Cryptocurrency and Blockchain
The crypto sector faced regulatory and corporate setbacks as Swissquote slashed its 2026 revenue target due to a 66% drop in crypto income, and RedotPay delayed its $1 billion IPO to 2027 while facing a Binance lawsuit. Concurrently, the SEC canceled a key meeting on its proposed Regulation Crypto framework, and the OCC returned ZeroHash's trust charter application without a decision. However, World Liberty Financial secured conditional OCC approval for its own national trust bank charter, and President Trump is set to host crypto executives at a White House innovation meeting.
Swissquote lowered its full-year 2026 revenue and profit targets after a 66.2% plunge in crypto trading net income dragged down its first-half performance, sending its shares tumbling 14%. The Swiss online banking group now expects full-year net revenue of approximately CHF 730 million and pre-tax profit of about CHF 365 million, down from prior forecasts of CHF 760 million and CHF 385 million respectively. Net crypto asset income fell to CHF 14.6 million during the first half as trading volumes contracted 63.5% to CHF 2.58 billion. The unit's results also absorbed a CHF 5.3 million negative mark-to-market adjustment on inventory held to support liquidity on the firm's proprietary SQX exchange. Gains elsewhere cushioned the blow, with net fee and commission income excluding crypto rising 13% to CHF 123.7 million and net interest income increasing 7.2% to CHF 115.9 million. Total client assets reached a record CHF 96.3 billion following CHF 5.1 billion in net new money, while total accounts rose to 1,220,818. Despite the reduced outlook, management left its longer-term 2028 pre-tax profit target of CHF 500 million unchanged.
The Office of the Comptroller of the Currency granted conditional preliminary approval for a national trust bank charter to World Liberty Trust Company, a subsidiary of the Trump-backed crypto venture World Liberty Financial. The designation allows the newly formed entity to bring issuance, custody, and reserve management of its USD1 stablecoin in-house rather than relying on BitGo Bank and Trust. The charter carries strict conditions, including maintaining at least $20 million in capital and appointing an internal audit manager. While the trust bank lacks depository and lending powers, it permits nationwide digital asset custody for institutional clients under federal oversight. Democratic lawmakers and consumer groups sharply criticized the decision as an ethical conflict involving President Donald Trump and his family's financial interests, though agency officials maintained the application underwent standard review by career staff.
The U.S. Securities and Exchange Commission abruptly canceled a meeting scheduled for Friday to propose its long-awaited "Regulation Crypto" framework, citing an unforeseen scheduling issue. The agency intended to reveal a tailored offering regime allowing crypto startups to raise capital without triggering traditional registration requirements. SEC Chairman Paul Atkins previously positioned the rulemaking as a central component of his digital assets agenda following legislative gridlock in the Senate. Lawmakers left Washington for a five-week recess without advancing the Digital Asset Market Clarity Act, leaving the industry without a comprehensive statutory framework. In the absence of congressional action, the SEC and the Commodity Futures Trading Commission are attempting to establish alternative regulatory pathways for digital assets.