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CFTC Updates Payment Stablecoin Criteria To Recognize National Trust Banks – Details

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The US Commodity Futures Trading Commission (CFTC) has amended a recent staff advisory to recognize payment stablecoins issued by national trust banks as eligible margin collateral. This move forms part of a broader regulatory initiative by the Commission on digital asset integration in line with US President Donald Trump’s pro-crypto agenda.

CFTC Clears FCMs To Accept Bank-Issued Stablecoins As Collateral 

In a press release on February 6, the CFTC’s Market Participants Division (MPD) announced an update to the CFTC Staff Letter 25-40, which communicated the “Staff No-Action Position Regarding Digital Assets Accepted As Margin Collateral.”

This memo was initially released on December 8, allowing all CFTC-registered futures commission merchants (FCM) to accept non-securities digital assets, e.g., payment stablecoins, as margin collateral as well as hold specific proprietary stablecoins in separate customer accounts.  

However, this earlier version of this memo only acknowledged eligible payment stablecoins as those issued by state-regulated money transmitters or trust companies. However, the CFTC has recognized that a payment stablecoin, as defined in the letter, may also be issued by a national trust bank. 

In Trump’s first term, the US historically chartered its first set of national trust banks to engage in custody and issuance of payment stablecoins. The CFTC clarifies there was no intention to initially exclude national trust banks as stablecoin issuers, a position that has now been formally affirmed in the updated version of CFTC Letter 25-40.

CFTC Chairman Michael S. Selig has lauded the reissue, recognizing the growing role of the national trust banks and America as a whole in the stablecoin industry. 

Selig said: 

I’m pleased that the CFTC staff is amending its previously issued no-action letter to expand the list of eligible tokenized collateral to include payment stablecoins issued by these institutions (national trust banks). With the enactment of the GENIUS Act and the CFTC’s new eligible collateral framework, America is the global leader in payment stablecoin innovation. 

National Bank Charter: Digital Asset Banks Push For Recognition

In other reports, the competition among digital asset firms to obtain national bank charters reflects a broader effort to integrate cryptocurrency services into the regulated US financial system. A national trust bank charter allows crypto companies to operate under federal oversight, strengthening credibility and expanding institutional partnerships. 

In January 2025, Anchorage Digital represented the first crypto-native firm to receive such approval. Presently, several firms, including Coinbase, Circle, Ripple, and BitGo, have also received conditional approvals from the OCC in a bid to broaden their service offerings. 

CFTC
Total crypto market cap valued at $2.35 trillion on the daily chart | Source: TOTAL chart on Tradingview.com

Featured image from Bloomberg.com, chart from Tradingview

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Payoneer Expands Payment Capabilities in Indonesia and Mexico to Target High-Growth E-Commerce Markets

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Payoneer, the global financial technology company, has significantly expanded its payment platform, introducing new collection capabilities in Indonesia and enhancing its peso (MXN) collection services in Mexico.

The move is designed to help global small and medium-sized businesses (SMBs) operate more effectively in two of the world’s fastest-growing e-commerce markets. By enabling local collection services, Payoneer aims to remove key friction points for cross-border sellers, allowing them to transact with local buyers and marketplaces more efficiently.

Targeting Southeast Asia’s largest market

Indonesia, which accounts for more than half of the Association of Southeast Asian Nations (ASEAN) bloc’s online business volume, represents a critical growth corridor.

With the new capabilities, Payoneer customers can now collect funds directly from local marketplaces and businesses in Indonesia. This provides merchants with greater control over foreign exchange (FX) management and streamlined access to the region’s largest digital economy.

Simplifying entry into Mexico
Derek Green, SVP of treasury and payment services at Payoneer

In Mexico, Payoneer has enhanced its existing MXN collection services to support the accelerating influx of international sellers. The update allows for local collections across multiple channels, including major platforms such as Amazon Mexico, Walmart, and Mercado Libre. This is intended to reduce the complexity of market entry for global sellers looking to tap into Latin American demand.

Derek Green, SVP of treasury and payment services at Payoneer, commented: “Global trade is dynamic – reshaping in response to macro factors and trade policy. For over 20 years, Payoneer has supported and enabled our customers’ global ambitions. By expanding our capabilities in critical markets like Mexico and Indonesia, we continue to empower our customers as they look to expand into fast growing markets.”

The new services are currently rolling out to Payoneer customers worldwide. The company has also signalled plans to continue expanding local collection capabilities throughout 2026, targeting further high-growth markets across Latin America and Asia Pacific to support its user base of nearly 2 million customers.

Why This Bitcoin Bear Market Is Among The Worst Ever: CryptoQuant Researcher

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The price of Bitcoin is nearly 45% away from its all-time high of $126,080, reflecting a worsening market climate over the past few months. One of the indicators that confirmed the emergence of the bear market was the breach of the 365-day moving average to the downside late last year. Using this metric, a prominent crypto researcher has come forward with an evaluation that shows how the current Bitcoin bear market compares to the past ones.

BTC Price Is 30% Below 365-Day Moving Average

In a new post on the social media platform X, CryptoQuant’s head of research, Julio Moreno, revealed that the current bear market performance compares to the ones seen in Bitcoin’s recent history. The indicator in focus in this analysis is the 365-day simple moving average (SMA) on the BTC price chart.

Moreno defined the start of the bear market as the moment when the price of Bitcoin crossed below the 365-day SMA. According to the on-chain expert, the premier cryptocurrency is down by 30% so far in the current phase, making it one of the worst bear seasons in recent times.

Bitcoin

Source: @jjcmoreno on X

As observed in the chart above, the Bitcoin price is deeper than it is often seen at this stage of the bear market. During the 2014 bear market, the flagship cryptocurrency was barely down by 20% at this current stage of the season.

The same could be said for the 2018 bear season, which was more around the 20% market at this stage. However, the price of Bitcoin might have succumbed to greater pressure during the 2022 season, as the market leader was down from its 365-day moving average by nearly 60% at this stage of the cycle.

This trend is especially interesting, considering that Bitcoin is believed to have matured as an asset class. However, the world’s largest cryptocurrency still appears to witness incredible levels of volatility at the beginning of the bear market.

While it is unclear when the Bitcoin price will reach a bottom, certain conditions need to be met for a turnaround to occur. One of these conditions is the apparent demand metric, which has continued to worsen over the past few weeks. As seen in the outflow numbers of the US-based Bitcoin ETFs, capital constraints have been a major issue for the premier cryptocurrency.

Bitcoin Price At A Glance

As of this writing, the price of BTC stands at around $70,500, reflecting an over 2% jump in the past 24 hours.

Bitcoin

The price of BTC on the daily timeframe | Source: BTCUSDT chart on TradingView

Featured image from iStock, chart from TradingView

Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.

Coinbase CEO Sees Bullish Outlook as Long-Term Crypto Bull Case Accelerates

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Crypto uncertainty is routine, not a warning sign, as Coinbase CEO Brian Armstrong signals confidence in long-term adoption, accelerating financial disruption, and Coinbase’s potential role in rebuilding global financial infrastructure. Brian Armstrong Stays Firmly Bullish on Crypto Amid Market Volatility Coinbase CEO Brian Armstrong shared a post on social media platform X on Feb. 7, […]

Pudgy Penguins Hit New York City With Valentine’s Day Pop-Up Event

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In brief

  • Pudgy Penguins is hosting a pop-up Valentine’s Day event in New York City this week.
  • The crypto-native brand is selling a plush bouquet at the event, with an online offering already sold out.
  • The Pudgy Penguins team plans to expand the V-Day event internationally next year.

The Pudgy Penguins team is helping fans celebrate Valentine’s Day in the real world with Pudgy Petals, a three-day immersive pop-up event in New York City that highlights gifting and connection via its colorful characters.

Running February 12-14, the activation invites guests into the love story of Polly and Pengu (aka Pax), core characters in the Pudgy Penguins universe. The team told Decrypt that the brand—which has expanded from NFTs to games, real-world toys, and beyond—is using Valentine’s Day as a cultural entry point to continue to translate its internet-native IP into a broader brand.

At the center of the pop-up is the Pudgy Penguins Plush Bouquet ($49.99), an alternative to traditional flowers. The bouquet features plush characters and soft textures designed to last well beyond the holiday. An online drop of the bouquet has already sold out, but it will also be available at the pop-up.

“The Plushie Bouquet marks our first Valentine’s Day expression,” Pudgy Penguins Director of Business Development Steve Starobinsky told Decrypt. “The item is intentionally positioned as a long-lasting symbol of companionship designed to be kept and revisited rather than discarded after a few days like traditional flowers or candy. This item embodies our aim of creating new rituals of affection rooted in meaning rather than tradition.”

The event includes on-site bouquet customization with flash tattoos, free aura readings, and couples photo booths. There will also be pink and blue matcha drinks and treats outside the space.

The Pudgy Penguins Valentine’s Plush Bouquet. Image: Pudgy Penguins

The programming will shift slightly each day. Thursday, February 12, aligns with both New York Fashion Week and the New York Toy Fair, tapping into a creative crowd already circulating downtown Manhattan. Friday, February 13, is branded as Polly’s Galentine’s, with a focus on friendship and groups. And Saturday, February 14, centers on couples and classic Valentine’s moments, leaning fully into the holiday vibe.

“Every detail of the pop-up is intentionally designed to encourage guests to linger, participate, document the experience, and share it socially,” Starobinsky said. “The space will be inviting and joyful, for all those who join the fun.”

Beyond the Valentine’s theme, Pudgy Petals represents a broader brand evolution. Pudgy Penguins, which began as an internet-native phenomenon and NFT project, is continuing its shift into physical retail and experiential spaces that require no familiarity with crypto. The pop-up prioritizes emotional storytelling and accessibility, rather than technology.

“We are a four-quadrant brand appealing to adults and kids, women and men, with categories such as toys, gifting, lifestyle, and experiential retail drawing people in,” Starobinsky added.

The timing of the activation is equally strategic, with Starobinsky noting that the overlap with those other NYC events puts “Pudgy Penguins at the intersection of fashion, toys, pop culture, and retail innovation.” And it won’t be the last V-Day event, he said.

“Pudgy Petals is not a one-time activation,” Starobinsky added. “We are going to expand this pop-up globally in 2027, leveraging it to launch more product capsules for this holiday.”

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Rap Star Drake Uses Stake to Wager $1M in Bitcoin on Patriots Despite Super Bowl LX Odds

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Drake has never been shy about betting big, but on the eve of Super Bowl LX, the global music star took it up another notch by placing a $1 million wager on the New England Patriots—despite the majority of betting markets lining up against them. Drake’s $1 Million Stake Bet Backs Patriots The bet, revealed […]

Bitcoin Is Offering ‘New Crack Of The Apple’ To Institutions: Bitwise CEO

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Bitcoin’s drop below $70,000 is being seen very differently by long-time holders and institutional investors, according to Bitwise CEO Hunter Horsley.

“I think long-time holders are feeling unsure, and I think the new investor set, institutions are sort of getting a new crack at the apple,” Horsley said during an interview with CNBC on Friday. Horsley said that institutional buyers are “seeing prices they thought that they’d forever missed.” 

It was only in October that Standard Chartered’s head of digital asset research, Geoff Kendrick, said he doesn’t expect Bitcoin to fall below $100,000 again.

Bitcoin “getting swept up” with the rest of macro

Horsley acknowledged that Bitcoin’s (BTC) recent plunge comes at an unusual time, given the ramp-up in efforts toward regulatory clarity and growing institutional interest. Bitcoin is down 22.60% over the past 30 days, trading at $69,635 at the time of publication, according to CoinMarketCap.

Horsley said that Bitcoin is in a bear market and is “getting swept up” with the rest of the macroassets as investors are “selling everything that is liquid.”

“In the present moment, it is mostly trading with other liquid assets,” he said.

Hunter Horsley spoke to CNBC on Friday. Source: CNBC

Gold has since fallen 11.43% from its all-time high of $5,609, which it reached on Jan. 28, trading at $4,968 at the time of publication, according to Trading Economics. 

Meanwhile, Silver has fallen 35.95% from its all-time high of $121.67, which it reached on Jan. 29, trading at $77.98 at the time of publication.

Horsley points to strong inflows from institutions

Horsley said demand for Bitcoin remains strong, particularly from institutional investors.