Category: Cryptocurrency

Bitcoin’s price jumped nearly 3% to $78,700 on May 1, buoyed by news that Iran presented a fresh peace proposal to the United States through Pakistani intermediaries. This development helped ease fears over oil supply disruptions, lifting overall market sentiment. According to CNBC, Iran’s updated offer, delivered via mediators in Pakistan, marks another step in long-running negotiations covering ceasefire terms, sanctions relief, and the Strait of Hormuz. Oil prices dipped modestly on the news, reducing one of the key macroeconomic pressures that had dragged on cryptocurrencies and equities throughout the week.

The climb from a multi-week low of $74,900 on April 29—when President Trump received a military briefing on new Iran strike options—to $78,700 on May 1 essentially erased the losses from the post-FOMC selloff. This pattern mirrors earlier recoveries during the conflict, where each credible diplomatic signal triggered a rapid BTC repricing. 21Shares chief market strategist Adrian Fritz noted that $80,000 represents a significant resistance level. He remarked that a strong break above that threshold could generate fresh momentum, especially as recent buyers return to profitability. Fritz added that moving past $85,000 might indicate the start of a broader reversal.

Previously, Bitcoin had touched $78,400 the prior week but was sharply rejected when hostilities flared up again, establishing a consistent pattern: every promising diplomatic move leads to a quick BTC rally, and any setback reverses it within hours. Hopes of a comprehensive US-Iran deal have consistently fueled bets on Bitcoin retesting $80,000, provided ETF inflows resume and oil prices retreat toward pre-war levels. The $80,000 mark has now been tested twice in 2026 without a decisive breakout. A confirmed move above that level, supported by sustained ETF inflows and stable oil prices, would be the clearest indication that the Iran-driven macro overhang on Bitcoin has materially diminished.

Coinbase Derivatives has officially launched Trade at Settlement (TAS) for XRP futures as of May 1, marking a significant milestone for the digital asset. This new functionality makes XRP the first altcoin to gain access to an institutional-grade block-trade execution mechanism previously reserved for Bitcoin, Ethereum, gold, and crude oil futures. The move follows a filing with the Commodity Futures Trading Commission on April 21, which outlined the framework for TAS under the Commodity Exchange Act, with Coinbase’s Market Regulation team ensuring fair and transparent oversight.

With TAS, large institutional investors can execute substantial block orders for both nano XRP and full-sized XRP futures at the official 4 PM settlement price, effectively eliminating the risks associated with intraday price fluctuations. This reduces execution costs and position-sizing uncertainties that typically accompany high-volume trades. The activation aligns with the SEC and CFTC’s joint classification of XRP as a digital commodity in March 2026, placing it on equal footing with traditional commodity futures.

The launch is part of a broader institutional push for XRP, which has gained momentum since the regulatory clarity provided in early 2026. Goldman Sachs has disclosed a $153.8 million position across four XRP ETFs, and total assets under management for XRP ETFs have reached $1.53 billion. A survey by Coinbase and EY-Parthenon revealed that 25% of institutional investors plan to add XRP to their portfolios in 2026, with 65% citing regulatory clarity as a key condition for entry. The TAS activation coincides with a Coinbase market maker program aimed at improving order book depth for XRP and other crypto futures.

Analysts note that TAS is one of several catalysts for XRP in May. Other upcoming events include the launch of 3x leveraged XRP ETFs by GraniteShares on May 7, the departure of Powell as Fed chair on May 15, and the hard markup deadline for the CLARITY Act on May 21. If block trade flows through TAS materialize significantly, it would provide the strongest evidence yet that institutional demand for XRP is transitioning from stated intent to actual capital deployment.

Pi Network has confirmed that Protocol 23 will go live on May 11, marking the blockchain’s first full smart contract deployment. This upgrade will transform the mobile mining network into a programmable ecosystem supporting decentralized finance applications and asset tokenization.

The launch date was moved forward from the previously announced May 18, aligning with the conclusion of the Consensus 2026 conference in Miami, where co-founders Dr. Chengdiao Fan and Nicolas Kokkalis are scheduled to speak on May 6 and 7. This strategic timing places the technical release shortly after key public appearances.

Protocol 23 builds on the foundation established by Protocol 22, which completed on April 27 and removed non-compliant nodes to ensure network stability. The new protocol allows developers to create and deploy smart contracts on Pi’s Mainnet, enabling decentralized exchanges, lending platforms, automated tools, and tokenization of real-world assets through the Pi Launchpad.

The network currently boasts 421,000 active Mainnet nodes, over 10 billion PI migrated to Mainnet, and a market cap of approximately $1.73 billion as of late April 2026. Pi Network’s move into programmable contracts positions it alongside proof-of-personhood projects like Worldcoin and Humanity Protocol, with the Consensus appearance framing Protocol 23 as part of a broader vision for identity and decentralized finance in the AI era.

In a major shift that redefines the AI landscape, OpenAI has ended its seven-year cloud exclusivity deal with Microsoft. As of late April, the partnership transitioned from an exclusive to a non-exclusive arrangement, granting OpenAI the ability to offer its full suite of AI models on competing platforms like Amazon Web Services and Google Cloud.

The restructuring, announced jointly by both firms, effectively resolves a brewing legal dispute that emerged after OpenAI secured a massive $50 billion investment from Amazon in February. That deal had given AWS exclusive third-party cloud distribution for Frontier, OpenAI’s enterprise agent platform, which conflicted with the prior Microsoft agreement.

Under the new terms, Microsoft will hold a non-exclusive license to OpenAI’s intellectual property through 2032. OpenAI must still deliver new models to Azure first, but now it can also provide them via AWS Bedrock and eventually Google Cloud. Amazon CEO Andy Jassy confirmed that OpenAI models will be available on AWS Bedrock within weeks.

Financially, Microsoft will no longer receive a revenue share from OpenAI, while OpenAI will continue paying Microsoft until 2030, subject to an undisclosed cap. Microsoft retains its roughly 27% stake in OpenAI’s for-profit entity, which generated $7.5 billion in revenue last quarter.

OpenAI’s chief revenue officer, Denise Dresser, noted that the previous exclusivity limited the company’s ability to meet enterprise demand. AWS CEO Matt Garman echoed this, stating that customers have long requested access to OpenAI models on AWS. Google Cloud is currently reviewing the new terms to explore possible partnerships.

This strategic pivot underscores the growing tension between the two tech giants, as their product lines increasingly overlap—from GitHub Copilot versus OpenAI’s Windsurf to competing proprietary LLMs. The new flexibility is expected to benefit enterprises that previously had to rely solely on Azure for OpenAI access.

Mantle Network has advanced its proposal to lend up to 30,000 ETH to Aave’s DeFi United recovery initiative, now moving to a governance vote on Snapshot. MNT holders must delegate their voting power to participate in the decision.

This strategic credit facility, known as MIP-34, aims to address the shortfalls caused by the April 18 rsETH bridge exploit, providing a structured way to manage bad debt and collateral gaps. If approved, Mantle’s treasury will supply the ETH to Aave DAO, specifically for the DeFi United rescue plan.

The loan is structured with a 36-month term and a floating yield based on Lido’s stETH staking return plus a 1% spread, transforming idle treasury assets into a yield-bearing position. Aave DAO would back the facility with 5% of its protocol revenue and at least $11 million in AAVE tokens, while granting Mantle delegated governance rights over roughly 130,000 AAVE to align incentives.

Collateral will be held in a multisig wallet, with early repayment options and default protections to limit Mantle’s risk. Aave founder Stani Kulechov has praised the DeFi United effort as the largest DAO coordination he has participated in, with parallel governance processes at Arbitrum, Aave, EtherFi, Lido, Compound, and Mantle.

The rescue fund under DeFi United has now accumulated 1,137,714.633 ETH, worth approximately $314.57 million, from contributions by multiple DAOs and protocols. Major pledges include Arbitrum DAO’s 30,765 ETH, Mantle’s planned 30,000 ETH loan, AaveDAO’s 25,000 ETH, EtherFi’s 5,000 ETH, Lido’s 2,500 stETH, and personal commitments from Stani and the Golem Foundation.

The goal is to cover an estimated 68,900 to 118,000 ETH shortfall in rsETH’s backing after the KelpDAO bridge exploit, ensuring healthier collateralization across Aave and other lending markets. Legal experts view this as a landmark case of on-chain interventions coordinated across DAOs, with the Mantle-Aave loan testing structured credit facilities in large DeFi rescues.

For affected users, the combination of direct ETH contributions, governance-approved credit lines, and protocol fixes provides more options to exit or restructure positions, avoiding a simple liquidation process.

The CLARITY Act faces a critical deadline on May 21, after which the window for passage may close until 2030. Ripple CEO Brad Garlinghouse emphasized at XRP Las Vegas on April 30 that the current political alignment—with the House, Senate, and White House united on crypto legislation—is exceptionally rare and could dissolve after the midterm elections.

The bill has garnered over 120 supporters, including major firms like Coinbase, Kraken, Circle, and Andreessen Horowitz, along with backing from the White House, SEC Chair Paul Atkins, and Treasury Secretary Bessent. Despite this broad support, the legislative path remains arduous. Senators Cynthia Lummis and Bernie Moreno have independently warned that if the bill doesn’t pass in 2026, the next opportunity won’t arise until 2030.

Several procedural steps must be completed before May 21: a Banking Committee markup, a committee vote, a 60-vote Senate floor threshold, reconciliation between Senate Banking and Agriculture Committee versions, and final reconciliation with the House text from July 2025—all followed by the President’s signature. With the Senate returning on May 11, only about eight working days remain.

The April markup deadline was missed due to the Kevin Warsh confirmation hearings consuming the Banking Committee’s schedule. Now, the compressed timeline leaves little room for delay. Senator Tillis has indicated he will request committee chair Tim Scott to schedule a markup promptly.

Senator Lummis, chair of the Banking Subcommittee on Digital Assets, stressed at the Bitcoin 2026 Conference on April 27 that the simultaneous alignment of all three branches on crypto legislation is unprecedented and fragile. She is not seeking re-election, removing personal political motives from her advocacy. Meanwhile, Mike Novogratz expressed optimism on a recent podcast, suggesting the bill could pass in May, but Galaxy Research places the odds at 50-50 or lower, and Polymarket gives it approximately 46% probability.

The crypto market has been watching the CLARITY Act closely, as its passage could significantly boost institutional adoption. The coming days will determine whether the bill advances or stalls for nearly four years.

The path for interest rate reductions in 2026 has become clouded, according to Minneapolis Federal Reserve President Neel Kashkari. While he previously anticipated one or two cuts later this year, recent geopolitical developments have forced a more measured stance. The escalating conflict with Iran and the resulting surge in oil prices have introduced significant uncertainty into the inflation outlook, prompting Kashkari to emphasize a data-dependent approach rather than committing to a fixed timetable.

Kashkari noted that before the Iran war intensified, he believed inflation would moderate sufficiently to allow for one or two rate cuts in 2026. However, the conflict now represents a new shock that complicates the economic landscape. He stressed the need to evaluate both the duration and magnitude of the war’s impact on energy prices before making any firm decisions. This marks a shift from his earlier, more optimistic view expressed in early March, when he suggested a single cut could be plausible as inflation pressures eased.

Recent inflation and growth data from March, while not alarming, are insufficient to alter the Federal Open Market Committee’s policy statement, Kashkari argued. He maintained that officials require more information before adjusting their stance, whether it be toward combating inflation or supporting the labor market. This cautious perspective aligns with his earlier warnings that inflation remains “excessively high,” even as the economy has proven more resilient than anticipated.

The central question for policymakers, Kashkari emphasized, is how persistent higher oil prices will be and whether they will materially slow progress toward the Fed’s 2% inflation target. He highlighted energy costs as a key swing factor, noting that the war has obscured the policy outlook. At the same time, he urged the Fed to watch both sides of its dual mandate, cautioning against keeping rates too high for too long, which could unnecessarily harm the labor market.

Before the latest geopolitical shock, Kashkari had projected inflation running between 2.5% and 3%, with a downward trend. Now, he has adopted a more explicitly data-dependent stance, stating it is too soon to know if the rate cuts he once penciled in for 2026 can safely occur. With tariffs and war-driven oil prices adding to uncertainty, the path forward remains unclear.

In a significant move underscoring its commitment to frontier technologies, 137 Ventures has secured over $700 million across two new funds. This injection brings the firm’s total assets under management to more than $15 billion as of March 2026, establishing it as a major player in late-stage tech investing. The growth-stage firm, founded in 2010 by Justin Fishner-Wolfson and S. Alexander Jacobson, focuses on providing liquidity to early stakeholders and primary capital to what it calls ‘generational technology companies.’

The newly raised capital is earmarked for high-impact bets in artificial intelligence agents, robotics, advanced industrial systems, and novel aerospace propulsion. Recent additions to its portfolio include Cognition, Impulse Space, Hadrian, and Physical Intelligence—companies specializing in AI copilots, in-space logistics, automated manufacturing, and embodied AI. Over the last year, 137 Ventures has deployed more than $1.7 billion, concentrating its investments in a select few high-conviction opportunities rather than spreading resources thinly across numerous early-stage deals.

A standout in its portfolio is SpaceX, where 137 Ventures has invested across roughly 24 rounds since 2010. Founder Fishner-Wolfson revealed to Bloomberg that the firm now holds over $10 billion worth of SpaceX shares, representing more than 1% of the company. This stake could become one of venture capital’s most lucrative positions if SpaceX proceeds with an initial public offering at a valuation exceeding $1 trillion, as speculated by bankers and secondary-market indicators.

Beyond space, 137 Ventures has backed companies like Anduril, Gusto, and Ramp, reflecting a thesis that AI-powered defense, fintech, and enterprise infrastructure will drive outsized returns as automation reshapes industries. For founders developing AI agents, robotics platforms, or space-adjacent ventures, the new funds signal that 137 Ventures will be an active late-stage partner, particularly for those requiring patient capital for capital-intensive, long-duration projects.

The crypto venture capital landscape experienced a sharp contraction in April, with total funding falling to just $659 million across 63 deals. This represents a dramatic 74% decline from March’s $2.6 billion spread over 84 rounds, bringing monthly investment levels to their lowest point since 2024. The downturn signals a significant shift in investor sentiment after a period of relative optimism earlier in the year.

According to data aggregated by Cointelegraph, year-to-date crypto VC funding for 2026 now stands at approximately $5.64 billion. While still substantial, this figure trails the pace set in late 2025, particularly after October 2025 saw a monthly peak of $3.84 billion. Since then, funding volumes have steadily declined, mirroring a broader pullback in token prices and a roughly 37% drop in global crypto market capitalization over the same window. This environment has forced late-stage investors to reevaluate valuations and contend with markdowns.

The downward trend was already evident in February, when Phemex reported about $866 million raised across 62 transactions, a 46% decrease from January. Despite the pullback, certain sectors continued to attract capital, albeit at smaller ticket sizes. April’s numbers confirm that the market has entered a full-blown reset, characterized by fewer large growth-stage rounds and heightened scrutiny for new token launches. Industry data indicates that roughly 85% of tokens launched in 2025 are now trading below their initial issue price, further dampening enthusiasm.

Within this challenging environment, decentralized finance (DeFi) protocols led the pack with 12 deals, followed by blockchain infrastructure and services with eight, and AI-adjacent crypto projects also securing eight rounds. These areas remain focal points for investors seeking projects with tangible utility. On the investor side, GSR’s venture arm emerged as the most active participant in April, backing four separate transactions related to trading infrastructure and liquidity solutions. Major players like Tether, Animoca Brands, and Coinbase Ventures each contributed to three deals, though they tended to favor smaller, earlier-stage investments rather than the massive growth checks typical of previous cycles.

For founders, the message is clear: while capital remains accessible, investors are more selective and price-sensitive, prioritizing products that can endure lean conditions and demonstrate real-world usage over those driven solely by narrative. A slower pace of VC funding typically translates to fewer new token listings on exchanges, shifting the focus toward proving existing projects can deliver on their roadmaps without relying on another wave of easy money.

In a decisive move to uphold ethical standards, the U.S. Senate has voted to prohibit its members and staff from engaging with prediction markets. The resolution, passed unanimously on Thursday, amends the chamber’s standing rules and takes effect immediately. Senator Bernie Moreno, who spearheaded the initiative, emphasized that the ban is crucial to prevent the misuse of sensitive information for personal gain. He stated that no senator or staffer should be allowed to monetize their position through inside knowledge. This action follows growing concerns over incidents where individuals with access to classified data placed bets on platforms like Polymarket, including a recent case involving a special forces soldier charged with using confidential information to wager on the capture of a foreign leader. Senate Democratic leader Chuck Schumer described the rule change as a “no-brainer,” arguing that Congress must avoid turning into a casino where public representatives gamble on wars, economic crises, or elections. He called for extending similar restrictions to the executive branch. The House is expected to follow suit, with Representative Ashley Hinson announcing plans to introduce a comparable resolution. Prediction market operators, including Polymarket and Kalshi, have voiced support for the Senate action, noting that they already prohibit such conduct in their terms of service. This legislative move adds a new dimension to the ongoing regulatory debate over whether event contracts should be classified as financial products or gambling activities, as the CFTC continues to litigate against state actions targeting these markets.