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Britain’s government has abandoned its requirement for workers to register with a new digital ID system to prove their right to work, marking a significant retreat after public support collapsed and nearly three million people signed a petition opposing the scheme.

While digital right-to-work checks will still become mandatory by 2029, workers can now use alternative verification methods, including biometric passports and commercial apps, rather than enrolling in the government’s digital ID program, according to BBC.

The reversal follows months of mounting criticism since Prime Minister Keir Starmer declared in September that “you will not be able to work in the United Kingdom if you do not have digital ID.”

Prime Minister Keir Starmer. | Source: The Nation

From Immigration Control to Public Services

Ministers are now repositioning digital ID as a convenience tool for accessing public services rather than primarily as an immigration enforcement measure.

Transport Secretary Heidi Alexander emphasized that the government remains “absolutely committed” to mandatory digital right-to-work checks, including biometric passports, but thatdigital ID will be optional for workers proving eligibility.

The shift addresses what officials described as concerns about “conspiracy nonsense about state control” while attempting to rebuild support for voluntary adoption.

Current right-to-work verification relies on employers checking paper documents with no central record-keeping, which the government argues enables fraud and illegal employment.

The reformed system will require digital verification against government databases, but workers can meet this requirement using existing documents rather than enrolling in the new ID program.

Commercial verification apps checked against Home Office data are also being explored as additional compliance methods.

Political Backlash Intensifies

Opposition parties seized on the policy retreat as evidence of governmental disarray.

Conservative leader Kemi Badenoch called it “another U-turn” and declared “good riddance” to what she termed a “terrible policy,” while Liberal Democrat spokesperson Lisa Smart quipped that “No 10 must be bulk ordering motion sickness tablets at this rate.“

The Prime Minister is 'turning the corner'…straight into another u-turn.

Good riddance. It was a terrible policy anyway. pic.twitter.com/cWGFhhD9gv

— Kemi Badenoch (@KemiBadenoch) January 13, 2026

Reform UK leader Nigel Farage claimed victory for “individual liberty against a ghastly, authoritarian government,” though his party had previously received £9 million in crypto donations, prompting separate Labour calls to ban digital currency political contributions.

The climbdown adds to mounting frustration among Labour MPs who had defended controversial policies only to see them reversed, with one parliamentarian calling the latest retreat “an absolute car crash” and complaining that leadership “marched the PLP up the hill only to bottle it.”

Former Home Secretary David Blunkett, who supported ID cards during his tenure, blamed poor strategic communication for allowing opposition to mobilize effectively against the proposal.

Civil liberties organizations, including Open Rights Group, warned throughout the debate about inevitable “mission creep” forcing expanded ID use across everyday life.

Their concerns drew from evidence of harms experienced by migrants already subject to digital verification through the eVisa system, where data errors and technical glitches have prevented people from proving residency status, leading to withdrawn job offers and housing denials.

Keir Starmer has abandoned plans for the Digital ID to be compulsory.

This is a victory for individual liberty against a ghastly, authoritarian government.

Reform UK would scrap it altogether.

— Nigel Farage MP (@Nigel_Farage) January 13, 2026

The government maintains that the core reform remains intact despite removing mandatory registration.

A spokesperson insisted digital ID “will make everyday life easier for people” while delivering “more personal, joined-up, and effective” public services.

Details of how the system will function will be outlined in a public consultation launching shortly, with implementation still scheduled for 2029 using government-built platforms, including Gov.uk One Login and Gov.uk Wallet.

UK Crypto Regulation Advances Amid Digital ID Controversy

The digital ID reversal comes as Britain separately moves forward with comprehensive crypto regulation, bringing digital assets under Financial Conduct Authority supervision from 2027.

The government introduced legislation in December requiring crypto firms to secure formal authorization by September 2026, ending the current registration-only system that has allowed lighter-touch oversight.

The rules apply transparency standards similar to traditional finance, with final requirements expected by end-2026 following industry feedback periods.

UK's FCA sets September 2026 application deadline for crypto licensing as new authorization regime launches in 2027, ending current registration-only system with no automatic conversion.#UK #Cryptohttps://t.co/LojvG0BvPd

— Cryptonews.com (@cryptonews) January 9, 2026

Britain also formally recognized Bitcoin and cryptocurrencies as legal property under new legislation, allowing digital assets to be owned, inherited, and recovered under property law protections.

The regulatory push follows data showing crypto ownership among UK adults dropped from 12% to 8% in 2025, though remaining holders have built larger portfolios concentrated in higher-value ranges.

The post UK Rolls Back Digital ID Plan for Work Checks Following Public Opposition appeared first on Cryptonews.

A draft crypto market structure bill in the U.S. Senate is drawing renewed concern from the digital asset industry, with Galaxy Digital warning it could give the Treasury Department sweeping surveillance and enforcement authority reminiscent of the USA Patriot Act.

The warning comes as lawmakers move to bridge House and Senate regulatory proposals amid ongoing market volatility and policy uncertainty.

Senate Crypto Bill Gives Treasury Broad New Powers, Galaxy Says

In a research note published Tuesday, Galaxy said the Senate Banking Committee’s draft goes well beyond the House-passed Digital Asset Market Clarity Act, particularly in its treatment of illicit finance.

This week on Galaxy Grid — a weekly video series from@glxyresearch. @intangiblecoins, @TheThadP, @Uptodatenow, and @ZackPokorny_ unpack the stories shaping crypto — what happened, why it matters, and what’s next.

Episode 13 is live now pic.twitter.com/s7pgSvYUNI

— Galaxy Research (@glxyresearch) January 13, 2026

At the center of the firm’s concern is a new crypto-specific “special measures” authority that would allow Treasury to label foreign jurisdictions, financial institutions, or even entire categories of digital asset transactions as primary money-laundering concerns.

Once designated, Treasury could restrict or condition crypto fund transfers connected to those entities, a power Galaxy compared directly to authorities created under the Patriot Act after the September 11 attacks.

Galaxy argued that, while framed as a national security tool, the authority could be applied broadly across offshore trading venues and transaction rails, materially expanding the government’s reach into crypto markets.

It said that, taken together, the bill’s provisions would amount to the largest expansion of financial surveillance powers since the early 2000s, a period that remains controversial for its impact on civil liberties.

The draft legislation also introduces a formal framework for temporary transaction holds.

Under this mechanism, Treasury or other covered agencies could request that stablecoin issuers and digital asset service providers freeze transactions for up to 30 days, with the option to extend, without first obtaining a court order.

Galaxy flagged this as a significant departure from existing processes, noting the absence of immediate judicial oversight.

Another section of the bill explicitly brings crypto front ends into sanctions and Anti-Money Laundering compliance.

The text defines “distributed ledger application layers,” including web-hosted interfaces used to access blockchains and decentralized finance protocols.

It also directs Treasury to issue guidance requiring these tools to screen wallets, block sanctioned activity, and apply risk-based AML controls.

Stablecoin Rewards Face New Limits as Senate Crypto Debate Intensifies

Galaxy also pointed to language targeting so-called “DeFi in name only” protocols, which would allow regulators to impose Bank Secrecy Act obligations on teams or individuals who retain meaningful control over protocol functionality or user access.

The Senate proposal is moving forward alongside intense debate over stablecoin rewards.

A revised draft released ahead of the markup would prohibit digital asset service providers from paying yield simply for holding payment stablecoin balances.

Banking groups have backed the restriction, arguing that yield-bearing stablecoins resemble deposits without equivalent safeguards, while crypto firms say the issue was already settled under the GENIUS Act passed last year.

Industry responses have been mixed, with the Crypto Council for Innovation saying it views the Senate text as evidence of continued engagement on a critical policy priority but stressing that any final framework must preserve consumer choice and support competition.

Coinbase has warned it could withdraw support if reward programs are curtailed too aggressively, even as some executives signal a willingness to accept the current compromise.

The legislative path remains uncertain as the Senate Banking Committee is preparing for markup this week, while the Senate Agriculture Committee plans to release its own text by January 21, with a markup scheduled for January 27.

Senate sets January 27 crypto bill markup as banking lobby secures stablecoin yield limits and Democrats demand White House ethics guardrails.#Senate #Banking #CryptoBillhttps://t.co/iK8utlKRhr

— Cryptonews.com (@cryptonews) January 14, 2026

Both versions would need to be reconciled before a full Senate vote, followed by negotiations with the House.

The post Senate Crypto Bill Hands Treasury “Patriot Act–Style” Surveillance Powers — Galaxy Sounds Alarm appeared first on Cryptonews.

November PPI data shows producer price inflation surging to 3.0% year-over-year, significantly above the 2.7% forecast and marking the highest reading since July 2025.

Bitcoin is holding around $92,000 as the upside surprise reinforces concerns about sticky inflation pressuring the Fed’s ability to cut rates aggressively in 2026.

Monthly PPI came in at 0.2% as expected, but the annual acceleration to 3.0% signals producer-level price pressures remain elevated and could eventually pass through to consumer prices.

The PPI surprise matters because producer prices are a leading indicator for consumer inflation—higher wholesale costs typically flow through to retail prices with a lag.

With yesterday’s December CPI already showing headline inflation stuck at 2.7% and core at 2.6%, both well above the Fed’s 2% target, today’s hot PPI reading suggests the inflation pipeline remains clogged.

The combination of elevated producer prices and stubborn consumer inflation creates the exact “higher for longer” scenario Powell warned about, where the Fed keeps rates at 3.50%-3.75% through at least Q1 2026 rather than delivering the aggressive easing crypto markets priced in earlier.

Bitcoin’s technical setup remains under pressure with support at $88,000-$90,000 and resistance at $98,000. As it stands now, traders digest whether the PPI shock forces the Fed to reconsider even its reduced two-cut guidance for 2026.

Any break below $88,000 support could trigger another leg down toward November’s $88,500 low, while a sustained hold above $92,000 suggests the market has fully priced in the Fed’s cautious stance.

PPI Shock: Producer Prices Hit 7-Month High – Bitcoin to Rally Next?

The post [LIVE] Bitcoin Price Alert: November PPI Surges to 3.0% vs 2.7% Expected — Highest Since July Pressures Fed appeared first on Cryptonews.

Crypto.com is beginning 2026 with the “SOL Airdrop Arena event”, where users can potentially earn Solana (SOL) rewards by staking CRO, the platform’s native token. This is a large campaign, with the exchange offering a $250,000 Solana prize pool, making it attractive to both CRO holders and Solana fans, it says.

The SOL Airdrop Arena takes place from January 1 to January 31, 2026, giving users a limited time to earn points and compete for a share of the $250,000 Solana prize.

What Is the Crypto.com SOL Airdrop Arena?

Per the exchange, the Crypto.com Airdrop Arena is a rewards program within the app where users lock up CRO to earn points that turn into crypto rewards. In the SOL Airdrop Arena, participants stake CRO and collect points to earn Solana tokens.

This feature complements Crypto.com’s other yield offerings (like the Crypto.com Earn interest program), providing another avenue for users to earn SOL with CRO, the team says. By requiring CRO for entry, Crypto.com adds utility to its token while enabling users to potentially gain SOL tokens in return.

Key Details of the SOL Airdrop Arena Event

The Crypto.com airdrop event offers a large reward pool and extra incentives for early and active users, with a total prize of $250,000 in SOL. The event began on January 1, 2026, and ends on January 31, 2026 (at 09:59 UTC).

Participants can receive a daily points boost of up to 120% if they buy at least 1,500 CRO and transfer it to the Airdrop Arena before joining the event.

How to Participate in the Solana Airdrop Arena

Getting started with the SOL Airdrop Arena is straightforward. Here are the steps for users to participate and start earning points:

Access Airdrop Arena: Open the Crypto.com App and navigate to Airdrop Arena. You can find it via the Account section, the Earn tab, or through the app’s main menu.

Allocate CRO tokens: Select the SOL Airdrop Arena event and stake the amount of CRO you want. For every 100 CRO, you get 1 point, and your participation starts right away.

Earn and boost points: After joining, you earn points every day while your CRO stays locked in the event. Use available boosters to increase your points. For example, being one of the first 10,000 participants or completing the CRO purchase task can raise your daily points.

Receive rewards and lockup: When the event ends, Crypto.com will total your points and determine your SOL reward. Solana rewards are airdropped within seven days after January 31, 2026. Your CRO stays locked for six months, after which you can withdraw it or let it roll over into future events.

CRO’s Role and Reward Mechanics

CRO is at the center of this Solana rewards event, serving as the staking currency. By making CRO required, Crypto.com boosts its token’s usefulness. The rewards are point-based: the more points you earn compared to others, the bigger your share of the $250,000 SOL prize, the team says.

You mainly earn points by allocating CRO, both at the start and daily. Special Point Boosters can greatly increase your points. For example, the Loot Locker lets you lock your earned SOL for another six months in exchange for a 200% daily points boost during the event.

Reward Distribution and Lockup Rules

The SOL Airdrop Arena has clear rules for rewards and lockup. After the event, Solana rewards are sent directly to participants’ Crypto.com Wallets within seven days. If you use the optional Loot Locker, you get your SOL after an extra six-month lockup, and you earn more points during the event.

CRO staked in the Airdrop Arena is locked for six months and can’t be withdrawn or used elsewhere during that time. After the lockup, you can withdraw your CRO or keep it allocated for automatic entry into future events. This setup encourages long-term participation while also providing options after the lockup period ends, Crypto.com says.

Why the Airdrop Arena Appeals to Users

According to the exchange, Airdrop Arena is made for users who want a passive way to earn crypto rewards. After you allocate CRO, points accumulate each day automatically with minimal effort. This is attractive for CRO holders who want Solana exposure without having to trade.

The program allows users to earn SOL without purchasing it directly, converting CRO holdings into rewards. Features like point boosters, leaderboards, and optional lockups make the experience more competitive and engaging than regular staking.

Crypto.com SOL Airdrop Arena in Crypto.com’s Broader Earn Strategy

Airdrop Arena is part of Crypto.com’s larger rewards system, along with Earn, staking, and liquidity programs. By focusing on CRO, the platform strengthens its native token as the core of its ecosystem.

With a $250,000 prize pool, daily point accumulation, and multiple booster options, the event offers users the opportunity to earn rewards by committing CRO for the lockup period, the team says.

The exchange concludes that participation requires comfort with a six-month CRO lockup and variable rewards based on ranking and market conditions.

Visit Crypto.com

The post Crypto.com Unveils SOL Airdrop Arena With $250,000 Solana Prize Pool appeared first on Cryptonews.

Bitcoin surged back into focus after US inflation data eased fears of persistent price pressures, reigniting demand for risk assets and pushing BTC firmly above the $95,000 mark. With CPI confirming cooling inflation and technical structures flipping bullish, Bitcoin appears less like a speculative rebound and more like a continuation of a broader institutional-led trend.

Core CPI at 2.6% Lifts Bitcoin Toward $95,000

Bitcoin is trading near the $95,000 level after gaining more than 3% over the past 24 hours, supported by softer inflation data and a modest pullback in the US dollar. The latest US Consumer Price Index report showed headline inflation holding steady at 2.7% year over year in December, in line with market expectations, while core inflation remained unchanged at 2.6%, its lowest level since 2021.

United States Consumer Price Index (CPI) – Source: Tradingeconomics

On a monthly basis, CPI rose 0.3%, matching forecasts, with shelter costs accounting for much of the increase. Energy prices climbed 2.3%, while food prices rose 3.1%, underscoring that price pressures remain uneven rather than accelerating broadly. Crucially for markets, the absence of an upside surprise in core inflation eased concerns that the Federal Reserve may need to keep monetary policy restrictive for longer.

For Bitcoin, this environment matters. Stable inflation and a contained core reading reduce pressure on Treasury yields and the US dollar, allowing capital to rotate toward alternative stores of value. With real yields stabilizing, Bitcoin benefited alongside broader risk assets.

Japan’s finance minister and US Treasury Secretary Scott Bessent shared concerns about the weakening yen during a bilateral meeting as the currency edged toward a key threshold where authorities have intervened in the past https://t.co/el2QVQwBT1

— Bloomberg (@business) January 13, 2026

Currency markets echoed this shift. The Japanese yen slid to multi-month lows, while the euro and British pound traded with limited follow-through, highlighting continued unease around global monetary and fiscal conditions.

Against this landscape of fiat uncertainty and moderating US inflation, Bitcoin’s role as a policy-insensitive asset gained renewed attention from both institutional and macro-focused investors.

Fitch Warns on BTC-Backed Securities Risk

Fitch Ratings recently cautioned that Bitcoin-backed debt instruments carry elevated risk due to BTC’s price volatility, particularly where leverage and collateralized lending are involved. Crucially, the agency excluded spot BTC ETFs from this warning, noting that broader ETF adoption could help dampen long-term volatility rather than increase it.

Fitch Ratings warns of the risks of Bitcoin-backed securities

Fitch Ratings, one of the leading rating agencies, has warned that Bitcoin-backed securities carry high risks and speculative credit profiles.

The inherent volatility of BTC prices can quickly erode the value of… pic.twitter.com/B4kDhYp2kC

— Atlas21 (@Atlas21_eng) January 13, 2026

That distinction is significant for institutional investors. Exposure to Bitcoin is increasingly shifting toward regulated, transparent structures instead of speculative credit products. A clear example is the launch of 21Shares’ Bitcoin Gold ETP (BOLD) on the London Stock Exchange, which allocates roughly two-thirds to gold and one-third to Bitcoin, positioning BTC alongside a traditional safe-haven asset

Together, expanding spot ETF access and hybrid products are reinforcing Bitcoin’s institutional appeal while reducing dependence on leverage-driven crypto credit models.

BTC and Gold Converge as 21Shares Launches BOLD ETP in the UK

21Shares has launched its Bitcoin Gold ETP (BOLD) on the London Stock Exchange, giving UK investors access to a regulated product that combines gold and Bitcoin in a single structure. The fund allocates roughly two-thirds to gold and one-third to Bitcoin and trades in both US dollars (BOLU) and British pounds (BOLD).

Disclaimer: Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more: https://t.co/d9gFbwImMu

Introducing the 21shares Bitcoin Gold ETP… pic.twitter.com/neRbphESOr

— 21shares (@21shares) January 13, 2026

BOLD is fully physically backed, holding real gold and Bitcoin, and was developed in partnership with ByteTree Asset Management. By pairing gold’s long-standing role as a safe haven with Bitcoin’s growing reputation as “digital gold,” the product targets inflation protection and macro volatility.

The listing strengthens Bitcoin’s institutional credibility and supports long-term demand through regulated investment channels.

Bitcoin (BTC/USD) Technical Outlook: BTC Breaks Symmetrical Triangle as $95,000 Turns Into Support

From a technical standpoint, Bitcoin price prediction seems bullish as BTC’s structure has turned decisively constructive. On the 2-hour chart, BTC has broken cleanly above a long-developing symmetrical triangle that constrained price action through early January. The breakout followed a clear sequence of higher lows pressing against descending resistance, a classic setup for directional expansion.

Bitcoin Price Chart – Source: Tradingview

Former resistance between $94,500 and $95,000 has now flipped into support, creating a firm demand zone reinforced by shallow pullbacks and tight-bodied candles. The leading indicator, RSI, remains elevated near the upper-60s without showing bearish divergence, indicating momentum is strong but not overstretched.

If Bitcoin holds above $95,000, the technical roadmap points toward:

Initial resistance near $97,600

A higher extension toward $98,800–$99,000

A pullback toward $95,000–$94,500 would likely be viewed as constructive, with downside risk contained below $93,000. As long as BTC remains above broken triangle resistance, the broader trend favors continuation, keeping optimism alive for the next leg higher.

Bitcoin Hyper: The Next Evolution of BTC on Solana?

Bitcoin Hyper ($HYPER) is bringing a new phase to the Bitcoin ecosystem. While BTC remains the gold standard for security, Bitcoin Hyper adds what it always lacked: Solana-level speed. The result: lightning-fast, low-cost smart contracts, decentralized apps, and even meme coin creation, all secured by Bitcoin.

Audited by Consult, the project emphasizes trust and scalability as adoption builds. And momentum is already strong. The presale has surpassed $30.4 million, with tokens priced at just $0.013575 before the next increase.

As Bitcoin activity climbs and demand for efficient BTC-based apps rises, Bitcoin Hyper stands out as the bridge uniting two of crypto’s biggest ecosystems. If Bitcoin built the foundation, Bitcoin Hyper could make it fast, flexible, and fun again.

Click Here to Participate in the Presale

The post Bitcoin Price Prediction: CPI Surprise Sends BTC Flying – Is Wall Street About to Go All-In Again? appeared first on Cryptonews.

Animoca Brands has moved to strengthen its position in digital collectibles after acquiring gaming and collectibles studio Somo, expanding its footprint in Web3-native entertainment.

Key Takeaways:

Animoca Brands acquired Somo to expand its Web3 collectibles strategy.

The deal aligns with a sharp early-2026 NFT market rebound.

Despite the recent surge, NFT valuations remain far below prior cycle highs.

The company said Wednesday that Somo will be integrated into Animoca’s broader Web3 ecosystem, adding a lineup of playable, streamable and tradable digital collectibles to its portfolio of blockchain-based platforms.

Animoca to Plug Somo Into Global Web3 Partner Network

Animoca plans to support the expansion through cross-promotion, shared infrastructure and access to its global network of partners across gaming, media and digital assets.

“SOMO is building the cultural operating system for collectibles, which complements our existing portfolio,” Animoca Brands co-founder and executive chairman Yat Siu said.

“By bringing SOMO into the Animoca Brands ecosystem, we aim to connect it to our global network of games, communities, and partners.”

The acquisition comes as the non-fungible token market recorded a sharp rebound at the start of 2026.

Data from CoinGecko shows the total NFT market capitalization climbed about 20% in the first two weeks of the year, rising from roughly $2.5 billion on Jan. 1 to more than $3 billion by mid-January.

The move marked one of the strongest short-term recoveries for NFTs in over a year, following a prolonged downturn that weighed on prices and trading activity throughout much of 2025.

Do you remember @playsomo and $SOMO?

They just got acquired by @animocabrands. We’ll see how this plays out.

I’ve yapped about it a lot, and I’ve been waiting almost two years for the presale. But I also have to be honest: around 90% of Animoca Brands portfolio hasn’t really… https://t.co/szroaFPJhW pic.twitter.com/6eaFLMjfbl

— Djani (@DjaniWhaleSkul) January 14, 2026

CoinGecko data indicates that a large share of the gains occurred in a single 24-hour window, when the market added around $300 million in value alongside an 18.7% jump in daily trading volume.

Market participants pointed to renewed interest in established NFT collections, a pickup in high-value sales and the release of new token-linked NFT drops as drivers behind the surge.

However, some community members questioned whether the rally signals the start of a new cycle or a short-lived bounce after months of compressed valuations.

Despite the recent uptick, the sector remains well below its previous highs.

As of now, the NFT market cap stands at approximately $7.3 billion, a decline of about 59% year over year.

Meta Plans Reality Labs Layoffs as Focus Shifts From Metaverse to AI

As reported, Meta is preparing to cut roughly 10% of staff from its Reality Labs division, a move that highlights the company’s growing pivot away from the metaverse and toward artificial intelligence.

The layoffs could affect around 1,500 employees and may be announced as soon as Tuesday, with the cuts expected to fall heavily on teams working on virtual reality hardware and metaverse platforms.

Reality Labs, which employs about 15,000 people, has been a major source of losses for Meta since its launch in 2020.

The unit has accumulated more than $70 billion in losses, including $4.4 billion in operating losses in the third quarter of 2025 alone.

Recent reports suggest Meta is also redirecting some funding from Reality Labs to its wearables business, as well as trimming overall metaverse spending while increasing investment in AI development.

The broader metaverse sector has struggled to meet early expectations, with engagement concentrated in gaming-focused platforms such as Roblox and Fortnite.

The post Animoca Brands Acquires Somo to Expand Web3 Collectibles Push appeared first on Cryptonews.

US Senator Elizabeth Warren has called on federal banking regulators to pause their review of World Liberty Financial’s application for a national bank charter, arguing that the process should not move forward while President Donald Trump maintains direct financial ties to the crypto platform.

The request raises fresh questions about conflicts of interest at a moment when stablecoins are moving deeper into the US financial system and Washington is debating how far to go in regulating the sector.

Stablecoin Charter Puts OCC in Political Crosshairs, Warren Says

In a letter sent Tuesday to Jonathan Gould, the Comptroller of the Currency, Warren urged the Office of the Comptroller of the Currency to delay consideration of World Liberty Financial’s bid until Trump divests from the company and removes what she described as “real and serious” financial conflicts involving himself and his family.

Source: Banking, Housing, and Urban Affairs

Warren, the ranking Democrat on the Senate Banking Committee, said the situation was no longer hypothetical after a World Liberty subsidiary formally applied on January 7, 2026, to operate a national trust bank designed to support stablecoin services.

World Liberty Financial was launched in 2024 and lists Trump and his sons Barron, Eric, and Donald Trump Jr. as co-founders.

Trump-backed World Liberty Financial has launched World Liberty Markets, a new crypto lending platform tied to its #USD1 stablecoin.#Stablecoins #DeFi #USD1 #CryptoNewshttps://t.co/vginSli5es

— Cryptonews.com (@cryptonews) January 12, 2026

The platform has grown quickly, raising more than $550 million through token sales and launching a dollar-backed stablecoin, USD1, in March 2025.

USD1 has since expanded to an estimated $3.4 billion in market value and has been used in high-profile transactions, including a $2 billion Binance investment by a third-party firm using the token.

A World Liberty subsidiary, WLTC Holdings, filed for the charter that would allow it to issue, custody, and convert USD1 directly under federal supervision.

World Liberty Financial filed for a US national banking charter, seeking OCC oversight to bring its dollar-backed stablecoin USD1 fully inside the regulatory perimeter. @worldlibertyfi#WLFI #OCC https://t.co/kDgbVB1c25

— Cryptonews.com (@cryptonews) January 8, 2026

Warren argued that the application places the OCC in an unprecedented position.

Under the National Innovation for US Stablecoins Act, or GENIUS Act, signed into law by Trump in July 2025, the OCC became the primary regulator for federally licensed stablecoin issuers.

That role includes approving charters, writing rules, supervising issuers, and enforcing violations.

Warren said that approving World Liberty’s application would effectively make the president responsible for overseeing a financial company from which he and his family benefit, while the regulator itself serves at the president’s pleasure.

Crypto Policy Debate Intensifies as Trump Family Ventures Expand

In a public report cited in Warren’s letter, Trump and his family have earned more than $1 billion from World Liberty Financial and other crypto ventures.

Beyond World Liberty, the Trump family controls entities tied to an official Trump-branded meme coin launched on Solana in early 2025, several NFT collections that have generated millions in licensing revenue, and a Bitcoin mining company established by Trump’s sons last year.

These ventures mark a sharp shift from Trump’s earlier skepticism of digital assets and have been accompanied by a policy agenda that has rolled back enforcement actions and positioned the US as a global crypto hub.

The charter filing comes as regulators have shown greater willingness to bring crypto firms under bank-style oversight.

In December, the OCC approved national trust bank charters for several digital asset companies, including BitGo, Circle, Paxos, Ripple, and others.

The OCC has conditionally approved five crypto firms, including @Circle and @Ripple, to launch national trust banks.#Ripple #Circlehttps://t.co/wCeTNrhOQZ

— Cryptonews.com (@cryptonews) December 13, 2025

Trust banks cannot take deposits or make loans, but they can provide custody and settlement services, making them an attractive structure for stablecoin issuers seeking tighter integration with the traditional financial system.

Warren’s push also lands amid broader legislative friction. There are many efforts going on in Congress, including the Stop TRUMP in Crypto Act and the End Crypto Corruption Act, that aim to restrict elected officials and their families from owning or profiting from digital assets, but none have advanced into law.

The post Elizabeth Warren Urges Regulator to Freeze World Liberty Bank Bid Until Trump Cuts Crypto Ties appeared first on Cryptonews.

The crypto market is up today, with the cryptocurrency market capitalisation rising by 3.6% to $3.33 trillion. At the time of writing, 95 of the top 100 coins have posted increases over the past 24 hours. Also, the total crypto trading volume stands at $174 billion, back to the levels we’re used to seeing lately.

TLDR:

Crypto market cap is up 3.6% on Wednesday morning (UTC);

95 of the top 100 coins and all of the top 10 coins decreased today;

BTC increased by 3.4% to $91,271, and ETH is up 6.6% to $3,328;

In the short term, BTC should monitor the $91,031 level as key support;

In the long term, a decisive breakout above $109,000 may open doors towards a new ATH;

Standard Chartered has dubbed 2026 the ‘year of Ethereum’;

A repricing of confidence in the monetary policy framework itself is underway.

Russian lawmakers are preparing to open cryptocurrency market to retail participants;

US BTC and ETH spot ETFs posted inflows of $753.73 million and $129.99 million, respectively;

Financial advisors allocated to crypto in client accounts in 2025;

Advisors picked crypto equity ETFs as their top exposure for 2026;

Crypto market sentiment has seen a significant jumped.

Crypto Winners & Losers

All top 10 coins per market capitalisation have seen their prices rise over the past 24 hours, as of Wednesday morning (UTC).

Bitcoin (BTC) appreciated by 3.4% since this time yesterday, currently trading at $94,953.

Bitcoin (BTC)

24h7d30d1yAll time

Ethereum (ETH) increased by 6.6%, now trading at $3,328. This is the category’s second-best performer.

The category’s biggest gainer is Dogecoin (DOGE), having appreciated 7%, now standing at $0.1482.

ETH and Lido Staked Ether (STETH) follow, with XRP (XRP)’s 4.3% coming next and trading at $2.14.

Looking at the top 100 coins per market cap, 95 are up today. Five of these saw double-digit increases.

The category’s winner was Story (IP), with a rise of 28.3% in a day to the current price of $3.87.

Next up is Pepe (PEPE), recording a 14.4% jump to $0.000006683.

At the same time, two coins are down by more than 1% each. Provenance Blockchain (HASH) declined by 6.4% to the price of $0.02362.

MemeCore (M) fell 4%, currently trading at $1.62.

Meanwhile, Russian lawmakers are working to open the cryptocurrency market to retail participants. They are preparing legislation that would allow non-qualified investors limited access to digital assets.

Anatoly Aksakov, chairman of the State Duma’s Financial Markets Committee, said a draft bill has already been finalised and is expected to be considered during the spring parliamentary session.

According to TASS, Russian State Duma Financial Market Committee chair Anatoly Aksakov said a bill is ready that would remove cryptocurrencies from “special financial regulation,” aiming to make their use more common in daily life. Speaking to Rossiya-24, Aksakov said upcoming…

— Wu Blockchain (@WuBlockchain) January 14, 2026

‘Repricing of Confidence in Monetary Policy Framework Itself’

According to Glassnode, the Long-Term Holder Supply Distribution Heatmap shows a cost-basis cluster between $93,000 and $109,000. It usually takes a decisive breakout above this range to open doors toward a new ATH.

The Long-Term Holder Supply Distribution Heatmap shows a dense cost-basis cluster between $93K and $109K, forming a substantial overhead supply zone.
Any sustained push higher must first absorb this supply, with a decisive breakout above this range typically required to reopen… https://t.co/m1oD2wiuxl pic.twitter.com/3nKtF7cMbD

— glassnode (@glassnode) January 13, 2026

Moreover, looking at the Short-Term Holder Cost Basis Distribution (CBD) Heatmap, Glassnode found that the recent $80,000–$95,000 consolidation “reflects a top-heavy cost-basis structure meeting renewed demand above $80,000.”

Using the newly launched Short-Term Holder Cost Basis Distribution (CBD) Heatmap, the recent $80K–$95K consolidation reflects a top-heavy cost-basis structure meeting renewed demand above $80K.
Overhead supply from recent buyers has absorbed bounce attempts, anchoring price… pic.twitter.com/iDe5CghDSe

— glassnode (@glassnode) January 13, 2026

Meanwhile, Bitunix analysts say that in the short term, BTC should monitor the $91,031 level as key support, with $97,237 acting as the primary resistance zone.

They note that on 14 January, US President Donald Trump launched an attack on Federal Reserve Chair Jerome Powell. Powell has the support of several major central banks, including the European Central Bank, the Bank of England, and the Bank of Canada.

“This episode is not merely a personnel dispute, but a repricing of confidence in the monetary policy framework itself,” the analysts say. “For the crypto market, the core macro variables remain the duration of elevated interest rates and the credibility of policy institutions.”

They continue: “If concerns over central bank independence continue to widen—driving volatility in the dollar and real yields—crypto asset volatility is likely to increase. Conversely, if markets regain confidence that the policy path is not being politically distorted, BTC may re-enter a bullish rhythm following a period of structural consolidation. Crypto markets should remain highly attentive to how shifts in the macro narrative cascade into changes in overall risk appetite.”

Levels & Events to Watch Next

At the time of writing on Wednesday morning, BTC stood at $94,953. The coin started the day at the lowest point of $91,820. It relatively gradually appreciated to the intraday high of $95,804, before slightly correcting to the current price.

BTC remains green in the 7-day timeframe as well, having appreciated 3% over a week. It has been trading in the $89,799–$95,724 range.

Bitcoin Price Chart. Source: TradingView

In the near term, BTC will likely continue to trade between $80,000 and $96,000. Yet, a break above $98,000 could lead to $100,000, and a decisive breakout above that could open doors toward the $116,000-$120,000 level. Should it go red, we could see levels below $80,000 and $70,000.

Moreover, Ethereum is currently changing hands at $3,328. For the majority of the past 24 hours, it traded between the intraday low of $3,119 and $3,210. However, it then jumped to the intraday high of $3,350.

Over the past 7 days, ETH has gone up 2.7%. It moved between $3,068 and $3,350.

Ethereum (ETH)

24h7d30d1yAll time

If ETH continues rising, it could see $3,450, after which the path may open for higher levels of $3,600 and $3,850. A firm breakout above this level could lead to ETH reclaiming the $4,000 zone. On the other hand, a drop could push the price back down towards $3,000, while stronger pressure would lead to the sub-$3,000 levels.

Notably, Standard Chartered has dubbed 2026 the “year of Ethereum”.

Standard Chartered: Ethereum will outperform the entire market in 2026.

New Targets:
• 2026: $7,500
• 2028: $22,000
• 2030: $40,000

"2026 will be the year of Ethereum, just like 2021 was." – Geoff Kendrick.

Institutional money is looking past the noise. Are you ? pic.twitter.com/rtv2t6qRWH

— NekoZ (@NekozTek) January 13, 2026

Moreover, the crypto market sentiment has finally reversed course and began increasing, away from the fear zone.

The crypto fear and greed index stands at 52 today, compared to 41 we’ve been seeing over the past few days.

Though still in the neutral territory, the metric no longer borders the fear zone and is approaching the greed zone, which it hasn’t seen since a brief spike in October 2025.

While the caution remains, it’s clear that optimism amongst market participants is increasing. It’s still unclear if this is a brief rise or a part of a longer-term trend.

ETFs Go Green

On Tuesday, the US BTC spot exchange-traded funds (ETFs) recorded a second straight day of positive flows, adding $753.73 million in total, the highest level since October. With this, the total net inflow increased to $57.27 billion.

Seven of the twelve ETFs posted inflows, and none recorded outflows. Fidelity was at the top, taking in $351.36 million.

It’s followed by Bitwise and BlackRock with $159.42 million and $126.27 million, respectively.

Moreover, the US ETH ETFs posted positive flows on 13 January as well, totalling $129.99 million. This is a significant jump compared to the minor inflows of the day prior. The latest amount increased the total net inflow to $12.57 billion.

Of the nine funds, five saw inflows, and none saw outflows again. The highest among these is BlackRock’s $53.31 million.

Grayscale is next with inflows of $39.35 million recorded on the same day.

Meanwhile, a recent Bitwise and VettaFi survey found that 32% of financial advisors allocated to crypto in client accounts in 2025. This is up from 22% in 2024, setting an all-time high for the series.

Advisors picked crypto equity ETFs as their top exposure for 2026, while their next choice was spot crypto ETFs at 16%.

#10: CRYPTO EQUITY ETFS CONTINUE TO BE ADVISORS’ TOP CHOICE

When asked what crypto exposure they were most interested in allocating to in 2026, crypto equity ETFs were the favorite among advisors.

— Bitwise (@BitwiseInvest) January 13, 2026

Quick FAQ

Did crypto move with stocks today?

The crypto market posted an increase over the past 24 hours. Meanwhile, the US stock market closed the Tuesday session lower. By the closing time on 13 January, the S&P 500 was down 0.19%, the Nasdaq-100 decreased by 0.18%, and the Dow Jones Industrial Average fell by 0.8%. TradFi investors were digesting consumer inflation data and the news of a Justice Department probe into Federal Reserve Chair Jerome Powell.

Is this rally sustainable?

It is possible that we’ll watch crypto prices move in a relatively tight range for a while longer. Analysts are currently looking for signals that would confirm a potential longer-term upturn.

You may also like:

(LIVE) Crypto News Today: Latest Updates for January 14, 2026

Crypto markets staged a broad rebound over the past 24 hours, with most sectors posting gains of between 3% and 8% as risk appetite improved. Bitcoin rose 4.34% to reclaim the $95,000 level, while Ethereum jumped 7.4% to trade above $3,300. Strength was seen across meme, RWA, Layer 2, DeFi, and CeFi sectors, with several tokens recording double-digit gains. Market sentiment also improved, with the crypto fear and greed index climbing to 47 from 25 a day earlier, placing sentiment firmly in...

The post Why Is Crypto Up Today? – January 14, 2026 appeared first on Cryptonews.

Ethereum has had its moment this cycle. In the summer of 2025, ETH finally pushed through its previous highs and printed a new all-time high near $4,900, driven by strong ETF flows, staking demand, and renewed interest from retail investors.

Since then, price action has cooled. Ethereum followed the broader market lower and retraced roughly 40%, bringing ETH back into a zone that many long-term investors now view as consolidation rather than weakness.

At the same time, since the bear market is ongoing, early-stage projects are starting to get attention. One of these is BMIC (BMIC).

While majors like Ethereum work through multi-year ranges, BMIC is still in its crypto presale phase, positioning itself around a structural theme that most of the market has not priced in yet: quantum-safe security for Web3, the team says.

Ethereum Price Outlook: What ETH Chart Is Signaling

Crypto Patel’s long-term Ethereum chart frames the current market structure as constructive rather than bearish. According to his analysis, the $1,800 to $2,900 range represents a long-term accumulation zone, where patient positioning tends to outperform reactive trading. On the chart, Ethereum remains inside a rising macro channel that has guided price action for nearly a decade.

Source: X/@CryptoPatel

Patel outlines a scenario where ETH gradually builds higher lows before breaking toward $10,000 during 2026, with extended upside toward $20,000–$30,000 over a longer horizon if adoption and liquidity conditions align. The projected path is not a straight line. The chart explicitly shows pauses, pullbacks, and consolidations, reinforcing the idea that timing and patience matter more than chasing short-term momentum.

This setup helps explain why Ethereum at $3,000 may deliver a 3x move over the next phase of the cycle. It also explains why some investors are looking beyond large caps for asymmetric opportunities elsewhere. While ETH’s upside now depends on trillions in incremental capital, early-stage infrastructure projects operate on a different curve entirely.

Why BMIC’s Utility Puts It in a Different Category

BMIC is not trying to compete with Ethereum or other layer-one networks. Instead, it says it is building a quantum-secure finance stack designed to sit underneath the broader Web3 ecosystem. The platform combines a wallet, staking system, and payment layer, all protected by post-quantum cryptography and signature-hiding smart accounts. This secures storage, yield, and spending in one unified architecture, according to the team.

A core differentiator is zero public-key exposure. Most wallets today expose public keys on-chain, creating a permanent attack surface once quantum computing matures. BMIC says it removes this risk through ERC-4337-style smart accounts, hybrid post-quantum signatures, and private routing. The system is quantum-native from day one, so no need for future migrations that legacy platforms are likely to face.

AI plays a defensive role. BMIC uses AI to monitor activity, detect threats early, and optimize cryptographic performance as conditions change. This security layer improves over time without requiring user intervention. For enterprises, BMIC offers Quantum Security-as-a-Service, allowing banks, fintechs, healthcare providers, and governments to integrate quantum-secure custody, identity protection, and encrypted communications without rebuilding infrastructure.

The roadmap also extends beyond wallets and payments. BMIC plans to introduce the Quantum Meta-Cloud, a decentralized framework for accessing quantum compute resources in a transparent and permissionless way. Combined with a deflationary token model tied to real services such as staking, APIs, compute access, and governance, BMIC says it positions itself for the upcoming bull cycles.

Why BMIC Is Emerging as One of the Best Crypto Projects

All in all, Ethereum’s upside is increasingly tied to macro conditions and incremental adoption, but BMIC is still in its earliest growth phase. BMIC’s crypto presale is structured across multiple tiers, starting at $0.048485 and rising to $0.058182, a 20% price increase between early and late participants. Listed prices are higher than presale tiers.

As security becomes a dominant narrative and quantum risk moves from theory toward reality, BMIC’s focus on structural protection rather than speculation stands out. For investors comparing a potential 3x in Ethereum with earlier-stage asymmetry, BMIC is framed as one of the most closely watched crypto projects right now.

With each presale phase pushing prices higher, the window for early entry is narrowing, and awareness is starting to build before the broader market fully catches on.

Discover the future of quantum-secure Web3 with BMIC:

Website: https://bmic.ai

X (Twitter): https://x.com/BMIC_ai

Telegram: https://t.me/+6d1dX_uwKKdhZDFk

The post Ethereum at $3,000 Might 3x – BMIC Targets Structural Security Adoption appeared first on Cryptonews.

A new report from cryptocurrency exchange CEX.IO shows that tokenized gold became one of the fastest-growing segments of the real-world asset (RWA) market in 2025.

Trading activity and market expansion outpaced many traditional gold investment products.

Tokenized Gold Accounts for a Quarter of RWA Growth

According to the report, tokenized gold recorded a 177% increase in market capitalization in 2025, expanding from roughly $1.6 billion to $4.4 billion. This added nearly $2.8 billion in net value accounting for around 25% of all net RWA growth over the year.

In contrast the broader DeFi market struggled to regain momentum with total value locked (TVL) rising by just 2% while RWAs grew by approximately 184% making them crypto’s standout performer.

CEX.IO notes that tokenized gold expanded 2.6 times faster than physical gold which itself saw a strong year amid inflation concerns and geopolitical uncertainty.

The category also registered a 198% increase in total holders, adding more than 115,000 new wallets—growth that outpaced tokenized U.S. Treasuries and other tokenized bonds.

Trading Volumes Rival Gold ETFs

Trading activity tells an even more striking story. Tokenized gold trading volume jumped 1,550% year-on-year, reaching $178 billion in total volume in 2025. In the fourth quarter alone volume exceeded $126 billion surpassing the combined trading volume of five major gold ETFs.

While SPDR Gold Shares (GLD) remained the single largest gold investment product by volume the report estimates that tokenized gold would rank as the second-largest gold investment vehicle globally by trading volume ahead of every ETF except GLD. This highlights a structural shift in where gold trading liquidity is forming increasingly moving on-chain.

A Highly Concentrated Market

Despite rapid growth, the market remains highly concentrated. The top three tokenized gold assets—Tether Gold (XAUT), Pax Gold (PAXG) and Kinesis Gold (KAU)—control roughly 97% of total market capitalization while the top four account for 99% of trading volume.

XAUT dominated trading activity in late 2025 representing 75% of total Q4 volume following a reserve attestation that appeared to boost market confidence.

CEX.IO also highlighted emerging products such as Matrixdock Gold (XAUM) which saw market cap growth of more than 1,000% after integration with the Plume ecosystem.

Complementing Not Replacing Stablecoins

The report explains that tokenized gold is not competing directly with stablecoins but instead acts as a tactical hedge. During periods of market stress, traders appear to rotate capital into tokenized gold as a middle ground between risk-on crypto assets and risk-off stablecoins.

Overall, CEX.IO concludes that 2025 marked a turning point for tokenized gold, transforming it from a niche RWA category into a large-scale, liquid gold investment vehicle.

While concentration risks remain the data suggests tokenized gold is now firmly established as a meaningful component of both the RWA and global gold investment landscape.

The post Tokenized Gold Accounts for 25% of RWA Growth as Trading Volume Overtakes Gold ETFs appeared first on Cryptonews.

Ripple has secured preliminary approval for an Electronic Money Institution (EMI) license from Luxembourg’s financial regulator, marking another regulatory milestone as the firm expands its payments business across Europe.

Key Takeaways:

Ripple secured preliminary EMI approval in Luxembourg to expand regulated EU payments.

Back-to-back approvals in Luxembourg and the UK deepen Ripple’s European footprint.

The licenses support Ripple’s push to deliver payment infrastructure for banks and institutions.

The approval was granted by the Commission de Surveillance du Secteur Financier and came in the form of a “green light letter,” Ripple said in a recent blog post.

While the authorization remains subject to final conditions, it positions the company to broaden its cross-border payments platform across the European Union, allowing financial institutions to move funds using stablecoins and other digital assets within a regulated framework.

Ripple Secures UK and Luxembourg Approvals to Deepen EU Presence

The Luxembourg decision follows closely on Ripple’s recent regulatory progress in the United Kingdom, where it received both an EMI license and cryptoasset registration from the Financial Conduct Authority.

Together, the approvals strengthen Ripple’s footprint in two key European markets as regional rules for digital assets continue to take shape.

Ripple President Monica Long said Europe’s regulatory approach has given financial institutions the confidence to move blockchain technology beyond pilot programs.

She added that expanding Ripple’s licensing portfolio allows the company to offer an end-to-end payments solution that combines stablecoins with onchain liquidity, helping institutions modernize legacy systems and operate around the clock.

Ripple Payments operates as a licensed, end-to-end cross-border payments platform, managing the flow of funds on behalf of clients while connecting them to a global network of payout partners.

By handling blockchain infrastructure and operational complexity internally, Ripple enables banks and payment providers to launch digital services without building or maintaining their own systems.

We’ve secured our preliminary Electronic Money Institution license approval from Luxembourg’s Commission de Surveillance du Secteur Financier (CSSF).

This is a pivotal step toward scaling Ripple Payments across the EU, bringing institutional-grade digital asset infrastructure… pic.twitter.com/GW3c9gVhDs

— Ripple (@Ripple) January 14, 2026

According to the company, Ripple Payments has processed more than $95 billion in transaction volume to date and now reaches over 90% of daily foreign exchange markets.

The firm holds more than 75 licenses and registrations worldwide, placing it among the most heavily regulated companies in the digital asset sector.

Cassie Craddock, Ripple’s managing director for the UK and Europe, said Luxembourg’s supervisory framework offers the legal certainty needed for financial innovation.

She described the preliminary approval as a pivotal step toward delivering compliant blockchain infrastructure across the EU, noting Ripple’s focus on aligning its operations with Europe’s Markets in Crypto-Assets (MiCA) regime.

Ripple’s RLUSD Wins Regulatory Green Light in Abu Dhabi

As reported, Ripple’s dollar-backed stablecoin RLUSD was cleared for institutional use in Abu Dhabi after receiving recognition as an Accepted Fiat-Referenced Token from the local regulator.

The approval allows licensed firms within Abu Dhabi Global Market (ADGM) to use RLUSD for regulated financial activities inside the free-zone financial center.

The decision strengthens Ripple’s expansion across the UAE. In recent months, the company secured approvals in Dubai and Abu Dhabi and onboarded partners including Zand Bank and Mamo.

As reported, Ripple is also weighing whether to bring staking to the XRP Ledger (XRPL), a move that would push the decade-old blockchain deeper into the rapidly expanding world of decentralized finance.

The post Ripple Wins Luxembourg EMI Approval to Expand European Payments appeared first on Cryptonews.

Uganda’s government imposed a nationwide internet blackout on Tuesday ahead of Thursday’s presidential election, triggering a surge in downloads of Bitchat, a decentralized messaging app that operates offline.

The Uganda Communications Commission ordered mobile providers to suspend public internet access from 6 p.m. local time, citing concerns over misinformation and electoral fraud as 81-year-old President Yoweri Museveni seeks his seventh term against opposition challenger Bobi Wine.

Bitchat developer Calle reported the app became Uganda’s most downloaded application as citizens prepared for the shutdown.

The peer-to-peer messenger uses Bluetooth to relay encrypted messages between nearby devices, creating mesh networks that function independently of traditional internet infrastructure and do not require phone numbers or account registration.

Bitchat has become the most downloaded app in Uganda amid a government-ordered nationwide internet shutdown. pic.twitter.com/b6EII1sVOY

— calle (@callebtc) January 14, 2026

Internet Blackout Mirrors 2021 Election Crackdown

According to Vanguard, the Uganda Communications Commission justified the suspension as necessary to prevent “online misinformation, disinformation, electoral fraud and related risks” that could undermine national security during the election period.

The directive applies to all access technologies, including mobile broadband, fiber-optic services, and satellite internet, with violators facing fines and possible license suspensions.

NetBlocks confirmed “nation-scale disruption to internet connectivity” shortly after the 3 p.m. GMT implementation deadline.

Confirmed: Live network data show a nation-scale disruption to internet connectivity in #Uganda; the measure comes days ahead of general elections and corresponds to a shutdown notice from the Uganda Communications Commission "to mitigate the rapid spread of misinformation" pic.twitter.com/01ZGYVRSuG

— NetBlocks (@netblocks) January 13, 2026

Voice calls and basic SMS services remained operational, while essential state services received exemptions through secure whitelisted systems restricted to authorized personnel.

The government had repeatedly promised internet access would remain available, stating on January 5 that “claims suggesting otherwise are false, misleading, and intended to cause unnecessary fear and tension among the public.“

Uganda previously cut internet access during its 2021 election, which international observers described as marred by widespread allegations of rigging and state violence against opposition supporters.

Opposition Faces Intensified Repression Ahead of Vote

United Nations Human Rights Office reported that police and military forces used live ammunition to disperse peaceful rallies, conducted arbitrary detentions, and abducted opposition supporters in the election run-up.

Security forces detained hundreds of opposition supporters while repeatedly firing tear gas at campaign events supporting Bobi Wine, whose real name is Robert Kyagulanyi.

The government on Tuesday ordered two local rights groups (Chapter Four Uganda and Human Rights Network for Journalists-Uganda) to immediately cease operations.

The state-run National Bureau for NGOs accused the organizations of activities “prejudicial” to Uganda’s security.

Both groups had documented alleged arbitrary detention and torture of opposition supporters and journalists covering the election campaign.

Another opposition figure, Kizza Besigye, who challenged Museveni in four previous elections, remains jailed on treason charges after being kidnapped in Kenya in 2024 and returned to Uganda for military trial.

Decentralized App Provides Communication Alternative

Bitchat entered beta testing in July and requires no accounts, phone numbers, or central infrastructure.

The app fragments messages into 500-byte chunks that hop between devices within 30 meters, with up to 7 relay points enabling transmission during connectivity blackouts.

Store-and-forward systems cache messages for offline users up to 12 hours, ensuring delivery when direct connections are unavailable.

Wine encouraged supporters to download the application during his final Monday rally, where heavy security deployment established a perimeter that deterred attendance.

Bobi Wine during the party’s final campaign rally in Kampala on Monday. | Source: NYT

Soldiers chased down and beat at least one person for waving Uganda’s national flag, a symbol of Wine’s campaign that authorities have banned.

Uganda Communications Commission executive director Nyombi Thembo warned regulators could disable Bitchat if needed, stating, “Don’t be excited by Bitchat, it’s a small thing.“

Calle rejected that assessment, citing internal data showing over 400,000 Ugandan downloads while declaring, “You can’t stop Bitchat. You can’t stop us.“

Museveni came to power in 1986 after leading a five-year rebellion and is Africa’s third-longest serving head of state. He has changed the constitution twice to remove age and term limits.

His campaign slogan “Protecting the Gains” contrasts sharply with Wine’s “Protest Vote” message, emphasizing generational change for Uganda’s population, where more than one in four citizens are between 18 and 30 years old.

Notably, Uganda’s adoption follows similar patterns during recent civil unrest across multiple countries.

Dorsey's Bitchat explodes in Madagascar as protesters adopt censorship-resistant messaging during violent protests over infrastructure failures.#BitChat #Madagascarhttps://t.co/oZS9WNukd2

— Cryptonews.com (@cryptonews) September 29, 2025

Nepal recorded 48,781 downloads in September during youth-led protests against government corruption that left 22 dead and forced Prime Minister KP Sharma Oli’s resignation, while Madagascar saw searches spike from zero to 100 during violent demonstrations over water and electricity shortages that prompted government curfews across the capital.

The post Bitchat Downloads Spike in Uganda as Government Prepares Internet Shutdown for Election appeared first on Cryptonews.

Visa has tapped BVNK to power stablecoin payments across the Visa Direct network adding to its broader push to integrate digital assets into global payments infrastructure.

Exciting news: we're powering stablecoin payments for @Visa Direct

Starting this year with pilot programs, BVNK will provide stablecoin infrastructure for @VISADIRECT's $1.7 trillion real-time payments network, enabling faster, more flexible global money movement. pic.twitter.com/0SxgIRrhof

— BVNK (@BVNKFinance) January 14, 2026

The partnership will allow Visa Direct customers to unlock new options for cross-border payments by using stablecoins alongside traditional fiat rails and expanding flexibility for businesses and end users alike.

Expanding Visa Direct with Stablecoins

Visa Direct is a real-time money network that processes around $1.7 trillion in volume annually allowing payouts to cards, bank accounts and digital wallets.

Under the new partnership BVNK will provide the stablecoin infrastructure that allows some business customers to pre-fund Visa Direct payouts using stablecoins rather than relying solely on fiat currencies.

The integration will also support payouts to end recipients directly in stablecoins placing digital dollars into users’ wallets. This opens the door to faster settlement 24/7 availability and reduced reliance on traditional banking hours especially for cross-border and treasury use cases.

BVNK said it processes more than $30 billion in stablecoin payments annually and will initially support Visa Direct’s stablecoin services in approved markets with strong demand for digital asset-based payments.

Building on an Existing Relationship

The announcement represents the next phase of a deepening relationship between Visa and BVNK. Visa Ventures invested in BVNK in May 2025.

The firm said the partnership is part of Visa’s broader strategy to explore how stablecoins can modernise money movement complementing existing rails rather than replacing them.

Stablecoins as a Payments Infrastructure Layer

Mark Nelsen, Global Head of Product for Commercial and Money Movement Solutions at Visa, said stablecoins present an opportunity to reduce friction in global payments and expand access to faster and more efficient settlement.

He highlights their usefulness during weekends, holidays and periods when traditional banks are closed, positioning stablecoins as a practical enhancement to existing payment networks.

BVNK chief executive Jesse Hemson-Struthers describes stablecoins not just as a new payment method but as a foundational layer of modern payments infrastructure.

By integrating stablecoins directly into Visa’s network the partnership aims to give businesses and consumers more control over how and when funds are sent and received.

Phased Rollout and Global Ambitions

The rollout will begin in select markets where demand for digital asset payments is already strong, with plans to expand more broadly based on customer needs and regulatory considerations.

For businesses the integration promises greater choice in treasury management, cross-border payouts and liquidity options, while maintaining the reliability and trust associated with Visa’s global network.

The post Visa Partners with BVNK to Bring Stablecoin Payments to Visa Direct appeared first on Cryptonews.

Senate Agriculture Committee Chairman John Boozman announced the legislative text for crypto market structure legislation will be released by the close of business on Wednesday, January 21, with a committee markup scheduled for Tuesday, January 27, at 3 p.m.

The timeline follows parallel action by the Senate Banking Committee, where senators submitted 137 amendments to the CLARITY Act ahead of Thursday’s markup, according to sources who viewed the submission list.

“This schedule ensures transparency and allows for thorough review as the committee moves forward with legislation to provide clarity and certainty for crypto markets,” Boozman said in a statement.

The chairman thanked Senator Cory Booker for continued partnership on the legislation designed to provide regulatory frameworks for digital asset markets.

NEW: After scrambling to meet the 5 PM deadline, Senators on the Banking Committee have submitted 137 amendments to last night’s text, according to multiple sources who have seen the list. Some of these will be debated during Thursday’s markup.

— Eleanor Terrett (@EleanorTerrett) January 14, 2026

Banking Lobby Secures Restrictions on Stablecoin Yield

The latest Senate Banking Committee draft prohibits digital asset service providers from paying interest solely for holding payment stablecoin balances, marking a significant win for traditional banking groups.

The provision allows rewards tied to specific activities, including transactions, wallet usage, loyalty programs, liquidity provision, collateral deposits, and participation in network governance.

“Banks may have won this round on stablecoin yield,” Fox Business reporter Eleanor Terrett wrote, noting the draft states companies cannot pay interest just for holding balances.

The language emerged after intense lobbying from banking groups who warned that yield-bearing stablecoins could drain deposits from community institutions.

Coinbase told the crypto industry to “stand down on opposing the stablecoin yield language for now,” according to Decrypt Senior Writer Sander Lutz, citing a source with direct knowledge.

The exchange characterized the provisions as “the least favorable language they’d still support,” with Lutz noting the company believes “the loopholes are decent enough for yield on stablecoin activity/loyalty programs.“

Key update: Coinbase is telling the crypto industry to stand down on opposing the stablecoin yield language for now, a source with direct knowledge tells me. Saying it's a win for the banks but it's basically the least favorable language they'd still support. If it gets worse–if… https://t.co/6DgoEz0a1W

— Sander Lutz (@s_lutz95) January 13, 2026

JPMorgan CFO Jeremy Barnum told analysts the creation of “a parallel banking system that includes something that looks a lot like a deposit that pays interest, without the associated safeguards, is an obviously dangerous and undesirable thing.”

The bank recently reported $25 billion in net interest income last quarter, prompting crypto advocates to argue that banks oppose stablecoin yield to protect profit margins rather than consumer interests.

Democratic Opposition Threatens Bipartisan Consensus

Key Senate Democrats are demanding ethics guardrails that prohibit public officials, including the president, from profiting off crypto business ties, creating a potential deal-breaker for the legislation.

Senator Adam Schiff said ethics controls covering the White House were essential, stating “that needs to be applied to everyone.”

Senator Ruben Gallego went further, calling it “a red line” and warning, “They need to get it right, or they’re not going to have enough votes to pass this.”

Three Democratic senators sent a letter demanding a full hearing before Thursday’s markup, criticizing the release of legislative text “just two days before the markup.“

Industry sources told Lutz that current vibes on the bill’s chances are “NGMI” due to ongoing disagreement over ethics language between Senate Democrats and the White House.

If Democrats kill landmark legislation that would cement U.S. leadership in fintech- simply to score political points- they’ll have to explain that choice to voters in November. https://t.co/Q1F7jYEWDo

— Bo Hines (@BoHines) January 13, 2026

Bo Hines of the Bitcoin Policy Institute warned that “if Democrats kill landmark legislation that would cement U.S. leadership in fintech simply to score political points, they’ll have to explain that choice to voters in November.“

Industry Split on DeFi and Self-Custody Protections

The Banking Committee added a massive new section on decentralized finance that the crypto lobby wasn’t expecting, prompting industry sources to express concern over definitions and murky language.

Attorney Zack Shapiro’s detailed analysis noted the bill protects software developers while establishing compliance pressure on web-based user interfaces.

“The bill explicitly protects software developers and preserves the right to self-custody digital assets,” according to the Senate Banking Committee GOP’s myth-versus-fact release.

1/23 Here's my full walk-through of the Digital Asset Market Clarity Act (HR 3633 substitute). Market structure is the headline, but the provisions that matter most for DeFi, privacy, self-custody, and developers live in Title III (illicit finance) and Title VI (software +…

— Zack Shapiro (@zackbshapiro) January 13, 2026

Section 605 states federal agencies may not “prohibit, restrict, or otherwise impair” a US individual’s ability to self-custody digital assets for lawful purposes.

Consensys attorney Bill Hughes characterized the moment as potentially “the best deal you could ever hope to get,” arguing critics should “hold your nose and accept” the compromise.

Paradigm VP Alexander Grieve also warned Congress might “squander progress” by restricting stablecoin rewards to merchant transactions, calling it “a government-mandated windfall for financial intermediaries at the expense of individual Americans.“

As it stands now, the bill is progressing and Senator Cynthia Lummis has emphasized bipartisan contributions, stating, “every section includes bipartisan input and I look forward to working with my Democratic colleagues to deliver a bill that secures America’s financial future.“

Proud of the bipartisan work that went into the Clarity Act. When we put politics aside and focus on what’s best for America’s economic future, we can achieve real progress. This bill proves that common ground exists, and it’s time to make it the law.

— Senator Cynthia Lummis (@SenLummis) January 14, 2026

The post Senate Crypto Bill Markup Moved to January 27 Amid Legislative Push appeared first on Cryptonews.

Pakistan reportedly has partnered with the Trump family-linked World Liberty Financial affiliate to explore stablecoin payment rails, Reuters reported Wednesday.

A source involved with the deal told the publication that both parties have signed an agreement, marking the first publicly announced deal between a sovereign state and a crypto project.

Sources did not provide further details regarding Pakistan’s deal with SC Financial Technologies, a World Liberty-linked company. Further details are expected to be released by Pakistan on Wednesday following World Liberty CEO ‍Zach Witkoff’s visit to Islamabad.

Today, World Liberty Financial signed an MoU with the Ministry of Finance to explore innovation in digital finance, particularly the use of stablecoins for cross-border transactions, signalling growing global interest in Pakistan as a key market for digital assets. pic.twitter.com/rYzbfHYysd

— Pakistan Virtual Assets Regulatory Authority (@PakistanVARA) January 14, 2026

Pakistan Eyes USD1 Stablecoin Integration

Per the agreement, WLF and Pakistan’s central bank will work to integrate the USD1 stablecoin into a digital payments structure. The stablecoin will operate alongside Pakistan’s crypto infrastructure.

WLFI and the Pakistan Crypto Council signed a Letter of Intent (LOI) in April last year to promote blockchain adoption and boost DeFi growth. The partnership targeted expanding stablecoin use for remittances and trade.

The current agreement comes at a time when USD1 stablecoin has surged past $3.5 billion in circulating supply. The stablecoin maintains a $1 peg and is deployed across multiple blockchains, with the largest share on BNB Smart Chain.

Source: defillama

Besides, the World Liberty project saw a sharp increase in revenue for the Trump Organization in the first half of 2025. It has now filed for a US national banking charter in a move to bring its dollar-linked stablecoin deeper inside the regulatory perimeter.

Additionally, Pakistan has also accelerated efforts to formalize its digital asset ecosystem over the past year. The nation established Pakistan Virtual Assets Regulatory Authority, allowing major exchanges like Binance and HTX to operate locally. Besides, it signalled plans to build a Bitcoin reserve.

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Stablecoin usage on fintech platform Revolut accelerated sharply in 2025, with payment volumes estimated to have climbed 156% year over year to roughly $10.5 billion, as digital dollars gain ground in everyday payments.

Key Takeaways:

Stablecoin payments on Revolut surged in 2025, with volumes rising by 156% to about $10.5 billion.

Onchain data shows growth has been steady throughout the year, driven by everyday payments.

Revolut’s fee-free USDC and USDT conversions are helping push stablecoins into routine retail use.

Revolut has not released official stablecoin payment data for the year, but crypto researcher Alex Obchakevich estimates that stablecoin transactions nearly doubled as a share of the platform’s total payments compared with 2024.

Dune Data Shows Steady Growth in Revolut Stablecoin Flows

The analysis draws on blockchain data compiled by Dune Analytics and focuses on stablecoin flows linked to Revolut wallets.

“Despite the small absolute share, the dynamics are impressive,” Obchakevich said, noting that growth has been consistent throughout the year rather than driven by short-lived spikes.

The trend aligns with broader projections for the sector. Bloomberg Intelligence said this week that stablecoin payment flows could grow at an 81% compound annual rate, reaching $56.6 trillion by 2030, as retail adoption expands and more institutions integrate blockchain-based settlement.

Revolut has actively pushed into the space. In October, the company introduced a feature allowing users to exchange US dollars for USDC and USDT at a 1:1 rate, with no commissions or hidden fees.

The move lowered friction for customers looking to move funds onchain without navigating external exchanges.

Stablecoins on @Revolut are showing exponential growth. The volume of transactions with stablecoins is growing four times faster at 156% compared to the total payment volume of 38.5%.

This indicates the active implementation of crypto solutions on @Revolut. Over the year, the… https://t.co/1XBP5K07J5 pic.twitter.com/TiO1JwowbE

— Alex (@obchakevich_) January 12, 2026

Transaction data suggests stablecoins are being used for routine payments rather than only large transfers.

Obchakevich said transfers between $100 and $500 accounted for roughly 30% to 40% of all stablecoin transactions on the platform, pointing to practical, day-to-day use cases.

“This indicates that Revolut users actively use stablecoins for everyday medium-sized payments, not just for large transfers,” he said.

Ethereum dominates stablecoin activity on Revolut, accounting for more than two-thirds of total volume, while Tron follows with about 22.8%.

The platform also supports networks such as Polygon, Solana, Arbitrum and Optimism.

The broader stablecoin market is valued at about $312 billion, and US Treasury estimates suggest it could reach $2 trillion by 2028. Revolut is not alone in tapping into that growth.

Western Union plans to roll out a stablecoin settlement system on Solana in 2026, while MoneyGram and Zelle are also moving to integrate stablecoin-based payments for cross-border transfers.

Stablecoin Transactions Hit $33 Trillion in 2025 as USDC Leads Usage

Global stablecoin transaction value reached $33 trillion in 2025, marking a 72% increase from the previous year, according to Bloomberg data compiled by Artemis Analytics.

USDC emerged as the most-used stablecoin by transaction volume, processing $18.3 trillion, while Tether’s USDT handled $13.3 trillion, despite maintaining its lead by market capitalization at $187 billion.

The surge in activity followed the passage of the GENIUS Act in July 2025, the first comprehensive U.S. regulatory framework for payment stablecoins.

Industry participants say the legislation has provided legal certainty that encouraged broader institutional and global adoption.

The post Revolut Stablecoin Payments Surge Over 150% in 2025: Researcher appeared first on Cryptonews.

Russia is taking another step toward opening its cryptocurrency market to retail participants, as lawmakers prepare legislation that would allow non-qualified investors limited access to digital assets.

Key Takeaways:

Russia is preparing legislation to let non-qualified investors access crypto, while capping retail purchases at 300,000 rubles.

The draft bill would remove crypto from special regulation, signaling a push to make digital assets part of everyday finance.

Authorities aim to expand crypto use in cross-border settlements while keeping strict limits to manage financial risks.

According to a Tuesday report from state news agency TASS, Anatoly Aksakov, chairman of the State Duma’s Financial Markets Committee, said a draft bill has already been finalized and is expected to be considered during the spring parliamentary session.

The proposal would remove cryptocurrencies from a special regulatory regime, effectively treating them as a more conventional financial instrument.

Russia Lawmaker Says Crypto Set to Enter Everyday Use Under New Bill

“A bill has already been prepared that removes cryptocurrencies from special financial regulation, meaning they will become commonplace in our lives,” Aksakov said in an interview with the Russia-24 television channel, as cited by TASS.

Under the proposed framework, access for non-qualified investors would remain capped.

Individuals who do not meet Russia’s qualified-investor requirements would be allowed to buy cryptocurrencies worth up to 300,000 rubles, or roughly $3,800.

Aksakov said professional market participants would not be subject to similar restrictions.

Beyond domestic trading, the law is also expected to support the use of crypto in cross-border activity.

Aksakov said the changes could facilitate international settlements and enable the overseas placement of tokens issued by Russian entities, an area of growing interest as the country seeks alternatives to traditional financial rails.

According to TASS, Russian State Duma Financial Market Committee chair Anatoly Aksakov said a bill is ready that would remove cryptocurrencies from “special financial regulation,” aiming to make their use more common in daily life. Speaking to Rossiya-24, Aksakov said upcoming…

— Wu Blockchain (@WuBlockchain) January 14, 2026

The comments follow earlier signals from Russian authorities pointing to a more permissive, but closely monitored, approach to retail crypto use.

In December, the Bank of Russia proposed allowing non-qualified investors to trade digital assets after passing a risk-awareness test, while maintaining a ban on anonymous and privacy-focused cryptocurrencies.

Around the same time, Finance Minister Anton Siluanov said the finance ministry and the central bank were working toward a coordinated framework that would permit retail participation within defined limits.

Officials have repeatedly emphasized that transaction caps and investment thresholds would be critical to containing financial and systemic risks as crypto adoption expands.

Crypto Questions Flood Russia’s Social Fund

As reported, Russia’s Social Fund received about 37 million calls in 2025, with crypto-related questions emerging as one of the most common topics alongside standard social benefit inquiries.

Citizens frequently asked whether pensions could be paid in digital assets and whether income from crypto mining would count toward benefit calculations, prompting officials to reiterate that all state payments are made exclusively in rubles and that crypto taxation falls under the Federal Tax Service.

The attention comes as crypto mining gains political and economic relevance. Senior officials have argued that mining should be recognized as an export activity, noting its impact on foreign exchange flows despite the lack of physical cross-border movement.

Late last month, Moscow Exchange and St. Petersburg Exchange confirmed readiness to launch crypto trading once Russia’s legislative framework takes effect by July 1, 2026, following the Bank of Russia’s December 23 regulatory concept release.

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Crypto is showing up less as a curiosity and more as a line item in client portfolios.

A recent Bitwise and VettaFi survey found 32% of financial advisors allocated to crypto in client accounts in 2025, up from 22% in 2024, setting an all-time high for the series.

The jump lands after a headline year for digital assets, with the report pointing to Bitcoin’s run to a $126k all-time high in 2025 and faster progress on US rules, including the GENIUS Act that pushed stablecoins further into the mainstream.

Bitwise and VettaFi collected 299 eligible responses, with outreach running from Oct. 31 to Dec. 8, 2025 across advisor types ranging from registered investment advisors to wirehouse representatives and broker-dealer reps.

#10: CRYPTO EQUITY ETFS CONTINUE TO BE ADVISORS’ TOP CHOICE

When asked what crypto exposure they were most interested in allocating to in 2026, crypto equity ETFs were the favorite among advisors.

— Bitwise (@BitwiseInvest) January 13, 2026

RIAs Lead Crypto Adoption As Access Widens

Client demand stayed steady, and advisors felt it. The survey said 94% of advisors received a question about crypto from clients in 2025, and 56% reported owning crypto in their personal portfolios, another record for the dataset.

Allocation rates varied sharply by channel. Registered investment advisors (RIAs) led with 42% saying they allocate to crypto in client accounts, followed by wirehouse representatives at 35%, and the report also tracked 33% for other financial professionals, 25% for independent broker-dealer representatives and 18% for financial planners.

Access keeps improving, and the numbers show it. The share of advisors who said they can buy crypto in client accounts rose to 42% from 35% in 2024, and 58% said they were unable to buy crypto in client accounts or unsure whether they could.

Image Source: Bitwise/VettaFi 2026 survey

Familiar Products Lead Advisor Crypto Strategy For 2026

Clients also keep taking matters into their own hands. Advisors said 74% of clients invested in crypto outside the advisory relationship in 2025, up from 71% in 2024, a pool of held away assets that firms can try to pull back into a broader wealth plan.

Sizing remains cautious, and it is rising. The survey said 83% of client portfolios with crypto exposure held less than 5% in crypto, and 64% of crypto-exposed client portfolios held more than 2%, up from 51% in 2024.

When advisors fund an allocation, they usually sell what they already know. Equities were the top source at 43%, followed by cash at 35%, with smaller shares citing commodities, bonds, and gold.

Image Source: Bitwise/VettaFi 2026 survey

Looking ahead, the next wave may come from advisers who stayed on the sidelines. Among those who did not allocate to crypto in client accounts, 18% said they definitely or probably plan to add exposure in 2026, and another 38% said they are considering it. Among advisors already allocating, 99% plan to maintain or increase exposure.

Product preference is tilting toward familiar wrappers. Advisors again picked crypto equity ETFs as their top exposure for 2026, and the next choices included spot crypto ETFs at 16%, diversified crypto index funds at 14%, multistrategy solutions at 13%, and income-generating strategies at 9%.

The same report laid out the frictions holding adoption back, with volatility and regulatory concerns topping the list, and home office restrictions also showing up as a major constraint.

The post Crypto Advisor Allocations Hit 32% in 2025 as Access Widens and ETF Demand Grows: Survey appeared first on Cryptonews.

The German Federal Financial Supervisory Authority (BaFin) granted MiCAR authorization to the country’s second-largest lender, DZ Bank, last month. With the approval, DZ will launch its crypto trading platform “meinKrypto.”

The platform, which was approved at the end of December, allows primary institutions to offer retail customers access to crypto trading.

Cooperative banks Volksbanken and Raiffeisenbanken must now submit their own MiCAR notification for “meinKrypto” to BaFin, an official statement read.

Once approved and integrated with the VR banking app, meinKrypto functions as a wallet for self-directed investors. At the launch, initial tradable assets will include Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), and Cardano (ADA).

Further, each of the cooperative banks will decide individually whether to implement the crypto service.

German Co-Op Banks Look at Crypto Trading

In September 2025, the German Cooperative Banking Association released a poll, which suggested that co-op banks in Germany are considering offering cryptocurrency services such as Bitcoin and Ether trading.

The study found that 71% of the country’s 670 Volksbanken and Raiffeisenbanken banks are looking at crypto, up from 54% last year.

Besides, a third of banks eyeing crypto say they aim to launch services within the next five months.

The meinKrypto platform was developed by Atruvia, the IT service provider for the cooperative financial group, and DZ Bank. Further, Stuttgart Stock Exchange Digital will handle the custody of the crypto assets.

DZ Bank Joins Euro Stablecoin Consortium

DZ Bank, the central institution for the country’s co-op banking sector, said in a separate statement on Tuesday that it has joined the European banking consortium Qivalis, for the launch of a regulated stablecoin.

The group of 11 banks plans to introduce its euro stablecoin next year under a new Dutch entity named Qivalis.

“We are delighted to welcome DZ BANK as the eleventh member of the consortium,” said Jan-Oliver Sell, CEO of Qivalis. Their participation strengthens our joint commitment to building a robust, MiCAR-compliant euro stablecoin infrastructure for European businesses and consumers.”

Qivalis is currently seeking approval from the German National Bank (DNB) to establish as an e-money institution. It is aiming for market entry in the second half of 2026.

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Stablecoins took center stage during JPMorgan Chase’s fourth-quarter earnings call this week, as executives voiced support for blockchain innovation while drawing a firm line against stablecoin designs that mirror traditional bank deposits.

Key Takeaways:

JPMorgan backs blockchain innovation but warns yield-bearing stablecoins mimic bank deposits without oversight.

The bank says interest-paying stablecoins could create a parallel, lightly regulated banking system.

Adding yield may accelerate stablecoin adoption while increasing risks to bank funding and stability.

The discussion was prompted by a question from Evercore analyst Glenn Schorr, who asked how the bank views stablecoins amid renewed lobbying from the American Bankers Association and active congressional negotiations over digital asset legislation.

JPMorgan chief financial officer Jeremy Barnum said the bank’s position is broadly aligned with the goals of the GENIUS Act, which aims to establish clear rules for stablecoin issuance and oversight.

Yield-Bearing Stablecoins Mimic Bank Deposits

Barnum claimed interest-bearing stablecoins risk recreating core banking functions without the regulatory framework that underpins the financial system.

He warned that tokens offering yield simply for being held could function like deposits while avoiding capital requirements, liquidity rules and supervisory scrutiny.

“The creation of a parallel banking system that sort of has all the features of banking, including something that looks a lot like a deposit that pays interest, without the associated prudential safeguards that have been developed over hundreds of years of bank regulation, is an obviously dangerous and undesirable thing,” Barnum said.

While emphasizing that JPMorgan is open to competition and technological progress, Barnum stressed that innovation should not come at the expense of financial stability.

In his view, stablecoins designed to generate passive yield blur the line between payment instruments and deposit substitutes, raising systemic risks if left unchecked.

Verdict: Mostly True.

JPMorgan CFO Jeremy Barnum called interest-paying stablecoins a 'parallel banking system' without proper regulation, echoing warnings of danger to traditional finance.

Key Evidence: According to CoinDesk, Barnum highlighted how these products mimic…

— Provenance Fact-Check (@0xProvenance) January 13, 2026

The banking industry’s unease is not new. Last year, industry representatives described the rise of yield-bearing stablecoins as a direct threat to banks’ funding models, particularly as traditional lenders continue to offer relatively low interest rates on deposits.

Stablecoins have already gained traction as tools for cross-border payments, onchain settlement and dollar access, largely due to their speed and lower transaction costs.

Adding yield to those products could accelerate adoption and intensify competition for deposits.

Lawmakers Move to Ban Interest on Stablecoin Holdings

That prospect is now drawing closer scrutiny on Capitol Hill. Stablecoin rewards have become a flashpoint in lawmakers’ debate over the Digital Asset Market Clarity Act, a broad proposal designed to define regulatory responsibilities across the crypto sector.

An amended draft released this week would prohibit digital asset service providers from paying interest or yield “solely in connection with the holding of a stablecoin,” signaling lawmakers’ intent to prevent stablecoins from operating like bank accounts.

At the same time, the draft leaves room for incentive models tied to active participation in blockchain ecosystems, such as liquidity provision, governance involvement or staking.

The distinction suggests policymakers are attempting to balance innovation with safeguards, allowing crypto networks to reward engagement while blocking stablecoins from becoming de facto, lightly regulated deposits.

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