Stay in the loop with our weekly crypto digest as we get you up to speed on the hottest trends and events in the crypto space.
Here’s what happened in crypto this week:
US SEC Seeks To Settle Legal Fight With Ripple Labs For $50 Million
The US Securities and Exchange Commission (SEC) moved to settle a long-running legal battle against Ripple Labs.
According to a settlement agreement, the SEC and Ripple will jointly ask a federal court in Manhattan to dissolve an injunction against the company and release more than US$125 million in civil penalties into an escrow account. The SEC said $50 million would go to the SEC, and the rest would be returned to Ripple.
The SEC said its decision to seek an end to the case “rests on its judgment that such resolution will facilitate the commission’s ongoing efforts to reform and renew its regulatory approach to the crypto industry, not on any assessment of the merits of the claims alleged in the action”.
However, SEC commissioner Caroline Crenshaw dissented from the settlement offer, saying “The SEC announced a settlement that cancels the court order requiring Ripple to return over $75 million held in escrow and comply with the law,” adding, “This settlement systematically dismantles the SEC’s virtual asset regulatory program and harms investors.”
Former Celsius CEO Alex Mashinsky Sentenced To 12 Years For Crypto Fraud
Alex Mashinsky, the founder and former CEO of the collapsed cryptocurrency lending firm Celsius, has been sentenced to 12 years in prison for fraud that led to “billions in losses,” the Department of Justice announced.
Celsius, which held $25 billion in assets at its peak, abruptly halted withdrawals and transfers during a broader crypto crash in 2022, locking up billions in customer funds. The firm filed for bankruptcy just weeks later.
The DOJ charged Mashinsky with securities fraud in 2023, accusing him of misrepresenting Celsius’s business and finances. It also claimed Mashinsky artificially inflated the price of the platform’s token, $CEL, by “spending hundreds of millions purchasing it on the open market.”
Mashinsky pleaded guilty to one count of securities fraud and one count of commodities fraud last December.
BlackRock Meets SEC Crypto Task Force To Discuss Tokenization, ETP Rules
BlackRock is ramping up its engagement with US regulators. Recently, it met with the Securities and Exchange Commission’s (SEC) Crypto Task Force to present its growing suite of digital asset products and advance conversations about the evolving regulatory landscape.
The firm outlined offerings such as its spot Bitcoin ETF (IBIT), Ethereum fund (ETHA), and its tokenized liquidity fund (BUIDL), using the session to showcase how these products align with current market trends.
The dialogue extended into broader regulatory themes, including staking frameworks, tokenized securities, and how crypto-based exchange-traded products (ETPs) might meet compliance under US securities laws.
A significant portion of the meeting focused on approval conditions for crypto ETPs. BlackRock sought clarity on meeting the requirements under Section 6(b) of the Securities Exchange Act and discussed the possibility of introducing a temporary regulatory structure to guide the approval process for these evolving products.
The conversation also touched on future options trading tied to crypto ETPs, with a technical discussion around setting risk limits, usage thresholds, and liquidity metrics to ensure market integrity.
UFC Champion Conor McGregor Calls On Ireland To Create A Bitcoin Strategic Reserve
UFC champion Conor McGregor has called on Ireland to establish a Bitcoin strategic reserve, highlighting it could return financial control to the Irish people, echoing the original intent behind the creation of Bitcoin.
Additionally, McGregor plans to co-host a Twitter Space to promote his vision further and discuss the potential changes and benefits of integrating Bitcoin into Ireland’s financial strategy.
Coinbase Set To Join S&P 500 On May 19th, 2025
Coinbase Global Inc. is set to join the S&P 500 Index on May 19th, marking a watershed moment for the crypto industry as it continues its push into the financial mainstream.
The largest cryptocurrency exchange in the US will replace Discover Financial Services, following the latter’s acquisition by Capital One Financial Corp., which US regulators have approved.
Since going public through a direct listing in 2021, Coinbase has become a bigger part of the US financial system, with Bitcoin soaring in value and large institutions gaining regulatory approval to create spot Bitcoin exchange-traded funds (ETFs).
Animoca Brands Plans NYSE Listing Amid Favorable US Crypto Regulations
Animoca Brands, a prominent crypto investment company based in Hong Kong, has announced its intention to go public on the New York Stock Exchange (NYSE). This decision comes as the regulatory environment for digital assets in the United States, under the administration of President Donald Trump, is seen as favorable.
Co-founder Yat Siu highlighted that the company did not consider a US listing last year, but the current market conditions have made the US market “irresistible.”
Animoca Brands, previously valued at nearly $6 billion, has a diverse portfolio that includes investments in companies such as OpenSea, Kraken, and Consensys. The company is considering various equity structures for its listing, with an announcement expected soon.
Eric Trump-Backed American Bitcoin Corp. To Go Public Through All-Stock Merger
American Bitcoin Corp., a firm backed by Hut 8 Corp. and Eric Trump, is set to become a publicly listed entity through a merger with Gryphon Digital Mining Inc. The deal, structured as a stock-for-stock transaction, will result in the combined company operating under the American Bitcoin name.
As part of the arrangement, Gryphon will effectively hand over leadership of the new entity to American Bitcoin’s executive team. Subject to shareholder approval and other regulatory conditions, the merger is expected to finalize in the third quarter of 2025.
American Bitcoin, launched earlier this year, is described in the announcement as “purpose-built to enable Bitcoin accumulation at scale through low-cost Bitcoin mining and other complementary strategies.”
Citi: Stablecoin Market Could Hit $3.7 Trillion By 2030
Citi predicts that the total outstanding supply of stablecoins could grow from $230 billion to anything from $1.6 trillion to $3.7 trillion by 2030.
“The main catalyst for their greater acceptance may be regulatory clarity in the US, which could enable greater integration of stablecoins specifically, and blockchain more widely, into the existing financial system,” says Citi.
The report predicts that around 90% of the stablecoin supply will continue to be US dollar-denominated, with other countries focusing on CBDCs, a path Trump has said the US will not follow.
A US regulatory framework for stablecoins could also drive net new demand for US Treasuries, making stablecoin issuers among the biggest holders by 2030.
Citi concedes that stablecoins pose some threat to traditional banking ecosystems via deposit substitution but says they are likely to offer banks opportunities for new services as issuers or in more indirect roles as part of the pay-in/pay-out ecosystem or liquidity provision.
US CPI Inflation Falls To 2.3% In April, Lower Than Expectations
Data: 2.3% YoY, 0.2% MoM
Forecasted: 2.4% YoY, 0.3% MoM
Last Month: 2.4% YoY, -0.1% MoM
According to the Bureau of Labor Statistics, in April, the Consumer Price Index (CPI) revealed that annual inflation had cooled to 2.3%, the lowest rate since early 2021. This figure was marginally below the expected 2.4%. However, the future path of inflation is uncertain, particularly given the potential impact of tariffs.
Federal Reserve Chair Jerome Powell and other economists believe tariffs could be inflationary, and, therefore, the rate cut should be delayed. President Donald Trump has repeatedly urged Powell to act, but Powell awaits data. If May inflation declines, pressure on Powell will increase. The next Federal Open Market Committee (FOMC) meeting is on June 17th and 18th.
Thailand Plans To Offer An Investment-Grade Crypto Token To The Public
Thailand’s finance minister announced plans to issue a “digital investment token” worth approximately $150 million within the next two months.
The token, named G-Token, aims to provide investors with higher returns compared to traditional bank deposits and will be used to raise funds under the current budget borrowing plan.
This initiative follows previous suggestions for Thailand to explore stablecoins backed by government bonds and reflects a broader global trend of embracing digital assets and blockchain technology.
Other Asian nations, like Malaysia and Japan, are also increasingly engaging with digital asset innovations, indicating a regional shift toward cryptocurrency acceptance.
Final Thoughts
So that’s it for this week!
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Have a fantastic week ahead!
