The SEC reversed course on tokenized stocks, according to the Morning Minute update. The shift drew heightened market attention as investors tracked potential implications for how tokenized stock offerings may be treated under US securities rules.

Blockchain data shows a transfer of 673 BTC, valued at $51,730,227, from Coinbase Institutional to an unidentified wallet.

Prime Trust's post-bankruptcy litigation trust has sued Swan Bitcoin in Delaware bankruptcy court, alleging the crypto custody firm used insider access to move roughly $1 billion in assets out of Prime Trust before the custodian collapsed in August 2023. The complaint says Electric Solidus, the corporate entity behind Swan Bitcoin, received more than $24.6 million in cash, 11,994 BTC (valued at about $923 million at the time of filing), around $5 million in USDT, and smaller amounts of other digital assets before Prime Trust filed for bankruptcy. At the center of the case is a Prime Trust senior executive who allegedly had a long-running side arrangement as a paid adviser to Swan dating back to July 2019. The filing claims that four days before Prime Trust met with Nevada regulators on May 26, 2023, the executive opened an encrypted chat with Swan CEO Cory Klippsten and enabled messages to auto-delete every 24 hours. The auto-delete feature was reportedly disabled the day after the regulatory meeting, when Swan withdrew more than 10,000 BTC from Prime Trust. The lawsuit is part of a broader effort by the Prime Trust litigation trust to claw back assets transferred in the weeks leading up to the bankruptcy. The trust alleges Swan prioritized its own position over other customers by accelerating withdrawals as Prime Trust's financial condition deteriorated. "Swan knew to transfer fiat and crypto from Prime immediately prior to Prime filing for bankruptcy to avoid catastrophic losses," the complaint states. The filing also points to an internal ledger created on May 25 titled "PT FBO Swan Customers," which it says did not previously exist. The trust argues the ledger was designed to make it appear Swan's funds were held in a separate, customer-specific trust, when in substance they were not, potentially obscuring custody arrangements from creditors and regulators. The plaintiffs seek relief under the Bankruptcy Code's preferential transfer and actual fraudulent transfer provisions and ask the court to bar Swan from asserting future claims against the estate until restitution is made. Cointelegraph said it contacted Swan for comment but did not receive an immediate response.

CoinDesk reports that activity on the XRP Ledger has picked up again, with transaction counts rising above 250 million and daily payment volume topping 407 million XRP. Network engagement remains elevated versus recent months, pointing to sustained usage even as price action stays range-bound. XRP has been consolidating tightly around $1.35–$1.40, while market participation has increased. Technical charts show overhead pressure near the 100-day and 200-day moving averages, with support continuing to hold around $1.30. During the latest market pullback, XRP has traded with relative stability. The RSI remains near neutral, suggesting the token has not slipped into extreme bearish positioning. Rising ledger activity can be read in two ways. On the constructive side, higher transaction volume and active users typically signal improved liquidity, stronger ecosystem engagement, and ongoing demand tied to institutional or cross-border payment use cases, reinforcing XRP's longer-term utility beyond purely speculative flows. At the same time, heavy wallet-to-wallet movement can precede short-term volatility. If a meaningful share of transfers ultimately moves onto exchanges, traders may interpret it as potential sell-side pressure, prompting closer monitoring of exchange inflows. XRP's technical setup adds another constraint: despite firm support, it continues to trade below key long-term moving averages, and recent breakout attempts have faded quickly, limiting upside momentum even with stronger on-chain metrics. Looking ahead, Bitcoin's stability and broader crypto sentiment are likely to shape the next move. If BTC avoids a deeper correction and risk appetite improves, XRP could make another push toward the $1.45–$1.50 zone, especially if payment volumes and ledger activity keep rising. If the wider market sells off again, XRP could struggle to hold its current range despite the network's strong underlying signals.

A cross-border redemption test for tokenized U.S. Treasuries linked the XRP Ledger with bank settlement rails and payment-instruction networks, achieving final settlement in under five seconds, CoinDesk reported. Four firms took part: Ripple, JPMorgan's Kinexys, Mastercard, and Ondo Finance. In the workflow, Ondo's tokenized U.S. Treasury product, OUSG, was redeemed; Ripple executed the redemption on the XRP Ledger; Mastercard delivered the settlement instructions; and Kinexys handled institutional bank-level processing. The report said the U.S. dollar proceeds ultimately landed in Ripple's Singapore account outside normal banking hours, which participants cited as evidence the process can operate on a near 24/7 basis. Traditional cross-border correspondent banking redemptions typically take one to three business days due to multiple intermediaries, separate ledgers, and sequential reconciliation. This test effectively compressed those steps into a single near-real-time settlement event. Details cited in the report: - Asset: Ondo Finance tokenized U.S. Treasury product (OUSG) - Settlement layer: XRP Ledger integrated with banking systems - Completion time: under 5 seconds CoinDesk noted the exercise was less about XRP's market dynamics and more about interoperability—using the ledger as a coordination and settlement layer across on-chain assets, payment instruction systems, and bank account infrastructure. For the participating institutions, the trial served as an operational proof point: whether tokenized real-world assets can be redeemed cross-border while integrating cleanly with existing fiat banking systems. If repeatable at scale, the approach could shrink cross-border redemptions and inter-institution value transfers from days to seconds, extending blockchain use into institutional clearing and settlement.

Payward, the parent company of crypto exchange Kraken, said it generated $507 million in adjusted revenue in the first quarter of 2026, navigating a broad pullback in digital-asset markets while expanding its user base and product lineup. Co-CEO Arjun Sethi said the company increased funded accounts, grew assets on the platform and advanced its acquisition strategy, while keeping plans for a future IPO intact during a quarter shaped by lower trading activity and geopolitical uncertainty. Payward reported total platform transaction volume of $357 billion for Q1 2026. Over the same period, market conditions weighed on sector activity: Bitcoin fell 22% and total crypto market capitalization dropped 23%. The company said industrywide spot trading volume declined 38%. Even with the weaker backdrop, funded accounts rose 47% year over year to 6.1 million. Assets on platform increased 11% to $40 billion as of March 31, 2026. Payward also said Kraken's spot market share climbed from about 3.5% in mid-2025 to 5.2% in March 2026, and that it retained 59% of spot trading volume from the December 2024 peak. Adjusted EBITDA came in at $18 million. Payward said ongoing investment in acquisitions, infrastructure and AI tooling weighed on profitability growth. On the M&A front, Payward said it completed acquisitions linked to tokenization, derivatives and payments infrastructure, including deals involving Backed, Magna and Bitnomial in early 2026. The company also announced plans to acquire Reap Technologies in a transaction valued at up to $600 million, which it expects to close in the second half of 2026. Payward highlighted Bitnomial's regulatory footprint, noting it holds all three CFTC-issued licenses needed to operate a full-stack crypto derivatives business in the U.S. Magna, the company added, supports token vesting, distributions and lifecycle operations for more than 160 crypto-native projects. Alongside acquisitions, Payward rolled out new offerings across Kraken and Payward Services, including tokenized equities, traditional-finance futures, DeFi yield products and AI-focused trading tools. The company also expanded institutional services through partnerships involving Nasdaq, Deutsche Börse and ICE Chat. Payward said its latest Proof of Reserves report continues to be independently verified by The Network Firm.

Echo Protocol, a Bitcoin-focused DeFi platform, was hit by an exploit involving Monad that resulted in losses of about $76 million.

Minnesota has enacted legislation allowing state-chartered banks and credit unions to provide cryptocurrency custody services, expanding the state's traditional financial infrastructure to include digital assets. Governor Tim Walz signed the bill into law, and the provisions take effect on August 1. The measure, codified as Session Law Chapter 93, authorizes regulated financial institutions to hold digital assets on behalf of customers. Under the new statute, Minnesota-chartered banks and credit unions may offer custody within a regulated framework. Crypto custody generally refers to safeguarding clients' private keys and digital assets, a function that has largely been handled by specialized crypto firms and a limited number of national banks. By covering credit unions as well as banks, the law broadens the pool of potential providers, potentially extending access to members who do not use dedicated digital-asset platforms. For participating institutions, custody could open a fee-based revenue line aligned with existing capabilities in safeguarding client assets. Banks and credit unions already provide custody and safekeeping services for cash, securities, and other valuables; the legislation enables a similar model for cryptocurrencies such as Bitcoin. For consumers, the change creates an option to hold crypto through familiar, regulated providers rather than relying on standalone exchanges or third-party custodians. Minnesota's state-chartered banks and credit unions are supervised by the Minnesota Department of Commerce, adding an oversight layer that may offer protections not present with unregulated custodians. The law is permissive, not mandatory. Whether an institution launches crypto custody will depend on internal risk assessments, technology readiness, compliance considerations, and customer demand. Minnesota's move also adds to a growing patchwork of state-level crypto policies across the U.S. as federal regulatory clarity remains in progress. The inclusion of credit unions is notable given their community reach, which could broaden access beyond major urban financial centers. The legislation arrives as institutional interest in custody and other crypto-market infrastructure grows nationwide. Companies such as Strategy have been building sizeable Bitcoin positions, the SEC has been exploring blockchain-based tokenized stock trading, and decentralized platforms such as Hyperliquid continue to challenge centralized exchange models. With an August 1 effective date, Minnesota's banks and credit unions now have a defined timeline to evaluate whether crypto custody fits their business strategies. The law provides the legal authority; market adoption will hinge on institutional appetite and customer interest. Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency and digital asset markets carry significant risk. Always do your own research before making decisions.

Tokenized assets on the XRP Ledger have climbed 3.5x.