Iran’s Rial Collapse Triggers Activity in Crypto Ecosystem
Chainalysis report claims that Iranians are withdrawing Bitcoin from exchanges and stashing it in their personal wallets.
To combat the currency crisis Irans’s Central Government has bought over $500 million in dollar-backed digital assets.
Amid the geopolitical tensions, Iran’s crypto ecosystem has grown to nearly $7.78 billion in 2025.
According to a report by blockchain analytics company Elliptic, the Central Bank of Iran bought more than $500 million in dollar-backed digital assets in the past year to mitigate a currency crisis and bypass US sanctions. Iran has also begun offering cryptocurrency payments for overseas weapons contracts, signaling a shift in how sanctioned states conduct trade.
The current widespread battling movements have caused the Iranian rial to plummet by 90%, and this has created a new trend among the public. Chainalysis’s report provided insights into this matter.
As per the analysis, the Iranians are withdrawing Bitcoin from exchanges and storing it in their personal wallet. This act is a response to the ongoing currency crisis in the country. Moreover, the geopolitical uncertainty has become a contributor to the growth of the crypto ecosystem in Iran.
Iran’s crypto ecosystem has grown to nearly $7.78 billion in 2025, which is a fast-paced growth compared to the previous year. The IRGC (Islamic Revolutionary Guard Corps) on-chain activity alone contributed to over 50% of Iran’s total crypto ecosystem in Q4 of 2025.
Reports cite that Iran’s digital asset activity is tied to several major domestic and geopolitical events over the past couple of years. This includes the Kerman bombings in January 2024, Iran’s missile strikes against Israel in October 2024, and the 12-day Iran-Israel war in June 2025.
Related: Iran Rial Collapse Triggers Protests as Currency Hits Record
Cause of The Economic Collapse of Iran
The recent economic collapse has its roots starting from 1979. Since then, Iran was under various sanctions. The country faced enhanced international sanctions, including an arms embargo, trade controls, asset freezes, travel bans, and export restrictions between 2006 and 2010, due to its nuclear non-compliance.
During 2019 and 2020, the US santions was further extended to the finance and banking sector. The issues of Iran further worsened when U.S. President Donald Trump’s campaign focused on imposing enforcement mechanisms on those acting in violation of existing sanctions. The primary aim of the campaign is to drive Iran’s oil exports to zero.
The strain on Iran’s economy has been severe, fueling prolonged inflation and eroding the living standards of ordinary citizens. These pressures recently spilled into widespread unrest, with protests breaking out in cities across the country from December 28, 2025, and continuing to this day. The demonstrations have been met with a harsh response from authorities, with reports indicating that more than 2,000 people have been killed during the crackdown.
The Turn To Digital Currency
“During the recent mass protests, Iranians have significantly increased withdrawals of Bitcoin to personal wallets, possibly as a flight to safety amid currency collapse and political instability,” said Chainalysis.
It was not just Iran that turned to digital assets. The IRGC also significantly contributed to on-chain activity during Q4, 2025.
“Notably, it is not just ordinary Iranians who have turned to crypto-the Islamic Revolutionary Guard Corps (IRGC) has extensively leveraged digital assets to finance its malign activities,” read the report.
In this way, the external and internal pressure of the country caused the country to turn to digital assets.
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DOGE stays in a steep decline despite the Nasdaq ETF launch drawing weak early demand
Long liquidations rise as open interest falls, marking fading conviction in the market
Analysts highlight wedge and channel structures, suggesting long-range breakout potential
Dogecoin’s slide has stretched into another week, and the tone across markets remains heavy. The token has been drifting lower since early September, rarely finding enough strength to stabilize, let alone reverse course.
By mid-morning, DOGE hovered near $0.1244. The move shaved another percentage point off the day and pushed weekly losses to roughly 11%. Besides, its year-on-year performance tells a deeper story: a 64.67% decline that underlines just how persistent the trend has been.
Source: CoinMarketCap
Similarly, market depth continues to thin. DOGE’s market cap settles at $20.96 billion, yet trading activity looks weaker by the day. Volume slipped 42.9% in the last 24 hours to $832.53 million. That kind of contraction typically signals fatigue rather than preparation for a pivot.
And while traders had hoped for a spark from the 21Shares Dogecoin ETF, launched on Nasdaq on Jan. 22 under the ticker TDOG, no momentum followed. Instead, the debut landed quietly. The long run-up of anticipation ended in a textbook “buy the rumor, sell the news” fade, leaving markets exactly where they were: uninspired and drifting.
ETF Launch Brings Little Change
The absence of inflows after the ETF’s arrival became the clearest message of the week. Traders watching for institutional participation saw none. Without fresh orders to support spot demand, the bearish slope steepened.
Within hours of the first session, analysts began treating the listing as a neutral event rather than a catalyst. Flow trackers now point to ETF subscription data as a key gauge for sentiment. But even that remains more of a monitoring exercise than a near-term trigger. For now, the market has simply shrugged.
Derivatives Data Shows Long Pressure
The derivatives tape adds another layer. Over the past day, liquidations reached $1.64 million, and most of that came from the long side, about $1.30 million versus $332.13K in short positions.
Source: CoinGlass
That imbalance suggests buyers were pushed out as prices slipped, reinforcing direction rather than challenging it. Open interest tells a similar story. It has eased to roughly $1.41 billion from this year’s peak of around $1.96 billion.
Source: CoinGlass
When OI falls this steadily, it often reflects participants stepping back, trimming exposure, and letting the market drift until conditions reset. None of that helps DOGE price build a base.
Analysts Point to Long-Term Wedge Structure
Even so, not every analyst sees this as a terminal slide. Ali Charts highlighted a long-running descending wedge he’s tracked for years, patterns that, in past cycles, eventually resolved with sharp breaks to the upside. His chart places DOGE near the lower boundary of this structure, almost pressed against the floor around the $0.124 area.
Dogecoin $DOGE tends to respect wedge structures, and a breakout from this one could be powerful. pic.twitter.com/aw17nIv1ws
— Ali Charts (@alicharts) January 22, 2026
He described prior wedge breakouts in 2017 and 2021 as precursors to strong rallies. The same setup now points to potential targets near $0.29, $0.55, and $1.10, though only if the price clears the upper line. At the moment, nothing confirms such a move.
Related: RIVER Price Hits $48 Record High Amid Rising Market Manipulation Scrutiny
Monthly Chart Shows a Rising Channel
Another analyst, Trader Tardigrade, turned to the monthly chart instead. His work shows DOGE holding a broad rising channel stretching across several years, with repeated pullbacks into support that later gave way to continuation moves.
Source: X
The recent test of that support, he noted, keeps the long-term structure intact. The trend of higher lows persists, even if day-to-day action suggests exhaustion. No formal target was attached, though the chart implies room for advance if the channel holds.
For now, DOGE remains shaped by the same forces that defined recent months: thinning interest, heavier long liquidations, and a lack of fresh capital. Until those conditions shift, the downtrend stays in control.
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Seized Bitcoin Vanishes as South Korea Expands Crypto Control
Prosecutors found seized Bitcoin was missing after last year’s audit in custody.
Investigators link the loss to phishing tied to the exposed wallet access control.
The case emerges as courts confirm broader powers to seize digital assets nationwide.
South Korean prosecutors are investigating the disappearance of Bitcoin seized as criminal proceeds after an internal audit flagged missing assets under state custody. Authorities estimate the loss at approximately 70 billion won, or $48 million. A senior prosecution source told local media that the Bitcoin likely vanished during management last year.
Investigators now treat the case as a suspected phishing attack involving compromised storage controls. The incident emerged as South Korea expands legal authority over crypto markets. The case also arrived during intensified regulatory activity around digital assets and enforcement standards.
JUST IN: South Korean prosecutors search for "lost" Bitcoin
– Prosecutors say a “significant” amount of BTC was lost while in state custody – Loss likely occurred mid-2025, possibly via phishing – Authorities refuse to disclose how much Bitcoin is missing pic.twitter.com/BexowaFnlX
— Bitcoin Archive (@BitcoinArchive) January 22, 2026
Audit Findings and Suspected Phishing Attack
Yonhap News reported Thursday that the Gwangju District Prosecutors’ Office confirmed the missing Bitcoin during a recent internal review. The assets came from a prior criminal case and no longer appear in official records.
Prosecutors believe the loss occurred in the middle of last year while officials stored and managed the Bitcoin. Investigators suspect phishing, though they declined to disclose exact amounts or current valuations during the ongoing probe.
Early evidence indicates that officials stored the Bitcoin on a portable USB device with a durable custody system. Reports also state that a wallet password reached a third party during a routine inspection, enabling unauthorized transfers.
Legal Context and Prior Precedents
The case surfaced shortly after a Supreme Court ruling reported on January 9 confirmed that Bitcoin held on exchanges can be seized under the Criminal Procedure Act. The ruling involved 55.6 BTC seized from a money laundering suspect.
That December decision reinforced earlier judgments that classify cryptocurrencies as intangible assets with economic value. A 2018 ruling first established that courts could seize crypto linked to criminal activity.
Later decisions expanded seizure authority further. Courts also confirmed that Bitcoin on domestic exchanges like Upbit and Bithumb qualifies for confiscation during criminal proceedings.
Broader Security Concerns and Industry Data
This marks the second major Bitcoin controversy tied to Gwangju authorities. In November 2021, 1,476 BTC disappeared during a police seizure from an illegal gambling site, with litigation still pending before the Supreme Court.
The present case differs from previous cases in that it does not involve police officers but instead involves their role as prosecutors. The case raises security concerns about two elements, which include internal controls and human vulnerabilities, but does not address blockchain system weaknesses and how secure are seized digital assets under state custody?
The data shows that worldwide patterns exhibit identical characteristics. PeckShield reported that scam and phishing activities resulted in $1.37 billion of losses during 2025, representing a 64% increase from the previous year.
Related: South Korea To Lift 9-Year Ban On Corporate Crypto Access
Ledger announced a customer data breach that occurred because of a third-party payment processor. Over 16 million South Koreans now hold crypto accounts, representing approximately one-third of the population, as regulators increase their oversight of the digital currency market. The case involves missing seized Bitcoin, which disappeared during state custody because of phishing attacks and inadequate internal security procedures. The situation establishes security risks that arise from the current methods authorities use to store and protect digital assets from confiscation. The situation creates trust problems, with accountability challenges for society, because governments create new rules to control and monitor digital currency activities. The incident shows that human mistakes pose a greater security risk to institutional cryptocurrency operations than actual blockchain technology weaknesses.
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Chainlink Acquires Atlas to Expand SVR and DeFi Revenue Push
Chainlink has acquired Atlas to expand SVR and raise DeFi revenue via multi-chain recapture.
Atlas integration extends Chainlink SVR to new chains, helping protocols reclaim MEV.
The deal accelerates SVR adoption across ecosystems and adds sustainable revenue for DeFi.
Chainlink has acquired Atlas from FastLane to expand its SVR solution and increase revenue opportunities across decentralized finance ecosystems. The move brings proven order flow technology directly under the Chainlink standard. It also marks a step toward scaling value recapture across multiple blockchains.
The acquisition includes Atlas technology and the onboarding of key Atlas personnel into Chainlink’s ecosystem. As a result, Atlas now exclusively supports Chainlink SVR. Existing Atlas users will follow a streamlined migration path to the Chainlink solution.
We’re proud to share that Atlas, our protocol for application specific orderflow auctions, has been acquired by @chainlink.
Atlas’s proven orderflow technology is now integrated into Chainlink SVR, enabling applications and protocols to capture and retain value more effectively.… pic.twitter.com/Jz43BO2xVy
— FastLane Labs (@0xFastLane) January 22, 2026
Chainlink said the integration expands SVR into new blockchain environments. SVR now operates on Arbitrum, Base, BNB Chain, Ethereum, and HyperEVM. Additional networks are expected to follow over time.
Atlas Strengthens SVR’s Multi-Chain Reach
Atlas, developed by FastLane, allows DeFi protocols to recover value via application-specific order flow auctions. These auctions often support liquidation processes. Protocols such as Compound and Venus already use Atlas technology.
Chainlink has now completely incorporated this system into SVR. The integration allows DeFi applications to recapture value from Chainlink Price Feeds. This value stems from the Maximal Extractable Value tied to oracle updates.
Chainlink SVR focuses on Oracle Extractable Value, also known as OEV. The system redirects value back to protocols instead of external actors. This creates a new revenue stream for participating applications.
According to Chainlink, SVR has already processed more than $460 million in liquidations. It has also recaptured over $10 million in OEV. These figures reflect adoption by major DeFi platforms.
Aave and Compound rank among the early adopters of SVR. The protocols use the system to improve economic efficiency during liquidations. The recaptured value supports both protocols and the Chainlink Network.
The revenue split model shares value between DeFi protocols and Chainlink. This structure aims to improve long-term sustainability. Chainlink said the Atlas acquisition accelerates this model across more chains.
FastLane Partnership And Ecosystem Impact
FastLane partnered with Chainlink to place Atlas under Chainlink’s stewardship. The firm cited Chainlink’s security and reliability record. Chainlink has enabled over $27 trillion in transaction value to date.
The network also secures more than 70% of the DeFi ecosystem. This scale influenced FastLane’s decision to migrate Atlas fully. Chainlink’s oracle infrastructure supports the system’s expansion.
Johann Eid, Chief Business Officer at Chainlink Labs, commented on the acquisition. He said the integration creates a more effective value recapture system. He added that the move helps expand SVR into new ecosystems faster.
Related: SBI Deepens Ties With Chainlink to Power Tokenized Assets
FastLane CEO Alex Watts echoed the view. He said the combination offers DeFi protocols a credible path to recapture on-chain value at scale. He noted that Chainlink is positioned to lead the OEV market.
Despite the acquisition, FastLane will continue operating independently. The company will remain a strategic partner to Chainlink. It will support Atlas operations and broader adoption efforts.
Existing Atlas users can transition to SVR using Chainlink documentation. Chainlink Labs will also provide upgrade support. This includes users migrating from the deprecated Atlas RedStone deployment. On the Ethereum mainnet, SVR will continue using Flashbots MEV-Share. Atlas technology enables SVR expansion beyond Ethereum.
This approach supports deployment across diverse blockchain environments. Chainlink said the acquisition strengthens its role in DeFi infrastructure. By expanding SVR, the network aims to unlock sustainable revenue for the wider DeFi economy.
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SEC-CFTC Unity Points to an End of U.S. Crypto Rule Splits
SEC and CFTC to hold joint public crypto oversight event on Jan 27, signaling alignment.
The leaders aim to reduce jurisdictional confusion through regulatory harmonization talks.
Event highlights coordination as Congress delays crypto market structure legislation.
U.S. crypto regulation could take a forward step starting January 27, when the SEC and CFTC will hold a joint public event. The session, scheduled from 10 a.m. to 11 a.m. Eastern at CFTC headquarters, brings SEC Chairman Paul S. Atkins and CFTC Chairman Michael Selig together. The agencies say the discussion aims to address regulatory harmonization and reduce long-standing jurisdictional confusion in crypto oversight.
A Public Display of Regulatory Alignment
The Securities and Exchange Commission and the Commodity Futures Trading Commission confirmed the joint event would be open to the public and livestreamed. According to the SEC, the session focuses on harmonization and U.S. financial leadership in the crypto era. Importantly, the choice of a public forum signals institutional coordination rather than private enforcement discussions.
Paul Atkins said he looks forward to joining Michael Selig to discuss alignment between both agencies. He added that the discussion supports President Donald Trump’s promise to make the United States the crypto capital. Notably, both agencies tied their cooperation directly to that broader federal agenda.
The event takes place at CFTC headquarters, indicating shared ownership of crypto oversight. However, the format remains structured and limited to introductory remarks and a panel discussion. That structure highlights policy design rather than enforcement actions or investigations.
Leadership Ties Reinforce a Shared Direction
Personal history between Atkins and Selig adds context to the coordination. Atkins previously served as Selig’s boss at the SEC before Selig moved to the CFTC. Notably, Selig worked on crypto policy at the SEC before becoming the CFTC’s permanent chairman last month.
Selig replaced interim chair Caroline Pham, who previously participated in similar coordination efforts. In September, Atkins and Pham jointly declared an end to agency turf wars. They also hosted a roundtable on decentralized finance and prediction markets.
Since taking office, Selig has announced a new “future-proof” crypto initiative at the CFTC. That initiative aligns with the agencies’ stated goal of reducing unclear jurisdictional boundaries. According to both chairs, legacy silos have forced market participants to navigate misaligned regulatory designs.
In a joint statement, Atkins and Selig said the event builds on broader harmonization efforts. They emphasized innovation under American law and in the service of U.S. investors and consumers. Notably, the language focused on system design rather than enforcement penalties.
Related: SEC and CFTC Roundtable Seeks Clear Crypto Oversight Rules
Policy Coordination Amid Congressional Delays
While agencies coordinate, Congress continues work on crypto market structure legislation. The Senate Banking and Agriculture Committees are advancing separate bills defining agency oversight roles. However, delays have slowed progress due to ongoing bipartisan negotiations.
Earlier this month, a Senate Banking draft triggered industry concern. That version added restrictions on stablecoin yields and decentralized finance. As a result, Coinbase withdrew support, and the committee delayed its markup.
Meanwhile, Senate Agriculture Republicans released their draft ahead of a scheduled markup next week. That version lacked Democratic support, according to committee disclosures. Both committees must still reconcile differences before a final Senate vote.
Meanwhile, the SEC–CFTC event indicates administrative coordination while lawmakers debate statutory authority. The agencies acknowledged Congress’s role but emphasized near-term policy alignment. The event occurs as staff at both agencies continue drafting oversight frameworks.
The session will open with remarks from each chairman, followed by a joint panel discussion. According to agency statements, the discussion centers on harmonization and U.S. financial leadership. The timing places regulatory coordination alongside legislative uncertainty.
The joint SEC-CFTC event brings agency leadership, shared history, and public transparency into one forum. It indicates ongoing coordination efforts tied to President Trump’s crypto agenda and current congressional debates. The statements, setting, and timing consolidate a clear picture of agencies presenting a unified regulatory approach.
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BitGo NYSE Listing Draws YZi Labs Backing for Crypto Trust
YZi Labs entered the BitGo public listing to support regulated crypto custody growth.
BitGo serves over 5,100 institutions with secure custody, staking, and stablecoin tools.
NYSE debut shows rising demand for compliant crypto platforms across global finance.
YZi Labs, formerly Binance Labs and now the $10 billion investment arm linked to Changpeng Zhao, has joined the Initial Public Offering of BitGo on the New York Stock Exchange under the ticker BTGO. The firm entered the listing as a major institutional investor, signaling support for regulated crypto infrastructure and compliant digital asset services.
The investment aligns with YZi Labs’ strategy to focus on Web3, artificial intelligence, and biotechnology, while supporting companies that build secure and compliant financial systems. On X, YZi Labs described U.S.-regulated digital asset infrastructure as a long-term strategic pillar. The firm linked that view to global capital markets moving closer to digital asset rails.
https://t.co/RixOKzJ5vp
— YZi Labs (@yzilabs) January 23, 2026
It also pointed to BitGo’s regulated trust structure and its multi-jurisdictional compliance framework across North America, Europe, the Middle East, and Asia. This participation comes as institutions increase demand for regulated custody, clear compliance rules, and strong security standards.
BitGo now sits at the center of that shift with $82 billion in Assets on the platform and more than 5,100 institutional clients across 100 countries. The company also provides custody, trading, settlement, token management, staking services, and stablecoin infrastructure.
Strategic focus on regulated infrastructure
YZi Labs stated that regulated digital asset platforms form the backbone of long-term market development. The firm said BitGo’s structure supports fiduciary security and cross-border compliance in multiple jurisdictions. This framework allows institutions to operate within strict regulatory environments while accessing digital asset markets.
The OCC regulates BitGo Bank & Trust as a National Trust Bank, which BitGo operates. The company also maintains both SOC 1 and SOC 2 Type 2 audit certifications. The platform meets institutional requirements through its custody, settlement, and token services.
Beyond custody services, BitGo provides staking-as-a-service and stablecoin-as-a-service solutions. The services enable banks and enterprises to create compliant white-label stablecoin products. The system links conventional financial systems with authorized digital asset trading platforms.
Institutional scale and operational reach
BitGo reports $82 billion in Assets on the platform. It serves more than 5,100 institutional clients across 100 countries. This scale places it among the largest global digital asset infrastructure providers. The company pioneered multi-signature wallet technology. It also operates a vertically integrated model that combines custody, trading, settlement, and token management. This structure supports end-to-end institutional workflows.
Ella Zhang, Head of YZi Labs, said BitGo has maintained a hack-free security record for more than a decade. She credited the technical foundation built by CEO Mike Belshe. She described BitGo’s regulated, institutional-grade infrastructure as a critical competitive advantage.
“With $82 billion AOP, BitGo is a cornerstone asset,” Zhang said. “We are committed to providing the strategic resources necessary to fuel its next phase of global growth as a public company.” She also referenced Belshe’s role as both a Bitcoin pioneer and a web technology architect.
IPO, compliance, and market convergence
Mike Belshe, CEO of BitGo, linked the NYSE listing to long-term institutional trust. He said the company’s mission centers on delivering security and compliance to the digital asset ecosystem. He described YZi Labs’ investment as a shared commitment to regulated infrastructure.
“By combining BitGo’s security technology with Binance and the BNB ecosystem’s global market reach, we are setting the standard for how capital enters this space,” Belshe said. The statement tied BitGo’s infrastructure to broader market access. It also connected the IPO to global adoption.
YZi Labs manages more than $10 billion in assets and invests across Web3, AI, and biotech. Its portfolio spans over 300 projects in more than 25 countries across six continents. Notable holdings include Trustwallet, CoinMarketCap, Polygon, Injective, Ethena, Safepal Wallet, Better Payment Network, Aster, and XAI.
BitGo’s public listing demonstrates increasing interest from regulated cryptocurrency companies that seek to enter mainstream financial markets. The stable digital asset platforms that meet regulatory requirements have become more popular among institutional investors, according to the current initial public offering.
The main question exists between traditional finance and digital markets. There exists an ongoing discussion about the future of regulated crypto infrastructure, which could serve as the primary connection point between traditional finance and digital markets.
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World Liberty Expands USD1 Into Satellite Internet Payments
World Liberty Financial partners with Spacecoin to extend USD1 payments via space internet.
USD1 market cap tops $3.3B as the stablecoin expands beyond on-chain settlement uses.
The deal links DeFi with satellite networks to reach users without reliable banking access.
World Liberty Financial is expanding the use of its USD1 stablecoin into satellite-based internet payments through a partnership with Spacecoin. The move comes as USD1 surpasses $3.2 billion in market value and seeks broader real-world adoption.
The Trump-backed crypto project announced the collaboration on Thursday through a Spacecoin blog post. The partnership aims to support payments and settlement in areas without reliable banking or internet access.
Both companies confirmed a strategic token swap as part of the agreement. However, they did not disclose financial terms or token amounts. World Liberty Financial said the deal focuses on off-grid payment use cases. It also reflects a shift beyond on-chain settlement activity.
MAJOR ANNOUNCEMENT
In a move anchored by a token swap with @worldlibertyfi, we’re entering into a strategic partnership to explore new solutions that converge the decentralized technology of finance and satellite internet connectivity.
Together, we will continue… pic.twitter.com/XnTRfdOKUx
— Spacecoin (@spacecoin) January 22, 2026
Expanding USD1 Beyond Traditional Networks
Zak Folkman, co-founder of World Liberty Financial, explained the goal in the announcement. He said USD1 supports real-world payment and settlement needs. Folkman added that the partnership explores environments where traditional financial rails remain limited. He highlighted remote regions and underserved populations as key targets.
USD1 launched last year as a dollar-pegged stablecoin. Since then, it has steadily grown in circulation and adoption. According to market data, USD1 reached a market capitalization of about $3.3 billion at press time. That growth places it among the larger stablecoins in circulation.
World Liberty Financial has also expanded into crypto lending. It operates World Liberty Markets as a lending and settlement platform. The project positions USD1 as a core settlement asset across its services. The Spacecoin partnership extends that strategy beyond traditional internet infrastructure.
Satellite Internet Meets Decentralized Finance
Spacecoin is building a low-Earth orbit satellite network. The company aims to provide internet access without relying on ground-based broadband. Recently, Spacecoin launched three satellites into orbit. The company described the launches as a major step toward operational coverage.
Spacecoin calls its network a decentralized physical infrastructure system. It plans to support connectivity in remote and underserved locations. The partnership with World Liberty Financial aligns with that mission. Spacecoin said global internet access requires compatible financial tools.
Tae Oh, founder of Spacecoin, addressed that need in a statement. He said connectivity alone does not ensure digital freedom. Oh explained that users also need access to open financial services. He added that payments remain a core internet function.
By integrating USD1, Spacecoin users could transact financially when they first came online. The companies see this as a step toward inclusive digital participation. The partnership also reflects broader ambitions for decentralized finance. Both firms aim to combine infrastructure and financial access at scale.
Related: Trump-linked World Liberty Applies for U.S. National Bank
World Liberty Financial continues to pursue international partnerships. Earlier this month, a World Liberty affiliate signed an agreement with Pakistan. The memorandum of understanding explores USD1 use in payments and remittances. It marked a sovereign-level engagement for the project.
Together, the projects aim to test payment coordination in extreme environments. These include regions without banks, broadband, or stable infrastructure. World Liberty Financial said it will continue exploring new USD1 use cases. The company has not announced timelines for satellite payment pilots.
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Circle CEO Says Stablecoins Can Power AI Payments Globally
Circle CEO says stablecoins can handle billions of AI-driven payments at scale.
US lawmakers debate yield limits as banks warn of deposit migration risks.
Money market fund growth shapes stablecoin yield comparisons in policy talks.
Circle CEO Jeremy Allaire said stablecoins remain critical digital infrastructure as U.S. lawmakers debate tighter yield rules. He said stablecoins can support billions of transactions for artificial intelligence agents while coexisting with traditional banking structures. His remarks surfaced during regulatory debates over stablecoin yields and broader concerns about deposit migration from banks.
Allaire spoke during digital asset infrastructure panels as Congress reviewed draft language under the CLARITY Act. The proposal triggered backlash in January 2026 after lawmakers moved to restrict passive yield on stablecoin holdings. The debate followed earlier legislation that reshaped stablecoin oversight in the United States.
"STABLECOIN FEARS ARE TOTALLY ABSURD”
Jeremy Allaire pushes back on claims that stablecoin rewards would drain bank deposits and destabilize credit markets, calling the argument “totally absurd.” pic.twitter.com/9WJ791lnfG
— Coin Bureau (@coinbureau) January 22, 2026
Stablecoins and Artificial Intelligence Transactions
Allaire stated that stablecoins remain the only system capable of handling transaction volumes required by AI agents. He said future AI systems may execute billions of automated payments that demand constant liquidity and instant settlement. According to Allaire, existing payment rails cannot match that scale without friction.
Industry executives echoed similar projections during public forums on digital finance. Galaxy Digital CEO Michael Novogratz said in September 2025 that AI agents may soon dominate stablecoin usage. He cited automated purchasing and machine-driven commerce as likely demand drivers.
Former Binance CEO Changpeng Zhao made related claims at Davos. He said crypto payments could enable AI-led commerce across global markets. Yet public examples remain limited to experimental deployments rather than live systems.
Yield Debate and Banking Sector Warnings
Allaire compared stablecoin yields to money market funds during public discussions. He said government money market funds expanded for decades without triggering systemic bank disruptions. He did not provide timelines or quantified impacts in available remarks.
Banking groups warned lawmakers about deposit erosion risks. The Kansas City Federal Reserve estimated that yield-bearing stablecoins could remove $1.5 trillion in lending capacity. Representatives said deposit migration could weaken traditional credit intermediation.
U.S. money market funds now hold about $7.7 trillion in assets, according to the Investment Company Institute. Balances rose by $868 billion over the past year despite Federal Reserve rate cuts. Critics note that money funds operate under different regulatory and insurance frameworks than stablecoins.
Legislative Framework and Regulatory Friction
The GENIUS Act, whichwas passed in 2025, made it illegal for issuers to pay interest directly to their bondholders. Crypto platforms argued the law still permitted third-party yield programs to operate.
The interpretation of that law created the framework for subsequent policy conflicts. Draft CLARITY Act language sought to close that gap. The proposal would ban passive yield for holding stablecoins while allowing rewards tied to transaction activity. Lawmakers postponed progress because industry objections became known.
Related: Hong Kong Prepares Stablecoin Licenses for Digital Finance
Circle’s comments place stablecoins at the center of two debates: artificial intelligence payments and U.S. financial regulation. Lawmakers weigh yield limits as banks warn of deposit risks, while industry leaders frame stablecoins as neutral infrastructure. With AI transaction volumes rising and legislative language unsettled, regulatory choices may shape how digital dollars integrate with banking and automated commerce going forward globally.
The question of whether lawmakers can create financial stability regulations without restricting stablecoin usage, which supports emerging AI-based transactions, remains vital as Congress evaluates the proposed changes.
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Vietnam Opens Crypto Exchange Licensing Under New Finance Rules
Vietnam to licence exchanges from January 20, 2026, under a government pilot framework.
New finance rules define licensing adjustment and revocation for crypto market operators.
Banks and securities firms prepare exchanges while meeting high capital and staffing rules.
Vietnam will begin formally licensing cryptocurrency trading market operators from January 20, 2026, marking a key step in its pilot framework for a regulated digital asset market. The Vietnam State Securities Commission confirmed the timeline after the Ministry of Finance issued new administrative procedures governing crypto exchange licensing.
The move follows Government Resolution No. 05/2025/NQ-CP, which approved a controlled pilot for cryptocurrency trading services in Vietnam. According to the SSC, applications will be accepted under Decision No. 96/QD-BTC, dated January 20, 2026, which defines the scope, process, and oversight responsibilities for the sector. Detailed guidance appears in an appendix attached to the decision and published on the SSC’s official portal at www.ssc.gov.vn.
New Licensing Framework Takes Effect
Decision No. 96/QD-BTC introduces three administrative procedures under the Ministry of Finance’s authority. These cover licensing, license adjustments, and license revocation for organizations operating cryptocurrency trading markets.
JUST IN: State Securities Commission of Vietnam begins licensing crypto-asset trading markets from Jan 20, 2026. pic.twitter.com/IEB9HWa1q7
— Whale Insider (@WhaleInsider) January 21, 2026
The SSC stated that applicants must follow the standardized process outlined in the new appendix. The appendix lists required documents, application steps, and compliance obligations for each procedure. The framework supports the government’s pilot approach rather than a full market rollout.
Financial Institutions Prepare for Market Entry
Industry data cited by Vietnam VN shows that about 10 securities firms and banks have announced plans to enter the crypto exchange market. These institutions expect to launch operations after securing regulatory approval. Within the securities sector, SSI Securities formed SSI Digital Technology Joint Stock Company in 2022. The unit, known as SSID, has expanded its digital asset initiatives in recent years.
SSID and SSI Fund Management Company signed cooperation agreements with Tether, U2U Network, and Amazon Web Services. The partnerships aim to develop a blockchain-based digital finance ecosystem using cloud infrastructure.
Meanwhile, VIX Securities contributed capital to establish the VIX Cryptocurrency Exchange, known as VIXEX. The firm also signed a cooperation agreement with FPT to prepare its technology systems.
Banks Align With Pilot Market Rules
Several banks have also announced readiness to participate once licenses are issued. Military Commercial Joint Stock Bank, known as MB, has partnered with Dunamu, the operator of Upbit.
The collaboration focuses on building a Vietnam-based cryptocurrency exchange. It also covers legal frameworks, operational processes, and investor protection measures. Techcombank has established the Techcom Cryptocurrency Exchange, or TCEX, with charter capital reaching hundreds of billions of dong. Its TCBS trading platform already displays a dedicated cryptocurrency section tracking major digital assets.
VPBank has also confirmed it has prepared internal resources and systems. The bank said it will begin operations immediately after receiving regulatory approval. With capital thresholds set at 10,000 billion VND and strict ownership and staffing rules, how many firms will ultimately qualify for Vietnam’s tightly controlled crypto market pilot?
Related: Five Firms to Join Vietnam’s Regulated Crypto Exchange Plan
Licensing Conditions Under the Pilot Program
Resolution No. 05/2025/NQ-CP sets detailed entry requirements for service providers. Applicants must operate as Vietnamese enterprises under the Enterprise Law. Charter capital must be fully contributed in Vietnamese dong. At least 65% of that capital must come from organizations. More than 35% must be contributed by at least two eligible institutions. These include banks, securities firms, fund managers, insurers, or technology companies.
Each entity or individual may invest in only one licensed provider. Applicants must also maintain registered offices with adequate facilities and secure technology systems.
Senior management must meet experience standards. The General Director requires at least two years in finance or related fields, while the Chief Technology Officer needs five years in information technology.
Organizations must employ at least 10 cybersecurity-certified technology staff. They must also maintain at least 10 employees holding securities professional certifications across operational departments.
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CZ Is In Talk With A Donzen Countries On Asset Tokenization
CZ says he is in talks with a dozen governments on tokenization of state-owned assets.
Tokenization could help states raise funds early by selling fractional stakes in assets.
BlackRock flags tokenization as a 2026 theme as IBIT leads U.S. spot Bitcoin ETFs.
Changpeng Zhao, Binance’s co-founder and former CEO, said he is in talks with “probably a dozen governments” about tokenization of state assets. The remarks were delivered at the World Economic Forum in Davos. No countries or assets were identified during the panel. The discussion centered on how tokenization could help governments raise funds by selling small portions of public holdings.
During the panel, Zhao argued tokenization could unlock value earlier in the development cycle. Governments could potentially raise capital before long projects mature. “This way the government could actually realize their financial gains first,” he said. Those gains could then be used to develop industries tied to the assets.
.@cz_binance on what’s working in crypto – and what’s next – at @wef Davos
What's proven at scale: exchanges & stablecoins.
The next frontier: > State-level tokenization of assets > Crypto as the invisible payment rail > AI agents transacting autonomously, using crypto as… pic.twitter.com/PG3eoNBMRV
— YZi Labs (@yzilabs) January 22, 2026
New Funding Paths
Privatization models provide a rough comparison. Stakes in national oil firms and telecom companies have been sold by several states in the past. Tokenization could replicate that concept through digital rails. Smaller allocations could be offered to citizens and investors. Large block sales would not be the only route.
Earlier public statements from Zhao referenced talks with Pakistan, Malaysia, and Kyrgyzstan. Those mentions were made on social media, not in Davos detail. Government interest was described as spread across regions. The comments did not include policy frameworks or timelines. No official confirmation from the cited governments was provided in the remarks.
Kyrgyzstan was cited as an example of broader digital currency activity. A stablecoin pegged to the som launched last year. Plans were also announced for a dollar-pegged stablecoin backed by $300 million in gold reserves. Zhao referenced this as a signal of state experimentation. Direct involvement in issuance was not claimed.
Payment systems were another focus in Zhao’s Davos comments. Swipe-card style products could use crypto in the background. Merchants receive traditional currency while users pay in crypto. Conversion happens during settlement. This structure aims to reduce friction for businesses.
Related: BRD Stablecoin Ties Brazil’s Sovereign Debt to On-Chain Yield
Traditional payment rails are also converging with crypto infrastructure, Zhao said. Local-currency settlement remains important for merchants. Crypto could still be used without requiring businesses to hold it. Card-based layers could make that possible. Adoption could then expand through familiar checkout methods.
AI Agents and BlackRock Spotlight Tokenization Shift
Artificial intelligence was linked to crypto utility in Zhao’s remarks. “The native currency for AI agents will be crypto,” he said. Autonomous systems may need programmable settlement for transactions. Banking rails are not built for machine-driven global micro-payments. Crypto networks could process automated value transfer.
Autonomous AI systems could create new transaction flows. Machine-to-machine payments are expected to grow as automation expands. Programmable tokens allow conditional payments and execution. Zhao did not present a timeline for that shift. The point was framed as a long-term structural trend.
Institutional attention is also rising, according to BlackRock’s latest research. The firm released a report titled “2026 Thematic Outlook.” Crypto and tokenization were listed as major themes shaping 2026. Investor focus was said to be increasing. AI and energy infrastructure were included as other key sectors.
BlackRock said crypto should not be treated only as a speculative asset class. The report described crypto as infrastructure for payments and settlement. Liquidity management was also cited as a future use case. Tokenization was presented as a bridge between decentralized markets and traditional finance. The firm framed the shift as part of the broader market evolution.
ETF performance was used by BlackRock as supporting evidence. The company said its spot Bitcoin ETF, iShares Bitcoin Trust (IBIT), is the fastest-growing exchange-traded product in history. IBIT launched in January 2024. It has operated for just over two years. The firm pointed to rapid growth as a signal of demand.
No finalized agreements were announced by Zhao. Contracts, deployments, and country-level decisions were not disclosed. Even so, his comments suggested tokenization is moving into policy discussions. Public finance could become a core use case for blockchain. Broader adoption could change how governments fund assets and distribute investment access.
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BitGo Prices IPO Above Range, Values Firm at $2.08 Billion
BitGo priced its IPO at $18, above the marketed $15–$17 range for its 11.8M shares.
The IPO raised $212.8 million and valued BitGo at about $2.08 billion after final pricing.
BitGo’s NYSE debut comes as the U.S. market structure bill debate adds fresh regulatory risk.
BitGo Holdings priced its initial public offering at $18 per share, above the marketed range of $15 to $17. The company planned to sell 11.8 million shares, according to a Reuters report. The pricing move increased the total funds raised and set a higher valuation for the crypto custody firm.
The IPO raised $212.8 million at the $18 offer price. At the top of the marketed range, BitGo would have raised about $201 million. Reuters reported that the IPO values BitGo at $2.08 billion.
BitGo Sets NYSE Debut With BTGO Ticker as IPO Prices Above Range
BitGo has pursued a stock market listing for years as it sought to benefit from growing demand for digital asset infrastructure. The Palo Alto-based firm filed for a U.S. IPO last September. It said it planned to list its Class A shares on the New York Stock Exchange under the ticker BTGO.
On January 12, BitGo said it was targeting a valuation of up to $1.96 billion in what it described as the first cryptocurrency IPO of the year. The final IPO pricing lifted that valuation outcome. The higher pricing also reflected stronger demand than the midpoint of the original range.
Goldman Sachs is serving as lead underwriter for the offering, according to the company’s announcement. Citigroup is also managing the IPO. BitGo said it will operate as a controlled company under NYSE rules after the listing.
The IPO comes at a tense moment for the U.S. crypto sector, as lawmakers advance a long-awaited market structure bill. The proposed framework would reshape how regulators classify and oversee digital assets.
Coinbase has warned that parts of the market structure effort could restrict core areas of the crypto business. The broader industry has argued for clearer rules but has also pushed back against provisions that could limit trading, staking incentives, or product design.
Related: U.S. Market Structure Reform Pulls Crypto Into Banking
Market conditions have also become more demanding. Reuters noted that a sharp selloff in cryptocurrencies in October unsettled the sector and raised the bar for investor backing. The decline increased pressure on valuations and made public market appetite harder to gauge.
BitGo IPO in Focus as Grayscale, Kraken Weigh Listings
Several crypto-linked firms are still preparing to test investor demand through IPOs this year. Crypto-focused asset manager Grayscale and cryptocurrency exchange Kraken have been cited among companies considering offerings. BitGo’s debut is being watched because custody firms sit at the infrastructure layer of the sector.
Not every major crypto firm is moving toward an IPO. Ripple Labs has said it will remain private and will not pursue a public listing in 2026. The divergence highlights how company balance sheets and liquidity options are shaping listing decisions.
In the first week of this year, Ripple President Monica Long said the company has no plan to go public in 2026. She said Ripple has a strong balance sheet and does not need public market capital. Long said companies typically list to access liquidity and expand their investor base, but Ripple already has those advantages.
Ripple raised $500 million in November 2025 at a $40 billion valuation, according to the details in the report. The fundraising round included Fortress Investment Group, Citadel Securities, and major crypto funds. Ripple also completed a $1 billion tender offer earlier in 2025 at the same valuation and said it has repurchased more than 25% of its outstanding shares.
BitGo’s listing comes after a period when crypto sentiment had improved in 2025. The digital asset sector was buoyed by President Donald Trump’s pro-crypto stance and policy momentum tied to regulatory frameworks such as the stablecoin-focused GENIUS Act.
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