This week, the cryptocurrency space actively challenged the established financial order. Kraken responded to warnings from bankers regarding stablecoin yields, while stablecoins themselves facilitated $46 trillion in transactions, a volume equivalent to more than half of Visa's total processed payments. Regulators across Asia and the Americas are now working to keep pace with these developments. With Binance's ongoing expansion and the debut of a Solana ETF in Hong Kong, the distinction between traditional and digital finance is rapidly diminishing.
Kraken CEO Clashes with U.S. Bankers Over Stablecoin Yields
The tension between traditional finance and cryptocurrency intensified as Kraken CEO David Ripley publicly disputed the American Bankers Association's (ABA) assertion that stablecoin yield products could destabilize the financial system. During the ABA Annual Convention, senior vice president Brooke Ybarra stated that interest-bearing stablecoins, which offer returns up to 5%, could potentially withdraw as much as $6.6 trillion from bank deposits. This, she argued, would undermine liquidity and the capacity for community lending. Ybarra further contended that such products pose systemic risks by diverting capital away from traditional savings accounts that currently yield less than 1%.
This panel hosted by the American Bankers Association said allowing companies like @krakenfx or @coinbase to pay interest on stablecoins would be “a detriment.”
A detriment to who?
Healthy competition is the bedrock of a free market and free markets benefit actual consumers…
— Dave Ripley (@DavidLRipley) October 21, 2025
Ripley characterized these concerns as an attempt at "moat building," accusing banks of prioritizing their profit margins over fostering competition or consumer choice. He emphasized that Kraken's core mission is to democratize finance, providing ordinary users with access to yield opportunities that were previously exclusive to the wealthy. This sharp rebuttal from Kraken highlights the escalating power struggle between cryptocurrency innovators and established financial institutions.
Other News Making Waves
- •The hacker responsible for the $53 million exploit of Radiant Capital has resurfaced a year later, laundering $10.8 million in ETH through Tornado Cash. The funds were laundered via complex swaps across multiple bridges, presenting significant challenges for authorities attempting to trace them.
- •Hyperliquid Strategies has submitted a filing with the SEC to raise $1 billion. This capital will be used to expand its HYPE token treasury following its merger with Sonnet BioTherapeutics and Rorschach I LLC.
- •Polymarket is currently seeking a valuation between $12 billion and $15 billion. This represents a tenfold increase from its valuation in June, bolstered by ICE's $2 billion investment which signals strong institutional confidence in prediction markets.
- •Stablecoins processed $46 trillion in on-chain transactions over the past year, marking a 106% increase. This volume surpasses half of Visa's adjusted payment volume.
- •Binance has launched direct USD deposits and withdrawals in over 70 countries through BPay Global, a regulated subsidiary licensed in Bahrain. This service offers fee-free SWIFT transfers.
- •Chainlink Labs has advised the U.S. Treasury to implement decentralized identity, programmable compliance, and proof-of-reserve tools. These measures are intended to enhance on-chain transparency while simultaneously protecting privacy and reducing burdens for developers.
- •Standard Chartered Hong Kong is set to launch digital asset ETF trading in November, responding to increasing demand from its wealthy clientele. Concurrently, Hong Kong has approved Asia's first Solana spot ETF, issued by ChinaAMC.
- •Ryozo Himino, Deputy Governor of the Bank of Japan, has called for updated prudential standards. He warned that stablecoins and non-bank institutions now hold nearly half of global assets that fall outside the oversight of Basel III regulations.
- •A coalition comprising crypto, fintech, and retail groups has urged the Consumer Financial Protection Bureau (CFPB) to finalize open banking rules. These rules aim to grant consumers control over their financial data, thereby promoting competition, innovation, and access to decentralized finance (DeFi).
- •Chainlink's oracle network maintained full operational status during a global cloud outage, securing over $92.5 billion in DeFi value. This event demonstrated the resilience of its decentralized infrastructure.
- •Coinbase has recommended that the U.S. Treasury modernize its Anti-Money Laundering (AML) systems by leveraging AI, APIs, and blockchain analytics. The company also proposed a safe harbor provision for firms that deploy AI-powered compliance tools.
- •CZ has cautioned traders about compromised X (formerly Twitter) accounts that are spreading fake meme coin contracts. This warning follows breaches that affected BNB Chain, PancakeSwap, Drake, and Dior amidst a surge in the BNB meme coin market.
Around the World: Bold Moves and Regulations
- •Asian stock exchanges are intensifying their scrutiny of crypto-focused treasury firms, rejecting listings deemed to be "cash companies" lacking substantial operations.
- •British Columbia will implement a permanent ban on new crypto mining grid connections starting in the fall of 2025. This decision is attributed to high energy demands and low returns, with the province prioritizing AI and data centers under capped power usage.
- •Crypto.com has partnered with South Korea's Travel Wallet to introduce a KRW-pegged stablecoin and a co-branded card. This collaboration aims to broaden access to crypto payments and bolster Crypto.com's presence in Asia.
- •Beijing has instructed Ant Group and JD.com to halt their planned stablecoin initiatives in Hong Kong. This directive reinforces the principle that only the state has the authority to issue currency, signifying a significant policy shift from financial innovation towards strict sovereign control over digital money.
Market Trends: Winners and Losers
Top 5 Gainers 📈
According to data from CoinGecko, the five biggest gainers of the week are:
- •Ore: +607.84%, from $16.20 to $114.67
- •XPIN Network: +133.25%, from $0.00365292 to $0.00851712
- •Paparazzi Token: +133.55%, from $0.00998978 to $0.02333399
- •River: +146.60%, from $3.82 to $9.43
- •Bitlight: +92.44%, from $1.19 to $2.29
Top 5 Losers 📉
According to data from CoinGecko, the five biggest losers of the week are:
- •BNB Attestation Service: -79.05%, from $0.072746 to $0.01523943
- •Bless: -50.10%, from $0.074609 to $0.03722367
- •Saros: -46.99%, from $0.231361 to $0.122582
- •KGeN: -52.46%, from $0.502801 to $0.239058
- •MBG By Multibank Group: -53.37%, from $1.076 to $0.501588
Project Spotlight
OKX Launches Rubix to Bridge Traditional Finance and Regulated Digital Assets
OKX has introduced Rubix, a modular platform engineered to assist banks, brokers, and asset managers in integrating regulated digital-asset services. These services include trading, custody, and settlement, all designed to function within their existing systems. Rubix is built to adhere to global standards such as MiCA, VARA, and AUSTRAC. It offers seamless connectivity to institutional infrastructure via FIX, REST, and WebSocket APIs, facilitating secure off-exchange storage and efficient capital utilization.
Why It Matters: By embedding cryptocurrency functionalities directly into traditional financial workflows, Rubix simplifies institutional adoption, reduces regulatory hurdles, and strengthens the connection between traditional finance and the expanding digital asset economy.