institutions

Star investor Kevin O'Leary from "Shark Tank" posted on the X platform that he remains bullish on Bitcoin, but now quantum computing has become a new concern. He stated that quantum computing is causing institutions to hesitate, as they worry that one day quantum computers might crack the blockchain.As long as this issue remains unresolved, institutional investors are unlikely to increase their allocation to Bitcoin above 3%. They will remain cautious and disciplined, waiting for clearer conclusions.

According to CoinDesk, based on the analysis by NYDIG's research director Greg Cipolaro, there is a divergence in sentiment between U.S. institutional investors and offshore traders in the Bitcoin market.Currently, the annualized basis of CME (Chicago Mercantile Exchange) Bitcoin futures is higher than that of the offshore exchange Deribit, indicating that U.S. hedge funds and other institutions still prefer to pay a premium to maintain long positions, while interest in leveraged long positions in the offshore market has significantly decreased.In response to previous market rumors that the "quantum computing threat" caused Bitcoin to drop to $60,000, NYDIG believes that the data does not support this logic. Recently, Bitcoin's movement has shown a positive correlation with quantum computing-related stocks such as IONQ and D-Wave, rather than a reverse divergence. If quantum computing indeed poses a targeted threat, related stocks should rise when Bitcoin falls. The current synchronized decline reflects a general decrease in market risk appetite for long-term growth assets.Additionally, Google Trends data shows that an increase in related search volume typically accompanies a rise in coin prices rather than a decline, indicating that the topic is more driven by market enthusiasm rather than panic selling.

According to Cointelegraph, venture capitalist Nic Carter stated in a podcast that the long-term inaction of Bitcoin developers regarding the potential threat of quantum computing to Bitcoin may lead to dissatisfaction among large institutions holding significant amounts of Bitcoin (such as BlackRock), ultimately triggering an "institutional takeover."Nic Carter warned that institutions will not tolerate the core security issues of Bitcoin being ignored for an extended period. "If developers continue to be inactive, institutions will lose patience and will fire the current developers, replacing them with new ones."

The Ethereum Foundation announced that the Chinese version of the official Ethereum website for institutions has been launched, facilitating global builders and institutional leaders to participate more easily in the Ethereum ecosystem. Users can search for institutional use cases, on-chain data analysis, and community research results on the website.

According to Techub News, multiple sources have revealed that the first batch of compliant stablecoin licenses in Hong Kong is expected to be issued by the end of March, with HSBC and Standard Chartered likely to be among the first approved institutions.Insiders indicate that after the first round of licenses is issued, the approval process for the second round of licenses will also be expedited, with an announcement expected soon.

Cobo co-founder and CEO Shen Yu shared investment insights on platform X: "The biggest structural advantage of individual investors over institutions is not information or capital, but rather 'no one needs to be accountable.'Funds are often constrained by institutional requirements from LPs, drawdown limits, and quarterly assessments, which can force them to cut losses at the worst possible times; whereas individual investors can take advantage of volatility and extend their time horizons to acquire chips that are passively sold off due to institutional constraints at market bottoms, thus generating profits."

Digital asset custodian Hex Trust has announced the provision of an XRP DeFi gateway for institutional clients while maintaining asset custody control.Institutions can mint and redeem FXRP (the wrapped token of XRP on the Flare network) through the Hex platform and stake native FLR. Previously, Flare launched the FXRP lending market, allowing users to earn yields or borrow without selling XRP. FXRP offers a one-to-one mapping of XRP, enabling participation in smart contract applications without transferring the original XRP.

Singapore cryptocurrency company Penguin Securities announced the completion of approximately 2.8 billion yen (about 18 million USD) in financing, with investors including mint, Tokyo University of Science Investment Management Company, and several other Japanese investment institutions.The company was co-founded in 2023 by Japanese entrepreneurs Yuya Kuratomi, Kentaro Kawabe, and Shogo Setoguchi, and has obtained a Capital Markets Services License from the Monetary Authority of Singapore (MAS) in 2025.

According to Cointelegraph, Annabelle Huang, co-founder and CEO of Altius Labs, stated that the Alpha of Wall Street trading firms is shifting from physical custody and nanosecond speed advantages to the use of on-chain infrastructure.Jump has leveraged its high-frequency trading experience to develop the high-performance validator client Firedancer for Solana, and its supported project DoubleZero is seeking to commercialize its global private fiber and submarine cable network to reduce latency. Cumberland is providing real-time crypto market data for Pyth Network. Jane Street traded over $110 billion in cryptocurrency in 2024 and recently hired the former head of infrastructure at Copper.As stablecoins and tokenization of real-world assets inject liquidity, the on-chain market size will continue to expand, and future Alpha will come from the production, sorting, and monetization of block space.

According to the Mobile Payment Network, Bank of Korea Governor Lee Chang-yong stated at the Asian Financial Forum in Hong Kong that due to market pressures, authorities have allowed South Korean residents to invest in virtual assets issued overseas. Meanwhile, financial regulators are studying the establishment of a new registration system to permit domestic institutions to issue virtual assets.He pointed out that the won-denominated stablecoin is expected to be primarily used for cross-border transactions, while tokenized deposits will be more for domestic payments, but he emphasized that there are still many controversies surrounding stablecoins. He is concerned that once the won stablecoin is launched, it may be used to circumvent capital flow management measures, especially when combined with widely used and easily accessible dollar stablecoins, which poses even greater risks.Lee Chang-yong mentioned that the transaction costs of dollar stablecoins are much lower than directly using dollars, and during exchange rate fluctuations, it can easily trigger large inflows of funds; moreover, most dollar stablecoins are issued by non-bank institutions, significantly increasing regulatory difficulties. In addition, South Korea's rapid payment system has matured, and the advantages of retail central bank digital currency (CBDC) are not obvious. The central bank is promoting several pilot projects to lay out tokenized deposits and wholesale CBDCs to maintain a dual financial system.

Li Changyong stated at the Asian Financial Forum in Hong Kong that, in light of market pressures, South Korean authorities have allowed domestic residents to invest in virtual assets issued overseas. The financial regulatory department is considering establishing a new registration system to allow domestic institutions to issue virtual assets.Li Changyong pointed out that if a won-denominated stablecoin is launched, its main use may focus on cross-border transactions, while tokenized deposits are more suitable for domestic payment scenarios. However, he emphasized that there is still considerable controversy surrounding stablecoins. The core concern is whether the won stablecoin could be used to circumvent capital flow management, especially when used in conjunction with dollar stablecoins.He further stated that dollar stablecoins have a wide range of applications and low entry barriers, with related transaction costs significantly lower than directly using dollars. When exchange rate fluctuations trigger changes in market expectations, funds may quickly flow into dollar stablecoins, causing large-scale capital transfers; at the same time, the participation of numerous non-bank institutions in stablecoin issuance also significantly increases regulatory difficulties.In addition, Li Changyong noted that South Korea itself has a highly developed fast payment system, so the advantages of retail central bank digital currency (CBDC) are limited. Currently, the central bank is advancing tokenized deposits and wholesale CBDC through multiple pilot projects to maintain the existing dual financial system.

The Hong Kong Securities and Futures Commission announced that licensed corporations, virtual asset service providers licensed by the SFC, and related entities (collectively referred to as "licensed institutions") must transition to the new suspicious transaction reporting platform developed by the Joint Financial Intelligence Unit, namely the "Second Generation Suspicious Transaction Reporting and Management System" (STREAMS 2) by February 2, 2026.This platform will replace the existing system to enhance automation and analytical capabilities, thereby improving the efficiency of analyzing suspicious transaction reports and disseminating financial intelligence. From February 2, 2026, STREAMS 2 will be the only channel for submitting suspicious transaction reports, and licensed institutions can submit reports in XML format, specified PDF format, or via an online form.

Ethereum co-founder Vitalik wrote that the relationship between "institutions" and "cypherpunks" is complex and needs to be understood correctly. Institutions (including governments and enterprises) are neither absolute friends nor absolute enemies; Vitalik emphasized the importance of maintaining an open attitude towards mutually beneficial cooperation while also actively safeguarding one's own interests. In this context, the core task of the Ethereum community is to build a financial, social, and identity layer to protect people's autonomy and freedom.The optimal strategy for institutions in the game is to strengthen control within a manageable scope while resisting external intrusions, which also makes them more concerned about data sovereignty and security issues than ordinary users. Vitalik predicts that institutions (including enterprises and governments) will increasingly reduce their reliance on external trust and have more guarantees over their operations.In the stablecoin sector, this means: issuers in the EU hope that the governance focus of their blockchain will not be overly centralized in the United States, and vice versa (the situation is similar in other countries/regions). Governments will promote more KYC processes, but at the same time, privacy tools will also be improved, as cypherpunks are working to enhance the performance of these tools. Institutions want to control their own wallets and even manage their own staking when staking ETH.

Vitalik Buterin stated, "The relationship between 'institutions' (governments and corporations) and 'cypherpunks' is very complex, neither natural allies nor natural enemies."The optimal strategy for institutions in the game is to strengthen control within a manageable scope while resisting external intrusions, which also makes them often more concerned about data sovereignty and security issues than ordinary users. In the future, institutions will place greater emphasis on self-managed wallets and staking, which is beneficial for the decentralization of Ethereum; at the same time, KYC and privacy technologies will develop in parallel, and the game surrounding zero-knowledge proofs will exist for a long time. The core task of the Ethereum community is to build tools that protect individual self-sovereignty and freedom while maintaining its stance in cooperation with institutions.

The founder of Binance, CZ, appeared at the World Economic Forum in Davos yesterday and stated that the change in the United States' attitude towards the crypto space is of symbolic significance and will affect all aspects of the Western world. Driven by the U.S., many countries have also begun to change their attitudes towards crypto assets, such as the UAE, Thailand, and several Central Asian countries. The UAE has provided Binance with licenses for almost all of its global operations, including futures.In addition to changes in regulatory policies, the flow of funds is also changing. Many traditional funds are unable to allocate crypto assets, and even JP Morgan's CEO Jamie Dimon has publicly opposed it in the past, but now he recommends that his clients allocate a certain percentage of crypto assets. Over the past year, new funds in the crypto space have primarily come from traditional financial institutions or family offices.

CryptoQuant founder Ki Young Ju stated, "The demand for Bitcoin from institutions remains strong. In the U.S., custodial wallets typically hold between 100 to 1,000 BTC.After excluding exchange and miner addresses, this metric can serve as a rough reference for measuring institutional demand, with ETF holdings also included. Over the past year, institutions have added a total of 577,000 BTC (approximately $53 billion), and funds continue to flow in."

The Senate Banking Committee has canceled the scheduled hearing on Thursday for the CLARITY Act (the Crypto Market Structure Act) revisions. According to crypto journalist Eleanor Terrett, dissatisfaction among industry players erupted this Wednesday, with Coinbase leading the way in announcing its withdrawal of support for the bill. They complained that lawmakers made excessive concessions to banks and traditional financial institutions after proposing amendments to a lengthy 278-page bill, particularly regarding stablecoin yields and tokenization.Critics argue that the CLARITY Act itself is already biased in favor of traditional institutions. Meanwhile, some Democrats insist on establishing ethical standards for senior government officials, including the president, to prohibit them from profiting from cryptocurrency projects. Democrats have previously been at an impasse with the White House on this issue.Currently, Banking Committee Chairman Tim Scott stated in a statement announcing the postponement of the meeting that "everyone is still working sincerely at the negotiating table," but did not reveal when the committee would reschedule the review. The Senate will be in recess next week for Martin Luther King Jr. Day and will reconvene the following week. During that time, the Senate Agriculture Committee is expected to hold a review, which had also been postponed from this Thursday.