Crypto & Blockchain

Cryptocurrency exchange Kraken has introduced a solution to help financial institutions give clients access to crypto. Dubbed “Embed,” the company’s new Crypto-as-a-Service (CaaS) solution is designed for neobanks, FinTechs and traditional banks. “Kraken Embed significantly simplifies operational and infrastructure requirements, enabling financial institutions to make regulated crypto trading available to their customers without extensive in-house expertise in a matter of weeks,” the company said. “Using Kraken Embed, institutions benefit from the exchange’s proven market experience, robust liquidity and industry-leading infrastructure. Kraken says the launch of Embed aligns with global crypto adoption trends, especially in Europe, where market activity is being driven by the advent of regulations such as the European Union’s Markets in Crypto Assets (MiCA) framework. “Through Embed, Kraken is extending its deep expertise to institutions seeking a reliable, compliant and frictionless entrypoint into crypto,” Brett McLain, head of payments and blockchain at Kraken, said.

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BlackRock recently filed a registration statement about plans for the issuance of DLT shares in its $143 billion Treasury Trust Fund (TTF). The shares will only be available via Bank of New York Mellon (BNY), which will use blockchain to mirror the share ownership on-chain. Institutional investors are the primary target with a minimum investment of $3 million, which is the same across the whole fund. While BlackRock has leaned into tokenization with its BUIDL tokenized treasury fund issued on permissionless blockchains via Securitize, the target market (for now) is primarily crypto institutions. Stablecoin and tokenized money market fund (MMF) issuers are the primary BUIDL token holders. By contrast, BNY Mellon primarily services mainstream traditional finance (TradFI) institutions as the world’s largest global custodian and a major tri-party agent. However, it also provides custody and cash management solutions for stablecoin issuer Circle, which is also now in the tokenized money market fund business following the acquisition of Hashnote. BNY Mellon’s focus on traditional financial institutions may shape its blockchain approach differently than BlackRock’s BUIDL initiative. One advantage of a more private solution, such as what BNY may be offering, is that an institution’s transactions are not publicly visible. At the same time, the recipient of the tokenized fund can verify the underlying assets using a new tool recently launched by BNY.

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Circle announced Circle Payments Network (CPN) to connect financial institutions – banks, neo-banks, payment service providers, virtual asset service providers and digital wallets – and enable real-time settlement of cross-border payments using regulated stablecoins. Designed to bring efficiencies to a fragmented cross-border payments system, CPN provides financial institutions with a modern way to move money globally with the speed, transparency, and programmability of the internet. CPN is governed by a robust framework that requires participants to meet strict eligibility standards, including licensing, AML/CFT compliance, financial risk management, and cybersecurity protocols. By leveraging USDC, EURC, and other regulated stablecoins, CPN enables seamless connectivity to domestic real-time payment systems worldwide, while upholding the compliance, security, and trust required for financial institutions to meet their regulatory obligations. CPN will enable a broad spectrum of cross-border money movement use cases for businesses, financial institutions, and individuals — including supplier payments, remittances, payroll, capital markets settlement, internal treasury operations, and onchain financial applications. Powered by smart contract infrastructure and modular APIs, the network enables third-party developers to build advanced modules, app services, and automated financial workflows directly on top of CPN. In collaboration with global design partners, CPN will unify disparate payment networks and local currencies, enabling 24/7 real-time settlement using stablecoins.

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BIS, the central bank of central banks, released a paper exploring the financial stability risks of cryptocurrencies and decentralized finance (DeFi). While this is a topic that has been covered many times, including by some of the same authors a couple of years ago, the paper is articulate and fresh. This report states that the crypto market has “reached critical mass”, although it still considers it as having minimal linkages to traditional finance (TradFi). However, the issuance of Bitcoin ETFs and the expansion of stablecoins and real world asset (RWA) tokenization are changing that. It also included a noteworthy graphic showing that in crises, small investors increase their crypto exposures, while wealthier ones get out. Hence, they conclude that the crypto market can be “a means for redistributing wealth from the poorer to the wealthier.” When outlining how DeFi works, the authors note the difference between a DeFi protocol and an application, which usually has a user interface and has a “centralization vector”. In other words, dApps are potential regulatory touchpoints. The authors consider research into the financial stability implications of RWA tokenization as a top priority, including systemic risks of tighter linkages between DeFi and TradFi. They also see stablecoins as having a central role in DeFi and their potential instability is an area needing further analysis. Earlier in the paper, they noted that payment and settlement system instability or disruption can have the most widespread economic knock on effects. Finally, they want to explore how to address the cryptoisation risks for emerging market economies, a topic that the IMF has been highlighting for some time.

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BIS, the central bank of central banks, released a paper exploring the financial stability risks of cryptocurrencies and decentralized finance (DeFi). While this is a topic that has been covered many times, including by some of the same authors a couple of years ago, the paper is articulate and fresh. This report states that the crypto market has “reached critical mass”, although it still considers it as having minimal linkages to traditional finance (TradFi). However, the issuance of Bitcoin ETFs and the expansion of stablecoins and real world asset (RWA) tokenization are changing that. It also included a noteworthy graphic showing that in crises, small investors increase their crypto exposures, while wealthier ones get out. Hence, they conclude that the crypto market can be “a means for redistributing wealth from the poorer to the wealthier.” When outlining how DeFi works, the authors note the difference between a DeFi protocol and an application, which usually has a user interface and has a “centralization vector”. In other words, dApps are potential regulatory touchpoints. The authors consider research into the financial stability implications of RWA tokenization as a top priority, including systemic risks of tighter linkages between DeFi and TradFi. They also see stablecoins as having a central role in DeFi and their potential instability is an area needing further analysis. Earlier in the paper, they noted that payment and settlement system instability or disruption can have the most widespread economic knock on effects. Finally, they want to explore how to address the cryptoisation risks for emerging market economies, a topic that the IMF has been highlighting for some time.

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Freename has launched ‘Freename Aftermarket’, a universal platform that combines DNS and blockchain domain ecosystems. The platform offers seamless trading opportunities for users, including the ability to list and purchase Web3 and DNS domains. The secondary-domain marketplace offers ICANN-registered domains for sale, as well as Web3 domains launched by Freename, Unstoppable Domains (UD), Ethereum Name Service (ENS), and Base Name Service (BNS). The platform is expected to gain traction due to its 0% commission on domain trading and exclusive rewards for early adoption.  the platform can revolutionize the domain aftermarket industry. The platform focuses on creating a dynamic environment for domain investors and provides support to new buyers and sellers through domain appraisal sessions. With Web3 domains gaining mainstream adoption, Freename’s multi-chain approach ensures interoperability across leading blockchain networks, empowering users with a secure, scalable, and decentralized marketplace.

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Optimum, the first decentralized high-performance memory layer for any blockchain, has closed its $11M seed round, with participation from various investors. Optimum is building the missing memory layer of blockchains, revolutionizing how data is stored, accessed, and propagated faster, cheaper, and truly decentralized. The core of Optimum’s innovation is Random Linear Network Coding (RLNC), a data coding breakthrough developed by MIT Prof. Muriel Médard. Optimum is pioneering high-performance memory for decentralized networks leveraging RLNC. Blockchains, often called “decentralized world computers,” lack the memory architecture needed for efficient computing. Optimum is building a provably optimal memory infrastructure that turns blockchains into high-speed, scalable computing networks. It tackles three key issues: inefficient data propagation, redundant storage, and slow access. Optimum is now live on a private testnet with OptimumP2P and is actively inviting L1s, L2s, validators, and node operators to experience its high-speed, decentralized memory layer in action. This funding will accelerate integration across major ecosystems, enhancing scalability for blockchains, lowering costs, and improving performance for node operators.

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Aethir, a provider of decentralized GPU cloud compute, announced the launch of AI Unbundled, an industry-wide alliance for the development of artificial intelligence in Web3. The company said AI Unbundled is the next step in Aethir’s mission to deliver end-to-end infrastructure, foster industry-wide collaboration, and accelerate AI adoption. Through AI Unbundled, Aethir establishes a collaborative framework that connects AI builders to decentralized computing, funding, and go-to-market support, creating an all-in-one solution to support projects from inception to market deployment. The alliance will support AI startups through various programs, including joint grant funding between $10,000 and $100,000, subsidized access to decentralised GPU infrastructure from Aethir, 0G’s inference and verification tools, and other alliance partners’ grants and support. Additional benefits include co-branded industry events, workshops, and dedicated hackathons to spotlight emerging projects, along with early access to decentralized tools like ERC-7857—the iNFT standard developed by 0G Labs to enable secure, composable AI agents. Startups will also be connected through a shared resource hub that streamlines onboarding, facilitates ecosystem introductions, and provides co-marketing, technical mentorship, and event opportunities.

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