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Retail Investors Hit Record $48 Billion Stock Buying Spree as Institutional Investors Head for the Exit

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Nexo Partners with Bakkt for US Crypto Exchange and Yield Programs

TLDR:

  • Retail investors recorded the largest-ever three-week stock buying spree, surpassing GameStop and 2021 crypto mania levels. 
  • Household equity allocations reached 45–49%, exceeding the dot-com bubble’s 40% peak by as many as nine percentage points. 
  • The money market-to-market cap ratio sits at 0.19, matching the 2021 peak and far below the 0.35 threshold for a real market bottom. 
  • Institutions sold $31 billion in April while Warren Buffett held a record $325 billion cash position, signaling elite-level caution.

 

Retail investors have funneled $48 billion into equities over just three weeks, marking the largest retail buying spree ever recorded.

This surge surpasses even the GameStop frenzy and the 2021 crypto market euphoria. It also exceeds the retail activity recorded before the 2022 market downturn.

Meanwhile, household equity allocations have reached 45–49%, well above the dot-com bubble’s 40% peak. Several market indicators are now flashing levels not seen since prior major corrections.

Household Allocations and Cash Levels Raise Red Flags

Retail investors are currently allocating a historic share of household wealth to equities. That figure sits between 45 and 49%, surpassing the dot-com bubble’s peak of 40%. The dot-com collapse that followed wiped out trillions in market value across two years.

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Crypto analyst Leshka.eth posted on X, noting that the money market-to-market cap ratio stands at 0.19. That matches the exact reading from the 2021 market peak. Analysts typically look for a ratio of 0.35 or higher before calling a real market bottom.

By that measure, the market would need roughly 84% more cash on the sidelines to reach normal levels. The common argument that sidelined cash will rescue equity markets does not hold up against this data. The numbers tell a different story from the bullish narrative.

This pattern mirrors conditions seen before the 2000 and 2008 crashes. In both cases, retail confidence peaked just before institutions began quietly reducing exposure. History shows this sequence has repeated without exception.

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Margin Debt and Institutional Behavior Signal Caution

Margin debt has climbed to over $800 billion, approaching record territory. The last two times margin debt peaked at similar levels were March 2000 and October 2007. Both periods preceded market drawdowns exceeding 50%.

The put/call ratio has also dropped to extreme lows. Retail investors are currently buying three times more call options than put options. That level of directional confidence has historically appeared just before sharp market reversals.

Institutional behavior is moving in the opposite direction. According to the same post by Leshka.eth, institutions sold $31 billion worth of equities in April alone, while retail continued to buy. Warren Buffett’s cash position has also reached a record $325 billion.

Past cycles reinforce this concern. In 2022, retail bought $33 billion before a crash and sold $10 billion at the bottom. In 2007, retail equity funds saw $72 billion in inflows, followed by $234 billion in outflows during the crisis. The 2000 peak followed the same script, with record retail flows into tech funds right at the top.

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UNI price falls further despite Uniswap Protocol fee expansion proposal

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A cryptocurrency token featuring a unicorn emblem resting on the pages of an open book.
A cryptocurrency token featuring a unicorn emblem resting on the pages of an open book.
  • Uniswap (UNI) price drops despite plans to expand protocol fees and burn tokens.
  • If approved, the fees will be activated across all v3 pools and eight additional chains.
  • Currently, the key support sits at $3.38 while the immediate resistance is at $4.24.

Uniswap’s native token, UNI, has seen its price dip despite the ongoing governance push to expand protocol fees across more chains and all v3 pools.

While the protocol fee expansion promises to increase token burns and revenue for the protocol, short-term price action has remained under pressure.

The dip comes amid a broader downturn in the cryptocurrency market, with traders closely watching key support and resistance levels.

Uniswap protocol fee expansion proposal

The Uniswap community is currently voting on a proposal to activate protocol fees across all remaining v3 pools on Ethereum mainnet.

In addition, the plan includes extending fees to eight other networks, including Arbitrum, Base, Celo, Optimism Mainnet, Soneium, X Layer, Worldchain, and Zora.

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This proposal is notable because it is the first to use the updated governance process known as UNIfication.

This system allows fee parameter changes to bypass the traditional proposal stage, speeding up voting while retaining on-chain security.

If approved, fees collected on these chains would flow to chain-specific TokenJar contracts before being bridged back to the Ethereum mainnet.

From there, UNI tokens would be burned, effectively reducing supply and increasing scarcity over time.

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The proposal also introduces a new tier-based system for v3 pools, known as v3OpenFeeAdapter.

Instead of setting fees pool by pool, the system applies fees based on liquidity provider fee tiers.

This simplifies governance oversight and ensures every pool automatically contributes to protocol fee revenue.

Market response

Despite these ambitious plans, UNI’s market performance has struggled.

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The token opened today at $3.56 but quickly fell, losing 4.8% from its opening price.

UNI briefly rallied to $3.59 but faced resistance and could not sustain momentum.

This highlights that market sentiment is cautious, even as governance improvements promise long-term benefits.

Currently, UNI is trading around $3.40, down roughly 4.7% in the last 24 hours.

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Its market cap sits at just over $2.15 billion, while total value locked in Uniswap remains above $3 billion.

Uniswap price forecast

While the protocol fee expansion may boost long-term value and increase token burns, market reaction shows that short-term price action is likely to remain volatile.

The support at $3.38 is critical, according to market analysis.

If the token holds above this level, it may attempt to move toward the first major resistance at $4.24.

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If the token breaches $4.24, it could open the path to $4.76, with a third resistance at $5.41.

However, failure to maintain above the support at $3.38 could see UNI struggle in the short term, limiting the impact of positive governance developments.

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Top 6 Metaverse Blockchain Games Driving Engagement in 2026

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Predictive Analytics

Metaverse blockchain games are no longer experimental concepts reserved for crypto enthusiasts. They are evolving into persistent digital economies where users socialize, transact, build assets, and invest time and money. For enterprises, this shift signals more than a gaming trend. It signals a new model of digital engagement, ownership, and monetization. Unlike traditional games, metaverse blockchain games combine:

  • Persistent virtual worlds
  • Digital asset ownership
  • Token-driven economies
  • User-generated ecosystems
  • Decentralized governance
  • Interoperable digital identities

These components help turn games into platforms and communities into economies. For enterprises exploring metaverse game development or blockchain game development, studying current leaders provides valuable strategic insights. The most successful projects reveal what actually works and what enterprises must prioritize.

Below are six metaverse blockchain games shaping the space, followed by the practical lessons they have on offer for enterprises. 

1) The Sandbox

The Sandbox is one of the most recognized metaverse platforms where players and brands build experiences on virtual land parcels represented as NFTs. Major brands, artists, and entertainment companies have entered The Sandbox to host events, create branded worlds, and sell digital assets.

Why It Matters

The Sandbox demonstrates that metaverse value grows when users are creators, not just consumers. It transforms players into ecosystem contributors.

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Enterprise Takeaway

Enterprises entering metaverse game development should not design closed worlds. They should provide creation tools, SDKs, and monetization channels for users. A platform where users build experiences scales faster than one where only developers create content. This, in turn, reduces content burden and increases engagement longevity.

2) Decentraland

Decentraland is a decentralized virtual world where users own land, assets, and governance rights. Decisions are often driven by community votes. Virtual real estate, digital commerce, and virtual events form the backbone of its ecosystem.

Why It Matters

Decentraland shows that digital ownership changes user behavior. When users truly own assets, they invest more time and value into the platform.

Enterprise Takeaway

Ownership is not a feature, it is a retention mechanism. Enterprises leveraging blockchain game development must design ownership structures that give users real control and tradable value. This creates long-term loyalty and repeat engagement.

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3) Illuvium

Illuvium pushes the boundary of production quality in Web3 gaming. With high-end graphics and deep gameplay, it challenges the stereotype that blockchain games lack polish.

Why It Matters

Illuvium proves that Web3 players expect AAA-level quality. Blockchain alone does not attract users; gameplay and visual quality still drive adoption.

Enterprise Takeaway

Enterprises should not treat blockchain as the product. The game must stand on its own merit. Strong art direction, smooth mechanics, and immersive design remain essential for user acquisition and retention. For faster launch, enterprises can certainly make use of the Illuvium clone script

4) Axie Infinity

Axie Infinity introduced millions to play-to-earn mechanics. At its peak, it became a livelihood source in some regions.

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Why It Matters

Axie Infinity revealed both the potential and the risks of token-driven economies.

Enterprise Takeaway

Tokenomics must be designed for sustainability, not short-term hype. Enterprises must plan emission schedules, sinks, and reward balancing carefully. Poorly structured economies inflate quickly and collapse user trust. In this regard, enterprises can also try the Axie Infinity clone to build a similar game within a short span of time with help from professional service providers.

5) Star Atlas

Star Atlas combines metaverse scale, space exploration, and political governance systems.

Why It Matters

It highlights the growing ambition of metaverse blockchain games to become persistent virtual universes.

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Enterprise Takeaway

Large-scale visions require scalable backend architecture and long-term roadmaps. Enterprises must treat metaverse game development as platform development, not a one-off release.

6) Otherside (Yuga Labs)

Otherside connects major NFT communities into a shared metaverse experience.

Why It Matters

It leverages brand power and community loyalty as a growth engine.

Enterprise Lesson

Community is a growth multiplier. Enterprises should integrate social systems, creator incentives, and shared experiences.

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Do You Wish to Make a Mark in Metaverse Blockchain Gaming?

Cross-Game Insights for Enterprises

Analyzing these metaverse blockchain gaming projects reveals some common success factors:

1) Digital Ownership Drives Engagement

Users engage more when they own assets that carry value beyond the game. Ownership creates emotional and financial investment.

2) Community-Led Growth Scales Faster

Platforms that empower communities tend to grow organically. Social engagement drives retention and virality.

3) Sustainable Economies Matter

Token models must balance rewards and sinks. Inflation destroys ecosystems.

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4) Quality Cannot Be Ignored

Gameplay, UX, and visuals still determine success, hence cannot be ignored at any cost.

5) Scalability Is Non-Negotiable

Infrastructure must support growth without bringing in any kind of performance issues.

The Hidden Complexity Behind Metaverse Blockchain Games

Many enterprises underestimate what goes into building these ecosystems. Real blockchain game development requires:

  • Blockchain architecture
  • Smart contract design
  • NFT systems
  • Multiplayer infrastructure
  • Scalable servers
  • Security-first design
  • Wallet integration
  • Marketplace mechanics
  • Tokenomics modeling

Thus, enterprises should always keep in mind that it is not typical game development. It is platform engineering.

Why Enterprises Partner with a Specialized Game Development Company

Very few in-house teams combine gaming, blockchain, and economic design expertise. On the other hand, a specialized game development company provide:

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  • Proven frameworks
  • Faster deployment
  • Reduced risk
  • Cross-domain knowledge
  • Long-term support

This, in turn, allows enterprises to focus on strategy while execution is handled by experts.

Final Thoughts

Metaverse blockchain games are early blueprints for future digital economies. Enterprises that enter the field thoughtfully can build platforms where users spend time, creativity, and money. The leaders of tomorrow will not be those who chase hype, but those who build sustainable ecosystems today.

Antier, a leading game development company, works with enterprises to build metaverse blockchain ecosystems designed for scalability and longevity. The experienced team’s capabilities include:

  • End-to-end metaverse blockchain game development
  • Blockchain and NFT integration
  • Tokenomics planning
  • Scalable backend architecture
  • Security-first engineering

The goal is not just launching a game but building a digital economy that lasts. Let’s collaborate to build your next hit title.

Frequently Asked Questions

01. What are metaverse blockchain games?

Metaverse blockchain games are evolving digital economies where users can socialize, transact, build assets, and invest time and money, combining elements like persistent virtual worlds, digital asset ownership, and token-driven economies.

02. How do metaverse blockchain games differ from traditional games?

Unlike traditional games, metaverse blockchain games offer persistent virtual worlds, user-generated ecosystems, decentralized governance, and digital asset ownership, transforming players into contributors rather than just consumers.

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03. What should enterprises consider when developing metaverse games?

Enterprises should focus on creating open platforms that provide users with creation tools, monetization channels, and real ownership structures, as these elements enhance user engagement and retention.

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CME Goes 24/7: Here’s When Crypto Futures and Options Trading Starts

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Nexo Partners with Bakkt for US Crypto Exchange and Yield Programs

TLDR:

  • CME will offer 24/7 crypto futures and options starting May 29, pending approval.
  • Year-to-date 2026 ADV hits 407,200 contracts, up 46% from last year.
  • Futures ADV rises 47% YoY, signaling strong institutional interest in crypto derivatives.
  • CME implements brief weekly maintenance; all holiday trades settle the next business day.

 

CME Group will begin round-the-clock trading for cryptocurrency futures and options starting May 29. The move awaits regulatory approval. Trading will run continuously on CME Globex, with a brief weekly maintenance window. 

The update comes amid record demand for digital asset risk management, according to Walter Bloomberg. In 2025, CME reported $3 trillion in crypto notional volume. Year-to-date 2026 volumes are up 46%, highlighting growing institutional participation.

The announcement was confirmed via a press release from CME Group. It emphasizes access to regulated, transparent crypto products at all times for market participants.

Continuous Trading and Market Access

Starting Friday, May 29 at 4:00 p.m. CT, CME cryptocurrency products will trade 24/7. A

 two-hour weekly maintenance period will occur over weekends. Trade dates for holiday or weekend activity will follow the next business day. Clearing, settlement, and regulatory reporting will also be processed on the next business day.

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Tim McCourt, Global Head of Equities, FX, and Alternative Products at CME Group, said client demand for digital asset risk management is at an all-time high. Providing 24/7 access aims to let clients manage exposure anytime. Consequently, traders can react to market changes without delay.

This continuous trading structure includes both futures and options. CME Globex will host all transactions. As a result, the exchange meets rising institutional interest in high-frequency crypto risk management.

Record Volumes and Market Impact

Crypto trading at CME continues to reach record levels in 2026. Average daily volume stands at 407,200 contracts, up 46% year-over-year. Futures ADV alone is 403,900 contracts, marking a 47% increase. Open interest has risen 7% to 335,400 contracts.

CME operates across multiple asset classes, including interest rates, equity indexes, and commodities. Its derivatives platform allows clients to manage risk efficiently and capture opportunities. 

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By offering 24/7 crypto trading, CME provides a regulated alternative to unregulated markets.

The update also aligns with CME’s goal to enhance market transparency. Clients can trade with confidence, knowing all activity occurs under regulated oversight. This development strengthens the exchange’s position as a leading crypto derivatives marketplace.

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Cambodia has deported 48K foreigners since scam center crackdown began

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Cambodia has deported 48K foreigners since scam center crackdown began

Cambodia’s Deputy Prime Minister Sar Sokha has announced that 48,000 foreign nationals have been deported since the launch of a widespread scam center crackdown in 2023. However, he’s cautioned that despite this apparent success, the country’s police force is stretched worryingly thin.

Sokha reportedly shared the statistic as part of a “Safer Internet Day” campaign, launched last Tuesday.

However, he also warned that the nation’s police force is “stretched thin” with roughly one officer for every 3,100 citizens. In an effort to mitigate the shortfall, he outlined plans for a new initiative that would pay residents for any tips that lead authorities to scam center compounds. 

He said, “We cannot do this alone. We need local residents to be our ‘eyes and ears’ to help sweep these operations out of our country.” 

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Sokha also said the government will introduce exit restrictions at airports to stop victims from being trafficked.

Women between the ages of 18 and 35 without clear documentation, verified sponsors, and little in the way of funds will be checked, as well as tourist travellers with very little money. 

Read more: China executes four more in pig butchering scam crackdown

Additionally, there will be an effort to educate Cambodia’s population about the risks of AI and the ability it has to make scams more difficult to recognise. 

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Scam center compounds have been disrupted

In January, Sokha also promised to increase the minimum number of local police officers available to deal with drug trafficking and youth crime.

That month saw several scam center compounds significantly disrupted after the arrest of Chen Zhi, the alleged kingpin behind the billion-dollar operation. Since then, thousands have been deported after being inked to similar operations in casinos and other shady businesses. 

The majority of these deported nationals are victims of trafficking who are forced to carry out crypto scams known as “pig-butchering.” Chinese victims often make up the bulk of these nationals but many come from other countries across Asia, and in rare cases, America.

Cambodia juggles scam center crackdown with Thailand war

On top of the 48,000 deported, Sokha said that around 210,000 foreign nationals have also voluntarily left the country. While the scam center epidemic has contributed to this exodus, the country’s ongoing armed conflict with Thailand may also be a factor. 

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Border clashes between the two countries began in May 2025 and have escalated to include exchanges of artillery fire, frequent gunfights, and Thai air bombardment directed towards Cambodia. 

Hundreds of thousands of citizens have reportedly been displaced, while at least 149 have been killed. A peace agreement was first brokered in late July before fighting began again in December. 

Cambodia’s Prime Minister Hun Manet claimed yesterday that Thai forces are still occupying its territory despite a peace deal brokered by US President Donald Trump in late December. 

Read more: Thailand cuts power to Myanmar crypto scam center regions

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Cambodia accused Thailand of killing one of its soldiers in May, leading to Thai ambassadors being pulled out of Cambodia. More clashes followed in July, with both sides disputing who fired first

Many citizens are waiting to return to their homes, while Thailand’s newly elected nationalist Prime Minister, Anutin Charnvirakul, is pushing for a wall to be built along the border.

Got a tip? Send us an email securely via Protos Leaks. For more informed news and investigations, follow us on XBluesky, and Google News, or subscribe to our YouTube channel.

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XRP price breaks local bearish structure as rising volume targets $1.70

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XRP price breaks local bearish structure as rising volume targets $1.70 - 1

XRP price breaks local bearish market structure, shifting momentum, with price now testing a key volume support zone that could establish a higher low for higher prices.

Summary

  • Local bearish structure invalidated, signaling momentum shift
  • Key volume support zone being defended, favoring higher-low formation
  • $1.76 resistance becomes upside target, if bullish volume confirms continuation

XRP (XRP) Price action has begun to show early signs of recovery after breaking its local bearish market structure. Following a period of sustained downside pressure, the market has transitioned back into a technically significant support region where buyers are attempting to regain control. This development suggests that the corrective phase may be nearing completion, provided key support levels continue to hold.

Markets often transition through phases of imbalance before stabilizing around high-liquidity zones. The current move back into a major volume support cluster highlights a potential shift away from bearish continuation toward rotational price behavior. Whether this develops into sustained upside momentum will depend heavily on how price reacts within this support region.

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XRP price key technical points

  • Local bearish market structure has been broken, signaling momentum shift
  • Major volume support cluster is being tested, including POC and Fibonacci confluence
  • $1.76 high-timeframe resistance becomes the upside target, if higher low confirms

XRP price breaks local bearish structure as rising volume targets $1.70 - 1
XRPUSDT (4H) Chart, Source: TradingView

XRP price has rotated back into an important technical region defined by strong volume participation. This zone includes the point of control (POC), the value area high, and the 0.618 Fibonacci retracement, creating a powerful confluence of support levels.

When multiple technical indicators align in one region, it often increases the probability of price stabilization. Such areas typically attract liquidity and institutional interest, making them ideal locations for higher lows to form during trend transitions.

The return to this volume area indicates that sellers are losing immediate dominance, while buyers are beginning to defend price more aggressively.

Establishing a higher low is critical

The most important technical requirement moving forward is the confirmation of a higher low. A higher low represents a shift in market structure from bearish to constructive and often marks the early stages of trend continuation to the upside.

For this scenario to remain valid, the value area low must continue acting as support. Acceptance below this level would weaken the bullish thesis and reopen downside risks. However, sustained holding above value strengthens the probability that accumulation is taking place.

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Once a higher low is confirmed, XRP gains structural support for continuation within the newly developing trend.

Market structure transition underway

The recent break of local bearish structure is a meaningful technical event. Previously, price action was characterized by lower highs and continued weakness. That pattern has now been disrupted, indicating a transition from distribution toward potential accumulation.

Market structure shifts rarely occur instantly. Instead, they typically unfold through rotations between support and resistance levels. The current consolidation within the volume support region may represent the early phase of this transition.

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As buyers defend support and absorb supply, momentum can gradually build for a larger expansion move.

Resistance at $1.76 comes into focus

If the higher low successfully forms, attention shifts toward high-timeframe resistance near $1.76. This level represents the next major technical objective and aligns with prior rejection zones within the broader trading range.

A rotational move toward resistance would confirm that the market has transitioned out of its corrective phase and into a recovery structure. However, reaching this target will require strong bullish participation.

Bullish volume is the deciding factor

While structural signals are improving, confirmation ultimately depends on bullish volume expansion. Breakouts or rotations without volume often fail, leading to renewed consolidation or reversals.

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Increasing buy-side volume would validate demand returning to the market and strengthen the probability of continuation toward resistance. Without this confirmation, price may remain range-bound despite structural improvement.

What to expect in the coming price action

From a technical, price-action, and market-structure perspective, the market is attempting to transition from bearish control into a more constructive environment. The break of the local bearish structure, combined with strong volume support, suggests that a higher low may be forming.

In the near term, consolidation around the volume support zone is likely as the market searches for equilibrium. As long as the value area low holds, the probability favors a rotational move for XRP toward the $1.76 resistance level.

A decisive increase in bullish volume would confirm continuation, while failure to hold support would delay the recovery. For now, the technical landscape favors stabilization and potential upside rotation as the market attempts to establish a new structural trend.

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The Market Priced in Cuts, the Fed Mentioned Hikes. What It Means For Bitcoin Price?

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📉

Minutes from the January meeting show rate hikes are not off the table. If inflation stalls, policymakers are ready to tighten again. That is a direct warning to risk markets.

For Bitcoin price, this flips the script. The market was leaning toward cuts. More liquidity. Easier conditions. Now the Fed is signaling the opposite.

Higher rates. Tighter liquidity. And that changes everything for crypto.

Key Takeaways

  • The Signal: Fed officials discussed “upward adjustments” to rates if inflation stays above target levels.
  • The Split: The vote was 10-2 to hold rates, but a significant “hawkish” contingent is pushing back against cuts.
  • The Risk: Higher-for-longer rates typically drain liquidity, creating headwinds for Bitcoin and ETF inflows.

Why Does This Matter for Crypto and Bitcoin Price?

Markets were relaxed. Cuts in 2026 felt almost guaranteed. Now that confidence got shaken again.

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The Fed held rates at 3.5% to 3.75%, hitting pause after three straight cuts in late 2025. But the tone was not soft. Inside the discussion, a hawkish group made it clear they are not ready to promise more easing.

Some officials even floated “upward adjustments” if inflation sticks around. That is a big shift. The market had assumed a smooth path lower. The minutes analysis say otherwise.

The Fed wants clear proof that disinflation is real before cutting again. That puts serious weight on the February CPI print. If inflation runs hot, rate hikes move from theory back to reality.

What Happens Next?

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Pricing is getting messy. CME futures still show a 94% chance of a pause in March. But the hike risk is no longer zero.

Source: CMEgroub

Now it all comes down to inflation data. If the next print runs hot, the Fed fears get validated. If not, this scare might fade just as fast as it appeared.

Discover: Here are the crypto likely to explode!

The post The Market Priced in Cuts, the Fed Mentioned Hikes. What It Means For Bitcoin Price? appeared first on Cryptonews.

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Banks Can’t Seem To Service Crypto, Even as It Goes Mainstream

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Banks Can’t Seem To Service Crypto, Even as It Goes Mainstream

Across the globe, it remains common for crypto users to have their bank accounts frozen and transfers blocked, even as institutional adoption rises.

Panos Mekras, co-founder and CEO of blockchain fintech Anodos Labs, began dealing with crypto in Greece in the late 2010s. Most Greek banks didn’t allow transfers to crypto exchanges back then. Mekras experienced blocked card payments until one bank finally permitted his transfers, but first, he was questioned to ensure he understood he was interacting with a “risky” counterparty.

Mekras told Cointelegraph that those early rejections are symptomatic of how banks treat digital assets as inherently high risk. That label often led to account closures or sudden freezes without explanation, ultimately pushing his business to rely solely on onchain tools and payment rails.

Public perception of crypto has since evolved. Now, crypto is undergoing an image refresh, from a speculative asset class to an infrastructure layer for future financial products. However, Mekras said he still experiences the same banking barriers, as recently as a “few months ago”:

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“I tried to send money from an exchange to Revolut, and they froze my account for three weeks. I had no access to my [funds] during that time.”

The long shadow of crypto debanking

Mekras isn’t the lone crypto holder with such complaints despite banks announcing expansions into custody and blockchain initiatives.

A January report from the UK Cryptoasset Business Council found that bank transfers to exchanges were being blocked or delayed, with roughly 40% of payments encountering restrictions and 80% of exchanges reporting increased friction over the past year.

The council warned that blanket bans and transaction limits are often applied without regard to the legal status of the exchange.

How banks are serving crypto users in the UK. Source: UK Cryptoasset Business Council

Revolut is one of two banks that permit both bank transfers and debit cards in the UK council’s study, and it is also the platform where Mekras claims to have experienced his recent account freeze. It operates as an authorized UK bank “with restrictions,” meaning it is currently building up its banking processes before full launch. It also holds a European Union banking license through Lithuania and offers crypto trading services in its app.

A Revolut spokesperson told Cointelegraph it treats account freezes as a “last-resort” customer protection measure in compliance with Anti-Money Laundering (AML) and Know Your Customer (KYC) regulations.

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“A temporary freeze may occur if our systems detect irregular activity. This could be a combination of a few factors, such as if a customer interacts with a platform frequently exploited by fraudsters, or we believe that the funds in question may be the proceeds of crime or sanctions circumvention,” the spokesperson said.

The representative added that since Oct. 1, just 0.7% of Revolut accounts where customers deposited crypto funds were restricted or frozen after investigation.

Related: How Europe’s blockchain sandbox finds innovation in regulation

When banks close doors, users move onchain

In some regions, crypto is blocked and leaves users to more extreme restrictions. Crypto on- and off-ramps are not legally possible in regions like China, so users resort to peer-to-peer (P2P) platforms or black markets to trade crypto.

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While China sits on the extreme end of the spectrum, other jurisdictions have eased official and unofficial restrictions. Nigeria once banned crypto and even blocked P2P platforms. However, it formally recognized digital assets as securities in 2025.

Related: Crypto takeaways from Davos: Politics and money collide

Similar banking friction patterns also emerged in the US. Lawmakers and the industry have invoked the term “Operation Chokepoint 2.0” to describe the federal regulators’ informal guidance that discouraged banks from maintaining relationships with crypto companies.

Crypto industry claims about “Operation Chokepoint 2.0” were recently echoed in official findings. Source: Alex Thorn

The original “Operation Choke Point” was an initiative in which enforcement agencies were accused of pressuring banks to cut ties with politically contentious industries such as payday lenders and firearms sellers.

In January 2025, Donald Trump took office as the president of the US and has been pushing for crypto-friendly policies to position the world’s largest economy as the “crypto capital” of the world.

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Crypto debanking issues have since been officially recognized. In December, the US Office of the Comptroller of the Currency (OCC) released its findings on debanking practices by nine of the country’s largest banks. The OCC also published an interpretive letter to confirm that banks may facilitate crypto transactions in a broker-like capacity.

Crypto is named among nine sectors in OCC’s review of large banks’ debanking activities. Source: OCC

Regardless of the positive momentum, users still complain that the banking sector won’t service accounts exposed to cryptocurrencies.

“This is still the case [and] there are still anti-crypto positions. Some have even said publicly that they are not willing to support crypto activity or engage with the industry,” said Mekras.

Mekras argued that users can consider fully detaching from the traditional banking system and moving finances onchain. It sounds viable in theory, but in reality, most businesses and users still cannot operate purely within crypto without reliable access to fiat rails.

Banking’s turn toward blockchain infrastructure

In recent years, there has been a global shift in how traditional financial institutions engage with crypto.

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Major banks and financial infrastructures are increasingly building products and services tied to Web3. In the US, 60% of the top 25 banks are reportedly offering or planning Bitcoin-related services, including custody, trading and advisory solutions.

A large chunk of top banks are exploring Bitcoin-related services. Source: River

Across Europe, regulated services such as crypto custody and settlement are being introduced by legacy exchanges and financial groups under the Markets in Crypto-Assets Regulations (MiCA). In the UK, HSBC’s blockchain platform was selected to support pilot issuances of tokenized government bonds.

In that backdrop of institutional adoption, some companies working to bridge banks and blockchain claim that the challenges that lead to account freezes are linked to tooling gaps and risk frameworks inside banks.

“The problem is that there’s a huge amount of friction because traditional banks don’t really have the internal infrastructure to interpret blockchain data in a way that fits inside their existing risk and compliance frameworks,” Eyal Daskal, CEO of Crymbo — a blockchain infrastructure platform for institutions — told Cointelegraph.

He described the situation as one where banks often default to precautionary measures because they lack the ability to link onchain activity with the identity and compliance signals they rely on:

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“If crypto is involved, they block the account and treat it as out of scope. It’s the simplest option for them because they don’t have the tools to assess it properly.”

Crypto is entering the financial mainstream, but for many users, access to basic banking still depends on whether a bank’s risk engine can understand what happens onchain. Until that gap closes, the industry’s institutional embrace and retail friction may continue to coexist.

Magazine: Bitcoin may take 7 years to upgrade to post-quantum: BIP-360 co-author