The SEC’s Office of the Inspector General disclosed that former Chair Gary Gensler’s text messages from October 2022 through September 2023 were permanently lost due to a chain of IT failures. The agency’s device management system failed to detect Gensler’s phone had stopped syncing for 62 days, leading to it being flagged as lost/stolen. During recovery attempts, staff mistakenly performed a factory reset that erased all messages. The crypto industry has reacted strongly, noting the period covers pivotal events including FTX’s collapse, Silvergate Bank’s liquidation, and the Silicon Valley Bank crisis. Coinbase’s Chief Legal Officer called it evidence destruction relevant to ongoing litigation, while Custodia Bank’s CEO highlighted the timing’s significance. The SEC has since disabled texting on most devices and implemented new backup measures.
about SEC's Gensler Text Deletion Sparks Crypto Industry OutrageSilvergate Bank
0 in Finance and 0 in Crypto last weekMicroStrategy’s $70B Bitcoin Custody & Market Surge
MicroStrategy’s massive $70 billion Bitcoin holdings are spread across nine custodians, including Coinbase and Fidelity, but the exact distribution remains undisclosed under SEC Rule 83. The company revealed this in a 2023 SEC filing following concerns post-FTX collapse. Meanwhile, crypto-linked stocks soared this week, with Coinbase hitting new highs and MicroStrategy briefly reaching a record market cap before pulling back. Elsewhere, companies like Bit Origin ($500M for Dogecoin), Sharplink ($6B for Ethereum), and e-bike maker Volcon ($500M for Bitcoin) expanded their crypto treasuries, though their stock performances were volatile. The SEC’s stance on Ethereum ETF staking remains pending until October, while Grayscale explores a potential IPO.
about MicroStrategy's $70B Bitcoin Custody & Market SurgeUS Senators Probe Meta’s New Stablecoin Plans
Two US Democratic Senators, Elizabeth Warren and Richard Blumenthal, have sent a letter to Meta CEO Mark Zuckerberg seeking clarity on the company’s reported plans to develop a new stablecoin. The Senators expressed concerns about Meta’s potential control over a private digital currency, citing risks to competition, user privacy, and federal monetary oversight. They also questioned how the initiative differs from Meta’s failed Libra and Diem projects, which faced intense regulatory pushback. The letter highlights fears over data exploitation, money laundering, and national security threats, urging Meta to disclose its partnerships and lobbying efforts. Zuckerberg has until June 17, 2025, to respond.
about US Senators Probe Meta's New Stablecoin PlansMeta Explores Stablecoins for Cross-Border Payouts
Meta is revisiting stablecoin-based payment solutions, engaging with crypto firms to assess their potential for cross-border transactions, especially for content creators on Instagram. This follows the failed 2019 Diem project, which faced regulatory hurdles. Led by VP Ginger Baker, Meta is in ‘learn mode’ but has not committed to a specific stablecoin provider. The move aligns with growing industry interest, as firms like Fidelity and Visa explore stablecoins. Meta’s outreach focuses on reducing international payment costs, with Circle among the firms in discussions. CEO Mark Zuckerberg acknowledged Diem’s failure but hinted at Meta’s readiness to re-enter crypto markets.
about Meta Explores Stablecoins for Cross-Border PayoutsTokenized Real Estate to Hit $4T by 2035: Deloitte
A Deloitte report projects that tokenized real estate could grow from under $300 billion in 2024 to over $4 trillion by 2035, with a 27% CAGR. Blockchain adoption, post-pandemic trends, and demand for fractional ownership are key drivers. Experts highlight benefits like liquidity and regulatory evolution, though skeptics argue real estate may not be the ideal starting point for tokenization. The sector also sees tailwinds from trade uncertainties, with tokenized gold volumes hitting $1 billion amid tariff concerns. Regulatory clarity is expected to follow usage growth, mirroring Uber’s trajectory.
about Tokenized Real Estate to Hit $4T by 2035: Deloitte