The Daily: Germany Sells $339 Million More in Bitcoin, Doja Cat Token Crashes After Hack, More

• Following a massive Bitcoin transfer on Monday, the German government sent an additional $339.2 million worth of Bitcoin to addresses of centralized cryptocurrency exchanges and market makers on Tuesday.
• This included 800 bitcoins ($45.9 million) sent to cryptocurrency exchange Kraken, 5,000 bitcoins ($287.1 million) sent to an address believed to belong to the market marker B2C2 Group, and approximately 107 bitcoins ($6.2 million) sent to market maker Cumberland DRW.
• The government also appears to have sent an additional 400 bitcoins ($23 million) to an unspecified address and received 1,692 bitcoins ($96.9 million) back from the cryptocurrency exchange Bitstamp.
• According to Arkham data, Germany still holds 22,846 bitcoins, worth about $1.3 billion.
• Bitcoin Bitcoin

  +0.59%
  Since the German government began moving funds to exchanges on June 18, the price has fallen by about 12%.

PayPal’s stablecoin has surpassed $500 million in market cap.

• In particular, according to DeFiLlama data, PYUSD’s token supply has increased by 97% over the past month, from 270 million to over 533 million.
• This surge has seen PayPal join the top 10 stablecoin issuers less than a year after its launch in August 2023, with Tether’s USDT leading the way with a supply of over 112 billion.
• Solana currently holds approximately 134.5 million PYUSD tokens, or about 25% of the supply, with nearly 399 million (75%) on Ethereum.
• The growth of stablecoins is also driven by adoption on centralized exchanges like Crypto.com and integration with DeFi protocols like Curve and Frax.

Paxful Co-Founder Sentenced to 5 Years in Prison After Pleading Guilty in AML Case

• The US Department of Justice alleged that Paxful operated without collecting KYC data from July 2015 to June 2019 and told users that such data was not required.
• The DOJ alleged that Schaback’s negligence allowed Paxful to be used for money laundering, sanctions violations, and fraud.
• Shabak faces up to five years in prison and is scheduled to be sentenced on November 4.
• The platform was briefly shut down in April last year amid a legal dispute between Shabak and former CEO Ray Youssef over control of the company.

Invesco Galaxy Sets Spot Ethereum ETF Fees at 0.25% in Latest Submission Round

• VanEck followed suit last month by setting its own fee at 0.2%, following Franklin Templeton’s 0.19% fee last month.
• The SEC approved Form 19b-4 for eight spot Ethereum ETFs on May 23, but before they can begin trading, issuers must have an S-1 filing in effect.
• BlackRock, Fidelity, 21Shares and Grayscale have not yet disclosed their fees.
• Bitwise said it would waive sponsor fees for the first $500 million of assets under management, but would not disclose fees thereafter.

Doja Cat’s X Account Hacked to Promote a Collapsed Token

• Doja Cat informed her 24 million Instagram followers of the hack, clarifying that she did not send a series of misleading X-messages.
• The promoted DOJA token initially reached a market cap of $500,000 but has since crashed by 97%.

within the next 24 hours

Federal Reserve Chairman Jerome Powell is scheduled to testify before the Joint Economic Committee tomorrow at 10 a.m. ET on the economic outlook and recent monetary policy actions.

FOMC member Michelle Bowman speaks at 2:30 p.m.

The Ethereum Community Conference continues in Brussels.

Don’t miss a beat with The Block’s daily roundup of the most impactful events happening across the digital asset ecosystem.