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ECB Selects 36 Providers for Digital Euro Pilot

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The European Central Bank is moving the digital euro from planning into testing, with dozens of payment companies joining the next stage of the project.

The ECB selected 36 payment service providers (PSPs) to participate in a digital euro pilot, according to an official announcement published Tuesday.

The list of selected PSPs includes fintechs Stripe and Revolut alongside traditional banks including Deutsche Bank, UniCredit and BPCE. Revolut has recently adjusted some cryptocurrency services for EU users by phasing out support for Tether USDt.

The pilot comes as governments take different approaches to digital currencies. While Europe is expanding testing of its proposed central bank digital currency (CBDC), the US has moved to block the Federal Reserve from issuing a CBDC.

Italy tops list of digital euro pilot providers

The ECB began selecting providers from across the euro area for its digital euro pilot earlier this year, with the 12-month trial set to begin in the second half of 2027.

The central bank said it received more than 50 applications from payment companies after opening a call for interest in March 2026. The selected participants include traditional banks, payment processors and non-bank service providers.

Source: ECB

Italy has the largest number of selected participants, with seven companies joining the pilot, including UniCredit, Poste Italiane, Nexi Payments, Banca Sella, Banca Monte dei Paschi di Siena, Isybank and Numia.

Germany follows with five selected providers, while Portugal and Greece each have three. The ECB said the mix of countries is designed to create a broad testing environment, with selected providers able to offer pilot services outside their home markets.

Strong interest in digital euro pilot

ECB Executive Board member Piero Cipollone, who chairs the high-level task force on a digital euro, said the level of participation shows private-sector interest in helping develop it, adding that the Central Bank expects deeper cooperation with payment providers during the pilot.

“We look forward to deeper engagement as we work with and learn alongside European payment service providers in developing a secure, efficient and inclusive digital euro,” Cipollone said.

Related: South Korea to test tokenized government bonds with CBDC in 2027

The pilot will involve the ECB and the central banks of 19 bloc-members, including Belgium, Germany, France, Italy, Spain and the Netherlands, alongside payment companies and merchants testing the system before any potential token issuance.

Selected providers will have different responsibilities during the trial, with some focused on supporting user access to beta digital euro services and others helping merchants accept payments. Several companies will take on both roles, the ECB said.

Magazine: The 5 types of real world assets being tokenized fastest onchain

Bitmine Generated $46M from Ethereum Staking Last Quarter

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Bitmine Immersion Technologies recorded $45.7 million in revenue from Ether staking and validation last quarter, following the launch of its institutional-grade Ethereum staking platform in March. 

Staking revenue accounted for 98% of total revenue for the three months ended May 31, far outpacing the $624,000 from self-mining Bitcoin (BTC) and the $168,000 from consulting services, according to Bitmine’s latest 10-Q filing. On Monday, Bitmine said it had staked 85% of its ETH holdings, or about 4.9 million Ether (ETH). 

“Bitmine has staked more ETH than other entities in the world. At scale (when Bitmine’s ETH is fully staked by MAVAN and its staking partners), the projected ETH staking reward is $284 million on an annualized basis,” said Tom Lee, chairman of Bitmine. 

The latest quarterly results show how Bitmine’s pivot to Ethereum has reshaped its revenue mix. A year ago, Bitmine recorded just $2 million in total revenue for the quarter ended May 31, 2025, primarily from machine leasing. 

The results also reflect the March launch of MAVAN, an institutional-grade Ethereum staking platform that operates validator infrastructure for its own holdings and external clients. 

Related: Ethereum backers launch nonprofit to lead institutional adoption efforts 

MAVAN, short for “Made in America VAlidator Network,” followed the acquisition of Australia-based non-custodial validator operator Pier Two Holdings. It was originally developed to support Bitmine’s own Ethereum treasury; its scope was expanded to serve institutional investors, custodians and ecosystem partners.  

Lee calls Robinhood Chain a “breakaway success”

On Monday, Lee highlighted the success of the newly launched Robinhood Chain, with dollar volumes exceeding $1 billion since its July 1 launch. 

“Robinhood Chain now has more trading volume than any other decentralized exchange (DEX), demonstrating the outstanding utility and product market fit for Ethereum, which is the underlying chain,” he said. 

“Robinhood Chain uses ETH as the native gas token. And transaction fees are denominated in ETH and the finality is settled on Ethereum. Robinhood’s 27 million users are paying crypto fees denominated in ETH. In other words, everyday users are starting to see ETH as money,” he added. 

Magazine: Strategy became a symbol of the dot-com crash: Could history repeat?

Bitcoin, ether ETFs draw inflows as majors rise as much as 5%

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U.S. spot bitcoin ETFs took in about $181 million on Tuesday, a day after shedding roughly $425 million, per SoSoValue data. Ether ETFs added about $58 million.

BlackRock’s IBIT drove almost all of it, pulling in roughly $139 million, with Fidelity’s FBTC adding about $21 million. No bitcoin fund lost money. On the ether side, BlackRock’s ETHA accounted for the entire net figure at about $58 million, with every other fund flat.

The swing tracks the price. Bitcoin ETFs rose close to 4% on the day and ether funds about 6%, the strongest single-session move in weeks.

Total bitcoin ETF assets climbed back to roughly $78 billion from about $75 billion, and ether ETF assets crossed $10 billion.

July’s flows have been choppy rather than directional. Bitcoin ETFs have swung between inflows and outflows nearly every other session this month, with July 13’s $425 million redemption the largest of the run and Tuesday’s rebound the second largest inflow. Neither side has held for more than three days.

Kalshi says CFTC, Michigan orders leave it in ‘impossible position’

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Kalshi says it is being put in an “impossible position” after the US commodities regulator on Tuesday said it was blocking the prediction market platform from canceling trades in Michigan, contradicting a recent state court order.

On June 29, Kalshi was ordered by Ingham County Circuit Court Judge Rosemarie Aquilina to cease offering sports betting contracts to Michigan users while a lawsuit over whether Kalshi violated the state’s sports betting laws plays out. The Commodity Futures Trading Commission ordered Kalshi on Tuesday not to comply with the state order and continue operating.

“We are disappointed by this decision and believe it is unfair to Kalshi,” Robert DeNault, the company’s head of enforcement and legal counsel said in a statement on X. 

“We already acted and unwound the trades, as the Michigan court order required us to do. We are being put in an impossible position, looking to follow state court orders that may contradict our federal regulatory obligations. We did not have a choice.” 

Source: Robert DeNault

The conflicting orders highlight an unresolved regulatory divide between the CFTC and nearly two dozen state regulators over which authorities have jurisdiction over prediction markets. The CFTC said Michigan was the first state to attempt to interfere with executed derivatives transactions. 

“Canceling trades that have already been executed is an unprecedented step that risks a cascading effect on the entire marketplace and undermines the certainty in contracting that is a necessary component of a functioning market,” said CFTC Chair Michael Selig. 

“The Commission will not allow states or state courts to bully registered entities into violating the Commodity Exchange Act and CFTC regulations.” 

A Kalshi spokesperson said it was reviewing the CFTC’s order and considering its next steps, according to Reuters. 

Related: OpenAI quietly adds Kalshi World Cup odds to ChatGPT: Report

Speaking on Fox Business on Friday, Selig said it is “critical” that the regulator maintains its regulatory authority over prediction markets.

“We’ve sued nine states now, and we’ll continue to sue any state that attempts to impose criminal or civil fines against CFTC-registered exchanges.”

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Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently.

UK Adopts ‘No Gain, No Loss’ Tax Treatment For Crypto Lending And Liquidity Pools

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The United Kingdom’s HM Revenue & Customs will treat certain disposals involving cryptoasset loans and liquidity pools as “no gain, no loss,” deferring Capital Gains Tax until a user makes an economic disposal of the underlying cryptocurrency.

The measure, published Monday, takes effect 6 April 2027 and applies to individuals and trustees who enter cryptoasset loan and liquidity pool arrangements, according to the policy paper. 

It amends the Taxation of Chargeable Gains Act 1992.

The rules cover three scenarios. In a single cryptoasset lending arrangement, a user who acquires or disposes of an interest in exchange for cryptoassets of the same type as those invested will be taxed on a no-gain-no-loss basis. 

Borrowing arrangements will treat borrowed cryptoassets as acquired at market value at the time of borrowing, with any collateral disregarded for Capital Gains Tax purposes.

For automated market-making arrangements — liquidity pools operated through smart contracts — a user acquiring an interest in exchange for the same type of cryptoasset is also taxed on a no-gain-no-loss basis. On exit, that treatment holds to the extent the user receives the same quantity first invested. Any difference between what was invested and what is received triggers a gain or a loss.

HMRC said the change aligns tax treatment with the economics of these arrangements, recognizing gains and losses only when a participant makes an economic disposal.

HMRC simplifies DeFi crypto tax rules

The measure addresses problems that arose from HMRC’s own 2022 guidance, which stakeholders said produced disproportionate administrative burdens. 

A call for evidence ran from July to August 2022, followed by a consultation between 27 April and 22 June 2023 that sought to align tax with economic substance by not treating crypto used in DeFi lending and liquidity pools as a taxable disposal. 

HMRC published a summary of responses at Budget 2025 and set out its approach at that time.

The change is expected to affect about 700,000 individuals who engage in these transactions, according to the paper. HMRC said users will benefit from a framework that is easier to understand.

The current UK regime treats crypto as an investment asset, with selling, swapping, or spending it counting as a disposal for Capital Gains Tax at 18% for basic-rate taxpayers and 24% for higher-rate taxpayers. The new treatment modifies that disposal rule for certain lending and liquidity pool arrangements.

Final costing will be subject to scrutiny by the Office for Budget Responsibility and set out at a future fiscal event. HMRC said the measure is not expected to have any significant macroeconomic impact.

The Bitcoin Softfork That Tried To Police “Junk Data” — And Why It’s Already Failing

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This is a guest post by Brandon Black. Opinions expressed are entirely their own and do not necessarily reflect those of BTC Inc. or Bitcoin Magazine.

Within the tiny internet bubble of Bitcoin X (formerly Bitcoin Twitter or Crypto Twitter), there has been a lot of noise in the past year about @dathon_ohm’s proposal for a Reduced Data Temporary Softfork, otherwise known as BIP110. Underlying this proposal is the idea that certain Bitcoin transactions have been violating the principles of the network by including in their locking or unlocking scripts data that can be interpreted in one or more additional ways besides their plain Bitcoin script interpretation. According to BIP110’s supporters, reducing the use of these transactions is sufficient justification for the most confiscatory Bitcoin softfork to date, on a deployment timeline that is dramatically faster than the two most recent softforks, and with a lower activation readiness threshold.

Bitcoin is an open-access, censorship-resistant ledger to which anyone can write entries if they are willing to pay fees sufficient to convince block template creators and miners to include their transaction. The fundamental value of Bitcoin vs. all other ledger systems is the aforementioned open access. Without it, Bitcoin’s ledger has no more value than the bowling alley scoreboard. Because of this fundamentally open access, we all know that Bitcoin will be used by those we hate. Much like the principle of free speech, which is meaningless unless it applies to speech that we don’t like, Bitcoin’s open access would be meaningless if it only applied to transactions of which you or I approve. I will therefore assume that we do not want to be in the business of inspecting how other people structure their ledger entries any more than we want them inspecting our entries.

BIP110 proponents might say, “Sure, but that only applies to monetary entries! What about these non-monetary entries?”, but the reality is that there simply is no such distinction. Every transaction made on Bitcoin is made by satisfying the conditions of some locking script to make an entry in the ledger, which consumes input coins and creates output coins. The fact that one transaction’s scripts are larger or smaller than another is of no relevance to me as a Bitcoin node operator or user. First, I simply do not look at other people’s transactions. They’re no more my business than other people’s orders at the local café. Second, my node makes no such distinction. Transactions are either valid or invalid, and they are either costly to validate (like a large multisig) or cheap to validate (like one of these Ordinals or OP_RETURNs).

One could argue that Bitcoin, like gold, would be a superior monetary asset if it could not also be looked at in other ways. Imagine if gold could not be used in industry or jewelry! It might be true that that would make it better as money. But of course, the very same properties that make gold good money also make it desirable in jewelry and industry. The same applies to Bitcoin. The very fact that Bitcoin allows anyone to make an entry if they are willing to pay the fees means that we must give up the idea that we can control how they will look at that entry. No matter what restrictions we put on the structure of the entries, it will always be possible to make entries that can be interpreted in other ways by non-Bitcoin software. So, both with Bitcoin and with gold, we accept that other use is inevitable. In gold, this leads to distortions in the market when non-monetary demand increases or decreases. In Bitcoin, this can lead to periods of higher transaction fees when there’s greater demand for its limited blockspace.

In Bitcoin, we have two advantages that gold does not have. First, making Bitcoin transactions that can be viewed in alternative ways does not affect the market for Bitcoin itself. Unlike gold, very little Bitcoin is allocated to these uses. Second, in Bitcoin, we have a protocol that is already designed to minimize cost to the validation network from such other interpretations. Bitcoin limits both the size of blocks and the number of signatures that can be used in transactions. These are the greatest costs to validating nodes, and the protocol limits on them have been in place since the very early days of Bitcoin, precisely to prevent abuse by any high-frequency or high-volume use of the ledger. These limits have already spurred innovations such as the Lightning Network, Ark, Spark, Cashu, and many more. Even the boom in demand for blockspace caused by these “non-monetary” ledger entries (yes, that does sound ridiculous) has increased the use of these scaling solutions, which require fewer entries on the main ledger.

With the justification for BIP110 thus explored, and hopefully shown to be woefully lacking, let’s look at the proposed change itself. BIP110 restricts the size of locking scripts, restricts the number of alternative scripts in taproot, makes the taproot annex invalid, removes all upgradable witness and tapscript versions, removes all tapscript upgradable opcodes, and makes OP_IF and OP_NOTIF invalid in tapscript. All of these restrictions apply to UTXOs created during the 52414 blocks (approximately 1 year) after its activation. BIP110 also proposes a miner readiness signaling threshold of 55% instead of the threshold used in prior miner signaled softforks of 90% or more. If 55% of blocks do not signal readiness before block 961632, nodes enforcing BIP110 will treat blocks not signaling readiness as invalid to force the change to lock in by block 963648 and activate by block 965664.

BIP110 would be the most sweeping restriction of Bitcoin script since Satoshi’s well-known deactivation of many opcodes in response to a critical vulnerability (CVE-2010-5137) back in 2010. It proposes miner signaled activation with an unprecedentedly low threshold and node-forced activation after less than 9 months from the date the BIP was assigned a number. It does all of this because (as discussed above) other people are viewing certain ledger entries in ways which the BIP110 supporters do not approve of. Worse yet, the folks who use such disapproved ledger entries have already updated their software to continue making such entries even if BIP110 were to become Bitcoin’s consensus rule set. This was, of course, a predictable outcome (many of us explicitly predicted it) because it is fundamentally impossible to restrict how other people use external software to analyze entries on an open-access public ledger.

In summary, BIP110 is a proposal to do something impossible (limit how users of an open access ledger use that ledger) in response to a problem that is already fully addressed through Bitcoin’s existing protocol limits. It proposes to do this impossible thing on an irresponsibly short activation timeline, with incredibly limited code review, and regardless of whether the change reaches any type of ecosystem consensus. Fortunately, Bitcoin is not such a delicate flower of a system that such a foolhardy attempt at modifying it will succeed. Not only have miners soundly rejected BIP110, but other voices throughout the developer, investor, influencer, and corporate landscape have spoken out against the changes.  In August, this particular attack against Bitcoin’s consensus rules will have made Bitcoin stronger through its failure, and the network will continue its steady rhythm of tick-tock, next block.

Ripple joins card giants backing x402 as 75 million payments move just $24 million

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Coinbase, among others, filled that gap in May 2025. Under x402, a server that wants payment answers a request with a 402 and a price. The client signs a stablecoin transfer, usually USDC, resends the request with the payment attached, and gets the data. The exchange takes seconds and needs no account, no card, and no prior relationship between the two sides.

That is why the AI industry cares. An autonomous agent cannot open a bank account, pass a credit check or sign a SaaS contract, but can sign a transaction. Google has wired x402 into its own agent payments protocol, and Cloudflare ships it in its agent toolkit.

The announcement included no usage figures, though x402 publishes them on its own homepage. The protocol handled about 75 million transactions over the past 30 days, or roughly 29 every second, moving about $24 million between some 94,000 buyers and 22,000 sellers.

That works out to an average payment of about 32 cents, meaning the machine-to-machine thesis works as designed, as no card network can process a such small charges profitably.

Still, $24 million a month is a fraction of what any of x402’s premier members move in a day.

Bitcoin’s BIP-110 sparked a fight over who gets to decide the future of Bitcoin

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Bitcoin’s consensus rules have historically treated valid transactions equally regardless of purpose. BIP-110 prompted concerns that rules aimed at discouraging one category of transaction risked opening the door to future restrictions on others.

BIP-110 rejected

The means by which the proposal sought approval was equally contentious. Bitcoin upgrades typically only proceed after overwhelming support has emerged across miners, businesses, wallet providers and the wider ecosystem. BIP-110, instead, revived discussion around a user-led activation approach, with upgraded nodes enforcing the new rules if predefined conditions were met.

Supporters viewed that as a necessary safeguard if miners refused to act against what they considered abuse of block space. Opponents warned that attempting to introduce new consensus rules without broad agreement risked creating incompatible versions of Bitcoin, a scenario that many veterans still associate with the divisive block-size wars of 2017.

This was where BIP-110 fell short in winning support. Mining companies had little inventive to reject transactions that paid competitive fees, while institutional investors had no appetite for governance battles.

Michael Saylor, founder of Strategy, the largest corporate holder of bitcoin , said BIP-110 “turns a spam dispute into a consensus change that would invalidate some currently valid, fee-paying transactions.”

“That precedent is the danger,” he wrote on X on July 11. “We shoul save our energy for threats that really matter.”

U.S.-Iran escalation weighs on bitcoin (BTC) price, stocks as oil climbs: Crypto Daily

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Bitcoin has fallen in the past 24 hours to $62,600 as traders exited riskier investments amid growing inflation concerns tied to rising oil prices.

Brent crude is up nearly 4% in the period, reflecting the renewed open conflict between the U.S. and Iran. That’s reigniting the so-called Nacho (Not a Chance Hormuz Opens) trade, which bets the strategic waterway stays shut.

The broader CoinDesk 20 (CD20) index lost 0.6% of its value over the same period while equities benchmarks in Europe are down about 1% and U.S. index futures 0.3%.

Attacks on tankers have reduced traffic through the Strait of Hormuz, which carried about one-fifth of global oil and gas supplies before the conflict and has been de-facto closed for 136 days. Oil prices reached a four-week high after hostilities restarted.

The move reverses part of the peace trade that helped bitcoin recover from its late-June lows. Higher oil prices raise near-term inflation risks, pushing up Treasury yields and reducing demand for rate-sensitive assets.

US, UK Treasuries to Align Transatlantic Rules on Tokenization and Stablecoins

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The US Department of the Treasury and HM Treasury released a set of recommendations as part of the Transatlantic Taskforce for the Markets of the Future, which included stablecoin activity and tokenized finance.

In a joint statement on Tuesday, the two treasury entities issued four recommendations focused on digital assets as part of bilateral cooperation between the two countries on financial markets. The task force recommended that authorities consider a private-sector-led group focused on “testing of cross-border use cases for tokenized assets” and that financial agencies in the US and the Bank of England identify shared approaches on the regulation of tokenized assets. 

On stablecoins, the US and UK released a joint statement aimed at regulatory alignment and establishing a “dynamic stablecoin market across borders.” 

“Each government intends to tailor its requirements to seek comparable outcomes for comparable risks and activities, seeking to advance financial stability while avoiding market distortions or disincentivizing cross-border competition,” said the statement.

The Treasury statement did not explicitly mention the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act, signed into law last year and waiting for regulations to be approved before its effective date in January 2027. However, the US-UK recommendations said stablecoins “should be fully backed, on at least a one-to-one basis, by high-quality, liquid assets,” aligning with the US law.

Related: UK government defers capital gains on certain crypto with ‘no gain, no loss’ approach

Report signals tokenization could add $44 billion to UK economic output

The US-UK statement followed a report that the United Kingdom could add up to $44 billion to its annual economic output by 2035, “provided the UK is one of the leading jurisdictions for tokenization, tokenization scales globally, and UK domestic adoption increases in line with major peers.“

The report, from a UK government-backed industry task force, called on the country to issue tokenized bonds by the first quarter of 2027 and plans to test financial transactions on the blockchain.

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Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently.