Crypto Currents: SEC dismisses lawsuit against Binance

As bitcoin, ethereum and other cryptocurrencies get increasing attention from investors, Wall Street and its traditional banks continue to adjust to the shift. Catch up on this week’s top stories highlighting the intersection of these old guard and new school areas of finance with this recap compiled by The Fly.

SEC DISMISSES LAWSUIT AGAINST BINANCE: The Securities and Exchange Commission has voluntarily cryptocurrency litigation.

STRATEGY BUYS MORE BITCOIN: Strategy (MSTR) announced updates on Monday with respect to its at-the-market offering programs and bitcoin holdings. The company raised $427M and purchased 4,020 bitcoin during the period of May 19 to May 25 at an aggregate purchase price of $427.1M. Strategy now holds 580,250 bitcoin.

FOLD INITIATED WITH OUTPERFORM: Northland initiated coverage of Fold Holdings (FLD) on Tuesday with an Outperform rating and $10 price target. Fold is a financial services platform that integrates bitcoin across its products, allowing consumers to buy, sell, earn, save, and spend bitcoin with an FDIC insured checking account, a Visa prepaid debit card, bill payments, a catalog of merchant reward offers, newly launched bitcoin gift cards, and a bitcoin credit card coming later in 2025, the analyst said. With over 600,000 active and 76,000 verified accounts, Fold serves as a key point of entry for consumers to engage with and integrate bitcoin into their everyday lives, argues the analyst, who views the company as “well-positioned” to take advantage of growing bitcoin adoption.

TRUMP MEDIA TO SELL $2.5B IN STOCK, NOTES FOR BITCOIN TREASURY: Trump Media and Technology Group (DJT) announced Tuesday that it has entered into subscription agreements with approximately 50 institutional investors, under which the company agreed to issue and sell approximately $1.5B in the company’s common stock and $1B in principal amount of 0.00% convertible senior secured notes, for gross proceeds of an aggregate approximately $2.5B, in a private placement offering that is expected to close on or about May 29. The company intends to use the proceeds for the creation of a Bitcoin treasury.

Trump Media’s CEO and Chairman Devin Nunes said, “We view Bitcoin as an apex instrument of financial freedom, and now Trump Media will hold cryptocurrency as a crucial part of our assets. Our first acquisition of a crown jewel asset, this investment will help defend our Company against harassment and discrimination by financial institutions, which plague many Americans and U.S. firms, and will create synergies for subscription payments, a utility token, and other planned transactions across Truth Social and Truth+. It’s a big step forward in the Company’s plans to evolve into a holding company by acquiring additional profit-generating, crown jewel assets consistent with America First principles.”

BLOCK TO ROLL OUT BITCOIN PAYMENTS ON SQUARE: Block (XYZ) announced Tuesday it will launch bitcoin payments on Square, “marking a significant milestone in making bitcoin more accessible and usable.” The company added: “Bitcoin payments on Square will be showcased at Bitcoin 2025 in Las Vegas from May 27-29, where attendees can experience this new feature firsthand at the BTC Inc. merchandise store. By leveraging the Lightning Network, the Square Point of Sale app enables merchants to accept bitcoin payments directly through their Square hardware for near-instantaneous, low-cost transactions. The roll out is anticipated to begin in the second half of 2025 and is expected to reach all eligible Square sellers in 2026, subject to applicable regulatory approvals. Square’s new, native Bitcoin For Businesses offering will build upon its Bitcoin Conversions feature launched in 2024, which allows qualified merchants to automatically convert a portion of their daily sales into bitcoin. Together, these bitcoin offerings will create a seamless experience for both merchants and customers, helping bitcoin to fulfil its original vision as a true peer-to-peer payment system.”

Additionally on Tuesday, BNP Paribas Exane upgraded Block to Outperform from Neutral with a $72 price target. The company’s guidance for mid-teens gross profit growth acceleration in Q4 looks attainable as headwinds fade, such as high comps in bitcoin and continued pressure in the cash business, the analyst said. The firm added the acceleration over second half of 2025 would represent “business-as-usual,” while Block’s Borrow product and Proto launch provide scope for additional upside. The firm sees room for a re-rating of the shares.

OTHER CRYPTO NEWS:

• TeraWulf (WULF) acquires Beowulf Electricity & Data for $52.4M in cash, stock
• Mara Holdings (MARA) price target raised to $20 from $17 at Rosenblatt
• Bitdeer (BTDR) price target raised to $18 from $17 at B. Riley
• GameStop (GME) announces purchase of 4,710 bitcoin
• Senator Lummis says Trump supports Bitcoin Act
• Department of Labor rescinds guidance discouraging crypto in 401(k)s

CRYPTO STOCK PLAYS: Publicly traded companies in the space include Bit Digital (BTBT), Coinbase (COIN), Core Scientific (CORZ), Greenidge Generation (GREE), Mara Holdings, Strategy, Riot Platforms (RIOT) and TeraWulf.

PRICE ACTION: As of time of writing, bitcoin dropped roughly 4% this week to $105,851 in U.S. dollars, according to CoinDesk.