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Aster Deepens WLFI Partnership With USD1 Perpetual Markets

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The perpetuals exchange is promoting WLFI’s stablecoin as a trading asset ahead of the Aster Chain Layer 1 launch.

Aster, the decentralized perpetuals exchange backed by YZi Labs, is expanding its collaboration with World Liberty Financial, the DeFi project affiliated with the Trump family, adding USD1-denominated perpetual contracts and an incentive program aimed at bootstrapping stablecoin liquidity ahead of the platform’s Layer 1 launch.

The exchange is starting with BTC, ETH, and SOL pairs, with more than 10 additional pairs planned in the coming weeks. USD1 is also supported as a core margin asset and collateral equivalent to USDT, and Aster is offering zero maker fees and a 0.5-bps taker fee on USD1 pairs, an approximately 87.5% reduction compared to its standard 4-bps USDT taker fee.

Up to 2.5 million WLFI tokens will be distributed monthly through the USD1 perpetual trading incentive program based on trading activity, with rewards distributed weekly.

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Donald Trump Jr., co-founder of World Liberty Financial, promoted the launch on X, saying, “This is how you scale stablecoin utility beyond just payments.”

“Aster Chain’s success depends on the depth of its underlying liquidity,” said Leonard, CEO of Aster. “By bringing USD1 into our core trading engine during this phase, we’re building the trading foundation for the Aster Chain launch.”

ASTER is trading at around $0.70, down 10% in the past 24 hours to a market cap of approximately $1.7 billion, per CoinGecko. WLFI is down 3.5% over the same period.

ASTER Chart
ASTER Chart

Aster originally launched as ApolloX in 2021 and rebranded following a merger with Astherus in December 2024. The platform is incubated by YZi Labs, previously Binance’s venture arm, and received a high-profile boost when Binance co-founder CZ began promoting it on X, sending its token on a roughly 40x run.

Aster is currently the second-largest perp DEX by open interest after Hyperliquid, according to DeFiLlama, and recently launched the genesis phase of Aster Chain, a privacy-focused Layer 1 that uses ZK proofs to keep trades private by default.

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Morgan Stanley’s bitcoin ETF opens today, giving BlackRock’s $55 billion IBIT fund its toughest rival yet

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Morgan Stanley's bitcoin ETF opens today, giving BlackRock’s $55 billion IBIT fund its toughest rival yet

BlackRock’s most successful exchange-traded fund (ETF) is facing its clearest challenge yet, as Morgan Stanley rolls out a cheaper rival with direct access to trillions in client capital.

Morgan Stanley’s ETF, trading under MSBT, began trading Tuesday with a 0.14% expense ratio, below the iShares Bitcoin Trust’s (IBIT) 0.25%. The difference is narrow but lands in a market where price is one of the few levers investors can pull.

Each spot bitcoin ETF holds bitcoin and tracks its price. That leaves cost, liquidity and access as the main points of difference. IBIT has led on scale and trading activity since launch, becoming the most liquid vehicle for both shares and options tied to bitcoin ETFs with roughly $55 billion in assets-under-management.

That liquidity gives IBIT an edge that may be hard to replicate.

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“The launch will impact things but it will be interesting to see if it can actually siphon assets from other funds,” said James Seyffart, ETF analyst at Bloomberg Intelligence. “IBIT is the most liquid ETF for trading and in the options market and it’s unlikely MSBT will ever compete with that. At least not anytime remotely soon.”

Still, Morgan Stanley’s entry changes the competitive balance.

The bank can tap its vast wealth management network, where advisors can shift client allocations with a single trade. In practice, that means new demand may be directed toward MSBT rather than existing funds like IBIT.

“Distribution is king in the ETF space, and Morgan Stanley has that in spades with its army of wealth managers,” said Nate Geraci, president of the ETF Store. “Combined with MSBT being the lowest-cost spot bitcoin ETF on the market, that’s a strong recipe for success.”

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Geraci added that MSBT, which uses undercuts IBIT by 11 basis points, a gap large enough to draw attention from both investors and BlackRock.

IBIT’s position reflects how the market has evolved. Early inflows favored large, trusted issuers with deep liquidity. Over time, as more trusted names have entered the market, fee sensitivity has grown.

Morgan Stanley’s launch may speed up that shift, even if IBIT retains its lead in trading volume.

The result is a more defined split in the market. IBIT offers depth and liquidity for active traders.

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Newer entrants like MSBT compete on cost and distribution. Morgan Stanley’s wealth management arm oversees trillions in client assets and has one of the largest adviser networks in the industry, giving the bank a steep advantage. As more capital moves through financial advisors rather than direct trading, that channel may carry increasing weight.

For now, IBIT remains the benchmark. But with fees falling and new entrants targeting its position, its grip on flows may face its first sustained test.

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South Korea Tightens Crypto Withdrawal Delay Exemptions

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South Korea Tightens Crypto Withdrawal Delay Exemptions

South Korea’s financial regulator said it will tighten the exception rules under crypto exchanges’ withdrawal-delay system after finding that scam-linked accounts granted exemptions accounted for most voice-phishing-related losses. 

The Financial Services Commission (FSC) said Wednesday that the strengthened framework, developed with the Financial Supervisory Service (FSS) and the Digital Asset eXchange Alliance (DAXA), will impose unified standards on when users can bypass withdrawal delays. 

The regulator said exchanges had been applying their own exception criteria with no clear minimum standard, creating loopholes that let bad actors quickly move funds if they meet easy requirements such as account age or trading history. 

From June to September 2025, accounts granted withdrawal-delay exemptions made up 59% of fraudulent accounts and 75.5% of related losses at crypto exchanges, the FSC said.

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The move follows a wider South Korean push to tighten crypto exchange controls after voice-phishing abuse and operational-control failures, including fresh reforms announced this week after Bithumb’s Bitcoin (BTC) payout error.

Transfer route and protection device for voice phishing damage through virtual assets, translated to English. Source: FSC

Unified rules aim to curb misuse of withdrawal-delay exemptions

The FSC said that under the new rules, exchanges must assess factors like trading frequency, account history and deposit and withdrawal amounts when determining whether a user qualifies for a withdrawal-delay exemption. 

The regulator said the change is expected to reduce the number of users eligible for exemptions sharply. The FSC said a simulation showed the share of users eligible for exemptions would fall to around 1% under the new rules, but did not provide a baseline for comparison.

Related: South Korean brokerage Korea Investment & Securities eyes Coinone stake: Report

The FSC said it will also strengthen oversight of users granted exemptions through periodic checks, including verification of the source of funds, and by building systems to monitor suspicious withdrawal activity. 

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The regulator added that they will continue reviewing the rules to prevent new circumvention methods and adjust as needed. 

The move adds to a broader push by South Korean regulators to tighten oversight of crypto exchanges following recent incidents. 

On Tuesday, the FSC ordered exchanges to reconcile internal ledgers with actual asset holdings every five minutes after an inspection linked to the Bithumb payout error found gaps in internal controls and risk management systems.

On Jan. 29, South Korea expanded crypto licensing scrutiny to cover exchanges and major shareholders. 

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Magazine: ‘Phantom Bitcoin’ checks, Drift hack linked to North Korea: Asia Express