This week in crypto, controversy, regulation, and institutional growth took centre stage. The industry was rocked by allegations that Argentine President Javier Milei endorsed a memecoin linked to questionable projects, while regulators in Australia intensified scrutiny on crypto exchanges. Institutional players continued expanding their footprint, with Franklin Templeton launching a Bitcoin and Ethereum index ETF, and Coinbase moving forward with Solana futures. As the industry navigates these developments, the next phase of crypto adoption and regulation is starting to take shape.

The LIBRA memecoin scandal dominated headlines after allegations surfaced that President Milei’s sister was paid to secure his public endorsement. The coin’s price initially surged following his promotion but quickly collapsed, leading to accusations of a rug pull. Reports suggest that the coin’s creators have ties to a number of other recent projects, including the Melania memecoin. Allegations that Milei’s sister was paid for his endorsement have raised concerns about political figures influencing crypto markets, adding fuel to the debate around transparency and accountability in the space.

The US Securities and Exchange Commission continued its review of multiple crypto ETF filings, reinforcing the steady march of institutional adoption. Franklin Templeton launched an index ETF covering Bitcoin and Ethereum, giving investors another regulated option for exposure to digital assets. Meanwhile, MicroStrategy announced a $2 billion convertible note sale to buy more Bitcoin, doubling down on its long-standing strategy. Coinbase also made headlines by introducing CFTC-regulated Solana futures in the US, a key step toward the eventual approval of a Solana ETF.

Regulators in Australia ramped up enforcement action, with AUSTRAC taking steps against 13 crypto exchanges and money remitters over potential compliance breaches. More than 50 others remain under investigation. The increased scrutiny underscores the need for exchanges operating in Australia to maintain strong compliance frameworks as regulators push for greater oversight of the sector. Elsewhere, the SEC held meetings with key industry players, including representatives from the Blockchain Association, Jito Labs, Multicoin Capital, and Nasdaq, to discuss staking policies and ongoing legal challenges. In India, authorities seized US$190 million in crypto linked to the BitConnect Ponzi scheme, marking one of the country’s largest enforcement actions against fraudulent crypto operations.

In Web3, OpenSea paused its XP rewards program after receiving critical feedback from users about its impact on the marketplace. Hyperliquid launched HyperEVM, a new Ethereum-compatible execution layer on its Layer-1 blockchain, designed to improve interoperability and scalability. Meanwhile, Barstool Sports founder Dave Portnoy launched a Solana-based memecoin called GREED before offloading a significant portion, prompting criticism over potential price manipulation and ethical concerns around influencer-led crypto projects.

Microsoft’s debut of its new quantum computing chip, Majorana 1, has reignited discussions around the potential impact of quantum computing on cryptographic security. While practical applications remain distant, researchers are already looking into quantum-resistant encryption methods to ensure that blockchain technology remains secure as computing power advances.

With institutional adoption progressing, regulators taking a more active stance, and high-profile controversies shaping the conversation, the next few weeks could bring more movement across markets, policy discussions, and technology developments. Crypto continues to evolve, and the industry is adapting to a rapidly changing landscape.

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