Federal Reserve Chair Under Criminal Investigation by US Department of Justice
The US Department of Justice, under the direction of President Donald Trump, has initiated a criminal investigation into Federal Reserve Chairman Jerome Powell.
The DOJ has leveled allegations that Powell misallocated funds during the renovation of Federal Reserve office buildings. Chairman Powell has formally denied these claims.
In response to the allegations, the Fed chair stated that the charges were politically motivated and described them as "a consequence of the Federal Reserve setting interest rates based on our best assessment of what will serve the public, rather than following the preferences of the President."
President Trump had previously visited the office buildings undergoing renovation, asserting that the Federal Reserve, under Powell's leadership, had exceeded its budget.
President Trump has consistently sought to increase his influence over the Federal Reserve and has voiced considerable frustration regarding what he perceives as insufficiently low interest rates.
Video message from Federal Reserve Chair Jerome H. Powell: https://t.co/5dfrkByGyXpic.twitter.com/O4ecNaYaGH
— Federal Reserve (@federalreserve) January 12, 2026
Coinbase Pauses Fiat Services for Argentinian Users
Major US-based cryptocurrency exchange Coinbase has suspended its fiat operations in Argentina, marking a halt less than a year after its market entry into the country.
The exchange reportedly ceased Argentine peso-based services following a comprehensive review of its operations. Coinbase indicated that this "deliberate pause" is intended to allow time for assessing the long-term viability of its product offerings within the region.
Argentinian users will be unable to purchase or sell USDC (USDC) using pesos, nor will they be able to withdraw funds to their local bank accounts by the end of January.
Ana Gabriela Ojeda, an observer of the cryptocurrency industry in Latin America, commented that such pauses typically occur when engagement with the local currency presents significant complexities. She clarified, "It is not a signal against crypto or against stablecoins but rather a demonstration of the structural challenges of integrating local financial systems in volatile markets."
NFT Paris Cancelled Amidst Market Downturn
Organizers of NFT Paris, an event dedicated to non-fungible tokens (NFTs) and real-world assets, have announced the cancellation of the conference, citing current market conditions as the primary reason.
NFT Paris was originally scheduled to take place in February. However, the organizers stated, "the market collapse hit us hard. Despite drastic cost cuts and months of trying to make it work, we couldn’t pull it off this year."
Following a significant peak in 2022, NFTs have faced considerable challenges in regaining momentum. Data from CoinGecko indicates that the total NFT market capitalization is currently just above $3 billion, with a 24-hour trading volume of approximately $4 million.
Attendees who purchased tickets for NFT Paris will receive full refunds. The organizers have not yet provided information regarding potential rescheduling or plans for future events.
Wyoming Launches State-Issued Stablecoin
The Wyoming Frontier Stable Token (FRNT), the state's newly launched stablecoin, is now accessible to the general public. State legislators have positioned this digital asset as a significant advancement for financial innovation within Wyoming, a state known for its relatively permissive regulations concerning the digital asset industry.
The FRNT token is now live on the Solana blockchain and can be acquired through the Kraken exchange. It also offers bridging capabilities to Arbitrum, Avalanche, Base, Ethereum, Optimism, and Polygon.
Other US states have expressed interest in developing their own stablecoins. For instance, in October 2025, the Bank of North Dakota announced its intention to introduce a stablecoin named "Roughrider Coin."
Advocates for state-issued stablecoins often highlight their inherent stability, typically secured by dollar reserves and US Treasurys, as well as their potential for lower transaction fees compared to traditional credit card services.
Italian Regulators Issue Warnings to Financial Influencers
The Commissione Nazionale per le Società e la Borsa (CONSOB), Italy's principal securities regulator, has issued a formal warning to financial influencers regarding their responsibilities when promoting financial products.
Citing directives from European Union law, CONSOB cautioned "fin-fluencers" that "promoting a financial product or service isn’t like promoting shoes or watches."
CONSOB emphasized that the promotion of highly volatile assets, such as cryptocurrencies where investors risk the complete loss of their capital, can expose influencers to legal accountability for their published content.
According to guidance provided by the European Securities and Markets Authority (ESMA), even the inclusion of disclaimers like "this is not financial advice" does not absolve influencers of their legal obligations.
Moldova to Align Cryptocurrency Regulations with EU's MiCA Framework
On January 16, Moldovan Finance Minister Andrian Gavrilita announced that his country intends to harmonize its cryptocurrency regulations with the European Union's Markets in Crypto-Assets Regulation (MiCA) framework.
In a local media interview, Gavrilita stated that his ministry is actively collaborating with EU regulators to develop a legal structure that will permit citizens to possess and trade cryptocurrencies. The forthcoming legislation is expected to be a joint initiative involving the Finance Ministry, the National Bank of Moldova, and the country's Anti-Money Laundering and securities authorities.
A significant aspect of the new law is that it will not recognize cryptocurrency as a legal means of payment. The National Bank of Moldova has previously issued multiple warnings regarding the risks associated with cryptocurrencies, and Minister Gavrilita himself has characterized crypto as a speculative instrument.
"I see [crypto] more as a speculative domain, but citizens have the right to operate them either way, and this year we’ll have the legislation."
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