A renewed sense of optimism has returned to the cryptocurrency ecosystem on July 26 as Bitcoin’s (BTC) recovery above $38,900 has sparked a market-wide rally in the altcoins. Data from Cointelegraph Markets Pro and TradingView shows that the top movers over the past 24 hours are Amp (AMP), Venus (XVS) and Reserve Rights (RSR). Five out of the top seven gainers fall into the decentralized finance (DeFi) sector, a possible sign that DeFi may be heating up for another major run in 2021. AMP/USD The top performer over the past 24-hours has been Amp (AMP), a digital collateral token protocol …

There will be an official audit of the world’s most popular stablecoin, Tether (USDT), within months, according to the project’s general counsel. An audit for the world’s third-largest digital asset has been awaited for several years, and increased regulatory pressure appears to have accelerated the process. In a rare mainstream media interview on CNBC, Tether chief technology officer Paolo Ardoino and general counsel Stuart Hoegner were asked some pressing questions on the subject of USDT’s backing and transparency. Hoegner responded to the question by saying: “We are working towards getting financial audits, which no one else in the stablecoin sector …

Auditors working for Circle have disclosed the reserves backing the firm’s USD Coin (USDC) stablecoin, while Mad Money’s Jim Cramer has questioned Tether’s lack of transparency with its Tether (USDT) reserves. Multi-national tax advisory firm Grant Horton conducted the audit, and a reserve attestation report was published on Tuesday, which showed that 61% of USDC’s reserves were held in cash and cash equivalents equating to $13.4 billion as of May 28. Circle’s total commercial paper accounts for 9% of its reserves, and the figures provide a stark contrast to Tether’s reserves, in which undisclosed commercial paper accounted for 49.5% of …

American fintech giant Mastercard has announced plans to revamp its crypto card program, to enable traditional banks and crypto companies to offer cards to its users for transacting with digital assets. According to the official statement: “Mastercard and its partners will test this new capability to enable more banks and crypto companies to offer a card option to people wanting to spend their digital assets anywhere Mastercard is accepted.” This effort involves Mastercard partnering with crypto businesses to involve “cryptocurrency wallets and exchanges, making it simpler for partners to convert cryptocurrency to traditional fiat currency.” To allow exposure to cryptocurrency …

United States Treasury Secretary Janet Yellen has told financial regulators that the government must act quickly to establish a regulatory framework for stablecoins. The comments came at Monday's meeting of the President's Working Group on Financial Markets. The group discussed the rapid growth of stablecoins, revealing plans to issue regulatory recommendations in the coming months, according to Reuters. The group also deliberated on stablecoins as a means of payment, possible risks to end-users, and their broader impact on the U.S. financial system and national security. In February, Yellen warned that the misuse of crypto assets has been a growing problem …

Bitcoin (BTC) emerges into a new week with middling price action and optimistic fundamentals — what could the coming days have in store? Still holding $30,000 support, there’s little about Bitcoin to truly excite traders, but volatility has already reminded them of its presence over the past week. As a recovery in mining continues, everyone is playing a game of “wait and see” when it comes to the 2021 Bitcoin bull market. Cointelegraph takes a look at five things that might give BTC price action some direction in the short term. Dollar sees strength as stocks calm advance It’s a …

U.S. Secretary of the Treasury Janet L. Yellen announced plans to convene the President's Working Group on Financial Markets, or PWG, as well as the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation to discuss possible interagency work with regard to stablecoins. The meeting is set to take place on Monday July 19. Secretary Yellen said: “Bringing together regulators will enable us to assess the potential benefits of stablecoins while mitigating risks they could pose to users, markets, or the financial system. In light of the rapid growth in digital assets, it is important for …

Amid China’s cryptocurrency crackdown, souring investor sentiment and the United States Federal Reserve chairman blasting stablecoins, there hasn’t been much to cheer about on the crypto front lately, but Circle Internet Financial’s initial public offering announcement in mid-July showed that a crypto startup was still capable of attracting billions of dollars in fresh investments. Circle’s merger with Concord Acquisition Corp, a special purpose acquisition company, or SPAC, values Circle at $4.5 billion, and the combined entity is expected to debut on the New York Stock Exchange under the ticker CRCL before the end of the year. The merger/offering was generally …

Stablecoin usage lost steam amid the recent crypto market downturn. From peaking at nearly $2 billion on May 19, the daily transaction volume has fallen off its 2021 average by about 60%. The significant drop begs the question about stablecoin activity in the current market environment. Unsurprisingly, the two cryptocurrencies that remain in a tight race for stablecoin dominance are Tether (USDT) and USD Coin (USDC). However, the market holds a fine distinction between the two, particularly with their corresponding reserve holding. Credit rating agency Fitch Ratings even warned recently about Tether's risk triggering a destabilization in short-term credit markets, …

Japan is strengthening its efforts to regulate digital currencies on a global scale, with related government authorities reportedly looking to expand staff to impose stricter rules. Japanese regulators have expressed fresh concerns over the massive growth of the cryptocurrency market, particularly cautioning against stablecoins, Reuters reported on Friday. Tokyo is willing to engage with global financial regulators to develop stricter rules for private digital currencies, three Japanese officials reportedly said, adding that G7 and G20 group regulators have called for greater regulations for fiat-pegged stablecoins. “Japan can no longer leave things unattended with global developments over digital currencies moving so …

Jerome Powell, chairman of the Federal Reserve of the United States (Fed) told the House of Representatives today that stablecoins should face stricter regulations similar to money market funds or bank deposits. Powell was asked specifically about Tether (USDT), currently the most valuable stablecoin, by Representative Anthony Gonzalez (R-OH). Tether claimed that each coin was backed by a dollar, but that has been proven false. Rather, it is backed mostly by commercial paper or debts. Powell said most of the time those assets are very liquid, but during the recent financial crisis that wasn’t the case. He explained: "The market …

Ether (ETH) perhaps had the most bullish outlook entering the July session, with the Ethereum Improvement Proposal (EIP) 1559 promising to make ETH scarcer through the network’s first-ever burning mechanism. But so far into the month, the second-largest cryptocurrency by market capitalization has vastly tailed its top rival Bitcoin (BTC). The positive correlation was visible on Tuesday, following the New York opening bell when Ether plunged below $2,000 to hit a two-week low in sync with Bitcoin, which slipped below $32,500. As it happened, the ETH/USD exchange rate reached its intraday low of $1,961.10 following a 3.43% drop. The pair’s …