Today in crypto: Hong Kong staking rules now in force

Hong Kong opens doors to staking as Asia crypto push continues

As global markets reel from economic uncertainty, Hong Kong is pushing ahead with plans to become Asia’s crypto capital.

In a keynote speech at the Web3 Festival in Hong Kong, SFC Executive Director Christina Choi confirmed that licensed platforms will now be permitted to offer staking services. The move signals yet another step in Hong Kong’s efforts to build a regulated digital asset hub.

The framework requires licensed platforms to gain SFC approval before offering staking and mandates full risk disclosures to users, including slashing penalties, unstaking durations, and smart contract vulnerabilities.

Hong Kong was the first jurisdiction in Asia to approve spot Bitcoin and Ethereum ETFs last year. With the city’s crypto ETF market expected to reach $700 billion by the end of 2025, this new staking rule aims to broaden investor access while keeping regulatory oversight tight.

Choi likened blockchain’s potential to the early days of floppy disks and webw. “Just as the floppy disk transformed how we stored information, blockchain has the potential to rewrite the rules of finance,” she said.

McGregor’s crypto token flops, refunds issued after auction fails

A celebrity-powered token launched by UFC fighter Conor McGregor has failed to reach its minimum raise, resulting in full refunds for all investors.

Developed by Real World Gaming DAO (RWG), the “REAL” token raised just $392,000 of its $1 million target during a 28-hour sealed-bid auction. McGregor reposted the refund announcement on X, writing, “Ladies and gentlemen, this is REAL!”

The project cited “challenging macroeconomic conditions” and the distracting rise of memecoins as reasons for pausing the launch. On-chain data confirmed that refunds were successfully processed via USDC on Ethereum.

Despite efforts to distinguish the token as a “real game changer,” industry observers say the failure highlights investor fatigue with celebrity-led crypto ventures – especially as the broader market reels from the economic impact of Trump’s new tariffs.

CoinGecko data shows the memecoin market has fallen by over 10% in recent weeks, with a total market cap now hovering around $44.5 billion – less than half its January peak.

Trump tariffs spark selloff fears as Bitcoin slides below $80K

Markets are bracing for a turbulent start to the week after U.S. stock futures plunged Sunday night, raising concerns of a 2025-style “Black Monday” event. Cryptocurrency markets followed suit, with Bitcoin slipping below $80,000 and nearly $900 million in crypto positions liquidated within 24 hours.

As of 10 p.m. Eastern Time on Sunday, S&P 500 futures had dropped 5.98%, while the Nasdaq 100 fell 6.2% and Dow futures dropped 5.5%. In Asia, Japan’s Nikkei 225 plunged nearly 9%, and Taiwan’s market saw a 10% decline as circuit breakers were triggered for major stocks including TSMC and Foxconn.

The Kobeissi Letter, a well-followed macro newsletter, described the market mood as entering a fear-driven phase: “Even the safe havens are getting dumped.” Gold briefly fell under $3,000, while volatility index futures exceeded their August 2024 highs.

Retail investors sold a record $1.5 billion in equities during a brief 2.5-hour window on Friday, and institutional outflows from U.S. stocks reached their highest levels in years. The AAII sentiment survey showed bearish sentiment at 61.9% – the third-highest level ever recorded.

Market watchers now await Monday’s U.S. market open and fresh inflation data later in the week. The question is no longer if the market will react, but how sharply.

Schiff slams Trump’s Bitcoin push as crypto market unravels

Longtime Bitcoin skeptic Peter Schiff says the cracks are finally showing in crypto – and he's placing the blame squarely on the Trump administration.

In a post on X, Schiff said he misjudged how damaging Trump’s crypto agenda would be. “I thought the dumbest thing Trump would do was establish a Strategic Bitcoin Reserve. I was wrong,” he wrote.

Schiff pointed to tumbling markets and rising liquidations – including $300 million from Bitcoin positions alone – as signs of systemic risk. He also called out Trump’s memecoin, $TRUMP, which has dropped 89% from its January high and fell another 13.6% in the past 24 hours.

The Euro Pacific founder has consistently warned that government crypto involvement could lead to catastrophic losses for retail investors. Today’s market moves appear to reinforce that view.

PayPal adds Solana and Chainlink to crypto lineup

In contrast to the market turmoil, PayPal continues to roll out new features in its crypto strategy. The payments giant announced that users can now buy, hold, and transfer Solana and Chainlink – both among the top 15 cryptocurrencies by market cap – across its PayPal and Venmo platforms.

The expansion follows previous support for Bitcoin, Ethereum, and PayPal’s own PYUSD stablecoin.

“Offering more tokens gives our users greater flexibility and access to the evolving digital asset landscape,” said May Zabaneh, VP of product for blockchain and digital currencies at PayPal.

The company says access to the new coins will roll out in-app over the next few weeks. This follows partnerships with MoonPay and integration of the Ethereum Name Service into Venmo, part of a broader effort to increase crypto adoption among mainstream users.

Despite market volatility, PayPal’s strategy suggests confidence in the long-term growth of regulated digital assets – particularly those with real-world utility.