(MENAFN- The Rio Times) Crypto's center of gravity shifted from price to policy this week. U.S. and U.K. authorities mounted the largest-ever joint action against a Southeast Asian scam empire, while the Bank of England and Japan's three megabanks outlined concrete stablecoin paths.

Infrastructure headlines mattered too: 21Shares' Solana ETF advanced a key filin even as the SEC's shutdown-limited operations stalled launches, Ethereum's“Fusaka” stayed on schedule, and one jaw-dropping stablecoin mint-and-burn highlighted operational risk.

Flows whipsawed: after last week's records, spot crypto ETFs saw midweek outflows as volatility lingered. Compliance and enforcement set the tone, with Roger Ver's deal underscoring the tax-enforcement baseline for early adopters.
1. U.S.–U.K. operation targets Prince Group; DOJ moves to forfeit about 127,271 BTC (Oct 14)
Event: Prosecutors unsealed charges against Prince Group founder Chen“Vincent” Zhi and filed the largest U.S. crypto forfeiture case, alongside Treasury sanctions on 146 targets and a FinCEN action against Huione Group.

Summary: The case links crypto crime to forced-labor“scam compounds” and sets a new scale for coordinated enforcement.
2. Bank of England signals per-user stablecoin caps will stay-for now (Oct 15)
Event: The Bo said proposed limits on how much stablecoin individuals and firms can hold (e.g., £10k–£20k) will only be lifted once systemic risks are better contained.

Summary: The U.K. is leaning toward cautious, bank-grade controls as stablecoins inch toward the mainstream.


3. Japan's three megabanks plan a joint stablecoin standard and issuance (Oct 17)
Event: MUFG, SMFG, and Mizuho will issue interoperable stablecoins, starting with a yen coin and potentially a dollar coin, under shared technical and legal standards.

Summary: Japan's biggest banks are moving stablecoins from pilot to production for corporate clients.
4. Roger Ver resolves U.S. tax case with deferred-prosecution deal, pays nearly $50 million (Oct 14)
Event: The DOJ said Ver entered a deferred-prosecution agreement and paid back taxes, penalties, and interest approaching $50 million; the indictment will be dismissed if he complies.

Summary: The agreement reinforces that tax compliance remains non-negotiable for early crypto fortunes.
5. Paxos accidentally mints-and burns-300 trillion PYUSD; Aave briefly freezes markets (Oct 15–16)
Event: A fat-finger internal transfer minted 300 trillion PYUSD before a rapid burn; Aave paused then unfroze PYUSD as a precaution after Paxos called it a technical error.

Summary: Stablecoin operational controls are now as critical as reserve backing.
6. 21Shares files Form 8-A12B for Solana ETF; SEC shutdown stalls S-1 approvals (Oct 15–16)
Event: Filings show 21Shares registered Solana ETF shares under the Exchange Act, a late procedural step; the SEC, constrained by the shutdown, isn't clearing new S-1s.

Summary: Paperwork advanced, but market-access timing still hinges on a fully operational SEC.
7. FCA backs tokenisation for asset managers, opening the door to public-chain models (Oct 14)
Event: The U.K. Financial Conduct Authority published a roadmap and consultation to support fund tokenisation, including guidance that could enable public-blockchain use cases.

Summary: Policy is tilting toward tokenised funds in mainstream asset management.
8. Spot crypto ETFs swing to midweek outflows after the prior week's records (Oct 14–16)
Event: Data trackers showed net outflows across several U.S. bitcoin and ether ETFs mid-week, even as BlackRock's IBIT posted isolated inflows.

Summary: Flows remain sensitive to macro and policy headlines, with leadership concentrated in a few funds.
9. Ethereum“Fusaka” stays on schedule with Sepolia test and Oct 28 Hoodi rehearsal set (Oct 14–16)
Event: Developers confirmed the second test phase on Sepolia and targeted Hoodi for Oct 28 ahead of a December mainnet timeline.

Summary: PeerDAS and throughput improvements keep medium-term L2 cost reductions in view.
10. SEC questions ultra-leveraged ETF proposals amid shutdown-curtailed reviews (Oct 16)
Event: An SEC official said approvals for 3x–5x products are uncertain and reviews are on hold during the shutdown.

Summary: Leverage limits and operational constraints could delay new crypto-adjacent ETFs.

MENAFN18102025007421016031ID1110213926