Daily analysis by Tyler Warner. Views are personal and not representative of Decrypt. Discover our daily news show, available on Apple Podcast or Spotify.
According to the Financial Times, Iran has mandated that oil tankers pay $1 per barrel via cryptocurrency, specifically Bitcoin, for passage through the Strait of Hormuz over a two-week period. Ships must submit cargo details electronically to Iranian authorities, who will then assess fees and outline payment procedures, with Bitcoin payments highlighted as acceptable. A fully laden supertanker could incur costs nearing $2 million.
Interpreting this scenario is complex. On one side, it’s bullish that a country has accepted Bitcoin for such transactions, potentially undermining the US petrodollar. Conversely, given Iran’s status and its role akin to a tollbooth on a crucial maritime route, it might not represent an optimal use case, especially from one of the world’s most sanctioned entities.
Regardless, this could set an intriguing precedent if implemented.
Morgan Stanley’s Bitcoin ETF marked $33.9 million in trading volume on its launch day, showing promise despite entering during a ceasefire rally without prior momentum. Launched on NYSE Arca with the industry’s lowest 0.14% fee, MSBT contributed to Wednesday’s total spot Bitcoin ETF volume hitting $2.4 billion. BlackRock’s IBIT accounted for $1.93 billion of this, and Fidelity’s FBTC added $212 million. Despite these gains, the day concluded with net outflows amounting to $125 million.
The White House Council of Economic Advisers published a 21-page report on Wednesday, determining that banning stablecoin yield could only boost bank lending by approximately $2.1 billion – essentially negligible at 0.02% of total US lending. The net welfare cost: $800 million.
This contradicts the banking lobby’s argument, which was scrutinized using a formal economic model by presidential economists. The report suggests achieving an additional $531 billion in lending from such a ban would require combining three improbable assumptions, labeled as “implausible” by the White House.
Timing is crucial. The Clarity Act has been stalled in the Senate due to this debate – banks advocating for banning stablecoin yield against resistance from Coinbase and the crypto industry. The White House’s findings challenge the banks’ stance, potentially advancing the bill towards passage.
The New York Times released an 18-month probe identifying Adam Back as a likely Satoshi Nakamoto candidate.
Journalist John Carreyrou, known for uncovering the Theranos scandal, supports this through three main arguments. Despite denial from Back before and after publication, including on X, verification remains elusive without signing a message with the private keys of the genesis wallet – an unlikely event.
The Nicholas Bitcoin and Treasuries “AfterDark ETF” launched on NYSE Wednesday. It shifts holdings from US Treasuries to Bitcoin exposure post-4:30 PM ET, capitalizing on overnight trading gains. This strategy is backed by research indicating most Bitcoin gains occur outside US hours, particularly in Asian and European markets.
Following its launch, Trump’s ceasefire announcement at 6:32 PM ET coincided with a Bitcoin rally from below $68,000 to $72,700 during after-hours trading – a gain missed by standard ETF investors. The AfterDark ETF was designed for such opportunities.