Federal Reserve Chairman Powell's statement 'willing to hear new ideas' has surprisingly become a 'secret code' for the crypto market? Tonight, Wall Street realizes that the bank's treasury door to the crypto world is quietly loosening!
This morning, Powell casually threw out signals of 'flexible regulation' at a regulatory meeting. Seemingly bland remarks, but in reality, they stirred great waves in the crypto market—he did not discuss the economy or monetary policy, yet at a sensitive moment under continuous pressure from Trump, he extended an olive branch of 'new ideas' to the banking industry. This is no coincidence; there is a deeper meaning behind the regulatory loosening.
1. Deep meaning of the speech: Should the 'handcuffs' on banks' crypto business be loosened?
Four months ago, Powell laid the groundwork. He stated at the Chicago Economic Club that the Federal Reserve does not stop banks from serving legitimate crypto clients and even mentioned 'guidance or easing.' Now directly soliciting 'new ideas,' in plain terms: as long as financial security is guaranteed, the restrictions on banks' crypto business can be relaxed.
2. Power struggle: Trump's fury vs. Powell's trump card
The confrontation between the White House and the Federal Reserve has escalated! Trump's team is fiercely attacking, claiming the Federal Reserve's renovation budget has skyrocketed from $1.5 billion to $2.5 billion, threatening to scrutinize Powell, while officials are fanning the flames.
But Powell calmly played three cards: emphasizing the independence of the Federal Reserve, relying on investment income for renovation funds, and then throwing out the 'flexible regulation card.' He cleverly turned political attacks into a topic of financial innovation, using a light touch to achieve significant results.
3. Funding gateways: Three paths for banks to enter
1. Compliant stablecoins: The U.S. (GENIUS Act) has passed, giving the private sector the green light for compliant stablecoins, providing banks with a golden channel.
2. Custody services: Powell had earlier indicated that 'within the regulatory framework, bank crypto custody is feasible,' and now, with capital reforms, more banks should boldly enter the market.
3. Payment settlement: The 'stablecoin direct settlement' collaboration between Visa and USDC enables cross-border transactions to arrive in 3 seconds, with fees only 1/10 of SWIFT's, expected to exceed 10 billion in processing scale by 2025, quietly initiating a revolution.
4. Stablecoin explosion: Reconstructing a trillion-dollar ecosystem
Global regulatory upheaval! The EU's MiCA sets a daily trading red line for non-euro stablecoins, Hong Kong finalizes regulations, and South Korea demands reserve guarantees... Stablecoins have transformed from peripheral tools to financial infrastructure. Last year, the transfer scale was 14 trillion, surpassing Visa, with institutions like BlackRock injecting 500 million in a single day, deeply penetrating the real economy—Maersk used stablecoins to compress the cross-border logistics cycle from 7 days to 4 hours, and blue-collar workers in the Philippines use it for real-time salary exchanges.
5. Wealth code and risk: Opportunities and undercurrents coexist
Opportunity direction
Bank-related stablecoins: Circle has obtained licenses in 50 states and partnered with Bank of New York Mellon for custody, becoming a model for institutional entry.
Ethereum ecosystem: Surpassing $3700, with 331 million short positions at the $4000 threshold, and $400 million inflow into BlackRock's ETF in a single day, institutional accumulation is evident.
Compliant cross-chain protocols: Multichain's mUSDC connects 10 public chains, solving the 'island problem' between chains, with its value yet to be reassessed.
Risk undercurrents
Regulatory arbitrage: Different regulations across U.S. states may allow some to exploit loopholes.
Technical vulnerability: The March USDC cross-chain contract vulnerability caused a $20 million loss.
Market monopoly: USDT, USDC, and BUSD account for 95% of the market share, raising concerns about an oligopolistic structure.
As traditional banks' trillion-dollar capital flows into the blockchain through compliant stablecoins, Bitcoin at $120,000 and Ethereum at $4,000 may just be the new starting point. Behind the controversy of the Federal Reserve's renovation, Powell has opened a seam for banks into the crypto world, and Wall Street institutions are already laying out hedges—this revolution, reshaping the global capital flow, has quietly begun.
Final question: Are you willing to be a 'lifelong retail investor,' or follow the trend and seize the opportunity for crypto wealth? When making your choice, the candlestick chart is watching you, follow Su Xiaowan, and feel free to share your insights in the comments!