Crypto Morning News: Powell under federal investigation; this week, tokens including TRUMP, ONDO, and ARB will undergo large-scale unlocks

Author: TechFlow

Yesterday's Market Developments

Federal prosecutors investigating Fed Chair Powell over renovation of Federal Reserve headquarters

According to The New York Times: Federal prosecutors are investigating Federal Reserve Chair Jerome Powell regarding the renovation project of the Federal Reserve's headquarters.

U.S. Supreme Court expected to rule on (tariff case) Wednesday, January 14

According to Jinshi Data, the U.S. Supreme Court is expected to issue its ruling on the tariff case on Wednesday, January 14.

New York gold futures break above $4,600/oz for the first time, up 1.8% intraday

New York gold futures broke above $4,600 per ounce for the first time, rising 1.8% during the session. Spot gold currently trades at $4,590 per ounce, also hitting a new high.

Solana discloses upcoming collaboration with X, integration into X app

Solana hinted at a partnership with social media giant X (formerly Twitter) via a post on the X platform, stating that X is evolving into an all-in-one application and soon Solana will be built directly into it.

Zama announces public sale registration now open

Privacy computing project Zama Protocol announced on social media that investor registration for its public sale is now open.

Truebit hacker has laundered 8,535 ETH worth $26.36 million via Tornado

According to on-chain analyst Yujin, computation verification platform Truebit was exploited two days ago, resulting in the theft of 8,535 ETH.

Four hours ago, the hacker fully laundered the 8,535 ETH ($26.36 million) through Tornado Cash.

EF Executive: Zero-knowledge technology becoming central to Ethereum’s mid-term roadmap

According to CoinDesk, Hsiao-Wei Wang, Co-Executive Director of the Ethereum Foundation, said in an interview that Ethereum is steadily moving toward a future where zero-knowledge cryptography becomes a core component of the network. She described zero-knowledge technology as part of Ethereum’s mid-term roadmap, noting numerous breakthroughs in the field over the past one to two years. While recent upgrades have focused on improving Layer 2 execution and blob space, integrating zero-knowledge proofs at the protocol level is becoming increasingly feasible. Bringing zero-knowledge directly into Ethereum’s core could significantly reduce the computational work required to secure the network, enabling easier scaling without sacrificing decentralization or reliability. Hsiao-Wei Wang emphasized that resilience, censorship resistance, and neutrality remain fundamental principles of Ethereum, even as the network evolves.

Wall Street Journal: Tether serves as key tool for Venezuela’s state oil company to evade sanctions

According to The Wall Street Journal, Tether’s rise to become the world’s leading stablecoin has been aided by Maduro’s regime, as Tether has served as a critical instrument for Petróleos de Venezuela (PdVSA), the country's state-owned oil company, to bypass international sanctions. It has been used as settlement currency for oil transactions and provided a vital economic lifeline for Venezuelans suffering from the collapse of their national currency, the bolívar.

In response, a Tether spokesperson stated the company complies with all applicable U.S. and international sanctions regulations, works closely with U.S. authorities including the Office of Foreign Assets Control (OFAC), and regularly assists law enforcement by freezing addresses linked to illegal activities or sanction violations upon receiving legitimate requests.

X product lead’s comment “crypto tweets are dying by suicide” sparks backlash; post likely deleted under pressure

Nikita Bier, X’s product lead and Solana advisor, posted on X claiming that since last October, a narrative has circulated in crypto Twitter (CT) suggesting users must reply hundreds of times daily to grow their accounts. However, each post consumes part of a user’s influence, and since average users only view 20–30 posts per day, platforms cannot show every post from followed accounts. As a result, crypto users waste all their influence on repetitive "gm" replies, leaving little visibility when they publish meaningful content like project announcements. He argued that CT’s decline stems from self-destructive behavior rather than algorithmic issues, stating “CT is dying from suicide.”

The remarks sparked outrage within the crypto community. KALEO, co-founder of LedgArt, criticized Nikita Bier for failing to support organic user growth and long-standing user communities, accusing him of attempting to suppress the crypto community on X, and called for his resignation. Nikita Bier has since deleted the original post.

Michael Saylor reposts Bitcoin Tracker message, likely signaling imminent BTC purchase next week

Michael Saylor, Founder and Executive Chairman of Strategy, reposted Bitcoin Tracker information on X with the message “₿ig Orange.”

Based on previous patterns, Strategy typically discloses its Bitcoin purchases the day after such posts appear.

This week sees major token unlocks for TRUMP, ONDO, ARB, and others

According to Token Unlocks data, several tokens including TRUMP, CONX, and ARB will undergo significant token unlocks this week.

TRUMP will unlock 50 million tokens on January 18, valued at approximately $271 million, representing 11.95% of circulating supply;

CONX will unlock 1.32 million tokens on January 15, valued at around $20.59 million, or 1.59% of circulating supply;

ARB will unlock 92.65 million tokens on January 16, valued at about $18.8 million, or 1.86% of circulating supply;

CHEEL will unlock 20.81 million tokens on January 13, valued at approximately $11.6 million, or 2.78% of circulating supply;

DBR will unlock 618 million tokens on January 17, valued at roughly $11.6 million, or 14.81% of circulating supply;

STRK will unlock 127 million tokens on January 15, valued at around $10.4 million, or 4.83% of circulating supply;

SEI will unlock 55.56 million tokens on January 15, valued at about $6.7 million, or 1.05% of circulating supply;

ONDO will unlock 1.71 billion tokens on January 18, valued at approximately $680.3 million, or 17.10% of circulating supply;

ZK will unlock 173 million tokens on January 17, valued at around $5.9 million, or 3.16% of circulating supply.

Market Movements

Suggested Reading

A Decade-Old Coin Faces Midlife Crisis: The Story of Zcash

This article details how the core development team of Zcash, Electric Coin Company (ECC), collectively resigned following a surge in ZEC’s price and subsequently founded a new company, CashZ, to continue developing a privacy wallet. A dispute arose between ECC and its nonprofit parent organization, Bootstrap, over the privatization of the Zashi wallet, escalating tensions between the team and the board, ultimately leading to the team’s departure. This incident highlights structural conflicts between nonprofit entities and startup companies within crypto projects.

a16z Crypto Trends Outlook: Will You Take One of These Three Paths by 2026?

This article explores three major crypto trends expected by 2026: the intelligence of prediction markets, cross-industry applications of blockchain technology, and the rise of “staked media.” It also discusses advancements in zero-knowledge proof technology and their potential impact beyond blockchain, as well as how the convergence of artificial intelligence and blockchain could drive the emergence of next-generation prediction markets.

How Do 99% of Unprofitable Web3 Projects Survive?

This article examines the severe survival challenges facing today’s Web3 market, where 99% of projects lack sustainable business models and rely on token emissions and external funding to stay operational—costs ultimately borne by investors. Through analysis of the top 1% of successful projects and real cases, it reveals distorted market cycles and overvaluation traps.

I Lost $5,000 in Crypto After Using Hotel Wi-Fi for Three Days

This article recounts a cryptocurrency user’s experience of having their wallet drained due to a cyberattack and operational oversight while using public hotel Wi-Fi. The author shares the incident timeline, attack methodology, and lessons learned, urging readers to enhance security awareness and adopt necessary protective measures.

What Does Interest-Bearing Digital Yuan Balance Mean?

This article analyzes the policy shift of interest-bearing balances in China’s digital yuan wallets and its implications for the financial system. It provides a detailed examination of the legal status, operational design, wallet tiering, monetary statistics, and banking balance sheet impacts of the digital yuan, exploring how this change may affect user experience, bank liability management, monetary structure, and the internationalization of the renminbi.