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<a href="#financial">U.S. Financial Services Firms Announce Digital Asset Initiatives</a>

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<a href="#digital">U.S. Digital Asset Companies Announce New Registrations and Partnerships</a>

<a href="#agencies">U.S. Agencies Rescind Crypto-Related Requirements, End Enforcement Actions</a>

<a href="#report">Report Provides Summary of Global Crypto Regulation in Key Jurisdictions</a>

<a href="#doj">DOJ and OFAC Actions Target Crypto Used in Terrorist Financing</a>

<a href="#hacks">Hacks, Scams and Exploits, Oh My!: Crypto Theft Losses Hit Record in Q1</a>

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U.S. Financial Services Firms Announce Digital Asset Initiatives

By <a href="https://www.bakerlaw.com/RobertAMusiala">Robert A. Musiala Jr.</a>

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A major U.S. financial services company and operator of global financial exchanges and clearinghouses recently announced an agreement with the issuer of the USDC stablecoin to explore using USDC and tokenized money market digital asset USYC to develop new products and solutions for customers of the financial services company. According to a press release, the two companies plan to explore applications of USDC and USYC within the financial services company’s derivatives exchanges, clearinghouses, data services and other markets. Separately, according to reports, the issuer of the USDC stablecoin recently filed a prospectus with the U.S. Securities and Exchange Commission for an initial public offering.

In related news, a major U.S. digital asset management company recently announced two new exchange-traded funds (ETFs) that will invest in products tied to digital assets. According to the company’s website, the ETFs will invest in derivatives on exchange-traded vehicles (such as exchange-traded products) that hold digital assets as investments.

For more information, please refer to the following links:

<a href="https://ir.theice.com/press/news-details/2025/ICE-and-Circle-Sign-MOU-to-Explore-Product-Innovation-Based-on-Circles-USDC-and-USYC-Digital-Assets/default.aspx" target="_blank" rel="noreferrer noopener">[] and [] to Explore Product Innovation Based on []’s USDC and USYC Digital Assets</a>

<a href="https://www.cnbc.com/2025/04/01/usdc-issuer-circle-files-for-ipo-as-public-markets-open-to-crypto.html" target="_blank" rel="noreferrer noopener">Stablecoin issuer [] files for IPO as public markets open to crypto</a>

<a href="https://etfs.grayscale.com/bpi" target="_blank" rel="noreferrer noopener">[] Premium Income ETF</a>

<a href="https://etfs.grayscale.com/btcc" target="_blank" rel="noreferrer noopener">[] Covered Call ETF</a>

U.S. Digital Asset Companies Announce New Registrations and Partnerships

A major U.S. cryptocurrency exchange recently announced that it has obtained a Restricted Dealer registration in Canada. According to a blog post by the exchange, as a result of the new registration, the exchange’s Canadian clients “now benefit from a solid regulatory foundation, ensuring access to some of the most innovative and secure crypto products in the local ecosystem under the supervision of the Ontario Securities Commission (OSC).”

In related news, BlockFills, a digital asset trading and market technology company, recently announced a partnership with Fordefi, “a self-custody multi-party computation (MPC) platform&nbsp;built for institutions to securely access decentralized finance (DeFi) across multiple blockchains.” According to the press release, among other things, the partnership will allow BlockFills to meet growing interest in DeFi trading opportunities and will allow customers of Fordefi to access BlockFills’ trading capabilities “across a broad range of digital assets.”

In a final notable item, Ripple, a U.S. fintech and digital asset company, recently announced a partnership with Chipper Cash, a mobile payments platform, “to support cross-border payments into Africa using <a href="https://ripple.com/solutions/cross-border-payments/" target="_blank" rel="noreferrer noopener">Ripple Payments</a>, which leverages digital assets for faster, cheaper, more efficient cross-border payments.” According to a blog post by Chipper Cash, the company has 5 million customers in nine countries across Africa.

<a href="https://blog.kraken.com/news/restricted-dealer-registration-canada" target="_blank" rel="noreferrer noopener">[] secures restricted dealer registration in Canada and appoints North America GM to drive next growth phase</a>

<a href="https://www.blockfills.com/2025/04/02/blockfills-leverages-fordefi-to-enhance-secure-defi-access-empowering-venture-capital-and-defi-communities-across-blockchains/" target="_blank" rel="noreferrer noopener">BlockFills Leverages Fordefi to Enhance Secure DeFi Access, Empowering Venture Capital and DeFi Communities Across Blockchains</a>

<a href="https://www.chippercash.com/blog/ripple-and-chipper-cash-join-forces-to-unlock-faster-and-more-cost-effective-crypto-enabled-payments-across-africa" target="_blank" rel="noreferrer noopener">Ripple and Chipper Cash join forces to unlock faster and more cost-effective crypto-enabled payments across Africa</a>

U.S. Agencies Rescind Crypto-Related Requirements, End Enforcement Actions

By <a href="https://www.bakerlaw.com/RobertAMusiala">Robert A. Musiala Jr.</a><a href="https://www.bakerlaw.com/VeronicaReynolds"></a>

The U.S. agency that insures deposits in banks and savings associations recently announced that it has rescinded Financial Institution Letter 16-2022, Notification of Engaging in Crypto-Related Activities, which had established a prior notification requirement for supervised financial institutions that wish to engage in crypto-related activities. According to the press release, supervised institutions may now engage in permissible crypto-related activities without receiving prior approval.

In related news, the U.S. Commodity Futures Trading Commission (CFTC) recently announced that it has withdrawn CFTC <a href="https://www.cftc.gov/csl/23-07/download" target="_blank" rel="noreferrer noopener">Staff Advisory No. 23-07</a>, Review of Risks Associated with Expansion of DCO Clearing of Digital Assets, and CFTC <a href="https://www.cftc.gov/csl/18-14/download" target="_blank" rel="noreferrer noopener">Staff Advisory No. 18-14</a>, Advisory with Respect to Virtual Currency Derivative Product Listings.

Additionally, according to reports, the U.S. Securities and Exchange Commission (SEC) recently filed to dismiss crypto-related enforcement actions against a major U.S. crypto exchange, an Ethereum development company and a digital asset trading firm. The SEC also recently closed its investigation into another major crypto exchange, according to a blog post by the exchange. And according to reports, the SEC has closed its investigation into the celebrity promoter of the “Hawk Tuah” meme coin.

In a final related item, according to reports, the business entity and four former executives of a major cryptocurrency exchange recently received “full and unconditional” presidential pardons. The exchange and several of its executives had previously pled guilty to criminal charges related to violations of the Bank Secrecy Act.

<a href="https://www.fdic.gov/news/financial-institution-letters/2025/fdic-clarifies-process-banks-engage-crypto-related#:~:text=The%20FDIC%20is%20rescinding%20FIL,without%20receiving%20prior%20FDIC%20approval." target="_blank" rel="noreferrer noopener">FDIC Clarifies Process for Banks to Engage in Crypto-Related Activities</a>

<a href="https://www.cftc.gov/PressRoom/PressReleases/9060-25" target="_blank" rel="noreferrer noopener">CFTC Staff Withdraws Advisory on Review of Risks Related to Clearing Digital Assets</a>

<a href="https://www.cftc.gov/PressRoom/PressReleases/9059-25" target="_blank" rel="noreferrer noopener">CFTC Staff Withdraws Advisory on Virtual Currency Derivative Product Listings</a>

<a href="https://www.law360.com/fintech/articles/2317295?nl_pk=269c598f-8e37-49e3-bf43-b88e05d4215b&amp;utm_source=newsletter&amp;utm_medium=email&amp;utm_campaign=fintech&amp;utm_content=2025-03-31&amp;read_main=1&amp;nlsidx=0&amp;nlaidx=2" target="_blank" rel="noreferrer noopener">SEC Dismisses [], [], [] Suits</a>

<a href="https://crypto.com/en/company-news/sec-closes-crypto-com-investigation-with-no-action" target="_blank" rel="noreferrer noopener">SEC Closes Crypto.com Investigation with No Action</a>

<a href="https://www.law360.com/articles/2317949?e_id=f11780c7-ad08-40c1-85ce-71f24bc28168&amp;utm_source=engagement-alerts&amp;utm_medium=email&amp;utm_campaign=similar_articles" target="_blank" rel="noreferrer noopener">SEC Closed Inquiry Into Hawk Meme Coin, Promoter Says</a>

<a href="https://www.law360.com/fintech/articles/2317566?nl_pk=269c598f-8e37-49e3-bf43-b88e05d4215b&amp;utm_source=newsletter&amp;utm_medium=email&amp;utm_campaign=fintech&amp;utm_content=2025-03-31&amp;read_main=1&amp;nlsidx=0&amp;nlaidx=1" target="_blank" rel="noreferrer noopener">Trump Pardons [] Crypto Co., Four Ex-Executives</a>

Report Provides Summary of Global Crypto Regulations in Key Jurisdictions

A “Big Four” professional services firm recently published its third annual “Global Crypto Regulation Report.” The report “provides an overview of the global regulatory landscape, how regulatory frameworks are developing across the world, and the impact on crypto and traditional financial services firms.” The report includes a “global crypto regulatory trends” section that provides an overview of current digital assets regulations in 27 key jurisdictions. It also includes a section on the EU’s Markets in Crypto-Assets Regulation.

For more information, please refer to the following link:

<a href="https://legal.pwc.de/content/services/global-crypto-regulation-report/pwc-global-crypto-regulation-report-2025.pdf" target="_blank" rel="noreferrer noopener">[] Global Crypto Regulation Report 2025</a>

DOJ and OFAC Actions Target Crypto Used in Terrorist Financing

By <a href="https://www.bakerlaw.com/KeithRMurphy">Keith R. Murphy</a>

According to a recent press release, the U.S. Department of Justice announced the seizure of cryptocurrency assets valued at more than $200,000 from wallets and accounts reportedly intended to benefit Hamas, disrupting an ongoing terrorist financing scheme.&nbsp;An encrypted communications platform reportedly provided Hamas supporters with a changing set of at least 17 cryptocurrency accounts that laundered more than $1.5 million in cryptocurrency since October 2024, and from which the seized funds were traced.

In another recent press release, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) announced sanctions against a purported network of Houthi facilitators and operatives who are said to have procured millions of dollars’ worth of commodities from Russia, as well as commodities stolen from Ukraine, for ultimate shipment to Houthi-controlled Yemen.&nbsp;As part of the action, OFAC identified eight digital asset wallets that the Houthis used to transfer funds relating to these activities and added the digital asset wallet addresses to the Specially Designated Nationals and Blocked Persons List.

<a href="https://www.justice.gov/opa/pr/justice-department-disrupts-hamas-terrorist-financing-scheme-through-seizure-cryptocurrency" target="_blank" rel="noreferrer noopener">Justice Department Disrupts Hamas Terrorist Financing Scheme Through Seizure of Cryptocurrency</a>

<a href="https://home.treasury.gov/news/press-releases/sb0068" target="_blank" rel="noreferrer noopener">Treasury Sanctions Houthi Network Procuring Weapons and Commodities from Russia</a>

<a href="https://ofac.treasury.gov/recent-actions/20250402" target="_blank" rel="noreferrer noopener">Counter Terrorism Designations and Designation Update; Russia-related Designation Removal; Reports for Licensing Activities Undertaken Pursuant to the Trade Sanctions Reform and Export Enhancement Act (TSRA)</a>

Hacks, Scams and Exploits, Oh My!: Crypto Theft Losses Hit Record in Q1

By <a href="https://www.bakerlaw.com/LaurenBass">Lauren Bass</a>

The first few months of 2025 have been a boon for hackers, with thieves reportedly stealing over $1.63 billion worth of crypto during Q1 alone. The 2025 numbers, which reportedly represent an increase of 131 percent year-over-year from Q1 2024, were boosted significantly by Phemex’s $69.1 million loss in January, the massive $1.5 billion <a href="https://www.theblockchainmonitor.com/blogs/weekly-blockchain-blog-march-3-2025/#bybit">Bybit hack</a> in February and the $13 million <a href="https://www.theblockchainmonitor.com/blogs/weekly-blockchain-blog-march-31-2025/">Abracadabra.Money</a> and $8.4 million <a href="https://www.theblockchainmonitor.com/blogs/weekly-blockchain-blog-march-31-2025/">Zoth</a> exploits in March. On the bright side, according to reports, close to $6.5 million of stolen crypto funds were recovered in Q1 2025.

Relatedly, over the past few weeks, users of a major U.S. cryptocurrency exchange have reportedly lost more than $46 million worth of crypto because of various phishing scams. According to reports, exchange users fell victim to “address poisoning” and “wallet spoofing” cons wherein bad actors tricked victims into sending assets to fraudulent wallet addresses that closely resembled legitimate ones.

<a href="https://cointelegraph.com/news/coinbase-users-hit-by-46m-phishing-scams" target="_blank" rel="noreferrer noopener">[] users hit by $46M in suspected phishing scams — ZachXBT</a>

<a href="https://cointelegraph.com/news/crypto-hack-losses-q1-2025-peckshield" target="_blank" rel="noreferrer noopener">Crypto hacks top $1.6B in Q1 2025 — PeckShield</a>

<a href="https://cointelegraph.com/news/crypto-losses-exploits-scams-drops-29-million-march-certik" target="_blank" rel="noreferrer noopener">Crypto exploit, scam losses drop to $28.8M in March after February spike</a>

<a href="https://downloads.ctfassets.net/t3wqy70tc3bv/kicQd50NcNkEQyA1QmpOB/b365451e130c1b1c0cbe55c191a22d41/Immunefi_Crypto_Losses_In_Q1_2025.pdf" target="_blank" rel="noreferrer noopener">CRYPTO LOSSES IN Q1 2025 PREPARED BY IMMUNEFI</a>

Weekly Blockchain Blog – April 7, 2025