El Salvador Doubles Down on Bitcoin Despite IMF Pressure; Blockstream Launches Three New Crypto Funds; SBI VC Trade Brings USDC to Japan

The crypto market witnessed significant developments this week, with El Salvador's President Nayib Bukele reaffirming his commitment to Bitcoin (BTC) accumulation despite pressure from the International Monetary Fund (IMF). Meanwhile, Blockstream announced plans to launch three new investment funds, and SBI VC Trade secured regulatory approval to bring USDC to the Japanese market.

El Salvador's President Nayib Bukele has vowed to continue accumulating Bitcoin (BTC) despite growing pressure from the International Monetary Fund (IMF) to stop investing in the cryptocurrency. In a social media post, Bukele stated that the accumulation is "not stopping," even after the IMF published details about its $3.5 billion loan deal with El Salvador, which prohibits the "voluntary accumulation of bitcoin by the public sector." Bukele's comments came shortly after El Salvador disclosed the purchase of 19 BTC over the previous week, bringing its total holdings to 6,101.15 BTC, worth around $530 million.

Blockstream, the Bitcoin development firm co-founded by BTC developer Adam Back, is set to launch three new investment funds. Two of these funds will focus on cryptocurrency lending, with one underwriting bitcoin-backed loans and another facilitating crypto borrowing with U.S. dollars as collateral. The third fund will employ hedge fund strategies. The launch is expected in April, with additional external capital accepted from July onward. The firm reportedly secured several billion dollars in funding to launch the new products.

SBI VC Trade, a subsidiary of Japanese financial behemoth SBI Holdings, has secured regulatory approval as an Electronic Payments Provider in Japan from the country’s Financial Services Agency. The new license allows SBI VC Trade to offer foreign stablecoins in the country, making it the first in Japan to list and distribute Circle’s USDC. The listing comes after regulatory changes in the country in 2023 eased, allowing licensed intermediaries to handle foreign stablecoins.