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:
SEC Approves Public Launch Date Of April 30th For ProShares Trust’s Futures-Based XRP ETFs
The US Securities and Exchange Commission (SEC) has approved ProShares Trust to proceed with its XRP exchange-traded fund (ETF) offerings, setting April 30th, 2025, as the official effective date.
A recent Form N-1A filing confirms the launch will include multiple ETFs focused on XRP, specifically the ProShares UltraShort XRP ETF, ProShares Ultra XRP ETF, and ProShares Short XRP ETF.
The effective date of ProShares’ XRP ETF filing indicates that the SEC has completed its review and considers the disclosures adequate.
However, this does not mean trading is immediately allowed. “Effectiveness” under the 1933 and 1940 Acts simply means the product can begin marketing, but exchange listing or trading still requires additional SEC and market approvals.
If certain conditions, such as changes to exchange rules under 19b-4 or exemptive relief, are not met, the ETF will not be able to launch, even after being deemed effective.
Nike Sued For $5 Million Over Its Shutdown Of RTFKT
A group of people sued Nike this week over its decision to discontinue the virtual NFT project RTFKT last year. The buyers of the digital assets accuse Nike of causing “the rug to be pulled out from under them” and say they would not have bought its NFTs if they had known they were “unregistered securities.”
Filed in New York’s Eastern District, the proposed class action lawsuit seeks a jury trial and damages exceeding $5 million for alleged violations of consumer protection laws in New York, California, Florida, and Oregon.
For context, Nike attempted to enter the NFT market by acquiring RTFKT in 2021. But, like Starbucks Odyssey, it never quite worked out, and the company abandoned the idea, announcing in December that it planned to “wind down RTFKT operations” by the end of January this year.
Bitget Takes Legal Action On Alleged VOXEL Futures Price Manipulation
Crypto exchange Bitget announced that it will initiate legal proceedings against eight accounts suspected of manipulating its VOXEL/USDT market.
The exchange stated that it will issue a series of letters from lawyers targeting individuals allegedly involved in abnormal trading activities that resulted in a $20 million loss. The suspected accounts are part of a coordinated professional group focused on exploiting system vulnerabilities for financial gain.
Bitget clarified that users who participated in VOXEL trading and withdrew funds between 16:00 and 16:30 on April 20th will not be held liable. These users’ accounts were fully restored, and no further punitive action will be taken.
For context, the trading anomaly stemmed from a glitch that caused an abnormal surge in the VOXEL token’s trading volume, surpassing even Bitcoin’s trading activity on the platform.
Ethereum Improvement Proposal Aims to Boost Transaction Capacity
Ethereum Foundation researcher Dankrad Feist has introduced a new Ethereum Improvement Proposal (EIP-9698) that could significantly increase the Ethereum mainnet’s gas limit, potentially enhancing its transaction capacity. The proposal suggests a “deterministic gas limit growth schedule” starting at epoch 369017, approximately around June 1st, 2025. This schedule would gradually increase the gas limit by a factor of 10 over two years, culminating in a final tenfold increase. Theoretically, if the gas limit increases by 100 times, Ethereum’s transaction processing speed (TPS) is expected to increase to 2000 transactions per second. The proposal must be approved by client voting before it can be implemented.
This scalability attempt is another critical development following the increase in gas limit from 30 million to 36 million in February. Feist pointed out that the progressive increase plan allows enough optimization time for node operators. At the same time, developers are testing the EIP-9678 proposal, which plans to implement a fourfold increase in gas limit in the Fusaka upgrade at the end of 2025.
Arizona Legislature Passes Bitcoin Reserve Bill, Sends It To Governor’s Desk
Arizona’s legislature has passed the Arizona Strategic Bitcoin Reserve Act, allowing the state to invest up to 10% of available public funds in Bitcoin.
If signed by Democratic Governor Katie Hobbs, Arizona will become the first state to mandate public funds to invest in Bitcoin.
The bill reflects a growing acceptance of cryptocurrency in public financial management and has bipartisan support from Republican lawmakers.
Several other states are considering similar measures, while federal initiatives on digital asset reserves have also been introduced.
Mastercard Advances Stablecoin Use For Consumer Payments And Merchant Settlements
Mastercard plans to introduce new payment capabilities for stablecoin transactions to expand its digital asset operations.
The payments giant has partnered with OKX and Nuvei to expand its crypto payments systems. Mastercard and OKX will debut the “OKX Card,” which links daily purchases with crypto market transactions. The card will enable users to make stablecoin payments at more than 150 million merchants worldwide that accept Mastercard.
The move comes as stablecoins gain wider acceptance beyond crypto trading, with regulators providing greater clarity on their use.
Circle Receives Approval To Operate As Money Services Provider In Abu Dhabi, UAE
USDC stablecoin issuer Circle has secured in-principle approval from the Financial Services Regulatory Authority (FSRA) of Abu Dhabi to operate as a money services provider in the region.
This milestone marks a key step toward obtaining a Financial Services Permission (FSP), reinforcing Circle’s commitment to advancing stablecoin oversight, trust, and compliance across the Middle East and Africa (MEA).
In Abu Dhabi, obtaining approval as a money services provider (MSP) enables Circle to operate legally within the Abu Dhabi Global Market (ADGM) financial framework. With this designation, Circle can now facilitate regulated digital asset transactions using USDC, including cross-border payments and institutional settlements, which it previously could not do without local regulatory approval.
President Trump’s Truth Social Explores Launching Its Own Crypto Token And Wallet
After launching OFFICIAL TRUMP ($TRUMP) and Official Melania ($MELANIA) as crypto memecoins, the Trump Truth Social platform is exploring the possibility of launching a utility token and digital wallet for subscriptions and rewards, according to a shareholder letter posted by the public company Trump Media and Technology Group Corp.
The token will serve as a payment method for Truth+ subscriptions, with future applications planned across the Truth ecosystem.
To support this effort, the Truth wallet and token will be integrated into Truth Social and Truth+, aiming to create new revenue streams.
Additionally, the company will introduce premium Truth Social features tied to Truth+ memberships, including verification badges, editing functionality, scheduled posts, expanded character counts, and longer video uploads.
SEC Ends Investigation Into PayPal’s PYUSD Stablecoin Without Enforcement
The US Securities and Exchange Commission (SEC) has concluded its investigation into PayPal’s stablecoin, PYUSD, without taking any enforcement action.
PayPal received a subpoena from the SEC in November 2023, which was part of the information-gathering process and did not imply legal action.
Notably, the announcement follows a partnership with Coinbase to eliminate trading fees for PYUSD transactions on their platform.
Despite its launch in August 2023, PYUSD’s market capitalization remains significantly smaller than that of its competitors, such as Tether’s USDT and Circle’s USDC.
Final Thoughts
So that’s it for this week!
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Have a fantastic week ahead!
