Latest news with #cryptocurrency
Bloomberg
23 minutes ago
- Business
- Bloomberg
Beware Stablecoin Hype in Circle's $6 Billion IPO
A dollar is a dollar, whether spat out by an ATM or digitally issued on the blockchain. That's the promise of Circle Internet Group Inc., one of the biggest issuers of stablecoins designed to emulate fiat money like the greenback or the euro, primarily for the purpose of cryptocurrency trading. With hype around the mainstream potential of these tokens now at fever pitch, Circle's planned stock-market listing may yet raise questions over whether all dollars really are created equal. Circle's prospectus contains plenty of blockchain jargon but nonetheless tells the story of a relatively straightforward business model, somewhat similar to a money-market mutual fund. To fulfil its promise of a dollar-backed token that's redeemable at par, called USDC, Circle says it reinvests each dollar collected into liquid cash and cash equivalents. With about $60 billion worth of USDC in circulation and three-month US Treasury bills yielding an average of around 4.25% in the past six months, that generates a tidy revenue stream; together with various fees for things like transactions and redemptions, the company's revenue rose 16% to $1.7 billion last year.
Coin Geek
an hour ago
- Business
- Coin Geek
South Korea to permit corporations to sell digital assets
Getting your Trinity Audio player ready... South Korea is finally lifting a ban on corporations' involvement in the digital asset world, allowing them to sell their tokens for the first time in eight years. Korea's Financial Service Commission (FSC) announced that local non-profits and exchanges can now cash out their digital assets if they meet all the compliance requirements. The watchdog banned 'crypto' sales by corporations in December 2017 to prevent exchanges from competing with their users and avoid unchecked speculation. In January 2025, the FSC indicated it was mulling allowing corporations to hold digital assets, but it later changed its tune and called for more time to weigh the policy. The agency is now ready to move ahead with the new directive. For exchanges, they must be registered as virtual asset operators and can only sell tokens 'for the purpose of covering operating expenses,' FSC said during the latest meeting of its Virtual Asset Committee. To reduce market impact, exchanges can only sell the top 20 tokens by market capitalization on the five major local exchanges and are subject to daily sales limits. Additionally, they cannot sell the tokens on their own platforms, as doing so would present a conflict of interest. Exchanges must secure a resolution from their board of directors before undertaking any sales and submit disclosure obligations to the FSC. Meanwhile, non-profits that receive digital asset donations can now sell them for the first time, expanding the sources of funding for the country's 14,000 non-governmental organizations (NGOs). Source: Financial Services Comittee To qualify, these corporations must be externally audited by a firm with at least five years of experience. Sales are limited to tokens listed on at least three local exchanges, and the tokens must be cashed out immediately upon receipt. 'Lastly, to prevent money laundering, we have strengthened the confirmation and verification of transaction purposes and sources of funds and only allowed donations and transfers through domestic won exchange accounts, requiring banks, exchanges, and corporations to perform customer verification in an overlapping manner,' the watchdog stated. Beyond the new corporate trading rules, the FSC warned against listing 'zombie coins' whose local daily transaction volume and global market cap don't meet set thresholds. Exchanges must also list memecoins sparingly, and only when they have exceeded a set transaction threshold or have been trading over a long period of time on reputable offshore exchanges. The new rules come just days before South Koreans head to the polls to elect their next president. The two leading candidates, representing the ruling People Power Party (PPP) and the Democratic Party (DP), have sought to lure the 15 million digital asset traders with campaign promises of better laws and new 'crypto' products. The two have also pledged to push for digital asset exchange-traded funds (ETFs) and won-pegged stablecoins; the latter has been the subject of debate over which regulator should oversee the industry. Russia's latest bill allows digital asset seizure In Russia, the government is pushing new laws that would enable the seizure of digital assets used in crime. The Federal Ministry of Justice developed the new bill, classifying digital assets as property the government can confiscate. Speaking at a recent industry event, Deputy Justice Minister Vadim Fedorov noted that as 'crypto' adoption rises, the government has been devising legal means of combating related crime. Fedorov stated that the government will enlist blockchain experts to 'determine the set of necessary measures to ensure the safety of digital currency for subsequent confiscation or settlement of the victims' claims.' The bill, which now heads to the State Duma, acknowledges that some digital assets will require specialized measures due to their inbuilt privacy features. The minister claimed that digital assets have attracted criminals due to their 'anonymity' and lack of a centralized control system. This makes them more efficient for use in crime than cash and other valuables, he added. However, according to Chainalysis, crime only accounted for 0.14% of all digital asset volume in 2024. Separately, the Ministry of Finance is pushing a bill that would establish fines for Russians who make payments in digital currencies within the country. The bill seeks to impose a fine of up to 200,000 rubles ($2,500) for individual violators and up to a million rubles ($12,500) for legal entities. Russian firms have been increasingly using digital assets as payments in their trading with foreign firms, especially with their Chinese and Indian partners. However, digital asset payments are banned for local usage. Watch: Breaking down solutions to blockchain regulation hurdles width="560" height="315" frameborder="0" allowfullscreen="allowfullscreen">
Bloomberg
an hour ago
- Business
- Bloomberg
Rostin Behnam on Trump, Crypto, Regulation
Rostin Behnam, Former Chair of the Commodity Futures Trading Commission, weighs in on Vice President JD Vance speaking at the Bitcoin 2025 Conference and states regulators are very important to the US financial markets. He also talks about President Trump's embrace of cryptocurrency raising red flags. Rostin Behnam speaks with Kailey Leinz and Joe Mathieu on the late edition of Bloomberg's "Balance of Power." (Source: Bloomberg)
New York Times
3 hours ago
- Business
- New York Times
The Times Confirms More Names on Trump's Crypto Dinner Guest List
They came from faraway spots, including Estonia and China, and closer locations, such as San Francisco and even Maryland, but one thing almost all of them had in common was some tie to the cryptocurrency industry. That is the common thread that emerges among the two dozen additional guests The New York Times has added to its list of those invited to President Trump's dinner last Thursday at his golf club in Virginia. The Times obtained a partial list of all 220 invitees, along with email addresses and phone numbers for many of them. But in some cases the names were common enough or the contact information was so incomplete that The Times could not immediately confirm the attendees' identities. Work toward confirming these details has continued since last week and The Times has now added another two dozen individuals invited to the dinner and in some cases also for a White House tour. Those additional names have been added to the more than 30 names that The Times published in the past week.
Globe and Mail
3 hours ago
- Business
- Globe and Mail
DJT Stock Ping-Pongs Up and Down as Trump Media Dives into Bitcoin
Trump Media & Technology Group (DJT) jumped 10% in premarket trading — but those gains didn't stick. By market close, shares were down nearly 10%, reversing the morning's excitement. The swing came after a Financial Times report claimed DJT is planning to raise as much as $2.5 billion to invest in cryptocurrencies. Confident Investing Starts Here: For a company best known for its social platform Truth Social — and its ties to former President Donald Trump, who owns 52% — the move would be daring, risky, and very on-brand. Bitcoin Momentum Meets Trump Volatility This comes just days before the Bitcoin 2025 conference in Las Vegas. The timing isn't subtle. Speakers include Vice President JD Vance and Trump's sons Donald Jr. and Eric Trump, making the event as political as it is financial. If Trump Media makes the crypto jump official at the event, it would send a clear signal that DJT is aligning itself with Bitcoin's resurgence. Remember, Bitcoin just hit an all-time high last week. Hype is high. And DJT is no stranger to hype-fueled moves. $2.5 Billion in Crypto? That's Not a Side Bet A raise of $2.5 billion isn't a toe-dip. That's a strategic repositioning. For context, DJT stock itself has traded like a meme stock — from $51 last October, plunging to $17 in April, and now rebounding post-election. But why crypto? Simple: volatility attracts attention. And in a market where DJT's growth prospects are still murky, a splashy pivot into Bitcoin could reignite investor interest. The company isn't profitable. Truth Social's user base is niche. Crypto is a way to plug into broader capital flows — and perhaps to signal financial alignment with a digital-first, anti-establishment crowd. At the time of writing, Bitcoin is sitting at $109,526.
