the exchange’s recent regulatory approval under the EU’s Markets in Crypto-Assets Regulation, positioning Gemini as a key player in Europe’s evolving crypto market. Gemini noted that this move aligns with its commitment to providing a comprehensive and regulated platform for both retail and institutional investors across the European Economic Area (EEA). The exchange brings ETH and SOL staking to users in the EEA as it targets a strategic expansion across a market seeing significant growth. Ethereum and Solana staking The staking, which allows EU users to earn rewards on Ethereum (ETH) and Solana (SOL) with no minimum deposit requirement, has been made accessible to a wide range of investors. Gemini @Gemini · Follow Your crypto just got more powerful.EU users can now stake SOL & ETH for token rewards and trade Perpetuals with up to 100x leverage. 6:24 pm · 5 Sept 2025 40 Reply Copy link Read 9 replies Gemini Staking will allow customers to earn rewards by staking any amount of ETH or SOL. The exchange launched institutional Solana staking in June. The service offers variable annual percentage rates (APRs) for ETH, depending on market conditions, and up to 6% APR for SOL. Rewards are distributed daily and integrated into the Gemini app, enabling users to track their earnings in real time. In addition to security features, the platform employs institutional-grade custody with segregated cold storage, allowing investors to earn passive income without the need to manage private keys. Gemini perpetuals bring regulated derivatives By introducing USDC-denominated perpetual futures contracts, which have no expiry dates, Gemini is enabling sophisticated traders to take long or short positions with up to 100x leverage. Offer aligns with regulatory guidelines under the EU’s Markets in Financial Instruments Directive (MiFID II). This allows users to trade spot and derivatives markets from a single interface, with the added flexibility of cross-collateralization using spot balances, as well as offering services to professional investors seeking advanced trading strategies like hedging and basis trades. Regulatory compliance and market positioning The expansion follows its approval under MiCA via Malta’s Financial Services Authority and an earlier MiFID II license, which ensures compliance with Europe’s stringent financial frameworks, enhancing trust among users. “Europe continues to be a strategic focus for Gemini,” said Mark Jennings, Gemini’s CEO of Europe. He added, “The introduction of the MiCA framework presents an unparalleled opportunity for Europe to lead the global crypto race by setting the global benchmark for crypto regulations, standardising regulations across all 30 EU jurisdictions, and giving confidence to the millions of investors. Gemini has long championed clear, forward-thinking regulation, and MiCA will allow us to continue to deepen our presence in the region.” Gemini’s timely introduction of perpetuals and staking aligns with growing demand for yield-generating and leveraged products, signalling a broader push to capture market share. The post Gemini expands EU offering with ETH and SOL staking appeared first on Invezz