The Scenius State of Regulation (Issue #34)
Crypto Policy & Regulation: May 2025
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United States 🇺🇸, Canada 🇨🇦, & Caribbean 🌎
The Crypto President (May 1)
A Times investigation shows how much President Trump and his family have profited from his championing of cryptocurrency.
Morgan Stanley Weighs Move To Offer Crypto Trading on ETrade Platform (May 1)
The bank’s deliberations come as President Donald Trump has taken a friendlier line on crypto than his predecessor.
North Carolina House Passes State Crypto Investment Bill (May 1)
North Carolina’s House passed a bill to allow the state treasurer to invest government funds in approved cryptocurrencies with a 71 to 44 vote.
US Targets Huione Group In Crackdown On $4 Billion Crypto Laundering Network (May 2)
Huione Group's network processes billions in suspicious transactions, fueling North Korean cyber and crime syndicates.
FTC, Nevada Sue Crypto Trading Course Firm For $1.2 Billion Fraud Targeting Young Investors (May 2)
An entity called “IML” offered investment training services in cryptocurrency, binary options, foreign exchange, and stock markets.
Arizona Governor Vetoes Bitcoin Reserve Bill, Calling Crypto 'Untested Investment' (May 3)
Katie Hobbs, the Democratic Governor of Arizona, blocked a bill that would have allowed public funds in the state to invest up to 10% of their capital in virtual currencies.
New Hampshire First US State To Pass A 'Strategic Bitcoin Reserve' Bill (May 6)
The state’s HB 302 bill, signed by Governor Kelly Ayotte, enables the state treasurer to invest public funds in precious metals and digital assets with a market cap over $500 billion.
Samourai Wallet Says Feds Hid Advice That Crypto Mixer Was In The Clear (May 6)
Lawyers for Samourai Wallet’s founders claim prosecutors hid for over a year and a half that the Treasury told them the crypto mixer likely didn’t need a license.
Bitwise Sees Peril In Stalled Crypto Legislation Amid Political Unrest (May 6)
Bitwise CIO Matt Hougan believes failure to pass stablecoin legislation could undermine recent regulatory progress in the US.
Celsius Founder Alex Mashinsky Sentenced To 12 Years In Prison (May 8)
Federal prosecutors said he lured customers with promises of high returns on digital deposits, while misleading them about Celsius’s operations and using their deposits to drive up the price of its own crypto token, CEL.
Oregon Passes Bill To Establish Legal Control Standards For Digital Assets (May 8)
Addressing legal ambiguities, the law defines handling of digital assets under the uniform commercial code in Oregon.
Stablecoin Bill Collapse Reveals High Stakes For Crypto And Democracy (May 12)
After clearing committee with bipartisan support and early momentum, the GENIUS Act (legislation to establish a federal framework for stablecoins) was widely expected to advance swiftly to a full Senate vote.
US Lawmakers Warn Treasury On Taxing US Firms’ Unrealized Crypto Gains (May 13)
Meanwhile, a major component of the crypto-focused super PAC Fairshake urged the Senate to pass a regulatory framework for stablecoins.
U.S. SEC Considers Conditional Exemption for Tokenized Securities (May 13)
Commissioner Peirce previewed a potential conditional exemptive order currently being considered by the SEC’s Crypto Task Force, which would allow firms to use DLT to issue, trade, and settle securities.
Canada ‘Got It Wrong’ Labeling Stablecoins Securities — NDAX Exec (May 14)
Canada categorized stablecoins as securities and/or derivatives in December 2022, a month after the collapse of cryptocurrency exchange FTX.
S.E.C. Investigating Whether Coinbase Misstated Its User Numbers (May 15)
The inquiry continued even after the commission dropped a lawsuit accusing Coinbase of illegally marketing digital currencies to the public.
Stablecoins Seen As Ideal Fit For Real-Time Collateral Management (May 15)
Stablecoins can streamline collateral management systems in TradFi, but financial institutions may need more straightforward regulatory guidelines for adoption.
OCC Confirms Banks Authority to Offer Crypto Custody and Execution Services (May 16)
The OCC issued Interpretive Letter 1184, reaffirming that national banks and federal savings associations may provide cryptocurrency custody and execution services, including through sub-custodians.
DOJ Charges 12 More Gamer-Turned $263M Bitcoin Robbers (May 16)
Another 12 people have been charged over a massive crypto theft ring, which at one point stole 4,100 Bitcoin from a single person.
Central Banks Testing Smart Contract Toolkit Under BIS Project Pine (May 16)
The New York Fed and the Bank for International Settlements are trialing smart contracts for tokenized monetary policy, aiming to let central banks act instantly in future financial systems.
SEC Hacker Sentenced To 14 Months For Role In Fake Bitcoin ETF Post (May 16)
His unnamed partners used the account to falsely post the SEC had approved spot Bitcoin ETFs, according to court documents.
Ripple: Judge’s Settlement Rejection Has No Effect On Legal Victory (May 16)
Ripple’s Stuart Alderoty said “procedural concerns” are at the heart of a court’s denial of a joint motion by Ripple and the SEC to settle the regulator’s case against it.
Everstake Defends Non-Custodial Staking As SEC Weighs Industry Input (May 17)
Everstake met with the SEC’s Crypto Task Force to argue that non-custodial staking is a technical process, not a securities transaction.
Compliant Digital Assets Are Winning The Long Game In Crypto (May 17)
Financial institutions and tech providers unite to champion regulatory clarity, capital efficiency, and investor protection in the evolving digital asset ecosystem.
Senate Advances Crypto Regulation Bill With Bipartisan Support (May 19)
Democrats who had sided with the rest of their party last week to block the measure over concerns that President Trump could benefit dropped their objections. They argued that regulating the industry was urgent.
Paul Atkins: 'Crypto Markets Have Been Languishing In SEC Limbo' (May 19)
The new SEC chair said the regulator "should not be in the business" of stifling innovation at companies like those involved in digital assets.
The new FAQ marks a notable shift from Division staff’s 2019 Joint Statement, offering more practical pathways for broker-dealers to establish possession and control over “crypto assets that are securities.”
What’s Next For The GENIUS Act (May 20)
The Senate Majority Leader John Thune is committed to an open amendment process, and that’s causing deep consternation across Washington.
Robinhood Proposes SEC Rules For Tokenized Real-World Assets (May 20)
Robinhood has filed a proposal with the US SEC to establish a national framework for real-world asset tokenization, including plans for a new trading platform.
Genesis Files Dual Lawsuits To Claw Back $3.3B From DCG, Barry Silbert (May 20)
Genesis is seeking over $3.3 billion from DCG, Barry Silbert and affiliates in two lawsuits alleging fraud, insider enrichment and concealed transfers.
U.S. Senate Advances GENIUS Act: Long Awaited Stablecoin Framework Edges Closer to Reality (May 21)
The United States Senate has broken a filibuster and advanced the GENIUS Act — the first comprehensive federal framework regulating stablecoins. The bill is now headed to the Senate floor.
Texas House Passes Strategic Bitcoin Reserve Bill (May 21)
If signed into law, the bill would allow the Texas comptroller to establish a Bitcoin reserve and invest in select cryptocurrencies based on market cap criteria.
SEC Sues Crypto Startup Unicoin and Its Executives for Fraud (May 21)
The SEC sued Unicoin, a flashy crypto startup, alleging that the company and its executives misled investors while raising more than $100 million to launch a digital token that it touted as backed by real-world assets.
Michigan Seeks To Ban State-Level CBDC Advocacy In Spate Of New Crypto-Focused House Bills (May 22)
Michigan lawmakers aim to regulate crypto’s presence in the state’s mining, income tax deductions, state treasurer investments, and protections for accessing digital assets.
Crypto Perp Futures Coming ‘Very Soon,’ Says CFTC’s Mersinger (May 23)
Outgoing Commodities and Futures Trading Commission Commissioner Summer Mersinger says crypto perpetual futures contracts could be “trading live very soon” in the US.
Tether's CEO said USDT will remain focused on the unbanked outside U.S. while the separate stablecoin will serve the U.S. market.
‘Code Is Law’ Just Won In Court In Victory For DeFi (May 27)
A judge said prosecutors didn't prove Avraham “Avi” Eisenberg defrauded Mango Markets in 2022 when he exploited the Solana-based Mango Markets protocol.
Vance Vows to Champion the Crypto ‘Movement’ (May 28)
Speaking at a bitcoin conference in Las Vegas, the vice president said Trump will sign a bill that establishes rules for stablecoins.
SEC’s Next Crypto Roundtable To Host Defi Dialogue Addressing Autonomy In Regulation (May 28)
SEC roundtable to delve into DeFi’s alignment with core American values of autonomy and innovation.
DOL Pulls Guidance Discouraging Crypto In 401(K)S (May 28)
The Biden administration had required “extreme care” before adding crypto to retirement plan options.
US Banks Tiptoe Toward Crypto, Awaiting More Green Lights From Regulators (May 28)
Big U.S. banks are holding internal discussions about expanding into cryptocurrencies as they get stronger endorsements from regulators, but initial steps will be tentative, centering on pilot programs, partnerships or limited crypto trading.
Crypto Lobby Group Says SEC Should Back Off Regulating Most DAOs (May 29)
The DeFi Education Fund and Uniswap argue that the SEC should treat decentralized autonomous organizations as individuals, not as companies.
S.E.C. Drops Lawsuit Against Binance, a Crypto Exchange (May 29)
The dismissal of charges against Binance and its founder, Changpeng Zhao, is the Trump administration’s latest pullback in cryptocurrency enforcement.
Bitcoin Strategic Reserves: Behind the Changing Architecture of Sovereign Finance (May 29)
With countries like the United States announcing plans for a Strategic Bitcoin Reserve and others beginning to explore similar paths, a new phase of institutional and sovereign engagement with digital assets has begun.
SEC Says Proof-Of-Stake Staking Activities Do Not Constitute Securities Transactions (May 29)
Rebecca Rettig, the chief legal officer at Jito Labs, said this clears the way for crypto ETFs to include staking.
SEC Removes Key Hurdle For Ethereum ETFs By Exempting Staking From Securities Rules (May 30)
The staking clarity from SEC could reshape ETF landscape despite one of the commissioner's backlash.
U.S. Lawmakers Unveil CLARITY Act Regulating Digital Assets (May 30)
The first draft of the broad market structure and regulation bill that the cryptocurrency industry has been calling for has been released.
Bitcoin All-Time High, Five US States Enact Crypto Laws: May In Charts (May 30)
This month, Bitcoin hit $111,000, crypto laws in the United States blazed ahead yet again, and Coinbase joined the S&P 500.
Middle East & Africa 🌍
Ghana Plans To Regulate Digital Assets With New Legislation (May 6)
The Bank of Ghana intends to create a digital asset unit after parliament passes the Virtual Asset Providers Act.
Zimbabwe Launches Blockchain-Based Carbon Credits Trading Registry (May 12)
The country wants to establish trust by making all transactions immutable and transparent.
Dubai Regulator Sets Compliance Deadline For Updated Crypto Rules (May 19)
Dubai’s VARA has boosted oversight across multiple virtual asset activities, standardizing key terms and aligning risk management rules to reduce ambiguity and ease compliance for VASPs.
Nigeria Plans To Develop New Blockchain Policy, Again (May 21)
Two years ago, the country launched a blockchain policy, which it has not implemented yet. Now, it is ditching the document in favor of a new policy.
Pakistan Creates Digital Asset Authority To Regulate Crypto (May 22)
Pakistan’s new regulatory body will be tasked with tokenizing national assets and facilitating the monetization of Pakistan’s surplus electricity through Bitcoin mining.
VACC Hosts Crypto Training Session For Kenyan Lawmakers (May 23)
The training session, supported by Binance, looked to help the regulators gain hands-on experience on the workings of digital assets before passing regulations.
Dubai Regulator Clarifies Real-World Asset Tokenization Rules: Lawyer (May 23)
UAE-based lawyer Irina Heaver told Cointelegraph that the new rules allow issuing and listing RWAs on secondary markets.
South African Court Rules That Crypto Is Not Subject To Exchange Control Regulations (May 27)
According to Judge M. P Motha, crypto is not money, and the scope of current regulations do not define crypto as capital.
Bin Saqib was named the special assistant on blockchain and crypto for Pakistan Prime Minister Shehbaz Sharif earlier this week.
PwC Lends Weight To Crypto Lobby Against Kenya’s Digital Asset Tax (May 30)
The coalition is pushing to scrap Kenya’s now-revised 1.5% crypto transfer tax, calling it unfair, innovation-stifling, and out of step with global norms.
IMF Raises Concern Over Pakistan’s Bitcoin Mining Power Plan: Report (May 31)
IMF questions Pakistan’s plan to allocate 2,000 megawatts of electricity for Bitcoin mining amid energy shortages and budget talks.
Europe 🌍
Britain To Ban Consumers Borrowing To Buy Cryptocurrencies (May 2)
The UK financial watchdog plans to ban retail investors borrowing money to invest in cryptocurrencies like bitcoin as it seeks to bring much of the fast-growing digital assets market under regulatory supervision for the first time.
The UK financial regulator is soliciting feedback on the future regulation of specific digital asset activities as part of its crypto roadmap.
Privacy Coins Face EU Ban Under New AML Rules Starting 2027 (May 3)
Regulators make it clear that privacy coins in the EU will not be tolerated under the updated AML framework.
The UK Future Cryptoasset Regulatory Framework (May 5)
This short blog post sets the scene and explains the likely scope of regulation and the licensing impact for cryptoassetfirms.
Ukraine Strategic Bitcoin Reserve Bill Reportedly In Final Stages (May 15)
Ukraine is said to be finalizing a Bitcoin reserve bill, which may see it become the next country to adopt BTC as a national reserve asset.
Crypto-Assets: AMF Aligns with Six Sets of European Supervisory Guidelines under MiCA Regulation (May 15)
The French Financial Markets Authority (AMF) has announced its compliance with six sets of guidelines adopted by European Supervisory Authorities (ESAs).
Myth or Reality? MiCA and Its Real Impact On The Market Debunking Common Misconceptions (May 18)
Industry experts weigh in on MiCA's influence, dispelling myths about its effects on cryptocurrency growth in Europe.
UK To Require Crypto Firms To Report Every Customer Transaction (May 18)
UK crypto firms will need to report customer transactions on their platforms from 2026 onward as part of an initiative to strengthen crypto tax reporting practices.
Europe Is Sabotaging Its Digital Money – Opinion (May 26)
Unnecessary regulations are preventing Europeans from enjoying cheaper and faster financial services through stablecoins.
Bybit Earns MiCA License As Hackers Keep $644M From Its $1.4B Exploit Out Of Reach (May 29)
Bybit earns MiCA approval and prepares European headquarters while battling aftermath of billion-dollar hack.
Russian Central Bank Lets Financial Firms Offer Crypto Derivatives To Qualified Investors (May 29)
Russia’s largest bank, Sberbank, announced a new product with crypto-linked yields.
Reform party leader Nigel Farage pledged legislation to create a UK bitcoin reserve, cut capital gains tax, and outlaw crypto-related debanking if he wins the next general election.
Australia 🇦🇺 & Oceania
Australian Election Will Bring Pro-Crypto Laws Either Way (May 1)
No matter who wins Saturday's election in Australia, crypto legislation developed with the industry is set to finally happen this year.
Industry Calls For Urgent Crypto Law Reforms After Australian Election (May 5)
The crypto industry has called on Australia’s reelected government to make good on its promises and prioritize crypto legislation early in its new term.
New Zealand Man Arrested In $265M Crypto Scam Tied To FBI Probe (May 17)
Authorities in New Zealand arrested 13 people in a $265 million crypto fraud probe, with one Wellington man indicted under US racketeering laws.
Australian Court Ruling Could Lead To $640M In Bitcoin Tax Refunds (May 19)
A judge’s ruling in a criminal case may pave the way for $640 million in tax refunds, challenging the Australian Tax Office’s long-held stance on crypto taxation.
Australia Sues Ex-Director Of Crypto Exchange Blockchain Global Over Alleged Duty Breaches (May 28)
The allegations relate to Guo's dealings with ACX Exchange customer funds, statements made about those dealings and obligations to keep proper books and records.
Latin America 🌍
Stablecoins Stoke Volatility In Brazil Capital Flows, Says Central Banker (May 20)
Brazilians' crypto asset usage has surged over the past two to three years, with around 90% of the flow linked to stablecoins.
Argentina's Milei Shuts Down Task Force Investigating LIBRA Scandal (May 20)
The Argentine president has faced a major backlash after promoting a token with all the characteristics of a classic crypto pump-and-dump.
Asia 🌏
Cash-Strapped Maldives To Build $9bn Blockchain Hub In Bid To Lure Investors (May 4)
The planned investment led by family office MBS Global Investments over five years would exceed the Maldives’ annual GDP of around $7bn.
Indonesia Suspends Sam Altman’s World Project Over Suspicious Activity (May 5)
Indonesia’s Digital Ministry is seeking public input to its probe into World’s local operators, alleging suspicious activity and registration violations.
Worldcoin Faces Regulatory Setback In Indonesia Over Compliance Issues (May 5)
Worldcoin's registration woes in Indonesia add to a string of global regulatory challenges.
Bhutan Launches Tourism Crypto Payments With Binance Pay And DK Bank (May 7)
Bhutan’s tourism department and Binance said the new venture is the “world’s first national-level crypto tourism payment system.”
Taiwan Lawmaker Calls For Bitcoin Reserve At National Conference (May 9)
Taiwan legislator Ko Ju-Chun proposed allocating a small percentage of the Taiwanese reserves to Bitcoin as part of the diversified reserve strategy.
Hong Kong Crypto Investor Animoca Plans US Listing As Trump Lures More Groups (May 13)
The U.S. President’s light-touch approach to regulation offers a ‘unique moment’ to enter world’s biggest capital market, says Chairman of Animoca.
South Korea Pushes for New Crypto Regulations Ahead of Election (May 14)
South Korea’s Democratic Party makes crypto a key election issue, launching a Digital Asset Committee to centralize policy under the president.
Hong Kong’s Fintech Ambitions Keep Lawyers Busy On Policymaking And Deals (May 15)
Hong Kong’s fintech ambitions keep lawyers busy on policymaking and deals, as law practices in the Chinese territory have been supporting lenders in the rollout of pioneering products in the global digital asset market.
India's Crypto Industry Lobbies for Tax Cuts as Government Eyes Softening Stance: FT (May 27)
The cryptocurrency industry in India has spotted its chance to lobby for more favorable treatment from New Delhi.
Thailand To Allow Crypto Spending For Tourists, Eyes Regulatory Reform (May 27)
Thailand plans to let tourists use crypto via credit cards while overhauling financial laws to align capital and digital asset markets.
Thailand Moves To Block Bybit, OKX And Others For Unlicensed Operations (May 29)
Thailand’s securities regulator announced that Bybit, 1000X, Coinex, OKX and XT crypto exchanges will be banned locally from June 28.
Reserve Bank Of India To Roll Out New Use Cases For Digital Rupee (May 29)
India’s central bank is scaling up its digital rupee pilots with new features like programmability and offline payments, aiming for broader financial inclusion.
US Sanctions Philippines Tech Firm Accused Of Aiding Crypto Scams (May 30)
OFAC claims Funnull Technology purchased a code repository used by web developers and altered it to redirect legitimate websites to scam websites.
India’s Supreme Court questioned the government’s lack of substantive regulation despite imposing a controversial 30% taxation on cryptocurrencies.