The Federal Reserve (Fed) announced it will shut down its program with additional scrutiny over crypto and fintech activities.

On an August 15 statement, the central bank said it will sunset the Novel Activities Supervision Program and return to monitoring banks’ crypto and fintech activities through standard supervisory processes.

The Fed established the specialized program in August 2023 to enhance oversight of banking organizations engaging in crypto activities, distributed ledger technology projects, and complex technology partnerships with non-banks. 

The program targeted activities that regulators deemed novel and potentially risky to financial stability.

The Fed stated:

“Since the Board started its program to supervise certain crypto and fintech activities in banks, the Board has strengthened its understanding of those activities, related risks, and bank risk management practices.”

The regulator will integrate knowledge gained from the program into standard supervisory processes while rescinding the 2023 supervisory letter that created the initiative.

The program’s dissolution follows several pro-cryptocurrency moves by federal regulators this year. 

The Federal Reserve Board removed reputational risk from its bank supervision program on June 23, ordering staff to strike the term from examination manuals and concentrate on measurable financial exposures.

The Fed’s move positions the central bank alongside the Federal Deposit Insurance Corporation and the Office of the Comptroller of the Currency, which made similar changes this year. 

The coordinated revisions eliminate a subjective standard that experts said allowed examiners to block banking services to crypto firms and prevented banks from offering basic crypto-related services.

Furthermore, the Office of the Comptroller of the Currency, the Federal Reserve Board, and the Federal Deposit Insurance Corporation released a joint statement explaining how existing banking rules apply when institutions custody crypto for customers. 

The guidance describes safekeeping as holding digital assets on clients’ behalf while stressing that it does not create new supervisory demands.

Regulators instructed boards and executives to view crypto custody as a service that relies on exclusive control of private keys and other sensitive data, requiring banks to prove no other party can unilaterally move assets once they enter custody.

Fed Chair Jerome Powell laid the groundwork for the regulatory shift in an April 16 speech. In it, he urged Congress to establish a stablecoin framework and stated that the Fed does not intend to limit lawful relationships between banks and crypto firms. 

Powell acknowledged that regulators adopted a conservative stance after the 2022 market failures but indicated that some guidance may be relaxed to accommodate responsible innovation.

The program’s end represents a broader normalization of crypto banking supervision as regulators gain confidence in their understanding of digital asset risks and develop clearer frameworks for institutional participation in crypto markets.

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Bitcoin Standard Treasury Company (BTSR) is announcing its plans to go public by merging with Cantor Equity Partners, a special purpose acquisition company (SPAC) created by financial services titan Cantor Fitzgerald.

According to a new press release, BTSR Holdings will be merging with Cantor Equity Partners as a means of going public and is set to launch with 30,021 Bitcoin (BTC) in its treasury, making it the fourth-largest public BTC treasury on the market.

BTSR will also launch with $1.5 billion and 5,021 BTC in Private Investment in Public Equity (PIPE) financing – which are funds earned when a private investor purchases shares of a publicly traded company, often at a discount to the market price not available to the public – the largest amount ever PIPE amount associated with the crypto asset by market cap.

As stated by Adam Back, chief executive and co-founder of BTSR, in the press release,

“By securing both fiat and Bitcoin funding on day one – including the first convertible preferred round announced in conjunction with a Bitcoin treasury SPAC merger – we are putting unprecedented firepower behind a single mission: maximizing Bitcoin ownership per share while accelerating real-world Bitcoin adoption.”

SPACs are shell companies that raise capital through initial public offerings (IPOs) with the intention of merging with other firms.

In a recent report, Reuters says that with this move, the firm is planning on being listed on the Nasdaq stock exchange.

Bitcoin is trading for $118,782 at time of writing, a fractional decrease during the last 24 hours.

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Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

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Bitcoin Standard Treasury Company has agreed to merge with Cantor Equity Partners I (CEPO) in a SPAC transaction that will take the Bitcoin-focused treasury vehicle public on Nasdaq under the ticker BSTR once the deal is closed. 

The parties signed the Business Combination Agreement dated July 16 and released the announcement today. 

BSTR plans to launch with 30,021 Bitcoin (BTC) and up to $1.5 billion in fiat PIPE financing, with the CEPO trust contributing up to roughly $200 million, subject to redemptions. 

The financing stack includes $400 million of common equity committed at $10 per share, up to $750 million of convertible senior notes convertible at $13, and up to $350 million of convertible preferred stock also convertible at a common‑stock equivalent of $13. 

The company also secured 5,021 BTC in-kind PIPE funding, which long-time Bitcoin participants provided at a $10 share reference price. 

Founding shareholders advised by Blockstream Capital Partners will contribute 25,000 BTC at the same $10 reference. 

BSTR stated that combined resources would give it the fourth-largest publicly reported corporate Bitcoin treasury as of July 17.

Notably, the announcement confirms recent reports that Cantor Fitzgerald was in talks to acquire approximately $3 billion in Bitcoin from Blockstream.

Veterans join as executives

Adam Back will serve as CEO, and Sean Bill as chief investment officer. Back is known for inventing Hashcash, the proof-of-work system cited in the Bitcoin white paper, and co-founding Blockstream. 

Bill previously helped advance one of the earliest Bitcoin allocations by a US public pension plan and has focused on integrating digital assets into institutional portfolios. 

BSTR frames its mandate as accumulating Bitcoin, generating in‑kind Bitcoin yield, and advising corporates and sovereigns on Bitcoin-denominated treasury strategies, measured in BTC per share. 

Back said in the announcement:

“By securing both fiat and Bitcoin funding on day one — including the first convertible preferred round announced in conjunction with a Bitcoin treasury SPAC merger — we are putting unprecedented firepower behind a single mission: maximizing Bitcoin ownership per share while accelerating real-world Bitcoin adoption.”

Cantor Equity Partners I chairman Brandon Lutnick called the transaction “another step towards the integration of the Bitcoin economy and traditional finance.”

The merger was approved by the boards of both BSTR and CEPO. Closing will require approval from CEPO shareholders and the fulfillment of customary conditions. 

CEPO will file additional information, including the Business Combination Agreement, PIPE documentation, and an investor presentation, in current reports on Form 8-K and a forthcoming Form S-4 registration statement, which will contain the prospectus materials. 

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Shares of Standard Lithium (SLI 11.71%) jumped on Thursday, finishing the day up 11.7%. The rise came as the S&P 500 (^GSPC 0.27%) gained 0.3% and the Nasdaq Composite (^IXIC 0.09%) was flat.

Standard Lithium moved higher alongside much of the industry after MP Materials announced it had inked a major deal with the Department of Defense (DoD).

This mining company has a new shareholder

MP, which owns the sole operating rare earth mine in the US, announced this morning that the Pentagon is purchasing $400 million worth of shares in the company. The DoD is now the largest shareholder, controlling more than 15% and nearly twice that of CEO James Litinsky and BlackRock Advisors.

The Trump administration has been considering direct investment in domestic mining in order to shore up critical security and defense supply chains. Investors across the industry were hopeful that more deals such as this would follow, leading to today’s rise in Standard Lithium stock.

Image source: Getty Images.

Standard Lithium is still speculative

There are no guarantees that the Pentagon will follow up with more deals such as this, and even if it does, there’s certainly no guarantee that Standard Lithium would be one of the company’s choices. Given that it is Canadian-owned, I would venture to guess it won’t. The company is still pre-revenue, and only investors without particularly high risk tolerance should consider investing.

Still, the company’s Arkansas project was designated as a “Priority Transparency Critical Mineral Project” in the Trump administration’s executive order. It would seem that even if it doesn’t get a direct investment, it is seen favorably by the administration.

Liquidators are reportedly suing the Singapore arm of Standard Chartered over allegations the British banking giant enabled fraud that caused more than $2.7 billion in losses.

The allegations are tied to the $4.5 billion embezzlement conspiracy carried out against the Malaysian sovereign wealth fund 1Malaysia Development Berhad, known as the 1MDB scandal, which began back in 2009.

Standard Chartered “emphatically rejected” the claims made in the new Singapore lawsuit, according to a new Reuters report.

Liquidators from the financial services giant Kroll filed the suit, claiming that the British bank enabled the 1MDB fraud.

Standard Chartered allegedly ignored red flags and processed more than 100 intrabank transfers between 2009 and 2013, which contributed to hiding the 1MDB funds, according to three companies in liquidation associated with the scandal.

Explain the liquidators,

“According to this lawsuit, the transfers demonstrate serious breaches and control failings which ultimately enabled the theft of public funds by people operating at the highest levels of the Malaysian government during that period.”

Standard Chartered told Reuters any claims made by the companies were “without merit.”

Earlier this year, former Goldman Sachs employee Tim Leissner was sentenced to two years behind bars for playing a part in the multibillion-dollar heist.

Prosecutors say that Leissner and others who worked for the banking giant aided Malaysia in raising $6.5 billion for the nation’s investment fund through bond sales.

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Standard Chartered projected that tokenization of real-world assets (RWAs) beyond stablecoins could accelerate significantly over the next five years, driven by regulatory progress and a sharper focus on high-impact use cases, according to a June 20 report shared with CryptoSlate.

The bank’s report, titled “RWA Tokenisation — A Growth Opportunity,” highlighted that while stablecoins remain the dominant driver of blockchain-based RWAs, efforts to tokenize non-stablecoin assets like private credit, securitized debt, private equity, and commodities have trailed behind at around $2 billion.

According to the report, the gap stems largely from uneven regulations and early projects targeting areas with limited value from blockchain adoption.

Focus shifting beyond stablecoins

Geoffrey Kendrick, head of digital assets research at Standard Chartered, explained that the industry’s heavy reliance on stablecoins has overshadowed other tokenization prospects that could transform illiquid and hard-to-access markets.

Kendrick wrote:

“Non-stablecoin RWA tokenization has lagged for a number of reasons — regulatory uncertainty and focus on wrong areas being amongst them. However, as regulatory clarity emerges and if tokenizers focus on the right areas, then growth will come.”

The report singled out tokenized private credit as a notable early success, citing it as proof that blockchain can unlock real value by improving liquidity for assets traditionally considered difficult to trade.

It argued that the same logic can extend to private equity and niche commodities markets, where institutional investors are actively seeking better efficiency and transparency.

Regulatory patchwork persists

Despite the optimism, Standard Chartered cautioned that regulatory fragmentation remains an obstacle. Jurisdictions such as Singapore, Switzerland, the EU, and Jersey have developed clearer rules for RWAs, but others lag, while know-your-customer (KYC) checks continue to complicate cross-border adoption.

The bank’s research called for tokenization strategies that emphasize “areas of differentiation from off-chain assets” rather than replicating what already works well in traditional markets. By doing so, platforms and issuers could gain traction even in uncertain regulatory environments.

The report highlighted that tokenized private credit, structured debt, and corporate bonds have begun to expand steadily, with projections showing an accelerated climb starting from 2025.

It further suggested that if industry players leverage lessons from private credit and build robust compliance frameworks, non-stablecoin RWAs could emerge as the next major wave in the digital asset sector.

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June 17th Why Bitfinex’s KYC process sets the gold standard for the crypto industry

Do you lend you money to a stranger who emailed you from Blue?

that’s right.

But that’s the reality of the internet in 2025. Every day you deal with people you have never met from every corner of the world. Many are legal. Some people know exactly how to hide behind layers of fake information.

In fact, as Bitrace Crypto Crime Report 2025 points out, crypto-related losses are already at the top $505 million this year63% are tied to phishing, lag pull and social engineering for hacking and the rest. Many of these crimes share one thing in common. They exploit the fact that they know or do not exist on the customer (KYC) process on a platform where compliance is not a priority.

Bitfinex not only follows global compliance standards, Sets the gold standard. The KYC process is designed to protect users, prevent fraud and ensure long-term access to a mature financial system.

At Bitfinex, KYC is the backbone of trust. All strangers are verified here. Thousands have gone through our verification process just like you. Everything to protect you!

Bitfinex verifies all strangers

KYC is not about deficits. It’s about responsibility. Without it, criminals could slip through the cracks using Throway Accounts as LaunchPads for money laundering and fraud.

While some platforms boast “instant access” or “no KYC required,” the underlying reality is that users are at high risk and conversions for revenue are often high. When combined with high-stakes trading competitions, generous bonuses, and a fast tracking KYC process that prioritizes speed over thoroughness, the heavy hype (often not ignored) list is all part of the drive for large-scale acquisitions.

According to a 2020 survey by blockchain analytics firm Cyphertrace, in 2019, roughly 56% of crypto exchanges still had KYC. That same year, the criminal did the laundry Estimated $3.38 billion Bitcoin and other cryptocurrencies

Many exchanges often prioritize fast user acquisition and retail volume at every cost, at the expense of safety. Bitfinex is always choosing the route of longevity, transparency and compliance.

Does everyone trust a bank that has allowed millions of people to move without checking who they are? We don’t do that either.

Whether it’s a bank, intermediary, or crypto exchange, all trusted financial platforms require identity verification. This is the standard for the best financial practices. Bitfinex has set the same financial standards for crypto exchanges.

This is how strong KYC looks like

The Bitfinex process is clear and structured, but intentionally thorough.

• Basics and verification
  Upload your ID, check your address and phone number, and take a quick selfie.
  This gives you access to crypto deposits, withdrawals, and spot transactions.
• Interim verification
  Add a second ID, proof of address and fill in a short financial format.
  Perfect for when you want a higher limit or unlock a margin transaction.
• Complete verification
  Include a bank statement and some additional details.
  This is necessary if you want to deposit or withdraw Fiat.

This is bank grade onboardingbillions are built for users who travel daily and operate in a market where security is not an option.

Like trusted financial institutions, they don’t offer sophisticated tools or global liquidity to anyone without checking who is behind the screen.

A platform worthy of professional traders

Celebrating her as she is registered with the British Virgin Islands (BVI). Original Bitcoin exchange As our heritage, Bitfinex has been serving professional traders and institutions since 2012. That legacy is not built on hype. It is built on trust. It happened because security, regulations and infrastructure were taken seriously long before it became industry standards.

Today, I’m pretty much holding Bitfinex 403,000 BTCit’s worth it $47 billionI’ll make it The second largest bitcoin reserve In a central exchange. This is a signal that the largest holders of the space continue to choose Bitfinex to move, manage and protect large capital.

On-chain data confirms Bitfinex’s appeal to whales containing a $400 million ETH transfer From two dormant wallets for 2024. These are long-term actors who choose infrastructure built for serious capital.

The KYC process is intentionally strict to ensure that not only meets global regulatory standards, but also ensures that all customers on the platform are protected. The KYC process is refined, audited and stress-tested to meet where the industry is, as well as where it is headed.

And that’s why Bitfinex continues to attract The most serious participants in the spacepeople who think and act intentionally in the long term.

Trust is gained and not fast tracking

The thorough KYC process is a feature and a high bar that we proudly set up. And the foundations of wealth buildings begin with asset security, which is its roots. In Crypto, things built to last, like life, are never easy and are most valuable.

At the end of the day, the platform that takes your identity seriously is Take your assets seriously too.

]]> https://earlybirdsinvest.com/why-bitfinexs-kyc-process-sets-the-gold-standard-for-the-crypto-industry/feed/ 0 42655 https://earlybirdsinvest.com/verifiedx-launches-vault-accounts-setting-a-new-standard-for-bitcoin-security/ https://earlybirdsinvest.com/verifiedx-launches-vault-accounts-setting-a-new-standard-for-bitcoin-security/#respond Thu, 05 Jun 2025 17:32:31 +0000 https://earlybirdsinvest.com/verifiedx-launches-vault-accounts-setting-a-new-standard-for-bitcoin-security/

Big news for the code!

falconx Burned by standard facility crypto investments!

A major step towards large-scale recruitment.
Stay tuned – the institution is here! pic.twitter.com/uag0nfeifg

– altcoiners.live (@alt_coiners) May 14, 2025

“The collaboration with Falconx highlights our commitment to moving forward with the Digital Asset Ecosystem,” said Luke Boland, Head of Fintech, ASEAN, South Asia and GCNA at Standard Chartered.

Partners expand beyond traditional banksNCLUDE products and services for asset managers, hedge funds, token issuers, and payment platforms.

Tackling the growing demand for institutional demand for digital assets, Borland is proud to provide a banking infrastructure that enables companies such as Falconx to provide world-class trading and financing solutions to institutional customers, as the institutional demand continues to increase.

Meanwhile, Matt Long, general manager of APAC and Middle East at Falconx, commented “.We are pleased to partner with Standard Chartered, one of the most advanced global banks in digital asset adoption. “Falconx supports the transaction and financing of some of the world’s largest institutions in the digital asset market, and this relationship strengthens our ability to provide robust banking and forex solutions to clients who rely on us to operate in the crypto market,” he added.

Explore: 10 coins with high returns: Crypto Forecast 2025

Partnerships established by Standard Chartered

The bank launched a spot trading desk for Bitcoin (BTC) and Ethereum (ETH) in June last year.

In August 2024, Crypto.com revealed its partnership with Standard Chartered, which has been designated by the bank to provide tailored banking and payment solutions to Crypto.com.

Support with Standard Charter Zodia Custody has announced a strategic partnership with renowned crypto lending platform Maple Finance. The UK multinational bank’s crypto-subsidiaries are in the process of acquiring some of the digital asset business supported by billionaire hedge fund manager Alan Howard.

Most recently, Standard Chartered announced the launch of a new entity in Luxembourg on January 9, 2025 to provide Crypto Custody Services.

Exploration: Bitcoin vs. Tesla: Standard Charter Picks BTC as TSLA crashes

Targeting institutional clients: Circle, Bitgo, Coinbase, Pax obtains US banking licenses

After US President Donald Trump eased cryptography regulations and restrictions, major crypto companies such as Circle, Bitgo, Coinbase and Paxos have filed applications for US banking licenses.

According to a report from the Wall Street Journal, these crypto companies are ready to leverage current US government custody capabilities.

Companies are currently pursuing a variety of banking licenses. It mainly depends on a specific business model. Some people are looking for National Trust or Industrial Bank Charters. Others are primarily focusing on more specialized licensing that allows for Stablecoin issuance and storage services.

“This represents a natural evolution for the crypto industry,” explains cryptocurrency analyst Sarah Johnson. “As these platforms mature and seek to serve a wider customer base, banking licenses provide the regulatory framework and customer protection needed to regulate scale within the existing financial ecosystem.”

Explore: 10 Best AI Crypto Coins to Invest in 2025

Post-Falconx and standard charter partners advancing the digital asset ecosystem of Institutional clients first appeared in 99 Bitcoin.