The Daily: Germany dumps another $339 million in bitcoin, Doja Cat token collapses following hack, and more

• Following a plethora of bitcoin transfers on Monday, the German government sent an additional $339.2 million worth of bitcoin to addresses labeled as belonging to centralized crypto exchanges and market makers on Tuesday.
• This included 800 bitcoins ($45.9 million) sent to the crypto exchange Kraken, 5,000 bitcoins ($287.1 million) to an address believed to be market marker B2C2 Group and nearly 107 bitcoins ($6.2 million) to market maker Cumberland DRW.
• The government sent a further 400 bitcoins ($23 million) to an unlabeled address and also appears to have received 1,692 bitcoins ($96.9 million) back from the crypto exchange Bitstamp.
• Germany still holds 22,846 bitcoins, worth around $1.3 billion, Arkham's data shows.
• Bitcoin BTC +2.72% 's price has fallen around 12% since the German government began moving funds to exchanges on June 18.

PayPal's stablecoin surpasses $500 million market cap

• Notably, in the past month alone, PYUSD's token supply has increased 97% from 270 million to more than 533 million, according to DeFiLlama data.
• The surge places PayPal among the top 10 stablecoin issuers less than a year after its launch in August 2023, with Tether's USDT leading the niche with a supply of over 112 billion.
• Solana now hosts about 134.5 million PYUSD tokens, about 25% of the supply, while nearly 399 million (75%) are on Ethereum.
• The stablecoin's growth is also attributed to its adoption on centralized exchanges like Crypto.com and integration into DeFi protocols such as Curve and Frax.

Paxful co-founder faces 5 years in prison after guilty plea in AML case

• The U.S. DOJ alleged Paxful operated between July 2015 to June 2019 without collecting KYC data and told users it was not required.
• The DOJ claimed Schaback's negligence caused Paxful to be used for money laundering, sanctions violations and fraud.
• Schaback faces a maximum of five years in prison and is set to be sentenced on Nov. 4.
• The platform briefly closed down in April last year, amid Schaback and former CEO Ray Youssef's legal dispute over the company's control.

Invesco Galaxy sets spot Ethereum ETF fee at 0.25% in latest round of filings

• VanEck set its fee at 0.2% after Franklin Templeton set a 0.19% fee last month.
• The SEC approved 19b-4 forms for eight spot Ethereum ETFs on May 23, but issuers still need their S-1 statements to become effective before trading can commence.
• BlackRock, Fidelity, 21Shares and Grayscale are yet to disclose their fees.
• Bitwise said it will waive the sponsor fee for the first $500 million in assets under management, without disclosing the fee thereafter.

Doja Cat's X account hacked to promote now-collapsed token

• Doja Cat alerted her 24 million Instagram followers about the hack, clarifying that the series of misleading X messages were not from her.
• The promoted DOJA token initially reached a market cap of $500,000 but subsequently collapsed 97%.

In the next 24 hours

U.S. Fed Chair Jerome Powell is due to testify on the economic outlook and recent monetary policy actions before the Joint Economic Committee at 10 a.m. ET tomorrow.

U.S. FOMC member Michelle Bowman will speak at 2:30 p.m.

Ethereum Community Conference continues in Brussels.

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