Fed Withdraws Crypto Reporting Requirements for Banks

At the Bitcoin Asia conference in Hong Kong, **Eric Trump expressed strong support** for the Bitcoin community and made a bold prediction. **Key statements:** - Trump family "loves and believes in" the Bitcoin community - Positioned Bitcoin as long-term innovation attracting institutional interest - Predicted Bitcoin will eventually reach **$1,000,000 per coin** **Market context:** - Bitcoin hit record high of ~$124,480 in mid-August 2025 - Currently trading near $110,554 during his remarks - Prices remain volatile and sensitive to policy changes **What to monitor:** - ETF inflows and outflows - Regulatory developments in U.S. and Asia - Policy changes affecting market access and custody Note: Trump's price prediction is opinion, not financial guidance. Consider fundamentals and risk factors when making investment decisions.

The **GENIUS Act** became law on July 18, 2025, establishing the first comprehensive federal framework for USD stablecoins in the United States. **Key Requirements:** - Only licensed issuers can serve US persons (banks, OCC-approved nonbanks, or qualified state issuers) - **1:1 reserve backing** with high-quality liquid assets required - Par redemption within defined timeframes - Monthly disclosures and custody standards **Regulatory Structure:** - Treasury coordinates policy and rulemaking - OCC supervises federally licensed nonbank issuers - Federal Reserve maintains systemic oversight **Legal Clarity:** Permitted stablecoins are **not securities** under federal law or commodities under CEA. Issuers must comply with Bank Secrecy Act, including KYC and sanctions requirements. **Timeline:** Act takes effect January 18, 2027, or 120 days after final rules are published. Treasury and OCC comment periods are currently open. **Foreign Issuers:** Comparable-regime foreign issuers may register with OCC, subject to Treasury's ongoing comparability assessments. Stablecoin issuers should begin mapping their regulatory path and preparing compliance frameworks now.

Key regulatory and monetary policy decisions have significantly impacted crypto markets: - Fed's 2020 zero-rate policy drove BTC from $4,000 to $20,000 - 2022-23 rate hikes to 5.5% led to 74% BTC decline - SEC's spot BTC ETF approval in Jan 2024 triggered 35% gain - China's 2017 ICO ban caused 40% drop in 2 weeks - EU's MiCA adoption boosted ETH 8% **Key Takeaway**: Policy shifts fundamentally reshape crypto market liquidity and risk appetite. Monitor central bank meetings, regulatory decisions, and legislative developments alongside technical analysis. *Follow Fed meetings, SEC announcements, PBoC statements & EU votes for market insights.*

Since the implementation of EIP1559 in 2021, Ethereum's network has permanently destroyed 4.6M ETH, equivalent to approximately $13.5B at current market rates. This significant burn mechanism continues to impact Ethereum's supply dynamics. The fee burning mechanism has shown consistent effectiveness: - 4.6M ETH permanently removed from circulation - Current value: ~$13.5B - Ongoing impact on ETH supply economics Recent data shows strong fee collection trends, with systems outpacing emissions by over 100% in recent epochs.

Ethereum's Layer 2 scaling solutions have reached a significant milestone, processing approximately 18 million transactions per day (215 TPS). Base, a prominent L2 solution, accounts for about 10 million of these daily transactions. Key points: - Each L2 transaction contributes to ETH burning on mainnet - This progress aligns with Vitalik's Surge vision targeting 100K+ TPS - Represents major scaling improvement for Ethereum ecosystem The increased transaction capacity demonstrates Ethereum's evolution toward a more scalable, unified network while maintaining security through the base layer.