Author: Tristan Lodenberg

New Zealand’s Financial Markets Authority (FMA) has confirmed that the NZDD stablecoin, pegged to the New Zealand dollar, is not considered a financial product. The regulator emphasized that the token is not a debt security, does not generate income or interest, and is not an investment instrument. The decision comes as part of the FMA’s financial technology sandbox pilot, designed to support innovation while providing regulatory clarity. The move is seen as a step toward defining the legal framework for stablecoins in New Zealand. Law Firm Highlights Importance for Regulatory Clarity Law firm MinterEllisonRuddWatts, representing the NZDD issuer ECDD Holdings,…

Bitcoin futures trading on Binance has grown to over five times the volume of spot trading, with the futures to-spot ratio reaching 5.1, the highest since mid-2023. This shift indicates a structural change in market behavior, where leveraged positions increasingly drive price movements rather than traditional buying and selling. Implications for Market Volatility High futures dominance suggests heightened sensitivity to liquidation events, often resulting in large, short-lived price swings. Traders using perpetual contracts for hedging, basis trading, and directional exposure contribute to the increased volatility. While price swings remain real, the market can react more sharply to leverage dynamics than…

LITRO is piloting a blockchain platform to tokenize crude oil, aiming to replace slow, paper-based settlements with 24/7 on-chain trading and redemption. Each LITRO token represents one litre of verified physical crude oil, with value indexed to benchmarks such as Brent and West Texas Intermediate. The project, led by Baron Lamarre, plans a testnet and demo rollout from March through May 2026, targeting an official launch in January 2027. Tokens are minted only after independent verification of reserves, ensuring a strict 1:1 correspondence between digital units and physical oil stored at producers’ facilities. Enhanced Liquidity and Physical Redemption LITRO offers…

Developer activity across major blockchain networks has declined significantly as talent increasingly moves toward artificial intelligence infrastructure. Weekly crypto code commits have dropped roughly 75% since early 2025, falling from about 850,000 to 210,000, while active developers decreased 56% to around 4,600, according to analytics platform Artemis. Ethereum, Solana, and other major chains are all seeing declines. Ethereum’s weekly active developers fell 34% to 2,811, Solana dropped 40% to 942, and Coinbase-incubated Layer 2 Base fell 52% to 378. Newer chains like Aptos, BNB Chain, and Celo experienced even steeper drops, reflecting a broader contraction in blockchain contribution. Artificial Intelligence…

Bonk.fun, a memecoin launch platform built on Solana, warned users after its website domain was compromised in a wallet-draining attack. The project urged visitors not to interact with the platform while the team works to regain full control of the domain. According to the team, the breach occurred after a malicious actor gained access to one of the project’s internal accounts and used that access to take control of the website. Fake Transaction Prompt Used in the Attack The attacker reportedly deployed a fake message on the site that prompted visitors to sign a fraudulent transaction disguised as a terms-of-service…

U.S. prosecutors have urged a court to deny former Sam Bankman-Fried’s request for a new trial, arguing that the motion fails to present any legitimate newly discovered evidence. Bankman-Fried is serving a 25-year sentence following his 2023 conviction for fraud and conspiracy related to the collapse of FTX. The February motion, filed by his mother on his behalf, suggested that two former FTX executives, Daniel Chapsky and Ryan Salame, could have provided testimony challenging prosecutors’ narrative. Prosecutors countered that these witnesses were known to the defense before trial, and their absence does not constitute newly discovered evidence. Prosecutors Dismiss Solvency…

OP Labs, the core development team behind the Optimism network, has reduced its workforce by roughly 20% as part of a strategy to narrow its focus and improve operational efficiency. The company confirmed that 20 employees were laid off. According to a message shared internally by Jing Wang, co-founder of Optimism and chief executive of OP Labs, the decision was not related to financial pressure. Wang stated that the organization remains well funded with several years of operational runway. Instead, the layoffs were described as a move to simplify decision-making, reduce coordination challenges and concentrate on fewer priorities with stronger…

The Bank of England has indicated it may revise its proposed limits on stablecoin holdings following criticism from industry groups. The limits, floated between £10,000 and £20,000 ($13,368–$26,733), were designed to prevent a large migration of deposits from banks into stablecoins, which could reduce credit availability for businesses and households. Speaking before the House of Lords Financial Services Regulation Committee, Deputy Governor Sarah Breeden said the central bank is “genuinely open to other ways of achieving the objective” and is seeking feedback on approaches that manage risks without stifling innovation. Self-Custody Stablecoins Not Covered by UK Regime Breeden clarified that…

Stablecoin yield services could channel additional capital into the United States banking system, according to Patrick Witt, executive director of the White House Council of Advisors for Digital Assets. In recent remarks, Witt argued that global demand for the US dollar remains strong and stablecoin markets may reinforce that demand rather than weaken it. He explained that international users often exchange their local currencies to purchase stablecoins issued by US-based companies. Because these issuers typically hold reserves in US dollars or government securities such as US Treasuries, the process effectively brings additional capital into the American financial system. Witt described…

Kalshi has filed a lawsuit against officials in the US state of Iowa, arguing that there is a significant risk regulators may take enforcement action against the company over its sports event contracts. The lawsuit, filed in federal court, names Brenna Bird, the state’s attorney general, along with the Iowa Racing and Gaming Commission and its board members. Kalshi said it moved to file the case after a meeting with state officials raised concerns that regulators could attempt to block its offerings. According to the complaint, a company representative initially expected to discuss a tax proposal currently being reviewed in…