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Key takeaways

• ChatGPT-powered AI agents automate trading tasks using natural language prompts and API integrations, improving speed and consistency.

• Successes occur when ChatGPT is used as a support tool, not a fully autonomous trading system.

• Failures happen when traders over-rely on ChatGPT without real-time data, proper risk management or manual oversight.

• Regulatory focus on AI in trading is increasing, with new frameworks emerging to ensure transparency, accountability and compliance.

What if a crypto trader didn’t need to constantly check charts, worry about emotions, or stay up all night watching for sudden price swings? What if those tasks could be handled by an intelligent agent that understands instructions in plain English — and reacts within milliseconds? That’s where ChatGPT-powered AI agents come in.

These tools combine natural language processing with real-time trading logic to automate decision-making in one of the world’s most volatile markets. From rebalancing portfolios to reacting to market sentiment, ChatGPT is being adapted to act as a trading assistant, risk manager and market analyst — all rolled into one. 

But can it truly match or even outperform human intuition? This article explores how far these agents have come, where they shine and where they still fall short.

How ChatGPT-powered AI agents operate in cryptocurrency markets

ChatGPT-powered AI agents are changing how people interact with crypto markets. These tools combine ChatGPT’s language abilities with external trading tools and APIs to help users monitor prices, understand trends and even place trades automatically. Instead of just reacting to charts or numbers, ChatGPT can understand plain language commands like “Buy Ethereum if the price drops below $2,000” or “Sell Bitcoin if RSI goes above 70.”

These AI trading assistants can work with major platforms like Coinbase, Kraken, OKX and other centralized or decentralized exchanges and can also tap into decentralized finance (DeFi) tools and smart contracts. With the right setup, ChatGPT can help automate trading strategies based on both technical data and market news.

Success stories vs. failures in ChatGPT-powered crypto trading

Some traders have used ChatGPT to assist in automating parts of their crypto trading processes, particularly for strategy generation and sentiment analysis. For example, a user shared on Reddit that they used a ChatGPT-based AI agent for technical analysis on Ether (ETH), feeding it four-hour and daily chart screenshots. By interpreting market sentiment, support and resistance zones, and other indicators, they managed to make $6,500 in profits.

Similarly, in the broader crypto sector, ChatGPT has been applied to support project development activities such as drafting white papers and marketing content. A notable example is the launch of the “TURBO” memecoin, which reportedly reached a market capitalization of over $50 million in 2024. In this case, ChatGPT was used to streamline documentation and communication rather than manage trading activity, illustrating its usefulness as a support tool in crypto-related initiatives.

However, limitations are evident when ChatGPT is applied beyond its core design. While ChatGPT could suggest a trading portfolio and explain its reasoning clearly, it lacks access to real-time market data and couldn’t respond to sudden volatility. In one instance, ChatGPT was allocated $100 across multiple tokens but failed to actively manage the portfolio as prices fluctuated. This resulted in missed opportunities and underperformance compared to dynamic algorithmic strategies.

Individual experiences reinforce these observations. A Redditor exposed a scam where a YouTuber promoted a “ChatGPT trading bot” tutorial that led users to deploy malicious smart contracts. The contracts, generated using ChatGPT and passed off as safe, were designed to drain user wallets once funded. Victims collectively lost $17,240 in ETH, highlighting the danger of blindly trusting AI-generated code without proper auditing.

Even when asked, “If I use ChatGPT to build an AI agent for crypto trading, can I become a millionaire?” ChatGPT responded with a realistic outlook — acknowledging that while it’s possible, success depends on having a profitable strategy, disciplined risk management, and the ability to scale effectively.

Here is ChatGPT’s response:

These cases suggest that while ChatGPT can support certain elements of the trading process, it should not be treated as a standalone solution for autonomous crypto trading.

AI in crypto trading: Key benefits and limitations

AI tools like ChatGPT are increasingly being integrated into crypto trading workflows to improve speed, accuracy and efficiency. While they offer important advantages, they also carry specific limitations that traders must actively manage. Below are the main benefits and challenges:

Key benefits of using AI for crypto trading

• AI bots can execute trades in milliseconds, crucial for capturing opportunities in fast-moving crypto markets.

• Bots follow pre-programmed rules precisely, eliminating emotional biases that often affect human traders.

• Crypto markets are always open, and AI bots can monitor and act around the clock without interruption.

• A single bot can manage multiple trading pairs, exchanges and strategies simultaneously.

• ChatGPT can understand specific prompts like “Rebalance every Monday” or “Set stop-loss at 5%,” allowing flexible automation.

Limitations of ChatGPT in cryptocurrency trading

• ChatGPT does not access live market data unless specifically integrated with external APIs (e.g., TradingView, CoinMarketCap or exchange websockets).

• Instructions must be clear and unambiguous; ChatGPT may misinterpret vague or complex commands.

• Improperly secured API keys or lack of two-factor authentication (2FA) can expose trading accounts to unauthorized access.

• ChatGPT’s cloud-based infrastructure can introduce latency, which could impact performance during highly volatile periods.

• ChatGPT does not monitor regional compliance rules; users must manually enforce trading limits based on local regulations.

Ethical and regulatory implications of AI in crypto trading

As AI becomes more integrated into trading systems, it raises significant ethical and regulatory concerns that stakeholders across the financial sector are beginning to address.

• Accountability: If an AI agent executes a harmful or unlawful trade, questions arise around legal responsibility. It remains unclear in many jurisdictions whether liability falls primarily on the developer, the trader using the AI system or the platform facilitating the transactions.

• Market manipulation risks: Autonomous AI bots could unintentionally engage in activities such as spoofing (placing and canceling fake orders to mislead the market) or wash trading (creating artificial volume), especially if not properly programmed with compliance safeguards.

• Regulatory oversight: Financial authorities, including the US Securities and Exchange Commission and the European Securities and Markets Authority, are actively studying the implications of AI and algorithmic trading. These agencies have recognized that traditional trading regulations may not fully account for autonomous decision-making by AI systems.

• Policy developments: In January 2024, the European Commission released updates to its Digital Finance Strategy, which included references to AI-based financial services. While not yet finalized, these draft regulations under the broader Digital Finance Package signal a move toward stricter compliance expectations for firms deploying AI in financial markets.

Meanwhile, ethical crypto platforms are beginning to voluntarily disclose the use of trading bots in their systems. In parallel, open-source communities are advocating for clearer audit trails, improved model transparency and the establishment of ethical guidelines for AI applications in finance to ensure accountability and fairness.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Digital asset lender Ledn is transitioning to fully collateralized Bitcoin lending and discontinuing support for Ethereum, in moves designed to consolidate its BTC-focused business and further safeguard client assets against credit risks.

In adopting a full custody structure for Bitcoin (BTC) loans, Ledn will no longer lend out client assets to generate interest, the company disclosed on May 23. Instead, Bitcoin collateral will remain under full custody by Ledn or one of its designated funding partners. 

“This means assets aren’t rehypothecated, reused, or loaned out to generate yield,” Ledn co-founder and CEO Adam Reeds told Cointelegraph.

Reeds said the move brings the company back to its roots and aligns more closely with Bitcoin’s founding principles.

“Bitcoin was created as a direct response to the risks of fractional reserve banking and unchecked use of client assets to generate interest,” said Reed, adding:

“Traditional finance relies on constantly reusing client assets to create leverage and, ultimately, inflation. Bitcoiners instinctively reject that model. That’s why we’ve moved away from this approach entirely. 

Reed told Cointelegraph that the company is ending support for Ether (ETH) as “part of a broader strategic shift,” as Bitcoin represents over 99% of Ledn’s client activity.

“Rather than fragmenting the platform to chase marginal volume, we’re going all-in on Bitcoin and simplifying our stack to reflect what our clients actually value,” said Reed.

Founded in 2018, Ledn has emerged as one of the largest lenders in the digital asset space with a loan book value of $9.9 billion, according to Galaxy Research. The company enables Bitcoin holders to borrow against their assets, giving them access to liquidity without having to sell their holdings or trigger a taxable event.

This approach is commonly used by wealthy investors, who take out low-interest loans against stocks, real estate, and other assets to access cash.

Related: ‘Before Bitcoin, my most successful investment was shorting the Bolivar’ — Ledn co-founder

Digital assets are disrupting TradFi

Bitcoin’s genesis block was mined in the wake of the global financial crisis in 2008, offering the world a sound money alternative to the inflation-prone fiat monetary system. 

Bitcoin now thrives within traditional finance, especially after the successful launch of spot exchange-traded funds (ETFs) in 2024.

While financial institutions are increasingly embracing Bitcoin, some members of the banking lobby are reportedly concerned about other blockchain innovations disrupting their business models. 

Specifically, the banking lobby is “panicking” over yield-bearing stablecoins, which can pay higher interest rates and other financial incentives that traditional banks have largely abandoned, according to New York University professor Austin Campbell. 

Referring to banks as a “cartel,” Campbell said financial institutions rely on fractional reserves to maximize profits while offering depositors minimal interest. 

Magazine: Danger signs for Bitcoin as retail abandons it to institutions: Sky Wee

Spot Bitcoin exchange-traded funds (ETFs) in the United States are heading for a record-breaking month, helping push Bitcoin to new all-time highs amid rising institutional demand.

The US-listed spot Bitcoin (BTC) ETFs recorded more than $1.5 billion in combined inflows over a two-day period, with $608 million on May 21 and $934 million on May 22, according to data from Sosovalue.

A repeat performance of the past two days’ inflows would see monthly inflows surge to $6.68 billion, surpassing the monthly record of $6.49 billion from November 2024.

Related: German gov’t missed out on $2.3B profit after selling Bitcoin at $57K

ETF inflows helped Bitcoin rise to a new all-time high of $112,000 on May 22 before retracing to above $110,700 on May 23, up over 19% in the past week, TradingView data shows.

The “robust” ETF inflows and Bitcoin’s rise to new all-time highs signal growing institutional demand and rising realized profits “without increased sell pressure,” Nexo dispatch editor Stella Zlatareva told Cointelegraph.

“Institutional inflows, corporate balance sheet moves, and macro dislocation converge into a clear message: Bitcoin is no longer the alternative — it’s becoming the benchmark,” she added.

Recent surges in ETF demand coincided with $1 billion worth of Bitcoin being withdrawn from Coinbase on May 9 — a move analysts view as a signal of increasing institutional appetite.

Related: Exponential currency debasement: ‘You don’t own enough crypto, NFTs’

Institutional inflows to push Bitcoin to $200,000 in 2025

The “structural” inflows from institutions may help Bitcoin surpass the $200,000 “base case” before the end of 2025, according to Bitwise’s head of European research, André Dragosch.

“So the base case is $200,000, conditional on the US government not stepping in. If they step in, it will move closer toward $500,000,” Dragosch told Cointelegraph, referring to the US government’s proposition to make direct Bitcoin acquisitions through “budget-neutral” strategies.

Bitwise’s “in-house prediction” for 2029 is a $1 million Bitcoin price target, as Bitcoin’s market cap will surpass the market capitalization of gold, as the leading safe-haven asset, Dragosch explained.

However, gold’s $22.3 trillion market capitalization is still over 10 times larger than Bitcoin’s $2.2 trillion, which makes BTC the world’s fifth-largest asset, according to CompaniesMarketCap data.

Magazine: Crypto wanted to overthrow banks, now it’s becoming them in stablecoin fight

Singapore-based artificial intelligence firm Genius Group has added more Bitcoin to its corporate treasury after being temporarily banned from doing so.

In a May 22 announcement, Genius Group explained that it has resumed accumulating Bitcoin (BTC) following a favorable ruling by the US Court of Appeals. It follows Genius Group being temporarily barred from expanding its Bitcoin treasury after a US court order had banned it from selling shares, raising funds and using investor funds to buy more BTC.

Genius Group announced it increased its Bitcoin Treasury 40% with the purchase of 24.5 BTC, worth around $2.7 million. The company now holds 85.5 BTC acquired for a total of $8.5 million, at an average price of $99,700 per coin.

“We are pleased to be able to begin the task of rebuilding shareholder value from the damage caused by the legal actions of third parties, and delivering on our 2025 plan,” the company’s CEO, Roger Hamilton, said.

Related: Swedish health firm jumps 37% on first Bitcoin buy, China EV seller to buy 1K BTC

A long-term commitment

Hamilton said that Genius Group is “committed to educating students on the ABCs of the Future: AI, Bitcoin and Community.” He claimed that the firm is preparing the world for the upcoming digital workforce and digital economy, adding:

“Building our Bitcoin Treasury is a key part of that plan.”

Genius Group is listed on the New York Stock Exchange (NYSE) with a current market cap of $24.34 million. Google Finance data shows that the company’s stock is trading at under half of the value it had when starting the year, at $0.34 at the time of writing, dropping over 8% in the last trading day from $0.41.

Related: Bitcoin open interest hits record high as BTC slips below $111K

The many firms following in MicroStrategy’s footsteps

By accumulating Bitcoin, Genius Group is following the lead of the world’s top corporate Bitcoin treasury company, Strategy, previously known as MicroStrategy. Strategy now holds well over 2% of the total Bitcoin that will ever be created and continues buying more. The firm acquired nearly $765 million in Bitcoin last week.

Genius Group is not the only company following in the Strategy’s footsteps. Earlier this month, a Bahrain-based, listed catering company with a $24.2 million market cap adopted a Bitcoin treasury strategy in partnership with investment firm 10X Capital.

Also this month, shares of luxury watchmaker Top Win surged more than 60% in premarket trading after the company said it would adopt a Bitcoin accumulation strategy and had changed its name to AsiaStrategy.

Magazine: Metric signals $250K Bitcoin is ‘best case,’ SOL, HYPE tipped for gains: Trade Secrets

Binance co-founder and former CEO Changpeng “CZ” Zhao has pushed back against a report in The Wall Street Journal, calling it a “hit piece” filled with inaccuracies and negative assumptions. 

In an X post, Zhao criticized the publication’s portrayal of his alleged involvement with World Liberty Financial, the decentralized finance project backed by a business entity affiliated with US President Donald Trump. Trump’s sons — Eric and Donald Jr. —are involved in the management of the company.

Zhao said the WSJ article portrayed him as acting as a “fixer” for the WLF team and its co-founder Zach Witkoff during foreign trips. 

The article suggested Zhao facilitated introductions and meetings for WLF leaders during foreign trips, including a visit to Pakistan that reportedly resulted in a memorandum of understanding with a local official.

“I am not a fixer for anyone,” Zhao said, firmly denying that he connected Pakistani official “Mr. Saqib” with WLF or organized any engagements abroad. “They had known each other way back, whereas I only met with Mr. Saqib for the first time in Pakistan.” 

WSJ reports on Steve and Zach Witkoff

Zhao’s response follows a WSJ investigation highlighting a complex string of diplomatic and business interests involving WLF. 

The report raised concerns about the blurred lines between public duties and private interests and focused on diplomatic and business dealings involving WLF co-founders Steve Witkoff and his son, Zach Witkoff. Steve Witkoff serves as the US Special Envoy to the Middle East under the Trump administration, while Zach Witkoff has been involved in securing a reported $2 billion crypto deal.

The report raised questions about whether diplomatic efforts overlapped with private crypto ventures, and implied Zhao may have been attempting to curry favor with the Trump administration

On May 6, Zhao confirmed that he is seeking a pardon from the Trump administration for his earlier money laundering conviction. 

The report also highlighted that WLFI, which raised over $600 million in token sales, does not disclose the names of all its investors aside from some publicly known ones like Tron founder Justin Sun, who attended Trump’s memecoin dinner on May 22. 

Trump hosted the dinner for the largest investors of his Official Trump (TRUMP) memecoin. Sun, Magic Eden CEO Jack Lu and BitMart CEO Sheldon Xia were among attendees and shared photos of the event.

Related: Binance scores legal win as UK court partially dismisses Bitcoin SV lawsuit

Zhao claims the WSJ report is an “attack” on crypto 

Zhao claimed the WSJ submitted a list of questions containing what he described as “wrong and negative assumptions.” He and his public relations team responded by pointing out several factual inaccuracies, he said, but concluded that the article was “built on a flawed narrative.”

Zhao slammed the WSJ, calling it a “mouthpiece” for anti-crypto forces in the United States. He said the forces behind the publication want to hinder efforts to make the US a crypto capital. 

“They want to attack crypto, global crypto leaders and the pro-crypto administration,” CZ claimed, saying the article is part of a broader effort to stifle the industry’s growth in the US.

This is not the first time Zhao has clapped back at the WSJ recently. In an April 11 report, the publication cited anonymous sources alleging that Zhao agreed to testify against Tron founder Justin Sun as he settled with US prosecutors. 

CZ dismissed the report, saying that people who become government witnesses don’t go to prison and are protected. CZ also claimed that someone paid WSJ employees to smear his name.

Magazine: Crypto scam hub expose stunt goes viral, Kakao detects 70K scam apps: Asia Express

Key takeaways:

• Bitcoin hit a new all-time high of $111,970 on May 22, but retraced to $110,700, with analysts noting mixed signals on market overheating.

• Funding rates and other metrics suggest a “healthy upward phase.”

Bitcoin’s (BTC) price recorded a new all-time high of $111,970  on May 22. However, BTC price retraced shortly after to trade at $110,700 at the time of writing.

Despite the correction, there are mixed signals about whether the price rally is overheated or whether this is a healthy pullback.

Bitcoin “still not overheated” — analyst

Bitcoin is not showing any signs of being overheated despite reaching new all-time highs this week, with several analysts pointing to fundamentals suggesting Bitcoin could rise further.

“Overheating indicators such as the funding rate and short-term capital inflow remain low compared to previous peaks, and profit-taking by short-term investors is limited,” said CryptoQuant analyst Crypto Dan in a May 22 Quicktake note. 

Crypto Dan pointed out that Bitcoin’s funding rate, an indicator of market overheating, shows an increase in long bets. However, these bets “remain much smaller compared to previous peaks,” suggesting “futures market overheating is negligible.”

A spike in Bitcoin funding rates can sometimes cause worry among market participants about increased Bitcoin volatility and liquidation risks.

Still, the funding rates are moderately positive, signaling that traders are optimistic about Bitcoin’s price and buyers are willing to pay sellers a fee to hold their positions.

Meanwhile, the short-term holder (STH) Spent Output Profit Ratio (SOPR) metric reveals that despite STHs returning to profit, few have taken profits during the recent rise. 

This indicator is currently valued at 1.02%, suggesting that STHs are realizing some profits at much lower rates.

“In March 2024, there was significant profit-taking and a prolonged correction, but currently, profit-taking is much lower than in November 2024,” the analyst explained, adding that despite the price at all-time highs, whales’ profit-taking activity remains relatively subdued.

CryptoQuant’s Crypto Dan expected Bitcoin to continue rising higher, noting:

“Overall, the Bitcoin market is still in a healthy upward phase.”

Meanwhile, Bitcoin’s MVRV Z-score value — a metric that compares BTC’s market value to its realized value and adjusts for volatility — has seen a notable surge over the last month. 

Historically, all previous Bitcoin bull runs started with a notable surge in MVRV Z-score and ended with the metric entering the red zone (see chart below) to signal that Bitcoin is significantly overvalued.

At 2.8, the MVRV Z-score is still significantly below the red zone, suggesting that the market top is not yet in.

Bitcoin’s RSI entering “exhaustion”

Bitcoin’s relative strength index, or RSI, displays overbought conditions in two out of five timeframes. Bitcoin’s RSI is now at 70 in the 12-hour timeframe and 75 on the daily chart. Other intervals show near-oversold RSI values on the weekly and four-hour timeframes. 

Data from TradingView shows BTC’s RSI at 75, 71, 68 and 66 on daily, 12-hour, weekly and four-hour timeframes, respectively. Meanwhile, the Crypto Fear & Greed Index is 78, indicating “extreme greed” conditions.

When investors get too “greedy,” the market is often overdue for a correction. The last time this index was at similar levels was at the height of the Trump-driven pump in December 2024, just before BTC dropped down from its then-all-time high of around $108,000 and tumbled toward $74,000 in March.

Related: Bitcoin buyer dominance at $111K suggests 'another wave' of gains

Even though these metrics are cautioning market participants to manage risks, it is important to note that RSI conditions do not guarantee a trend reversal. Crypto prices are highly volatile, and BTC could continue to rally, fueled by increasing spot ETF demand and easing trade war tensions.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Cetus is offering a $6 million white hat bounty in an effort to recover $220 million in stolen digital assets, while emergency responses from the Sui Network have raised concerns about decentralization.

Sui-native decentralized exchange (DEX) Cetus was exploited for over $220 million worth of cryptocurrency on May 22. However, Cetus managed to freeze $162 million of the stolen funds shortly after.

Cetus has since offered a white hat bounty of up to $6 million for the exploiter for returning the stolen 20,920 Ether (ETH), worth over $55 million, along with the rest of the stolen funds currently frozen on the Sui blockchain.

“In exchange, you can keep 2,324 ETH ($6M) as a bounty, and we will consider the matter closed and will not pursue any further legal, intelligence, or public action,” Cetus wrote in a message embedded in a blockchain transaction on May 22.

However, Cetus will “escalate with full legal and intelligence resources” if these assets are off-ramped or sent to cryptocurrency mixers and not returned promptly.

A white hat bounty is offered to ethical hackers who seek protocol vulnerabilities to prevent future exploits.

Related: Exponential currency debasement: ‘You don’t own enough crypto, NFTs’

Cryptocurrency hacks soared to $90 million across 15 incidents in April, a 124% increase from March when hackers stole $41 million worth of digital assets.

Meanwhile, the industry is still recovering from the largest crypto hack, which saw Bybit exchange lose over $1.4 billion on Feb. 21, 2025.

Related: Bitcoin hits new all-time high of $109K as trade war tensions ease

SUI considers emergency white list function to override transactions

Meanwhile, GitHub activity shows the Sui team has considered implementing an emergency whitelist function that would allow certain transactions to bypass security checks, potentially to recover funds linked to the hack.

“It appears that the Sui team asked every validator to deploy patched code so they could take away @CetusProtocol hacker’s $160 million via an unsigned tx,” said Chaofan Shou, a software engineer at Solayer Labs.

However, an unnamed Sui engineer told Shou that “validators held off deploying this and currently they are only denying tx that involves hacker’s objects,” he said in a May 22 X post.

The move has sparked criticism among decentralization advocates, who argue that the ability to override transactions contradicts the principles of a decentralized permissionless network.

Despite widespread criticism in the crypto community, some saw the rapid response as a sign of progress, not centralization.

“This is what real world decentralization looks like. Not just powerless, but responsive and aligned with the community,” said pseudonymous crypto sleuth Matteo, adding that decentralization “isn’t about standing by while people get hurt, it’s about the power to act together, without needing permission.”

Magazine: Arthur Hayes $1M Bitcoin tip, altcoins ‘powerful rally’ looms: Hodler’s Digest, May 11 – 17

Hyperliquid, a decentralized perpetuals exchange operating on its own layer-1 blockchain, has submitted formal comments on 24/7 derivatives trading to the United States Commodity Futures Trading Commission (CFTC).

In a May 23 X post, Hyperliquid Labs announced that it has “submitted two comment letters to the [CFTC] in response to its recent Requests for Comment on perpetual derivatives and 24/7 trading.” The team behind the decentralized exchange (DEX) added:

“We commend the CFTC for its proactive engagement on these topics, understanding of which is fundamental to the evolution of global markets.”

Hyperliquid stated that it is committed to the advancement of the decentralized finance (DeFi) space. The team also claimed that its implementation “exemplifies how core DeFi principles can be put into practice to enhance market efficiency, market integrity, and user protection.”

Related: CFTC exodus: Fourth commissioner to depart 'later this year'

CFTC’s 24/7 derivatives plans

Hyperliquid’s remarks follow CFTC Commissioner Summer Mersinger recently saying that crypto perpetual futures contracts could receive regulatory approval in the US “very soon.” Perpetual crypto futures “can come to market now,” she said.

“We’re seeing some applications, and I believe we’ll see some of those products trading live very soon,” Mersinger said. She also added that it would be “great to get that trading back onshore in the United States.”

Perpetual futures contracts are a type of derivative that allows traders to speculate on the price of a crypto asset without owning it, similar to traditional futures, but with no expiration date. Such contracts remain open indefinitely and are kept in line with the spot market price using a funding rate mechanism, where payments are exchanged between long and short positions at regular intervals.

Related: CFTC commissioner will step down to become Blockchain Association CEO

Crypto derivatives are a busy area

The crypto derivatives market has recently been swarming with announcements of product launches, acquisitions and regulatory developments. Coinbase CEO Brian Armstrong recently said the exchange will continue to look for merger and acquisition opportunities after acquiring crypto derivatives platform Deribit.

Armstrong’s remarks followed Coinbase’s agreement to acquire Deribit, one of the world’s biggest crypto derivatives trading platforms. Europe is seeing just as much hustle in the crypto derivatives industry as the Americas are.

Major crypto exchange Gemini has also recently received regulatory approval to expand crypto derivatives trading across Europe. Elsewhere, DeFi platform Synthetix will also venture further into crypto derivatives, with plans to re-acquire the crypto options platform Derive.

Magazine: TradFi is building Ethereum L2s to tokenize trillions in RWAs: Inside story

Decentralized finance (DeFi) platforms have a major cost advantage over traditional banks when it comes to onboarding new users, according to Anton Bukov, co-founder of decentralized exchange (DEX) aggregator 1inch.

Speaking at a panel during Dutch Blockchain Week on May 22 in Amsterdam, Bukov said traditional banks spend between $100 and $300 per user to verify documents and set up accounts. Online banks, he said, spend about $20 to $30. In contrast, DeFi requires almost nothing beyond a smartphone and internet access.

“Onboarding to DeFi literally costs zero,” Bukov said. “You don’t need brick-and-mortar infrastructure or lengthy verification processes. Just connect and transact.” 

Bukov said that this gives DeFi an edge over traditional financial institutions in reaching the 1.4 billion unbanked people who remain excluded from traditional finance due to high onboarding expenses.

Reaching 1.4 billion unbanked users

“That’s why we have 1.4 billion people on the planet who are unbanked. No one’s going to invest those hundreds or tens of dollars into them because they will never return to them,” Bukov added. 

Unlike traditional finance, which has high barriers to entry, Bukov said DeFi allows the unbanked to become a part of the global economy and engage in real-life transactions using stablecoins like Tether’s USDt (USDT). 

With lower barriers to entry, DeFi becomes a tool for financial inclusion. Bukov said DeFi will continue to reach users who never had access to traditional banking as internet access expands globally. 

“You can just get a phone, access to the internet, and you can exchange your chicken for USDT,” Bukov said, highlighting how easily DeFi enables participation in the global economy. 

Related: Animoca’s Yat Siu says student loans can supercharge DeFi growth

DeFi allows access to global liquidity 

Apart from financial inclusion, Bukov said that the real value of crypto lies in how it gives access to global liquidity. The 1inch co-founder said crypto is evolving into an independent economic zone, where hundreds of billions flow through decentralized protocols. 

“Crypto isn’t just about adopting stablecoins or building national digital currencies,” Bukov said. “It’s a growing global liquidity hub.”

He said that this liquidity is dynamic and allows financial experimentation, yield strategies and cross-border capital movement. 

Bukov added that countries that align their regulations to enable easier access to this global liquidity can tap into economic opportunities and cooperation. “The more countries trade with each other, the more they succeed. Crypto works the same way,” he said. 

Magazine: TradFi is building Ethereum L2s to tokenize trillions in RWAs: Inside story

Key points:

• Bitcoin buyer interest remains strong at all-time highs, contrasting with the first touch of $100,000 in 2024.

• The BTC price uptrend “may continue” as a result, CryptoQuant analysis concludes.

• Bitcoin short-term holders are firmly in the black in a further potential bull market boost.

Bitcoin (BTC) buyers remain dominant on exchanges as all-time highs are met with unusual optimism.

Data from onchain analytics platform CryptoQuant shows a 90-day cumulative volume delta (CVD) favoring Bitcoin bulls.

CryptoQuant: BTC price uptrend “may continue”

BTC price all-time highs continue to find support among traders, with buyers staying dominant despite the market surging 50% in under two months.

Analyzing 90-day CVD, CryptoQuant contributor Ibrahim Cosar reveals the extent to which sellers have ceded control during that period.

“In short: Buy orders (taker buy) have become dominant again. In other words, more buy orders are being placed in the market than sell orders,” he summarizes. 

“This generally signals that the uptrend may continue.”

CVD measures the difference between buy and sell volume over a three-month period. Until mid-March, sell-side pressure dominated the order book, with BTC/USD hitting multimonth lows under $75,000 in early April.

Neutral conditions then prevailed until buyer dominance reentered in May.

“The summary of the situation: As the price tests above $110K and reaches a new all-time high (ATH), buyers have not backed down. This could be setting the stage for another wave of upward movement,” Cosar concludes.

Bitcoin hodlers hold off on sales

As Cointelegraph reported, hodlers have broadly refrained from distributing coins to the market at current levels.

Related: Bitcoin 'looks exhausted' as next bear market yields $69K target

Daily profit-taking is half of what it was when Bitcoin first reached $100,000 in December 2024, research shows, while the price is 10% higher.

“Older coins were much less active this time, signaling stronger holding behavior,” onchain analytics firm Glassnode added in an X thread on the topic.

Coin age distribution shows the shift:

🔺 76.9% (May 2025)
🔻 44.6% (Dec 2024)

>6m-old coins:
🔻 13.4% (May 2025)
🔺 24.7% (Dec 2024)

Older coins were much less active this time, signaling stronger holding behavior. pic.twitter.com/8PZq8p3ZX7

— glassnode (@glassnode) May 22, 2025

CryptoQuant notes that price momentum increased after reclaiming the average cost basis for Bitcoin’s short-term holder (STH) cohort at just under $100,000 — entities buying within the last six months.

“Bitcoin is rallying after reclaiming the Short-Term Holder Average Cost basis — a key level that often serves as a strong buy-the-dip indicator during bull markets,” it told X followers.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.