Ethereum Founder Says Original Web3 Vision Is Now Achievable
Ethereum co-founder says scaling upgrades now make the original Web3 vision practical.
Vitalik Buterin highlights Fileverse as evidence that decentralized apps can meet daily user needs.
The decentralization renaissance depends on apps surviving without their original developers.
Ethereum co-founder Vitalik Buterin has renewed attention on the original Web3 goal of building permissionless decentralized applications. On January 14, he published a post on X that revisited Ethereum’s 2014 plan for a broader alternative web built on open protocols. He also argued that the supporting technology stack has matured enough for the daily-use of decentralized applications.
In 2014, there was a vision: you can have permissionless, decentralized applications that could support finance, social media, ride sharing, governing organizations, crowdfunding, potentially create an entire alternative web, all on the backs of a suite of technologies.… pic.twitter.com/ihU9qOrXfG
— vitalik.eth (@VitalikButerin) January 14, 2026
2014 Blueprint
Buterin described a 2014 vision that grouped several technologies into one coherent platform for decentralized software. He framed Ethereum as the “world computer” that gives applications shared state and programmable accounts. He also pointed to messaging and storage layers that can handle tasks a blockchain cannot handle efficiently.
In that design, Whisper served as a data layer for messages that do not need consensus, while Swarm targeted long-term file access. Buterin said Whisper has since evolved into Waku, which now supports applications such as Status and Railway.
He also referenced IPFS as a reliable way to retrieve content, while noting that retrieval alone does not guarantee durable storage. He said that gap still leaves room for better storage solutions.
Ethereum Scaling Progress
Buterin used the post to connect Ethereum’s current roadmap to early scaling promises. He cited Ethereum’s move to proof of stake and said the network now uses less energy than in the proof-of-work era. He also said the ecosystem has lowered typical user costs, and he argued that upcoming work can push costs down further.
He highlighted zero-knowledge EVM systems and PeerDAS as key tools for scaling. In his framing, those components help realize the earlier “sharding” goal by expanding data availability and supporting more transactions at lower cost.
He also pointed to Layer 2 networks as another scaling path that can improve throughput and confirmation speed for specific applications. He said L2s can add speed gains on top of core protocol upgrades.
Related: Vitalik Buterin Wants Ethereum to Survive Without Him
User Control and The “Walkaway Test”
Buterin cited Fileverse, a decentralized documents product, as an example of how teams can assemble the stack into a usable service. He said the app uses Ethereum and Gnosis Chain for names, accounts, and permissions, while it relies on decentralized messaging and file storage to sync document changes. He also said the project has improved usability enough that he now uses it for writing and collaboration.
He emphasized what he called the “walkaway test,” which measures whether users can keep access to data and continue using a tool even if the original developers stop maintaining it. He linked that test to open-source recovery tools that aim to let users retrieve and edit documents without depending on a single company. He contrasted this with products that require recurring subscriptions or centralized logins. He argued that users should “buy” digital tools once and retain control.
Buterin’s message linked the 2014 vision to a practical benchmark for new decentralized applications. He said early dApps felt like toys and demanded far more effort than Web2 services. He said today’s stack reduces that gap, especially for collaboration tools. His post positioned durability, permissionless access, and data portability as core requirements for the next wave of Web3 products in the market.
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SPAC structure offers investor protections while pursuing payments and tokenization firms.
Filing aligns with Kraken IPO plans and broader shift toward regulated crypto listings.
Kraken-backed KrakAcquisition has filed with the U.S. SEC to raise $250 million through a Nasdaq-listed SPAC. The filing outlines a plan targeting crypto infrastructure companies. The move involves Kraken affiliates, Tribe Capital and Natural Capital, aiming to access regulated capital markets through a structured IPO route.
SPAC Filing Outlines Structure and Market Intent
KrakAcquisition registered as a Cayman Islands exempted company and plans to offer 25 million units priced at $10 each. Each unit includes one Class A ordinary share and one-quarter of a redeemable warrant, exercisable at $11.50 per share. If approved, the units will trade under the ticker KRAQU on the Nasdaq Global Market.
Notably, Santander will serve as the sole book-running manager for the offering, according to the SEC filing. The SPAC disclosed no selected merger target and confirmed no substantive discussions with potential partners. However, the filing states an intended focus on digital asset infrastructure, including payments, settlement, and tokenization platforms.
This structure follows standard SPAC protections, with proceeds held in trust pending a completed business combination. Investors retain redemption rights if they reject a proposed merger within an 18- to 24-month window. According to the filing, Class A shares and warrants may later trade separately as KRAQ and KRAQW.
Kraken Personnel and Parallel IPO Plans
While KrakAcquisition operates independently, Kraken maintains direct involvement through management participation. Sahil Gupta, who has led Kraken’s strategic initiatives since late 2024, will serve as the SPAC’s chief financial officer. Meanwhile, Robert Moore, Kraken’s vice president of strategy and corporate development, will join as a director after the offering.
The filing clarifies Kraken holds no contractual obligation to complete any business combination. However, the SPAC expects Kraken’s participation to support diligence, regulatory navigation, and operational assessment. According to the filing, this support would occur without additional compensation.
Alongside the SPAC effort, Kraken continues preparations for its own public listing. The exchange confidentially filed a draft Form S-1 with the SEC in November seeking to list its common stock. That registration remains under review and cannot proceed until the SEC declares it effective.
Notably, Kraken raised $800 million last year at a reported $20 billion valuation, with backing from Tribe Capital. The exchange also completed several acquisitions, including tokenization firm Backed Finance and futures platform NinjaTrader. These actions align with Kraken’s stated goal of expanding across multi-asset financial services.
Related: Kraken Secures $800M to Support Global Growth and New Products
Infrastructure Focus and Regulated Market Shift
KrakAcquisition’s investment thesis is on companies building core digital asset infrastructure. The filing references payment networks, blockchain systems, compliance tools, and tokenization platforms as priority areas. According to the document, the SPAC may pursue deals in any sector but intends to concentrate on digital assets.
The filing mentions worries about inflation and points to Bitcoin as a decentralized way to store value. Still, it presents this in the context of building infrastructure, not promoting an investment asset. It also outlines risks such as unclear regulations, price swings, and the difficulty of finding the right merger partners.
This filing comes after a wider surge in crypto-related companies going public last year. Circle Internet shares rose 167% post-IPO, while Gemini shares declined roughly 10%. Meanwhile, Bullish shares gained about 8% following its public debut.
Earlier this week, BitGo filed for a separate $200 million IPO, citing $104 billion in assets under custody. The SEC has pushed companies with heavy crypto involvement to be more open and detailed in what they disclose. These rules are increasingly influencing how crypto-focused firms enter U.S. public markets.
KrakAcquisition’s filing explains a regulated route that connects private crypto infrastructure to public investors. Its use of a SPAC, aligned leadership, and plans to list on Nasdaq show Kraken is taking a careful, step-by-step approach. The filing places this move alongside Kraken’s own IPO ambitions and other recent crypto listings that follow U.S. regulatory rules.
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Ethics, quorum rules, and Trump-linked concerns surface as bipartisan talks near markup.
U.S. senators have proposed more than 75 amendments to a major crypto market structure bill ahead of a key Senate hearing this week. The proposals arrive as lawmakers prepare for a markup session that could shape the future of U.S. crypto regulation.
According to a document obtained by CoinDesk, senators from both parties submitted amendments before Tuesday’s deadline. The changes cover stablecoin yield rules, DeFi language, ethics standards, and oversight of crypto-related activity.
The Senate Banking Committee plans to hold its markup hearing on Thursday. Lawmakers will debate the amendments, vote on individual changes, and decide whether to advance the main bill. Meanwhile, the Senate Agriculture Committee rescheduled its own markup session to late January.
Lawmakers released the base text of the Banking Committee bill late Monday night. Since then, senators, staff, and industry lobbyists have reviewed the language in detail.
Stablecoin Yield and DeFi Provisions in Focus
Several amendments target stablecoin rewards and yield provisions in the draft bill. Some proposals seek to limit how companies can offer yield on payment stablecoins. Others aim to remove yield entirely from the framework. Senators Thom Tillis and Angela Alsobrooks jointly proposed three amendments. Two of those focus directly on stablecoin yield language.
One amendment would remove the word “solely” from a key restriction in the bill. The current text bars service providers from paying yield solely for holding a payment stablecoin. Removing that term could widen the restriction’s scope.
Another proposal from the same group would adjust reporting rules for yield programs. It would also add risk guidance requirements for companies offering such products. Several additional amendments from other senators also challenge the stablecoin rewards section.
Some proposals seek clearer definitions around digital asset mixers and tumblers. Others address how decentralized finance activities fall under the bill. Despite the large number of filings, most amendments may never reach a vote. In typical congressional markups, lawmakers drop many proposals during negotiations. Deals made during the session often narrow the list significantly.
Ethics, Oversight, and Political Tensions
Ethics concerns continue to shadow the crypto bill discussions. Democrats earlier raised objections related to President Donald Trump’s family ties to crypto businesses. They outlined these concerns in a document released last fall. So far, no amendment directly addresses those concerns in explicit terms.
Senator Ruben Gallego reportedly helped lead ethics negotiations. However, none of his submitted amendments focus clearly on that issue. Still, Senator Chris Van Hollen proposed an amendment with an anti-corruption provision. He also filed a separate amendment requiring disclosures of financial interests.
A Democratic aide said that ethics talks remain ongoing. The aide said no agreement has emerged yet. They described ethics as one of several unresolved issues in negotiations. Meanwhile, Senator Lisa Blunt Rochester filed an amendment on quorum requirements. Her proposal reflects concerns about leadership at federal regulatory agencies.
Related: Senate Committees Set Jan. 15 Votes on Crypto Market Rules
Democrats note that the Securities and Exchange Commission and Commodity Futures Trading Commission lack Democratic commissioners. Both agencies currently operate under Republican leadership only. The amendment seeks to address that imbalance through quorum rules.
According to the document, several Democratic senators filed amendments. They include Gallego, Alsobrooks, Blunt Rochester, Jack Reed, Andy Kim, and Raphael Warnock. Catherine Cortez Masto, Elizabeth Warren, and Chris Van Hollen also submitted proposals.
On the Republican side, multiple senators filed amendments as well. They include Tillis, Mike Rounds, Bill Hagerty, Pete Ricketts, and Katie Britt. John Kennedy, Cynthia Lummis, Kevin Cramer, and Tim Scott also participated.
As the markup approaches, the fate of most amendments remains uncertain. Lawmakers now face intense negotiations ahead of Thursday’s session. The outcome could define the final shape of U.S. crypto market regulation.
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Polymarket Projects 27% Probability for Bitcoin to Reach $100K
Polymarket data shows a 27 percent probability for Bitcoin to reach $100K in January 2026.
Traders price 80% chance of Bitcoin reaching $100K before 2027, reflecting optimism.
Short-term look contrasts with long-term conviction amid macroeconomic conditions.
Polymarket data has showed rising expectations for Bitcoin price outcomes. The prediction platform places a 27% probability on Bitcoin reaching $100,000 in January. The prediction market odds, reflects shifting expectations shaped by macro events, regulation, and derivatives positioning.
Shifting Short-Term Expectations
According to Polymarket, traders currently place a 61% probability for Bitcoin reaching $95,000 in January. However, downside probabilities also remain visible, reflecting balanced market positioning. Data shows a 33% chance of Bitcoin falling to $85,000 this month. Meanwhile, users assign a 13% probability to Bitcoin dropping to $80,000 before January closes.
These contracts update continuously based on user trading activity rather than price forecasts. This framework helps explain why bullish and bearish outcomes coexist across January contracts. However, the same market shows stronger conviction beyond the short-term horizon.
Polymarket users are placing an 80% chance that Bitcoin hits $100,000 before 2027. That longer outlook stands in sharp contrast to the more careful bets being made for January. It shows traders are distinguishing short-term price swings from what they expect over several years. That long-term confidence ties back to deeper factors guiding Bitcoin’s overall path.
Halving Cycles and Institutional Flows
Historically, Bitcoin halving events have preceded extended price advances. Traders often monitor these events due to programmed reductions in new Bitcoin issuance. At the same time, institutional allocation trends continue to influence market structure.
An increasing number of hedge funds and asset managers now hold Bitcoin exposure. These allocations occur through spot holdings, futures and structured products. As demand rises, the fixed supply means fewer coins are available.
Even so, recent price moves show some hesitation despite these fundamentals. Bitcoin ended 2025 lower, breaking the well-known four-year cycle many traders relied on. That cycle once guided expectations after halvings, and its apparent failure has created more uncertainty about what comes next.
Related: Fidelity And CZ See ETF Inflows Reshaping Bitcoin Cycles In 2026
Macro Pressures, Policy Signals and Derivatives Positioning
Macroeconomic uncertainty is still shaping how people feel about Bitcoin, much like other financial markets. Worries about inflation and unstable currencies have pushed more attention toward alternatives that can store value.
According to QCP Broadcast, Bitcoin initially rallied alongside precious metals during recent dollar weakness. The move came after Federal Reserve Chair Jerome Powell spoke about Department of Justice subpoenas. Many traders saw the situation as political pressure linked to interest rate decisions. That view tends to shake trust in how independent major institutions really are.
However, QCP said Bitcoin could not hold its strength after hitting resistance near $92,000. The price pulled back during European trading hours. This type of pullback has appeared before in past fourth-quarter market moves. Derivatives data also revealed reduced long-dated call exposure. Traders rolled positions into later maturities with higher strike prices.
Meanwhile, U.S. policy developments remain in focus. President Donald Trump is expected to announce a new Federal Reserve chair soon. Markets are now pricing in the chance of interest rate cuts under new leadership at the Fed. At the same time, lawmakers are still working on the GENIUS Act and the CLARITY Act. Both bills are meant to set clearer rules for crypto and how companies should comply.
Several firms have shared price outlooks based on these shifts. Standard Chartered, Strategy, and Bernstein see Bitcoin reaching $150,000 in 2026. Fundstrat’s Tom Lee expects a higher range, between $200,000 and $250,000.
Polymarket data shows modest expectations for January but strong confidence further out. Short-term caution contrasts with longer-term optimism. This split reflects broader economic pressures, market structure, and derivatives positioning shaping Bitcoin’s outlook over time.
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World Liberty Financialは、チェーン内信用市場における競争が激化する中で、新しい暗号資産貸し借りプラットフォームをリリースしました。分散型金融企業は月曜日にWorld Liberty Marketsの展開を発表しました。このプラットフォームでは、チェーン内インフラを活用してユーザーがデジタル資産を貸し借りできます。
Ukraine classified Polymarket activity as gambling under the existing law framework.
Regulators cited missing licensing while enforcing national online betting rules.
War-related markets drew scrutiny as large volumes flowed through the Polymarket platform.
Ukraine has officially limited access to Polymarket, citing the platform’s lack of a license required for activities classified as gambling. The restriction followed a regulatory review that concluded the decentralized prediction market failed to meet national gambling requirements. Authorities stated that the move reflects enforcement of existing law rather than a targeted action against digital assets.
The decision was issued by the National Commission for State Regulation of Electronic Communications under Resolution No. 695. Internet providers received instructions to restrict access to the platform within Ukraine’s borders. Officials framed the action as a compliance measure tied to consumer protection and licensing rules.
The restriction places Ukraine among jurisdictions tightening oversight of prediction markets. These platforms allow users to trade on real-world outcomes using digital assets. The classification of such activity remains contested across regulators worldwide.
Regulatory Process Behind the Restriction
The restriction followed a two-step regulatory process involving multiple state bodies. On November 27, PlayCity issued an initial decision after reviewing Polymarket’s operations. PlayCity oversees gambling and betting activity, including online platforms.
PlayCity examined whether operators follow Ukrainian licensing rules and consumer safeguards. Its review found Polymarket noncompliant with national gambling law. The agency flagged the platform for operating without a recognized gambling license.
The assessment then moved to the National Commission for the Development of the Economy. On December 10, the commission approved a nationwide limitation on access, activating enforcement under Resolution No. 695.
War-Related Markets and Public Scrutiny
Scrutiny intensified due to the nature of markets available on Polymarket. Forbes reported that users trade yes or no contracts on real-world events using USDC. These events include political outcomes and geopolitical conflicts.
In Ukraine, hundreds of bets tied to the Russia-Ukraine war appeared on the platform. Reports said more than $270million in wagers were settled by late December 2025. Another $140million remained active during that period.
Over 97 war-related bets totalling $96.8 million were there In November 2025. Ukrainian media criticized markets linked to the possible occupation of cities in Donbas.
Legal Classification and Ethical Concerns
Critics argue that prediction markets resemble gambling rather than financial instruments. Ukrainian regulators relied on this view when applying the gambling law to Polymarket. The absence of a local license formed the legal basis for the restriction.
The case also raised ethical concerns tied to wartime betting. According to Meduza, critics said such markets commodify human suffering. This debate gained traction during periods of heightened security pressure.
Further controversy emerged over data use. Reports said Polymarket integrated data from the Ukrainian OSINT project DeepState through an API. The project stated that the platform used the data without permission.
Related: Polymarket Leads Crypto Protocols in User Retention Rate
International Context and Regulatory Divergence
Polymarket has faced similar scrutiny in other jurisdictions. Some regulators classify prediction markets as unlicensed gambling. Others treat them as information or derivatives markets.
Polymarket returned to the United States in 2025 and was supervised by the Commodity Futures Trading Commission. This was a major step for the company, as it made clear one way to comply with the regulations imposed by the financial sector. It is different from those countries whose regulators automatically abide by the gambling law.
Ukraine’s stance demonstrates the reaction of the legal system in countries to the prevailing uncertainty about the law. The government applied existing gaming laws to the decentralized finance platforms. The case represents the conflict between two forces, innovation and regulatory enforcement, which has deepened due to economic and security pressure.
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Stablecoin yield and DeFi oversight disputes slow progress across Senate committees.
Lawmakers fear rushed markups could fracture votes and doom the bill on the floor vote.
U.S. lawmakers halted momentum on crypto market structure reform after the Senate Agriculture Committee delayed its markup to late January. The decision, announced Monday in Washington, followed weekend bipartisan talks led by Chairman John Boozman. The pause indicates concerns that moving too fast could fracture Democratic support and jeopardize passage requiring 60 Senate votes.
Senate Delays Markup to Protect Bipartisan Support
The Senate Committee on Agriculture, Nutrition, and Forestry postponed its markup from January 15 to the final week of January. Chairman John Boozman said the committee needed more time to finalize details and preserve bipartisan backing. According to Boozman, discussions with Democratic Senator Cory Booker’s team progressed over the weekend.
Notably, the delay avoided dueling markups with the Senate Banking Committee, which still plans to proceed this week. Lawmakers feared similar markups could expose unresolved disputes and weaken alignment before a floor vote.
However, the delay did not pause all activity. The Senate Banking Committee continues preparing amendments to its 272-page draft. Senators must file amendments by Tuesday evening, compressing review time for complex provisions. Democrats previously raised concerns about limited review windows for such significant legislation.
Those concerns surfaced again on Monday. Senators Jack Reed, Tina Smith, and Chris Van Hollen urged Banking Committee Chairman Tim Scott to hold a hearing before markup. They warned the members lacked sufficient time to analyze the draft. The letter described the bill as potentially the most significant financial law considered this century.
Stablecoin Yield and DeFi Oversight Unresolved
Stablecoin rewards and yield are the main concern. The circulating Senate draft leaves that section marked “to be supplied.” Lawmakers continue debating whether dollar-pegged tokens should offer returns linked to reserve earnings. This issue is one of the largest obstacles to bipartisan agreement.
However, the draft does address other areas. It outlines the SEC oversight for securities-related crypto assets, rules on illicit finance, and frameworks for decentralized finance. It also introduces the Senate’s “ancillary asset” definition, absent from the House version passed in May 2024.
If the Senate advances its version, the House must accept it or enter conference negotiations. Both paths require sustained bipartisan cooperation. Lawmakers remain aware that midterm election pressures could narrow the legislative window by the second quarter.
The draft also includes a new section on DeFi oversight. While it stops short of the protections in the Blockchain Regulatory Certainty Act, developers noted safeguards remain partially intact. Industry sources said traditional finance groups sought stricter language, while crypto advocates pushed back.
Related: Lummis Says Crypto Bill Will Split Securities and Commodities
Political Ethics and Vote Math Shape the Timeline
Beyond technical issues, ethics provisions complicate talks. Democrats continue seeking restrictions on senior officials and families owning crypto businesses. The current draft omits such language. These concerns reference President Donald Trump and his family’s crypto ventures, including World Liberty Financial.
According to analysts at TD Cowen, those ties could delay the bill until 2029. Trump-linked ventures reportedly generated hundreds of millions in revenue. Democrats argue clearer guardrails remain necessary before supporting final passage.
Meanwhile, vote math drives strategy. Republicans hold a narrow majority, making Democratic support essential. Observers say leadership fears a rushed bill could fail on the Senate floor. As a result, committees now prioritize durability over speed.
Stakeholders met privately last week to discuss remaining issues. Participants included crypto policy advocates and the Securities Industry and Financial Markets Association. Sources said DeFi treatment and yield-bearing stablecoins dominated discussions. Those talks continue as the January markup approaches.
The Senate Agriculture Committee’s delay keeps negotiations open while preserving momentum. Both committees must still advance their versions before the full Senate can act. For now, lawmakers continue refining language with bipartisan passage as the stated objective.
Meanwhile, the Senate delayed crypto market structure reform to preserve bipartisan support and manage unresolved policy disputes. Lawmakers continue negotiating stablecoin yield, DeFi oversight, and ethics provisions across two committees. The revised January timeline reflects vote requirements, committee coordination, and ongoing bipartisan talks.
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