Crypto Market Update: World Liberty Secure Coinbase Approval with Stablecoin Listing Amid Bullish Market Moves
August 22, 2025 — The cryptocurrency market saw notable gains on Friday following comments from US Federal Reserve Chair Jerome Powell, alongside significant developments in the stablecoin space. Among the key highlights, World Liberty Financial, a crypto project with political ties to former US President Donald Trump and his family, obtained approval for its USD1 stablecoin listing on Coinbase Global.
Bitcoin and Ethereum Rally Amid Speculation of Fed Rate Cut
Bitcoin (BTC) experienced a strong rally, climbing 3.9% over 24 hours to reach approximately $116,546. During intraday trading, BTC’s price fluctuated between $112,019 and $117,310. The surge was triggered by Powell’s remarks at the Jackson Hole Symposium, where he indicated the Federal Reserve might lower interest rates in September due to evolving inflation and labor market conditions.
Powell described the labor market as maintaining a "curious balance," with challenges posed by both constrained workforce supply and rising employment risks. While acknowledging that tariffs’ impact on consumer prices is likely to be temporary, Powell emphasized the Fed’s ongoing vigilance against sustained inflation. The Federal Reserve also removed language from its policy statement signaling tolerance for inflation exceeding 2%, broadening flexibility in response to economic volatility.
The CME Group’s FedWatch Tool currently places the probability of a rate cut at over 83% for the September 17 Federal Open Market Committee meeting, up from 75% the previous day.
Ethereum (ETH) outperformed Bitcoin with a 14.5% gain, surpassing the $4,600 resistance level and reaching a peak of roughly $4,843.61 as analysts noted a bullish flag pattern suggesting potential price targets near $6,000. Altcoin Market Sees Broad-Based Gains
Other altcoins joined the upward momentum as Solana (SOL) climbed 10.5% to $199.01, XRP rose 7.9% to $3.09, Sui (SUI) gained 9.5% to $3.74, and Cardano (ADA) advanced 9.5% to $0.9334. These gains highlighted increased investor optimism across various blockchain ecosystems following the Fed commentary.
Coinbase Lists World Liberty’s USD1 Stablecoin Amid Political and Regulatory Spotlight
Coinbase announced on August 21 its official listing of USD1, a stablecoin issued by World Liberty Financial, a company affiliated with Donald Trump and his sons. Eric Trump shared the news via social media platform X, hinting at forthcoming announcements tied to the project.
USD1 was launched earlier this year with ambitions to integrate into World Liberty’s planned decentralized finance platform built on Ethereum, leveraging Aave protocol technology. The platform is intended to eventually support lending and borrowing services but is not yet live.
This addition enhances Coinbase’s stablecoin offerings for US users, which already include popular tokens such as USDT, USDC, PYUSD, and DAI. The move aligns with growing momentum in the US stablecoin sector following the passage of the GENIUS Act, which established national standards regulating issuance and trading.
World Liberty’s political links have stirred controversy, particularly amid reports linking the USD1 project to a multibillion-dollar investment in Binance by an Abu Dhabi sovereign wealth fund.
Legislative Developments: US House Seeks to Block Federal Reserve CBDC
In parallel regulatory news, the US House of Representatives incorporated language into the National Defense Authorization Act for Fiscal Year 2026 that would prohibit the Federal Reserve from developing or issuing a central bank digital currency (CBDC). This provision mirrors the Republican-backed Anti-CBDC Surveillance State Act, reflecting growing congressional resistance to a Fed-backed digital dollar.
Though the House previously passed the anti-CBDC bill narrowly, the Senate’s stance remains uncertain. Including this language in essential national defense legislation could increase its chances of becoming law.
Other Market and Regulatory Highlights
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The Commodity Futures Trading Commission (CFTC) called for public feedback on regulating spot crypto trading, particularly concerning leveraged and margined retail trading on regulated exchanges. Comments are open through October 20 as part of the agency’s accelerated "crypto sprint" to modernize US cryptocurrency regulation.
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Ripple and Japan’s SBI Holdings announced plans to launch Ripple USD (RLUSD) stablecoin in Japan by early 2026, under the country’s newly implemented stablecoin regulation. RLUSD aims to bridge traditional finance and decentralized networks with robust regulatory compliance.
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The European Central Bank is exploring both private and public blockchain technologies—including Ethereum and Solana—to inform its digital euro design strategy, reflecting increasing urgency to maintain competitive prospects following new US stablecoin legislation.
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Binance faces renewed scrutiny from Australian financial regulator AUSTRAC, which has mandated the exchange appoint an external auditor due to shortcomings in anti-money laundering and counter-terrorism financing controls. Binance continues to confront global regulatory challenges, including a significant US fine and ongoing litigation in Nigeria.
Stay tuned to INN Technology for ongoing coverage of these and other developments shaping the cryptocurrency landscape.
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Securities Disclosure: The author holds no direct investment interest in companies referenced herein.