5.29 AI Daily: The Federal Reserve (FED) adopts a cautious and wait-and-see attitude, with opportunities and risks coexisting in the crypto market.

1. Headline

1. The Federal Reserve’s meeting minutes released hawkish and dovish signals, and opportunities in the crypto market are brewing.

The Federal Reserve released the minutes of its May monetary policy meeting, revealing a cautious and watchful policy orientation. On one hand, officials are concerned about persistently high inflation, while on the other hand, they are worried about rising unemployment rates. The minutes indicate that participants believe the current interest rate level is moderate, but the uncertainty regarding the economic outlook has increased, along with the risks of rising unemployment and inflation.

Investors are betting that the Federal Reserve may cut interest rates 1 to 2 times this year. However, the Fed has not yet taken substantial action, maintaining a more wait-and-see attitude, needing to wait for more economic data to determine the next policy direction. This alternating signal of hawkish and dovish stances may bring new opportunities to the cryptocurrency market.

Analysts point out that if the Federal Reserve lowers interest rates within the year, it will benefit the performance of risk assets, and the cryptocurrency market may welcome a new round of bullish trends. However, the risks of high inflation and economic slowdown still exist, and investors need to remain cautious. Overall, the direction of the Federal Reserve’s policy will have a profound impact on the crypto market, and investors need to pay close attention and prudently seize opportunities.

2. Coinbase launches CDP wallet, allowing developers to gain “full control” without managing private keys.

The cryptocurrency exchange Coinbase has launched the CDP wallet, a new type of wallet infrastructure aimed at developers. The CDP wallet is designed to break the trade-off between custody and operational complexity, giving developers “full control.”

In the past, developers either managed their private keys and handled complex operations themselves or relied on custodians, thus losing flexibility. The CDP wallet creates self-custodial, programmable wallets through APIs, eliminating the need to manage private keys or infrastructure. It utilizes trusted execution environment technology to ensure that private keys are always kept in an encrypted state, even Coinbase cannot access them.

This initiative is expected to promote the development of blockchain applications and provide developers with a more secure and flexible wallet solution. Analysts believe that CDP wallets could become an important infrastructure for future crypto applications, driving industry innovation and attracting more developers to join. However, it is also necessary to be aware of potential security risks and ensure the safety of user funds.

3. Privacy coin Dero is under attack by a new type of self-propagating malware, with over 520 Docker APIs globally exposed to risk.

A new type of Linux malware is attacking unprotected Docker infrastructure globally, turning exposed servers into a decentralized network for mining the privacy coin Dero. The malware exploits exposed Docker APIs through port 2375, deploying two Golang-based implants, one disguised as legitimate software and the other for mining.

Infected nodes will autonomously scan the internet for new targets and propagate without a central control server. As of early May, over 520 Docker APIs worldwide are publicly exposed through port 2375, all of which are potential attack targets.

This attack incident has once again sounded the alarm for cybersecurity. Analysis indicates that with the profit motive of cryptocurrency mining, similar attacks may continue to escalate, posing greater threats to network infrastructure. Enterprises and individuals need to strengthen their awareness of security protection, promptly fix vulnerabilities, and avoid becoming part of a “botnet.” Meanwhile, regulatory authorities also need to intensify law enforcement efforts to combat cybercrime activities.

4. Russia plans to allow qualified investors to trade crypto derivatives, but strict risk control measures must be implemented.

The Central Bank of Russia announced that it will allow financial institutions to provide qualified investors with trading services for cryptocurrency-related derivatives, securities, and digital financial assets. However, these products must be offered on a non-deliverable basis, meaning that they cannot be settled in actual cryptocurrency.

The Central Bank of Russia requires financial institutions to adopt prudent risk management practices, fully covering relevant capital and implementing individual exposure limits. The central bank plans to develop formal regulations within the next year to better manage the risks associated with cryptocurrency price fluctuations.

In addition, the Russian government is reviewing a new proposal to establish a restricted testing mechanism that would only allow specific groups of investors to engage in cryptocurrency trading under a strictly regulated environment.

Analysts believe that Russia’s move reflects a gradual easing of its cryptocurrency regulations, while also demonstrating a high level of concern regarding risks. The qualified investor system helps explore the investment applications of crypto assets, but strict enforcement of regulations will determine their development prospects. Overall, Russia is cautiously advancing the process of cryptocurrency compliance.

5. Jensen Huang: China is one of the largest AI markets in the world, winning the Chinese platform will lead globally.

Nvidia CEO Jensen Huang stated in a conference call with analysts that China’s $50 billion artificial intelligence market is actually closed off to American industries. He believes: “China is one of the largest artificial intelligence markets in the world and a springboard for success globally. Half of the world’s AI researchers are in China, and winning the Chinese platform will lead globally.”

Jensen Huang pointed out that the current U.S. policy is based on the assumption that China cannot manufacture its own artificial intelligence chips, but this assumption is clearly incorrect. His remarks reflect the increasingly heated competition between China and the U.S. in the field of artificial intelligence.

Analysis indicates that artificial intelligence has become a high ground in the new round of technological competition, with both China and the United States increasing their investments to seek dominance in this field. China, with its vast market and talent advantages, is expected to become an important engine for the development of artificial intelligence. The United States, on the other hand, relies on technological leadership and industry cluster effects to maintain its leading position. The future prospects of artificial intelligence will directly affect the technological strength and economic development patterns of both countries and even the world.

2. Industry News

1. Bitcoin is consolidating above the key support level of $106,000, and the next wave of upward momentum may be brewing.

Bitcoin (BTC) continue to hold above the $106,000 support level, and the next upside may be brewing. U.S. spot bitcoin ETFs have just recorded their 10th consecutive week of inflows. This indicates an increase in interest in buying Bitcoin.

Analysts believe that Bitcoin is currently consolidating around the key resistance level of $109,500, and once it breaks through this level, it could trigger further upward movement. Fund flow data shows that large holders are actively testing the breakout, and the CME gap has also provided momentum for the rise. Positive fundamental news, such as U.S. banks cautiously exploring cryptocurrency business, has also supported Bitcoin’s upward trend.

However, some analysts are cautious about the short-term prospects for Bitcoin’s rise. Crypto analyst Willy Woo warned that, although the long-term outlook is bullish, the current uptrend may weaken in the short term as risk signals are declining. He emphasized the short-term risks associated with speculative trading behavior.

Overall, Bitcoin is currently at a critical stage. The technical indicators and capital flows support an upward trend, but investors need to be cautious of short-term volatility and potential risks. Future movements will depend on the ability to break through key resistance levels, as well as developments in the macroeconomic and regulatory environment.

2. Ethereum breaks through key bullish pattern, upward potential is highlighted

Ethereum ( ETH ) is showing strong strength, breaking through an ascending triangle, indicating further upward potential. This breakout could initiate the next wave of bullish market.

Technical analysis shows that the price of Ethereum is facing resistance in the range of $2,800-$3,000. Once it breaks through this range, it could trigger further upward movement, with a target price around $3,550. Analysts point out that Ethereum’s price trend is similar to Bitcoin’s historical price trend, forming a fractal pattern that suggests the possibility of new historical highs.

The trading volume and capital flow data also support the upward trend of Ethereum. On-chain data shows that large addresses are accumulating Ethereum, and the outflow from exchanges is also increasing, indicating that investor demand for Ethereum is rising.

However, some analysts are cautious about the bullish prospects for Ethereum. They warn that due to potential over-leveraging, Ethereum may face the risk of a pullback. Additionally, upcoming regulatory discussions may also impact Ethereum’s performance.

Overall, Ethereum is currently in a favorable position, with technical indicators and capital flow supporting an upward trend. However, investors need to closely monitor regulatory developments and potential over-leverage risks to avoid potential downside risks.

3. The Federal Reserve’s meeting minutes triggered market volatility, and Bitcoin briefly fell below $108,000.

After the Federal Reserve’s meeting minutes were released in May, the price of Bitcoin briefly fell below $108,000, with market sentiment for risk assets showing a cautious state. The minutes indicated that Federal Reserve officials are increasingly uncertain about the economic outlook, mainly due to the potential impact of tariffs.

Analysts point out that the market’s expectations for the Federal Reserve to cut interest rates this year have weakened, leading to selling pressure on risk assets such as Bitcoin. The CME FedWatch tool shows that the market expects the Fed’s first rate cut to be delayed until September, with the expected number of rate cuts for the year revised down from 4 to 2.

Trader TheKingfisher stated that if the Bitcoin price falls further, it may trigger more short covering. However, Bitcoin quickly rebounded back above $108,000, showing solid support.

Some analysts believe that the Federal Reserve’s cautious stance may extend the bull market cycle for cryptocurrencies. As uncertainty in traditional markets increases, investors may allocate more funds to alternative investments such as cryptocurrencies.

Overall, the Federal Reserve’s meeting minutes triggered short-term market fluctuations, but Bitcoin quickly regained stability. Investors need to closely monitor the Federal Reserve’s policy timeline as it will have a significant impact on the cryptocurrency market.

4. On-chain data shows that funds are shifting from Bitcoin to the high Beta altcoin market.

Although Bitcoin’s market capitalization ratio is still at a high level, on-chain data shows that funds are gradually shifting from Bitcoin-dominated safe-haven assets to the high-beta altcoin market, which may indicate the arrival of a new altcoin season.

Analyst Chloe pointed out that the activity of public chains like Solana and Base continues to rise, with liquidity also increasing. If Bitcoin’s market capitalization ratio falls below 52%, combined with further upward liquidity, it may officially trigger a new round of altcoin season.

Data shows that Solana, Base, TON, BTCFi, and other ecosystems have performed strongly in the past six months, becoming the “new four kings” of the crypto industry. Each track has several tokens that have entered the top 100 by market capitalization. In contrast, NFT, full-chain gaming, AI, and other areas that were once highly anticipated are experiencing slower development and are facing skepticism.

Analysts indicate that the current tracks worth noting include crypto lending and InfoFi. These tracks carry higher risks and returns and may become the main driving force of the next bull market.

However, some analysts are cautious about the bullish prospects of the altcoin market. They warn that the performance of altcoins may be worse than expected, forcing industry participants to re-examine innovation and real use cases.

Overall, on-chain data shows that funds are flowing into high Beta assets, but there is still uncertainty with the arrival of the altcoin season. Investors need to closely monitor the development trends of different tracks and assess the risk-reward ratio to make informed investment decisions.

5. Trump posted on social media a post containing PEPE elements, causing the price of PEPE coin to soar.

Former President Trump posted a message on social media featuring elements of the meme currency PEPE, sparking market discussions. The price of PEPE coin subsequently soared, but it is important to note that the image does not indicate any future interaction between Trump and PEPE.

Analysts believe that this move may indicate Trump’s more open attitude towards cryptocurrencies, particularly meme coin culture, or it could be one of his strategies to gain broader support. However, there are also opinions that suggest Trump is merely leveraging elements of popular culture to attract attention, and it does not represent genuine support for PEPE or cryptocurrencies.

Regardless, Trump’s post has sparked widespread attention and discussion within the crypto community. Some investors believe that this could lead regulators to adopt a more open attitude towards meme coins, bringing new development opportunities to the space. However, there are also concerns that if Trump holds a negative stance on cryptocurrencies in the future, it could have a negative impact on the market.

Overall, Trump’s post once again highlights the complex relationship between celebrity influence and cryptocurrency market dynamics. Investors need to remain rational and focus on substantive regulatory and development developments, rather than over-interpreting personal statements.

3. Project News

1. Mira released the ecosystem map, with over 25 partners deploying its decentralized verification technology.

The decentralized AI verification network Mira recently released its ecosystem map, covering over 25 partners across six major verticals. The map shows that open-source projects such as Wikisentry and Kaito-Tok use Mira for content verification; Agent frameworks such as SendAI, Zerepy, and Arc integrate its API to provide reliability assurance for agents; and protocol layer projects including Plume and Monad connect to Mira’s verification services.

Mira said that these partners have actually deployed their decentralized verification technology or provide underlying support for Mira’s trust layer. As a decentralized AI verification network, Mira is committed to providing a trusted infrastructure for AI systems. Its core innovation is to use blockchain technology and cryptography principles to build an open, transparent and verifiable AI verification network to ensure the reliability and security of AI output.

The emergence of Mira provides a new solution for the trustworthiness of AI systems. As AI is widely applied across various industries, ensuring the reliability and safety of AI outputs has become crucial. Mira offers a trusted verification layer for AI systems through a decentralized approach, which is expected to promote the practical application of AI in critical areas. At the same time, the continuous expansion of the Mira ecosystem also reflects the industry’s recognition and anticipation of its technology.

Industry insiders believe that Mira represents the future development direction of trustworthy AI infrastructure. In the future, as more projects connect to the Mira network, its influence will further expand, providing a solid guarantee for the reliability of AI systems.

2. Solana ecosystem receives another $1 billion in liquidity support, institutional confidence continues to strengthen.

The Solana ecosystem has recently attracted two major investments, one being a $1 billion liquidity staking provided by an institutional investor, and the other being a direct investment in Solana ecosystem projects by another institution. These initiatives demonstrate the growing confidence of institutional investors in the Solana ecosystem.

First, the Solana Foundation announced that an institutional investor will provide up to $1 billion in liquid staking for the Solana ecosystem. This funding will be used to support various DeFi applications within the Solana ecosystem and enhance the liquidity of the entire ecosystem.

Meanwhile, another institutional investor directly invested in a Solana ecosystem project, with the amount undisclosed. This move further enhances institutional capital’s recognition and support for the Solana ecosystem.

As one of the leading Layer 1 public chains, the Solana ecosystem has developed rapidly in recent years, attracting a large number of high-quality projects. Its advantages such as high performance and low transaction fees have secured its position in fields like DeFi, NFT, and GameFi. This recent large-scale investment from institutional-level investors will undoubtedly further promote the development of the Solana ecosystem.

Industry insiders say that the continuous influx of institutional capital reflects the market’s recognition of the development prospects of the Solana ecosystem. With the incubation of more high-quality projects, the Solana ecosystem is expected to become an important infrastructure in the Web3 era. In the future, the Solana ecosystem is expected to achieve further enhancement in terms of financial strength and technological innovation.

3. The Sui ecosystem development is facing challenges, looking forward to more star projects being incubated.

As one of the representatives of the Move language ecosystem, Sui has made some progress recently, but overall it still faces several challenges. Although the Sui Foundation has launched new products such as SuiPlay and made significant investments at the KBW Game Show in Korea, there are still relatively few star projects within the Sui ecosystem.

Currently, the most关注ed projects in the Sui ecosystem include Cetus, Navi, Scallop, and a few Meme projects, which are not many in total. At the same time, the assets available for speculation in the Sui ecosystem are also relatively limited.

The Sui side stated that they are working hard to cultivate more high-quality projects through incubation programs to enrich the Sui ecosystem. However, currently, the Sui ecosystem still needs more killer applications to be incubated in order to truly attract more developers and capital attention.

Alongside Sui, there are other Move language public chain projects such as Aptos and Movement. Among them, Aptos has already launched its mainnet and issued tokens, but users and the community still have some doubts about its development direction. As the only Move system project that has not yet issued tokens, Movement’s future development is worth ongoing attention.

Industry insiders believe that although the Move language ecosystem has broad prospects, its current development is still in the initial stage. Projects like Sui and Aptos need to put more effort into incubating more star applications to truly break through the current bottleneck and attract more traffic and capital.

4. Solana ecosystem funds flow into high Beta assets, the altcoin season may be coming.

According to Research analyst Chloe, the activity levels of public chains such as Solana and Base continue to rise, with funds gradually shifting from Bitcoin-dominated safe-haven assets to the high Beta altcoin market. Although Bitcoin’s market cap ratio remains high, if it subsequently falls below 52%, combined with further upward liquidity, it may officially initiate a new round of altcoin season.

Chloe stated that the current areas worth paying attention to include crypto lending and InfoFi. As funds continue to flow into high-risk assets, these areas are expected to gain more attention and development opportunities.

From on-chain data, the number of active addresses and transaction volume in the Solana and Base ecosystems continues to rise, reflecting that funds are flowing into these ecosystems. Meanwhile, although Bitcoin’s dominance remains, its share has decreased.

Industry insiders believe that the trend of capital flowing into high Beta assets reflects that investors are seeking higher returns. After a prolonged bear market in the crypto market, investors’ risk appetite has increased, making them more willing to try high-risk, high-reward investment targets.

However, it is worth noting that the volatility of the altcoin market is relatively high, and the investment risks are also greater. Investors need to remain cautious when entering the market and manage their risk exposure effectively. At the same time, regulatory authorities also need to strengthen their oversight of the altcoin market to maintain market order.

5. Humanity Protocol allocates $2.2 million in token incentives for the Kaito ecosystem.

Humanity Protocol announced that 0.2% of the H token (, with a latest valuation of approximately 2.2 million USD ), will be allocated to top yappers and Kaito stakers. As part of the “Humanity Proof” vision, users need to verify human characteristics and connect their X accounts on the website to qualify.

Humanity Protocol is an innovative project focused on using artificial intelligence and blockchain technology to prevent deepfake issues. Its core concept is to establish a decentralized “proof of humanity” system to ensure the authenticity and credibility of AI outputs.

The Humanity Protocol allocates tokens to the Kaito ecosystem, aiming to incentivize contributors and participants in the Kaito community. Kaito, as an AI-based open dialogue platform, aligns with Humanity Protocol’s vision. Through this incentive, Humanity Protocol hopes to further promote the development of the Kaito ecosystem, while also injecting new impetus into its own “Proof of Humanity” system.

Industry insiders believe that this move reflects the Humanity Protocol’s emphasis on the Kaito ecosystem and demonstrates its determination to promote the “proof of humanity” concept. As AI technology continues to evolve, ensuring the authenticity and credibility of AI outputs becomes increasingly important. The solutions proposed by the Humanity Protocol are expected to provide new guarantees for the trustworthiness of AI.

In the future, as more projects join the “Human Proof” system of the Humanity Protocol, its influence is expected to further expand. At the same time, the Kaito ecosystem will gain new development momentum, contributing to the advancement of AI dialogue systems.

4. Economic Dynamics

1. The Federal Reserve’s meeting minutes reveal increased uncertainty in the economic outlook.

Economic Background: The US economy has maintained relatively robust growth over the past year, but inflationary pressures remain high, and the unemployment rate has increased. The latest data shows that the annualized GDP growth rate for the first quarter of 2025 is 2.4%, slightly lower than the previous quarter’s 2.6%. The core inflation rate in April is 5.4%, exceeding the Federal Reserve’s target level of 2%. The unemployment rate has risen from 3.5% a year ago to 4.2%.

Important Event: The Federal Reserve will hold a monetary policy meeting on May 6-7, with the minutes to be released on May 29. The minutes indicate that participants unanimously believe that uncertainty regarding the economic outlook has further intensified, primarily due to the impact of the Trump administration’s trade policies, including increased tariffs. Participants expect that the tariff hikes will lead to a “significant” rise in inflation, and the job market will also “weaken considerably.”

Market Reaction: After the release of the Federal Reserve’s meeting minutes, investors have increased their expectations for a rate cut by the Federal Reserve within the year. Federal funds futures indicate that the market expects the Federal Reserve to cut rates 1-2 times before the end of 2025. The bond market also experienced some volatility, with the yield on 10-year Treasury bonds rising slightly.

Expert Opinion: Goldman Sachs Chief Economist Jan Hatzius stated that the Federal Reserve is facing a “stagflation” dilemma, where inflation remains high while economic growth slows. He believes that the Federal Reserve may need to make trade-offs between supporting employment and controlling inflation. Moody’s analyst Katrina Ell pointed out that the court’s ruling to block Trump’s tariff increases may only bring short-term positive effects, while long-term impacts remain uncertain.

2. A US court has halted Trump’s “Day of Liberation” tariff policy, causing market turbulence.

Economic Background: The Trump administration announced the “Liberation Day” tariff policy on April 2, planning to impose high tariffs on all trading partner countries. Previously, the U.S. economy had been under pressure due to the trade war, and the escalation of the tariff policy further intensified the uncertainty of the economic outlook. The latest data shows that the import price index rose by 8.2% year-on-year in the first quarter of 2025, while the export price index increased by 4.9%.

Important event: On May 29, the U.S. International Trade Court ruled that the Trump administration’s implementation of the “Day of Liberation” tariff policy was illegal and exceeded its authority. The court found that the president’s invocation of the International Emergency Economic Powers Act to impose broad tariffs was beyond its jurisdiction. The Trump administration stated that it would appeal.

Market reaction: After the court ruling was announced, U.S. Treasury yields experienced significant fluctuations. The 30-year Treasury yield broke above 5%, while the 10-year yield rose by 10 basis points to 4.5% compared to the previous two days. The dollar index increased by 0.5% during the day. In the stock market, Nasdaq futures saw an increase of 1.7%.

Expert opinion: Goldman Sachs analysts point out that the court’s suspension of the tariff policy may only bring short-term benefits, while the long-term impact remains to be seen. They believe that if the appeal is rejected, it will help reduce inflationary pressures and corporate costs. However, if the taxation is ultimately upheld, it may further harm economic growth. Analysts at Bank of America Merrill Lynch stated that the ruling has weakened the influence of the Trump administration’s trade policy, but trade tensions will continue.

3. The Federal Reserve’s stagflation forecast may become the baseline for the June economic outlook.

Economic Background: Since 2025, the “stagflation” phenomenon characterized by slowing economic growth, high inflation, and a weak labor market in the United States has become increasingly significant. The annualized GDP growth rate for the first quarter was 2.4%, the core inflation rate in April was 5.4%, and the unemployment rate was 4.2%, all of which have not met the Federal Reserve’s target levels.

Important event: The Federal Reserve’s May meeting minutes revealed that participants expressed concerns over increasing uncertainty regarding the economic outlook. Staff expect that tariff policies will lead to a “significant” rise in inflation this year, and the labor market will “weaken significantly.” This “stagflation” forecast may set the tone for the Federal Reserve’s Economic Projections Summary in June.

Market reaction: The Federal Reserve’s stagflation forecast has intensified market expectations for interest rate cuts within the year. Federal funds futures suggest that the Fed may cut rates 1-2 times before the end of 2025. The bond market has also experienced some volatility, with the 10-year Treasury yield rising slightly.

Expert Opinion: Goldman Sachs Chief Economist Jan Hatzius believes that the Federal Reserve is facing a “stagflation” dilemma and needs to balance support for employment with controlling inflation. He expects the Federal Reserve to lower its economic growth expectations and raise its inflation and unemployment rate forecasts at the June meeting. Moody’s analyst Katrina Ell stated that the impact of the court’s halt on tariff policies may only be temporary, and long-term economic prospects remain uncertain.

5. Regulation & Policy

1. Federal Reserve meeting minutes: Increasing uncertainty in the economic outlook, adopting a cautious monetary policy.

The Fed revealed in the minutes of its May monetary policy meeting that officials at the meeting agreed that there is more uncertainty about the economic outlook due to increased uncertainty caused by changes in government policy. Therefore, a cautious monetary policy stance is appropriate until the policy implications become clearer.

The minutes of the meeting indicate that participants generally believe that the risks of rising unemployment and inflation have increased since the March meeting, primarily due to the potential impact of trade policies such as tariffs imposed by the Trump administration. This situation may pose difficult trade-offs for the Federal Reserve in achieving its dual objectives of maximum employment and price stability.

The minutes state: “Participants agreed that, given the continued solid economic growth and labor market, and the current moderately tight monetary policy, the Federal Reserve is prepared to conditionally wait for clearer inflation and economic activity outlooks.” This suggests that the Federal Reserve is ready to keep interest rates unchanged for a period of time.

Market participants believe that the Federal Reserve’s statement reflects its cautious attitude towards the economic outlook. Investors will continue to closely monitor subsequent data and policy signals to determine when the Federal Reserve will restart the interest rate hike cycle.

Goldman Sachs analysts stated: “The minutes of the meeting reinforce our view that the Federal Reserve will remain on hold for the remainder of this year until the economic outlook becomes clearer.” He added that if the impact of trade policies is more severe than expected, the Federal Reserve may even cut interest rates in 2025.

2. The Central Bank of Russia plans to allow qualified investors to trade crypto derivatives.

The Central Bank of Russia recently announced that it will allow financial institutions to provide trading services for cryptocurrency-related derivatives, securities, and digital financial assets to qualified investors, but these products must be offered on a non-delivery basis, meaning they cannot be settled in actual cryptocurrency.

This measure aims to manage the risks posed by cryptocurrency price volatility. The Central Bank of Russia requires financial institutions to adopt prudent risk management practices, needing to fully cover the relevant capital and implement individual exposure limits. The central bank plans to establish formal regulations within the next year to better manage the risks related to cryptocurrency price fluctuations.

In addition, the Russian government is reviewing a new proposal to establish a restricted testing mechanism that would only allow specific groups of investors to trade cryptocurrencies in a strictly regulated environment.

Russia has always adopted a cautious attitude towards cryptocurrency. As early as 2020, Russia banned the use of cryptocurrency as a means of payment within its territory. However, the Russian side recognizes that the importance of crypto assets in the investment field is increasing day by day, and it is necessary to establish a corresponding regulatory framework.

The chairman of the Russian Cryptocurrency and Blockchain Association stated that this move will help attract domestic and foreign investors, bringing new vitality to the Russian crypto asset market. However, he also pointed out that the formulation of regulatory details needs to balance innovation and risk management.

Some industry insiders welcome the regulatory direction from the Russian side, believing it is beneficial for the long-term healthy development of the cryptocurrency market. However, there are also opinions that excessive regulation may stifle innovation and that the industry needs some space for development.

3. Former CFTC Chairman: Lack of Regulation Puts the Crypto Market at Risk

Rostin Behnam, the former chairman of the Commodity Futures Trading Commission (CFTC), recently warned that if Congress does not grant CFTC greater regulatory authority, the regulatory vacuum in the cryptocurrency market will continue, exposing participants to risks and hindering institutional entry.

In an interview with Bloomberg, Behnam pointed out that sound regulation is the cornerstone of the U.S. financial markets. He supports the long-held view of the crypto industry that cryptocurrencies are commodities. He noted that under current law, major tokens including Bitcoin and Ethereum are classified as commodities, and the Securities and Exchange Commission (SEC) has no jurisdiction over these tokens.

Due to the SEC’s legal restrictions on regulating commodities and the CFTC’s authority limited to derivatives, if the CFTC is not granted new authority to regulate “non-security assets in the digital asset spot market,” this area will remain unregulated, potentially exposing investors to risks such as fraud, manipulation, and conflicts of interest.

Behnam urged Congress to grant the CFTC the authority to regulate the cryptocurrency spot market to ensure fair and orderly market operations. He stated that the next priority would be to create a “transparent and tailored regulatory framework for digital assets—a framework that supports innovation and fully integrates cryptocurrencies into the mainstream economy.”

Market participants generally believe that cryptocurrency regulation is an inevitable trend. However, there are differences in the industry regarding how to regulate. Some support Behnam’s view that the CFTC is more suitable for regulating the cryptocurrency spot market; others argue that the SEC should play a leading role because cryptocurrencies have securities attributes.

Regardless, as institutional funds accelerate their flow into the cryptocurrency sector, establishing clear regulatory rules to maintain market order will be a top priority in the future.

( 4. The KOSPI index in South Korea rose by 1.89% on May 29.

On May 29, the KOSPI index in South Korea closed up 50.46 points on Monday, an increase of 1.89%, reporting at 2720.61 points.