Amid growing turbulence in the global economy and the cryptocurrency sector, the market continues to present both alarming signals and promising initiatives. One of Japan’s largest banks — SMBC — has announced plans to launch its own stablecoin. Meanwhile, the SEC and crypto exchange Gemini have submitted a joint motion to postpone court hearings, and Fidelity is offering U.S. citizens a new way to invest in crypto through retirement accounts.
SMBC to Launch Stablecoin with Ava Labs and Fireblocks
Financial giant Sumitomo Mitsui Financial Group (SMFG), which operates Japan’s second-largest bank, SMBC, has announced the launch of its own stablecoin. The project is being implemented in collaboration with blockchain company Ava Labs (creators of Avalanche) and crypto custodian Fireblocks.
Testing of the new digital currency is scheduled for the second half of 2025, with a full launch expected in 2026. SMBC stated that the token will be backed by fiat reserves and intended for use in both retail payments and interbank transfers.
The technical infrastructure will be provided by Ava Labs, while Fireblocks will handle the development of the management system and secure storage of the digital asset. Japanese IT company TIS has also joined the project and will offer local technical support during the testing phase.
Gemini and SEC Request Delay: Settlement May Be Near
Crypto exchange Gemini and the U.S. Securities and Exchange Commission (SEC) have filed a joint motion in court, requesting a 60-day delay to explore the possibility of a peaceful settlement of their legal dispute.
The SEC originally filed its lawsuit in 2023, alleging that Gemini unlawfully offered unregistered securities through its Gemini Earn program. Users of the Earn program were promised returns of up to 8% annually on their crypto deposits. However, after the collapse of partner company Genesis Global Capital in November 2022, payments were halted. The total debt owed to Gemini clients was around $900 million.
In February 2024, the platform agreed to return $1.1 billion to Earn investors as part of a settlement with New York state regulators. Later, Gemini stated that it planned to repay 100% of users’ assets, which amounted to $2.18 billion at the time of the agreement.
The filing of a joint motion with the SEC suggests a potential softening of the regulator’s position and the likelihood of an out-of-court resolution.
Fidelity Launches Crypto Investments via Retirement Accounts
Financial giant Fidelity Investments has introduced a new investment product that allows U.S. citizens to buy and store cryptocurrency within retirement accounts. At launch, users will have access to Bitcoin (BTC), Ethereum (ETH), and Litecoin (LTC). All assets will be held in cold wallets managed by Fidelity itself.
This product launch marks an important step toward the institutionalization of crypto. It allows millions of Americans to diversify their retirement portfolios with digital assets without relying on third-party platforms.
Stock Market Loses Trillions, Gold and Bitcoin in the Spotlight
Following a recent speech by Donald Trump, the U.S. stock market has experienced significant losses. Over two days, investors lost an estimated $4 to $5 trillion in market capitalization. In this environment of uncertainty, investors have begun seeking safe-haven assets.
As a result, gold is once again emerging as a safe harbor, showing upward momentum. Bitcoin, despite market pressure and corrections, remains above the $80,000 mark per coin. This indicates sustained interest in digital assets as an alternative to traditional investments.
The cryptocurrency market remains at the intersection of uncertainty and innovation. While some players are still dealing with the consequences of past decisions, others are paving the way for new opportunities. The launch of SMBC’s stablecoin, institutional initiatives by Fidelity, and the efforts to resolve the SEC-Gemini dispute all signal the continued maturation of the industry. In the coming months, it will be especially important to monitor the actions of regulators and institutional investors, as they will shape the future direction of the market.
