U.S. Senator Cynthia Lummis said the proposed CLARITY Act would allow U.S. banks to freely buy and hold XRP and other digital assets. She said the measure is intended to clarify how crypto assets are assessed for securities status and reduce current regulatory uncertainty. The bill has not been passed and has no voting timetable, remaining at the proposal stage. XRP was the only crypto asset mentioned, and any path to bank compliance access would significantly improve its institutional adoption after lingering effects from the SEC lawsuit.

Stack BTC, a bitcoin treasury company backed and promoted by Nigel Farage, has seen its asset value fall 15.48% since listing in March 2026, a decline of about £565,000. The Liberal Democrats have asked the UK Financial Conduct Authority (FCA) to examine whether Farage’s promotional role could amount to attempted market abuse, after he took just over a 6% stake for £215,000. The episode comes as bitcoin trades around a $60,000–$60,500 support area, adding to UK skepticism toward BTC-linked corporate structures amid pressure from the MiCA framework.

The Clarity Act’s outlook in the U.S. Senate has shifted after MCSA moved from “opposed” to “neutral,” easing law-enforcement concerns tied to Section 604. The bill still requires 60 votes, but the neutral stance could open room for Democratic votes that had appeared out of reach. For XRP and XLM, which are positioned around compliant payment and settlement use cases, clearer rules are closely tied to large-scale institutional adoption.

Revolut will phase out USDT services for retail users in the EU and European Economic Area, halting purchases on July 6 and rejecting deposits from July 30. Any remaining USDT held on the app will be automatically converted into euros at Revolut’s internal rate on Aug. 31. The change follows the end of the EU’s MiCA transition period on July 1, 2026, and comes as Tether has not applied for a MiCA e-money licence, requiring authorised platforms such as Revolut—approved by CySEC—to remove the token from regulated access.

CryptoQuant data show this Bitcoin bull cycle has absorbed about $697 billion in fresh capital since 2022 while delivering a 689% gain, and that another parabolic leg would likely require more than $1 trillion in new institutional money, according to CryptoQuant founder Ki Young Ju. U.S. spot Bitcoin ETFs posted $4.5 billion in net outflows in June, the worst month since their January 2024 launch. Citigroup cut its 12-month Bitcoin target to $82,000 from $112,000 and projected zero net new ETF money over the next year. The CLARITY Act is seen as a potential catalyst to unlock long-term capital, with a Senate floor vote expected in July and Polymarket putting the odds of passage at 48%.

On July 5, 2026, Azerbaijan submitted its first comprehensive cryptocurrency regulation draft, requiring all virtual asset service providers to be licensed by the country’s central bank before operating. The proposal would introduce ongoing supervision and anti-money laundering compliance checks and is expected to be adopted before the end of 2026. The framework covers exchanges, custodians and other crypto service firms, but does not include any plan to issue a CBDC. Azerbaijan is also in talks with international companies including Binance on regulatory cooperation.

On July 5, 2026, Aave rose more than 13% in a market rally, reviving debate over how to value the protocol as a decentralized “bank.” The report said institutions are exploring deeper ties with the Aave ecosystem, and Kraken parent Payward was reported to be in talks over a potential strategic investment, though no deal has been confirmed. Focus is also shifting to whether the Aave DAO can turn protocol activity into sustainable cash flow and deploy capital effectively through measures such as buybacks and treasury management.

On July 5, 2026, former U.S. President Donald Trump will hold a livestream conversation with Ripple CEO Brad Garlinghouse focused on XRP and Ripple’s role in reshaping global finance. The event is being led by Ripple as a high-visibility public relations push and does not disclose any new regulatory developments, technical upgrades, or commercial partnership details. XRP continues to trade on major exchanges such as BingX, and the SEC v. Ripple case reached a final ruling in 2025 with no major unresolved legal risk remaining.