CryptoLawyer

You heard it here first: Sentient AI crypto tokens are emerging as the next big trend 🚀

@Trader_XO 6200 Sp500 incoming?

So true

JPMORGAN LAUNCHES FIRST TOKENIZED MONEY MARKET FUND ON ETHEREUM -- WSJ

When we eventually get into a bear market (not yet btw) I expect to see the first chain mergers. Consolidation will allow smaller chains to survive and come out stronger instead of grinding to oblivion.

First Ken Griffin screwed over Constitution DAO Now he's coming for DeFi, asking the SEC to treat software developers of decentralized protocols like centralized intermediaries Bet Citadel has been lobbying behind closed doors on this for years Okay thats all pretty bad, but the actual nerve for one of their arguments to be that there is no way for DeFi protocols to provide "fair access" of all things lmao Makes sense the king of shady tradfi market makers doesn't like open source, peer-to-peer tech that can lower the barrier to liquidity creation sec.gov/files/citadel-…

The Tether folks are in the early innings of running a massive interest rate trade. How I read this audit is they think the Fed will cut rates which crushes their interest income. In response, they are buying gold and $BTC that should in theory moon as the price of money falls. A roughly 30% decline in the gold + $BTC position would wipe out their equity, and then USDT would be in theory insolvent. I'm sure some large holders and exchanges will demand a real-time view of their B/S so they can assess the solvency risk of Tether. Get out your popcorn, I expect the MSM to run wild with this, especially all the editors with TDS who want to shit on Lutnick and Cantor for backing this stablecoin.

Why Tether’s Gold & Bitcoin Bets May Be the Only Real Hedge Against the GENIUS Act’s “Reverse-Yield” Risk This week, S&P downgraded its stability assessment of Tether’s USDT from “constrained” to “weak”—the lowest score on S&P’s five-point stablecoin stability scale. S&P cited Tether’s increased reliance on gold and Bitcoin reserves. Tether is now the largest non-state holder of physical gold in the world, and approximately 13% of USDT reserves are backed by gold and Bitcoin. Under the GENIUS Act, Tether’s U.S.-issued stablecoin, USA₮, is mandated to hold 1:1 short-term U.S. Treasury bills. For its offshore stablecoin, USDT, Tether is relying more heavily on gold and Bitcoin as reserve assets. This move may well be a strategic hedge against a mass U.S. stablecoin liquidation event. In such an event, Tether would not be forced to shore up reserves by liquidating short-term T-bills at a loss. It would have the option to meet redemptions by liquidating its gold and Bitcoin reserves instead. The more Tether’s reserves rely on gold and BTC—instead of exclusively on short-term T-bills—the less its overall balance sheet is exposed to a reverse-yield liquidation crisis. As noted in Shanaka’s article, the GENIUS Act forces U.S.-regulated stablecoins into one of the safest assets on earth: short-term U.S. Treasury bills. While that’s great for reducing Terra/Luna-style risks and for lowering U.S. borrowing costs, it does come with a structural problem: when stablecoins grow, they gently push yields down; when they contract, they can violently push yields up. This is the convexity trap. A few billion dollars entering stablecoins barely moves yields—but a few billion dollars leaving stablecoins can spike yields two to three times harder. If Tether held exclusively short-term T-bills, then in a redemption crisis, it would be forced to dump T-bills into a stressed market—further accelerating a T-bill yield spike—or take mark-to-market losses on its remaining T-bill holdings. In that scenario, Tether gets hit twice, right when confidence in stablecoins is already fragile. That’s the “reverse-yield” problem. A stablecoin built entirely on U.S. Treasuries therefore becomes brittle at the exact moment the system needs stability most. Here’s where Tether’s controversial reserve mix makes more sense than critics admit. Gold & Bitcoin Break the Convexity Loop By holding a meaningful slice of reserves in gold and Bitcoin, Tether gives itself something almost no other issuer—including Circle—has: 🚫 Assets it can liquidate during redemptions without dumping T-bills. 🚫 Assets that aren’t mechanically tied to short-term rates. 🚫 Assets—like gold and Bitcoin—that may rise or stay stable in the exact macro scenarios that crush Treasuries. As a consequence: ➕Gold reduces Tether’s exposure to interest-rate convexity. ➕Bitcoin hedges the tail-risk of a U.S. sovereign credibility event. Together, they give Tether something a 100% T-bill model cannot: the ability to meet redemptions without feeding the very crisis that threatens its peg. Do these assets introduce volatility? Absolutely. But they also break the one-way valve the GENIUS Act accidentally created. This is why Tether’s diversification looks reckless to regulators—but smart to anyone who understands convexity. In a world where every GENIUS-compliant stablecoin becomes a leveraged bet on the short-end of the U.S. curve, Tether is quietly building the only balance sheet not fully dependent on the thing everyone else assumes will never break.

@trader1sz 2028

My favorite thing about this chart is that the median homebuyer age rose from 39 in 2005 to 59 in 2025 20 years over 20 years It’s literally the same people buying the homes two decades later

It’s true 😍

Long term performance of stocks vs housing, per WSJ:

$BTC Almost out of runway, one day to go to close the month above $114,500 and change my mind👇

Engage with this! 🏗 Something is coming 👀 Bullish on @Base 🟦

Base is doing things the right way: an L2 on top of Ethereum, that uses its centralized features to provide stronger UX features, while still being tied into Ethereum's decentralized base layer for security. Base does not have custody over your funds, they cannot steal funds or stop you from withdrawing funds (this is part of the L2beat stage 1 definition). You can see Base's status as an L2 on l2beat: l2beat.com/scaling/projec… I feel like many people have been confused by recent cynicism and think that things like L2beat are a weird sort of nerd-sharia compliance authority. This is NOT what is going on. The security that L2s provide, that L2beat measures, reflects concrete properties that protect you as a user from being rugged. Here is an explanation of how, if an L2 shuts down, users are automatically able to withdraw funds even without that L2's involvement: x.com/l2beat/status/… Here is an example of how L2s prevent the operator from censoring transactions, that happened on Soneium earlier this year: x.com/gauthamzzz/sta… This is what we mean when we say that L2s are non-custodial, they are extensions of ethereum, not glorified servers that happen to submit hashes. There are concrete pathways implemented in smart contract logic on Ethereum L1, that have been successfully used in the wild, that ensure that the L2 users' funds are ultimately controlled by L1, they cannot be stolen or blocked by the L2 operator.

⚡ ADOPTION: Coinbase aims to move the entire startup journey onchain, says CEO Brian Armstrong.

@cobie Congrats man

when i started building echo 2 years ago, i knew it had 95% chance of failing. to be honest, i couldnt really imagine any other outcome, but i thought at least it may be a noble failure worth attempting. i certainly didn't think echo would be sold to coinbase, but, here we are: today coinbase bought echo for ~$375m. echo will remain a standalone platform under its current brand for now, but we will integrate sonar's public sale product into coinbase, and likely introduce new ways for founders to access investors, and for investors to access opportunities into coinbase itself. over the years i have chatted to brian a handful of times, and mostly to complain at him honestly. i have always respected how brian would listen to an outsider chat shit at him on the phone and take the feedback seriously. now, instead of complaining, i will have the opportunity try to do the work to make things better. crypto itself has moved on a long way since we started working on echo. i guess partially this is because of the election result. but, i feel energised by a lot of the cool things being built in crypto again: hyperliquid, zcash, stablecoin supercyle, and so on. feels like a good time to be on the field instead of an idiot with a twitter account yapping nonsense. well, i guess i still will be that. anyway, job's not finished. onwards. oh fuck yeah, before i go, the final season of up only (now "unc only" due to our severe old age) will commence when we figure out who the guests should be lol cobber

@jvb_xyz Amazing story

>be me >landlord in LA >rent house in the hills to 25yo CFO of a “real estate company” >arrives in lime-green Bentley w/ influencer "gf" + emotional support micro-poodle >stops paying rent >emails me a PDF from the county website saying “COVID-related income loss” >nothing I can do, because LA = anarchy >nonstop Eyes Wide Shut parties at my house >dog melts my hardwood floors w/ atomic diarrhea >claims poverty on paper while bottle-servicing magnums of Ace in my pool >private jets to Paris, Tulum, Miami, Vegas >"gf" showered w/ diamonds, birkin bags, red carpets, "chopper to 'chella" >everything posted on instagram, lest there be any doubt >eventually moves out, I celebrate prematurely >sues me for 8figs the next morning, just to f with me >2y legal war >vanishes >today: DOJ indicts him for stealing $130M from California’s homeless fund may justice be served.