Coin360 Weekly Dispatch | Crypto Market Updates & Highlights | May 11 - May 17, 2025

Crypto Weekly Market Update

Table of Contents

Market Movements and Trends

• Crypto Weekly Recap

Key Developments and Major Headlines

• Nakamoto Holdings and KindlyMD Merge to Launch $710M Bitcoin Treasury Strategy
• Coinbase Data Breach Exposes Sensitive Information, $20M Ransom Demanded Amid SEC Scrutiny
• NXPC Token Surges After Binance Listing, Boosted by MapleStory Universe Hype and $2 Billion Trading Volume
• FTX to Distribute Over $5 Billion to Creditors in Second Payout on May 30

Bitcoin and Institutional Investments

• Bitcoin Surge: Saylor Expands Holdings, Coinbase Invests $150M, Metaplanet Tops El Salvador
• Goldman Sachs Boosts BlackRock Bitcoin ETF Stake to $1.4B; SEC Delays Solana ETF Decision

Exchange and Financial Developments

• Crypto and TradFi Converge: Major Mergers, Record Tokenization Moves, and IPO Success
• SEC Probes Coinbase Over User Claims; Ripple Settlement Denied; Major Crypto Crime Crackdown Continues

Global Regulatory Updates

• Global Crypto Developments: Gibraltar Launches Derivatives Framework, Panama Explores Bitcoin Reserve, and More

NFT and Web3 Sector Updates

• Yuga Labs Sells CryptoPunks IP to Infinite Node Foundation Amid Community Backlash
• Frank DeGods CEO Rohun Vora Resigns Amid Controversy; y00ts and DeGods Projects Thrive

Crypto Weekly Recap

Total crypto market cap: 3.22T

Crypto Fear & Greed Index: 74 (Greed)

BTC.D: 63.48%

Bitcoin:

• Weekly performance: -0.57%
• US Spot BTC ETFs: +$603.74M
• Bitcoin's price remained relatively unchanged this week.
• The May 12 US-China tariff pause lifted the market to $105.5K before a quick sell-off to $101.3K.
• USDT market cap exceeded $150B, but net supply growth stalled at +0.45% (DefiLlama).
• Corporations acquired 157,000 BTC in 2025, outpacing new supply by 3.3x with $16 billion in purchases.
• Bitcoin’s surge above $104K signaled a "high-risk, high-reward" zone as Glassnode noted rising active addresses and fees, though still below past bull markets.
• JPMorgan analysts projected bitcoin to outperform gold in H2 2025, citing increased corporate buying and state-level support. The debasement trade became a zero-sum game as bitcoin rose and gold declined.
• Bitwise CIO Matthew Hougan forecasted Bitcoin hitting $200,000 by 2025, driven by a supply shock from institutional demand. Accumulation between $93,000 and $95,000 was expected to offer support in a downturn.
• Key market indicators included the ongoing US tariff talks and on-chain accumulation trends.

Ethereum:

• Weekly performance: +2.96%
• US Spot ETH ETFs: +$41.59M
• ETH outpaced BTC this week, pushing addresses in profit to 60% from 32% last month.
• A May 13 bullish breakout drove ETH above $2,700, but profit-taking pulled it back to $2,500.
• Analysts linked Ethereum’s rise to growing institutional and retail interest in blockchain and stablecoin payments. April’s stablecoin volume hit a record $908 billion, underscoring Ethereum's dominance in dollar-denominated assets.
• A Fireblocks report revealed 90% of institutional players are using or planning to use stablecoins, based on a survey of 295 banking and fintech executives. 49% currently use them for payments, 23% are in pilot phases, and 18% plan adoption, indicating further potential.
• Experts anticipated consolidation between $2,400-$2,600 until macro catalysts emerge, with resistance at $3,300-$3,600.

Altcoins:

• PumpSwap announced plans to share 50% of revenue with meme coin creators.
• Anchorage Digital acquired Mountain Protocol as the stablecoin issuer phased out USDM.
• Global Dollar Network, backed by Paxos and Robinhood, added 19 members to boost adoption of its Solana-based USDG stablecoin.
• Uniswap became the first decentralized exchange to surpass $3 trillion in all-time volume.
• ZKsync and Matter Labs X accounts were compromised in a phishing scam, with false claims of a US probe circulating.
• Synthetix considered acquiring options platform Derive in a $27M token-swap deal.
• World Liberty’s stablecoin expanded to multiple networks through Chainlink integration.

Nakamoto Holdings and KindlyMD Merge to Launch $710M Bitcoin Treasury Strategy

Nakamoto Holdings announced a strategic merger with KindlyMD, aiming to integrate Bitcoin into traditional finance through a global Bitcoin-native treasury network. The merger entails a $710 million capital raise: $510 million from a private placement at $1.12 per share and $200 million from convertible notes maturing in 2028. The newly formed entity plans to securitize Bitcoin and redefine financial instruments, trading on Nasdaq under the ticker “KDLY.” With David Bailey's vision, the merger positions Bitcoin as a central asset in global capital markets, enhancing compliance and exposure for institutional investments.

Coinbase Data Breach Exposes Sensitive Information, $20M Ransom Demanded Amid SEC Scrutiny

Coinbase experienced a data breach affecting less than 1% of its over 100 million customers, exposing sensitive data including names, email addresses, phone numbers, and masked banking information. The breach was executed through bribery of external contractors and resulted in a $20 million ransom demand from the attackers, which Coinbase refused. Financial repercussions are estimated between $180 million and $400 million. Despite no compromised login credentials, Coinbase plans to reimburse affected customers. The incident has negatively impacted its stock, dropping 3% amidst ongoing SEC scrutiny over its reported user base ahead of its S&P 500 listing.

NXPC Token Surges After Binance Listing, Boosted by MapleStory Universe Hype and $2 Billion Trading Volume

Nexpace’s NXPC token surged following its Binance listing on May 15, 2025, achieving over $2 billion in trading volume. Initially priced at $2.01, NXPC peaked at $3.77, marking an 87.56% increase within hours. The token supports the MapleStory Universe, allowing users to trade NFTs and serving as a reserve for the game's currency, NESO. An airdrop campaign distributed 30 million tokens to BNB holders. NXPC reached a market cap of $531 million, ranking 111th globally, with 16.9% of its total supply in circulation. Analysts see NXPC as a significant link between gaming and blockchain finance.

FTX to Distribute Over $5 Billion to Creditors in Second Payout on May 30

FTX plans to distribute over $5 billion in its second creditor payout on May 30, targeting those with claims above $50,000, following an initial round for claims under that threshold. Payments will be processed via BitGo or Kraken, based on asset valuations at the bankruptcy filing date, which might result in lower payouts. CEO John Ray III indicated that $11.4 billion is available for repayments, with various rates: 72% for Dotcom Customer Claims, 54% for US Customer Claims, and 61% for General Unsecured and Digital Asset Loan Claims. Convenience Claims will receive 120%. Creditors must follow specific procedures to receive payments.

Crypto and TradFi Converge: Major Mergers, Record Tokenization Moves, and IPO Success

The merging of cryptocurrency and traditional finance is accelerating, highlighted by notable developments. Gryphon Digital and American Bitcoin plan a merger to create a major mining entity, while Robinhood acquires Canadian firm WonderFi for $179 million, expanding its market reach. JPMorgan's Kinexys executed its first tokenized U.S. Treasury transaction, signalling a strong shift towards asset tokenization. eToro debuted on Nasdaq at $52 per share, raising $312 million. GFO-X launched a regulated crypto derivatives platform in the UK, and Sygnum Bank now allows staked Solana as loan collateral, reflecting a growing institutional interest in digital assets.

Bitcoin Surge: Saylor Expands Holdings, Coinbase Invests $150M, Metaplanet Tops El Salvador

This week's smart money activities emphasize significant Bitcoin acquisitions and investments across various firms. Michael Saylor’s Strategy increased its Bitcoin holdings to 568,840 BTC and achieved a 15.5% yield after a $1.34 billion purchase. Coinbase invested $150 million, boosting BTC holdings to $1.3 billion. Metaplanet surpassed El Salvador with 6,796 BTC and aims for 10,000 BTC by year-end. Cantor Equity Partners announced a $458.7 million acquisition and KULR expanded its treasury to 716.2 BTC. Méliuz became Brazil's first public Bitcoin treasury company, while Basel Medical faced a 15% stock decline after announcing a $1 billion Bitcoin purchase.

Goldman Sachs Boosts BlackRock Bitcoin ETF Stake to $1.4B; SEC Delays Solana ETF Decision

The weekly recap of cryptocurrency funds highlights significant developments in the ETF landscape. Goldman Sachs boosted its stake in BlackRock's Bitcoin ETF to $1.4B amid record inflows of $62.9B, while BlackRock aims for in-kind ETH redemptions in its Ethereum Trust. VanEck and Securitize launched a tokenized U.S. Treasury Fund on multiple blockchains. The SEC has delayed decisions on the Solana ETF, with expectations of positive outcomes for Polkadot and XRP ETFs in June. Notably, the Wisconsin Investment Board sold a $321M stake in BlackRock's Bitcoin ETF, reflecting evolving institutional interest and mixed investment strategies in the crypto market.

Global Crypto Developments: Gibraltar Launches Derivatives Framework, Panama Explores Bitcoin Reserve, and More

Recent developments in global crypto regulations and initiatives showcase significant progress. Gibraltar has launched the world’s first regulatory framework for crypto derivatives clearing, enhancing market integrity. Thailand aims to boost digital investment by issuing $150 million in G-Tokens. Panama City is exploring the establishment of a Bitcoin reserve, influenced by El Salvador's example. The OCC has authorized national banks to engage in crypto activities, addressing the growing demand from the public. Dubai has partnered with Crypto.com for digital asset payments for government fees, while Ukraine drafts a policy for a national Bitcoin reserve with Binance to strengthen its economy. France increases security measures for crypto entrepreneurs amid rising kidnappings.

SEC Probes Coinbase Over User Claims; Ripple Settlement Denied; Major Crypto Crime Crackdown Continues

This week's developments in the crypto and regulatory landscape reveal significant challenges and legal proceedings. The SEC is investigating Coinbase for potentially overstating its user metrics beyond 100 million amid a $400 million exposure from data breaches. A court denied the SEC and Ripple's settlement request, maintaining a $125 million penalty. On another front, the DOJ's trial of Tornado Cash co-founder Roman Storm begins in July 2025. In broader crime news, Telegram shut down illicit channels related to $8.4 billion in crypto transactions, while a $263 million racketeering scheme led to 12 arrests for theft and money laundering activities.