Latest news with #USD1
Yahoo
10 hours ago
- Business
- Yahoo
Trump Media stock tests the limits of bitcoin accumulation: Morning Brief
Strategy (MSTR) makes it look easy. Put larger amounts of bitcoin (BTC-USD) on your balance sheet and watch the numbers get bigger. The corporate finance maneuver has drawn a loyal following. But while executives are imitating the process, not everyone is replicating the results. On Monday, Trump Media (DJT) announced it had purchased $2 billion in bitcoin and related securities as part of its bitcoin treasury strategy. The move is the latest example of public companies purchasing bitcoin and, now, ethereum (ETH-USD) to capitalize on rising token prices. Sign up for the Yahoo Finance Morning Brief By subscribing, you are agreeing to Yahoo's Terms and Privacy Policy Counting those purchases, President Trump's namesake media group said bitcoin, the largest cryptocurrency, now comprises two-thirds of its total of $3 billion in liquid assets. But just because companies are trying to emulate Strategy's (né Microstrategy) astronomical success doesn't mean that they will. As my colleagues David Hollerith and Laura Bratton have reported, dozens of companies have increased their exposure to the digital asset since 2023. Eighty firms have adopted the 'bitcoin standard' by adding bitcoin to their treasury reserves, according to Bernstein analyst Gautam Chhugani and data tracked by Coinkite. But it isn't an infallible strategy. While Trump Media shares surged following the purchase announcement, the stock has been struggling. Shares are down more than 40% for the year. GameStop (GME), another imitator of Michael Saylor's bitcoin-holding company, has shed 25% so far this year. The meme stock turned "hodler" is down by roughly the same percentage since disclosing its bitcoin-accumulation program in May. Trump Media said it acquired the cryptocurrencies as part of a previously disclosed plan to become a bitcoin treasury company. And the purchase comes on the heels of a promising week in Washington for the crypto industry, which has lobbied for more favorable oversight. The biggest legislative victory yet arrived on Friday when President Trump signed into law a bill that establishes the first federal framework for dollar-backed stablecoins. (Trump and his family have several crypto ventures, including a startup that has launched its own US-dollar-pegged stablecoin (USD1) in partnership with BitGo.) Read more: How would Trump's strategic bitcoin reserve work? None of the corporate adherents to the Strategy blueprint has managed to generate the same kind of performance, however. Shares of Strategy have more than doubled over the past year and have climbed roughly 50% year to date. After accounting for the company's latest purchases, Strategy now owns more than 3% of all the bitcoin ever minted. Wall Street's most popular bitcoin trade does have its critics. They often point to the dumbfounding arithmetic that Strategy is worth more than the value of the bitcoin it holds. Why not simply buy bitcoin, they implore investors. The answer to the question of why people are willing to pay a premium for Michael Saylor helps explain why Trump Media's stock chart doesn't look like Strategy's. Pivoting to crypto is one way to win. But it may not work for everyone. Hamza Shaban is a reporter for Yahoo Finance covering markets and the economy. Follow Hamza on X @hshaban. Click here for in-depth analysis of the latest stock market news and events moving stock prices Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Qatar Tribune
2 days ago
- Business
- Qatar Tribune
QNB Group announces successful issue of bonds amounting to $1 billion
QNB Group announced the successful completion of a bond issuance under its Medium Term Note Programme in international capital markets. In a statement on Saturday, the group said, "Under this programme, a five year, USD1 billion tranche was launched earlier today on 17 July 2025". The Reg S issue attracted phenomenal interest from key global investors leading to the issuance being heavily oversubscribed, with peak orders at 3 times the issue size. Further the pricing on the bonds tightened significantly with the final pricing at 70 bps over US Treasury compared to the initial pricing of 100 basis points over US Treasury. The coupon on the bond is 4.50 percent. The order book reflected significant interest across various geographies with key interest from Asian investors. The book included several names new to QNB and the region. Senior Executive Vice President for QNB Group Treasury and Financial Institutions Noor Mohammed Al Naimi said that the landmark transaction is a testament to investors' confidence in QNB Group's financial strength and its position as the largest financial institution in the MEA region. The proceeds of this issue will be utilized for general banking purposes.
Al Jazeera
4 days ago
- Business
- Al Jazeera
Trump says newly signed crypto law will establish ‘American dominance'
Washington, DC – United States President Donald Trump has signed into law new cryptocurrency legislation that advocates say represents a watershed moment for the industry. Speaking from the White House on Friday, the US president hailed the GENIUS Act, which establishes regulations and consumer protections for stablecoin, a type of cryptocurrency whose value is linked to a fixed currency or commodity. The signing capped what Trump dubbed 'crypto week', as a total of three cryptocurrency bills made their way through the US legislature. In the end, only the legislation related to stablecoin landed on Trump's desk Two other bills — one that would bar government-issued digital currencies and another that would more clearly define regulatory classifications for cryptocurrency products — were sent from the US House of Representatives on Thursday to the Senate, where they have yet to undergo a vote. Still, Trump hailed Friday's bill-signing ceremony as 'a giant step to cement the American dominance of global finance and crypto technology'. Industry advocates have said bills like the GENIUS Act will help to make cryptocurrency more mainstream in the US. They say a lack of regulatory clarity has hindered wider public adoption of digital currencies. But critics have voiced concern about the Trump family's close ties to the crypto industry, including its stake in World Liberty Financial, a company that launched its own stablecoin, USD1. They highlight the fact that the recent flurry of Republican-led legislation does not address whether a president can hold interests in cryptocurrency, leaving an opening for corruption. Democrats also criticised the GENIUS Act for creating an inadequate regulatory framework that could pose longterm financial risks and open the door for major corporations to issue their own private cryptocurrencies. Still, speaking on Friday, Trump pledged to continue his embrace of the crypto industry, including by furthering his pitch to create a national 'crypto reserve'. Trump also framed his administration as a hard pivot away from the policies of former President Joe Biden, who took a more aggressive approach to investigating cryptocurrency-related crimes. Since taking office for a second term in January, Trump ended several Biden-era cryptocurrency investigations and suspended a special Department of Justice enforcement team. Some of the cryptocurrency leaders previously investigated by the US government were in the audience at the White House. 'You've come a long way since the Biden administration, when they had no idea what you were all talking about, and half of you were under arrest for no reason whatsoever,' Trump told them at the signing ceremony. He addressed certain industry leaders by name, including Brian Armstrong, Chris Pavlovski and twins Tyler and Cameron Winklevoss, all of whom faced probes from the Securities and Exchange Commission (SEC) investigations under Biden. 'Let me say the entire crypto community, for years you were mocked and dismissed and counted out,' Trump said. 'You were counted out as little as a year and a half ago, but this signing is a massive validation.'
Yahoo
4 days ago
- Business
- Yahoo
Trump set to sign landmark crypto bill as critics warn of huge conflict of interest risk
On Thursday, the House of Representatives passed the Genius Act, a bill that establishes rules for stablecoins, a type of cryptocurrency pegged to the U.S. dollar, with President Donald Trump expected to sign the legislation into law at a ceremony on Friday afternoon. After years of battling with regulators, the legislation represents a major victory for the crypto industry, which started in the wake of the 2008 financial crisis and was long viewed as an outlaw sector. Now, the stamp of approval from Congress—and the broad embrace by the Trump administration—casts new legitimacy on blockchain technology, with once-skeptical institutions like Big Tech companies and banks rushing in, especially as Bitcoin soars to record highs. However, as Congress moves on to debate a second bill that would create regulations around cryptocurrencies and exchanges, critics warn that the passage of stablecoin legislation raises concerns about the increasing ties between Trump's business empire and blockchain interests. 'That is a huge conflict of interest that society is just really not prepared for,' said Todd Phillips, a banking and administrative law professor at Georgia State University. The president and crypto Congress has long had stablecoins in its sights, with then-House Financial Services ranking member Patrick McHenry (R-N.C.) and Chair Maxine Waters (D-Calif.) working on a bipartisan bill in 2022, before the collapse of Sam Bankman-Fried's crypto exchange FTX delayed the progress and sent the industry into a tailspin. Still, as crypto prices recovered and top firms such as Coinbase and Andreessen Horowitz began plowing tens of millions of dollars into political donations, the House of Representatives once again picked up stablecoin legislation, with many viewing the push as low-hanging fruit to pass the first dedicated crypto law. The culmination of the effort came this week as the new legislation attracted broad bipartisan support, though it still has vocal critics. One point of contention has been creating safeguards around Trump's growing crypto business, including his blockchain company World Liberty Financial launching its own stablecoin, USD1. Despite efforts by some lawmakers to add provisions that would establish rules around how Trump and other politicians could profit from cryptocurrencies, efforts to pass amendments proved unsuccessful. The banking professor Phillips pointed out that the new bill will empower the Office of the Comptroller of the Currency to supervise nationwide stablecoin issuers, but that the Trump administration has increasingly moved to diminish the independence of regulatory bodies, including by firing agency heads. 'It's a really big problem that the president has an indirect financial relationship with a stablecoin issuer,' Phillips told Fortune. 'That stable coin issuer may go to the OCC asking for a license, and if the OCC doesn't give it to them, the president can fire the comptroller.' Phillips also raised concerns around the structure of the new bill, which creates a dual licensing structure for some stablecoin issuers where they can seek either federal or state supervision. He said that it could create a 'race to the bottom' for different jurisdictions seeking to attract crypto companies. In a briefing call with reporters, a senior Treasury official disputed the point, arguing that without the legislation, the country would have a patchwork of state regulatory frameworks. 'Now we have a strong federal baseline that can serve as that sort of federal standard,' the official said. This story was originally featured on
Mint
5 days ago
- Business
- Mint
Donald Trump poised to sign crypto's big bang' law after US House passes landmark GENIUS act
The U.S. House passed the GENIUS Act Thursday by 308-122 votes, creating America's first federal rules for stablecoins, cryptocurrencies pegged to the dollar. President Trump will sign it into law after pushing Republicans to support it despite initial conservative opposition. The bill marks a major victory for crypto firms that spent $119 million backing pro-crypto candidates in the 2024 elections, says Reuters. Industry leaders celebrated, with Circle's Dante Disparte calling it a "defining moment for the future of money" that reinforces U.S. dollar dominance Globally. Stablecoins like USDC and USDT must now hold cash or Treasury bills matching every dollar issued and publicly disclose reserves monthly. Issuers face anti-money laundering rules and bans on paying interest to users. Banks like JPMorgan and retailers like Amazon can now launch their own coins, potentially disrupting credit card networks. The $238 billion market could grow to $2 trillion under these rules, predicts Treasury Secretary Scott Bessent. Twelve conservative Republicans briefly blocked the bill Tuesday, demanding it include a ban on Federal Reserve digital currencies. After a 9.5-hour negotiation, the longest House vote in modern history, holdouts agreed to support the bill when leaders promised to attach the CBDC ban to a defense bill later this year. Trump's personal stake drew criticism: His family's company, World Liberty Financial, issues the USD1 stablecoin and could profit from the law. Democrats like Maxine Waters slammed the bill as 'blessing corruption'. The law positions the US to lead crypto innovation, fulfilling Trump's pledge to make America the 'crypto capital of the planet'. Experts predict a "flood" of new stablecoins from banks and tech giants, boosting cross-border payments, according to a Reuters report.
