Category: Business

World Liberty Financial, a DeFi platform backed by the Trump family, has put forward a governance proposal that would require holders of unlocked $WLFI tokens to stake them to vote, while offering staking rewards to those who actively participate in governance.

Under the plan introduced on February 26, $WLFI holders must lock their tokens for at least 180 days to take part in governance voting.

Participants who cast at least 2 governance votes during their lock-up period would receive an estimated 2% annual return paid from the project’s treasury.

Voting power would be measured by both stake size and remaining lock-up duration using a non-linear formula to limit concentration among the largest holders. The system also links staking to deposit incentives on $USD1, World Liberty’s flagship stablecoin.

The proposal also establishes Node and Super Node tiers for larger stakers, offering additional incentives such as access to licensed market makers for 1:1 $USD1 stablecoin conversions and prioritized partnership engagement.

To become a “Node,” users must stake at least 10 million $WLFI, valued at roughly $1 million at current prices.

These participants would gain access to licensed market makers facilitating 1:1 conversions of supported stablecoins such as USDT and USDC into $USD1, as well as $USD1 off-ramps into US dollars.

The move would redirect arbitrage profits from institutional market makers to committed token holders, while strengthening demand for $USD1 and tying governance power to long-term capital commitments.

To become a “Super Node,” participants must lock up a minimum of 50 million $WLFI. In return, holders would receive priority access to partnership discussions with the platform’s leadership, though commercial agreements remain subject to separate review.

The proposal will be put to a seven-day vote and must secure participation from at least one billion eligible tokens to be valid.

Staking-based governance models have gained traction across decentralized finance projects as developers seek mechanisms to align long-term incentives without relying on centralized oversight.

Bitcoin’s Wednesday rally has reignited debate over the role of Wall Street market makers in spot Bitcoin exchange-traded funds, after online speculation linked the price move to a lawsuit involving quantitative trading firm and liquidity provider Jane Street.

Posts circulating on X claimed that Bitcoin’s roughly 10% climb over two days coincided with the disappearance of a purported intraday selling pattern, suggesting that legal action against Jane Street had altered market behaviour.

Analysts and ETF specialists, however, said the focus on a single firm obscures a more complex set of market mechanics underlying how spot Bitcoin ETFs operate.

Bitcoin ETFs track the asset’s spot price, but the creation and redemption process allows institutional middlemen to meet demand without having to buy or sell Bitcoin on public exchanges.

Jeff Park, chief investment officer at ProCap and an adviser to ETF issuer Bitwise, said Wednesday the debate reflects a misunderstanding of ETF market structure rather than evidence of manipulation.

In a screenshot post on X, Park outlined how large trading firms responsible for creating and redeeming ETF shares, known as authorized participants, operate under regulatory exemptions that allow them to meet ETF demand without mechanically forcing immediate spot Bitcoin purchases.

Park said those exemptions, which apply to all authorized participants, are designed to support orderly ETF market-making, but can create a “grey window” in which ETF share creation, hedging activity, and spot market transactions are not tightly linked in time.

As a result, ETF inflows do not always translate into immediate buying pressure in the spot Bitcoin market, weakening the assumption that ETF demand directly maps to spot price movements.

Ryan McMillin, chief investment officer at crypto fund manager Merkle Tree Capital, told Decrypt the structure also creates incentives that favour derivatives over spot markets.

Because Bitcoin futures frequently trade at a premium to spot prices in a condition known as contango, authorized participants may hedge exposure using futures while earning carry from the basis, he said.

“ETF assets under management balloons without forcing exchange buys, muting rallies below key levels where hype would otherwise push prices higher in a flywheel,” McMillin said.

McMillin added that when futures positions are reduced, either due to macro shifts or narrowing spreads, the adjustment can amplify price swings, contributing to sharp pullbacks that appear sudden to retail investors.

Both analysts stressed that the behaviour is legal and consistent with how ETFs are designed to operate, and does not imply wrongdoing by any individual firm.

Instead, they said it highlights how Bitcoin’s price discovery is increasingly shaped by institutional trading venues such as futures markets, rather than spot exchanges alone.

“APs wield hedge-fund-like incentives and tools with less accountability in a volatile, adoption-stage asset,” McMillin said. “The ETF ‘innovation’ risks becoming a yield-skimming machine for Wall St. that prioritises institutional arbitrage over genuine spot support.”

Ethereum price started a major rally above the $2,000 resistance. $ETH is now correcting gains from $2,150 and might decline to $2,000.

• Ethereum started a fresh upward move above the $1,950 zone.
• The price is trading above $2,000 and the 100-hourly Simple Moving Average.
• There was a break above a bearish trend line with resistance at $1,920 on the hourly chart of $ETH/USD (data feed via Kraken).
• The pair could start a fresh decline if it stays below the $2,120 zone.

Ethereum Price Rallies Over 15%

Ethereum price managed to form a base and traded above the $1,920 resistance, like Bitcoin. $ETH price rallied above the $2,000 and $2,020 resistance levels.

There was a break above a bearish trend line with resistance at $1,920 on the hourly chart of $ETH/USD. The bulls even pumped the price above $2,100. A high was formed at $2,158 before there was a sharp downside correction. The price dipped below the 23.6% Fib retracement level of the upward move from the $1,792 swing low to the $2,158 high.

Ethereum price is now trading above $2,000 and the 100-hourly Simple Moving Average. If the bulls remain in action above $2,000, the price could attempt another increase. Immediate resistance is seen near the $2,080 level.

The first key resistance is near the $2,120 level. The next major resistance is near the $2,150 level. A clear move above the $2,150 resistance might send the price toward the $2,200 resistance. An upside break above the $2,200 region might call for more gains in the coming days. In the stated case, Ether could rise toward the $2,250 resistance zone or even $2,320 in the near term.

Another Drop In $ETH?

If Ethereum fails to clear the $2,120 resistance, it could start a fresh decline. Initial support on the downside is near the $2,000 level. The first major support sits near the $1,975 zone or the 50% Fib retracement level of the upward move from the $1,792 swing low to the $2,158 high.

A clear move below the $1,975 support might push the price toward the $1,930 support. Any more losses might send the price toward the $1,900 region. The main support could be $1,880.

Technical Indicators

Hourly MACD – The MACD for $ETH/USD is losing momentum in the bullish zone.

Hourly RSI – The RSI for $ETH/USD is now above the 50 zone.

Major Support Level – $1,975

Major Resistance Level – $2,150

The International Monetary Fund said Wednesday that US inflation will not return to the Federal Reserve’s 2% target until early 2027.

The assessment, part of the IMF’s first Article IV review of the Trump administration, signals that meaningful rate relief remains distant despite the president’s optimism.

IMF Flags Fiscal Risks

IMF Managing Director Kristalina Georgieva told reporters the US current account deficit is “too big.” The Fund estimates it at 3.5% to 4% of GDP in the near term.

But the IMF’s prescription clashes with the administration’s approach. Nigel Chalk, the Fund’s Western Hemisphere Director, said fiscal consolidation — not tariffs — is the best path to narrowing the deficit. The recommendation comes after the Supreme Court struck down Trump’s broad emergency tariffs as illegal, forcing the administration to invoke Section 122 of the Trade Act of 1974 for replacement levies.

The fiscal picture is stark. The IMF projects US federal deficits will remain between 7% and 8% of GDP in the coming years. That is more than double the levels targeted by Treasury Secretary Scott Bessent. Consolidated government debt is on track to reach 140% of GDP by 2031.

“The upward path for the public debt-GDP ratio and increasing levels of short-term debt-GDP represent a growing stability risk to the US and global economy,” the Fund warned.

Trump’s Rate Optimism vs. Structural Reality

The IMF review landed one day after Trump’s State of the Union address, where the president painted a rosy picture on borrowing costs. He claimed mortgage rates had hit four-year lows and that annual mortgage costs had dropped nearly $5,000 since he took office. He framed lower rates as the solution to what he called the “Biden-created housing problem.”

Yet the IMF’s numbers tell a different story. With inflation not reaching the Fed’s target until 2027 and fiscal deficits running at twice the administration’s own goals, the structural case for higher-for-longer rates is strengthening. The Fund pegged 2026 US growth at a resilient 2.4%, leaving the Fed little urgency to ease.

What It Means for Crypto

The implications for risk assets are clear. Sticky inflation and an expanding fiscal deficit reduce the probability of aggressive rate cuts this year. For crypto markets, which rallied on rate-cut expectations through late 2025, the IMF’s assessment reinforces caution.

The deeper irony is that the administration’s own fiscal expansion — including what the IMF notes are historically large tax cuts — is the primary driver of the deficit that keeps rates elevated. Trump wants lower rates but is pursuing policies that structurally prevent them.

The IMF stopped short of predicting a crisis, noting that “the risk of sovereign stress in the US is low.” But the trajectory it describes — rising debt, persistent deficits, delayed disinflation — points to an environment where rate relief comes slowly, if at all.

The post IMF: US Inflation Won’t Hit Fed Target Until 2027, Delaying Rate Cuts appeared first on BeInCrypto.

Bitcoin price started a major increase above $68,000. $BTC is now struggling to clear the $70,000 resistance and might correct some gains.

• Bitcoin started a fresh increase after it settled above the $67,000 support.
• The price is trading above $67,500 and the 100 hourly simple moving average.
• There was a break above a bearish trend line with resistance at $66,500 on the hourly chart of the $BTC/USD pair (data feed from Kraken).
• The pair might dip again if it trades below the $67,500 and $67,200 levels.

Bitcoin Price Rallies 10%

Bitcoin price managed to form a base above the $66,000 zone. $BTC started a fresh increase and was able to surpass the $67,000 resistance zone.

The price even rallied above the $68,000 resistance. Finally, the bears appeared near $70,000. A high was formed at $70,000, and the price is now correcting gains below the 23.6% Fib retracement level of the upward move from the $62,500 swing low to the $70,000 high.

Bitcoin is now trading above $67,500 and the 100 hourly simple moving average. If the price remains stable above $67,500, it could attempt a fresh increase. Immediate resistance is near the $68,500 level.

The first key resistance is near the $69,200 level. A close above the $69,200 resistance might send the price further higher. In the stated case, the price could rise and test the $70,000 resistance. Any more gains might send the price toward the $71,200 level. The next barrier for the bulls could be $72,200 and $72,500.

Another Decline In $BTC?

If Bitcoin fails to rise above the $68,500 resistance zone, it could start another decline. Immediate support is near the $67,500 level. The first major support is near the $67,200 level or the 50% Fib retracement level of the upward move from the $62,500 swing low to the $70,000 high.

The next support is now near the $66,250 zone. Any more losses might send the price toward the $66,000 support in the near term. The main support now sits at $65,500, below which $BTC might struggle to recover in the near term.

Technical indicators:

Hourly MACD – The MACD is now losing pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for $BTC/USD is now above the 50 level.

Major Support Levels – $67,500, followed by $67,200.

Major Resistance Levels – $68,500 and $69,200.