While most market participants were resting, the crypto industry continued to live its own life. Several landmark events occurred overnight that could set the direction for the industry for months to come. From regulatory initiatives in Asia to high-profile disputes on prediction platforms, we break down the key news you can't afford to miss.
Regulatory breakthrough in Singapore
The Monetary Authority of Singapore (MAS) has put forward a revolutionary proposal — to introduce a separate license for stablecoin issuers. Under the new initiative, only holders of such a license will be able to officially call their tokens stablecoins under regulatory oversight. The requirements are strict: issuers must hold reserves of at least 100% of the issuance volume, comply with redemption deadlines, and not pay holders interest for storing assets. Moreover, MAS plans to require companies to conduct quarterly stress tests and implement mechanisms to track and block tokens associated with illegal activity. Systemically significant stablecoins that fail to meet the new rules risk facing restrictions up to delisting on licensed platforms.
Lifetime ban on Kalshi
The prediction market platform Kalshi has made an unprecedented decision — to permanently block former U.S. Congressman George Santos and fine him more than $70,000. This is the first lifetime trading ban in the platform's history. According to Kalshi, Santos opened large positions in a market where people bet on his presence at President Trump's address to Congress, and then publicly misled people about his plans to influence the price of contracts. He earned about $18,000 betting on his own absence. He received the lifetime ban due to refusing to cooperate with the investigation — in four other recent cases, traders cooperated and got off with temporary restrictions.
Billion-dollar investments into Polymarket
The 1789 Capital fund, whose partner is Donald Trump Jr., intends to invest another approximately $300 million into Polymarket. This is part of a funding round of about $1 billion that values the platform at $21 billion. The fund has previously invested about $200 million, making it one of the platform's largest shareholders. The main shareholder remains exchange operator Intercontinental Exchange, whose stake worth $1.6 billion corresponds to approximately 22% of the company's shares.
My take: Singapore's initiative is a clear signal to the world: stablecoins are ceasing to be a "gray area" and are becoming a full-fledged class of financial assets with clear rules of the game. This could accelerate market consolidation, where small and unscrupulous issuers will be forced out, making way for major players with real reserves and transparent reporting. As for Polymarket, such an influx of capital from politically engaged structures raises questions about the platform's neutrality, and this is worth watching closely.