Galaxy Digital Holdings LtdImpact on stocks 1
Digital Finance & Tokenization▲ · 1 stocks
Galaxy Digital Holdings LtdGLXY
Mentioned
Theme Impact 3
Off-coverage companies
Related news
▲2
Bitcoin Breaks Above $80,000, Aided by Falling Oil, Short Squeeze, and Resumption of ETF Inflows
Bitcoin rebounded 8% from a seven-day low of about $75,500 to reach $81,800. Falling crude oil prices eased inflation concerns and helped fuel a short squeeze above $80,000. U.S. Central Command commander Brad Cooper indicated an increase in crude oil, cargo, and liquefied natural gas shipments, and Brent crude fell from around $111 on September 11 to about $104, while WTI crude also dropped from $106 to below $100. The Fed raised its policy rate by 25 basis points to 3.75-4.00%, but the crypto market saw $201 million in forced liquidations over 24 hours, with shorts accounting for $112.9 million. A motion to begin deliberation on the CLARITY Act failed by a vote of 49 to 50, and its probability of passage fell from 31% to 7%, while the SEC introduced a five-year conditional exemption for TSV to handle tokenized NMS equities, and the CFTC also sent crypto trading and market regulation proposals to the White House. U.S. spot Bitcoin ETFs saw inflows of about $159 million on Thursday and $433 million on September 18, marking the first back-to-back net inflows since September 3.
Visa Moves to Close the Points 'Loophole' on Meme Coin Purchases
Visa, the major international payments network, is moving to correct a practice that treats credit card purchases of meme coins as 'digital content,' the same as e-books and music, Crypto In America reported on September 19. According to the report, Visa has told payment processors that it will not allow the use of 'MCC 5815' for meme coin purchases. MCC is a four-digit classification code indicating what type of business a card payment is made to, and Visa's official manual stipulates that cryptocurrency purchases should in principle use MCC 6012 or 6051, along with information indicating a cryptocurrency transaction. MCC 5815, meanwhile, is the category for e-books, movies, music, and digital art. The specific end date has not been made clear, but the grace period is expected to end in the week from September 21 to 27. Behind this is the problem that when some apps purchased meme coins, the transactions were processed not as cryptocurrency but as 'digital media,' granting users the same points and cashback as ordinary purchases. Crossmint, which was processing the payments, is said to have based its position on the view of SEC Division of Corporation Finance staff that some meme coins are closer to collectibles than securities, but Visa judged that card payments must be treated as cryptocurrency and that the use of MCC 5815 is inappropriate. This move does not itself ban card purchases of meme coins, but because they will now be processed as cryptocurrency transactions, it may become harder to earn the same points and cashback as ordinary purchases.
▼
Robinhood Chain fee revenue drops 97% as memecoin frenzy cools
Daily network fees paid by users on Robinhood Chain have fallen about 97% from their peak in early September. CoinDesk reported on September 19, based on on-chain data from growthepie, that the cooling of overheated memecoin trading is behind the decline. Fees dropped from about 8 million dollars to about 230,000 dollars by September 16, while transaction counts during the same period fell only about 32%, from 13.1 million to 8.9 million. The average fee per transaction plunged from about 64 cents to about 2.6 cents, meaning the drop in fee revenue was driven more by lower trading costs than by fewer users. At the center of the boom was Pons, a service that makes it easy to issue and trade memecoins; on August 30, 22,600 types of tokens were issued in a single day, but trading volume from September 10 to 16 fell 37% week over week to about 616 million dollars. Meanwhile, DEX trading volume across the entire chain rose about 5% week over week to about 12.8 billion dollars in the week through September 16, while Solana's DEX trading volume fell 8% over the same period, with no large-scale migration of users confirmed.