The crypto market was quiet last week regarding price fluctuations, with tokens trading sideways. However, the global market capitalization surged above the $3 trillion mark for the first time since mid-March, indicating a recovery stance for the broad market.
Additionally, several developments, such as South Korea’s ruling party pledging to offer Bitcoin spot ETFs to secure the upcoming June elections, the UK introducing clear crypto regulations, and the EU banning anonymous Crypto by 2027, among others. The section below will dive into the crypto weekly market wrap in deeper detail.
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South Korea’s Ruling Party Pushes Crypto Reform Ahead of June Elections
South Korea’s ruling People Power Party suggested several changes in crypto regulation. The aim of these reforms is to capture the support ahead of the June 3 presidential election. Seven crypto-related initiatives were unveiled during a National Assembly meeting of the party. This includes allowing spot crypto ETF trading and relaxing banking requirements. The proposal does away with the ‘one exchange, one bank’ policy, which curbs competition.
The party also wants to craft a legal framework for both tokenized securities and stablecoins. Also, they want to develop a “Digital Asset Promotion Basic Act” as a basis to unify crypto policy. These would be led by a dedicated crypto policy committee, in the event of the party winning. The core priorities of the party are innovation and the protection of the user.
UK Announces Comprehensive Crypto Regulation Framework
The United Kingdom released draft legislation to regulate cryptoassets across the whole country. This move brings the UK in line with other countries that are introducing clear crypto guidelines. They provide rules on what is considered a crypto token and what standards of transparency should be met. Crypto firms and exchanges need to meet very high levels of consumer protection.
The UK government has released draft crypto rules proposing new regulated activities like operating trading exchanges and issuing stablecoinshttps://t.co/4A06UwX1Uw pic.twitter.com/WtC91OqCSw
— ICO Drops (@ICODrops) April 29, 2025
The regulations promote the development of digital finance and fight fraud. Over 12% of UK adults now own or have owned crypto, demonstrating the need for clearer protections. The Chancellor said they would work with the US on responsible digital asset growth. Creating a transatlantic sandbox for digital securities was also discussed among officials.
The UK will also release a Financial Services Growth Strategy on July 15. Fintech is a key focus of national long-term economic development within this plan.
EU to Ban Anonymous Crypto by 2027
The European Union confirmed that it will outlaw anonymous crypto transactions by 2027. This forms part of the Anti Money Laundering Regulation (AMLR) package. The privacy coins, Monero and Zcash, will no longer be supported by crypto providers. Banning anonymous bank accounts and crypto wallets will also be adopted.
These restrictions on banks and crypto service providers are enforced by Article 79 of the AMLR. Now they must undertake further customer ID checks on all transfers above €1,000. The crypto compliance will be supervised by a new Anti-Money Laundering Authority (AMLA). AMLA will embark on operations in July 2027, regulating major crypto firms.
The first firms under AMLA supervision must have over 20,000 users or €50 million in volume. The EU seeks to close all avenues of conducting illegal financial activity.
SEC Closes Investigation Into PayPal’s PYUSD Stablecoin
The SEC dropped its investigation into PayPal’s stablecoin PYUSD. The decision represents a softening of an approach to regulating digital assets. In November 2023, PayPal received a subpoena about the stablecoin. However, the regulators have ended the probe without taking enforcement action.
U.S. SEC closes PayPal's PYUSD probe without action
The @SECGov has ended its investigation into PYUSD, @PayPal's U.S. dollar-pegged stablecoin, without taking enforcement action, according to @cryptonews. In an April 29 filing, PayPal disclosed that the SEC’s Division of…
— CoinNess Global (@CoinnessGL) April 30, 2025
Crypto enforcement actions have been going down in recent months. The move was confirmed by PayPal during its Q1 earnings call. CEO Alex Chriss reiterates plans to expand PYUSD’s role in the crypto market.
Telegram Launches $500M Tokenized Bond Fund on TON
A tokenization company named Libre revealed a $500 million crypto bond tokenization plan on the TON blockchain. The fund grants access to Telegram’s $2.4 billion in corporate bonds to investors. The Telegram Bond Fund (TBF) is a fund that tokenizes and distributes debt securities on TON. The tokenized units can act as collateral or be integrated into DeFi applications.
Avtar Sehra, CEO of Libre, described the structure as a hybrid between traditional and blockchain finance. Returns are earned from real-world bond holdings. In a year, the tokenized RWA market surged from $10 billion to $18.9 billion. LIBRE and TON therefore aim to bring more corporate bonds to this expanding ecosystem.
In the future, $200 million worth of tokenized assets from other blockchains are scheduled to be migrated to TON. These include funds from BlackRock and Brevan Howard. Soon, TON–native wallets will be able to invest in stablecoins and fiat using Libre’s ‘Gateway’ infrastructure.
Circle Receives Regulatory Approval in Abu Dhabi
The issuer of USDC, Circle, secured in-principle approval from Abu Dhabi’s FSRA. As a result, the firm is positioned to operate across the Middle East. The license grants Circle the ability to act as a money services provider in Abu Dhabi’s Global Market. Circle was incorporated in the region in December 2024.
Circle’s CEO, Jeremy Allaire, reiterated the firm’s intention to become a core presence in blockchain-friendly countries. Moreover, Circle teamed up with Hub71, Abu Dhabi’s fintech hub. With this move, Circle delivers on a key piece of its strategy of promoting USDC in regions adopting digital assets. The partnership involves regulatory sandboxes and access to capital networks.
Ripple’s $5 Billion Offer to Acquire Circle Rejected
Ripple reportedly offered between $4 billion and $5 billion to acquire Circle. But Circle turned down the offer, dismissing it as too low. The sources close to the deal said that Circle wants to focus on its imminent IPO. Ripple is still keen on Circle’s operations despite the rejection.
Ripple trying to buy Circle for $5B wasn’t just a deal… it was a missile. This isn’t about moving money anymore. It’s about becoming the money.
USDC isn’t just a stablecoin. It’s the institutional darling, the regulator’s choice, the one that plays nice with TradFi. Ripple… pic.twitter.com/XjtL9yoRSP
— John Squire (@TheCryptoSquire) April 30, 2025
Ripple’s RLUSD stablecoin is approaching a market cap of $300 million. Meanwhile, Circle’s USDC commands over $60 billion. Ripple recently acquired prime broker Hidden Road for $1.25 billion. The company wants to aggressively grow following the positive US crypto policy. The bid for the Circle reflects Ripple’s broader interest in payment integration and stablecoin dominance.
Tether Refuses EU MiCA Registration, Cites Risk
CEO of Tether Paolo Ardoino confirmed the company would not seek MiCA compliance. He noted that the EU framework poses risks to stablecoin operations. MiCA’s requirement to hold 60% of reserves in insured EU banks was criticized by Ardoino. Such mandates threaten small banks in Europe, he warned.
He also warned about EU regulators wanting to promote the digital euro. Tether fears forced delisting of USDT on European exchanges. Tether will continue its operations outside the scope of MiCA, with the aim of providing global user protection. The firm sees MiCA as incompatible with market flexibility.
Singapore Gulf Bank Launches Real-Time Crypto Banking Platform
Singapore Gulf Bank (SGB) introduced SGB Net, a real-time multi-currency settlement platform. The network operates 24/7 without SWIFT. Stablecoin issuers, exchanges, market makers, OTC desks, and prime brokers are all supported by SGB Net. Instant, fee-free transfers, and increased capital efficiency are enabled by the system.
SGB Net also provides API integrations for treasury and payroll automation. It provides instant liquidity and institutional spreads on global financial actors. It gives clients the ability to manage FX costs and access off-exchange settlement features. Triparty asset deployment and named sub-accounts are some of their future services. The introduction addresses the pain points of traditional banking by removing time and geographical limits.
Vitalik Buterin Proposes Simpler Ethereum Architecture
Ethereum co-founder Vitalik Buterin shared a plan to simplify Ethereum’s base layer. Its purpose is to decrease complications and increase efficiency. Buterin seeks to minimize the protocol nodes across the consensus and execution layer. He called to adopt leaner fork choice rules, standard architectures.
“3 slot finality” is one of the key proposals that removes epochs and validator shuffling, which would lower the workload for network validators. He also suggested a transition to a RISC-V virtual machine, which would provide faster performance and compatibility with zero-knowledge proofs. The shift would maintain legacy contract support while simplifying future development.
Moreover, he recommended using single serialization formats and unified tree structures to reduce redundancy and simplify Ethereum’s ecosystem. He pointed out that simplicity raises the level of decentralization, security, and resilience.
Morgan Stanley Prepares to Launch Crypto Trading on E*Trade
Morgan Stanley is developing a plan to offer crypto trading on E*Trade. The service is aimed at retail investors. Morgan Stanley already offers crypto exposure to high-net-worth clients through ETFs, options, and futures. The new plan makes it accessible to regular investors.
JUST IN: 🇺🇸 $1.5 trillion Morgan Stanley to offer #Bitcoin and crypto trading to E-Trade clients. pic.twitter.com/8wWuJgovrs
— Bitcoin Magazine (@BitcoinMagazine) May 1, 2025
Crypto native firms are being explored by the executives to build the trading infrastructure. The launch may happen in 2026. SoFi and Charles Schwab are also getting ready to add crypto trading. In turn, this shows mounting competition among banks and crypto exchanges such as Coinbase.
Coinbase Introduces Bitcoin Yield Fund for Institutions
The Coinbase Bitcoin Yield Fund (CBYF) was launched by Coinbase Asset Management. The targeted net returns for the fund are 4–8% in BTC. It allows investors to subscribe and redeem in Bitcoin, not fiat. The strategy avoids high-risk loans and uses third-party custodians.
The fund was seeded by Aspen Digital and its other early backers. The capacity is expected to be about $1 billion and it will open monthly. The CBYF does not use complex derivatives or call options. The strategy aims to provide a secure yield with lower operational risk. Global investors can invest in the fund, gaining an opportunity to earn a direct BTC yield.
Arthur Hayes Doubts US Will Add Bitcoin to Reserves
Arthur Hayes opined that Bitcoin is not likely to be included in the US reserves due to high national debt and political optics. According to Hayes, speculation and parties still remain linked to Bitcoin. This image deters public policymakers.
Currently, the US has nearly 200,000 BTC obtained from seizures. Makes Hayes believe this stash will stay untouched. The current fiscal strategy cannot support printing money to buy BTC, he added. Nevertheless, he anticipates that other countries could begin hoarding Bitcoin in the future. According to Hayes, it is possible that Bitcoin dominance could reach 70% before altcoin season arrives.
Digital Asset Investment Products Market Overview
Digital asset products attracted US$2 billion last week, marking the third straight week of inflows. The momentum has lifted total inflows over three weeks to US$5.5 billion. These inflows followed nine weeks of heavy outflows, signaling a notable shift in sentiment. Year-to-date (YTD) flows now sit at US$5.6 billion, supported by rising asset prices.
Bitcoin led the surge, pulling in US$1.8 billion during the week. Bearish sentiment also increased, with short-bitcoin products receiving US$6.4 million, the highest since mid-December. Ethereum followed with US$149 million, bringing its two-week total to US$336 million. Solana saw lighter inflows of US$6 million, maintaining its positive streak.
📈 Investor sentiment remains strong with US$2bn inflows@Bitcoin was the main beneficiary with inflows of US$1.8bn, followed by @ethereum with inflows of US$149m. Other notable inflows: @Ripple’s $XRP $10.5M, @tezos $8.2M, and @solana $6M.
🇺🇸 + US$1.9bn
🇩🇪 + US$47m
🇨🇭 +… pic.twitter.com/qzwT7zHSBF— CoinShares (@CoinSharesCo) May 5, 2025
Regionally, the United States led with US$1.9 billion in inflows. Germany, Switzerland, and Canada contributed US$47 million, US$34 million, and US$20 million, respectively. This geographic spread reflected strengthening institutional interest across several major markets.
Other assets, including XRP and Tezos, registered inflows of US$10.5 million and US$8.2 million. Blockchain equities also gained traction, adding US$15.9 million. Altogether, total assets under management (AuM) surged to US$156 billion, reaching their highest point since mid-February due to both price appreciation and new allocations.
Bitcoin Price Performance
The largest cryptocurrency, Bitcoin, closed the week above the $96K mark after experiencing mild volatility. Throughout the week, Bitcoin’s price traded between $93K and $98K. After failing to breach the resistance at the $98K region, Bitcoin price formed a downtrend pattern with support at the $93K region.
As of this writing, BTC was trading at $93,764 with a decline of 1.70% over the past 24 hours. In addition, its market capitalization has declined to $1.86 trillion while the trading volume surged by 50% to $24.65 billion.
Technical indicators on the weekly chart indicate signs of exhaustion as the indicators start to signal a trend reversal. The Relative Strength Index (RSI) has started trending south, indicating a sell-off as the bullish momentum fades. Should the current trend hold, BTC could drop toward the $88K key support level.
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