Crypto Council for Innovation

News Alert 🏦 Wall Street is warming up to crypto, but the real opportunity lies in embracing DeFi’s programmable financial rails. Here's why this matters: ▪ DeFi has rebuilt core banking functions on-chain but remains a fraction of TradFi’s size - signaling both its early-stage nature and untapped potential for institutional adoption. ▪ Major TradFi players like BlackRock, J.P. Morgan, and Fidelity Investments are piloting tokenized funds, DeFi-style liquidity pools, and staking services - paving the way for compliant, scalable DeFi integration. ▪ Asset management and treasury markets are poised to lead the charge, with tokenized treasuries and permissioned DeFi lending offering higher yields, real-world collateral, and faster settlement. Fortune

Research Spotlight 💡 The World Economic Forum expects 10% of global GDP could be tokenized and stored on the blockchain by 2027. Read to find out more 👇 ▪️ Blockchain is rapidly becoming the foundation of a new financial system, with institutions like BlackRock and J.P. Morgan launching projects, and global regulations in places like Japan and the UK enabling broader adoption. ▪️ Stablecoins are emerging as the key driver of this shift, enabling near-instant, low-cost, and globally accessible transactions that benefit both commercial use cases and underserved populations. ▪️ As blockchain infrastructure becomes faster, safer, and easier to use, its complexity will fade into the background.

News Alert ⚖️ Bernstein analysts are calling the SEC’s new “Project Crypto” the most transformative regulatory blueprint ever proposed. Here's what this means: ▪ Project Crypto modernizes securities law for the blockchain age, introducing clear crypto asset classifications and easing barriers that once pushed innovation offshore. ▪ A unified “Reg-Super App” model will allow broker-dealers to offer crypto and traditional products under one license, enabling seamless integration of trading, staking, and lending. ▪ The SEC aims to bring DeFi into the regulatory fold, opening the door to onchain infrastructure, 24/7 markets, instant settlement, and a level playing field for new financial innovators. The Block U.S. Securities and Exchange Commission

☀️ Welcome to Summer Recess! Congress may be out of town, but it’s far from playtime for crypto policy. CCI's Rashan A. Colbert breaks down the week ahead: The Senate is advancing legislation, the SEC is full speed ahead on Project Crypto, and the White House is signaling just how important digital assets are to the US’s future. 🔹 Senate Banking Committee released its Market Structure discussion draft, building on Senator Lummis’ earlier bill, and introducing a novel concept: Ancillary Assets - designed to help builders and regulators determine how crypto tokens should be classified. 🔹 The Committee also issued an RFI with 35 key questions on market structure policy. At CCI, we’re preparing a detailed response ahead of Tuesday’s deadline. 🔹 The President’s Working Group on Digital Asset Markets dropped a sweeping 166-page report full of tech deep-dives, strategic priorities, and policy proposals. 🔹 SEC Chairman Paul Atkins launched Project Crypto - a bold initiative to modernize securities regulation for the blockchain era. Even during recess, we’ll be working with the Administration, the Senate, regulators, and our members to push digital asset policy forward.

🇬🇧 CCI and Global Digital Finance released a joint response to the UK Financial Conduct Authority’s consultation on cryptoasset prudential rules. We’re calling for a balanced, globally aligned framework that promotes innovation, ensures financial resilience, and keeps the UK competitive in digital finance. Read the full response 👇

🌏 This week on Sean Takes On Asia, CCI's Sean Lee dives into stablecoins, protocol-level incentives, and what it means to turn BTC into a productive asset. Watch for more 💡

CCI Analysis 🇵🇭 The Philippines is emerging as a leading crypto hub, with a gov. committed to regulation, taxation, and consumer protection in crypto. ▪ About 10% of Filipinos use crypto, with remittance payments driving widespread adoption and forecasts estimating over 12 million users by 2026. ▪ Authorities have introduced capital reserve requirements for exchanges, stricter AML/KYC rules, marketing restrictions, and comprehensive taxation to ensure transparency and consumer protection. ▪The BSP is set to pilot a retail central bank digital currency under Project Agila, signaling continued evolution of the Philippines’ digital asset ecosystem and its ambition to be a regional financial hub. Read article in full: https://xmrrwallet.com/cmx.plnkd.in/eJPrhADV

🔍 Research Spotlight - What if we assessed blockchains like we do countries? Fidelity Investments is pioneering a new lens for crypto: evaluating blockchain networks through a GDP-style framework - capturing consumption, investment, government spending, and net exports on-chain. In their latest research, Fidelity breaks down Ethereum’s economy: 🔹 Consumption: Measured via gas fees, NFT sales, and application revenue. 🔹 Government: Captured through grants and validator security budgets. 🔹 Investment: Reflected in ETH staking and liquidity pool participation. 🔹 Net Exports: Tracked via bridges, DePIN, and stablecoin deployment. This approach moves beyond treating crypto as speculative. It places digital assets alongside fiat currencies and sovereign economies, revealing their role in facilitating financial access, infrastructure development, and innovation at scale. This research invites investors and policymakers to view blockchain not as web2 software, but as a new layer of economic organization.

News Alert 🇬🇧 The UK’s FCA is set to allow retail investors access to crypto exchange-traded notes (cETNs) on FCA-approved exchanges. Here's why this matters: ▪The FCA will permit individual investors to trade cETNs on recognized UK exchanges, aligning the country with markets like the U.S., Canada, and the EU. ▪While firms must comply with Consumer Duty rules to ensure fair outcomes and transparent information, investments won’t be protected under the Financial Services Compensation Scheme. ▪The Financial Conduct Authority will continue prohibiting retail access to crypto derivatives but plans to monitor the evolving market and review high-risk investment rules. The Block

💡 CCI's Ryan Eagan joined CNBC to break down the Trump admin.’s newly released White House crypto report and its potential impact on U.S. policy. Watch for more 👇