The United States is preparing to impose a 25% tariff on most Brazilian imports after naming the country’s Pix instant-payment system among trade practices it considers unfair.

The move comes as dollar-backed stablecoins account for a large share of Brazil’s crypto activity, creating a split between domestic payment policy and demand for digital dollars.

The U.S. Trade Representative’s July 15 action followed a year-long Section 301 investigation covering digital trade, electronic payments and other issues. The final tariff notice says the duty takes effect on July 22, with exemptions for products.

Washington puts Pix inside a wider trade dispute

USTR said Brazil has “unfairly disadvantaged” American electronic payment companies through policies that favor Pix. The agency did not impose a separate tariff on the payment system. Instead, it included electronic payments among the practices used to justify tariffs on Brazilian goods.

Pix has become a core part of everyday payments since the Central Bank of Brazil launched it in 2020. The central bank said the system processed 63 billion transactions worth BRL 26.4 trillion in 2024. Its adoption has increased competition with card networks and other payment services.

Dollar stablecoins keep expanding alongside Pix

The trade dispute comes as dollar-linked stablecoins play a growing role in Brazil’s digital asset market. Brazil’s central bank has said stablecoins account for about 90% of reported crypto flows, with users often turning to dollar-linked tokens for payments and value transfer.

The two systems can connect. As reported by crypto.news, Tether-backed Oobit added Pix support in June, allowing users to deposit reais, hold USDT and pay through Pix keys or QR codes. The product uses stablecoins behind an interface built around a familiar payment method.

Stablecoin use has also grown across the region. Crypto.news reported that dollar-pegged tokens represented 40% of crypto purchases on Bitso in 2025, ahead of Bitcoin. The data shows continued demand for digital dollars alongside established local payment systems.

Brazil draws a line around regulated cross-border payments

Brazilian regulators are tightening rules around how crypto can interact with official payment channels.Resolution BCB No. 561 bars virtual assets from settling payments inside regulated electronic foreign-exchange channels.

As reported by crypto.news, the rule does not ban stablecoins or crypto transfers in Brazil. It prevents regulated eFX providers from using digital assets to settle covered cross-border payments, keeping those flows inside approved foreign-exchange channels.

The policy separates private crypto use from regulated international settlement. Stablecoins can still circulate through exchanges, wallets and other services, while supervised payment firms must follow central bank foreign-exchange rules.

Trade pressure meets Brazil’s changing payment landscape

The U.S. action also arrives after Brazil promoted alternatives for international settlement during its 2025 BRICS presidency. Crypto.news reported that Brazilian officials discussed blockchain payment infrastructure while rejecting claims that the bloc was building a common currency to replace the dollar.

Washington’s action puts Pix inside a wider trade case rather than treating it as a crypto issue. At the same time, Brazil’s stablecoin market shows that dollar demand remains active through blockchain rails.

The payment market is moving in several directions. Pix dominates domestic instant payments, regulators are restricting crypto settlement in supervised cross-border channels, and dollar-backed stablecoins continue to attract users. The 25% tariff adds trade pressure to that changing landscape.

Electronic Transactions Association (ETA) CEO, Jason Oxman, indicated that members of his organization might start recognizing Bitcoin’s disruptive potential, suggesting that this might lead to more partnerships between traditional electronic payment providers and Bitcoin startups.

On August 6, the ETA, which represents companies like Visa, MasterCard, Amazon and PayPal, welcomed BitPay, the first virtual currency company to become an ETA member, according to the press release. The announcement expressed the ETA’s commitment to embrace new technologies, and said to expect “more such partnerships as the payments industry innovates for the future.”

In a recent interview with CoinDesk, the head of the financial trade group specified that the ETA did not advocate for Bitcoin and had not taken an official position to the detriment of others technologies, stating that his support extended equally to all forms of electronic transactions.

However, Oxman highlighted their recent partnership with Atlanta-based Bitcoin payment solutions provider BitPay as evidence that the ETA “will not turn a blind eye to innovation.” Oxman said to be seeking to frame his organization as one that is open to work with emerging tech startups, including Bitcoin-related companies, adding that his choices depended largely on the demand:

“At bottom, our industry is in the business of facilitating electronic transactions, and those electronic transactions are going to take the form of whatever the customer or merchant of choice agrees is going to be the form of their electronic transaction.”

– ETA CEO, Jason Oxman

Oxman added that the Bitcoin Foundation played a major role in educating the ETA on the benefits of Bitcoin, highlighting the advantages of strategic partnerships between Bitcoin startups and companies in the electronic payment industry. Referring to an ETA event in 2013 where Bitcoin Foundation’s general counsel Patrick Murck spoke, Oxman noted:

“[Murck] did a good job of putting a business-focused backing to bitcoin. With that kind of introduction, our members look to bitcoin as an interesting development in the industry, and at least one of our members has seen fit to strike a deal with a bitcoin processor.”

Oxman also commented on NY’s BitLicense proposal, noting that in the past, the ETA had to pave the way for new payment options such as PayPal, spending most of its time ensuring that the Government doesn’t constrain innovations. However, Oxman understands the Government’s reaction, explaining that regulators were most worried about customer protection:

“In the world of new payments technologies, any regulators are going to ask questions about the level of consumer protection available through alternative payment systems. The less those systems are established and deployed, the more regulators are going to feel compelled to step in and protect consumers where those protections are not otherwise available.”

Even tough Oxman said to understand both sides of the BitLicense proposal issue, he thinks that the NYDFS should conduct more research on Bitcoin:

“I do think that it’s important to sound a cautionary note that regulators should not apply reflexive rules just because something is new. What they should do instead – hopefully New York will undertake this, but the early signs are cause for concern – they should take a real in-depth look at how bitcoin’s systems operates, how the block chain operates, how bitcoin providers like bitcoin processors take additional steps to protect consumers, to protect merchants.”

Earlier this week, New York’s Department of Financial Services superintendent Benjamin Lawsky, extended the public comment period on the BiLicense proposal by 45 days, postponing the deadline to October 21. This action followed the joint letter from BTC China, Huobi and OkCoin where the “Big three” addressed to Lawsky their comments and concerns about the regulatory proposal.

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Bitcoin Ordinals advocate Leonidas has introduced DOG Mode, an alternative open-source Bitcoin client that changes how nodes relay certain valid transactions without altering Bitcoin’s consensus rules.

The project adds a new layer to the dispute over Ordinals, Runes and the use of Bitcoin block space.

In his DOG Mode announcement, Leonidas argued that Bitcoin Core and Bitcoin Knots enforce policy restrictions that Bitcoin’s consensus rules do not require. He said a transaction can remain valid under consensus while default nodes still refuse to relay it across the peer-to-peer network.

DOG Mode targets relay policy, not Bitcoin consensus

DOG Mode would raise the maximum individual transaction size allowed under its relay policy to 3.9 million weight units. Bitcoin Core’s default policy currently limits individual standard transactions to 400,000 weight units. The client would also lower the dust threshold to one satoshi for small transaction outputs.

As reported by crypto.news, DOG Mode does not require a Bitcoin fork because it works within existing consensus rules. Nodes can choose to run the software and relay transactions that other clients may treat as non-standard, while miners still decide which valid transactions they include in blocks.

Ordinals and Runes return to the governance debate

The proposal centers on a long-running dispute over whether Bitcoin should treat every valid, fee-paying transaction equally. Leonidas supports a market-based model in which users compete for block space through fees rather than software developers deciding which transaction structures should receive default relay support.

DOG Mode could make it easier to propagate large Ordinals inscriptions and small outputs used by some Bitcoin-native token protocols. However, different relay policies could also leave nodes with different views of unconfirmed transactions before miners add them to blocks. Bitcoin’s consensus rules would remain unchanged even if node mempools differed.

DOG Mode takes a different path from BIP 110

The DOG Mode approach contrasts with BIP 110, which proposes temporary consensus restrictions on several forms of transaction data. As reported by crypto.news, Bitcoin developer Luke Dashjr has continued to support the proposal despite opposition from users who view the restrictions as censorship.

BIP 110 supporters argue that data-heavy transactions raise storage costs and consume scarce block space. Critics argue that changing consensus rules to restrict currently valid transactions could create a broader precedent. Michael Saylor and Adam Back have opposed BIP 110, as reported by crypto.news, while miner signaling remained far below its proposed 55% activation threshold in mid-July.

Bitcoin users decide which policies gain adoption

DOG Mode also raises questions about how Bitcoin governance works outside formal protocol changes. Bitcoin Core developers can set default relay policies, but node operators remain free to run other software. Miners can also receive transactions through direct channels instead of the public peer-to-peer relay network.

That distinction means DOG Mode does not need broad agreement to begin operating. Its influence will depend on whether node operators, miners and Bitcoin users choose to adopt its policies. Leonidas said the longer-term aim is for wider use to push existing Bitcoin clients to reconsider restrictions that he views as unnecessary.

The debate now presents two different approaches to disputed Bitcoin activity. BIP 110 seeks new consensus restrictions, while DOG Mode removes some default policy limits without changing consensus. The outcome will depend on which software users choose to run and which transactions miners choose to process.

U.S. financial regulators have missed the GENIUS Act’s one-year deadline to complete key rules for the country’s federal stablecoin framework. 

Several regulations remained at the proposal stage when the July 18, 2026, deadline passed.President Donald Trump signed the GENIUS Act into law on July 18, 2025. The law required primary federal stablecoin regulators to issue implementing rules within one year. The Office of the Comptroller of the Currency began its main rulemaking process earlier this year, but final rules were not in place by the deadline.

Major stablecoin regulations remain unfinished

The OCC released its main proposed GENIUS Act rules in February. The proposal covers reserve assets, redemptions, capital, liquidity, custody and risk management for stablecoin issuers under its supervision.

The Federal Deposit Insurance Corporation also proposed its own framework in April. It covers reserve requirements, capital, redemptions, custody and risk controls for issuers linked to FDIC-supervised banks. However, the rules remain unfinished.

As reported by crypto.news, major banking groups previously asked regulators to coordinate several GENIUS Act proposals before completing them. The groups argued that rules from different agencies remain closely connected and should not move forward separately.

The National Credit Union Administration has also been working on rules for stablecoin issuers. Its latest standards proposal remained in the consultation process close to the statutory deadline.

Customer identification rules remain open

Federal regulators also have not completed rules covering customer identification for stablecoin issuers. The joint proposal released by federal agencies would require covered issuers to verify customers and maintain identification records.

As reported by crypto.news, the proposal would treat permitted stablecoin issuers as financial institutions under Bank Secrecy Act requirements. The public comment period runs beyond the July 18 rulemaking deadline, preventing regulators from completing the normal review process beforehand.

Anti-money laundering and sanctions rules also remain under development. The Treasury Department proposed separate compliance requirements in April, while the FDIC issued another proposal covering issuers under its supervision.

State oversight remains unsettled

The GENIUS Act allows some smaller stablecoin issuers to operate under state supervision when local rules meet federal standards. The law uses the term “substantially similar” to describe qualifying state frameworks.

The Treasury Department proposed rules for that certification process in April, but the framework has not been finalized. As reported by crypto.news, a bipartisan group of senators later urged Treasury to preserve the role of state regulators and provide clearer certification timelines.

New York has also moved to align its stablecoin rules with the federal system.Crypto.news reported that the state proposed updated requirements as it prepares to seek recognition under the GENIUS Act framework.

Missed deadline shortens the preparation window

Missing the July 18 rulemaking deadline does not automatically delay the GENIUS Act’s start date. The law is scheduled to take effect by January 18, 2027, unless final rules trigger an earlier effective date under its implementation timetable.

That leaves prospective stablecoin issuers preparing for a federal framework while several detailed requirements can still change. Companies must eventually adjust their reserve management, customer checks, redemption processes and compliance systems to meet the final rules.

As reported by crypto.news, the July deadline was a key point in the GENIUS Act rollout. Regulators have now passed that date with major rule packages still unfinished, reducing the time between final rule publication and the framework’s scheduled start.

BNB Chain has become the largest blockchain for assets tracked under Franklin Templeton’s Benji tokenization platform, with about $1.5 billion recorded on the network.

The figure represents 61.71% of the platform’s distributed asset value, according to RWA.xyz data cited byBNB Chain.

The milestone marks a sharp change in the platform’s network distribution. BNB Chain holdings rose 1,226% over the past month, moving ahead of Stellar, which previously held the largest share. The data refers to the wider Benji platform rather than only the standalone BENJI tokenized money market fund.

BNB Chain takes the largest share of Benji assets

RWA.xyz lists Franklin Templeton’s Benji platform with about $2.44 billion in distributed assets as of July 18. BNB Chain accounts for roughly $1.5 billion of that total. Stellar follows with about $573.4 million, while Ethereum holds around $159.1 million.

Base, Arbitrum, Avalanche, Polygon and Aptos hold smaller amounts. The shift follows Franklin Templeton’s decision to bring its Benji Technology Platform to BNB Chain in 2025. The integration allowed the asset manager to use BNB Chain for transactions and ownership records tied to tokenized financial products.

RWA.xyz separately lists the BENJI asset at about $734.3 million, showing why the platform and fund figures should not be treated as identical. The broader platform includes multiple tokenized products, while BENJI represents one share of the Franklin OnChain U.S. Government Money Fund for investors.

Stellar remains central to Franklin Templeton’s tokenization history

Franklin Templeton launched its blockchain-based money market fund on Stellar in 2021. The product became an early example of a U.S.-registered mutual fund using public blockchain technology to process transactions and maintain share ownership records.

Crypto analyst ALLINCRYPTO said Stellar provided the early foundation before Franklin Templeton expanded its tokenization strategy across more networks. However, current RWA.xyz data shows that BNB Chain now holds the largest share of assets tracked across the broader Benji platform. The data does not show how much of the recent increase came from new issuance compared with assets moved between networks.

Franklin Templeton expands BENJI access across crypto platforms

Franklin Templeton has also expanded the use of its tokenized products through major crypto companies. As reported by crypto.news, the firm added BENJI to MoonPay Trade in June, allowing eligible institutional clients to move between stablecoins and tokenized fund products through an onchain trading system.

The asset manager also partnered with Kraken parent Payward to integrate BENJI as a collateral and cash management tool. As reported by crypto.news, the partnership also covers plans to develop more tokenized investment products. A separate Franklin Templeton and Binance arrangement allows eligible institutions to use tokenized money market fund shares as off-exchange collateral.

Tokenized finance gains wider institutional distribution

Franklin Templeton’s multi-chain strategy comes as more traditional financial firms use public blockchains to distribute regulated investment products. The company has expanded its tokenization work across several networks while also developing new products and distribution partnerships.

As reported by crypto.news, Franklin Templeton has also worked with Ondo Finance on tokenized ETFs designed for round-the-clock wallet-based trading outside the United States. The latest BNB Chain data shows how quickly blockchain distribution can change as issuers add new networks and institutional access points.

For now, BNB Chain leads Franklin Templeton’s broader Benji platform by distributed value, while Stellar remains the network where the firm began its public blockchain fund strategy.

Strategy Chairman Michael Saylor has stepped up his opposition to Bitcoin Improvement Proposal 110, arguing that the temporary soft fork could weaken Bitcoin’s neutral base rules.

In an article titled “110 Reasons BIP 110 Is a Bad Idea,” Saylor said the network should not use consensus changes to decide which valid transactions deserve access to block space.

In Saylor’s article, he argued that Bitcoin cannot reliably determine why transaction data exists. He closed with the line: “Bitcoin does not need guardians of purity. It needs guardians of neutrality.”

FTX will begin its fifth creditor distribution on July 31, sending nearly $900 million to eligible claimants under its court-approved recovery plan.

The payment will cover creditors in the Convenience and Non-Convenience Classes who completed required steps before the June 16 record date.

A repayment update shared by creditor advocate Sunil Kavuri said eligible users can receive funds through BitGo, Kraken or Payoneer. Payments should arrive within one to three business days after distribution starts. The new round brings total payouts since FTX entered bankruptcy to about $10 billion.

FTX moves ahead with fifth creditor distribution

FTX’s recovery process continues nearly four years after the exchange filed for Chapter 11 bankruptcy in November 2022. The company collapsed after a liquidity crisis exposed a large gap in customer assets and left users unable to access funds held on the platform.

Convenience claims below $50,000 are set to receive 120% of their allowed claim value under the recovery plan. Other eligible classes are expected to receive distributions of about 103% to 105%, according to the creditor update. FTX said future dates will depend on claim approvals and eligibility.

Bankruptcy estate keeps returning recovered funds

The July payment follows earlier rounds that returned billions of dollars to former customers and creditors. The estate has funded repayments through recovered cash, investments and asset sales carried out during the bankruptcy process.

Some of those sales have drawn criticism from creditors because several assets later rose sharply in value. As reported by crypto.news, the estate sold a 5% stake in Cursor developer Anysphere for $200,000 in 2023. That former stake was later estimated at about $3 billion based on a reported $60 billion valuation.

Legal disputes tied to FTX remain active

FTX’s collapse continues to produce lawsuits involving former executives, advisers and other parties linked to the exchange. In May, law firm Fenwick & West agreed to pay $54 million to settle claims brought by former FTX customers.

As reported by crypto.news, the plaintiffs accused the firm of helping create legal structures that allowed FTX and Alameda Research to move customer funds without proper safeguards. Fenwick denied wrongdoing, and the proposed settlement requires court approval.

Bankman-Fried faces resistance to clemency

Former FTX CEO Sam Bankman-Fried remains in federal prison after a jury convicted him of fraud and conspiracy charges linked to the exchange’s collapse. A judge sentenced him to 25 years in prison in 2024.

His legal options narrowed in June when a federal appeals court upheld his conviction and sentence. As reported by crypto.news, the court rejected arguments that the trial judge improperly limited evidence that Bankman-Fried wanted to present.

Bankman-Fried has also sought a presidential pardon, but the effort faces political opposition. The U.S. Senate unanimously adopted a resolution opposing clemency, as reported by crypto.news. The resolution cannot prevent a president from granting a pardon, but it places senators on record against clemency.

The latest $900 million payout keeps FTX’s repayment process moving while legal cases tied to the exchange remain unresolved. Creditors who qualify for the July round must use an approved distribution provider and complete all required verification steps before receiving funds.

Coinbase product executive Jordan Fish, better known as Cobie, said the company has become too distant from crypto-native users as questions grow over trust in the Base ecosystem.

His comments followed a public challenge from crypto commentator Rune over how the Base App plans to attract onchain users after recent community disputes.

Cobie said he had taken responsibility for the Base App and Coinbase trading products only days earlier. He also made clear that he does not run the Base blockchain. Jesse Pollak confirmed the leadership change, saying he had handed the app to Cobie so he could focus on the Base network.

Rune questions whether Base can rebuild user trust

Rune asked how the Base App could bring more users onchain when some supporters feel the ecosystem has repeatedly damaged their trust. He said Base still has strong infrastructure but questioned whether the project could attract new users without changing how its teams interact with the community.

Cobie acknowledged the criticism in a public exchange shared by Wu Blockchain. He said Coinbase had operated in an “ivory tower” to some extent and had become distant from users, especially crypto-native users. He also said Coinbase and Base had lost a large amount of trust through mistakes that could have been avoided.

Cobie added that the problems could not be fixed within a week or even a month. He said he plans to listen more closely to onchain users and create stronger links between product developers and the people using Coinbase products.

Cobie takes over as Base changes product direction

The comments came days after Pollak transferred leadership of the Base App to Cobie. As reported by crypto.news, Pollak stepped back from the app after Base’s focus on social products failed to produce the growth the team expected.

Pollak will now focus more closely on the Base blockchain, while Cobie oversees the Base App alongside Coinbase’s wider trading products. The shift gives Cobie responsibility for products including the main Coinbase App and its advanced trading services.

The management change also follows a wider reset in Base’s product strategy. Coinbase CEO Brian Armstrong recently admitted that Base had “messed up” with content coins, as reported by crypto.news. The network has since shifted more of its attention toward trading, payments and AI-related products.

Base faces pressure after product and network setbacks

Base has faced several setbacks while changing its product strategy. The network suffered a nearly two-hour halt in block production in June after an invalid block created a consensus problem.

As reported by crypto.news, Pollak said user funds remained safe during the outage but described the incident as unacceptable for infrastructure built to support financial activity around the clock.

Base has also continued to expand its technical infrastructure. The network recently activated its B20 token standard, which allows developers to issue stablecoins and tokenized assets with built-in controls for issuers.

The B20 standard followed Base’s Beryl network upgrade, as reported by crypto.news, and forms part of the network’s broader push into trading and financial applications.

Cobie says closer contact with users will take time

Cobie said rebuilding trust would require sustained work. He plans to listen more closely to crypto-native users, connect product teams more directly with the community and focus on products that users actually want.

His comments focused mainly on the Base App and Coinbase trading products rather than the Base blockchain itself. Rune later said Base’s underlying infrastructure could still compete among leading layer-2 networks but argued that the project needs to place users at the center of its decisions.

Cobie joined Coinbase after the company acquired Echo, the onchain fundraising platform he founded. Coinbase announced the $375 million Echo acquisition in October 2025, bringing Cobie into a larger role within the company.

His move into leadership of the Base App now comes as Coinbase tries to rebuild stronger ties with crypto-native users while expanding its trading and onchain products.