In this issue:
• U.S. Firms Launch New Stablecoin Products, Crypto Debit Card Launches
• Bitcoin and Ether ETF Products Set To Launch in Australia, Germany, Hong Kong
• Total Value Locked in Liquid Restaking Reaches Over $8.5 Billion
• BIS Report Addresses Stablecoins, U.S. Fintech Firms Respond to BIS Approach
• Uniswap Labs Receives Wells Notice from SEC
• Treasury Dept. Addresses Crypto Illicit Finance, Darknet Market Data Published
US Firms Launch New Stablecoin Products, Crypto Debit Card Launches
By Robert A. Musiala Jr.
A major U.S. financial technology firm recently announced plans to launch a U.S. dollar-backed stablecoin. According to a blog post by the company, the stablecoin will be “pegged 1:1 to the US dollar (USD) … 100% backed by US dollar deposits, short-term US government treasuries, and other cash equivalents.” According to the blog post, the stablecoin’s reserve assets will be audited by a third-party accounting firm, and the company will publish monthly attestations. The blog post further notes that “[t]he stablecoin market is about $150B today, and is forecasted to exceed $2.8 trillion by 2028.”
Another major U.S. fintech firm recently announced that U.S. users of its cross-border money transfer service “now have the option to fund money transfers to friends and family abroad using USD converted from … PYUSD … a U.S. dollar-denominated stablecoin.” According to a press release by the company, “the new funding option will allow U.S. … users to easily convert … PYUSD in their linked … Cryptocurrency Hub to USD and use that as a funding source to send money to recipients in approximately 160 countries globally with no … transaction fees.”
In a related development, according to reports, a major Japanese bank is experimenting with issuing a stablecoin pegged to the Japanese yen. The bank is reportedly planning to trial the stablecoin on the Polygon blockchain.
And in a final notable item, the 1inch Network recently announced the launch of the 1inch Card, a “Web3 debit card.” According to a blog post, the 1inch Card is underpinned by the payment processing network of a major U.S. financial services firm. The blog post notes that the card “will allow users to use their crypto for online and in-person purchases, and make cash withdrawals at supported ATMs through seamless crypto to fiat conversion.”
For more information, please refer to the following links:
Bitcoin and Ether ETF Products Set To Launch in Australia, Germany, Hong Kong
By Robert A. Musiala Jr.
An Australian investment management company recently announced plans to move its Bitcoin exchange-traded fund (ETF) application to the Australian exchange of a major global derivatives and exchange network. According to a press release, the company’s “Bitcoin ETF stands as the first spot Bitcoin ETF in Australia which allows direct holding of bitcoin.”
In related news, a major German asset manager recently announced that it has launched new digital asset exchange-traded commodities (ETCs) that track the performance of bitcoin and ether. According to a press release, “[t]he new ETCs offer investors the opportunity to participate in the performance of the two biggest digital assets by market capitalization and to integrate them easily and cost-effectively into their portfolios.” The April 4 press release notes that the “physical Bitcoin ETC securities and the … [p]hysical Ethereum ETC securities were listed on Deutsche Börse today.”
In more Bitcoin ETF news, according to recent reports, Bitcoin ETFs could be launched in Hong Kong later this month. At least four Hong Kong and Chinese asset managers have reportedly submitted Bitcoin ETF applications, and Hong Kong regulators have reportedly sped up the approval process.
For more information, please refer to the following links:
Total Value Locked in Liquid Restaking Reaches Over $8.5 Billion
By Robert A. Musiala Jr.
According to recent reports, the total value locked in liquid restaking tokens (LRTs) has risen to over $8.5 billion. LRTs are distinct from traditional liquid staking, which involves staking assets through a staking service provider and receiving receipt tokens in return. In contrast, liquid restaking protocols allow users to deposit and “restake” ETH from various liquid staking tokens. Liquid restaking protocols use LRTs to secure actively validated services, which in turn secure new features in Ethereum such as data availability layers, rollups, bridges, oracles and cross-chain messages.
For more information, please refer to the following links:
BIS Report Addresses Stablecoins, US Fintech Firms Respond to BIS Approach
By Robert A. Musiala Jr.
The Bank of International Settlements…
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