The U.S. Commodity Futures Trading Commission (CFTC) announced in a statement that it will expand its cryptocurrency oversight by adopting Nasdaq's surveillance system to protect markets from fraud, abuse, and manipulation. If Congress passes legislation currently pending in both chambers, the CFTC's role in cryptocurrency regulation could expand significantly. CFTC Acting Chairwoman Caroline Pham stated that the new surveillance system will provide the agency with automated alerts and "cross-market analytics," including access to comprehensive order book data, to support real-time analysis and decision-making, preventing and detecting abuse in traditional and crypto markets. The CFTC is also preparing for the growth of the cryptocurrency market. Earlier this month, the CFTC launched its "Crypto Sprint" initiative, focusing on crypto futures trading and the recommendations of the President's Task Force on Digital Asset Markets.
▌Aave Labs launches stablecoin lending platform Horizon
According to an article published by The Block, Aave Labs has launched a stablecoin lending platform Horizon. The Horizon platform supports stablecoin loans collateralized by tokenized U.S. Treasury bonds and institutional funds. Circle, VanEck, Chainlink and WisdomTree are all Aave Labs’ first partners in promoting institutional-grade decentralized finance (DeFi) business.
Market
As of press time, according to CoinGecko data:
BTC price is $111,248, up or down -0.5% in the past 24 hours;
ETH price is $4,505.58, up or down -2.0% in the past 24 hours;
BNB price is $856.75, up or down -0.9% in the past 24 hours;
+3.8%. The price of DOGE is $0.2197, with a 24-hour increase or decrease of +0.5%. The price of XRP is $2.97, with a 24-hour increase or decrease of -1.5%. The price of TRX is $0.3459, with a 24-hour increase or decrease of -1.8%. Japan's 2026 Tax Reform Proposal: Lowering Cryptocurrency Tax Rates and Expanding NISA Account Eligibility. Japan's Financial Services Agency (FSA) has proposed a series of tax reforms for 2026 aimed at comprehensively overhauling the current cryptocurrency tax framework. The core reforms include two key elements: first, replacing the current combined tax system (where cryptocurrency gains are taxed at a maximum rate of 55% when combined with salary income) with a separate, fixed-rate system of approximately 20%; and second, introducing a "three-year loss carryforward" mechanism similar to stock market regulations (where losses can be offset against taxable income over the next three years). Furthermore, the Japanese government plans to expand the eligibility of the Nippon Individual Savings Account (NISA) to all age groups. By providing tax incentives, this move will indirectly create a more attractive investment environment for cryptocurrencies.
▌Japanese opposition party leaders discussed the urgency of establishing strategic Bitcoin reserves
According to Bitcoin Magazine on social media, leaders of Japan's "Democratic Party for the People" and "Sansei Party" discussed the urgency of establishing strategic Bitcoin reserves.
▌The European Union proposed to eliminate all tariffs on US industrial products to meet Trump's requirements
According to market news released by Watcher.Guru: The European Union proposed to eliminate all tariffs on US industrial products to meet Trump's requirements. Blockchain Applications: Circle and Finastra Collaborate to Promote Banks' Use of Stablecoins for Cross-Border Payments. Financial software company Finastra announced a partnership with stablecoin issuer Circle to help banks integrate the stablecoin USDC into their cross-border payment processes. This collaboration allows banks to choose USDC for settlement without relying on the traditional counterpart banking system, providing more flexible and innovative settlement solutions. Mastercard and Circle Expand Partnership to Enable USDC and EURC Settlements in EEMEA. According to market news released by Cointelegraph, Mastercard and Circle have expanded their partnership to enable USDC and EURC settlements in Central and Eastern Europe, the Middle East, and Africa (EEMEA).
▌Google Cloud announces information about its L1 blockchain GCUL and opens a waitlist
According to the official page, Google Cloud announced information about its L1 blockchain Google Cloud Universal Ledger (GCUL) and opened a waitlist. Google Cloud said GCUL can provide a digital asset issuance, management and settlement experience. Its atomic settlement function reduces risk and improves liquidity. It is studying how to transfer value through secure transaction media that are backed by assets that are protected by bankruptcy and provided by regulatory agencies, such as central bank deposits or money market funds.
▌Circle and Paxos are testing new cryptocurrency issuance verification technology
Stablecoin giants Circle and Paxos are testing new cryptocurrency issuance verification technology to help entities verify their digital asset holdings. Circle and Paxos have partnered with Bluprynt, a fintech startup founded by Georgetown Law School professor Chris Brummer, to leverage cryptography and blockchain technology to provide issuer verification when entities issue stablecoins. This will enable the tracing of tokens back to their verified issuers.
Cryptocurrency
▌Japan's Metaplanet Announces Additional Share Issuance, Plans to Purchase an Additional $837 Million in Bitcoin
According to market news released by The Bitcoin Historian: Japan's Metaplanet announced a new share issuance, intending to purchase an additional $837 million worth of Bitcoin.
▌Tom Lee predicts Ethereum will reach $60,000 within five years, with room to rise more than 2 times by the end of the year
In an exclusive interview with Mario Nawfal, BitMine Chairman Tom Lee said, "The financial system will be restructured based on blockchain, reminiscent of the moment when the US dollar broke away from the gold standard in 1971. Ethereum will be one of the main beneficiaries. I remain very bullish on Bitcoin, which has the potential to reach $200,000 or even higher. As for Ethereum, I believe it has greater room to rise because it has more potential with the development of blockchain and artificial intelligence. Therefore, we call Ethereum the biggest macro trade of the next 10 to 15 years. I believe that from now until the end of the year, Bitcoin has room to rise 2 times, and Ethereum has room to rise more than 2 times. But in the long term, we have conducted some research and envisioned a five-year experiment, and the results predict that the final price of Ethereum will be around $60,000." In 2017, Tom Lee He once publicly predicted for the first time that Bitcoin would reach $25,000 within five years (i.e., by 2022). He said that Bitcoin is eroding demand for gold and sees it as digital gold, with its scarcity and potential as a store of value. Cumberland transferred over 47,000 ETH to Coinbase, valued at approximately $210 million. According to Whale Alert, Cumberland transferred 22,289 ETH to Coinbase Institutional in the early hours of the morning, valued at approximately $103 million. Previously, Cumberland had transferred 25,200 ETH to Coinbase Institutional earlier, valued at approximately $116 million.
▌Suspected Bitmine-linked wallets withdrew a total of 30,422 Ethereum from FalconX
According to Onchain Lens monitoring, four newly created wallets suspected of being associated with Bitmine withdrew a total of 30,422 Ethereum (worth approximately $140 million) from the FalconX platform over the past 17 hours.
▌DDC Enterprise's Bitcoin holdings reached 1,008, ranking among the top 45 largest corporate Bitcoin treasuries globally
DDC Enterprise announced a major milestone: since its first purchase of Bitcoin (BTC) on May 23, in just 96 days, its corporate treasury has reached 1,008 Bitcoins. With the purchase of 120 additional bitcoins, the company ranks 42nd on the global list of companies with public Bitcoin treasuries. Ethereum staking exits reach $4.6 billion, a record high. According to CryptoSlate, the Ethereum staking exits reached $4.6 billion, a record high. REX-Osprey Asset Management plans to apply for US SEC approval for a BNB collateralized ETF. According to The Block, REX-Osprey Asset Management plans to apply for US SEC approval for a BNB collateralized ETF, following the same path as the Solana fund and expected to launch in early November. Tether and Circle minted a combined $1.25 billion worth of new stablecoins today. According to Lookonchain statistics, Tether minted 1 billion new USDT and Circle minted 250 million new USDC. Over the past month, Tether and Circle minted a combined $8.75 billion worth of new stablecoins. An increase in the number of newly minted stablecoins on-chain typically reflects growing market demand for stablecoins and increased user engagement, often correlated with bullish sentiment in the crypto market and an influx of capital into the ecosystem.
Important Economic Dynamics
▌U.S. Treasury Secretary calls on the Federal Reserve to conduct an internal review, naming Cook's mortgage fraud issue
U.S. Treasury Secretary Benson & Co. on Wednesday again called on Federal Reserve Chairman Powell to conduct an internal review of the Federal Reserve and include the mortgage fraud allegations against Fed Governor Cook in the scope of the review. In an interview with Fox Business Channel, Benson & Co. said: "I encourage Chairman Powell to conduct an internal review before conducting an external review." "This is something that needs to be resolved," he said, referring to the Cook incident. Bessant said: "We didn't hear her say 'It wasn't me,' she just kept saying that the president couldn't remove her." He said his view was that "if a Federal Reserve official is guilty of mortgage fraud," they should not serve on one of the main financial regulatory agencies in the United States. "The Federal Reserve is an unaccountable institution. Its relationship with the American people relies on a high level of trust, and events like this undermine that trust." U.S. Treasury Secretary Benson said: "There are 11 candidates for Federal Reserve Chairman." U.S. Treasury Secretary Benson said: "There are 11 strong candidates for Federal Reserve Chairman. We will begin interviews after Labor Day and submit a final list to Trump." The probability of a September Fed rate cut is 88.7%. According to CME's "Fed Watch," the probability of the Fed keeping interest rates unchanged in September is 11.3%, and the probability of a 25 basis point rate cut is 88.7%. The probability of the Fed keeping interest rates unchanged in October is 5.5%, the probability of a cumulative 25 basis point rate cut is 49%, and the probability of a cumulative 50 basis point rate cut is 45.5%. What is a Bitcoin Flash Crash? A Bitcoin flash crash is a sudden, sharp, and brief drop in the BTC market price, after which the price begins to recover. Unique market conditions can cause price fluctuations in the leading cryptocurrency. Flash crashes are typically caused by a large group of sellers (known as whales) who suddenly decide to sell Bitcoin, flooding the market with supply. This overwhelms buyers and can cause billions of dollars in losses in a matter of minutes. The frequency of BTC flash crashes in recent years highlights the volatility risks inherent in cryptocurrencies, even for a strong asset like BTC. Despite its multi-trillion dollar market size, the cryptocurrency market is still maturing. Understanding BTC price crashes and their causes is crucial, especially for new investors in the space. Without this knowledge, witnessing such an event can be devastating and lead to emotionally charged trading decisions rather than insightful and profitable investments. Traditional stock markets have built-in circuit breakers that temporarily halt trading when an asset or index fluctuates to a certain level. The BTC market lacks these circuit breakers, making it difficult to control rapid market declines.
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