Key Highlights

• Treasury Secretary flip-flopped on Bitcoin purchases, first denying plans to buy more, then hinting at “budget-neutral” ways to expand its holdings
• The current US Strategic Bitcoin Reserve relies mostly on confiscated Bitcoins, avoiding taxpayers’ money
• The US government struggles with internal divisions, risking its claim as a “Bitcoin superpower”

The U.S. government’s approach to Bitcoin has become a rollercoaster of mixed emotions, leaving investors, economists, and even casual observers scratching their heads. 

Bitcoin that has been finally forfeited to the federal government will be the foundation of the Strategic Bitcoin Reserve that President Trump established in his March Executive Order.

In addition, Treasury is committed to exploring budget-neutral pathways to acquire more…

— Treasury Secretary Scott Bessent (@SecScottBessent) August 14, 2025

On August 14, 2025, Treasury Secretary Scott Bessent made a huge statement, not once but twice. First, he declared that the federal government would not be buying more Bitcoin to expand its Strategic Bitcoin Reserve, a move that sent ripples through the crypto market. 

Hours later, he backtracked, suggesting the Treasury might explore “budget-neutral pathways” to acquire more Bitcoin after all. 

Scott said, “Bitcoin that has been finally forfeited to the federal government will be the foundation of the Strategic Bitcoin Reserve that President Trump established in his March Executive Order.”

This surprising reversal in a single day is not just bureaucratic noise, but it is a symptom of a deeper struggle within the U.S. government over how to handle cryptocurrency. Despite progressive regulatory developments, the US government’s wordplay around the Bitcoin reserve put the crypto sector in a dilemma. 

A Reserve Built on Seizures, Not Purchases  

When President Trump signed the executive order establishing the Strategic Bitcoin Reserve in March 2025, the plan had a controversial clause, which directed to consolidation of all Bitcoin seized from criminal cases (estimated at 200,000 BTC) and holding it as a long-term national asset, much like gold or oil reserves. 

According to the executive order, No taxpayer money would be spent; the reserve would grow only through forfeitures. 

This approach was proposed as fiscally responsible, avoiding market manipulation or political backlash. But almost immediately, cracks appeared in the strategy.  

Behind the scenes, the administration was divided. Some officials, like White House crypto advisor Bo Hines, pushed for actively expanding the reserve, even suggesting selling some of the U.S. gold holdings to buy Bitcoin. 

Others, including more cautious voices in the Treasury, resisted, wary of gambling public funds on a volatile asset. The result? A policy caught in limbo—officially committed to Bitcoin as a strategic asset but unwilling to put real money behind it.  

The “Budget-Neutral” Loophole in Treasury 

Bessent’s latest comments hint at a possible workaround. By emphasizing “budget-neutral” acquisitions, the Treasury could theoretically grow its Bitcoin stash without congressional approval or taxpayer expense. 

How? One option: accepting Bitcoin as payment for federal debts or fines. Another: partnering with private firms to swap other assets for Bitcoin. But these ideas remain vague, and skeptics argue they are just fancy ways of avoiding a real commitment.  

The ambiguity has real-world consequences. When Bessent initially ruled out purchases, Bitcoin’s price dipped. When he walked it back, the market perked up. This volatility underscores how much power the U.S. government now holds over crypto markets.

Symbolism vs. Substance

Critics argue the Strategic Bitcoin Reserve is more about politics than economics. Trump’s administration has leaned hard into pro-crypto rhetoric, hosting a “Digital Asset Summit” with industry leaders and rolling back regulations that stifled the sector. 

But when it comes to putting federal dollars behind Bitcoin, the enthusiasm fades. The July 2025 White House report on digital assets, meant to outline a clear path forward, was conspicuously light on details about the reserve’s future.  

Meanwhile, other countries aren’t waiting. China holds nearly 194,000 BTC, Bhutan has quietly amassed a stash worth 28% of its GDP, and even Iran uses Bitcoin to bypass sanctions. If the U.S. wants to be the “Bitcoin superpower” Trump envisions, it’ll need more than vague promises and seized coins—it’ll need a real strategy.  

The Treasury’s next moves will define whether the Strategic Bitcoin Reserve is a landmark policy or a political stunt. If Bessent follows through on budget-neutral acquisitions, it could signal a new era of state-backed crypto adoption. If not, the reserve risks becoming a footnote in financial history, which could affect the Bitcoin price.

Key Highlights

• SEC has taken the first step by acknowledging the Invesco Galaxy Spot Solana ETF filing
• Unlike Bitcoin ETFs, this fund plans to stake SOL for additional yield
• Analysts predict a 90% chance of Solana ETFs being approved.

The U.S. Securities and Exchange Commission (SEC) just moved closer to making history. On August 13, the agency officially acknowledged the filing for the Invesco Galaxy Spot Solana ETF, sparking euphoria in the Solana community. 

INTEL: SEC ACKNOWLEDGES FILING FOR INVESCO GALAXY SPOT $SOL ETF

— Solid Intel 📡 (@solidintel_x) August 13, 2025

While this does not mean approval is guaranteed, it is a crucial first step. One can think of it like a college application getting past the initial review. It still has a long way to go, but at least it’s in the system. 

The SEC will now dig into the details, checking if the proposed ETF follows all the rules before giving it the green light.

First Solana ETF Approval Soon?

If approved, this ETF would let everyday investors buy into Solana (SOL), which is the sixth-largest cryptocurrency, without actually holding the digital asset themselves. 

Instead of worrying about wallets, private keys, or staking setups, they’d just trade shares under the ticker “QSOL” on the Cboe BZX Exchange, just like stocks.

Unlike Bitcoin or Ethereum ETFs, this one has a unique twist. The fund plans to stake a portion of its SOL holdings, meaning it could earn extra yield by helping secure Solana’s blockchain. That’s like getting interest on your savings, but in crypto terms.

Staking and the SEC’s New Stance

Speaking of staking, the SEC recently dropped a bombshell that could make this ETF’s path smoother. 

Earlier in August, the agency clarified in a detailed statement that certain types of liquid staking, where users lock up crypto to earn rewards, don’t automatically count as securities. 

SEC stated in the official press release,“the statement clarifies the division’s view that, depending on the facts and circumstances, the liquid staking activities covered in the statement do not involve the offer and sale of securities within the meaning of Section 2(a)(1) of the Securities Act of 1933 or Section 3(a)(10) of the Securities Exchange Act of 1934.”

The process has to be completely automated, with no middleman making investment decisions. For the Invesco Galaxy ETF, this is huge. Since Coinbase Custody would handle the staking mechanically (no human picking winners or promising profits), regulators might see it as kosher.

“Under my leadership, the SEC is committed to providing clear guidance on the application of the federal securities laws to emerging technologies and financial activities,” Chairman Paul S. Atkins stated. “Today’s staff statement on liquid staking is a significant step forward in clarifying the staff’s view about crypto asset activities that do not fall within the SEC’s jurisdiction. I am pleased that the SEC’s Project Crypto initiative is already producing results for the American people.”

Don’t Celebrate Too Early

The SEC’s statement is not a blanket approval, just a hint at how they might view these cases. If the ETF starts getting too fancy with its staking strategy, like chasing the highest-yielding validators, the SEC could still slam the brakes. 

This isn’t just about Solana. It is part of a bigger trend where regulators are slowly warming up to crypto investment products. After approving Bitcoin ETFs earlier this year and Ethereum ETFs soon after, the SEC is now eyeing altcoins. 

At the time of writing, Solana (SOL) is trading at around $200.94 with a 19% hike in a day. It is holding an impressive market capitalization of $108.44 billion, according to CoinMarketCap.

Analysts like Bloomberg’s James Seyffart give this Solana ETF a 90% chance of approval by October, partly because Solana already has futures trading on the CME, a factor the SEC seems to like.

If it happens, expect a flood of new money into Solana. Institutional investors who’ve been sitting on the sidelines might finally jump in, driving up demand. And with staking rewards in the mix, the ETF could attract even more interest than plain-vanilla spot funds. The SEC could take weeks or even months to make a final call. 

Other altcoins like Ethereum are also showing upward momentum.

Key Highlights

• BitMine expands stock sale to $24.4 billion, targeting 5% of Ethereum supply

• ETH price surges above $4,600 amid record ETF inflows
• BitMine’s stock soared 1,100% since June

BitMine Immersion Technologies (BMNR), the largest corporate holder of Ethereum, has made an impressive move to solidify its position in the crypto market. 

On August 12, 2025, the company filed with the U.S. Securities and Exchange Commission (SEC) to expand its stock sale program by $20 billion, bringing its total fundraising capacity to $24.5 billion—a fivefold increase from its previous $4.5 billion limit. 

This aggressive capital raise is aimed at fueling the company’s relentless acquisition of Ethereum (ETH), with the company already holding a record 1.15 million ETH, worth approximately $5 billion at current prices. 

BitMine Aims to Acquire 5% Ethereum Supply 

The filing highlights the company’s ambition to control 5% of Ethereum’s total supply, a target that would require billions more in purchases and could reshape the crypto market’s dynamics.

The timing of the company’s expansion aligns with a surge in institutional interest in Ethereum. Just a day before the SEC filing, the company revealed it had purchased 317,126 ETH in a single week, pushing its holdings past the 1 million ETH milestone, a first for any public company. Our analysis suggests that the coin signals the increasing dominance of buyers and potential for a continued price recovery.

This buying spree mirrors the strategy pioneered by Michael Saylor’s MicroStrategy (MSTR) with Bitcoin, where issuing stock to hoard crypto has become a proven playbook for treasury growth. 

BitMine’s chairman, Tom Lee, has drawn parallels to Bitcoin’s 2017 bull run, suggesting Ethereum could hit $30,000 if regulatory tailwinds and institutional adoption accelerate. 

The market seems to agree: BitMine’s stock (BMNR) has skyrocketed 1,100% since June, from $4.27 to over $60, while Ethereum’s price has climbed 50% in a month to $4,500.

Analysts attribute BitMine’s stock surge to three factors: a 60% boost from rising ETH-per-share holdings, a 20% lift from Ethereum’s price appreciation, and another 20% from net asset value (NAV) growth. 

The company’s latest $20 billion stock sale, managed by Cantor Fitzgerald and ThinkEquity, will further dilute shares but could amplify gains if Ethereum’s rally continues. Proceeds are earmarked for debt repayment, share buybacks, and “general corporate purposes,” though BitMine admits specifics are fluid. These details leave investors both excited and cautious.

BitMine’s accumulation strategy is reducing Ethereum’s circulating supply, potentially stabilizing prices amid volatile markets. 

Competitors like SharpLink and Coinbase trail far behind, holding just 598,800 ETH and 136,800 ETH, respectively. Standard Chartered predicts Ethereum treasury firms could eventually control 10% of all ETH, echoing Bitcoin’s institutionalization. 

For now, BitMine’s gamble hinges on Ethereum’s trajectory. If ETH stumbles, the stock could nosedive; if it soars, early backers may reap historic rewards. One thing’s clear: BitMine isn’t just betting on crypto, it’s rewriting the rules of corporate finance in the digital age.

Ethereum Soars Above $4,600 as BitMine and ETFs Fuel Rally

Ethereum (ETH) surged past $4,600 on Tuesday, fueled by two major catalysts: record-breaking inflows into spot ETH ETFs and BitMine’s bold $20 billion stock sale expansion. 

US-listed ETH ETFs attracted over $1 billion in daily inflows, their highest since launch, while BitMine filed to boost its fundraising capacity to $24.5 billion, doubling down on its aggressive ETH accumulation strategy.

The crypto treasury firm’s latest SEC filing expands its at-the-market (ATM) offering, a flexible capital-raising tool that lets companies sell shares gradually. 

BitMine plans to use the proceeds to buy more Ethereum, edging closer to its ambitious 5% supply target. Already the largest corporate ETH holder with 1.15 million coins ($5.3 billion), BitMine now dwarfs rivals like SharpLink Gaming, which recently committed $600 million to ETH purchases.

The buying frenzy mirrors MicroStrategy’s Bitcoin playbook, with public firms racing to hoard ETH ahead of potential price surges. Meanwhile, spot ETFs like BlackRock’s ETHA ($639.7M inflows) and Fidelity’s FETH ($276.9M) smashed records, showing institutional demand. ETH’s price broke out of a bullish pennant pattern, with analysts eyeing a more than $5,000 all-time high if momentum holds. 

With futures liquidations hitting $152 million, the stage is set for a volatile, however, potentially explosive, next leg up.

Key Highlights

• Do Kwon is expected to change his plea, possibly admitting guilt at his Manhattan hearing
• The court order suggests a possible plea deal, which will help them accelerate the resolution and avoid a trial originally set for January 2026
• Kwon has already been hit with a $4.5 billion SEC penalty

Do Kwon, the 33-year-old South Korean entrepreneur once celebrated as a crypto mogul, is expected to plead guilty in one of the biggest fraud cases in digital currency history. The hearing could be the final act in a saga that saw the spectacular implosion of two cryptocurrencies, TerraUSD and Luna, wiping out around $40 billion in value and shaking global confidence in the entire sector.

(Source: Inner City Press on X)

Court filings on Monday revealed that Do Kwon, co-founder of Singapore-based Terraform Labs, may change his plea at a hearing set for Tuesday morning in Manhattan federal court.

This is a major shift until now, as he had insisted on Do Kwon’s innocence against a sweeping list of charges, including securities fraud, wire fraud, commodities fraud, and money laundering conspiracy.

The update, first reported by Bloomberg, came in the form of a short order from the U.S. District Judge Paul Engelmayer, who noted he had been told that Do Kwon might alter his plea. 

The hearing, scheduled for 10:30 a.m. EDT, could see Kwon outline his role in the 2022 crash that erased fortunes and left thousands of investors, from retail traders to big funds, counting their losses.

Do Kwon’s Journey: Crypto Star to Lawbreaker

Kwon’s rise in the crypto world was meteoric. Through Terraform Labs, he launched TerraUSD, a so-called algorithmic stablecoin meant to stay pegged to the U.S. dollar without traditional reserves like cash or bonds. Instead, it relied on a complex system linked to its sister token, Luna, to maintain stability.

For a time, it worked, and Kwon became a star. Investors saw TerraUSD as a breakthrough in decentralized finance, and Luna’s value soared. But in May 2022, the algorithm failed. TerraUSD slipped from its $1 peg, triggering a death spiral for Luna. Within days, Luna’s price plunged to near zero.

The crash was catastrophic. Estimates suggest it vaporized $40 billion in market value. For ordinary investors, some of whom had sunk life savings into the tokens, the losses were devastating. The event also rippled across the broader crypto market, dragging down other projects and fueling calls for tougher regulation.

Flight, Arrest, and Extradition

After the collapse, Do Kwon’s image shifted from crypto visionary to fugitive. South Korean authorities issued a warrant for his arrest, accusing him of violating capital market laws. In March 2023, he was detained in Montenegro, caught trying to board a flight with forged travel documents.

What followed was a months-long legal tug-of-war between the U.S. and South Korea over where he should face trial. Montenegro ultimately sent him to the U.S. in late 2024.

Since then, Kwon has been held in custody, staring down a nine-count criminal indictment. Prosecutors allege he misled investors and manipulated markets to artificially prop up TerraUSD and Luna.

Tuesday’s hearing could determine whether Kwon admits guilt outright or negotiates a plea deal to reduce potential prison time. Judge Engelmayer’s order made it clear that Kwon’s legal team had been instructed to review any agreement with him beforehand.

Originally, a trial was scheduled for January 2026. Prosecutors were preparing to present six terabytes of evidence, a mountain of data that could have stretched proceedings for months. A guilty plea would short-circuit that process, delivering a swifter resolution.

This criminal case follows a civil blow earlier in 2025, when the U.S. Securities and Exchange Commission (SEC) won a $4.5 billion judgment against Kwon and Terraform Labs.

The SEC accused Do Kwon of falsely promoting TerraUSD as a reliable, safe investment while being aware of its fragile design. That case carried no prison time, but the criminal charges do.

The collapse of TerraUSD and Luna remains a cautionary tale. Unlike traditional currencies, cryptocurrencies depend on technology and investor trust rather than government backing. When the system underpinning TerraUSD faltered, it didn’t just sink Luna; it sent shockwaves through the entire market.

For small investors, it was like watching a trusted bridge crumble overnight. Many had believed Kwon’s assurances that TerraUSD was safe, only to find themselves holding tokens worth a fraction of what they paid.

On X (formerly Twitter), reactions to the news of a possible guilty plea have been mixed. Some see it as long-overdue accountability, while others remain bitter, knowing no verdict will restore the billions lost.

Key Highlights:

• BTC surges past $121,000 amid positive regulatory developments in a U.S. strategic Bitcoin reserve and heavy institutional buying.
• Experts predict BTC could hit $200K+ this year, but short-term volatility depends on inflation data and Fed policies.
• Big corporations now dominate BTC demand

The world’s most famous cryptocurrency, Bitcoin, just smashed past $121,000, making traders and investors excited about its future. After dipping below $113,000 on August 5, BTC bounced back strongly over the weekend, proving once more why it’s the king of crypto. 

According to some experts, this jump is thanks to big-money investors, impressive development from the regulatory side, the U.S. government BTC stash, and the fact that fewer new Bitcoins are being created every day. 

Why Did Bitcoin’s Price Shoot Up?

Just a few hours ago, BTC soared above $121,000. At the time of writing, the cryptocurrency is trading at around $121,955 with a 3.46% hike in a day, according to CoinMarketCap. It is currently holding $2.37 trillion in market capitalization.  That’s a huge leap from Wednesday’s low, when the U.S. Federal Reserve hinted it might keep interest rates high for a while. 

Normally, that kind of news would scare investors, but BTC didn’t stay down for long. Instead, it got a boost, fueled by various factors like record-breaking inflows in Bitcoin ETFs, growing demand among institutional investors, and the U.S. government’s pro-crypto stance.

Big companies and investment funds are buying BTC like never before. According to experts, nearly all the recent Bitcoin buys (97%) came from institutions like banks, hedge funds, and corporations, not regular traders. 

Even BlackRock, the world’s biggest asset manager, now holds around 739,361 BTC in its ETF.

Larry Fink, CEO of BlackRock, said that “I’m very bullish on the long-term viability of Bitcoin.”

With only 21 million Bitcoins ever to exist, and just 450 new ones mined each day, heavy demand from these big players could keep pushing prices higher.

Ray Dalio, Billionaire Investor, stated that “BTC is perceived as money, and it is limited in supply. Very easily, all around the world, you can transact with it.”

What Do the Experts Say?

Some analysts believe BTC could surge significantly higher this year, potentially reaching $200,000 or more. 

Matt Hougan from Bitwise believes that with more institutions jumping in and the U.S. economy looking shaky, BTC could double in price. Cathie Wood, a well-known investor, still thinks Bitcoin could hit $1 million in the next five years.

But not everyone agrees. A few early Bitcoin BTC are selling, worried that big banks and corporations are taking over what was meant to be a “people’s currency.” Others, like trader Scott Melker, say this is just part of Bitcoin growing up as more big investors mean more stability, even if it changes Bitcoin’s original rebel spirit.

For now, traders are watching two key price levels: if BTC stays above $117,900, it could race toward its all-time high of $123,000. But if it falls below $116,800, a drop to $110,000 might be next.

Jack Dorsey, Former Twitter CEO, recently stated that“Bitcoin will make the current financial system feel as irrelevant as the fax machine.”

The next big moment for BTC could come when the U.S. releases new inflation data. If inflation is lower than expected, Bitcoin might shoot toward $130,000. But if inflation stays high, prices could dip. Long-term, though, most experts stay bullish. Some predict BTC could swing between $99,000 and $260,000 this year, depending on how much money keeps flowing in from big investors.

Earlier, Strategy’s Michael Saylor affirmed that BTC will make the current financial system feel as irrelevant as the fax machine. Its decentralized nature ensures it cannot be shut down, offering ultimate freedom to users.

However, for BTC to reach its full potential, it must evolve beyond being just a store of value. It needs to be used for everyday payments to maintain relevance and drive mass adoption. The focus should be on building infrastructure that makes BTC a practical currency for daily transactions, not just an investment asset.