Digital euro: the ECB completes its preparatory phase

Digital euro: the ECB completes its preparatory phase

The European Central Bank has announced that it has completed the technical preparation phase of the digital euro project. After several years of studies, testing, and work on the future system’s architecture, the ECB considers this stage finished. The next steps now depend on political and legislative decisions at the European level, which will be required to officially authorize the issuance of this new form of currency.
 
The digital euro is intended to become an electronic version of the single currency, issued directly by the ECB and designed for the general public. It would be used alongside cash for everyday payments, both online and in physical stores. The objective is to provide a secure, universal means of payment independent of private actors, while adapting to the growing digitalization of financial usage.
 
The next phase lies with the European Parliament and the Council of the European Union, which must adopt a clear legal framework. Without a legal basis, the ECB cannot move to deployment. If the necessary legislation is approved in the coming years, pilot projects could be launched to test the digital euro under real-world conditions before any potential large-scale rollout.
 
This project comes at a time of deep transformation in payments, marked by declining cash usage and the rise of private digital solutions, particularly stablecoins. For the European Union, the digital euro is also a matter of monetary sovereignty. However, it continues to spark debate, especially around privacy protection, the role of commercial banks, and the level of control the central bank could exercise over citizens’ payments.
 

Aave: the SEC ends a four-year investigation

After four years of investigation, the U.S. Securities and Exchange Commission has decided to close its inquiry into the decentralized finance protocol Aave without filing formal charges. The case stemmed from an in-depth review of the protocol’s operations, products, and token distribution mechanisms to determine whether it violated U.S. securities laws.
 
The SEC’s decision means that, despite intense regulatory scrutiny, the authority did not find it necessary or justified to pursue legal action against Aave or its founders based on the evidence gathered. This outcome contrasts with other recent cases in which the SEC has taken action against DeFi players on similar grounds, contributing to broader regulatory uncertainty across the sector.
 
For the crypto community, the closure without penalties is seen as a significant win for decentralized finance. It may suggest that certain DeFi models, including those without a centralized legal entity, are not automatically classified as illegal securities offerings subject to the same rules as traditional markets. Aave could therefore serve as a reference point for other protocols facing regulatory review.
 
That said, this does not eliminate future regulatory challenges. Legal frameworks around DeFi remain unclear and evolving, and the SEC or other authorities could adjust their interpretation depending on circumstances or growing investor protection concerns. The decision also does not preclude potential civil actions should new evidence emerge.
 
 

Is Circle signing Axelar’s death warrant?

Circle, the issuer of USDC, has decided to end its support for the Axelar protocol, an inter-blockchain communication infrastructure designed to facilitate the transfer of messages and tokens across networks. The announcement triggered a sharp drop in the price of Axelar’s AXL token, which fell by roughly 18% in a short period, reflecting a loss of investor confidence.
 
Axelar is not a traditional blockchain. It acts as a universal bridge, enabling applications and tokens to move between different networks such as Cosmos, Ethereum, and other compatible chains. Circle relied on Axelar for certain USDC functionalities across these networks. By withdrawing its involvement, Circle removes a major source of integration and technical credibility for the protocol.
 
Circle’s decision is driven by a reassessment of risks and technical priorities. The company aims to consolidate its infrastructure around solutions it considers more robust or better aligned with its goals of speed, security, and regulatory compliance. For Axelar, losing such a strategic partner is a serious setback, as it limits adoption potential.
 
Market reaction was immediate. AXL’s price plunged, with some participants already talking about a “premature end” for the project if it fails to secure comparable integrations quickly. Token holders now face uncertainty, as Axelar’s future viability depends on its ability to attract new major partners or reinvent itself without Circle.
 
This situation highlights a broader issue in the crypto ecosystem: dependence on key partners can become a structural weakness, especially when those partners change strategy. For investors, the episode underscores the importance of evaluating not only a project’s technology, but also the strength and durability of its partnerships.
 
For Axelar, the priority now is to find new alliances or redefine its roadmap if the protocol is to survive this major blow.
 

Bitcoin now supported in MetaMask

The popular MetaMask wallet has announced native Bitcoin support, marking a major milestone for the crypto ecosystem. Users can now store, send, receive, and manage Bitcoin directly within MetaMask, alongside Ethereum, EVM-compatible tokens, and many other digital assets. This integration responds to long-standing community demand to consolidate crypto holdings within a single, intuitive wallet.
 
In practice, MetaMask supports Bitcoin through tokenized or bridged Bitcoin solutions, enabling users to interact with BTC without leaving the familiar wallet interface. This simplifies the experience for Bitcoin holders who want to use their assets in DeFi applications or compatible services, while maintaining security and full control over private keys. The feature is available on the desktop extension and is rolling out progressively on mobile.
 
This development aligns with a broader trend toward multi-chain wallets integrating the market’s leading assets to streamline everyday crypto usage. By adding Bitcoin, MetaMask reduces tool fragmentation and makes cross-asset management easier. Users no longer need separate wallets or external solutions to manage BTC alongside other tokens.
 
From a security standpoint, MetaMask remains fully non-custodial. Users retain exclusive control over their private keys, meaning only they can access their funds. The addition of Bitcoin does not alter this core principle, even if the technical interaction with the Bitcoin network differs from Ethereum or EVM chains.
 
Finally, Bitcoin integration in MetaMask could encourage more decentralized applications to leverage these new capabilities, paving the way for richer cross-chain DeFi services and broader accessibility for BTC holders.