What occurred in crypto this week

We’ve had one other busy week within the crypto market: Bitcoin hits $109,000, Trump and Melania launch memecoins, Elon Musk’s DOGE company sued, Circle acquires Hashnote, Trump pardons Silk Street creator Ross Ulbricht, Taiwan is contemplating permitting banks to subject stablecoins, banks will embrace crypto with clearer rules, and Trump indicators government order for crypto working group.

Bitcoin hits $109,000

Bitcoin hit a brand new all-time excessive of over $109,000 forward of Donald Trump’s inauguration on Monday.

On January 20, Bitcoin reached a brand new excessive as market sentiment stays optimistic about Trump’s plans for the crypto business. The newest excessive surpasses its earlier report of over $108,000, which it achieved in December.

Trump additionally talked about Bitcoin in a Sunday speech, highlighting its report efficiency for the reason that US election.

“Because the election, the inventory market has surged and small enterprise optimism has soared a report 41 factors to a 39-year excessive,” Trump stated. “Bitcoin has shattered one report excessive after one other.”

Over the previous 90 days, Bitcoin is up almost 60% and has a market cap worth of $2.09 trillion.

Trump and Melania launch memecoins

Forward of Trump’s inauguration on Monday, January 20, he introduced the launch of his $TRUMP memecoin on his Fact Social platform.

Inside 24 hours of launching, the meme token rose 580% in worth, topping $75, with a market cap of almost $6 billion.

Following Trump, Melania Trump launched her memecoin, $MELANIA, final Sunday, which noticed the token reaching a excessive of over $13.

On the time of publishing, $TRUMP and $MELANIA are buying and selling at greater than $33 and $2.60, in accordance with information from CoinMarketCap.

Elon Musk’s DOGE company sued

Elon Musk’s Division of Authorities Effectivity (DOGE) company reportedly had three lawsuits filed in opposition to it inside minutes of Trump’s inauguration on Monday.

In a 30-page lawsuit from the Nationwide Safety Counselors, a public curiosity legislation agency, it questions the legality of the company Trump stated he’d create to “dismantle authorities forms.”

In line with the grievance, DOGE violates the Federal Advisory Committee Act (FACA), which requires advisory committees to observe sure guidelines, together with permitting public involvement.

Nationwide Safety Counselors state that DOGE meets the necessities to be thought-about a “federal advisory committee.” But, whereas related businesses observe a “pretty balanced” illustration, hold assembly information, and permit public involvement, as required by legislation, DOGE doesn’t.

The 2 different lawsuits had been filed by a gaggle that features the American Federation of Authorities Workers and the State Democracy Defenders Fund. In one other case, the plaintiffs are the Residents for Accountability and Ethics in Washington and the American Federation of Academics.

Regardless of this, the US authorities launched the DOGE company web site the next day.

Circle acquires Hashnote

Stablecoin issuer Circle acquired Hashnote for an undisclosed quantity earlier this week. As a part of the acquisition, Circle is planning to combine USYC as collateral on crypto exchanges.

In a publish on X, Circle stated that the transfer, alongside a strategic partnership with DRW, a world buying and selling agency, “is about to redefine the panorama of digital asset capital markets.”

Circle introduced at the moment the acquisition of Hashnote and USYC Tokenized Cash Market Fund.

This strategic transfer, alongside a partnership with world buying and selling agency DRW through @CumberlandSays and information that we’re bringing native USDC to the @CantonNetwork, is about to redefine the panorama… pic.twitter.com/mB1nBr7x5F

— Circle (@circle) January 21, 2025

By integrating USDC, Circle’s stablecoin, and USYC, the platform is enabling interconvertibility between each property, permitting USYC for use as most well-liked collateral on exchanges and brokers.

Trump pardons Silk Street creator Ross Ulbricht

Donald Trump signed an order, giving Ross Ulbricht, the founding father of darknet market Silk Street, a full pardon this week.

In a publish on his Fact Social platform, Trump wrote:

“I simply known as the mom of Ross William Ulbricht to let her know that in honor of her and the Libertarian Motion, which supported me so strongly, it was my pleasure to have simply signed a full and unconditional pardon of her son, Ross.”

The pardon comes after Ulbricht spent 12 years in jail following his arrest in 2013. Ulbricht created Silk Street in 2011; nevertheless, he was given two life sentences plus 40 years in 2015. Upon pardoning Ulbricht, Trump known as Ulbricht’s sentence “ridiculous.”

Taiwan is contemplating permitting banks to subject stablecoins

Taiwan’s monetary regulator is to suggest laws enabling native banks to subject stablecoins pegged to the New Taiwan Greenback (NTD).

The draft legislation from the Monetary Supervisory Fee (FSC) is predicted to be launched in June 2025. It goals to bridge the divide between fiat and digital currencies, enhancing investor entry to the burgeoning crypto market.

The proposal for banks to subject stablecoins is seen as a pivotal step on this regulatory evolution, offering a safer and controlled setting for cryptocurrency transactions.

The FSC emphasizes that every one stablecoins issued inside Taiwan will likely be below the joint administration of the central financial institution, guaranteeing their stability and legitimacy.

Zhuang Xiuyuan, director of a Taiwanese financial institution, has voiced considerations over current stablecoins like Tether and USDC, criticizing their backing by non-government acknowledged property.

To handle these points, any new stablecoin in Taiwan would require express approval from the FSC, guaranteeing they meet particular {qualifications} relating to issuer credibility and reserve allocations.

Banks will embrace crypto with clearer rules

Financial institution of America’s CEO has stated that US banks will embrace crypto funds if clearer guidelines are in place from regulators.

Talking on the World Financial Discussion board, Brian Moynihan stated that if guidelines are available and crypto funds are made “actual,” then “the banking system will are available exhausting on the transactional facet of it.”

To date, US banks have been cautious about providing retail crypto companies, as an alternative specializing in offering institutional merchandise comparable to US spot Bitcoin exchange-traded funds (ETFs).

Trump indicators government order for crypto working group

Lower than every week into getting into the White Home, Trump has signed an government order for a crypto working group designed to offer regulatory readability.

When signing the order, Trump appeared together with his AI and crypto czar David Sacks who spoke in regards to the order to the president. Sacks, who will likely be main the working group if it’s applied, stated: “we’re going to be forming an inner working group to make America the world capital below your management.”

Along with offering regulatory readability, the working group seeks to guard the US greenback by the event of lawful dollar-backed stablecoins worldwide. The working group additionally desires to ban “the institution, issuance, circulation, and use of a [central bank digital currency] inside the jurisdiction of the USA.”