News Roundup — Tether Co‑Founder’s Stablecoin USST Depegs Hours After Launch

Major news stories this week:

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1. Tether Co‑Founder’s Stablecoin USST Depegs Hours After Launch
2. EU eyes crypto oversight under ESMA to end fragmented supervision
3. Bybit snags UAE’s Virtual Asset Platform Operator License
4. A7A5 Becomes Top Non‑Dollar Stablecoin
5. BlackRock’s 800,000 BTC Haul, PayPay’s 40% Stake in Binance Japan & More

Story Summaries:

1. USST, a new stablecoin from a Tether co-founder, lost its peg hours after launch, slipping to ~$0.96 before recovering slightly. With minimal liquidity and just over 50 holders, the depeg highlighted critical risks around incentive design and governance token dependency in emerging stablecoins.
2. The European Securities and Markets Authority (ESMA) may soon take direct control over crypto regulation across the EU. This shift, enabled by the MiCA framework, is designed to eliminate fragmented oversight by individual countries, bringing consistency to licensing and enforcement.
3. Bybit has become the first crypto exchange to secure a full Virtual Asset Platform Operator License from the UAE's SCA. The license grants access to nationwide services beyond Dubai, positioning Bybit for deeper regional expansion with a new HQ in Abu Dhabi and plans to hire 500+ employees.
4. Ruble-pegged stablecoin A7A5 skyrocketed 250% in one day, becoming the largest non-dollar stablecoin at $500M market cap. Its rapid rise has drawn scrutiny due to links with sanctioned Russian entities, raising questions about regulatory loopholes and potential EU countermeasures.
5. BlackRock reportedly increased its Bitcoin holdings to ~800,000 BTC, signaling stronger institutional interest in crypto. Meanwhile, PayPay (a SoftBank company) acquired a 40% stake in Binance Japan, and JPMorgan weighed in on Solana ETF inflows, highlighting a cautious but steady trend in mainstream adoption.

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And that’s all for last week’s news! Wishing you a great week ahead!

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