Home Cryptocurrency SKN | SBI Acquires Bitbank in $289 Million Deal as DeFi Stablecoin Crisis Deepens and Trump Delays CBDC Ban
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SKN | SBI Acquires Bitbank in $289 Million Deal as DeFi Stablecoin Crisis Deepens and Trump Delays CBDC Ban

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Key Points

• SBI Holdings signed a $289 million agreement to acquire cryptocurrency exchange Bitbank, potentially creating Japan’s largest crypto exchange by assets under custody.

• Abracadabra launched emergency measures after its Magic Internet Money (MIM) stablecoin lost more than 50% of its value against the U.S. dollar.

• President Donald Trump postponed signing a major housing bill that contained a ban on Federal Reserve-issued central bank digital currencies (CBDCs) through 2030.

• The developments highlight ongoing consolidation in crypto markets, persistent risks in decentralized finance, and continued uncertainty surrounding U.S. digital asset regulation.

SBI Moves to Create Japan’s Largest Crypto Exchange

Japanese financial giant SBI Holdings has signed agreements to acquire full ownership of crypto exchange Bitbank in a transaction valued at approximately $289 million, marking one of the largest crypto acquisitions in Japan this year.

Under the agreement, SBI’s wholly owned subsidiary SBICAH will purchase shares from Bitbank CEO Noriyuki Hirosue and other shareholders before completing a third-party share allotment. Following the transaction, Bitbank will repurchase shares currently held by MIXI and Ceres, resulting in SBI obtaining 100% indirect ownership.

The acquisition remains subject to regulatory approval and is expected to close around October.

SBI stated that combining Bitbank with SBI VC Trade would create a crypto business holding approximately 1.1 trillion yen in assets under custody and nearly 2.92 million customer accounts. Based on current figures, the combined operation would rank as Japan’s largest crypto exchange by assets under custody and among the country’s largest by user base.

The deal also strengthens SBI’s position as Japan increasingly integrates digital assets, stablecoins, and tokenized financial products into its broader financial system.

Abracadabra Responds to Severe Stablecoin Depeg

Decentralized finance platform Abracadabra initiated emergency measures after its crypto-backed stablecoin, Magic Internet Money (MIM), lost more than half of its value relative to the U.S. dollar.

The platform announced that it would immediately begin increasing interest rates across all active and deprecated lending markets, known as Cauldrons, in an effort to encourage borrowers to repay debt and reduce the circulating supply of MIM.

The sharp depeg highlights ongoing vulnerabilities within decentralized stablecoin systems. Although MIM is overcollateralized, extreme market conditions and limited liquidity have exposed weaknesses that can emerge during prolonged bear markets.

The event serves as another reminder that even crypto-backed stablecoins remain vulnerable to market stress, particularly when investor confidence deteriorates and redemption demand accelerates.

Trump Delays Housing Bill Containing CBDC Ban

In Washington, President Donald Trump postponed signing the 21st Century ROAD to Housing Act, a housing affordability package that also included a prohibition on the Federal Reserve creating or issuing a central bank digital currency through the end of 2030.

The legislation contained an exception for certain private-sector dollar-backed stablecoins operating on open and permissionless blockchain networks.

Trump stated that he would withhold his signature until Congress approves the SAVE America Act, a Republican-backed election integrity proposal requiring proof of U.S. citizenship for voter registration.

The housing package had received overwhelming bipartisan support, passing the Senate by an 85-5 margin before clearing the House of Representatives. The unexpected delay surprised lawmakers from both parties, including supporters of the legislation.

Regulatory Implications for the Crypto Industry

The delay may have broader implications for pending cryptocurrency legislation, particularly the CLARITY Act, which seeks to establish a comprehensive regulatory framework for digital assets in the United States.

Market participants are closely monitoring developments in Washington, as the future direction of stablecoin regulation, CBDC policy, and broader crypto oversight remains a critical factor influencing institutional adoption and investment decisions.

Combined with ongoing regulatory reforms across Europe and Asia, U.S. policy decisions continue to play a major role in shaping the global digital asset landscape.

Outlook

The latest developments illustrate the rapidly evolving nature of the cryptocurrency industry. SBI’s acquisition of Bitbank demonstrates continued institutional consolidation and growth in regulated crypto markets, while the MIM stablecoin crisis highlights the risks that remain within decentralized finance. Meanwhile, uncertainty surrounding U.S. legislation and CBDC policy continues to influence investor sentiment as lawmakers debate the future structure of digital asset regulation.

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