Crypto

Key Points

• Bitcoin is close to its all-time high of $111,970 but lacks a strong catalyst to break above this level, according to Bitfinex analysts.
• Without significant macro or structural support, Bitcoin risks short-term corrections, especially if long-term holders sell off.
• Holders from Q1 2025, who endured a drop below $80,000, face a critical decision as prices hover near ATH levels.
• A potential $1.08 billion in short positions could be liquidated if Bitcoin reclaims its all-time high, per CoinGlass data.
• Macro events like the US Federal Reserve’s interest rate decision on June 18 and Trump’s tariff policies are key factors to watch.

Summary

Bitcoin is nearing its all-time high of $111,970, currently trading at $109,519, but Bitfinex analysts warn of insufficient fundamental support to surpass this level. They highlight the risk of short-term corrections without a strong catalyst, especially if long-term holders sell during this period of sideways price movement near ATH levels. Investors who bought in Q1 2025 at a low of $78,513 are now up 39%, facing a pivotal decision that could shape market trends. A sudden sell-off might lead to prolonged consolidation, a pattern seen after Bitcoin’s March 2024 peak of $73,679. Meanwhile, $1.08 billion in short positions risk liquidation if the ATH is reclaimed. Analysts are monitoring macroeconomic factors, including the US Federal Reserve’s upcoming interest rate decision on June 18, which could influence risk-on assets like Bitcoin, and ongoing uncertainties around US President Donald Trump’s tariff policies, seen as a significant threat to bullish momentum. Despite a 5.21% price increase over the past 30 days, the absence of clear catalysts and potential policy stagnation could trap Bitcoin in a cycle of uncertainty for the near future.

Key Points

• Bitcoin Surge: Bitcoin (BTC) rose 4% to $110,150, nearing its May 22 peak of $112,000, as market concerns eased with US-China trade talks in the UK.**
• Crypto Stocks Gain: US crypto-linked stocks, including Circle Internet Group (+7%), Core Scientific (+4.27%), CleanSpark (+3%), MARA Holdings (+3%), and MicroStrategy (+4.71%), saw gains on June 10.**
• Public Firms Buy BTC: Companies like BitMine Immersion Technologies and KULR Technology Group added Bitcoin to their treasuries, though BitMine’s stock fell 8.7% despite a 5.2% after-hours rebound.**
• Robinhood Exception: Robinhood Markets dropped nearly 2% to $73.40 after missing inclusion in the S&P 500, unlike rival eToro, which surged over 10.5%.**

Summary

On June 10, Bitcoin and US crypto-linked stocks experienced notable gains, driven by a 4% rise in Bitcoin’s price to $110,150, approaching its May 22 high of $112,000, as market fears diminished amid US-China trade discussions in the UK. Major crypto firms and miners, including Circle Internet Group (up 7%), Core Scientific (up 4.27%), CleanSpark, MARA Holdings, and MicroStrategy (up 4.71%), closed higher, with many seeing additional after-hours increases. Public companies continued to invest in Bitcoin, with BitMine Immersion Technologies purchasing 100 BTC and KULR Technology Group adding $13 million worth, though BitMine’s stock fell 8.7% before a partial recovery. In contrast, Robinhood Markets declined nearly 2% to $73.40 after being excluded from the S&P 500, while competitor eToro surged over 10.5%. The trend of firms adding Bitcoin to their reserves reflects a broader strategy to leverage the cryptocurrency’s rally this year, despite mixed impacts on individual stock performances.

Key Points

• Chatter about state-run digital money, or central bank digital currencies (CBDCs), is driving some investors toward Bitcoin as a hedge against potential loss of financial privacy.
• China is aggressively testing and expanding its digital yuan, prompting some Chinese investors to buy Bitcoin to safeguard their capital, while the U.S. remains cautious with ongoing research and political resistance to a digital dollar.
• While CBDC fears may push Bitcoin prices higher, investors should temper expectations as Bitcoin faces technical limitations for everyday use and cannot fully replace fiat currencies.
• The trend of capital flight to Bitcoin due to CBDCs is emerging but not yet widespread, with potential for growth if privacy concerns intensify globally.

Summary

The article explores how fears surrounding central bank digital currencies (CBDCs) are contributing to Bitcoin's rising popularity as a financial safe haven. CBDCs, digital currencies issued and controlled by central banks, raise concerns about state oversight and loss of privacy, prompting some investors to turn to Bitcoin. China’s aggressive push for the digital yuan, including pilot programs and mandates for state enterprises, has driven underground Bitcoin purchases as a means to protect capital. In contrast, the U.S. is more reserved, with ongoing Federal Reserve research but significant political opposition to a digital dollar. While Bitcoin benefits from this capital flight—evidenced by a 72% price surge in early 2023 alongside China’s CBDC trials—its limitations as a transactional currency due to slow processing and high costs are noted. The article suggests that while CBDC fears may bolster Bitcoin’s value, it’s not a complete replacement for fiat currencies, and investors should manage expectations despite the potential tailwind from privacy concerns. With 94% of central banks exploring CBDCs, this trend could expand globally, though it remains in early stages.

Key Points

• Robinhood Markets (NASDAQ: HOOD) saw its stock value surge by nearly 35% in May 2025, driven by a strong earnings report and new cryptocurrency initiatives.
• The company reported a 50% year-over-year increase in net revenue to $927 million, with significant growth in transaction revenue from cryptocurrencies (up 100%), options (up 56%), and stocks (up 44%).
• Robinhood expanded its cryptocurrency focus by acquiring WonderFi Technologies, a Canadian company with regulated crypto platforms, for approximately $183 million.
• Plans were revealed for a blockchain-based trading system for European investors to trade U.S. securities, leveraging digital token technology.
• The company also increased its share repurchase program authorization from $500 million to $1.5 billion, signaling confidence in its financial position.

Summary

Robinhood Markets (NASDAQ: HOOD) experienced a remarkable 35% stock value increase in May 2025, fueled by a robust first-quarter earnings report and strategic moves into cryptocurrency. The earnings revealed a 50% year-over-year net revenue growth to $927 million, driven by substantial increases in transaction revenue from cryptocurrencies (100% to $252 million), options (56% to $240 million), and stocks (44% to $56 million), alongside a 114% surge in net income to $336 million. Beyond financials, Robinhood intensified its crypto focus by acquiring WonderFi Technologies, a Canadian firm with regulated crypto platforms, for about $183 million, aiming to enhance access to crypto trading. Additionally, plans emerged for a blockchain-based trading system to facilitate U.S. securities trading for European investors using digital tokens. The company also boosted its share repurchase program to $1.5 billion from $500 million, reflecting strong confidence. While these developments excite crypto enthusiasts, the article suggests caution for investors wary of the volatile asset class, balancing admiration for Robinhood’s business model with a call for tempered enthusiasm.

Key Points

• Trump Media & Technology Group (TMTG), majority-owned by Donald Trump, has filed with the SEC to launch the Truth Social Bitcoin ETF.
• The ETF aims to reflect Bitcoin's price performance, with Crypto.com serving as the exclusive custodian and liquidity provider.
• The filing includes exclusivity clauses with Crypto.com and reserves the right for the ETF sponsor to potentially front-run transactions.
• In case of a Bitcoin fork, ETF holders will have no claim to the resulting assets, as the sponsor will abandon incidental rights.
• This filing is part of a growing trend of crypto products seeking regulatory approval in the US.

Summary

Trump Media & Technology Group (TMTG), primarily owned by US President Donald Trump and operator of the Truth Social platform, has filed an S-1 registration with the US Securities and Exchange Commission (SEC) to introduce the Truth Social Bitcoin ETF. Announced on June 5, the ETF aims to track Bitcoin's price performance, with its assets mainly consisting of Bitcoin held by a custodian. Crypto.com will exclusively serve as the custodian, prime execution agent, and liquidity provider for the fund. The filing, supported by a proposal from NYSE Arca and crypto asset manager Yorkville America Digital, also contains clauses allowing the ETF sponsor to potentially front-run transactions and notes that holders will have no rights to assets resulting from a Bitcoin fork. While fees for the product remain undisclosed, the filing acknowledges potential conflicts of interest without specifying strong mitigation measures, unlike many other Bitcoin ETF proposals. This move aligns with a broader trend of increasing crypto-related financial products seeking regulatory approval in the United States, amidst ongoing discussions about Trump's crypto ties and potential conflicts of interest in digital asset legislation.

Key Points

• Switzerland's Federal Council has adopted a bill to enable the automatic exchange of crypto tax information (AEOI) with 74 partner countries, including the UK and all EU member states, starting in 2026.
• The first exchange of crypto data is expected in 2027, pending parliamentary approval, and excludes the US, Saudi Arabia, and China.
• The initiative aligns with the OECD’s Crypto-Asset Reporting Framework (CARF) and aims to ensure tax transparency and strengthen Switzerland’s financial sector reputation.
• Data exchange will only occur with partner states that meet CARF requirements and express mutual interest in sharing information.
• A review mechanism will be implemented to ensure partner states continue to comply with AEOI standards for crypto assets.

Summary

Switzerland is set to implement the automatic exchange of crypto tax information (AEOI) with 74 countries, including the UK and EU member states, as announced by the Federal Council on June 6. The bill, currently under parliamentary review, targets enforcement by late 2026, with the first data exchange slated for 2027. Excluded from this framework are the US, Saudi Arabia, and China, while most G20 nations are included. The initiative follows the OECD’s Crypto-Asset Reporting Framework (CARF) and aligns with the EU’s DAC 8 directive. The Federal Council emphasized that exchanges will only occur with interested partner states meeting CARF standards, supported by a review mechanism to ensure compliance. This move aims to bolster Switzerland’s commitment to international tax transparency, enhance its financial sector’s reputation, and create a level playing field for local crypto firms. The council highlighted the importance of receiving tax-relevant crypto data from partners, reinforcing Switzerland’s integration into the global tax transparency network.

Key Points

• Bitcoin Battle: Bitcoin is in a tight struggle between bulls and bears at the $105,000 level, with a potential drop to $100,000 if support fails, though long-term outlook remains positive.**
• Altcoin Strength: Several altcoins like Ether, XRP, BNB, and Solana show potential for breakouts above key resistance levels, indicating possible upward momentum.**
• Institutional Impact: Sygnum Bank notes a 30% drop in Bitcoin’s liquid supply due to institutional adoption, which could lead to demand shocks and price volatility.**
• Analyst Caution: Analyst Willy Woo suggests caution for short-term Bitcoin investments at six figures, but sees it as a strong long-term investment over the next decade.**

Summary

In the June 4, 2025, price analysis by Rakesh Upadhyay on Cointelegraph, Bitcoin faces a critical battle at $105,000, with bears threatening a drop to the psychological $100,000 support level if momentum falters. Despite short-term concerns, analysts like Willy Woo highlight Bitcoin’s long-term potential as a top investment over the next decade. Sygnum Bank adds that institutional adoption and reduced liquid supply (down 30%) could trigger demand shocks and price volatility. Meanwhile, focus shifts to altcoins such as Ether, XRP, BNB, Solana, and others, which display promising breakout setups above key resistance levels. Ether aims for $3,000, XRP targets $2.65, and BNB eyes $732 if bullish momentum holds. However, failure to breach resistances could lead to pullbacks or range-bound trading for these assets. The analysis underscores a mixed market sentiment, with Bitcoin’s immediate future uncertain but altcoins offering potential upside, contingent on overcoming technical barriers. Detailed chart analyses for each cryptocurrency provide insights into critical support and resistance levels to watch in the coming days.

Key Points

• Bitcoin's liquid supply has decreased by 30% over the past 18 months, driven by institutional adoption and acquisition vehicles like ETFs, potentially setting the stage for price surges.
• Exchange balances of Bitcoin have dropped by about 1 million BTC since late 2023, as funds and corporate buyers withdraw coins, signaling bullish market conditions.
• Geopolitical and fiscal uncertainties, including a weakening US dollar and rising national debt, are pushing investors toward Bitcoin as a safe-haven asset.
• Three US states have approved Bitcoin reserves, with international interest growing in countries like Pakistan and the UK, which could further drive demand and price increases.
• Bitcoin's volatility profile is improving, with upside volatility outpacing downside volatility over the past three years, indicating market maturation and institutional involvement.

Summary

According to Sygnum Bank’s June 2025 Monthly Investment Outlook, Bitcoin’s circulating supply has tightened significantly, dropping 30% in 18 months due to institutional adoption and the rise of acquisition vehicles like ETFs. This reduction, coupled with a 1 million BTC decrease in exchange balances since late 2023, is creating conditions for potential demand shocks and price surges. Geopolitical and fiscal uncertainties, such as the weakening US dollar and escalating national debt, are driving investors to view Bitcoin as a safe-haven asset alongside gold. Additionally, three US states have approved Bitcoin reserves, and international interest from countries like Pakistan and the UK could further catalyze price increases. Sygnum also notes Bitcoin’s improving volatility profile, with upside volatility surpassing downside over the past three years, reflecting market maturation and growing institutional involvement. Meanwhile, Ether is seeing renewed momentum post-Pectra upgrade. These factors collectively suggest a bullish outlook for Bitcoin in 2025.

Key Points

• WazirX Relocation: India-focused crypto exchange WazirX is moving its operations from Singapore to Panama after a Singapore court declined to approve its restructuring plan.**
• Parent Company Rebranding: WazirX’s parent company, Zettai, will rebrand as Zensui Corporation, incorporated in Panama, with operations transfer expected within two to three business days.**
• Regulatory Challenges: Singapore’s central bank set a June 30 deadline for local crypto providers to stop serving overseas markets, influencing WazirX’s decision to relocate.**
• Recovery Tokens: Zensui will issue recovery tokens tied to WazirX’s post-hack compensation scheme, aiming to repay creditors affected by a $235 million hack linked to North Korean hackers.**
• No Licensing Plans: WazirX does not intend to apply for a license in Singapore or register with India’s Financial Intelligence Unit, despite serving Indian customers.**

Summary

WazirX, an India-focused cryptocurrency exchange previously based in Singapore, is relocating its operations to Panama and rebranding its parent company, Zettai, as Zensui Corporation. This move follows a Singapore court’s rejection of WazirX’s restructuring plan and a regulatory deadline from Singapore’s central bank to cease offering digital token services to overseas markets by June 30. The transfer of operations to Zensui, incorporated in Panama on March 10, is set to be completed within days. Zensui will also manage the issuance of recovery tokens as part of WazirX’s compensation plan for creditors impacted by a $235 million hack linked to North Korean state-sponsored hackers. These tokens aim to cover remaining claims, with potential recovery of 75-80% of users’ account balances. Despite serving Indian customers, WazirX has no plans to seek licensing in Singapore or register with India’s Financial Intelligence Unit. Legal expert Jalaj Jain noted potential internal legal repercussions in India, though definitive conclusions await clearer regulatory guidance. This relocation marks a fresh start for WazirX as it navigates regulatory and post-hack challenges.

Key Points

• Bitcoin's price dropped nearly 3% over the past 24 hours, testing the $100,000 level, with a current holding at $102,180.
• Approximately $308 million in Bitcoin long positions were liquidated, amid a broader crypto market liquidation of $982.55 million.
• The price decline coincides with a public feud between Donald Trump and Elon Musk, with Musk criticizing Trump's tariff plans as recessionary.
• Long-term Bitcoin holders are selling off holdings after recent all-time highs, increasing the likelihood of a short-term correction.
• Other major cryptocurrencies like Ether, XRP, and Solana also saw significant declines, ranging from 4.35% to 7.25%.

Summary

Bitcoin experienced a nearly 3% price drop over the past 24 hours, dipping to $100,500 before stabilizing at $102,180, amid broader market turmoil. This decline led to the liquidation of $308 million in long positions, part of a larger $982.55 million crypto market liquidation. The downturn aligns with escalating tensions between US President Donald Trump and Elon Musk, with Musk warning that Trump’s proposed global tariffs could trigger a recession. Trump retaliated by threatening to cut Musk’s government contracts, prompting a brief, retracted statement from Musk about decommissioning SpaceX’s Dragon spacecraft. Meanwhile, long-term Bitcoin holders are selling off after the cryptocurrency hit a peak of $111,970 in May, adding sell pressure and raising the risk of a short-term correction, as noted by Glassnode. Other major cryptocurrencies, including Ether (down 7.25%), XRP (down 4.35%), and Solana (down 5.20%), also faced sharp declines. Crypto analysts suggest that US policy delays on monetary easing due to Trump’s tariffs could further slow growth, exacerbating market uncertainty.

Key Points

• US Department of Justice files civil forfeiture complaint to seize $7.74 million in crypto and NFTs allegedly earned by North Korean IT workers using fake identities.
• Funds, frozen in April 2023, are linked to money laundering efforts involving Sim Hyon Sop, a China-based banker, and are held in self-custody wallets and Binance accounts.
• North Korean IT workers allegedly used laundering techniques like chain hopping and token swaps to obscure the origins of funds, often paid in stablecoins like USDC and USDT.
• The DOJ aims to protect the cryptocurrency ecosystem and prevent North Korea from funding illicit activities through such schemes, as stated by Matthew Galeotti.

Summary

The US Department of Justice (DOJ) has initiated a civil forfeiture action to seize $7.74 million in cryptocurrency and NFTs allegedly obtained by North Korean IT workers using fraudulent identities to work remotely for blockchain firms. The funds, frozen in April 2023, are tied to a money laundering scheme involving Sim Hyon Sop, a China-based banker, and are stored in various self-custody wallets and Binance accounts. The DOJ's complaint, filed on June 5 in a Washington, DC federal court, details how these workers, operating across multiple countries, used fake documents and laundering methods like chain hopping and token swaps to hide the origins of their earnings, often received in stablecoins such as USDC and USDT. The funds were reportedly intended to be funneled back to the North Korean government. Matthew Galeotti of the DOJ emphasized the department's commitment to safeguarding the crypto ecosystem and blocking North Korea's illicit financial gains. This case reflects a broader trend of North Korea intensifying efforts to infiltrate the crypto industry, with reports indicating a shift in focus to blockchain firms in Europe amid heightened US scrutiny.

Key Points

• Chaos Surrounding Launch: The announcement of a Trump-branded crypto wallet by Magic Eden and the Official Trump (TRUMP) memecoin team has been described as "absolute chaos" due to conflicting statements from Trump family members.**
• Family Disavowal: Donald Trump Jr., Eric Trump, and Barron Trump have publicly stated that the Trump Organization and family have no involvement with the wallet, with warnings against unauthorized use of the Trump name.**
• Contradictory Affiliations: Despite family disavowals, the wallet is linked to Fight Fight Fight LLC, co-owned by CIC Digital LLC, which is affiliated with the Trump Organization and holds a majority of TRUMP token supply.**
• Lack of Official Response: The TRUMP token team, Magic Eden, and its CEO Jack Lu have not issued public statements regarding the controversy surrounding the wallet launch.**

Summary

The launch of a Donald Trump-branded crypto wallet by Magic Eden and the team behind the Official Trump (TRUMP) memecoin has descended into confusion, labeled as "absolute chaos" by crypto skeptic Molly White. Announced on June 3, the wallet was promoted as the "Official $TRUMP Wallet," but Trump family members, including Donald Trump Jr., Eric Trump, and Barron Trump, have publicly disavowed any involvement, stating the Trump Organization has no connection to the project. Despite this, the wallet is tied to Fight Fight Fight LLC, co-owned by CIC Digital LLC, a Trump Organization affiliate holding significant TRUMP tokens. The situation highlights communication breakdowns among Trump-linked crypto ventures, with no official response from Magic Eden or the TRUMP token team. This incident adds to ongoing confusion surrounding Trump’s crypto endeavors, including past contradictions over Bitcoin investments by Trump Media and Technology Group.

Key Points

• K Wave Media, a South Korean entertainment company, has secured a $500 million securities deal to fund a Bitcoin-centric crypto treasury strategy.
• The company aims to emulate Metaplanet of Japan, aspiring to be the “Metaplanet of Korea,” following a successful Bitcoin-focused approach.
• Proceeds will primarily support the purchase, long-term holding, and yield optimization of Bitcoin, alongside potential investments in other cryptocurrencies.
• Additional funds will be allocated for mergers, acquisitions, and expansion in content and K-POP-related businesses.
• K Wave Media plans to operate Bitcoin Lightning Network nodes and invest in infrastructure for onchain transaction rewards and decentralization.

Summary

South Korean entertainment company K Wave Media has announced a $500 million securities purchase agreement with Bitcoin Strategic Reserve KWM to fund a Bitcoin-centric crypto treasury strategy. The deal, revealed on June 4, aims to position K Wave as the “Metaplanet of Korea,” inspired by the success of Metaplanet and MicroStrategy in adopting Bitcoin as a corporate reserve asset. The funds will primarily be used for purchasing and holding Bitcoin long-term, with potential investments in other cryptocurrencies, alongside yield optimization strategies. Additionally, the company plans to allocate resources for mergers, acquisitions, and growth in its content and K-POP businesses. K Wave also intends to enhance decentralization by operating Bitcoin Lightning Network nodes and investing in related infrastructure. Following the announcement, K Wave Media’s stock surged 162% on Nasdaq, trading at $5.04. This move aligns with a growing trend of public companies in Asia and beyond embracing Bitcoin as a reserve asset, a practice popularized by MicroStrategy since 2020.

Key Points

• Cango mined 954.5 Bitcoin (BTC), valued at over $100 million, in April and May 2025 after fully pivoting to Bitcoin mining.
• The company sold its legacy China operations to a Bitmain-associated entity in early April to focus exclusively on mining.
• Cango operated at an average hashrate of nearly 30 exahashes per second during April and May, enhancing its mining efficiency.
• In the first quarter of 2025, Cango mined 1,541 BTC, worth approximately $162 million at the time of reporting.
• Cango's co-founders signed a $70 million deal to sell 10 million high-vote shares to Enduring Wealth Capital, pending shareholder approval.

Summary

Cango, a Bitcoin mining company, reported mining 954.5 BTC, valued at over $100 million, in April and May 2025, following a complete shift to crypto mining after selling its legacy China operations to a Bitmain-associated entity. This pivot allowed Cango to focus solely on Bitcoin mining, achieving an average hashrate of nearly 30 exahashes per second during the two months. Earlier in 2025, the company mined 1,541 BTC in the first quarter, worth around $162 million. Additionally, Cango's co-founders, Xiaojun Zhang and Jiayuan Lin, agreed to sell 10 million high-vote Class B shares to Enduring Wealth Capital for $70 million, a deal awaiting shareholder approval. This transaction will grant Enduring Wealth voting control while maintaining limited economic equity. Cango's rapid expansion and strategic moves highlight its commitment to becoming a significant player in the Bitcoin mining industry amidst a competitive and computationally intensive landscape.

Key Points

• Bitcoin Price Potential: Improved regulatory clarity in the US could drive Bitcoin prices past $150,000 in the current market cycle, according to Alice Li of Foresight Ventures.**
• Policy Changes as Catalysts: US policy shifts, including President Trump’s Bitcoin reserve approval and stablecoin regulations, are seen as major drivers for Bitcoin’s price increase in 2025.**
• Stablecoin Regulation: The GENIUS Act in the US aims to establish clear rules for stablecoin collateralization and compliance, potentially influencing global regulatory frameworks.**
• Global Impact: Similar stablecoin legislation is emerging in regions like Hong Kong, which could accelerate worldwide adoption and regulatory alignment.**
• Federal Reserve Influence: An anticipated interest rate cut by the US Federal Reserve could further boost Bitcoin’s price momentum.**

Summary

Alice Li, investment partner at Foresight Ventures, predicts that Bitcoin could surpass $150,000 in the current market cycle due to improving regulatory clarity in the United States. Speaking on Cointelegraph’s Chain Reaction X Spaces on June 3, Li highlighted US policy changes, such as President Donald Trump’s Bitcoin reserve approval and advancements in stablecoin regulations, as key catalysts for the 2025 crypto rally. She emphasized the potential of the GENIUS Act, which seeks to define stablecoin collateralization rules and enforce compliance with Anti-Money Laundering laws, as a pioneering step that could inspire similar legislation globally, including in Hong Kong, where a comparable bill is under consideration. Li also noted that an interest rate cut by the US Federal Reserve could further propel Bitcoin’s price. Despite a recent dip in crypto venture capital deals, with only 62 investment rounds in May raising $909 million, Li remains optimistic about Bitcoin and the broader crypto market’s future, driven by these regulatory and economic developments.

Key Points

• Hong Kong's Securities and Futures Commission is set to permit professional investors to trade crypto derivatives, expanding the region's virtual asset market.
• The crypto derivatives market is significantly larger than spot trading, with $21 trillion in volume in Q1 compared to $4.6 trillion in spot volume, according to TokenInsight.
• Industry stakeholders have been advocating for Hong Kong to license crypto derivatives trading, viewing it as a critical legislative gap.
• Jean-David Péquignot of Deribit highlighted the absence of crypto derivatives regulations as a key missing piece in Hong Kong's financial framework.
• Hong Kong's legislative council recently passed a bill to license stablecoins, further advancing the city's crypto regulatory landscape.

Summary

Hong Kong's Securities and Futures Commission is preparing to allow professional investors to engage in crypto derivatives trading, a move that significantly broadens the territory's virtual asset market, as reported by China Daily. The crypto derivatives market dwarfs spot trading, with TokenInsight data revealing a staggering $21 trillion in volume for the first quarter, compared to just $4.6 trillion in spot trading. Industry leaders have long urged Hong Kong to regulate and license crypto derivatives, with Jean-David Péquignot, chief commercial officer of Deribit, noting earlier this year to the South China Morning Post that such regulations are a critical missing component of Hong Kong's financial legislation. This development comes on the heels of Hong Kong's legislative council passing a bill to license stablecoins, signaling a broader push to establish the city as a hub for virtual asset innovation. This expansion of regulatory frameworks could position Hong Kong as a leading player in the global crypto market, catering to professional investors and addressing long-standing demands from industry stakeholders.