In this week’s recap, we delve into the most significant trends and developments across the blockchain and crypto landscape. From regulatory shifts to notable market activities, we provide a concise overview of the events that could shape the future of the industry. Stay informed with insights designed to guide smart investment strategies and foster innovation in an ever-evolving market.

Market Overview: Turbulence Continues

• Bitcoin (BTC): $68,838, up 2.09% over the last 24 hours
• Ethereum (ETH): $2,649, up 1.39% amid the broader selloff
• Ripple (XRP): $0.547, down over 0.98%
• BNB: Priced at $600.89, with a 1.80% pump.
• Solana: Trading at $155.93, up 3.97%.

• Sui Foundation Pushes Back on Insider Allegations Amid Token Surge
  The Sui Foundation has been at the center of controversy following accusations from pseudonymous analyst Lightcrypto, who claims wallets linked to Sui’s ICO were involved in large-scale token sales. The foundation denies the allegations, stating these wallets belong to an infrastructure partner operating under a lock-up schedule. Despite this, Sui’s market cap has skyrocketed to $5.8 billion, placing it in the top 25 cryptocurrencies, underscoring the growing strength of its ecosystem.
• Bitcoin’s Correlation with Trump Election Odds: A Crypto Rally in the Making?
  Bernstein analysts are drawing parallels between Bitcoin’s recent surge above $66,000 and increasing odds of Donald Trump’s victory in the U.S. presidential election. Analysts are predicting a Trump win could catapult Bitcoin to $90,000, while a Democratic victory could send it down to $40,000. MicroStrategy, a major Bitcoin holder, has outperformed the broader crypto market, further fueling speculation on how election sentiment could shape the crypto landscape.
• U.S. Spot Bitcoin ETFs Experience Record Inflows
  In a major boost to institutional confidence, U.S. spot Bitcoin ETFs have seen inflows of $555 million, the highest since June. Market giants like Fidelity, Bitwise, and BlackRock have played a pivotal role in this rally. The resurgence of institutional interest highlights the growing legitimacy of crypto ETFs as a mainstream investment vehicle and reinforces Bitcoin’s position as a store of value.
• Italy Eyes Bitcoin Tax Increase in 2025 Budget
  The Italian government is planning to raise capital gains tax on Bitcoin from 26% to 42% as part of its new fiscal policies. This increase, aimed at raising national revenue, has triggered concerns among local crypto investors and startups. Many are now debating how this might impact investment strategies and Bitcoin trading volumes in Italy and the broader European market.
• Bitfinex Hacker Ilya Lichtenstein Faces Reduced Sentence Amid Cooperation
  U.S. prosecutors are pushing for a five-year sentence for Ilya Lichtenstein, one of the individuals behind the infamous 2016 Bitfinex hack. His cooperation in uncovering other crypto-related crimes has led to a lighter sentence than expected. Lichtenstein and his wife, Heather Morgan, laundered over 119,000 BTC, worth $70 million at the time of the theft, and will forfeit over $6 billion in assets linked to the hack.
• Binance Faces DOJ Probe Over Russia Sanctions Violations
  Binance continues to be under scrutiny as the U.S. Department of Justice investigates potential violations of Russian sanctions by the world’s largest crypto exchange. Binance allegedly allowed Russian users to trade and withdraw funds, raising concerns about its compliance with international regulations. This follows a series of regulatory setbacks Binance has faced globally, which could influence the exchange’s long-term strategy.
• Fidelity and JPMorgan Announce Crypto Custody Partnership
  Fidelity and JPMorgan are joining forces to offer institutional-grade crypto custody solutions. This partnership is aimed at attracting more traditional investors into the crypto space by providing secure and regulated storage options. This is a significant move in addressing concerns about asset security, especially with the rising demand for regulated crypto services from large institutions.
• Bitcoin’s Hashrate Hits Record High Amid Miner Exodus from Kazakhstan
  Bitcoin’s hashrate has soared to new heights as miners relocate from Kazakhstan due to power shortages and regulatory pressure. This migration has strengthened mining operations in North America, particularly in the U.S., where favorable conditions like stable energy grids and supportive regulations are attracting miners. The growing hashrate underscores the resilience of Bitcoin’s network despite external pressures.
• Polygon Labs Introduces zkEVM Mainnet Beta with Optimistic Rollups
  Polygon Labs launched the beta version of its zkEVM Mainnet, a key innovation that promises to scale Ethereum with enhanced security and lower costs using optimistic rollups. The zkEVM solution is anticipated to revolutionize Ethereum’s throughput and is expected to drive further adoption of decentralized applications (dApps) in sectors ranging from gaming to decentralized finance (DeFi).
• Solana Partners with Visa to Enhance USDC Settlement Systems
  Solana has struck a landmark partnership with Visa to streamline the settlement of USDC transactions. This collaboration will allow merchants and institutions to settle payments directly on the Solana blockchain, reducing transaction costs and settlement times. The partnership signifies a broader trend of traditional finance companies exploring blockchain solutions to improve payment infrastructure.
• Ethereum Staking Reaches All-Time High Post-Merge
  Post-Merge, Ethereum staking has reached an all-time high, with over 30 million ETH staked. This reflects growing confidence in Ethereum’s shift to proof-of-stake, with major institutional players such as Coinbase and Kraken leading staking services. As Ethereum solidifies its position as the leading smart contract platform, the increase in staked ETH could signal a bullish outlook for the ecosystem.
• Argentina Launches Blockchain-based Digital Peso Pilot
  Argentina is trialing a blockchain-based digital peso, a potential precursor to a nationwide central bank digital currency (CBDC). Developed in partnership with local fintech firms, this digital peso pilot aims to improve financial inclusion and streamline payments. As inflation continues to plague the country, the government hopes that a digital currency will provide more stability and transparency.
• Grayscale Files for SEC Approval to Convert GBTC into Bitcoin ETF
  Grayscale Investments has refiled for SEC approval to convert its Grayscale Bitcoin Trust (GBTC) into a spot Bitcoin ETF. The filing follows a favorable court ruling earlier this year, which overturned the SEC’s previous rejection of Grayscale’s proposal. If approved, the conversion could unlock billions in liquidity and further institutionalize Bitcoin as an investment asset.

That wraps up your Bestla VC Weekly Recap! Stay tuned next week for more insights to stay ahead of the market.