White House Considers Penalizing Banks for Crypto Bias Coinbase Launches Embedded Wallets for Developers Brazil to Discuss National Bitcoin Reserve in August CFTC Initiates "Crypto Sprint" for Regulatory Clarity

's latest price was $, in the last 24 hours. The White House is considering a draft executive order that could penalize banks for restricting services to cryptocurrency firms based on political bias. This move aims to enforce financial neutrality and prevent banks from making ideologically driven decisions. The order proposes fines for violations of the Equal Credit Opportunity Act or antitrust rules through politically motivated restrictions. This development follows allegations that major banks have been denying services to crypto businesses since 2021, a practice labeled "Operation Chokepoint 2.0" by industry figures. Recent incidents include JPMorgan reportedly freezing Gemini’s account reactivation after public criticism from co-founder Tyler Winklevoss. Changpeng Zhao, founder of Binance, suggested that the order could facilitate international crypto banking access if implemented. Financial institutions deny acting based on political bias, maintaining that their decisions reflect standard risk assessments. The draft order seeks to ensure neutrality in financial service access and responds to claims of targeted exclusion against disfavored sectors. Conservative policymakers and digital asset advocates have pressured the administration, and enforcement would require evidence of discriminatory intent in banking decisions. The Equal Credit Opportunity Act prohibits credit denial based on business type, while antitrust laws bar collusion to exclude market segments. Consumer protection rules mandate fair service access. If finalized, the order would represent a policy reversal from prior approaches, requiring banks to document risk-based rationale for restricting crypto clients. Industry observers await the official White House announcement.

Coinbase has launched a beta version of “Embedded Wallets” for developers, offering integrated wallet creation, fiat onramps, token swaps, and 4.1% USDC rewards through a unified API suite. This new tool, part of the Coinbase Developer Platform (CDP), allows developers to incorporate self-custodied crypto wallets directly into their applications. The tool leverages the same core security and infrastructure used by Coinbase’s trading products. A key feature is simplified user onboarding, enabling web2-style logins like email, SMS, or OAuth, which eliminates the need for users to manage seed phrases or download separate extensions. This aims to drastically reduce signup friction. Embedded Wallets provide access to Coinbase’s “mission-critical infrastructure” and security suite, which isolates operations and secures keys within Trusted Execution Environments (TEEs). The unified API stack handles transfers, trades, balances, staking, and rewards. Coinbase Onramp customers can use Embedded Wallets at no cost until September 30, 2025. This limited-time offer aims to accelerate adoption during the beta phase. Potential use cases highlighted in the release included remittance apps, decentralized finance (DeFi) marketplaces, B2B payroll systems, creator economy platforms, and gaming ecosystems. Examples like Zylu and Stablelink demonstrate instant cross-border payments and simplified donation flows using the technology. Developers can start by running a single command to generate a wallet tied to an email in under 200ms, and documentation covers advanced functions like token transfers and swaps.

Brazil’s Chamber of Deputies has scheduled its first public hearing to discuss the creation of a Strategic Sovereign Bitcoin Reserve for August 20, 2025. The hearing will explore the possibility of Brazil creating a national Bitcoin reserve through Bill 4501/2024, which was requested by Federal Deputy Luiz Philippe de Orleans e Bragança when the bill reached the Economic Development Committee (CDE) in June. Diego Kolling, Head of Bitcoin Strategy at Méliuz, and Rubens Sardenberg from FEBRABAN have confirmed their participation in the hearing. The Economic Development Commission is awaiting confirmation from other invitees, including representatives from the Central Bank of Brazil, Ministry of Finance, and Ministry of Development, Industry, Commerce and Services. The bill, introduced by Federal Deputy Eros Biondini last November, proposes the establishment of a Sovereign Strategic Bitcoin Reserve (RESBit), enabling the federal government to gradually acquire Bitcoin as part of its official foreign assets portfolio. Under the bill, the Central Bank and Ministry of Finance would oversee custody, risk management, and reporting. RESBit holdings would be capped at 5% of Brazil’s international reserves and stored using a “cold wallet” infrastructure in compliance with global standards. In addition to reserve diversification, the proposal frames Bitcoin as a macroeconomic shield and a foundation for accelerating domestic blockchain adoption. It also outlines measures to integrate crypto and distributed ledger education into Brazil’s academic and innovation ecosystems, including startup incentives and public-private partnerships. The reserve could also serve as backing for Brazil’s central bank’s digital currency, Drex. Officials managing the reserve would face criminal and administrative penalties for mismanagement. If passed, the executive branch would have 180 days to regulate the program.

The U.S. Commodity Futures Trading Commission, led by Caroline D. Pham, has initiated a "crypto sprint" to enhance regulatory clarity for digital asset trading, involving key financial bodies. This initiative signals the U.S.'s intention to lead crypto regulations globally, potentially influencing institutional participation and market dynamics in digital asset trading. The CFTC is collaborating with the SEC to achieve "Project Crypto," which involves coordinated action to support innovation and aims to deliver on the vision of making the U.S. a crypto leader. The initiative is expected to positively affect U.S. crypto markets by providing clarity and enhancing institutional engagement. New regulatory frameworks could support the growth of major digital assets, with Bitcoin and Ethereum among the likely beneficiaries. Efforts focus on improving the regulatory landscape and fostering a robust market environment. Enhanced regulation is anticipated to catalyze a surge in institutional investments, potentially increasing market liquidity and participant diversification. The CFTC invites industry feedback for improved market structure proposals, seeking transparency. This aligns with historical trends where regulation boosts market legitimacy and engagement from institutions looking to enter the sector. The shift may lead to significant changes in the financial sector, including increased regulatory oversight, boosted market legitimacy, and the potential for U.S.-based trading volume and total value locked to grow significantly in the coming years.