Senator Bill Hagerty has renewed expectations that Congress could advance the Digital Asset Market Clarity Act before the July 4 recess, even as several lawmakers continue to caution that final Senate action may take longer.

According to comments made by Hagerty during a FOX Business interview, negotiations on the legislation remain ongoing, but he still hopes lawmakers can complete work on the bill before Congress breaks for Independence Day.

“This will be something more a matter of focus after the 4th of July recess period, but I certainly hope to see it done before,” Hagerty said.

The Tennessee Republican described the legislation as a key step toward establishing clear rules for digital assets in the United States. In his view, the bill would provide the certainty needed for businesses and investors to participate in the sector under a defined regulatory framework.

His remarks come as the Senate recently approved the GENIUS Act, which created a federal framework for stablecoins. Hagerty argued that the stablecoin legislation demonstrated how regulatory clarity can support dollar-backed digital assets while strengthening the role of the U.S. dollar through fully reserved stablecoins.

Senate debate has narrowed to ethics provisions

While Hagerty continues to push for action before July 4, other lawmakers have offered a more cautious timeline. Senator Cynthia Lummis has indicated that a Senate floor vote is more likely before the August recess than before Independence Day.

Additional insight from Washington discussions suggests that most policy disagreements may already be settled. As reported earlier by crypto.news, David Nage, managing director and portfolio manager at Arca, said conversations with Senate offices left him believing lawmakers and industry participants are roughly 80% to 85% aligned on the substance of the legislation.

According to Nage, stablecoin yield provisions no longer appear to be a major source of disagreement despite continued criticism from banking executives, including JPMorgan Chief Executive Officer Jamie Dimon.

Instead, Nage said discussions have increasingly focused on conflict-of-interest and ethics rules that would restrict government officials from participating in crypto-related business activities while holding office.

Following meetings with congressional staff, Nage stated that lawmakers are now debating how such restrictions should be enforced rather than whether they should exist. He characterized the remaining disagreement as a political and implementation issue rather than a dispute over digital asset market structure.

Under Nage’s base-case scenario, lawmakers would resolve the ethics provisions and reconcile competing proposals in the coming weeks, allowing the legislation to reach the Senate floor after Congress returns from recess on July 13.

Industry sees regulation as key to institutional participation

Supporters of the legislation argue that regulatory certainty remains one of the largest barriers preventing broader participation from traditional financial institutions.

Speaking on the issue, Solana Policy Institute President Kristin Smith said many asset allocators continue to explore opportunities in digital assets but are waiting for clearer regulatory guidelines before committing capital.

Smith also rejected claims that the CLARITY Act would weaken oversight of the industry. According to her, the legislation would introduce additional consumer protections, provide law enforcement with new tools, and address gaps in existing regulations.

Backers of the measure further note that the bill would clarify the responsibilities of the Securities and Exchange Commission and the Commodity Futures Trading Commission while establishing compliance requirements for digital asset firms.

At the same time, Lummis has disclosed that the legislation includes $150 million in funding intended to combat illicit activity involving cryptocurrencies. She has also warned that if Congress fails to advance the measure during the current legislative window, meaningful action on market structure legislation could potentially be delayed until 2030.

Malta’s financial regulator has opened a public consultation that proposes a dedicated legal framing for decentralized finance (DeFi), including how decentralized autonomous organizations (DAOs) and other “software-governed” structures might be recognized under European rules. The move arrives as EU policymakers continue working through the practical question of which aspects of DeFi can be treated as falling outside existing crypto legislation—and which cannot.

On June 12, the Malta Financial Services Authority (MFSA) launched its consultation on DeFi in connection with the EU’s Markets in Crypto-Assets (MiCA) regime. Stakeholders have until July 10 to respond. The discussion paper introduces the concept of a new category—“software-based organizations”—intended to capture entities whose governance is implemented through code or software logic, while distinguishing governance and liability at the organization level from the technical operation of the underlying blockchain protocol.

Key takeaways

• The MFSA consultation proposes treating DAOs and similar DeFi actors as “software-based organizations,” separating the legal status of governance from protocol/software mechanics.
• The paper is positioned within the MiCA context, while underscoring that “fully decentralized” arrangements may not be intended to fall within MiCA’s scope.
• Malta’s regulator argues that many DeFi projects still contain centralized elements that complicate claims of full decentralization and raise accountability questions.
• The consultation is designed to solicit industry feedback before potential EU and national approaches to DeFi governance and responsibility solidify.
• The MFSA’s 2018-era regulatory experience suggests Malta intends to remain an active jurisdiction for digital-asset legal development as Europe refines its compliance expectations.

Malta MFSA proposes “software-based organization” concept under MiCA

The MFSA’s discussion paper centers on legal classification and regulatory accountability. Rather than treating DAOs as a freestanding legal category, the authority suggests mapping DAOs into a broader construct: software-based organizations. In this framework, the organization governed via decentralized software would be assessed separately from the software/protocol itself.

Regulators across Europe have grappled with a recurring compliance challenge in DeFi: decentralization is often presented as eliminating intermediaries, but many real-world arrangements still exhibit concentrated control, identifiable decision-makers, or operational structures that effectively function like centralized entities. The MFSA’s approach reflects that tension by focusing on governance and responsibility—areas that directly affect how supervision and enforcement might work.

In laying out its position, the MFSA also reiterated MiCA’s underlying boundary. The paper notes that MiCA excludes fully decentralized models from its regulatory scope, meaning projects without intermediaries or central control may not need to comply with MiCA requirements. At the same time, the regulator highlights that DeFi projects can be difficult to characterize as “fully decentralized,” especially when legal or operational levers point to someone who can be held responsible.

This distinction matters in practice for institutional stakeholders because it can determine whether a DeFi activity is treated as an exempt decentralized service or as a regulated offering that triggers licensing, disclosures, and ongoing compliance obligations. For legal and compliance teams, the MFSA proposal is therefore not simply a theoretical classification—it is an attempt to clarify how governance arrangements influence regulatory reach.

EU-wide focus on DeFi decentralization tests and regulatory gaps

Malta’s consultation is taking place within a wider EU conversation about how MiCA should apply to decentralized finance and DAOs. Multiple EU institutions have recently examined whether major DeFi systems can realistically satisfy the thresholds implied by “fully decentralized” treatment.

In March, an European Central Bank working paper concluded that governance and control across four major DeFi protocols remained highly concentrated. The finding suggested that many projects may struggle to qualify as “fully decentralized,” potentially keeping them within regulatory sight rather than outside MiCA.

In May, the European Commission initiated a targeted review of MiCA. Among the issues flagged for consideration were stablecoin-related questions, the treatment of DeFi, and whether the current framework contains gaps that might require additional regulation. The Commission’s focus signals that EU lawmakers see decentralization as an operational and legal variable—one that may not be fully resolved by the existing text.

At the same time, there is no single policy consensus. Speaking to Cointelegraph at the WAIB Summit Monaco earlier this month, European Commission adviser Peter Kerstens argued that policymakers should prioritize integrating tokenization into a broader digital asset framework rather than developing a second version of MiCA specifically aimed at DeFi. The position underscores a key uncertainty for market participants: whether Europe will address DeFi through an expanded MiCA architecture, through targeted adjustments to existing rules, or through a broader tokenization-centric framework that incidentally covers DeFi governance risks.

Why the “decentralization” question drives compliance risk

The core policy tension behind the MFSA proposal is that decentralization is not only a technical characteristic of a protocol; it also determines how liability and oversight can be assigned. For compliance monitoring, the practical question is whether there is an identifiable governance structure, decision-making center, or operational intermediary—factors that can pull a project back into regulated territory even if the software is deployed in a decentralized manner.

The MFSA’s discussion paper explicitly leans on this point. By distinguishing governance of an organization from the protocol and software that run it, the regulator appears to be aiming at a more enforceable legal mapping: if there is a “software-based organization” with governance that can be linked to a responsible set of actors or decision processes, then regulators need a legal framework that can be operationalized.

For exchanges, banks, payment firms, and other institutional partners that may interact with DeFi systems, these distinctions can affect risk controls and onboarding policies. In cross-border contexts, where counterparties may rely on a mixture of local interpretations, clearer classification concepts can also reduce uncertainty about regulatory expectations for lawful access, custody, or service provision.

However, unresolved questions remain. The EU’s legal treatment of DeFi depends on how “fully decentralized” is interpreted in practice, how governance concentration is measured, and how regulators determine whether intermediaries exist in substance even when they are not named in a traditional corporate form. Any national proposals—such as Malta’s—may influence EU thinking, but they will also likely be tested against divergent interpretations across jurisdictions.

Malta’s regulatory posture and implications for the next policy step

Malta has previously played an early and prominent role in European crypto regulation, including establishing one of the region’s first comprehensive frameworks for digital assets in 2018. Against that background, the MFSA consultation suggests Malta intends to contribute actively to the emerging European approach to DeFi governance and legal responsibility.

Still, the consultation does not signal an automatic shift in MiCA’s scope. Instead, it aims to build a conceptual bridge between existing EU rules and the operational realities of DeFi structures. By inviting industry feedback through July 10, the regulator is effectively testing whether market participants can provide workable perspectives on how to identify governance, intermediaries, and accountability in software-governed systems.

Institutional stakeholders—including compliance officers, counsel, and risk committees—may want to focus their responses on how the proposed “software-based organization” concept would apply to concrete governance arrangements, including how decision authority is exercised, how upgrades or parameter changes are handled, and what level of control would be considered incompatible with “fully decentralized” treatment.

As the EU considers its MiCA review agenda and as enforcement attention continues to evolve across member states, consultations like Malta’s are likely to play a role in shaping the compliance baseline for DeFi. The immediate next step is the MFSA’s assessment of submissions and any resulting amendments to the framework. Longer-term, the open question for the broader EU market is whether legislators will converge on a consistent method for separating protocol decentralization from organization-level legal accountability—or whether decentralization will remain a contested, case-by-case determination.

TLDR:

• Uniswap API won 52.4% of 554,137 MetaMask swaps over 99 days, beating all rivals combined by count
• The API recorded the lowest median slippage of 0.21–0.88 bps and a 0.12% failure rate across all providers
• OKX’s volume lead of 25.3% stemmed from whale concentration, with one signer routing $42.6M in six trades
• Excluding top 100 wallets per provider, Uniswap led adjusted volume at 32.9%, ahead of Kyber and 1inch v6

The Uniswap API has emerged as the dominant routing provider inside MetaMask’s swap architecture on Ethereum mainnet.

An independent researcher identified as Vaish analyzed 554,137 successful swaps over 99 days, totaling $567.8 million in volume.

The study found the Uniswap API won 52.4% of all routed transactions by count. That figure exceeds every competing provider combined, raising questions about how AMM-based routing holds its ground against RFQ desks.

Uniswap API Leads on Transaction Count and Execution Quality

MetaMask operates a multi-provider swap architecture where each trade request goes out to roughly a dozen routing providers simultaneously.

The platform selects the best quote net of fees and presents it to the user. Since Uniswap’s API integration in March 2026, it has consistently won more of those head-to-head quote competitions than any rival.

Realized execution data backs the routing outcome. Vaish’s study measured slippage as the deviation between a user’s actual fill and the on-chain mid-price at execution time.

The Uniswap API posted the lowest median slippage across all five trade-size buckets, ranging from 0.21 to 0.88 basis points. Competitors recorded medians between 1 and 27 basis points.

Vaish summarized the finding directly: “Among the hundreds of thousands of ordinary users whose wallet shops their order across a dozen providers, Uniswap is the routing outcome more often than every competitor combined, and the settled trades justify the routing.”

The Uniswap API also recorded a failure rate of just 0.12%, the lowest among all major providers. Competing platforms ran failure rates between 0.27% and 0.64%.

At MetaMask’s transaction volume, that gap translates to thousands of avoided failed swaps and their associated gas costs.

The routing advantage held across pair types, gas conditions, and times of day, with transaction share staying between 52% and 55% in every UTC hour.

OKX Volume Lead Tied to Whale Concentration, Not Broad User Demand

By raw dollar volume, OKX led the dataset at 25.3%, compared to Uniswap’s 21.3%. However, the researcher found that figure came from extreme wallet concentration. OKX’s $143.8 million in volume originated from just 13,850 wallets, with the top 10 accounting for 48% of it.

A single intermediary contract operated by one signer sent $42.6 million through OKX across just six transactions. That entity alone represented roughly 30% of OKX’s total volume in the study period.

On this distinction, Vaish was direct: “Routing share by transaction count is a tally of independent quote competitions, one per user decision. Routing share by raw volume is that same tally reweighted by a few large actors.”

Uniswap, by contrast, drew its volume from 134,876 wallets, with only 5.4% concentrated among its top 10. After excluding the top 100 wallets from each provider, Uniswap led the adjusted volume ranking at 32.9%. Kyber followed at 18.2%, with 1inch v6 at 15.7%, OKX at 13.3%, and 0x at 12.9%.

On routes involving five or more legs, OKX captured 43.1% of volume while Uniswap dropped to 4.1%. That split reflects a structural divide: AMM-based routing performs strongest on standard retail trades, while RFQ desks hold an edge on complex, large-ticket routes above $100,000.

The Uniswap API was the only major provider whose share rose consistently under progressive whale exclusion.

Ether’s near-term outlook is deteriorating as spot flow and derivatives positioning both point to weaker participation. Over the past several days, Binance saw net inflows of about 57,700 ETH, while Ether futures open interest has dropped to $10.3 billion—down from roughly $15 billion a month earlier—marking the lowest level across exchanges since April 2025, according to CryptoQuant.

Analysts say the mix of rising exchange supply, fewer new depositors, and cooling leverage is consistent with a market that may be running out of fresh buying pressure. Several traders are now watching key weekly demand areas around $1,700 and $1,400, with the potential for renewed downside if Ether fails to hold.

Key takeaways

• Binance net inflows of ~57,700 ETH suggest more Ether is moving onto the most liquid venues, increasing the risk of sell-side pressure if price rallies.
• Ether futures open interest fell ~31% to $10.3B—its lowest aggregate level since April 2025, reflecting cooling speculative activity.
• Estimated leverage ratio declined to 0.83 from an early-June peak, signaling reduced trader conviction and less leverage-driven volatility.
• Weekly price levels in focus: the market is hovering near $1,700 and $1,400, with lower liquidity targets below there.

Why Binance inflows matter for short-term selling risk

CryptoQuant analyst Pelin Ay highlighted that Binance received roughly 57,700 ETH on a net basis over the past few days. In crypto market structure, large and sustained exchange inflows can act as a warning sign for near-term sell pressure—especially when the influx is concentrated on a venue with deep liquidity like Binance.

Ay also tied the pattern to a lack of offsetting demand. The number of new ETH depositors is currently around 320 addresses, which is described as materially below levels seen during earlier demand surges. When deposit growth is weaker, the spot market’s ability to absorb incoming supply without repricing can fade—leaving price action more dependent on existing holders.

There is also a supply-side counterweight to consider. Ay noted that daily ETH issuance sits near 2,791 ETH, a relatively modest figure that has been typical since Ethereum’s EIP-1559 upgrade in 2021. Still, even with comparatively lower issuance, elevated exchange inflows can be enough to tilt order books if buyers don’t step in.

In Ay’s view, the near-term risk is that a brief relief rally into resistance could encourage further distribution from exchange balances, turning “stability” into renewed pressure.

Derivatives activity cools as open interest hits a multi-month low

Beyond spot flows, the derivatives tape has weakened. Ether futures open interest fell to $10.3 billion on Thursday, down from about $15 billion a month ago—roughly a 31% decline. CryptoQuant characterizes this as the lowest aggregate open interest across exchanges since April 2025.

Open interest is often used as a proxy for participation and the balance of hedging versus new speculative bets. A drop of this scale typically points to fewer market participants taking fresh positions, which can translate into less willingness to press trades during a rebound attempt.

Leveraged positioning has also eased. The estimated leverage ratio (ELR) fell to 0.83 from an all-time high of 1.10 on June 2. CryptoQuant also notes that this move represents the largest leverage unwind since October 2025, when the metric slid from 0.72 to 0.56.

Lower leverage can reduce short-term volatility and speculative pressure, but it usually comes with a trade-off: it often reflects weaker conviction. In other words, the market may be less prone to sharp liquidations, yet less capable of sustaining a strong uptrend on its own momentum.

Weekly demand zones under scrutiny: $1,700 and $1,400

On the chart, Ether’s weekly trend has continued to struggle. The weekly outlook referenced in the analysis shows ETH down about 30% over the past 42 days, trading near demand zones around $1,700 and $1,400.

The April 2025 low at $1,384 is cited as the nearest external liquidity target if weakness continues. Below that, the analysis points to a broader demand area dating back to January 2023, spanning roughly $1,289 to $1,071.

Trader Ardi previously argued on X that there are early technical “bottoming” signals forming for altcoins, including ETH. In the same framing, Ardi noted that Ether touched the lower band of a long-term acceptance range that had previously aligned with macro lows—suggesting the market may be approaching a decision point rather than continuing an uninterrupted slide.

Part of that argument is based on momentum indicators. The weekly RSI is near 31, while a daily RSI reading of 11 during the recent sell-off is described as the lowest recorded level. In practical terms, these readings are often interpreted as improving the odds of stabilization—though they do not guarantee a reversal.

Ardi also emphasized that ETH/BTC remains an important metric to watch because the pair continues to trend lower. For now, the key trading range remains where liquidity and position-taking are concentrated: roughly $1,400 to $1,700.

What investors and traders should monitor next

If exchange inflows keep outpacing new depositors while futures open interest remains depressed, Ether could struggle to convert any bounce into a sustained trend—especially if leverage continues to unwind. The immediate question for markets is whether ETH can hold the weekly demand bands near $1,700 and $1,400, or whether the combination of supply returning to exchanges and reduced derivatives activity will push price toward the next liquidity pockets below.

SpaceX has explored a bond offering worth as much as $20 billion while its publicly traded shares have fallen more than 9%, trimming Elon Musk’s fortune by roughly $59 billion from recent highs.

Bloomberg reported, citing people familiar with the matter, that SpaceX and its banking partners are preparing investor discussions for a potential bond sale that could raise up to $20 billion, one of the largest corporate debt offerings in recent years.

The proposed financing would be used primarily to refinance a bridge loan due in September 2027. According to Bloomberg, that loan represents a significant portion of SpaceX’s long-term debt, which stood at approximately $29.1 billion at the end of March.

While the transaction remains under discussion, Bloomberg reported that the final size, structure, and timing could still change depending on market conditions and investor demand. Bank of America, Citigroup, JPMorgan Chase, Goldman Sachs, and Morgan Stanley are expected to lead the process. Those same institutions previously participated in the bridge financing arrangement.

The debt discussions come only days after SpaceX completed a landmark public listing that pushed the company’s valuation above major technology firms and elevated Elon Musk’s wealth to unprecedented levels.

Investors weigh debt plans against recent stock volatility

Following reports of the potential refinancing transaction, SpaceX shares came under selling pressure. SPCX stock fell more than 9% from its previous close of $191.82 to an intraday low of $172.11 on June 18. The stock later recovered part of those losses and finished the session near the $185 level.

The decline follows a sharp rally that had briefly lifted SpaceX’s valuation close to $3 trillion. As crypto.news previously reported, shares reached an intraday high of about $225.84 on June 16, pushing Musk’s net worth to nearly $1.4 trillion and temporarily placing the value of his holdings above Bitcoin’s market capitalization of roughly $1.31 trillion at the time.

Earlier reporting by crypto.news also noted that SpaceX’s market debut made Musk the world’s first trillionaire. Continued gains after the listing added hundreds of billions of dollars to his paper wealth before the recent pullback reduced those gains.

According to data by Forbes, Musk’s net worth has since fallen back to around $1.2 trillion, representing a decline of approximately $59 billion, or 4.6%, over the past trading day.

Banks remain involved despite growing debt burden

Despite the recent pullback, Bloomberg reported that major Wall Street banks remain involved in SpaceX’s financing plans. The institutions expected to arrange the proposed bond offering are the same lenders that previously provided the bridge loan the company now intends to refinance.

Investor interest in SpaceX has remained strong since its public debut. As crypto.news previously reported, some retail investors reportedly took out bank loans to increase their IPO allocations before shares began trading.

Beyond its aerospace operations, the company has also drawn attention for its expansion into artificial intelligence. Recent reports indicated that SpaceX is exploring an acquisition of Anysphere, the developer behind the Cursor AI coding platform.

At the same time, investors are evaluating what a potential $20 billion refinancing transaction could mean for the company’s balance sheet, as large debt deals often bring renewed focus to leverage levels and future funding needs.

Custodia and Vantage Bank have proposed a token that automatically switches between a bank deposit and a stablecoin as it moves between participating banks and external users.

According to a white paper shared with Cointelegraph on Thursday, the token would operate as a deposit issued by a participating bank when held within a banking consortium and as a stablecoin backed by cash and short-term Treasurys when transferred outside the so-called Hazel network.

The companies said the system has been running on Ethereum (ETH) since March and is being tested by participating banks ahead of a broader rollout planned for later this year. The platform is designed to support tokenized deposits, stablecoins and other blockchain-based financial assets through a shared banking infrastructure.

According to the white paper, participating institutions would not need to replace existing core banking systems, with the platform operating alongside current ledgers and payment infrastructure.

The companies said it was designed for banks and credit unions of all sizes, including community banks, and aims to let institutions participate in tokenized payments without moving customer deposits outside the banking system.

Wyoming-based Custodia and Texas-based Vantage said they expect the Hazel network to become broadly available to banks and their customers in the fourth quarter of 2026.

Related: UK crypto advocates launch campaign against banks blocking exchange transfers

Banks seek alternatives to stablecoins

The proposal comes as banks increasingly look for ways to offer blockchain-based payment services without losing customer deposits to stablecoin issuers.

Earlier this month, The Wall Street Journal reported that The Clearing House, whose owners include JPMorgan Chase, Bank of America and Citigroup, plans to launch a tokenized deposit network in the first half of 2027, allowing banks to settle payments using blockchain-based representations of customer deposits.

Banking groups have also pushed back against legislation that could allow stablecoin issuers to offer yield-bearing products.

JPMorgan CEO Jamie Dimon recently said banks would continue fighting provisions in the CLARITY Act, a US crypto market structure bill, arguing they could let crypto companies compete for deposits without obtaining bank charters. The bill advanced out of the Senate Banking Committee in May and still requires approval from both chambers of Congress.

According to DefiLlama data, the total stablecoin market capitalization stands at roughly $315 billion, up from about $251 billion a year ago.

Source: DefiLlama

Magazine: Vietnam preps crypto pilot, HK pushes tokenization: Asia Express

Ether’s (ETH) exchange and derivatives data turned weaker over the past month. Binance recorded net inflows of 57,700 ETH, while futures open interest fell to a year-low of $10.3 billion from $15 billion, and the ratio of leveraged positions retreated sharply from their early June highs. 

The combination of rising exchange supply, muted new participation, and declining futures activity has led ETH analysts to forecast another wave of selling pressure below $1,700.

ETH inflows on Binance outpace new demand

Crypto analyst Pelin Ay noted that roughly 57,700 ETH flowed into Binance on a net basis over the past few days. Large inflows to the exchange often signal potential selling since Binance is one of the most liquid exchanges in the crypto market.

ETH exchange inflows, new depositors and fresh supply. Source: CryptoQuant

At the same time, the number of new ETH depositors is around 320 addresses, well below the levels seen during previous demand surges. The muted participation suggests limited new capital entering the market, leaving recent price stability dependent on existing holders.

The analyst noted that supply growth continues to offer a counterbalance. Daily ETH issuance stands near 2,791 ETH, a relatively low figure since Ethereum’s EIP-1559 upgrade in 2021. 

For now, exchange flow data paints a cautious picture. Ay said elevated net inflows raise the risk of another selling wave if Ether approaches resistance levels during any relief rally.

Related: BitMine boosts ETH holdings closer to $10B as bear market accumulation continues

Can Ether price defend its weekly demand zone?

ETH derivatives data have also cooled sharply in recent weeks. Ether futures open interest fell to $10.3 billion on Thursday from $15 billion a month ago, a decline of roughly 31%. The reading marks the lowest aggregate open interest across exchanges since April 2025.

Ether estimated leverage ratio for all exchanges. Source: CryptoQuant

The number of leverage positions has also retreated at a similar pace. The estimated leverage ratio (ELR) dropped to 0.83 from an all-time high of 1.10 on June 2, marking its largest leverage unwind since October 2025, when the metric slid from 0.72 to 0.56. 

Lower leverage often reduces the short-term volatility and speculative demand, but it also signals weaker conviction among traders.

ETH/USDT, one-week chart analysis. Source: Cointelegraph/TradingView

Ether’s weekly chart is down 30% over the past 42 days and continues to trade near the demand zone of $1,700 and $1,400. The April 2025 low at $1,384 stands as the nearest external liquidity target if price weakness continues. 

Below that level, the immediate area of interest is the demand zone from January 2023 between $1,289 and $1,071. 

From a market standpoint, crypto trader Ardi said last week that some technical bottoming signals are emerging for the altcoin. ETH recently touched the lower band of a long-term acceptance range that previously coincided with macro lows. 

The weekly relative strength index (RSI) sits near 31 after a daily RSI reading of 11 during the recent sell-off, its lowest level on record, which improves the chances of ETH bottoming in the current price range. 

ETH/USD weekly analysis by Ardi. Source: X

Ardi added that ETH/BTC remains a key chart metric to monitor, as the pair continues to trend lower. For now, the $1,400 to $1,700 range remains the area where buyers and sellers are most actively positioned.

Related: Altcoin selling tops $266B as capital rotates out of crypto: Is altseason extinct?

US financial regulators have taken another step in implementing the GENIUS Act, proposing rules that would require stablecoin issuers to follow identity-verification standards similar to those used by banks under federal law. The proposal is aimed at tightening Anti-Money Laundering (AML) and Countering the Financing of Terrorism (CFT) controls for stablecoin providers.

According to a notice of proposed rulemaking released jointly by the Federal Deposit Insurance Corporation (FDIC), the Federal Reserve, the Office of the Comptroller of the Currency (OCC), the National Credit Union Administration, and the US Treasury’s Financial Crimes Enforcement Network (FinCEN), stablecoin issuers would be expected to run customer identification programs that include verifying the identity of individuals seeking to “open an account,” maintaining related records, and checking whether a person is suspected of terrorist ties.

Key takeaways

• Several US agencies have proposed stablecoin-issuer identity verification requirements tied to AML/CFT obligations under the GENIUS Act.
• The rule would mirror bank-style expectations under the Bank Secrecy Act, including customer identity checks and recordkeeping.
• The proposal is open for public comment for 60 days after it is filed in the Federal Register on Monday.
• GENIUS implementation is expected to take effect 18 months after passage, or within 120 days after final regulations are issued.
• Congress is still working through broader crypto regulatory legislation, including the Digital Asset Market Clarity (CLARITY) Act.

Proposed “bank-like” customer identification for stablecoin users

The agencies said the proposed rule is part of the GENIUS Act’s implementation process, which was signed into law in July 2025. The joint notice was released on Thursday, and the proposal is expected to appear in the US Federal Register for public comment once officially filed.

At the center of the plan is a set of minimum standards drawn from the Bank Secrecy Act framework. Under these standards, regulated financial institutions are required to verify the identity of any person seeking to open an account, store the information, and assess whether the individual is suspected of being a terrorist or associated with a terrorist organization.

In practical terms for stablecoin issuers, the proposal signals that regulators expect stablecoin onboarding and user verification to look more like traditional financial onboarding—at least from an AML/CFT compliance perspective—even if stablecoin issuance and transfers differ from banking operations.

Why AML and CFT requirements are now the focal point

The GENIUS Act is designed to create a clearer compliance path for stablecoin activity in the United States. The agencies’ latest move targets how stablecoin providers handle AML/CFT obligations, including the foundational “know your customer” step that supports downstream monitoring and reporting.

The proposal matters for both compliance teams and market participants because identity verification is often the first layer of a broader compliance stack. Recordkeeping and screening for prohibited or high-risk associations can affect onboarding workflows, documentation requirements, and how issuers manage data retention and audits.

The timing also highlights the pace at which regulators are working through GENIUS-related obligations: this proposal follows earlier actions by Treasury and the FDIC to define other compliance elements under the same law.

For background, Treasury has already proposed AML and CFT requirements related to illicit finance as part of GENIUS implementation. Separately, earlier FDIC guidance suggested that insurance for corporate deposits of stablecoin issuers would not extend to stablecoin holders, underscoring that regulators are approaching stablecoin treatment through multiple, separate policy levers rather than a single, unified regime.

Comment window and when GENIUS implementation could begin

Under the proposal, the agencies set a public comment period of 60 days after the rule is officially filed in the Federal Register on Monday. That comment window will determine whether stakeholders argue for adjustments to the identity-verification program requirements, the operational burden placed on issuers, or the compliance timeline.

The proposed rule is also linked to the broader implementation schedule for GENIUS. The law is expected to come into effect 18 months after it was signed into law, or within 120 days after federal authorities finalize regulations for implementation—whichever timeline arrives first.

As a result, issuers may need to plan ahead even while the rule is still open to comment, especially if compliance systems require redesign to support customer identification processes and documentation policies.

GENIUS advances while CLARITY remains unresolved

While GENIUS-specific rulemaking continues, the US Congress still has not set a defined path for passing the Digital Asset Market Clarity (CLARITY) Act. CLARITY is intended to reshape how financial agencies define and enforce crypto rules, a goal that has been widely discussed across Washington.

Earlier reporting indicated that many in the White House and Congress expect CLARITY to move forward by the August recess. However, concerns raised by Democrats—centered on potential conflicts of interest involving lawmakers and elected officials—could slow progress.

The contrast between the two tracks is notable: stablecoin regulation is moving forward through a targeted statute (GENIUS) with concrete agency rulemaking underway, while broader crypto market “clarity” continues to depend on additional congressional action and political negotiations.

What to watch next

Stablecoin issuers and compliance teams should closely monitor the Federal Register filing and the details of the final customer identification program requirements, especially how regulators expect verification and recordkeeping to operate in real-world onboarding flows. At the same time, investors should keep an eye on whether Congress progresses on CLARITY, since parallel regulatory frameworks could shape how stablecoins and other digital assets are governed in the years ahead.

Malta’s financial regulator has proposed a new legal category for decentralized autonomous organizations as part of a consultation on how decentralized finance could be regulated under the European Union’s crypto framework.

According to a discussion paper published by the Malta Financial Services Authority on June 12, the regulator has opened a public consultation running through July 10 that seeks industry feedback on a potential framework for DeFi activities.

The proposal introduces the concept of “software-based organizations,” a category that would cover DAOs and other blockchain-based entities governed primarily through software.

Rather than creating a separate legal framework exclusively for DAOs, the MFSA said software-based organizations could provide a legal structure that distinguishes the organization itself from the protocols and code it operates.

The regulator argued that separating those elements could help address governance and accountability issues that continue to emerge across DeFi projects.

Malta seeks legal structure for software-governed entities

Within the consultation paper, the MFSA noted that fully decentralized services generally remain outside the scope of the European Union’s Markets in Crypto-Assets regulation. At the same time, the regulator said many projects that identify as decentralized still retain elements of centralized control, making regulatory classification more complex.

“MiCA excludes fully decentralised models from its regulatory scope, meaning that projects without intermediaries or central control may not need to comply with MiCA.”

Building on Malta’s early involvement in digital asset regulation, including the introduction of a crypto framework in 2018, the proposal attempts to address questions that have become more pressing as regulators examine how DeFi systems operate in practice.

Recent research has added to those concerns. In March, a working paper from the European Central Bank found that governance and decision-making across four major DeFi protocols remained concentrated among a limited group of participants.

According to the ECB paper, that concentration could make it difficult for some projects to qualify as fully decentralized under MiCA.

EU scrutiny of DeFi grows ahead of MiCA enforcement

Elsewhere in Europe, policymakers continue reviewing whether MiCA adequately addresses decentralized finance. In May, the European Commission launched a targeted review of the regulation and requested feedback on several topics, including stablecoin interest payments, DeFi activity, and potential gaps that could require additional rules.

The discussion arrives as EU regulators prepare for the final phase of MiCA implementation. As previously reported by crypto.news, the transition period ends on July 1, 2026, after which crypto exchanges, brokers, and wallet providers without authorization will no longer be permitted to serve customers in the bloc.

According to the European Securities and Markets Authority, firms operating without a MiCA license after the deadline would be in breach of EU law.

ESMA also said providers that fail to obtain authorization should establish orderly wind-down plans and help customers transfer assets to either authorized firms or self-hosted wallets.

Data cited by Hogan Lovells illustrates the scale of the transition. The law firm reported that Europe had more than 3,000 virtual asset service providers in 2024, yet only 194 authorized crypto-asset service providers, including credit institutions, had obtained approval by May 2026.

Against that backdrop, Malta’s consultation adds another piece to the ongoing debate over how European regulators should treat organizations that operate through code while still maintaining identifiable governance structures.