12th May 2025 > > Tariffs, SEC, & GENIUS.

tl;dr

The SEC advertises its new approach to cryptos. Some politicians still don’t get it.

Market Snap

Market Wrap

Yesterday, Treasury Secretary Scott Bessent had this to say:

“I am happy to report that we made substantial progress between the United States and China in the very important trade talks."

It’s an odd approach, trailing potential progress in resolving a problem of your own making (the imposition of tariffs). Shortly afterwards, it was announced that there has been a dramatic though temporary reduction in the tariffs imposed by both countries on each other’s goods. Let us hope we will soon see reductions in non-tariff barriers to trade.

Much more of this good news, and we will blast through the previous ATH of $109,100, putting smiles on all our faces.

Curious Cryptos’ Commentary – Well worth a read

Now that the SEC vs Ripple Labs, Inc. saga is well and truly over (final score: Liberty & freedom 1 Gensler minus one million) here is a short comment that says a lot:

Curious Cryptos’ Commentary – GENIUS

Amendments to the GENIUS Act (Guiding and Establishing National Innovation for US Stablecoins) are expected early this week, before the bill goes back to the floor. Though the bill had been agreed by the Senate Banking Committee with bi-partisan support, and no dissenting voices, that display of co-operation collapsed on its first contact with reality.

It’s very important that progress is made in regulating stablecoins, ensuring that liabilities are backed by more than 100% of cash or cash-like instruments i.e. short-term treasuries. Tether’s ongoing flippancy towards such an ideal must be jettisoned, and there can be no room for algorithmic stablecoins (looking at you, USDe from Ethena Labs).

I struggle to understand how anyone can justify delaying the progress of GENIUS, beyond a desire for political point-scoring.

…

Yesterday, a group of 20 Senators proposed a new bill “… that would ban the creation and promotion of cryptocurrencies by the President, Vice President, Congress, and Senate-confirmed Cabinet members”.

A stunningly marvellous idea and, again, I struggle to understand how anyone could justify delaying the progress of this new bill beyond a desire for political point-scoring. Still, having been given the name "End Crypto Corruption Act of 2025", the bill itself appears to be an act of political point-scoring masquerading as something more virtuous.

Though the direction of travel for crypto regulation and adoption by TradFi has never been clearer, progress will continue to be bumpy in the initial stages. If only the politics could be taken out of cryptos, we would all reap the benefits.