Token Chronicle - Week 3 June 2025

Top cryptos

Meme of the week:

Market Sentiment:

Market update: The market has felt the impact of the macro context: Israeli/Iranian bombings, but more notably the (so far remote) military involvement of the U.S. since yesterday, and Iran’s subsequent announcement (not yet confirmed) of the closure of the Strait of Hormuz. This strait is a crucial passageway for maritime oil transport (accounting for a quarter of global oil flow), especially toward Asia and China—who therefore have an incentive to step in and de-escalate the situation.

As a result, BTC briefly dipped below $100K, although we’re now seeing some resilience with a recovery to around $101K. It’s interesting to observe the notable resilience of the crypto market to macro events, as well as a degree of correlation with the stock market. The market is currently being driven primarily by purchases from "whales" (holders of more than 1,000 BTC) and institutional investors, while retail investors are panicking and selling.

Main points this week:

International Highlights:

1. Switzerland: The End of Tax Anonymity for Cryptocurrency Users
   Switzerland is turning a page in its history. Starting in 2027, it will share cryptocurrency-related data with multiple partner states. This change marks the end of the long-standing fiscal anonymity associated with the country and raises concerns over individual freedoms in an increasingly surveilled world. On June 6, 2025, the Federal Council approved the automatic exchange of crypto tax information with 74 countries. This marks a major shift in Switzerland’s tax approach, both for crypto and finance in general. The reform follows the international standard CARF (Crypto-Asset Reporting Framework), developed by the OECD. It will come into effect in 2026, with the first data exchange set for 2027.

2. Vietnam Legalizes Cryptocurrencies with a Historic New Law
   Vietnam has just passed its first law dedicated to the digital industry, officially recognizing cryptocurrencies and laying the groundwork for full regulation of digital assets. A major upheaval for the local Bitcoin, Ether, and broader token ecosystem, the law also strengthens anti-money laundering and anti-terrorist financing measures. On June 14, 2024, the National Assembly passed the Law on the Digital Technology Industry, which will take effect on January 1, 2026. The law officially recognizes digital assets and tasks the government with issuing implementing decrees by then. It distinguishes two categories of assets: “virtual assets” (used mainly for exchange or investment, excluding regulated financial instruments) and “crypto-assets” (based on cryptographic technologies such as Bitcoin, currently trading around $107,000, Ether, Solana, etc.).

3. Donald Trump Threatens EU with New Tariffs If a “Fair Deal” Is Not Reached
   Donald Trump has warned that the trade truce between the United States and the European Union could end on July 9. He is threatening to raise tariffs on EU goods to 50% if a “fair deal” is not reached. The pressure is rising on Brussels, which must negotiate with the unpredictable president.

4. Thailand Ends Crypto Capital Gains Tax for Five Years
   Good news for Thai crypto investors: they will be exempt from capital gains tax until the end of 2029. “Promoting Thailand as a global hub for digital assets” is how the Thai Ministry of Finance described its decision to exempt investors from taxes on crypto capital gains through 2029.

5. China’s Central Bank Launches International Center to Promote the Digital Yuan
   China reaffirms its economic strategy: its central bank will establish an international center to promote the digital yuan. “The center [aims to] promote the internationalization of the digital yuan and develop its use in financial markets, supporting innovation in digital finance.”

6. Brazil implemented a flat 17.5% tax rate on all crypto gains, removing the previous exemption for monthly trades under $6,300. The new rules also include self-custody wallets and offshore crypto holdings in the tax framework. Previously exempt assets like certain investment certificates now face taxation.

7. Thailand's government has approved a tax measure proposed by the Ministry of Finance to exempt certain crypto transactions from capital gains tax until the end of 2029. Crypto capital gains will be exempt from personal income tax if made through licensed exchanges, brokers, or dealers regulated by the country's Securities and Exchange Commission. The move is part of a broader push to position Thailand as a global crypto hub, boost innovation, and attract foreign investment.

Compliance/Regulation/Cybersecurity:

1. Trump Media Can Now Purchase $2.3 Billion Worth of Bitcoin: SEC Approves Filing
   The U.S. Securities and Exchange Commission has authorized Trump Media & Technology Group (TMTG), controlled by President Donald Trump, to tap into the $2.3 billion it raised to build a Bitcoin treasury. This decision places the group among a select few publicly traded companies massively converting their treasuries to cryptocurrency.

2. Tokenized Stock Trading Coming to Coinbase? Platform Presses SEC
   To offer tokenized stock trading, Coinbase has petitioned the SEC. Besides potentially lower fees, such a solution could open stock markets 24/7.

3. GENIUS Act Passed by U.S. Senate: A Turning Point for the Crypto Industry and Donald Trump
   In a historic vote, the U.S. Senate passed a regulatory framework for stablecoins, marking a major win for the crypto industry and Donald Trump. This bipartisan advancement could reshape the U.S. payments economy. Stablecoins like USDT (Tether) and USDC (Circle) will now need to be backed 1:1 by reserves in short-term U.S. government debt or similar assets, under federal or state regulatory oversight. While smaller banks fear deposit flight to stablecoins, larger banks are already considering launching their own to capture this lucrative market. Analysts estimate Tether Holdings SA earns about $1.5 billion annually in net profits from interest on its reserves alone.

4. Israel-Iran: Hacker Group Steals $82 Million from Crypto Exchange Nobitex
   This morning, the pro-Israel hacker group Gonjeshke Darande hacked Iranian exchange Nobitex, stealing $82 million worth of cryptocurrencies.

5. Coinbase Secures MiCA License to Serve All 450 Million Europeans
   On Friday, Coinbase officially announced it has obtained its MiCA license in Luxembourg, allowing it to offer services across all 27 EU member states. The platform was already regulated in Germany, France, Ireland, Italy, the Netherlands, and Spain. In France, only two companies have obtained MiCA licenses from the AMF (Financial Markets Authority): Deblock (last month) and GOin (recently).

6. Taiwan's Executive Yuan is advancing its Virtual Asset Service Act, with a Finance Committee hearing held last week to address industry concerns about the tight six-month license application window and 15-month approval deadline for VASPs currently operating under transitional rules. Titan Cheng of the Taiwan VASP Association warned that compliance with new requirements—including asset custody rules—may be challenging within the proposed timeline, noting the sector has already consolidated from 26 to 17 registered firms since late 2024. In response, FSC Vice Chairperson Dr. Yen-Liang Chen signaled openness to extending the transition period, stating the regulator has "heard the voice of the industry." The draft law, introduced in March, is set for Executive Yuan review in June, marking Taiwan’s shift from a registration system (in place since 2021) to a full licensing regime.

7. Singapore police are probing 49 individuals (35 men, 14 women) for allegedly selling access to their crypto accounts or Singpass credentials for SGD 400–3,000 in cash. The suspects, aged 18–58, were identified through a joint operation with StraitsX, a digital payments firm whose enhanced fraud detection tools uncovered the scheme. Unknown recruiters contacted the suspects via Telegram/WhatsApp, instructing them to hand over account control, which was then used to launder scam proceeds. The SPF reiterated warnings against acting as money mules, emphasizing criminal liability for those whose accounts facilitate illicit flows. This marks Singapore’s latest crackdown on financial intermediaries aiding laundering networks.

Traditional Finance:

1. SwissBorg Adds BNB Smart Chain to Meta-Exchange, Expanding Crypto Access
   SwissBorg is expanding its Meta-Exchange by integrating the BNB Smart Chain. Users now have access to a wider range of tokens and can perform seamless cross-chain swaps without bridges or gas tokens. This opens up a new layer of on-chain liquidity, with swaps available between BNB Chain and networks like Ethereum, Solana, or Avalanche.

2. JPMorgan Launches a “Deposit Token” on Coinbase’s Blockchain
   A major player enters the stablecoin race. JPMorgan is launching its own dollar-based cryptocurrency, called a “deposit token.” Built on Coinbase’s Base blockchain (an Ethereum Layer 2), the JPMD allows approved JPMorgan clients to deposit USD and receive JPMD tokens in return. These can be used for 24/7 transactions and earn interest. The JPMD is “permissioned,” meaning it uses a public blockchain but is not available to everyone.

3. “We Advise Our Retail Clients on Bitcoin” – BBVA Embraces Crypto
   At a London conference, an executive from BBVA’s Swiss subsidiary confirmed the bank has been advising clients on Bitcoin allocations (3–7%) for several months. Driven by increasing demand since 2021, BBVA is among the first global banks offering such services to its wealthy clientele. In Spain, the bank also recently received approval from the CNMV to launch BTC and ETH trading and custody services.

4. First XRP-Based ETFs Launched in Canada Today
   Canada is extending its lead over the U.S. by launching altcoin ETFs. Two asset managers launched the first ETFs on Ripple’s XRP today. 3iQ introduced XRPQ, a traditional ETF with 0% management fees for the first six months and direct XRP exposure, with assets stored in cold storage. Ripple has directly invested in this fund. Meanwhile, Purpose Investments launched XRPP, its own XRP spot ETF, listed on the TSX. Purpose previously launched the world’s first Bitcoin ETF (BTCC) in 2021.

5. Crypto asset manager CoinShares has filed an S-1 with the SEC to launch a spot Solana ETF in the U.S., joining a growing list of firms racing for approval. The CoinShares Solana ETF will use Coinbase Custody and BitGo Trust as custodians and plans to stake a portion of its SOL holdings. CoinShares is now the eighth issuer to file for a spot Solana ETF, following amended filings from VanEck, 21Shares, Bitwise, Franklin Templeton, Canary Capital, Grayscale, and Fidelity. Bloomberg Senior ETF Analyst Eric Balchunas expects potential approvals for Solana ETFs within two to four months, given the SEC recently requested updates from the prospective issuers.

6. Venture capital firm Andreessen Horowitz (a16z) has invested an additional $70 million in EigenLayer. The restaking protocol has launched EigenCloud, a new platform for developers offering “verifiability-as-a-service”.

7. Coinbase is seeking SEC approval to offer tokenized stocks in the U.S., aiming to take on brokerage giants like Robinhood and Charles Schwab. The exchange is pursuing a no-action letter or exemptive relief to launch blockchain-based equities without triggering enforcement, Coinbase Chief Legal Officer Paul Grewal told Reuters on Tuesday. Tokenized stocks could unlock 24/7 trading, faster settlement, and lower costs but remain inaccessible to U.S. investors under current rules. The move comes just weeks after rival crypto exchange Kraken unveiled xStocks featuring tokenized versions of more than 50 stocks and ETFs for users in Europe, Latin America, Africa, and Asia.

Tech News:

1. PayPal Plans to Launch PYUSD Stablecoin on Stellar (XLM)
   Pending regulatory approval, PayPal wants to deploy its PYUSD stablecoin on the Stellar blockchain (already live on Ethereum and Solana). Stellar highlights its payment-optimized infrastructure and a broad on-chain entry/exit network. Stellar also sees use cases for PYUSD in PayFi, its tokenized asset-based financing platform. The rollout awaits regulatory clearance from New York’s Department of Financial Services (NYDFS).

2. Ink, Kraken’s Layer 2, Confirms It Will Have Its Own Token — With an Airdrop
   Kraken-backed Layer 2 Ink is making waves. It recently announced it will launch a native token and that an airdrop will accompany the release.

3. Polygon co-founder Jordi Baylina has spun off its former zkEVM team into a new Swiss-based startup called ZisK, transferring all code and IP to the independent venture. ZisK will focus on building low-latency, open-source zkVM-proving technology after being incubated within Polygon Labs for over a year. The move comes as new Polygon Foundation CEO Sandeep Nailwal shifts focus to Polygon PoS and AggLayer, having recently announced plans to deprecate its underused zkEVM. Critics claim Polygon quietly abandoned the zkEVM (Hermez) chain it had earlier acquired for $250 million, with the network incurring over $1 million in annual losses before the spin-out.

4. Optalysys, a U.K.-based startup focused on secure computing, has introduced what it claims to be the world’s first server for blockchains that can process data at scale without decrypting it. The firm’s LightLocker node is a server that uses Fully Homomorphic Encryption (FHE), a mathematical technique allowing computations to be performed on encrypted data without compromising the encryption. The last year has seen a couple of firms raising money and exploring applications of FHE within the cryptocurrency space. Optalysys says its server hardware is purpose-built for blockchain encryption, and offers a cheaper alternative to costly and inefficient GPU-based systems, using 40% less energy.

5. Tether CEO Paolo Ardoino Calls for Abandoning Cloud Password Storage After Record 16B Credentials Leaked. Following the largest-ever data breach—exposing 16B passwords from Apple, Google, governments, and more—Tether’s CEO declared "The cloud has failed us" and urged a shift to local storage. Ardoino revealed Tether’s upcoming PearPass, an open-source, device-only password manager with zero cloud reliance, promising "No leaks. Ever." The breach, dubbed a "blueprint for mass exploitation," heightens risks for crypto users facing phishing/hacks. Ardoino’s push aligns with Tether’s offline-capable tech suite, including Pear Credit (P2P lending) and Tether AI, aimed at disaster-resilient, human-first solutions.

6. Crypto exchange Kraken has launched bitcoin "staking" with up to 1% yield via DeFi protocol Babylon, enabling users to earn passive rewards on their BTC holdings without wrapping, bridging, or lending. While Babylon is marketed as a "bitcoin-native staking protocol," it does not enable staking in the way traditional proof-of-stake systems do. Instead, Babylon lets users bond their BTC via time-lock scripts on Bitcoin's base layer to help secure PoS chains in exchange for rewards.

Adoption:

1. Justin Sun Launches Tron Treasury Company Backed by the Trump Family
   Justin Sun continues to be a controversial figure in crypto, but his involvement in the Trump family’s World Liberty Financial project may work in his favor. He aims to launch a Tron Treasury Company listed on Nasdaq.

2. $50M in HYPE: Nasdaq-Listed Company Announces First-of-Its-Kind Crypto Treasury
   This week, Eyenovia, a Nasdaq-listed company, announced a $50 million treasury in HYPE tokens from Hyperliquid. To finance this, the company will issue $15.4 million in non-voting convertible shares at $3.25 per share and 30.8 million warrants at the same exercise price. If all conversion rights are exercised, Eyenovia could raise up to $150 million.

3. Easy USDC Payments: Coinbase Unveils New Solution Now Live on Shopify
   Coinbase Payments is now available on Shopify, enabling online stores to accept USDC. Customers connect their wallets, and API integrations handle transaction processing, subscriptions, accounting, refunds, and blockchain communication. Transactions run on Base, Coinbase’s Ethereum Layer 2, which ranks first in Ethereum scaling solutions by total value locked ($5 billion) and fifth across all chains (per DeFiLlama).

4. MemeStrategy became the first Hong Kong Stock Exchange company to invest in Solana. They bought 2,440 SOL tokens worth $370,000. The amount seems small, but the precedent is massive. Their stock jumped 28.5% on the announcement. They want staking rewards and ecosystem access, not speculation.

Funding & Partnerships:

1. Bitcoin holding firm Nakamoto and telehealth startup KindlyMD have raised their BTC treasury target to $763 million following an additional $51.5 million in private placement commitments. Founder David Bailey said the latest round of capital was raised in 72 hours, with plans to convert the entire sum into bitcoin post-merger approval. The firms originally outlined a $710 million raise in May — $510 million through PIPE funding and $200 million via convertible notes. "We continue to execute our strategy to raise as much capital as possible to acquire as much bitcoin as possible," Bailey, who also runs Bitcoin Magazine, added.

2. SoftBank is plotting a $1 trillion AI and robotics hub in Arizona’s desert, dubbed Project Crystal Land, with talks underway involving TSMC, Samsung, and the U.S. government—leveraging its windfall from Arm and T-Mobile investments. Meanwhile, the AI industry faces escalating legal battles, as the BBC threatens Perplexity over content scraping, Reddit sues Anthropic for allegedly harvesting posts, and the music industry fights AI-generated tracks, highlighting unresolved clashes over copyrighted training data and AI’s unchecked content use. The dual narrative underscores both tech’s soaring ambitions and its looming legal reckoning.

Disclaimer: The information disclosed here does not constitute an investment advice ; it is for informational purposes only and does not constitute investment advice. You should do your own research while investing in crypto and only invest money you are ready to lose.