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China has taken another step into blockchain-based finance, but in a way that avoids direct involvement with cryptocurrencies.

A state-owned firm in Shenzhen has launched a digital bond offering on Ethereum, showing how the country is selectively embracing new technology while keeping its hard stance on crypto trading in place.

First State-Backed RWA Bond On Ethereum

According to reports, Futian Investment Holding completed a 500 million yuan issuance of offshore bonds on August 29.

The bonds, equal to nearly $70 million, were rolled out in Hong Kong and listed on the Ethereum blockchain. They carry a 2.62% annual interest rate and will expire in two years.

The company described the deal as part of an effort to expand its funding sources while also responding to the growing use of real-world assets and tokenization in global markets.

It also pointed to Hong Kong’s supportive policies as a factor in the decision, saying the bond aligns with the district’s push to attract digital asset innovation.

#UZX BREAKING NEWS #RWA

Futian Investment Holding Announces Issuance of the World’s First Public RWA Digital Bond on a Public Blockchain pic.twitter.com/E2sGIJZdwl

— UZX Official (@UZX_Official) September 2, 2025

Crypto Still Off-Limits At Home

The move does not mean that China has softened its ban on crypto or Ethereum. Back in 2021, Beijing imposed a full ban on crypto mining and trading.

Officials at the time said the measures were needed to control energy use and to guard against risks that might destabilize the country’s financial system.

BTCUSD trading at $110,388 on the 24-hour chart: TradingView

That ban remains in effect today. Ordinary citizens and companies in mainland China are still blocked from using or trading cryptocurrencies.

What is allowed, however, are limited experiments like tokenized bonds that stay within the bounds of traditional finance.

Hong Kong As A Testing Ground

By routing the deal through Hong Kong, Beijing can keep its domestic ban intact while still signaling that it wants exposure to blockchain-based finance.

The bustling metro has been given more room to try out digital asset projects, and this latest bond fits into that role.

China’s strategy delineates a clear split: blockchain as a tool for finance is embraced in regulated manifestations, while crypto as an unfettered market asset is still off-limits.

Stablecoins, particularly dollar-denominated stablecoins, have also attracted scrutiny in Beijing, with officials concerned that they can undermine other currencies based around the world.

Reports suggest this RWA bond may be the first in a series of state-backed blockchain and Ethereum financial products tied to Hong Kong.

For now, the issuance shows China’s intent to cautiously explore blockchain without reopening the door to Bitcoin, stablecoins, or wider crypto adoption.

Featured image from Agoda, chart from TradingView 

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The sell-side risk ratio (SSR) is an important predictor of holder behavior. The Sell-side Risk Ratio (SSR) measures the potential “risk” of sell-side pressure entering the market. At heart, it signals how likely (or forceful) a wave of distribution could be relative to both price and the current liquidity climate.

If the SSR trends are high, it often suggests a significant supply overhang waiting in the wings: large holders might be looking to realize profits or short-term holders might be itching to sell into strength. Conversely, investors are less willing to part with their coins when the SSR is low or hovering in an equilibrium band or have no compelling reason to liquidate in size at current price levels.

Fundamentally, SSR matters because it can foreshadow significant inflection points in the market. It usually indicates accelerated profit-taking (or fear-based selling) if it spikes. When the ratio remains flat or retreats, it suggests the market has reached some level of balance between buyers and sellers, thereby signaling less near-term volatility, at least until a new catalyst emerges.

Bitcoin is famously sensitive to shifts in global liquidity. When liquidity is abundant, risk assets like Bitcoin tend to thrive; when liquidity tightens, risk assets often wilt as capital has fewer avenues (and less inclination) to chase higher-beta opportunities.

Because the SSR partly reflects the psychology of existing holders, whether they are willing to sell in bulk or continue to hold, tracking it alongside market volume can offer a unique measure of incoming or outgoing liquidity. A low or stable SSR in a declining liquidity environment often indicates that most “weak” hands have already sold, leaving a base of relatively strong hands who are more comfortable holding through volatility.

The SSR appears notably flat within a mid-range in the second half of March. This flatness suggests a kind of ceasefire between buyers and sellers. Put differently, neither side is especially motivated to take aggressive action.

This indicates a lack of heavy profit-taking. If long-term holders or short-term speculators believed Bitcoin was overvalued, we would see a noticeable uptick in SSR as more coins came onto the market. Instead, the stable ratio hints that participants are not rushing to cash out.

The data also indicates an absence of sell-offs. Typically, leading into a bear market, we see some capitulation where the realized cap starts to drop significantly, and the SSR might spike (reflecting panic or forced selling). Instead, the market has been drifting, with only marginal selling events. That keeps SSR comfortably in a range rather than skyrocketing.

Data from CryptoQuant also shows that spot trading volumes have pulled back from peaks seen late last year and earlier in the first quarter. Spot volumes dropped from around the $15 billion per day region (in some instances) to roughly $5 billion per day more recently. Meanwhile, the price has been meandering around mid-range levels, implying there is not enough fresh demand to push us significantly higher, but also not enough supply flood to tank prices outright.

The data suggests that as volume declined, price entered a sideways or consolidative phase, reinforcing the idea that large new capital inflows have momentarily slowed. With lower spot volumes, the price also struggles to break out strongly in either direction.

On-chain data shows long-term holders (LTH) have not significantly reduced their positions. Indeed, a large chunk of BTC’s realized cap is controlled by addresses that display historically low spending behavior. This indicates a sense of “conviction” that helps keep SSR from spiking since these holders are less likely to sell at current price levels.

The flat reading of the SSR ratio indicates a market at an uneasy standstill: not enough fresh capital to fuel a rally, yet no mass exodus to trigger a punishing drawdown. Despite shrinking spot volumes and ETF outflows, we are not seeing the same frantic selling or steep price declines typical of a full-blown bear.

Instead, Bitcoin’s long-term holder base continues to prop up the market, indicating that if global liquidity improves, the stage could be set for renewed upside. Meanwhile, a low-liquidity environment and a holder-dominated supply keep Bitcoin floating in a mid-range zone, waiting for the next wave of conviction, whether its bullish or bearish.

The post Bitcoin floats in a midrange limbo as sell-side risk ratio remains subdued amid downtrend in spot volume trends appeared first on CryptoSlate.

In a surprising turn of events, a tweet attributed to former U.S. President Donald J. Trump has emerged, suggesting the creation of a “U.S. Crypto Reserve” that would include several prominent assets such as Bitcoin (BTC), Ethereum (ETH), XRP, Solana (SOL), and Cardano (ADA).

According to the tweet, Trump’s executive order on digital assets would direct a new Presidential Working Group to move forward with this crypto-focused strategic reserve, positioning the U.S. as “the Crypto Capital of the World.”

Trump also singled out BTC and ETH as the “heart” of this proposed reserve, despite his previously critical stance on digital assets. His statement follows the growing conversation around whether states—and now the federal government—could hold crypto on their balance sheets.

Historically, Trump has been openly skeptical about Bitcoin and other digital assets. In 2019, he famously tweeted that he was “not a fan of Bitcoin and other cryptocurrencies.” However, this new suggestion of a U.S. Crypto Reserve marks a stark contrast from his earlier position.

Echoing states’ interest in Bitcoin reserves

Trump’s tweet dovetails with a broader trend: multiple U.S. states exploring the possibility of building BTC treasuries. Recent data covered by CryptoSlate indicates that if just 20 U.S. states adopted Bitcoin reserves, it could drive a $23 billion inflow into BTC, potentially bolstering state and municipal balance sheets.

While not all states have taken the plunge, increased crypto-friendly legislation is gradually cropping up across the country, pointing toward an appetite for digital assets as a hedge or growth strategy.

The potential impact of a U.S. Crypto Reserve

1. Strengthening U.S. financial clout

A federal crypto reserve could, in theory, position the U.S. at the forefront of digital asset policy and innovation. With countries like El Salvador adopting BTC as legal tender and several global financial centers exploring central bank digital currencies (CBDCs), a U.S. reserve might accelerate national efforts to remain a leader in fintech.

2. Influencing global regulatory discussions

If the U.S. government embraced a basket of crypto assets, that move could reshape ongoing global regulatory debates. The combination of BTC, ETH, XRP, SOL, and ADA indicates a broad approach, pulling in both proof-of-work and proof-of-stake networks as well as key layer-1 protocols used for various DeFi and NFT applications.

3. Boosting liquidity and mainstream adoption

A large-scale entrance of U.S. federal funds into top digital assets could significantly expand market liquidity. In turn, mainstream investors, businesses, and financial institutions might be incentivized to integrate crypto solutions into their operations.

Balancing enthusiasm with skepticism

Some observers remain doubtful about the feasibility of Trump’s proposal, noting that his current statements have yet to be backed by formal policy actions.

It remains unclear how a “Presidential Working Group” would form and function, especially considering ongoing debates in Congress around stablecoins, spot Bitcoin ETFs, and the role of federal agencies like the SEC and CFTC in regulating crypto markets.

Looking ahead

Trump’s nod to digital assets—especially the specific mention of BTC, ETH, XRP, SOL, and ADA—comes at a time when federal agencies and states are already grappling with the best regulatory path forward. Should momentum behind a U.S. Crypto Reserve continue, it could trigger a policy debate spanning both the executive branch and Congress.

Meanwhile, many states that have been independently considering (or in some cases already holding) crypto reserves will likely watch these developments closely.

For now, details surrounding Trump’s suggested reserve remain speculative, but the proposal highlights how mainstream crypto discourse has become—and sets the stage for what could be a foundational shift in how the U.S. government views and manages digital assets.

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