Trump is ‘forcing everyone to up their game’ — Brian Armstrong  

A group of Democratic senators has reportedly sent a letter to leadership at the US Department of Justice and the Treasury Department expressing concerns about US President Donald Trump’s ties to cryptocurrency exchange Binance and potential conflicts of interest in regulating the industry. According to a May 9 Bloomberg report, Democratic senators asked Attorney General Pam Bondi and Treasury Secretary Scott Bessent to report on the steps Binance had taken as part of its November 2023 plea agreement with US authorities, amid reports that Trump and his family had deepened connections with the exchange. That settlement saw Binance pay more than $4 billion as part of a deal with the Justice Department, Treasury, and Commodity Futures Trading Commission, and had then-CEO Changpeng “CZ” Zhao step down.However, since Trump won the presidency in 2024, many lawmakers have accused the president of corruption from profiting off crypto while being in a position to influence laws and regulations over the industry. Trump has launched his own memecoin — which earns the project millions of dollars in transaction fees — and offered the top tokenholders the opportunity to attend an exclusive dinner in Washington, DC. His family-backed crypto venture World Liberty Financial also recently announced that an Abu Dhabi-based investment firm, MGX, would settle a $2 billion investment in Binance using the platform’s USD1 stablecoin.“Our concerns about Binance’s compliance obligations are even more pressing given recent reports that the company is using the Trump family’s stablecoin to partner with foreign investment companies,” the senators said in the letter, according to Bloomberg.Related: Trump tricked into pushing XRP for crypto reserve: ReportStablecoin bill fails to pass the US SenateThe letter came less than 24 hours after some of the same senators blocked a crucial vote on a bill to regulate stablecoins, named the GENIUS Act. Senator Elizabeth Warren, who reportedly signed the letter and opposed moving forward on the stablecoin bill, suggested the Senate should not be aligned with “facilitat[ing] this kind of corruption” from Trump.Bessent said the Senate “missed an opportunity” by not passing the stablecoin bill, but did not directly address any of the concerns over Trump’s crypto interests. It’s unclear if or when the chamber could consider another vote on the bill.In an April 23 report, the nonpartisan organization State Democracy Defenders Action said roughly 40% of Trump’s net worth was tied to crypto. The group noted that the GENIUS Act, in its current version, “would not prevent President Trump from using his executive powers to establish a regulatory environment and enforcement agenda that prioritizes his personal enrichment over the broader interests of US stakeholders.”Amid the concerns with the stablecoin and proposed market structure bills, Zhao reportedly applied for a federal pardon from Trump. Though the former CEO already served four months in prison, a pardon for his felony charge could allow him to get more involved with the crypto industry through a management position.Magazine: Trump’s crypto ventures raise conflict of interest, insider trading questions

On April 29, UK Finance Minister Rachel Reeves unveiled plans for a “comprehensive regulatory regime” aimed at making the country a global leader in digital assets.Under the proposed rules, crypto exchanges, dealers, and agents will be regulated similarly to traditional financial firms, with requirements for transparency, consumer protection, and operational resilience, the UK Treasury said in a statement released following Reeves’ remarks.Per the statement, the Financial Services and Markets Act 2000 (Cryptoassets) Order 2025 introduces six new regulated activities, including crypto trading, custody, and staking.Rather than opting for a light-touch regime similar to the EU’s Markets in Crypto-Assets (MiCA), the UK is applying the full weight of securities regulation to crypto, according to UK-based law firm Wiggin. That includes capital requirements, governance standards, market abuse rules, and disclosure obligations.“The UK’s draft crypto regulations represent a meaningful step toward embracing a rules-based digital asset economy,” Dante Disparte, chief strategy officer and head of global policy at Circle, told Cointelegraph.“By signaling a willingness to provide regulatory clarity, the UK is positioning itself as a safe harbor for responsible innovation.”Disparte added that the proposed framework can provide the predictability needed to “scale responsible digital financial infrastructure in the UK.”Source: MiCA Crypto AllianceRelated: Revolut doubles profits to $1.3B on user growth, crypto trading boomUK’s new crypto rules are “net positive”Vugar Usi Zade, the chief operating officer (COO) at Bitget exchange, also expressed optimism regarding the new regulations, claiming that it “is a net positive” for the industry.“I think a lot of companies recently exited or hesitated to enter the UK because they were not clear about what activities, products, and operations need FCA authorization. Firms finally get clear definitions of “qualifying crypto assets” and know exactly which activities—trading, custody, staking or lending—need FCA authorization.”For exchanges, including Bitget, the UK’s draft rules mean they need full approval from the Financial Conduct Authority (FCA) to offer crypto trading, custody, staking, or lending services to UK users.The rules also give companies two years to adjust their systems, like capital and reporting. “Mapping each service line to the new perimeter adds compliance overhead, but that clarity lets us plan product roll‑outs and invest in local infrastructure,” Zade said.The new draft regulations reclassify stablecoins as securities, not as e-money. This means UK-issued fiat-backed tokens must meet prospectus-style disclosures and redemption protocols. Non-UK stablecoins can still circulate, but only via authorized venues.Zade claimed that excluding stablecoins from the Electronic Money Regulations 2011 (EMRs), which keeps them out of the e‑money sandbox, could slow their use for payment.However, Disparte, whose firm is the issuer of USDC (USDC), the world’s second-largest stablecoin by market capitalization, said predictability is key to fostering responsible growth in the UK.“What matters most is predictability: a framework that enables firms to build, test, and grow responsibly—without fear of arbitrary enforcement or shifting goalposts. If realized, this could mark a pivotal moment in the UK’s digital asset journey.”Ripple’s Cassie Craddock praising new UK draft rules. Source: Cassie CraddockRelated: UK regulator moves to restrict borrowing for crypto investmentsUK to require FCA approval for foreign crypto firmsAmong the biggest changes as part of the new draft rules is the territorial reach. Non-UK platforms serving UK retail clients will need the FCA authorization. The “overseas persons” exemption is limited to certain B2B relationships, effectively ring-fencing the UK retail market.Crypto staking enters the perimeter as well. Liquid and delegated staking services must now register, while solo stakers and purely interface-based providers are exempt. New custody rules extend to any setup that gives a party unilateral transfer rights, including certain lending and MPC (multiparty computation) arrangements.“Some DeFi nuances still need fleshing out, but the direction is toward efficient, tailored compliance rather than blanket restriction,” Bitget’s Zade said.He added that the broad “staking” definition might sweep in non‑custodial DeFi models lacking a central provider. “Proposed credit‑card purchase restrictions—though aimed at high‑risk use — could dampen retail participation in token launches,” he said.Furthermore, Zade said bank‑grade segregation rules for client assets could burden lean DeFi projects. “Final rule tweaks will need to mitigate these side effects.”The FCA plans to publish final rules on crypto sometime in 2026, setting the groundwork for the UK regulatory regime to go live. The roadmap to greater regulatory clarity in the UK could follow the European Union, which started to implement its MiCA framework in December.Magazine: Finally blast into space with Justin Sun, Vietnam’s new national blockchain: Asia Express

US Vice President JD Vance will speak at the Bitcoin 2025 conference in Las Vegas, roughly a year after then-presidential candidate Donald Trump spoke at the same event.According to a May 9 notice from the event’s organizers, Vance will address conference attendees in person on May 28, making him the first sitting US vice president to speak at a digital asset conference. Trump provided a pre-recorded video of himself from the White House to the organizers of the Digital Asset Summit in March — his first appearance at a crypto event since taking office in January — and spoke in person at the Bitcoin 2024 conference in Nashville while campaigning.Though Vance is a Bitcoin (BTC) holder — he holds $250,000 to $500,001 worth of the cryptocurrency, according to a financial disclosure filed in August 2024 — it’s unclear whether the vice president intends to make a substantive policy statement at the event. Cointelegraph reached out to Vance’s office for comment but had not received a response at time of publication.Related: Resurfaced clip shows Trump’s VP pick slamming Gensler’s approach to cryptoSince taking office alongside Trump in January, Vance has largely stayed out of the media spotlight in terms of crypto-related policy. The president has signed executive orders on establishing a crypto reserve and regulating stablecoins, while Vance’s involvement with overseeing the industry seemed to be limited to speaking on AI regulation.Two of the president’s sons, Donald Trump Jr. and Eric Trump, who are tied to the crypto platform World Liberty Financial, were also scheduled to speak at the May event. Many lawmakers have expressed concerns that the platform, backed by the Trump family, is being used to personally enrich the president.Trump’s ties to crypto holding up legislation?The vice president’s appearance at the crypto conference was announced the same week Democratic lawmakers in the House of Representatives and the Senate strongly criticized Trump’s connections to the crypto industry. In the House, Representative Maxine Waters halted a joint hearing discussing a crypto market structure bill and led a group of lawmakers to explore “Trump’s crypto corruption.” In the Senate, nine Democrats blocked a crucial vote on a stablecoin bill, saying the legislation lacked certain safeguards, hinting at the Trump family enriching itself through the USD1 stablecoin issued by World Liberty Financial.Magazine: Trump’s crypto ventures raise conflict of interest, insider trading questions