U.S. traditional banks and the crypto industry are likely to merge into a unified "digital asset industry" as Congress advances new market structure legislation, White House adviser on crypto and AI David Sacks said on Jan. 21, CoinDesk reports. Banks may enter the crypto market by issuing stablecoins and could use these stablecoins as yield-bearing tools to compete with fintech firms, he noted. The proposed legislation targets equal regulation for similar products while balancing stakeholder interests and opening more room for institutional capital to access the crypto market.

The US Senate Agriculture Committee is set to publish the latest version of its cryptocurrency legislation text by the end of the working day on January 21, Crypto In America reports. The release aims to outline key issues stakeholders should track ahead of a rescheduled markup hearing next week. Trump previously said Congress is working on a regulatory framework for the cryptocurrency market structure and that he hopes to sign a crypto bill as soon as possible.

U.S. President Donald Trump said on Jan. 21 he will announce a new Federal Reserve chair in the near future, specifying his choice will be a man and describing the nominee as "highly respected," BlockBeats reports. He said the concern is that a Fed chair changes stance after taking office.

President Donald Trump said on Jan. 21 that Congress is drafting cryptocurrency market structure regulations and he hopes to sign a crypto bill soon, BlockBeats reports. Trump made the remarks in Davos while attending the World Economic Forum. He added that cryptocurrency is politically popular.

The Solana Policy Institute issued an open letter on Jan. 21 calling for clearer legal protections for non-custodial developers. The institute cited the guilty verdict of Tornado Cash developer Roman Storm as a critical test for U.S. open-source technology policy. The Senate Banking Committee's latest cryptocurrency bill text states that developers who do not control user funds should not be classified as money transmitters, The Block reports.

Vietnam's Ministry of Finance issued a resolution on Jan. 21 to pilot a formal licensing framework for cryptocurrency trading platforms, aiming to bring the sector under regulation after a prolonged period in a legal grey area, Cryptonews reports. The State Securities Commission will oversee the issuance, modification and revocation of operating licenses for crypto asset trading venues and has released detailed application guidelines. The regime requires applicants to be Vietnam-based companies with minimum paid-in capital of 10 trillion Vietnamese dong (around $380 million) and to meet strict criteria on infrastructure, governance, cybersecurity and professional staffing. Around 10 securities firms and banks have indicated plans to enter the market once licensed, according to Cryptonews.

Galaxy Digital CEO Mike Novogratz said on Jan. 21 that disputes over stablecoin yield mechanisms could cause the broader CLARITY Act market structure legislation to fail, BlockBeats reports. He noted banks oppose crypto platforms offering yield to users despite explicit permission in the GENIUS Act, arguing rejection may reflect fear of disrupting the existing financial order. Novogratz said if the issue stalls the package, responsibility would fall primarily on the banking sector and Republican and Democratic senators backing it, with U.S. consumers becoming the biggest losers. Stablecoin yield accounts for about 18-20% of Coinbase's total revenue in 2025.

Hong Kong intends to issue its first batch of stablecoin licenses in the first quarter of 2026, the city’s finance chief said, according to a report by The Block. The move follows Hong Kong’s rollout of a regulatory framework for virtual assets and aligns with its stated ambition to strengthen its role as a regional hub for digital finance.