Crypto Market Update: XRP Case, Bitcoin Safety Shift, and Australia’s Crypto Regulation

Analysts suggest the U.S. Securities and Exchange Commission (SEC) dropping its case against XRP was already priced into the market since Donald Trump’s election. Meanwhile, crypto investors are shifting towards safer assets amid rising scams and geopolitical uncertainties.

Key Highlights:

• Analysts believe the SEC’s decision to drop the XRP lawsuit was anticipated by markets since Trump’s election.
• Bitcoin investors are moving away from speculative trading, seeking safer digital asset investments.
• Australia announces new crypto regulations and promises action against crypto debanking.
• Canary Capital files for a U.S. ETF backed by Pudgy Penguins’ governance token (PENGU).
• Coinbase becomes Ethereum’s largest node operator, controlling over 11% of staked ETH.

Bitcoin Investors Shift to Safety Amid Market Volatility

Investor appetite for speculative crypto assets is declining, driven by recent memecoin scams and macroeconomic uncertainty. Glassnode data shows Bitcoin’s “hot supply”—coins held for one week or less—has dropped significantly from 5.9% in November to just 2.3% as of March 20. Ryan Lee, chief analyst at Bitget Research, notes this indicates investors are repositioning towards safer digital assets.

Australia Proposes Crypto Regulation, Targets Debanking

The Australian government, led by Prime Minister Anthony Albanese, has proposed a new regulatory framework for crypto exchanges, custody services, and brokerage firms. The new rules will require crypto businesses to obtain an Australian Financial Services Licence, safeguard customer assets, and meet minimum capital requirements. The government also pledged to address crypto debanking issues ahead of the upcoming federal election.

Canary Capital Files for Pudgy Penguins ETF

Asset manager Canary Capital has filed with U.S. regulators to launch an exchange-traded fund (ETF) backed by Pudgy Penguins’ governance token, PENGU. If approved, this ETF would be the first in the U.S. to hold NFTs directly, alongside digital assets like Ethereum (ETH) and Solana (SOL) necessary for transactions.

Coinbase Now Ethereum’s Largest Node Operator

Coinbase has become the largest Ethereum node operator, controlling 11.42% of all staked Ether (ETH). The exchange currently holds approximately 3.84 million ETH, valued at around $6.8 billion. Coinbase also reported exceeding its validator uptime targets, indicating strong operational reliability.