Treasury Secretary Scott Bessent Says U.S. Will Not Buy Bitcoin For Strategic Reserve: Fox News

Shiba Inu (SHIB) extends its decline at the time of writing on Friday after dropping nearly 5% so far this week. The on-chain data supports a correction ahead, as SHIB holders are unloading tokens amid the escalating Iran-Israel war.

PANews reported on June 19 that Fetch.ai CEO and founder Humayun Sheikh announced that the platform's practicality has been significantly improved due to the increased use of ASI1 and proxy

Citigroup is exploring a major expansion into the digital asset space, with plans that could put the $2.57 trillion banking giant at the center of stablecoin custody, crypto ETF infrastructure, and blockchain-based payments. Speaking to Reuters, Biswarup Chatterjee, Citi’s global head of partnerships and innovation for its services division, said the bank is looking at providing custody for the high-quality assets that back stablecoins. Citi’s Stablecoin Plans Could Reshape Digital Asset Payments and Settlement Under the GENIUS Act signed into law this year, issuers must hold safe assets like U.S. Treasuries or cash to support their tokens, creating an opening for traditional custody banks to step in. “Providing custody services for those high-quality assets backing stablecoins is the first option we are looking at,” Chatterjee said. Citi’s services arm, which includes treasury, cash management, and payments for major corporations, has been a core part of the bank even as it undergoes a sweeping restructuring. The interest comes as the stablecoin market grows beyond crypto trading into mainstream payments and settlements. McKinsey estimates about $250 billion in stablecoins have been issued, but usage is still largely concentrated within the crypto sector. Citi sees the recent legislation as a turning point. 🏦 Citigroup @Citi is weighing its own stablecoin and diving into tokenized deposits, CEO Jane Fraser said during the Q2 earnings call, signaling a deeper digital pivot. #Citi #Stablecoins https://t.co/95SaJd4U7k — Cryptonews.com (@cryptonews) July 16, 2025 Citi is also considering issuing its own stablecoin, an idea CEO Jane Fraser confirmed in July during the bank’s second-quarter earnings call. “We are looking at the issuance of a Citi stablecoin, but probably most importantly is the tokenized deposit space, where we’re very active,” Fraser told analysts at the time. She said the goal was to modernize infrastructure and deliver “the benefits of advancements in stablecoin and digital assets to our clients in a safe and sound manner.” Citi’s ambitions extend beyond stablecoins. The bank is examining custody services for the crypto assets underpinning exchange-traded funds. Since the SEC approved spot bitcoin ETFs last year, the largest, BlackRock’s iShares Bitcoin Trust, has amassed a market cap of around $90 billion. “There needs to be custody of the equivalent amount of digital currency to support these ETFs,” Chatterjee noted. Coinbase currently dominates the ETF custody space, serving more than 80% of issuers. On the payments front, Citi already offers “tokenized” U.S. dollar transfers via blockchain between accounts in New York, London, and Hong Kong, operating 24 hours a day. The bank is now developing services to let clients send stablecoins between accounts or instantly convert them into dollars for payments. Chatterjee said discussions with clients are underway to identify use cases. Regulators, once cautious about traditional banks entering the crypto sector, have adopted a more accommodating stance under the current U.S. administration. Still, Citi will need to comply with anti-money laundering rules and international currency controls. Custody operations, Chatterjee stressed, must ensure assets were used for legitimate purposes before acquisition and must be backed by robust cyber and operational security. Fraser has framed Citi’s approach as a response to client needs and the broader shift toward always-on, instant settlement. “Digital assets are the next evolution in the broader digitization of payments, financing, and liquidity,” she said. “Ultimately, what we care about is what our clients want and how do we meet that need.” With $2.57 trillion in assets under custody, Citi’s entry into stablecoins and ETF crypto custody could reshape how traditional finance integrates with the digital asset economy. U.S. Banking Groups Urge Congress to Ban Stablecoin Yield Payments by Affiliates Major U.S. banking trade associations are urging Congress to bar stablecoin issuers’ affiliates from paying interest to token holders, warning it could drain deposits from banks and limit lending. 🇺🇸 U.S. bank groups seek to expand GENIUS Act limits on stablecoin interest, raising broader questions over global payments policy. #stablecoin #geniusact https://t.co/dhN9j0X3QZ — Cryptonews.com (@cryptonews) August 13, 2025 In a joint letter, the American Bankers Association, Bank Policy Institute, Consumer Bankers Association, Financial Services Forum, and Independent Community Bankers of America said the GENIUS Act’s current language prohibits issuers from offering yield but leaves a gap that allows exchanges and related entities to do so. They cited Treasury estimates that interest-bearing stablecoins could trigger up to $6.6 trillion in deposit outflows, increasing funding pressure on banks and money market funds. The groups stressed that bank deposits remain a key source for loans, while stablecoins are not designed for lending and lack equivalent oversight. They warned that joint marketing between issuers and exchanges could accelerate withdrawals in times of stress, raising borrowing costs for households and businesses. They called for extending the prohibition to all intermediaries handling stablecoin transactions. The push comes amid rapid sector growth. CertiK reports stablecoin supply rose from $204 billion to $252 billion in early 2025, with USDT dominating and USDC expanding to $61 billion. PayPal’s PYUSD doubled via a Solana integration and launched a 3.7% yield program. Coinbase and PayPal maintain their reward programs, arguing the ban applies only to issuers. Ripple CEO Brad Garlinghouse predicts the market could grow to $2 trillion , driven by institutional adoption and regulation.