In regulatory news, the OCC has put forth a proposal under the GENIUS Act aimed at clarifying the debate around stablecoin yields. This proposal seeks to prohibit yield generation on payment stablecoins and establishes a rebuttable presumption against typical issuer–affiliate reward structures, suggesting a tightening of rules in the stablecoin sector.

On the market front, Bitcoin is facing a significant event with a $10.5 billion monthly options expiry approaching. This event is being closely watched, with market analysts questioning whether the data will favor bulls or bears and if it could potentially mark an end to the current bear market.

Adding to the mixed signals for Bitcoin, GD Culture Group, an AI and digital marketing firm, has authorized the sale of its 7,500 Bitcoin treasury holdings. This decision comes amidst a broader market trend of declining net asset values for companies holding Bitcoin as treasury assets.

Separately, the broader crypto ecosystem saw an incident involving a whale losing $8.2 million due to a collapsed leveraged long position in the ARC perpetuals market on Lighter. While substantial, liquidity provider losses were reportedly limited to around $75,000 due to auto-deleveraging.

Furthermore, regulatory bodies continue to monitor market integrity, with the CFTC chair Mike Selig announcing the establishment of a prediction markets advisory. This initiative aims to combat insider trading, underscoring a commitment to imposing consequences for such violations.