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release

Aleo releases a white paper on privacy stablecoins, proposing a permissionless institutional-level privacy stablecoin architecture

Aleo released the privacy stablecoin white paper "Stablecoin Privacy," stating that the privacy layer is the key infrastructure missing for blockchain payment rails to be adopted by mainstream institutions. Aleo indicated that as the GENIUS Act provides opportunities for the widespread adoption of stablecoins, the issue of permanently public transaction information on public blockchains may still hinder institutions from using stablecoins in scenarios such as payroll, fund management, and vendor payments.Aleo claims that existing solutions do not adequately meet the needs of institutions in terms of privacy protection and risk management. The white paper proposes a permissionless private stablecoin architecture based on Aleo, which introduces programmable risk mitigation mechanisms while protecting transaction privacy through zero-knowledge technology and programmable smart contracts, allowing institutions to conduct private transactions without sacrificing compliance and risk control.It is reported that the team members behind this white paper have long been dedicated to research at the intersection of cryptography, policy, and financial systems. Aleo's Global Policy Director Yaya J. Fanusie, member of the Crypto Innovation Council and former Global Financial Crimes Compliance Officer at Coinbase Valerie-Leila Jaber, and cryptographer and Johns Hopkins University Computer Science Professor Matthew Green possess rare practical experience in private payments, financial regulation, and zero-knowledge cryptography.

The UK House of Lords released a 71-page report on stablecoin regulation, criticizing the current regulatory proposals for lacking competitiveness

According to a report titled "Stablecoins: Waiting for Regulation" released by the UK House of Lords Financial Services Regulatory Committee, the global market capitalization of stablecoins has exceeded $310 billion, but the UK pound stablecoin market is still in its infancy, and the construction of the regulatory framework is clearly lagging behind the United States (GENIUS Act) and the European Union (MiCAR).The report criticizes several aspects of the current regulatory proposals from the UK Financial Conduct Authority (FCA) and the Bank of England, focusing on:• The Bank of England's requirement for systemic stablecoin issuers to deposit at least 40% of reserve assets in non-interest-bearing central bank deposits, which the industry believes will severely harm issuers' profitability and the international competitiveness of the UK market;• The proposed holding limits (individual £20,000, corporate £10 million) are considered extremely difficult to implement and may stifle the development of the pound stablecoin market;• The T+1 redemption requirement will impose a significant operational burden on issuers;• The Prudential Regulation Authority (PRA) restrictions on deposit-taking institutions issuing stablecoins under independent brands are deemed overly stringent.The report also acknowledges the liquidity support loan mechanism proposed by the Bank of England, considering it an innovative regulatory measure that surpasses other major jurisdictions. The committee calls on regulatory agencies to strictly adhere to the established timeline, ensuring that the complete regulatory framework comes into effect as scheduled on October 25, 2027, and recommends adopting a principle-based, technology-neutral regulatory approach to achieve a reasonable balance between financial stability and market innovation.

RootData released the "Map of Exchange Tokenized Asset Providers and Licenses."

The tokenized asset platform RootData has released the "Exchange Tokenized Asset Provider and License Map," systematically sorting the paths and regulatory licenses of providers and brokers in mainstream exchanges such as Binance, Gate, Bitget, and Bybit for products like real stocks, TradFi stocks, CFD contracts, and tokenized stocks. The map shows that the current stock-type assets on exchanges have gradually formed a three-tier structure: real stock spot mainly relies on a regulated brokerage system for securities execution and custody; TradFi stocks are primarily based on CFDs/Perps; tokenized stocks are mainly supported by solutions like Ondo and xStocks. Among them, Binance currently accesses Alpaca Securities through Nest Trading to provide real US stock/ETF exposure and has launched Ondo stock tokens in the Alpha zone, with plans to introduce bStocks later; Gate's real stock collaboration is with AIpaca, CFDs adopt the MT5 model, and perpetual contracts are self-operated by the platform; Bybit currently mainly uses the Backed Finance (xStocks) solution; Bitget provides 1:1 US stock/ETF tokenized products through its own Reality (rToken) brand. RootData believes that as the tokenized stock market heats up, competition among exchanges is gradually shifting from merely launching products to underlying broker capabilities, real securities custody, and regulatory license capabilities, with licensed brokers like Alpaca Securities strengthening their infrastructure roles across multiple platform ecosystems.

Aave releases post-attack investigation on Kelp rsETH bridge

Regarding the attack on the Kelp rsETH LayerZero V2 bridge that occurred on April 18, Aave released a post-incident investigation on the X platform, emphasizing that the exposure was primarily due to third-party bridge infrastructure rather than the protocol itself. The attacker executed an RPC poisoning attack targeting a single validator of LayerZero, forging a cross-chain message. This led to the release of 116,500 rsETH on the Ethereum side without actual destruction on Unichain. The attacker subsequently deposited the stolen rsETH into Aave V3 (Ethereum Core and Arbitrum), borrowing approximately 82,650 WETH and 821 wstETH.The Aave Protocol Guardian and Risk Steward immediately implemented protective measures for the rsETH and WETH reserves. Currently, the WETH and rsETH markets in the affected V3 deployments are operating normally. The rsETH held by the attacker on Arbitrum has been destroyed, the LayerZero OFT adapter has been fully recharged in five batches, rsETH support has been fully restored, and Kelp has reopened the withdrawal, bridging, and claims functions for rsETH. The WETH LTV in the affected markets has been reset to pre-attack values, and Aave V3 is fully operational across all markets except for rsETH.The Arbitrum DAO has voted to authorize the transfer of frozen ETH to Aave LLC, and it is currently awaiting on-chain execution. The court is still reviewing the substantive content of the injunction, and Aave LLC will continue to comply with the injunction during the court's deliberation. Ongoing projects include: the Aave risk framework from Llama Risk, the bridging assessment framework, the release of evaluation reports for currently live assets, on-chain execution of Arbitrum DAO votes, and the court's review of the injunction.

US CFTC releases 24/7 trading supervision guidelines: Crypto derivatives are more suitable for around-the-clock trading

The U.S. Commodity Futures Trading Commission (CFTC) has jointly issued staff guidance from its divisions of Market Oversight, Clearing, and Risk, addressing regulatory expectations and compliance requirements for the increasingly prevalent 24/7 trading, clearing, and settlement models, encouraging market innovation while ensuring compliance.The guidance emphasizes that regulated trading platforms, swap execution facilities, derivatives clearing organizations, and futures brokers must comply with the Commodity Exchange Act (CEA) and related regulatory rules when expanding around-the-clock trading, and must proactively assess risk management and operational arrangements.The CFTC points out that the adaptability of different asset classes to 24/7 trading varies, with derivatives related to crypto assets being more suitable for around-the-clock trading and clearing due to their digital infrastructure and global continuous trading characteristics; whereas traditional commodity derivatives like agricultural products may not be suitable for full 24/7 operation due to their regional and trading structure characteristics.CFTC staff stated that relevant institutions should ensure compliance with regulatory frameworks and risk control requirements while promoting the continuous evolution of the market to support "responsible market innovation."

first_img Aave Labs has released an ARFC proposal aimed at establishing a unified standardized framework for the listing of technical assets

Aave Labs has released an ARFC proposal, suggesting the establishment of a standardized technical asset listing framework for Aave V3, V4, and Aave Horizon, setting unified technical requirements for asset listing, parameter expansion, and ongoing monitoring. The framework covers core areas such as ERC20 compatibility, oracles, permission control, minting and burning logic, pause and blacklist mechanisms, upgradability, exchange rates and yield mechanisms, token architecture, cross-chain bridge risks, audit and security history, and external dependencies. This framework does not replace market risk analysis and governance judgment but provides a technical qualification baseline.The framework aims to address "hidden risks" such as unlimited issuance, weak upgrade permissions, inconsistent bridging supply, opaque redemption paths, and reliance on off-chain custody. These issues may directly threaten the protocol's solvency, liquidation systems, and collateral parameter security. The framework particularly emphasizes additional scrutiny for cross-chain assets, yield-bearing assets, and off-chain dependent assets such as RWAs, including bridge structures, off-chain legal arrangements, custody mechanisms, and supply integrity. Assets with significant technical flaws may face reduced borrowing limits, restricted collateral parameters, delayed launches, or even recommendations to deny access to the protocol in the future.
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