BlackRock suggests that if portfolio models in Asia allocated just 1% to cryptocurrencies, it could generate nearly $2 trillion in new Capital inflows, equivalent to about 60% of the current cryptocurrency market Capital .
The assessment, presented at Consensus Hong Kong, highlighted the size of traditional assets in Asia (estimated at $108 trillion) and the rapidly increasing holdings of US-listed cryptocurrency ETFs by investors in the region.
- BlackRock: 1% of cryptocurrency allocation in Asia could unlock nearly $2 trillion.
- Alameda liquidation exchanged 129 million STG for 11.142 million ZRO (24.29 million USD) at a fixed rate.
- Several major developments: Tether increases purchases of US bonds; Paxful fined $4 million; Coinbase launches Agentic Wallets; BlockFills suspends deposits/withdrawals.
Institutional cash flow: BlackRock, Tether, ICE, Strategy
BlackRock estimates that 1% of cryptocurrency allocation in Asia could generate nearly $2 trillion in new Capital inflows; Tether expects to be among the top 10 buyers of US Treasury bonds this year; ICE launches Polymarket data product and CoinDesk index Futures Contract .
Nicholas Peach (BlackRock Asia Pacific) noted that Asian household assets are worth approximately $108 trillion, so even conservative adjustments would have a significant impact. He also said that Asian investors hold a substantial stake in US-listed cryptocurrency ETFs and that ETF adoption in the region is rapidly increasing.
Bo Hines (head of Tether's US subsidiary) stated that 83.11% of Tether's USDT reserves are held in US Treasury bonds, valued at over $122 billion; this figure places Tether among the top 20 global holders, between Germany and Saudi Arabia. BDO data shows that Tether has approximately $6.3 billion in excess reserves; this is driven by demand for USDT and USAT-compliant stablecoins .
ICE announced the Polymarket Signals and Sentiment tool, standardizing predictive market data to generate crowd-based probabilistic signals for institutional investors. ICE also launched cryptocurrency Futures Contract based on seven CoinDesk indices (CoinDesk 20, CoinDesk 5, and single-currency contracts for Bitcoin, Ethereum, Solana , XRP, and BNB), priced in USD and settled in cash; currently, over $40 billion worth of assets track the relevant indices.
Strategy CEO Phong Le stated that the company will issue additional perpetual preferred stock to alleviate concerns about stock price volatility. The Stretch product has a monthly dividend yield reset at 11.25%, aiming to keep the price trading around its par value of $100; over the past three weeks, the company has sold approximately $370 million worth of common stock and $7 million worth of preferred stock to finance Bitcoin purchases.
on-chain, product & legal: Alameda, UNI, Coinbase, Paxful, BlockFills, SEC
Alameda liquidation exchanged 129 million STG for 11.142 million ZRO ($24.29 million); one wallet transferred 3.65 million UNI ($13.43 million) to Coinbase Prime; Coinbase launched Agentic Wallets; Paxful was fined $4 million; BlockFills temporarily suspended deposits/withdrawals.
According to Yu Jin, the STG transaction took place 2 hours after LayerZero planned its public launch of L1 Zero. 129 million STG represents 12.9% of the total STG supply, exchanged at a fixed rate of 1 STG = 0.08634 ZRO. Alameda is an investor in Stargate; the STG comes from the vesting calendar. In August 2025, Stargate was acquired by LayerZero for $110 million.
According to Ember, after UNI price surge, an address transferred 3.65 million UNI ($13.43 million) to Coinbase Prime. UNI had risen 31% from $3.28 to $4.30 due to news that BlackRock was expected to purchase an undisclosed amount of UNI ; subsequently, the price of UNI almost erased all of its gains and returned to its previous night's opening range.
Coinbase announced Agentic Wallets, a wallet infrastructure for self-operating AI agents: holding funds, making payments, trading Token, generating yields, and executing transactions on-chain . The product is built on the x402 protocol and allows pre-defined permissions to ensure agents operate within safe boundaries, for example, automatically adjusting positions when better yield opportunities arise.
Paxful Holdings was fined $4 million for inadequate anti-money laundering controls, allegedly allowing illicit transfers of funds related to fraud, prostitution, and sex trafficking. The U.S. Department of Justice stated that between 2015 and 2022, approximately $17 million worth of Bitcoin was transferred from Paxful wallets to websites such as Backpage, generating at least $2.7 million in profits for Paxful; the initial fine of over $112 million was adjusted because Paxful was unable to pay.
BlockFills has temporarily suspended deposits and withdrawals, stating it is working with investors/clients to restore liquidation; there is no timeline for reopening and no commitment to asset safety or full repayment. Regarding legal/policy matters, SEC Chairman Paul Atkins is being questioned before the House Financial Services Committee about lax regulation and the withdrawal of enforcement actions, including the 2023 case involving Justin Sun and allegations of TRX price manipulation.
