Encryption

US banks allowed to manage crypto on customers’ behalf

US banks are now allowed to manage crypto assets on behalf of their customers. The US Office of the Comptroller of the Currency (OCC) confirmed that banks can buy, sell, and hold crypto in custody. They can also outsource certain services, such as custody and execution, to third parties.

Acting Comptroller Rodney Hood stated that financial institutions could also provide tax reporting, record-keeping, and sub-custody services. These services must comply with legal and risk management guidelines.

The decision marks a shift towards integrating crypto into traditional banking systems, with over 50 million Americans now holding digital assets.

Industry experts have welcomed the OCC’s move. Katherine Kirkpatrick Bos of StarkWare said it signals a shift in the OCC’s stance, while Coinbase’s Faryar Shirzad praised the regulatory clarity.

The change comes amid the Trump administration’s more crypto-friendly approach, which includes reversing previous restrictions on banks’ crypto activities.

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G7 to address North Korea’s role in major crypto hacks

Leaders of the Group of Seven (G7) nations are set to tackle North Korea’s ongoing cyber threats, particularly its involvement in large-scale cryptocurrency hacks.

The agenda will reportedly focus on the regime’s use of stolen crypto funds to finance weapons programmes. The issue has raised international concern over global security risks.

The summit, hosted by Canadian Prime Minister Mark Carney from 15 to 17 June in Alberta, is expected to address geopolitical challenges, including North Korea’s tightening alliance with Russia. Such ties have further complicated attribution of attacks and enforcement of sanctions, experts warn.

Investigations have linked North Korean hackers, notably the Lazarus Group, to major crypto heists. These include the $622 million Axie Infinity breach and February’s $1.4 billion Bybit attack. Analysts believe other cyber units are also active, making digital asset protection a growing priority.

The G7, comprising France, Germany, Italy, Japan, the UK, the US and Canada, aims to strengthen coordination against cybercrime. It also seeks to limit the regime’s ability to exploit the crypto ecosystem for hostile purposes.

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Bitcoin advisor to Trump launches new investment company

David Bailey, the CEO of BTC Inc. and a senior crypto adviser to Donald Trump, has raised $300 million to launch a publicly traded Bitcoin investment firm.

The venture, called Nakamoto, is named after Bitcoin’s mysterious creator and will focus on acquiring and holding the cryptocurrency.

The funding includes $200 million in equity and $100 million in convertible debt. Plans for a merger with an already-listed Nasdaq firm are in place.

An official announcement is expected next week, and the public listing is likely to follow this summer. Nakamoto also plans to use Bitcoin as capital to invest in businesses worldwide, including Brazil, Thailand, and South Africa.

The approach mirrors moves by other crypto investment giants such as Michael Saylor’s Strategy and Jack Mallers’ Twenty One. The firm positions itself as offering institutional credibility with the potential for strong growth, appealing to investors seeking direct exposure to Bitcoin through the stock market.

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WhatsApp scam sees fraudsters impersonate loved ones

Parents and friends are being targeted by fraudsters using WhatsApp and text messages to impersonate loved ones in urgent need. Criminals often claim the sender has lost their phone and cannot access their bank account, pressing recipients to transfer money swiftly.

The scams are growing more convincing, with AI voice impersonation now used to create fake voice notes. Scammers may pose as children, friends, or even parents, and typically request payments to unfamiliar accounts.

They discourage verification and apply pressure, asking for help with rent, phone replacements, or emergency bills. Santander reports that fraudsters impersonating sons are the most successful, followed by daughters and mothers.

Experts advise contacting the supposed sender directly and establishing a family password to confirm identities in future. Victims who transfer money should alert their bank immediately, report the scam through messaging apps or to Action Fraud.

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Tether adds Chainalysis tools to enhance crypto compliance

Tether has partnered with Chainalysis to integrate its compliance and monitoring tools into the Hadron by Tether platform. The collaboration will provide users with advanced risk detection and real-time transaction monitoring, helping institutions meet regulatory requirements.

The move is part of a wider trend of increased oversight in the crypto industry.

Hadron by Tether, launched in November 2024, enables institutions, governments, and corporations to tokenise real-world assets like financial instruments and real estate. The platform has seen a surge in adoption, with the real-world asset (RWA) market growing by 10.5% in the past month.

Tether’s CEO, Paolo Ardoino, highlighted that this integration would provide institutional-grade compliance without compromising decentralisation.

Chainalysis is known for its security tools and blockchain data platform. It will now support Hadron users with risk detection, real-time transaction monitoring, and Know-Your-Transaction (KYT) services.

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Investors turn to gold and Bitcoin during global instability

Gold and Bitcoin increased as investors waited for the Federal Reserve’s next move. At the same time, rising global tensions and trade worries kept markets on edge.

Spot gold rose 0.7% to $3,357 per ounce on Tuesday, driven by safe-haven demand. US gold futures added 1.3%, supported by fresh interest from Chinese investors. Central banks also continued moving away from the dollar, boosting gold’s appeal.

Bitcoin hovered near February highs, trading around $97,500. Markets remain sensitive to dovish signals that could lift Bitcoin closer to its previous peak near $100,000.

The Federal Reserve is expected to keep interest rates steady between 4.25% and 4.50%. Investors are closely watching for signs of whether persistent inflation and slowing consumer demand will delay potential rate cuts expected later this year.

Tensions flared after a Houthi missile landed near Tel Aviv, leading to Israeli strikes in Yemen. At the same time, Trump’s new tariff plans rattled trade nerves. Even so, Bitcoin stayed strong, fuelled by ETF demand and rate cut hopes.

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South Korea’s presidential race embraces crypto as a key issue

South Korea’s presidential race is turning towards cryptocurrency, with former labour minister Kim Moon-soo as the People Power Party’s candidate for the 3 June election. Reports say 16.3 million South Koreans own crypto assets, based on linked wallets and bank accounts as of February 2025.

Crypto is expected to be a major issue in the election, with both leading parties pledging policies to boost the sector.

Kim’s recent proposal to allow government bodies like the National Pension Service (NPS) and the Korea Investment Corporation (KIC) to invest in virtual assets has attracted attention.

He believes that integrating crypto into the national economy will enhance the market’s reputation and stability, especially for younger investors.

Additionally, Kim expressed his commitment to institutionalising the crypto industry to prevent financial losses for inexperienced traders.

Both the People Power Party and the opposition Democratic Party have laid out crypto-focused plans. While many in the crypto industry are encouraged by these policies, there remains scepticism over whether past promises will be fulfilled.

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Microsoft drops passwords in Authenticator app to support passkeys

Microsoft has announced that its Authenticator app will stop supporting the saving of new passwords from 1 June, with autofill features to be removed in July. By August, users will no longer have access to any passwords stored in the app.

The decision marks a shift in Microsoft’s focus from app-based password management to browser-based solutions, particularly via Microsoft Edge.

The company recommends that users move their saved passwords to a dedicated password manager or the Edge browser immediately.

Instead of continuing to develop Authenticator as a full password manager, Microsoft is encouraging users to adopt passkeys—digital credentials that offer stronger security.

Passkeys use cryptographic keys stored locally on devices, making them much harder to steal or guess compared to traditional passwords.

Microsoft insists this change is part of a broader push to phase out outdated password systems in favour of safer, faster authentication methods.

Security experts support this move but caution users to take immediate action to prevent losing access to important logins.

Microsoft itself admits that Authenticator was never a proper password manager in the traditional sense, and that dedicated apps such as 1Password or Apple’s built-in password tools provide better options for storing credentials securely.

Users should ensure they export or migrate their stored information well before the August cutoff.

A change like this also reflects Microsoft’s alignment with industry trends, alongside Apple and Google, to accelerate the adoption of passkeys.

The company argues that with attackers increasingly exploiting weak or reused passwords, replacing them altogether with newer technology is not just advisable—it’s essential.

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Tether plans US-based stablecoin launch by 2025

Tether is set to launch a US-based, dollar-pegged stablecoin, according to CEO Paolo Ardoino. The stablecoin, expected by the end of this year or early 2025, will be separate from the company’s existing international products.

Ardoino’s push for the US launch comes amid his active lobbying efforts in Washington, DC, where he has met with lawmakers, including Senator Bill Hagerty.

His advocacy aligns with the GENIUS Act, which could support foreign stablecoin issuers that cooperate with law enforcement.

Despite facing regulatory challenges in the past, Tether now claims $120 billion in US Treasuries and $5.6 billion in excess reserves.

The firm’s US expansion comes as Eric and Donald Trump Jr. also plan to launch a dollar-backed stablecoin, potentially igniting a competitive race in the domestic stablecoin market.

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Ghana plans to regulate digital assets with new legislation

Ghana’s central bank is set to regulate the digital asset space later this year, pending the passage of key legislation. Governor Johnson Asiama announced at the African Leaders and Partners Forum during the IMF-World Bank Spring Meetings in Washington.

He stated that the Bank of Ghana (BoG) is committed to fostering digital asset adoption while ensuring consumer protection through appropriate regulation.

The proposed Virtual Asset Providers Act, currently under review by parliament, will give BoG oversight authority over virtual asset service providers (VASPs), requiring them to obtain a licence. The law also aims to prevent illicit crypto use, ensure financial stability, and protect consumers.

Additionally, the Securities and Exchange Commission (SEC) will play a role in regulating the sector.

Once the legislation is passed, the Bank of Ghana plans to establish a dedicated digital asset unit. Despite the absence of regulation, Ghana has already seen considerable uptake of digital assets. Approximately 3.1 million Ghanaians own digital assets, equating to 17% of the population.

The country ranks fourth in Africa for crypto interest, trailing Nigeria, South Africa, and Kenya.

In addition to digital asset regulation, Ghana is pushing forward with the launch of its central bank digital currency (CBDC), the eCedi. Asiama said the digital currency will modernise payments, protect sovereignty, and support digital transformation for Ghana’s youth.

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