In Markets
Bitcoin hit a new all-time high of A$172,367 / US$111,970 on Bitcoin Pizza Day last Thursday. The day commemorates the first trade of 10,000 BTC for two pizzas in 2010, an amount now worth A$1.7B (US$1.1 billion). Unfortunately, President Donald Trump then killed any momentum with his threat to impose tariffs of 50% on goods coming out of the European Union. Shortly after that, he postponed the tariffs until July 9 to give the EU time to negotiate. The Crypto Fear and Greed Index is at 73, or Greed.
From the OTC desk
New Bitcoin milestones
Bitcoin (BTC/USD) soared to a record high of US$111,740, driven by momentum from the previous week and bolstered by Texas passing a Strategic Bitcoin Reserve bill on May 20 (now awaiting governor signature). However, the rally met resistance as markets reacted to U.S. President Donald Trump’s proposed 50% tariffs on European goods and 25% tariffs on iPhones. The announcement initially triggered a sell-off, but sentiment improved when the tariffs were delayed, leading to a recovery in equities. Dow Futures gained 400 points, reflecting renewed investor confidence.
Bond yields yielding
Demand for long-term government debt weakened significantly. In the U.S., the Treasury sold US$16 billion in 20-year bonds at a yield of 5.047%, indicating softer demand amid concerns over inflation and fiscal policy. In Japan, bond yields spiked after Prime Minister Shigeru Ishiba warned that Japan’s financial health was worse than Greece’s. The 30-year Japanese government bond (JGB) yield hit a record 3.14%, while the 40-year yield reached 3.6% following a poorly received auction.
Real estate goes crypto in Dubai’s tokenisation push
Dubai unveiled an innovative Real Estate Tokenization Platform, aiming to tokenise 7% of its property market by the end of 2033. The platform allows investors to purchase fractional ownership in Dubai real estate, with entry prices starting at US$540. Initially, only UAE cardholders can participate, marking a significant step toward democratising property investment through blockchain technology.
OTC desk activity
- Increased profit-taking was observed during Bitcoin’s rally, as investors capitalised on the new highs.
- Notable off ramping of stablecoins occurred throughout the week.
Key economic calendar events (AEST)
- Thursday, 29 May, 4:00 AM: US FOMC Minutes Release
- Thursday, 29 May, 10:30 PM: US GDP Growth Rate QoQ (Consensus: -0.3%)
- Friday, 30 May, 8:30 PM: India GDP Growth Rate YoY (Consensus: 6.7%)
- Saturday, 31 May, 11:30 AM: China NBS Manufacturing PMI (Consensus: 49.5)
For any further information, please feel free to reach out.
In Headlines
Japanese economy driving funds to Bitcoin?
Bitwise’s head of European research, André Dragosch, believes Japan’s economic woes are driving inflows into Bitcoin. He pointed to a big spike in Japan’s long-term bond yields as highlighting concerns about sovereign credit, leading him to think: “Bitcoin is an immutable asset. It’s free of counterparty risk. It’s a hedge against sovereign risk and sovereign default”.
Big inflows to crypto products this year
CoinShares reports that globally, crypto funds (which include the US ETFs) saw a combined US$3.3 billion (A$5.1B) in inflows last week and that year to date flows have surpassed US$10 billion (A$15.4B). While most funds last week went to Bitcoin products, bullish sentiment around ETH saw it capture US$326 million (A$503M), its best result in 15 weeks. XRP products, however, saw their largest outflows to date with US$37.2 million (A$57.4M) exiting. Total crypto assets under management in financial products topped an all-time high of US$187.5 billion (A$289B).
Hong Kong stablecoin bill passed
Hong Kong’s Legislative Council has passed stablecoin legislation, which will help cement the territory as a global crypto hub. “It is expected that by the end of this year, major institutions will be able to apply to the Hong Kong Monetary Authority to become licensed stablecoin issuers,” Legislative Council member Johnny Ng Kit-Chong posted on X. Retail investors will be able to trade stablecoins that are backed by fiat currency as the underlying assets, with strict standards on reserves, redemptions and anti-money laundering practices.
US banks may team up to issue a stablecoin
Major US banks are reportedly discussing teaming up to issue a joint stablecoin to fend off competition from the crypto industry. JPMorgan Chase, Bank of America, Citigroup, and Wells Fargo are some of the big names linked to the plan. The Wall Street Journal reports the banks are playing catch-up to the changed regulatory landscape, after two years in which regulators tried to stamp out the industry. The GENIUS stablecoin act is currently being considered by the US Senate, focusing its attention on the sector.
Sui exploit sees validators freeze stolen funds
The Cetus decentralised exchange on the Sui blockchain was hit by an exploit this week that drained more than US$220 million (A$339M) in crypto. Coin prices on the network took a steep dive, and the Sui validator community then coordinated to freeze US$162 million (A$250M) in stolen funds. Echoing the debates over the controversial response to The DAO hack on Ethereum back in 2016, the freezing of funds caused many to question just how decentralised and censorship-resistant the network is.
Pseudonymous crypto investigator Matteo, however, argued that decentralisation “isn’t about standing by while people get hurt, it’s about the power to act together, without needing permission.” Cetus has offered a bounty of US$6 million (A$9.25M) for the return of the stolen funds. Sui is one of the projects that emerged out of the research and development from Facebook’s ill-fated stablecoin project.
Concerns grow over Trump’s crypto dealings
Thirty-five members of the US House of Representatives have signed a letter calling on the Justice Department to investigate President Trump throwing a dinner this week for 220 top memecoin investors who have bought US$148 million (A$228M) worth of TRUMP between them. The letter cited concerns about “foreign influence over US policy decisions” and “potential corruption and emoluments clause violations”, and claimed the Trump family has earned US$320M (A$493M) in trading fees from the project.
Trump spoke at the event in front of a lectern featuring the official presidential seal, which may also violate federal laws. The dinner attendees included Tron founder Justin Sun, ex-NBA player Lamar Odom, and Asian crypto executives Sangrok Oh and Vincent Liu. The hundreds of millions tipped into the memecoin were not reflected in the quality of the food served, according to some unhappy attendees.
Aussie senator tips $1 million Bitcoin price
Conservative Australian senator Gerard Rennick has predicted Bitcoin will go to $1 million… but only because he believes it’s “a Ponzi scheme whereby BlackRock will pump more and more dollars into a supply-constrained product.” The former Liberal Senator who formed his own party called People First, also says anyone who thinks Bitcoin is the answer to Australia’s monetary problems is wrong because it’s not a productive asset and “you can’t eat Bitcoin.”
The comments caused a minor kerfuffle online, with the Australian Bitcoin Industry Body (ABIB) saying the comments show the deep misunderstanding of Bitcoin among lawmakers. “This matters, because misunderstanding leads to misrepresentation. And misrepresentation leads to bad policy,” it said. The Albanese Government has committed to releasing draft legislation on crypto regulations this year.
From fringe to foundation
In Portfolio’s May issue, Lasanka Perera, CEO of Independent Reserve Singapore, shared his views on the growing legitimacy of digital assets, the evolving regulatory landscape, and how investor sentiment is shifting toward long-term crypto adoption. He highlighted the role of institutional interest, regulatory milestones like the approval of Bitcoin ETFs, and Singapore’s strategic position as a hub for digital finance.
Independent Reserve Cryptocurrency Index (IRCI) Singapore 2025
Now in its fifth year, the Singapore edition of the Independent Reserve Cryptocurrency Index (IRCI) 2025 surveyed an unbiased sample of 1,500 everyday Singaporeans in February 2025, designed to represent the nation. Some of the findings of this research included that 94% of Singaporeans are aware of at least 1 type of crypto, 68% of crypto investors hold Bitcoin, and 23% believe Bitcoin will surpass $250,000 by 2030. Perhaps unsurprisingly, over half (57%) of crypto owners are confident that crypto will gain mainstream adoption.
Singapore and Malaysia build blockchain bridge
SGTraDex, Singapore’s national trade data exchange and MYEG, Malaysia’s e-government and digital services provider, have signed an MoU to link Zetrix and TradeTrust, aiming to digitise cross-border trade and enhance data transparency between the two nations. The partnership supports regional goals like the ASEAN Digital Economy Framework Agreement (DEFA) by enabling verifiable electronic records and interoperable digital infrastructure. Both countries emphasised the move as a significant step towards a digitally unified ASEAN, and paving the way for broader integration with China and Gulf Cooperation Council (GCC) countries.
The Moonshot Dispatch
In case you missed it, we’ve also launched The Moonshot Dispatch, the live version of this weekly market update. The Moonshot Dispatch broadcasts live every Tuesday afternoon, and is available on LinkedIn, YouTube, Instagram, TikTok, and X.
Until next week, happy trading!
