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BitcoinWorld SUI DEX Volume Achieves Explosive $14.3 Billion Milestone The world of decentralized finance, or DeFi, is constantly evolving, and every now and then, a blockchain ecosystem truly captures attention with remarkable growth. In a recent development that sent ripples through the crypto community, the SUI DEX volume reached an unprecedented $14.3 billion in July. This figure, as reported by DefiLlama, marks the highest level ever recorded for SUIâs decentralized exchanges, signaling a significant milestone for the relatively new blockchain. For those keeping a close eye on the DeFi landscape, this surge in SUI DEX volume is more than just a number; it represents a burgeoning ecosystem demonstrating its capabilities. It prompts questions about what factors contributed to this explosive growth and what it means for the future of SUI and the broader decentralized finance space. Letâs dive deeper into this fascinating development. What is Driving the Explosive SUI DEX Volume? The record-breaking $14.3 billion in SUI DEX volume during July is a testament to the increasing activity and confidence within the SUI ecosystem. SUI, a Layer 1 blockchain developed by Mysten Labs, is designed for high performance, low latency, and parallel execution, making it particularly well-suited for high-throughput applications like decentralized exchanges. These inherent technical advantages lay the groundwork for robust trading environments. Decentralized exchanges, or DEXs, allow users to trade cryptocurrencies directly with each other, without the need for a central intermediary. This peer-to-peer model offers greater transparency, security, and control over assets. The substantial increase in SUI DEX volume indicates a growing preference among traders for the DEX experience offered on the SUI network. Several factors likely contributed to this impressive surge: Technological Efficiency: SUIâs architecture, which includes object-centric data model and parallel transaction execution, allows for extremely fast and low-cost transactions. This efficiency is crucial for high-frequency trading on DEXs, attracting users who prioritize speed and affordability. Ecosystem Expansion: July saw the launch and maturation of various DeFi protocols and applications on SUI. New DEXs, lending platforms, and yield aggregators emerged, providing more options and liquidity for users. As more projects build on SUI, the network effect strengthens, drawing in more users and capital. Liquidity Incentives and Campaigns: Many DEXs on SUI likely implemented attractive liquidity mining programs, airdrops, or trading competitions. These incentives encourage users to provide liquidity and engage in trading activities, directly boosting SUI DEX volume . Increased User Adoption: As the SUI ecosystem gains more recognition and its user-friendly interfaces improve, a wider audience is drawn to its platforms. Simplified onboarding processes and improved accessibility contribute significantly to user growth and, consequently, trading volume. Unpacking the Growth: Key Factors Behind SUI DEX Volumeâs Ascent Beyond the fundamental advantages of the SUI blockchain, the specific dynamics of the market and the strategic moves within the ecosystem played a pivotal role in the dramatic increase in SUI DEX volume . Understanding these nuances provides a clearer picture of SUIâs rapid ascent in the DeFi world. Consider the following aspects that fueled this remarkable growth: Strategic Partnerships and Integrations: The SUI network has been actively forging partnerships and integrating with various service providers, wallets, and data analytics platforms. These integrations enhance the overall user experience and make it easier for new users to access and interact with SUI DEXs, contributing to higher trading activity. Community Engagement: A vibrant and active community is often a strong indicator of a healthy blockchain ecosystem. SUIâs community has been highly engaged, participating in governance, providing feedback, and promoting the network. This collective enthusiasm can drive organic growth in trading volume as more users discover and utilize SUIâs DeFi offerings. Developer Activity: A consistent influx of new developers building innovative applications on SUI signals a robust and forward-looking ecosystem. Increased developer activity leads to more sophisticated DeFi products and services, which in turn attracts more users and generates higher SUI DEX volume . Positive Market Sentiment: While the broader crypto market can be volatile, periods of positive sentiment often lead to increased trading across all chains. If July saw a general uptick in confidence or specific narratives favoring high-performance Layer 1s, SUI would naturally benefit from this broader trend, pushing its DEX volume higher. Factor Impact on SUI DEX Volume Technological Efficiency Faster, cheaper trades attract high-frequency traders. Ecosystem Expansion More trading pairs and DeFi opportunities. Liquidity Incentives Directly encourages trading and liquidity provision. User Adoption Wider user base translates to more transactions. The Impact of Surging SUI DEX Volume on the Ecosystem The record-setting SUI DEX volume is not just a statistical achievement; it has profound implications for the entire SUI ecosystem and its standing in the competitive DeFi landscape. This surge indicates a robust and maturing environment, signaling positive developments for all participants. What Does High Trading Volume Mean for SUI? A high trading volume on decentralized exchanges brings several significant benefits: Enhanced Liquidity: Higher volume typically means deeper liquidity pools. This reduces slippage for traders, making large trades more efficient and attractive. It also ensures that there are always buyers and sellers available, leading to a smoother trading experience. Increased Developer Attraction: A thriving ecosystem with high user activity and liquidity is a magnet for developers. Projects looking to build innovative DeFi applications or integrate existing ones will be more inclined to choose SUI, further enriching its dApp landscape. Network Effect and Validation: The impressive SUI DEX volume validates SUIâs underlying technology and its promise of scalability and efficiency. This success can create a powerful network effect, drawing in more users, developers, and institutional interest, reinforcing SUIâs position as a serious contender in the Layer 1 space. Economic Boost: Increased trading activity can lead to higher transaction fees, which might contribute to the networkâs economic sustainability and reward validators and stakers. It also signifies real-world utility and demand for the SUI token. Navigating the SUI DEX Landscape: Opportunities and Challenges While the surge in SUI DEX volume presents exciting opportunities, itâs also important for users and investors to understand the landscape, including both its potential benefits and inherent risks. Engaging with decentralized finance requires a degree of awareness and due diligence. What Opportunities Await Traders on SUI DEXs? For those looking to participate in the SUI ecosystem, the high DEX volume translates into several opportunities: Access to Diverse Assets: SUI DEXs offer a growing variety of tokens, including native SUI assets and bridged tokens, providing ample trading opportunities. Yield Farming and Liquidity Provision: Users can contribute to liquidity pools on SUI DEXs and earn a share of trading fees, often supplemented by additional token rewards from liquidity mining programs. Exploring Emerging Projects: The SUI ecosystem is still relatively young and dynamic, meaning early participants might discover promising new projects and tokens before they gain widespread attention. Are There Challenges or Risks to Consider? As with any high-growth area in crypto, challenges and risks exist: Market Volatility: Cryptocurrency markets are inherently volatile. While high volume indicates activity, it doesnât eliminate the risk of price fluctuations. Impermanent Loss: For liquidity providers, impermanent loss is a risk where the value of their deposited assets can decrease relative to simply holding them, due to price divergence between the pooled assets. Smart Contract Risks: While SUIâs Move language is designed for security, smart contracts are not entirely immune to bugs or exploits. Users should always be cautious when interacting with new or unaudited protocols. Regulatory Uncertainty: The regulatory landscape for DeFi is still evolving. Changes in regulations could impact DEX operations and user participation. It is always advisable to conduct thorough research, understand the mechanisms of the DEXs you use, and never invest more than you can afford to lose. The remarkable growth in SUI DEX volume is a positive sign, but informed participation remains key. The explosive growth of SUI DEX volume to $14.3 billion in July is a landmark achievement for the SUI blockchain. It underscores the networkâs technical prowess, the rapid expansion of its ecosystem, and the increasing confidence of users in its decentralized finance offerings. This surge in trading activity is a powerful indicator of SUIâs potential to become a major player in the DeFi space, attracting more developers, users, and capital to its vibrant ecosystem. While opportunities abound, a clear understanding of the associated risks is crucial for anyone looking to engage with this dynamic environment. SUIâs journey is just beginning, and its ability to sustain and build upon this momentum will be fascinating to watch. Frequently Asked Questions (FAQs) What is SUI DEX volume? SUI DEX volume refers to the total value of cryptocurrency traded on decentralized exchanges (DEXs) built on the SUI blockchain over a specific period. It indicates the level of trading activity and liquidity within the SUI DeFi ecosystem. Why did SUI DEX volume increase so significantly in July? The significant increase in SUI DEX volume in July was driven by several factors, including SUIâs efficient blockchain architecture, the rapid expansion of its DeFi ecosystem with new projects, attractive liquidity incentives offered by DEXs, and a general increase in user adoption of the SUI network. What are the benefits of trading on SUI DEXs? Trading on SUI DEXs offers benefits such as low transaction fees, high transaction speeds due to SUIâs parallel execution capabilities, access to a growing variety of digital assets, and opportunities for yield farming and liquidity provision. Are there risks associated with SUI DEX trading? Yes, like all DeFi activities, SUI DEX trading carries risks. These include market volatility, impermanent loss for liquidity providers, potential smart contract vulnerabilities, and the evolving regulatory landscape of decentralized finance. Users should always exercise caution and conduct their own research. How does SUI compare to other blockchains for DEX trading? SUI distinguishes itself with its object-centric model and parallel execution, which aims to provide superior scalability and lower transaction costs compared to many other Layer 1 blockchains. This makes it highly competitive for high-volume DEX trading, offering an alternative to established networks like Ethereum or Solana. What does the record SUI DEX volume mean for the future of SUI? The record SUI DEX volume validates the networkâs capabilities and attractiveness for DeFi. It suggests a strong foundation for future growth, potentially attracting more developers, users, and capital, further solidifying SUIâs position as a significant player in the decentralized finance space. Did you find this article insightful? Share it with your friends and fellow crypto enthusiasts on social media to help them understand the exciting developments in the SUI ecosystem! To learn more about the latest crypto market trends, explore our article on key developments shaping the DeFi space and its institutional adoption. This post SUI DEX Volume Achieves Explosive $14.3 Billion Milestone first appeared on BitcoinWorld and is written by Editorial Team
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The bears are having a field day, pushing the total cryptocurrency market capitalization down by more than $130 billion. This comes on the back of considerable losses from Bitcoin, which dropped by 3% in the past 24 hours. However, the majority of altcoins are having it way worse. Ethereum is down by 6%, BNB by 4.5%, SOL â by 5%, while many of the large caps are trading at discounts greater than 4%. Source: Quantify Crypto That said, there are only two tokens in the top 50 that are in the green, charting nominal gains â TONCOIN and ENA. Rippleâs XRP is holding very strong relative to the rest of the market and it is seemingly holding its ground, dropping by only 1.2% in the interim. As CryptoPotato reported earlier today, XRP recorded a notable surge in interest in the US during the second quarter, as evidenced by the Q2 report by Coinbase. According to the release, the altcoin surpassed ETH by means of trading revenue, highlighting its surge in popularity and valuation. Todayâs worst performer is HYPE, which dropped by a whopping 11%, followed by Curve DAO (CRV) and SPX6900 (SPX), both of which lost about 7.5%. The post Ripple (XRP) Price Holds Strong Relative to Broader Altcoin Meltdown appeared first on CryptoPotato .
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BitcoinWorld Federal Reserve Impact: Decoding the Crucial Shift After Kuglerâs Resignation The world of finance is constantly abuzz with news, but some developments carry a weight that resonates across every market, from traditional stocks to the volatile cryptocurrency space. One such piece of news recently broke, signaling a potentially significant shift in the United Statesâ economic landscape: Federal Reserve Governor Adriana Kugler is stepping down on August 8, months ahead of her termâs official end in January. This early departure creates a crucial opening for a new appointment, potentially reshaping the very core of US monetary policy and, by extension, the future of the crypto market. The immediate question on everyoneâs mind is: what will be the true Federal Reserve Impact ? Kugler, an appointee of former U.S. President Biden, has been a key voice within the Fedâs Board of Governors. Her resignation, first reported by Watcher Guru on X, isnât just a routine personnel change; itâs a strategic moment that could alter the delicate balance of opinions within the Federal Open Market Committee (FOMC). This committee is the powerhouse behind interest rate decisions and other critical monetary policies that directly influence economic growth, inflation, and investor sentiment. For those tracking digital assets, understanding this evolving situation is paramount, as the Fedâs actions often ripple through the crypto ecosystem in profound ways. What Does Federal Reserve Impact Mean for Policy Direction? To truly grasp the potential Federal Reserve Impact , it is essential to understand the institutionâs role. The Federal Reserve, often simply called âthe Fed,â serves as the central bank of the United States. Its primary mandates are to promote maximum employment, maintain stable prices (control inflation), and ensure moderate long-term interest rates. These goals are achieved through various tools, most notably by adjusting the federal funds rate, which influences borrowing costs across the economy, and managing its balance sheet through quantitative easing or tightening. Adriana Kugler joined the Board of Governors in September 2022, bringing with her a background in economics and labor market research. As one of the seven governors, she held a permanent voting seat on the FOMC, making her voice influential in policy debates. Her departure opens a vacancy that, under normal circumstances, would be filled by the sitting president. However, with her early resignation occurring months before her term concludes and potentially coinciding with a presidential transition, the opportunity arises for President Trump to nominate her replacement should he win the upcoming election. This introduces a significant political dimension to what is typically an economic decision, potentially leading to a nominee with a different philosophical approach to monetary policy. A new appointment could shift the overall leanings of the FOMC. The committee is a mix of economists, bankers, and academics, each bringing their own perspectives on economic conditions and the appropriate policy response. The addition of a new Governor, especially one chosen by a different administration, could alter the consensus on critical issues like the pace of interest rate changes, the size of the Fedâs balance sheet, and even the approach to inflation targeting. This is why market participants are closely watching for any indication of who might be nominated, as their stance could signal a new era for monetary policy. Understanding the Fedâs Internal Balance and Future Direction The Federal Open Market Committee (FOMC) is comprised of 12 voting members: the seven members of the Board of Governors, the president of the Federal Reserve Bank of New York, and presidents of four other Federal Reserve Banks on a rotating basis. This structure ensures a diversity of regional economic perspectives, but the Board of Governors holds a consistent and significant sway. Within the FOMC, members are often characterized as either âdovishâ or âhawkish.â A dovish stance typically favors lower interest rates and looser monetary policy to stimulate economic growth and employment, even if it means tolerating slightly higher inflation. A hawkish stance, conversely, prioritizes controlling inflation, even if it means higher interest rates and potentially slower economic growth. Governor Kugler has generally been perceived as leaning dovish, aligning with a cautious approach to rate hikes and an emphasis on labor market conditions. Her replacement could tip the scales. If a new appointee is more hawkish, the committee might lean towards a more aggressive stance on inflation, potentially leading to higher or more prolonged periods of elevated interest rates. Conversely, a similarly dovish replacement would maintain the existing balance. The political affiliation of the nominating president often influences this leaning, with Republican appointees sometimes perceived as more hawkish and Democratic appointees more dovish, though this is not always a strict rule. The balance of power within the FOMC directly dictates the future trajectory of interest rates, which are the bedrock of the global financial system. Here is a simplified look at the FOMCâs voting structure and how a change can ripple through decisions: FOMC Member Type Number of Members Influence on Policy Board of Governors 7 (including Chair) Permanent voting members, set overall direction and strategy. New York Fed President 1 Permanent voting member, executes open market operations. Other Fed Bank Presidents 4 (rotating) Contribute regional economic insights, influence debate and provide diverse viewpoints. How Could This Federal Reserve Impact Cryptocurrency Markets? The connection between the Federal Reserveâs actions and the cryptocurrency market might not always be immediately obvious, but it is undeniably strong. The overarching Federal Reserve Impact on the broader financial landscape inevitably spills over into digital assets. Hereâs how: Interest Rates and Risk Appetite: Higher interest rates generally make traditional, less volatile investments like government bonds more attractive. When investors can earn a good return with minimal risk, their appetite for riskier assets, such as cryptocurrencies, tends to diminish. Conversely, lower interest rates push investors towards higher-yielding, riskier assets in search of returns, often benefiting crypto. A shift in the Fedâs stance on rates, influenced by a new Governor, could therefore directly affect the flow of capital into crypto. Liquidity: The Fedâs balance sheet operations, like quantitative easing (QE) or quantitative tightening (QT), significantly impact market liquidity. QE injects money into the financial system, creating a more abundant supply of capital that can flow into various assets, including crypto. QT, on the other hand, withdraws liquidity, potentially leading to tighter financial conditions and downward pressure on asset prices. Any change in the Fedâs approach to its balance sheet, influenced by new committee members, would have a direct liquidity Federal Reserve Impact on crypto markets. Economic Stability and Sentiment: The Fedâs primary goal is to maintain economic stability. When the economy is perceived as stable and growing, investor confidence tends to be high, fostering a ârisk-onâ environment where speculative assets like crypto can thrive. Conversely, periods of economic uncertainty or recession, often influenced by Fed policy decisions, can lead to a ârisk-offâ sentiment, prompting investors to pull out of volatile assets. The perceived hawkishness or dovishness of the Fed, especially with new appointments, can significantly shape this sentiment. Historical Correlation: We have seen clear correlations in the past. During periods of aggressive Fed rate hikes, such as in 2022, Bitcoin and the broader crypto market experienced significant downturns. Conversely, periods of lower rates and ample liquidity have often coincided with bull runs in crypto. While correlation does not always imply causation, the macro-economic environment set by the Fed is a dominant factor influencing the flow of capital globally, and crypto is no exception. Therefore, tracking who might replace Governor Kugler and their likely policy leanings is not just an academic exercise for crypto investors; itâs a practical necessity for understanding potential future market conditions. Navigating the Uncertainty: Actionable Insights for Investors Given the potential for a significant Federal Reserve Impact , how should cryptocurrency investors prepare and react? Navigating periods of policy uncertainty requires a thoughtful and strategic approach rather than impulsive decisions. Here are some actionable insights: Stay Informed and Monitor Appointments: Keep a close watch on news regarding the nomination process for Governor Kuglerâs replacement. Research the economic views and past statements of any potential candidates. Understanding their likely stance on inflation, employment, and monetary policy tools will provide valuable clues about the Fedâs future direction. Analyze Economic Indicators: The Fedâs decisions are data-dependent. Pay attention to key economic reports such as inflation rates (CPI, PCE), employment figures (non-farm payrolls, unemployment rate), and GDP growth. These indicators provide insight into what the Fed might prioritize and how it might react, regardless of who is on the committee. Diversify Your Portfolio: While tempting to go all-in on one asset, diversification remains a cornerstone of sound investment strategy. This applies not only within your crypto portfolio (e.g., holding a mix of Bitcoin, Ethereum, and other altcoins) but also across different asset classes. A diversified portfolio can help cushion the blow if one particular market segment is negatively affected by policy changes. Consider a Long-Term Perspective: Cryptocurrency markets are inherently volatile. Short-term reactions to macro news, including Fed announcements, can be significant. However, for many investors, a long-term perspective focused on the fundamental technology and adoption of digital assets can help weather short-term fluctuations. Avoid panic selling or buying based solely on immediate news cycles. Risk Management is Key: Implement robust risk management strategies. This includes setting stop-loss orders, not investing more than you can afford to lose, and regularly reviewing your portfolioâs exposure to different risks. Understanding your personal risk tolerance is crucial, especially during periods of increased market uncertainty driven by policy shifts. By proactively researching and applying these strategies, investors can better position themselves to navigate the potential shifts brought about by the evolving composition of the Federal Reserve and its ongoing Federal Reserve Impact on global markets. A New Chapter for the Federal Reserve and Crypto Markets The resignation of Federal Reserve Governor Adriana Kugler on August 8 marks a pivotal moment for the US central bank and, by extension, for the global financial markets, including the dynamic world of cryptocurrency. Her early departure creates an immediate vacancy, opening the door for a new presidential appointment that could significantly alter the internal balance of the Federal Open Market Committee. This shift holds the potential to influence the Fedâs future approach to monetary policy, particularly concerning interest rates and liquidity management. For cryptocurrency investors, understanding this evolving situation is not merely an academic exercise but a critical component of informed decision-making. The Federal Reserve Impact on liquidity, risk appetite, and overall economic sentiment directly translates into potential movements in Bitcoin and altcoin prices. As the nomination process unfolds and a new Governor takes their seat, the market will be keenly watching for signs of a shift towards more hawkish or dovish policies. Staying informed, diversifying portfolios, and maintaining a long-term perspective will be essential strategies for navigating the uncertainties that lie ahead. Frequently Asked Questions (FAQs) Q1: Who is Adriana Kugler and why is her resignation significant for the Federal Reserve Impact? Adriana Kugler is a Federal Reserve Governor appointed by President Biden. Her resignation is significant because it creates an early vacancy on the Board of Governors, allowing the sitting president to nominate a replacement sooner than expected. This new appointment could alter the balance of opinions within the Federal Open Market Committee (FOMC) and influence future monetary policy decisions, impacting the overall Federal Reserve Impact on the economy. Q2: How does the Federal Reserve influence interest rates? The Federal Reserve influences interest rates primarily through the federal funds rate, which is the target rate for overnight lending between banks. By raising or lowering this target, the Fed affects borrowing costs throughout the economy, from consumer loans to business investments. These rate changes are decided by the FOMC, and the leanings of its members (dovish vs. hawkish) directly shape these decisions. Q3: What is the potential Federal Reserve Impact on Bitcoinâs price? The Federal Reserve Impact on Bitcoinâs price is often indirect but profound. Higher interest rates can make traditional investments more attractive, reducing demand for riskier assets like Bitcoin. Conversely, lower rates and increased liquidity (e.g., through quantitative easing) can encourage investment in cryptocurrencies. Changes in Fed policy can also influence overall market sentiment (risk-on/risk-off), which affects crypto valuations. Q4: What is the difference between âdovishâ and âhawkishâ Fed policies? A âdovishâ Fed policy typically favors lower interest rates and looser monetary conditions to stimulate economic growth and employment, even if it means tolerating slightly higher inflation. A âhawkishâ policy, on the other hand, prioritizes controlling inflation, often through higher interest rates and tighter monetary conditions, even if it might slow economic growth. Q5: When will a new Governor be appointed to the Federal Reserve? The timeline for a new Governorâs appointment depends on the nominating president and the Senate confirmation process. Given Governor Kuglerâs resignation date of August 8 and the upcoming U.S. presidential election, the appointment could occur relatively quickly if the current administration nominates a replacement, or it could be delayed until after the election results are clear and a new administration takes office in January. If you found this analysis of the Federal Reserveâs evolving landscape and its implications for the crypto market insightful, please consider sharing it with your network. Your engagement helps us continue to provide timely and relevant financial news and insights to a broader audience. To learn more about the latest crypto market trends, explore our article on key developments shaping Bitcoin and Ethereum institutional adoption. This post Federal Reserve Impact: Decoding the Crucial Shift After Kuglerâs Resignation first appeared on BitcoinWorld and is written by Editorial Team
The GENIUS Act is the first major piece of crypto legislation to be passed by the United States Congress. The bill sets forth regulatory requirements for stablecoins and issuers in the US, finally allowing institutions and big banks to take advantage of these digital assets . Yet the GENIUS Act extends beyond benefiting large financial corporations. Technology companies that facilitate tokenization are now finally able to operate under regulatory frameworks provided by the GENIUS Act. For far too long, certain industries and American consumers have been left in the dark. That changes today with the GENIUS Act â a bipartisan step forward that will provide regulatory clarity for payment stablecoins. pic.twitter.com/H44W25dJzh â U.S. Senate Banking Committee GOP (@BankingGOP) March 13, 2025 Tokenization Companies Gain Regulatory Clarity Dave Hendricks, CEO and founder of Vertalo, told Cryptonews that while the passage of the GENIUS Act provides large financial institutions with regulatory clearance to implement distributed ledger technology (DLT), the beneficiaries of the GENIUS Act are technology companies. âCompanies like Vertalo that enable institutions to issue and manage tokenized products and stablecoins are the real winners here,â Hendricks said. âWinning the stablecoin arms race will spur new investments in technologyâand likely M&Aâmostly to the benefit of builders, rather than to the banks, who may have to forego building in favor of buying.â While much attention has been given to big banks taking advantage of stablecoins due to the GENIUS Act , Hendricks shared that Vertaloâa real-world asset (RWA) tokenization platform founded in 2017âfinally has regulatory clearance to implement DLT without fear of arbitrary enforcement actions. âBuilding distributed ledger technology platforms that comply with settled and emerging securities regulations as well as scale to enterprise volume is hard work and requires years of development,â Hendricks said. âIf banks and other financial institutions are looking for speed to market, they will likely need to look outside.â This appears to be the case. Walter Hessert, head of strategy for Paxosâthe blockchain infrastructure provider behind PayPalâs PYUSD stablecoinâtold Cryptonews that the GENIUS Act validates the companyâs years of building compliant infrastructure alongside major enterprises like Stripe, Mastercard, and PayPal. âWe can immediately leverage our existing GENIUS-compliant stablecoins like USDG and PYUSD to serve institutional demand,â Hessert said. He elaborated that there is more to the GENIUS Act than just stablecoins, noting that it creates the regulated digital dollar infrastructure that makes large-scale RWA tokenization possible. Hessert pointed out that stablecoins serve as the essential on-chain settlement mechanism. With that piece now regulated, institutions can confidently tokenize RWAs at scale. This is a game-changer, especially for technology companies like Paxos that have already launched compliant stablecoin products . âBoth our Global Dollar (USDG) and PayPal USD (PYUSD) are compliant with the GENIUS Actâs requirements,â Hessert said. Today, @Visa announced support for Paxosâissued USDG and PYUSD in its stablecoin settlement offering. Honored to join forces with one of the world's leading payment innovators to shape the future of financial rails. pic.twitter.com/e3ReplVN0K â Paxos (@Paxos) July 31, 2025 RWA Platforms and Financial Institutions Working Together A new opportunity has also come about, given the GENIUS Actâs impact on both technology companies and financial institutions. For instance, Hessert explained that for banks, the new piece of legislation is just as transformative. âBanks get regulatory clarity to custody digital assets and issue their own stablecoins through subsidiaries, all while leveraging existing relationships with corporate clients.â Yet Hessert noted that the real opportunity here is in partnerships. He explained that while banks have deep client relationships and regulatory expertise, tech companies have the blockchain infrastructure and compliance frameworks already built. âGlobal Dollar Network exemplifies this, as weâre partnering with traditional financial institutions to combine their distribution and trust with our stablecoin issuance technology,â Hessert said. âRather than a zero-sum game, GENIUS creates a collaborative ecosystem where banks and tech companies can focus on their respective strengths.â Florian Nöll, WW director at IBM LinuxONE, further told Cryptonews that the GENIUS Act allows stablecoin issuers to officially go after the retail payment business. âThis is because of stablecoinsâ high degree of transparency in settlement, that lowers risk and reduces fees to orders of magnitude compared to traditional rails. It ultimately opens the way for stablecoins to be a cash equivalent, but without using commercial bank money,â Nöll explained. He added that while commercial banks may be expected to respond with their own digital currencies (not necessarily stablecoins), tokenization providers would have to be involved in the process. âTheir role is pivotal in bridging traditional banking with the digital economy, ensuring compliance, interoperability, and operational efficiency,â Nöll commented. With this in mind, Nöll shared that IBMâincluding IBM Researchâis building a tokenization framework for enterprise assets and bank money, addressing many existing technical and governance challenges. He added that IBM is offering differentiated capabilities for digital asset custody infrastructure for financial institutions looking to protect and manage the lifecycle of digital assets. Challenges To Consider While the GENIUS Act has created numerous opportunities for both technology companies and financial institutions, a number of challenges remain that may hold back progress . Ryan Zega, head of structured finance at Aptos Labs, told Cryptonews that a primary challenge is bridging the gap between on-chain networks and off-chain financial systems. Zega explained that for tokenized assets and programmable money to see broad adoption, integration with banks, custodians, and capital markets infrastructure needs to improve. âThereâs also a continuing need to educate policymakers, financial institutions, and the public on the practical benefits of this technology beyond headlines and speculation. That understanding will be key to long-term adoption,â Zega said. Hessert added that while compliant technology companies like Paxos may not face major challenges, the GENIUS Act requirements will prompt changes in how international jurisdictions look to regulate stablecoins . âPart of this will include incorporating the billâs stablecoin reciprocity provision. This will allow stablecoins to become a global product and maximize their potential for both a modernized and inclusive global financial system,â Hessert said. Hendricks further stated that while technology companies involved in tokenization may benefit the most from the GENIUS Act, he believes the legislation will not be helpful for the overall crypto industry. âIn fact, the GENIUS Act could be seen as a step backward towards centralization. The GENIUS Act was a brilliant first move of this latest Congress if the goal was to provide cover to large financial institutions to expand their overall offerings, not just payment stablecoins,â he said. The post Why The GENIUS Act May Benefit RWA Tokenization Companies The Most appeared first on Cryptonews .
One of the many companies to convert to a BTC treasury has made adjustments to its already ambitious plans for accumulating the asset. The former hotel business has posted some impressive numbers since its transition, and it is maintaining this pace. The Issuance Strategy The publicly traded company, Metaplanet Inc., listed on the Tokyo Stock Exchange, has released a notice stating that it plans to increase the total number of authorized shares (the maximum legal amount possible) that it can issue. The Extraordinary General Meeting (EGM), led by the Board of Directors, has decided to amend the Articles of Incorporation, specifically related to the increase of these shares from 1.61 billion to 2.723 billion, allowing for more flexible financing. Additionally, a shelf registration (the process of registering securities for future sale, usually with a governing body) was issued for Class A and B Perpetual Preferred Shares, up to „277.5 billion ($1.8 billion), making a total of „555 billion ($3.7 billion) in potential raise. Perpetual Preferred Shares are a type of stock that pays a fixed dividend to investors for as long as the company remains in business. It does not have a maturity date or a specific buyback date, and there are notable differences between the two classes. The former can be deemed âsafer,â but are less flexible. Considered a higher priority, upon the firm making a profit, shareholders of this class receive payment first; however, selling them back to the issuing company is not possible. The latter can be described as âriskierâ but more flexible. As they are of lower priority, in the event of financial struggles for the organization, sales of Class B shares occur after those of Class A, with the key difference being that this class can be converted to regular shares and sold at a later stage, provided certain criteria are met. The Acquisition Strategy At the beginning of June, the company announced its plan to acquire 210,000 BTC by 2027, representing a significant upgrade from its initial goals at the start of 2025, which were to accrue 10,000 BTC by the end of 2025, followed by 21,000 BTC by the end of 2026. This is all part of the broader â555 million plan,â cleverly in line with the current goal of raising „555 billion in preferred stock. By mid-July, the corporation had achieved a 430.2% BTC yield, a key performance indicator (KPI) that reflects the percentage change in the ratio of its Bitcoin holdings to fully diluted common shares. Naturally, as a result, the companyâs market capitalization has also increased, and is currently up over 190% year-to-date (YTD) at the time of printing, according to data from Google Finance. Source: Google Finance On BitcoinTreasuries, the enterprise is currently ranked 7th with 17,132 bitcoins in its coffers, nearing the 18,430 stash of Trump Media, and with a noticeable lead over the 12,830 BTC held by Galaxy Digital Ltd. These amounts correspond to $197 billion, $212 billion, and $148 billion, respectively. The post Metaplanet to Raise Another $3.7 Billion for Further Bitcoin Purchases appeared first on CryptoPotato .
If you want to own a full bitcoin through dollar-cost averaging (DCA), 2025 may be your last realistic chance. DCA Strategy Faces Diminishing Returns, But Bear Markets Could Be a Blessing for Late Bitcoin Stackers According to a recent analysis from anonymous bitcoin ( BTC) researcher Sminston With, individuals who begin a dollar-cost averaging (DCA)
Michael Saylor, co-founder of Bitcoin treasury firm Strategy, said on Friday that the company could own up to 7% of Bitcoin's total supply of 21 million. Speaking in an interview with CNBC, Saylor stated that this amount is potential, but that the company is not aiming to acquire all of Bitcoin. âI don't think we can get it all,â Saylor said. âThe 3% to 5% or 3% to 7% range isn't very much. But we don't want to get it all; we want everyone to have a share.â Related News: Donald Trump Announced He Will Fire the Head of the Statistics Bureau for âPublishing Bad Dataâ - Bitcoin Reacted Strategy, formerly known as MicroStrategy and currently traded on Nasdaq, owns just over 3% of the 19.9 million Bitcoins currently in circulation, or 628,791 BTC. This amount is currently worth approximately $72 billion at the current price of $114,692. The total supply of Bitcoin is capped at 21 million, with the last BTC expected to be minted in 2140. Buying 1.47 million BTC, equivalent to 7% of the total supply, would mean an investment of approximately $169 billion at current prices. Saylor stated during yesterday's second-quarter earnings call that even if the Bitcoin price drops by 80% to 90%, the company will be able to weather the downturn without selling its BTC holdings. *This is not investment advice. Continue Reading: Big Bull Michael Saylor Reveals How Much of the Bitcoin Supply They Will Purchase