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BITCOIN EXCEEDS $105,000 AGAIN
Bitcoin just returned to a 2025 high, surpassing the $105,000 threshold on Friday and erasing a drop that took it below $90,000. The rally is fueled by hopes that President-elect Donald Trump will flip America’s crypto script once he is sworn in on Monday.
Trump’s crusade promises included turning the United States into a global crypto leader, with a national bitcoin inventory, a radical break from the Biden administration’s crackdown. Reportedly, it is a decree to claim virtual assets as a political priority and create an advisory board comprised of industry experts.
Trump has temporarily become the crypto world’s most productive new friend, raising donations from Circle, Ripple, and other major corporations for his inaugural committee. There will even be a “Crypto Ball” in Washington on Friday, a sign that the industry’s influence on Capitol Hill has never been stronger.
XRP REACHES NEW ALL-TIME HIGH
XRP, the token connected to Ripple Labs and the third-largest cryptocurrency, rose nearly 40% this week to a record high of $3. 4, eclipsing the performance of all other primary virtual assets this month. Its market capitalization is now around $190 billion. , driven by optimism that the Trump administration would possibly adopt more favorable crypto policies.
Ripple CEO Brad Garlinghouse recently told the New York Times that he had dinner with Trump at Mar-a-Lago and encouraged the creation of a cryptocurrency federal reserve, adding that XRPArray Ripple introduced RLUSD, a new stablecoin on XRP Ledger and Ethereum. Talk about doubling down.
San Francisco-based Ripple Labs was sued in 2020 by the SEC, which claimed the company was offering unregistered securities. A U.S. district court ruling found that XRP is considered a security when sold to institutional investors but not to retail investors, which the crypto industry viewed as a partial win. The SEC is appealing the decision, but with a more crypto-friendly SEC chair expected to take the helm, that appeal’s future might be shaky.
COINBASE TAKES ANOTHER TWIST TO BITCOIN PROTECTED LOANS
Coinbase once again opened the door to bitcoin-backed loans. US consumers (except those in New York) can now borrow up to $100,000 in stablecoins (USDC), a Morpho lending protocol on Base, a blockchain developed through Coinbase.
Your bitcoin is wrapped in “cbBTC,” sent to Morpho, and then USDC appears in your Coinbase account. All in less than a minute, supposedly, with popular DeFi warnings: those loans will have to be overcollateralized and interest rates will replace with market fluctuations. If your loan reaches 86% of the cost of your collateral, your bitcoin may be liquidated to cover the remarkable balance and a penalty. But for unwavering Bitcoiners, it might be worth it. Sell now – when Bitcoin has risen 146% over the last year, it would mean triggering a fiscal event.
Coinbase attempted a version of this in 2020 with its lending program, to differentiate it from retail consumers in 2023, when it failed to gain traction. This new edition adds some flavor to DeFi, with plans to expand collateral types and open up to more markets.
SOMEWHERE ELSE:
Pension Budget Jumps into Cryptocurrencies After Bitcoin Rally [Financial Times]
Some U. S. Banks Brace for Crypto Corporations [The Information]
Crypto industry throws party in Washington for Trump [Bloomberg]
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