Cryptocurrency Market Update: Layer 2 TVL Grows Amid Bitcoin Surge and Regulatory Changes
The cryptocurrency market is experiencing notable changes as of today, with the total value locked (TVL) on Layer 2 networks increasing to $8.62 billion, up from $8.30 billion yesterday. This uptick indicates a growing interest in Layer 2 solutions, which aim to enhance scalability and reduce transaction costs.
Among the top five Layer 2 networks, Base leads with a TVL of $3.75 billion, despite a slight decrease of 3.91% from yesterday. Arbitrum follows closely with a TVL of $3.11 billion, down 4.35%. Mantle holds $467.90 million with a decrease of 3.12%. Meanwhile, Blast has seen a decline of 2.95%, bringing its TVL to $373.52 million. On a positive note, Linea has risen by 5.09%, now standing at $311.41 million.
In the broader market, Bitcoin's price has surged to $105,850, up from $104,107 yesterday. Ethereum also saw a price increase, currently sitting at $3,402, compared to $3,334 the previous day. This price movement reflects a renewed optimism among investors.
Today, the fundraising landscape in the crypto sector has seen a total of $16.90 million raised, with the largest rounds being Radius at $7.00 million, Breez at $5.00 million, and Swarm Network at $3.00 million. Over the current week, cumulative fundraising has reached $106.94 million, showcasing continued investor interest.
In regulatory news, President Trump signed an executive order aimed at evaluating the creation of a strategic Bitcoin and crypto stockpile. This order also seeks to ban the development of Central Bank Digital Currencies (CBDCs) while promoting stablecoin adoption. The initiative, titled “Strengthening American Leadership in Digital Financial Technology,” emphasizes the administration's support for the responsible growth and usage of digital assets.
Additionally, the SEC has repealed the Staff Accounting Bulletin No. 121 policy, which previously restricted banks from providing custody services for Bitcoin. SEC Commissioner Hester Peirce announced this change, signaling a potential shift in how banks can engage with digital assets.
In a related development, Morgan Stanley’s CEO Ted Pick expressed the firm’s willingness to collaborate with U.S. regulators on crypto offerings, indicating a proactive approach toward integrating digital assets into traditional finance.
On a cautionary note, Ethereum co-founder Vitalik Buterin has raised concerns regarding political meme coins, warning about scams and the potential for political bribery. He advocates for ethical reforms in the crypto space to protect investors.
Lastly, the Singapore High Court has approved the next steps for crypto exchange WazirX in its repayment process following a significant hack last year, where over $230 million was stolen by the North Korean Lazarus group. This approval marks a critical step for WazirX as it seeks to address its debts and recover from the incident.
