Weekly Update: 21st of February
What happened between the 12th and 21st of February?
- Doge, Litecoin, and XRP ETF applications were acknowledged by the U.S. Securities and Exchange Commission (SEC). Read more
- The memecoin craziness seems to have ended as memecoin $Libra, promoted by the Argentine President Javier Milei sparks concerns about a pump-and-dump, leaving traders and speculators with high losses. Read more
- Collapsed digital assets exchange FTX officially started with the repayments of its creditors, distributing between $14.5 billion and $16.3 billion over the coming months. Read more
- The US Senate officially confirms Howard Lutnick, pro-digital assets advocate, as Trump’s commerce secretary. Read more
Altcoin ETF race continues
On February 13th, the SEC acknowledged Grayscale’s filings for Dogecoin and XRP ETFs, triggering the review process under Form 19b-4. This means the agency must decide within the mandated 240-day deadline, which begins once the filings are published in the SEC’s federal register—typically within a few days—suggesting a potential deadline in October. Earlier, on January 19th, the SEC also acknowledged 19b-4 filings for CoinShares' Litecoin and XRP ETFs. Currently, Litecoin, Solana, XRP, and Dogecoin are in the U.S. ETF approval process, while filings for HBAR and Polkadot are still pending. Meanwhile, in Brazil, the Hashdex Nasdaq XRP Index Fund has already launched, marking the world’s first XRP spot ETF.
Memecoin frenzy finally over?
On February 14th, the $Libra memecoin launched on Solana, but it gained attention when Argentine President Javier Milei appeared to promote it. A now-deleted post from Milei’s account claimed the project would support Argentina’s economy, causing $Libra to surge from $0.13 to $4.50, reaching a $4 billion market cap. Within hours, the token plunged 89%, sparking concerns over insider trading and a pump-and-dump scheme. This has led to capital outflows from Solana and various market observers think that the memecoin frenzy might be over and that traders and investors will search for utility once again. Meanwhile, Milei faces legal scrutiny from political opponents in Argentina and some are asking for his resignation.
The FTX debacle is slowly coming to an end
On February 18th, collapsed digital asset exchange FTX began its long-awaited creditor repayments. The first creditors were users in the "Convenience Class"—those with claims up to $50,000—receiving a total of approximately $1.2 billion. The next distribution is set for May 30th, covering claims above $50,000 and those who missed the first round. In total, FTX must distribute between $14.5 billion and $16.3 billion. While many hope this capital will flow back into the market, it remains uncertain whether creditors will reinvest in digital assets after this ordeal.
Howard Lutnick becomes Trump’s commerce secretary
On February 18th, the U.S. Senate confirmed Howard Lutnick as the 41st Secretary of Commerce. He will play a key role in shaping trade policies, including proposed tariffs under the Trump administration. Lutnick now leads the Commerce Department’s 50,000 staff members, overseeing business data, patents, foreign investment, and economic forecasting. His appointment faced opposition due to his Wall Street ties and holdings in over 818 businesses. His firm, Cantor Fitzgerald, is also a major banking partner of stablecoin giant Tether (USDT). Lutnick has stepped down as CEO of Cantor Fitzgerald and announced plans to divest all his shares and private investments within 90 days.
In other digital assets news
- Ten firms have been approved to issue stablecoins in the European Union, including Circle (USDC), as expected the biggest stablecoin, Tether (USDT), has not made the list.
- GameStop stock price surges by 5% as the company considers adding digital assets, including Bitcoin, to its balance sheet.
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