Crypto Weekly Market Wrap 2nd June: Business Insights and Market Implications

SEC Drops Binance Lawsuit, Signals Shift in U.S. Crypto Policy

• Binance CEO Changpeng Zhao admitted to money laundering and received a short prison term and fine.
• Despite the admissions, Zhao retains majority shares in Binance.
• The SEC’s decision to drop the case reflects a shift in U.S. crypto policy, potentially encouraging industry growth and innovation.

Circle Launches IPO, Aims to List on NYSE

• JPMorgan, Citigroup, and Goldman Sachs are leading Circle’s IPO.
• Circle previously attempted a SPAC listing in 2021 but withdrew.
• As the second-largest issuer of dollar-pegged stablecoins, Circle’s IPO could strengthen stablecoin adoption in the U.S.
• Listing on NYSE may position Circle as a key player in shaping stablecoin regulations and expanding into traditional finance.

El Salvador Boosts Bitcoin Holdings Despite IMF Pressure

• El Salvador continues buying Bitcoin despite IMF warnings, using a separate office to bypass rules.
• President Bukele remains committed to Bitcoin adoption, even as it is no longer a mandatory currency.
• This highlights strategic balancing between crypto adoption and external financial pressures.

WisdomTree’s XRP Spot ETF Moves to SEC Review

• If approved, the ETF would allow investors to gain exposure to XRP without holding tokens.
• The SEC will focus on market integrity and investor protection during review.
• This could be a key milestone for crypto ETFs in the U.S., signaling regulatory progress.

Coinbase Institutions Launch 24/7 Solana and XRP Futures Trading

• Coinbase Institutional opened futures trading for Solana (SOL) and XRP starting June 13, 2025.
• This move expands options for institutional investors in crypto derivatives, potentially increasing market liquidity.

Pakistan Establishes Bitcoin Reserve and Energy Allocation

• 2,000 megawatts of surplus electricity allocated for Bitcoin mining and AI centers.
• The initiative aims to advance digital transformation and attract foreign investment in crypto mining.
• This could have long-term implications for Pakistan’s energy policies and tech sector growth.

Trump Media Secures $2.44B for Crypto Holdings

• Trump Media and Technology Group raised $2.44 billion to invest in digital currencies.
• The funding includes new shares and convertible bonds, similar to Strategy’s $62 billion Bitcoin purchase.
• This highlights institutional confidence in Bitcoin, which reached a record high of $112,000.

Block Rolls Out Bitcoin Payment Program for Merchants

• Block (formerly Square) launched a program allowing merchants to convert Bitcoin to fiat or hold it.
• CEO Jack Dorsey emphasizes Bitcoin’s role as a daily-use currency beyond being a store of value.
• This could drive mainstream adoption and increase Bitcoin’s utility in commerce.

Cantor Fitzgerald Launches $2B Bitcoin Lending Business

• Cantor Fitzgerald invested $2 billion in Bitcoin lending via Maple Finance and FalconX.
• This supports integration of Bitcoin into traditional finance, enhancing liquidity and institutional participation.

Strategy Acquires 4,020 BTC for $427M, Total Holdings Reach 580,250 BTC

• Strategy added 4,020 Bitcoin for $427 million, bringing total holdings to 580,250 BTC.
• This reflects strategic accumulation and confidence in Bitcoin’s long-term value.

Hong Kong Enacts Stablecoin Ordinance

• Retail investors can now buy stablecoins, though no licenses have been issued yet.
• The cautious regulatory approach highlights risks and scams in the stablecoin market.

Thailand Blocks Unlicensed Crypto Exchanges and Considers Crypto Payments for Tourists

• Thailand is targeting unlicensed exchanges, with strict enforcement under the Royal Decree.
• Pilot projects for crypto payments in tourism could shape future regulatory frameworks.

Vietnamese Authorities Bust $390M Virtual Currency Scam

• Vietnam successfully dismantled a $390 million crypto scam, underscoring regulatory enforcement challenges.

Kazakhstan Plans “CryptoCity” Pilot Zone

• Kazakhstan is developing a crypto regulatory sandbox in Alatau.
• The pilot includes a central bank digital currency (CBDC) test launch in 2024, aiming to reduce tax refund delays.

India’s Crypto Industry Lobbies for Tax Cuts

• Indian crypto businesses are engaging with policymakers to seek tax incentives.
• The market is projected to grow from $2.5 billion in 2023 to over $15 billion by 2035.

Russia’s Central Bank Plans to Allow Crypto Derivatives Trading

• Russia will introduce rules for crypto derivatives, focusing on risk management and capital requirements.
• A testing program for selected investors is under consideration.

Digital Asset Investment Products Market Overview

• Ethereum inflows: $321 million last week, with a six-week high of $1.19 billion.
• Bitcoin inflows: Started the week strong but shifted to outflows after a court ruling, with $8 million withdrawn.
• Regional trends: U.S. led with $199 million inflows, followed by Germany ($42.9M) and Australia ($21.5M).
• Hong Kong saw its strongest week for ETF inflows at $54.8 million.

Bitcoin Price Performance

• Price drop: From $110k to $103k, with market cap at $2.04 trillion.
• Volatility: Weekly decline of 5%, but monthly gains remain at 8%.
• Technical indicators: RSI and MACD suggest a bullish outlook on the weekly chart.

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Key Takeaways:

• Regulatory Shifts: The U.S. and other regions are adjusting crypto policies to balance innovation and oversight.
• Institutional Adoption: Major players like Circle, Coinbase, and Trump Media are expanding crypto involvement.
• Market Dynamics: Bitcoin’s volatility persists, while Ethereum continues to attract significant investment.
• Global Trends: Countries like El Salvador, Pakistan, and India are actively integrating crypto into their economies.
• Risk Management: Regulatory enforcement in regions like Thailand and Vietnam highlights the need for investor caution.