Trump Could Step Back on Canada and Mexico Taxes
US Commerce Secretary Howard Lutnick said President Donald Trump could partially back down on trade tariffs with Canada and Mexico. The Trump administration reinstated the 25% tariffs it suspended last month. However, according to Lutnick, the parties are close to a deal and Trump could reach a compromise on the tariffs in exchange for additional steps by Canada and Mexico.
The announcement came at a time when US stock markets have been experiencing sharp declines, raising investors’ concerns about the trade war. However, news of a possible deal has led to a recovery in futures markets. Trump is expected to make an announcement on Wednesday.
Trump Administration Backs Repeal of Controversial IRS Tax Rule for DeFi
The Trump administration has openly backed a bill that aims to repeal a Biden-era IRS regulation that imposes strict tax reporting rules for decentralized finance (DeFi) projects. Trump’s crypto advisor David Sacks said the regulation would stifle American innovation and overburden DeFi companies.
If Congress approves the bill, Trump is expected to sign it into law. The current IRS rule requires DeFi protocols to be registered like traditional Wall Street brokers and requires users to tie their identities to on-chain addresses. The bill, which has broad support from the crypto industry, is seen as a major test in the US’s approach to the DeFi sector.
Bessent Promises to Lower Interest Rates
US Treasury Secretary Scott Bessent aims to help Americans struggling with high borrowing costs by lowering interest rates. Bessent stated that they plan to reduce credit costs by easing regulations in the banking sector and increase the US’s export power by increasing energy production. He also argued that high prices for housing, insurance and basic goods were the result of excessive regulation by the previous administration.
Bessent suggested that new tariffs on China, Canada and Mexico would help bring manufacturing back to the U.S. He argued that China’s export-dependent economic model would be hit by the tariffs and that prices would not rise. He also emphasized that the U.S. would expand energy production, including nuclear energy, which would reduce costs and increase global security.
SEC Drops Lawsuit Against Cumberland DRW
The U.S. Securities and Exchange Commission (SEC) has agreed to drop its lawsuit against Chicago-based crypto trading firm Cumberland DRW. The lawsuit, filed in October 2023, was based on allegations that the firm operated as an unregistered securities dealer.
Cumberland said it reached a settlement in principle with the SEC on Feb. 20 and is continuing the process to formally dismiss the case. The SEC’s recent withdrawal of lawsuits against crypto firms such as Coinbase, Kraken and Consensys is being interpreted as a signal of a change in the regulator’s approach.
Ark Invest Continues to Purchase Coinbase and Sells Bitcoin ETF
Ark Invest invested another $8 million in Coinbase shares to balance its investment portfolio, while selling similarly valued Bitcoin ETF shares. This move is similar to the firm’s $8.7 million purchase of COIN and $8.6 million sale of ARKB last week. Due to the company’s strategy of maintaining portfolio diversification, it is expected that the rebalancing process will continue if there are significant changes in Coinbase’s value.
Ark’s spot Bitcoin ETF has generated $2.8 billion in net inflows since the beginning of the year. However, a sharp correction in the markets on Monday reversed the rally that came after Trump’s “Crypto Strategic Reserve” announcement.
20% of Stolen Funds in Bybit Hack Cannot Be Traced
Bybit CEO Ben Zhou announced that 20% of the $1.4 billion crypto stolen from the exchange can no longer be traced. While 77% of the funds can still be traced, 3% are frozen. Zhou stated that the next two weeks are critical to recovering the stolen assets.
400,000 ETH and 113,000 ETH-based tokens were stolen in the attack carried out by the Lazarus Group. The majority of the hacked funds were converted to Bitcoin via THORChain. While THORChain’s response to this situation is up for debate, some platforms like Chainflip have taken measures to stop the hackers’ operations.
IMF Wants to Restrict El Salvador’s Bitcoin Purchases
The IMF has stipulated that the public sector would be banned from accumulating Bitcoin as part of its $1.4 billion deal with El Salvador. The public sector would also be barred from borrowing in Bitcoin or issuing Bitcoin-denominated tokens, the IMF said in a statement. The IMF argues that these regulations are intended to increase the country’s economic stability.
These restrictions reinforce previous IMF demands to limit El Salvador’s Bitcoin adoption. However, President Nayib Bukele continues to purchase Bitcoin despite these restrictions. Finally, on March 3, it announced that the country had increased its Bitcoin reserves to 6,100 BTC.
Tether Appoints New CFO to Increase Transparency
Tether has appointed Simon McWilliams as its new CFO in a bid to strengthen its financial oversight processes and increase transparency. McWilliams, who has over 20 years of financial management and auditing experience, will oversee a comprehensive audit process of the company’s reserves.
Previous CFO Giancarlo Devasini has moved into a new role as executive chairman to support Tether’s integration into the U.S. financial system and global digital asset adoption. The move aims to strengthen Tether’s position in the $232 billion stablecoin market and addresses the company’s long-standing criticism of its lack of transparency.
Tether has said that 82.35% of its reserves are comprised of cash, cash equivalents, and short-term deposits, but investors argue that this data lacks sufficient credibility without a full independent audit.
Vietnam to Create Legal Framework for Crypto Assets
Vietnam plans to create a comprehensive regulatory framework for digital assets by the end of March. Prime Minister Phạm Minh Chính has ordered the Ministry of Finance and the Central Bank of Vietnam to finalize crypto regulations. The move is part of the country’s goal of achieving 8% or more economic growth by 2025.
While crypto transactions in Vietnam remain in a legal gray area, the country ranks fifth in global crypto adoption. The new regulations aim to provide clarity to local companies, increase tax revenues, and facilitate access to capital. Neighboring financial centers like Singapore and Hong Kong already have comprehensive crypto regulations in place, while Vietnam is taking steps to catch up.
AAVE’s Restructuring Proposal
Aave has presented a comprehensive proposal to revamp its token economy. The new system, called “Aavenomics,” includes changes to its revenue distribution model, an “umbrella” security system to reduce risks to banks, and the creation of an “Aave Finance Committee” (AFC). The proposal will be submitted for approval by the Aave community.
The new model plans to introduce a new non-transferable token called Anti-GHO while maintaining the current revenue distribution system. It also proposes an “umbrella” security system that would provide billions of dollars in protection against bad debt risk. Aave also aims to repurchase $1 million worth of tokens from its treasury weekly and distribute them to the ecosystem. As the DeFi sector continues to grow, Aave is the leader with a total locked value of $17.5 billion.
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BITCOIN (BTC)
BTC is priced at $86,998 as of the morning hours, losing 0.27%. After the sharp declines in recent days, the price is trying to recover by receiving a reaction from the $82,400 support. However, it seems that the increases may be limited unless the resistance zone at $89,248 is overcome. A daily close above $92,549 will be critical for the continuation of the upward movement. In downward movements, if it cannot hold on to the level of 86,673, then $84,673 and then $83,273 can be monitored as intermediate support. If this level is broken, the price may fall back to the $ 82,400 support. If this level is lost, declines to the $ 78,459 region may be on the agenda.
ETHEREUM (ETH)
ETH is priced at $ 2,176 as of the morning hours with a 0.12% gain in value. ETH, which recovered after rapid declines below the $ 2,000 levels yesterday, is trying to move upward. In the continuation of the upward movement, resistances at $ 2,265 and $ 2,355 may be encountered. For the continuation of the upward movement, a daily close above the $ 2,553 level will be the threshold. In downward movements, $ 2,153 support can be monitored as an intermediate level. If this support is lost, a pullback to $ 2,075 may occur. If this zone is broken, $ 2,000 and $ 1,908 levels should be followed.
RIPPLE (XRP)
XRP is priced at $ 2.45 as of the morning hours with a 0.07% gain in value. XRP, which started to recover as of yesterday, is having difficulty breaking through the resistance zone at $ 2.4665 and is experiencing downward pressure from here again. In the current situation, the $ 2.3797, $ 2.2567 and $ 2.1974 levels should be followed as support levels. In upward movements, the $ 2.5506 and $ 2.6332 levels stand out as resistance. Especially maintaining stability above the $ 2.6332 level may be critical for the continuation of the rise.
AVALANCHE (AVAX)
AVAX is trading at $ 19.92 levels with a 0.45% loss in value as of the morning hours. AVAX, which recovered quickly after retreating to $ 18.85 yesterday, is moving in a horizontal band. For a possible positive trend, it will be important to first break the $ 20.32 level and maintain its persistence above it. Then, the $ 21.03 and $ 21.83 levels can be followed as resistance. In a possible negative trend, if 19.59 is broken, it can be expected to test the 18.85 level again. Then, selling pressure may deepen to 17.34 levels.
SOLANA (SOL)
SOL is priced at $ 142 levels with a 1.65% loss in value as of the morning hours. SOL, which encountered purchases from the support area as of yesterday, seems to have been rejected from the resistance at $ 147 after the rise. If the downward movement continues, it can be expected that the intermediate support 139.87 will work first, and then the main support 135.47. For a possible positive trend, it will be important for the $ 147 level to be broken and maintained above it. Then, the $ 155.25 and $ 160.80 levels can be expected to work as resistance.
