Here’s what happened in crypto today
Today in crypto, the Securities and Exchange Commission has charged Digital Currency Group and former Genesis CEO for misleading investors. New data has revealed that Bitcoin-based decentralized finance applications had a breakout year in 2024, and a Bloomberg report suggests US President-elect Donald Trump is planning to designate crypto as a policy priority.SEC charges Digital Currency Group for misleading investorsThe US SEC has charged Digital Currency Group (DCG) and former Genesis CEO Soichoro “Michael” Moro with misleading investors about the financial health of Genesis in the aftermath of the Three Arrows Capital (3AC) collapse.According to the Jan. 17 filing, DCG and Moro have agreed to pay a combined $38.5 million in civil penalties, with DCG liable for $38 million and Moro liable for $500,000.Moro and DCG agreed to the civil penalties without admitting to or denying any violations of the Securities Act of 1933.The settlement is the latest chapter in the legal saga of Genesis, which filed for Chapter 11 bankruptcy protection in January 2023 due to a 2022 default by Three Arrows Capital — a former borrower of Genesis.Bitcoin DeFi TVL up 2,000% amid bumper 2024 for BTC price, adoptionBitcoin-based decentralized finance applications saw a breakout year in 2024 after the April halving, with the industry’s value experiencing a 22-fold increase driven by infrastructure development and soaring Bitcoin prices.Bitcoin-based decentralized finance (DeFi), also known as BTCFi, is a new technological paradigm that aims to bring DeFi capabilities to the world’s first blockchain network.The total value locked (TVL) in the Bitcoin (BTC) network saw more than a 2,000% increase during 2024, from $307 million in January to top $6.5 billion on Dec. 31, 2024, DefiLlama data shows.The 2,000% increase marked a “breakout year for the sector,” according to Binance Research.The increase is mainly attributed to growing developments around Bitcoin staking and restaking platform Babylon, which controls over 80% of TVL in BTCFi, Binance Research told Cointelegraph:“The first phase of their mainnet was launched in August 2024, and their stage 2 testnet in Jan 2025. Given this is a major BTC DeFi dApp and in the process of launching, many users have likely been deploying capital here to use it and potentially qualify for an airdrop.”Babylon was seen as a significant opportunity for Bitcoin-based DeFi, thanks to introducing Bitcoin-native staking for the first time in crypto history.Trump plans executive order making crypto a national priority: ReportUS President-elect Donald Trump is reportedly expected to sign an executive order designating crypto as a national priority that could come as soon as he re-enters office on Jan. 20.Bloomberg reported on Jan. 17, citing people familiar with the plans, that the order would mean regulatory agencies would be guided to work with the industry. It could also create a crypto council to advocate the industry’s policy wishes. The order could be signed on Jan. 20 — Trump’s first day back as president — but it’s not final and could change before it’s made public, the report said.Trump is widely speculated to be lining up a day-one crypto-related executive order as the local industry heavily backed his campaign, and the incoming president promised that the US would be a “crypto capital.”