Crypto market analysts are optimistic as July winds to a detailed, and Bitcoin reserves on crypto exchanges are down 2% on the month.
This can be a bullish sign. A lower in alternate reserves signifies individuals are taking their Bitcoin (BTC) off exchanges and holding it, anticipating the value to go greater. Whereas 2% on the month feels like small potatoes, it continues the general lower in alternate reserves since January.
Within the US, the Home of Representatives handed three crypto legal guidelines in July. One in every of them — the GENIUS Act regulating stablecoins — was signed into regulation by President Donald Trump. With set guidelines for stablecoins, and a regulatory framework within the type of the CLARITY Act making its manner via the Senate, observers predict substantial development within the stablecoin sector.
The worth of tokenized real-world property (RWAs) continues to develop, with complete RWA worth onchain rising by 2.6%. Corporations are embracing tokenized shares, however additional adoption may include authorized bother.
Right here’s July by the numbers.
Stablecoin market provides $4 billion in market cap as GENIUS Act turns into regulation
On July 18, Trump signed the GENIUS Act into regulation, which set out a sequence of laws for the stablecoin trade.
It didn’t embrace provisions for stablecoin issuers to supply their clients curiosity — a significant sticking level from trade bigwigs like Coinbase CEO Brian Armstrong — however the regulation was hailed as a significant step ahead for the crypto trade.
In July, practically $4 billion was added to the stablecoin provide, bringing the general market cap of stablecoins above $250 billion.
Stablecoins have additionally turn out to be extra energetic. The variety of month-to-month energetic addresses was up over 20% in July to over 38 million. This displays rising adoption of stablecoins, the overall transaction worth of which reached over $7 trillion within the first quarter of 2025.
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Sygnum chief funding officer Fabian Dori beforehand informed Cointelegraph that the GENIUS Act “provides confidence to organizations and issuers to develop unique, modern ‘killer apps’ that don’t simply serve their clients’ present wants however create demand for fully new companies, together with funds.”
Bitcoin alternate reserves proceed downward development
The quantity of Bitcoin sitting on exchanges goes down. In July, Bitcoin alternate reserves decreased 2%, persevering with a development that has endured for the reason that starting of 2025.
When wanting on the development since January, the variety of Bitcoin reserves on exchanges is down 14%.
July additionally marked the primary time since 2018 that lower than 15% of the general Bitcoin provide was on exchanges. This lack of provide on exchanges and over-the-counter (OTC) desks has led some analysts to consider that there might be a Bitcoin “provide shock” within the close to future, as purchaser demand meets with decreased provide.
Bitcoin evaluation account Crypto Chief famous the numerous variance in Bitcoin’s value, which just lately hit all-time highs, and the low provide of BTC on OTC desks and exchanges: “The Bitcoin steadiness obtainable OTC is in freefall. We’ve by no means seen such a divergence between steadiness and value! You might be witnessing a provide drawback play out.”
Diminishing provide on exchanges signifies that individuals are switching to long-term holding. This might imply that traders predict a value rally or additional volatility available in the market, based on Ben Zhou, CEO of alternate Bybit.
Associated: Bitcoin in limbo: Watch these BTC value ranges forward of FOMC
He stated at a press convention in July, “Previously few months, the centralized alternate holding of Bitcoin reserves has been on a downtrend. That usually means individuals are not buying and selling the market as a lot they usually suppose the value is fluctuating. So, it really signifies that there’s not a lot confidence.”
Tokenized RWAs go $25 billion
The overall worth of tokenized RWAs surpassed $25 billion, rising by about 2.5% in July.
A report from Binance said, “As regulatory frameworks turn out to be clearer, the sector is poised for continued development and elevated participation from main trade gamers.”
Certainly, the overall worth of the RWA market has grown by 260% this 12 months alone, pushed primarily by tokenized non-public credit score and US Treasury debt.
In July, the worth of tokenized shares grew 15% to over $400 million.
Buying and selling app Robinhood introduced at first of the month that it is going to be providing RWA buying and selling. At publishing time, tokenized inventory addresses had been up practically 700% on the month.
Associated: Growth in RWA tokenization anticipated after passing of GENIUS Act — Aptos exec
Tokenized shares could also be an attention-grabbing manner for corporations to boost capital, however there are nonetheless authorized questions, notably when non-public corporations like OpenAI supply so-called “fairness” with no possession rights to the general public via tokens.
Regulators in some jurisdictions have raised considerations over whether or not there may be ample investor safety for inventory tokenholders.
Three US states go crypto legal guidelines; Arizona axes crypto reserve invoice
Whereas the GENIUS Act and Congress’ crypto week stole headlines in July, states have additionally been engaged on increasing their regulatory frameworks for cryptocurrencies. Three states — Missouri, New Hampshire and Oregon — handed legal guidelines pertaining to crypto in January.
Missouri launched laws for crypto ATMs and a regulation that treats gold and silver specie, in addition to metals-backed digital currencies, as authorized tender.
New Hampshire established a committee “to review and develop a possible regulatory framework for steady tokens and tokenized real-world property (RWAs),” which can submit its findings by Nov. 1.
Oregon up to date its regulation on deserted property to incorporate crypto, “treating them as deserted after three years and obligating holders to remit or, if instructed, liquidate them for the State Treasurer.”
In Arizona, Governor Katie Hobbs vetoed Home Invoice 2324, which might create a state stockpile from crypto seized by regulation enforcement authorities. Hobbs blocked the invoice as a result of it “disincentivizes native enforcement from working with the state on digital asset forfeiture by eradicating seized property from native jurisdictions.”
Crypto corporations rating regulatory approval in seven international locations
Governments worldwide have launched licensing frameworks to control the cryptocurrency trade.
In July, seven international locations fashioned authorized constructions or issued licenses to cryptocurrency corporations.
The Hong Kong Financial Authority finalized its guidelines for stablecoins and launched a public registry for licensed issuers.
In Europe, Bybit, OKX and CoinShares all acquired licenses below the Markets in Crypto-Property (MiCA) regulatory framework. Bybit formally launched operations in Austria, whereas OKX and CoinShares arrange store in France.
In the meantime, Ripple introduced it was in search of a license below MiCA and is eyeing a European enlargement via Luxembourg. AllUnity, a stablecoin venture from DWS and Deutsche Financial institution, acquired approval from German monetary regulators, who granted an E-Cash Establishment (EMI) license that may enable it to challenge a euro-denominated stablecoin.
Crypto alternate Bitstamp will be capable to serve clients in Singapore following approval from the nation’s Financial Authority.
Within the US, each Ripple and Circle are in search of banking licenses. The license would enable the corporations to supply custodial companies and function nationally below the oversight of the Workplace of the Comptroller of the Foreign money, reasonably than having to use individually with state regulators.
Journal: Crypto merchants ‘idiot themselves’ with value predictions: Peter Brandt
