Crypto Assets Market Dynamics

Policies and Regulations

The U.S. Senate passed the landmark "GENIUS Act," marking the first significant piece of legislation on Crypto Assets in the country. The bill advances the federal government's efforts to regulate stablecoins and shifts the focus to the House of Representatives. The House Financial Services Committee had previously introduced its own stablecoin legislation, but it has not yet been submitted for a full vote.

The Federal Reserve will hold a board meeting on June 25 to discuss modifying the supplementary leverage ratio requirements for banks. This could be the first step in the Federal Reserve's plans to relax bank regulations, aimed at reforming the way large, complex banks are supervised. Easing leverage ratio requirements may exempt certain safe assets or modify the calculation formula.

The Thai cabinet has approved a new policy that implements a five-year personal income tax exemption on profits from the sale of Crypto Assets. This move could boost the development of the country's Crypto Assets market.

Market Dynamics

As of the time of publication, the prices of major Crypto Assets have fallen to varying degrees. The price of Bitcoin is $104,691, down 2.2% in 24 hours; the price of Ethereum is $2,516.29, down 2.0%; other major Crypto Assets such as BNB, Solana, Dogecoin, and XRP have also decreased to varying degrees.

Institutional Dynamics

JPMorgan Chase will pilot the issuance of a deposit token JPMD on a certain blockchain network, representing the bank's dollar deposits. This indicates that traditional financial institutions are further deepening their involvement in the digital asset space.

A certain Crypto Assets trading platform is seeking approval from the U.S. Securities and Exchange Commission (SEC) to offer blockchain-based stock services.

Deutsche Bank plans to launch a minimum viable product of its asset tokenization and service platform in November 2025, aimed at reducing the cost for enterprises to explore tokenization.

Asset management firm VanEck has announced the launch of a private digital asset fund called the VanEck PurposeBuilt Fund, focusing on Web3 projects within the Avalanche ecosystem.

Corporate Dynamics

A certain e-commerce group stated that it will apply for stablecoin licenses in major currency countries around the world to achieve efficient and low-cost exchanges between global enterprises. The group also plans to expand into the personal consumption payment sector in the future.

Interactive Strength Inc. has completed a $55 million financing and has begun purchasing FET coins in the public market, aiming to become the largest AI coin holder among publicly listed companies in the United States.

DDC Enterprise Limited announced the signing of an agreement, expecting to raise up to $528 million to expand the company's Bitcoin reserves.

Market Outlook

The probability of the Federal Reserve cutting interest rates in July is 14.5%, and the probability of a 25 basis point cut in September is 58.2%. Changes in the 10-year U.S. Treasury yield may impact the Crypto Assets market; a higher yield could create a more challenging market environment, while a lower yield might stimulate demand for risk assets such as Crypto Assets.