SEC Approves Spot Ether ETFs
The U.S. Securities and Exchange Commission (SEC) has approved several spot Ether exchange-traded funds (ETFs), marking a significant regulatory milestone. This approval includes filings from major firms such as VanEck, BlackRock, Fidelity, and Grayscale. Despite the approval, ETF issuers must still await the SEC's sign-off on S-1 registration statements before trading can commence. The SEC's decision follows recent legislative efforts to provide clearer regulatory frameworks for the cryptocurrency industry. (Cointelegraph)
WisdomTree's Bitcoin and Ether ETPs to Launch in the UK
WisdomTree has received approval from the Financial Conduct Authority (FCA) to list physically backed Bitcoin and Ether exchange-traded products (ETPs) on the London Stock Exchange (LSE) starting May 28. These products, restricted to professional investors and 100% physically backed, mark one of the first such approvals in the UK and aim to provide a convenient access point for UK investors previously relying on overseas exchanges. This development, following the FCA's relaxed stance on crypto ETNs, is expected to enhance institutional adoption of cryptocurrencies in the UK. (Blockworks)
Meme Coin Trading Volume Surges Despite Market Volatility
Meme tokens have seen a dramatic increase in trading volume, reaching $11 billion weekly, despite recent market corrections, according to Kaiko's report. Year-to-date returns for these tokens range from 80% to 1,800%, driven by their adaptability and strong community engagement, although they carry higher leverage and speculative risks. Interestingly, the correlation between meme coins and speculative retail assets like GameStop (GME) has remained low, except for a recent spike coinciding with renewed interest in meme stocks, highlighting the volatile nature of these assets. (Crypto Briefing)
MetaMask to Potentially Add Bitcoin Support
MetaMask, a leading self-custodial wallet, is planning to introduce Bitcoin support within the next month, according to sources cited by CoinDesk. This expansion could significantly increase transaction volumes on the platform, which currently supports Ethereum and EVM-compatible networks, following its earlier enhancement with Snaps. While these plans are still tentative, the move would integrate Bitcoin into one of the most popular digital wallets, which reached 22 million downloads in August 2023. (The Block)
Farcaster Secures $150M to Expand Decentralized Social Media
Farcaster has raised $150 million, led by Paradigm, with contributions from a16z, Haun Ventures, Union Square Ventures, Variant, and Standard Crypto, to enhance its decentralized social media protocol. The funding will be used to grow its user base and add developer tools, following significant growth marked by 350,000 paid sign-ups and a 50-fold increase in network activity since October. Co-founder Dan Romero emphasized the importance of decentralization to attract users and developers, with recent features like Frames enabling embedded functionalities within Farcaster applications. (Blockworks)
US House Passes Landmark FIT21 Crypto Bill with Bipartisan Support
The US House of Representatives has passed the Financial Innovation and Technology for the 21st Century Act (FIT21) with a 279-136 vote, marking a historic policy win for the crypto industry. The bill, which received significant bipartisan backing, aims to regulate digital asset markets, set consumer protections, and designate the Commodity Futures Trading Commission (CFTC) as the primary regulator for non-securities spot markets. Despite facing opposition from the White House and SEC Chair Gary Gensler, the bill's passage shifts focus to the Senate, where its future remains uncertain as no counterpart bill has been introduced. (Crypto Briefing)
