Stablecoin yield rewards (likely won't be) banned under OCC proposal: State of Crypto

The Office of the Comptroller of the Currency published proposed rulemaking under the GENIUS Act to govern U.S. stablecoin issuance, with provisions addressing custody controls and capital requirements. The yield-related sections contain ambiguous language that multiple observers tracking the process describe as controversial, raising unresolved questions about how regulators will treat yield-generating stablecoin products.

A dangerous playbook is being revived for the giant US housing agencies

Freddie Mac and Fannie Mae are increasing purchases of mortgage-backed securities, reviving a business model that contributed to the 2008 financial crisis. The housing giants are expanding investment portfolios, concentrating systemic risk in federally-backed entities that control trillions in US housing finance.

AI panic has been erasing value all around the market. Here's where 3 investing pros see it hitting next.

Wall Street analysts identify the next sectors vulnerable to AI-driven disruption panic: stretched banking valuations facing automation exposure, industrial and transport sectors confronting physical AI (autonomous logistics, warehouse robotics), and private credit markets carrying concentrated tech risk. Citi projects warehouse automation alone will grow to $112 billion by 2029. Physical AI presents "super threat" to incumbents who fail adoption.

Bitcoin is stuck in a rut but JPMorgan says new legislation could be the ultimate spark

The Clarity Act, proposed U.S. legislation to establish federal cryptocurrency oversight, has stalled in the Senate after Coinbase withdrew support over concerns the text would restrict innovation and stablecoin rewards. JPMorgan analysis suggests comprehensive regulatory clarity would unlock sidelined institutional capital from asset managers and pension funds currently deterred by legal uncertainty, potentially allowing new projects to raise up to $75 million annually without full SEC registration.

Fintech company Block lays off 4,000 of its 10,000 staff, citing gains from AI

Block, the fintech company behind Square and Cash App, announced it will eliminate more than 4,000 positions—over 40% of its workforce—explicitly citing efficiency gains from artificial intelligence. CEO Jack Dorsey stated that "intelligence tools have changed what it means to build and run a company," framing the cuts as a permanent structural transformation rather than temporary cost-cutting. The announcement triggered a 20% surge in Block's stock price in after-hours trading as investors embraced the AI-driven efficiency narrative. The move represents one of the largest single AI-linked layoffs to date at a major profitable technology company.

Federal Bank Regulator Moves to Restrict US Stablecoin Rewards

The Office of the Comptroller of the Currency issued its first major rules implementing the federal GENIUS Act, proposing restrictions on companies launching branded stablecoins through white-label platforms and offering customer rewards tied to stablecoin holdings. The rules aim to govern how stablecoin issuers operate within the banking system while maintaining safeguards around money laundering and sanctions compliance. The move comes as US lawmakers negotiate broader crypto market structure legislation ahead of a March 1 White House deadline.

Binance cannot arbitrate customer claims over crypto losses, US judge rules

A federal judge rejected Binance's motion to force arbitration on customers who accused the world's largest cryptocurrency exchange of illegally selling unregistered tokens that subsequently lost significant value. The court ruled that Binance failed to demonstrate adequate notification when it updated its terms of service in 2019, finding pre-2019 users never received actual notice of arbitration clauses. The decision keeps class-action claims in federal court and establishes precedent on how crypto exchanges must communicate contract modifications to users.

Workday hits over five-year low as sluggish sales forecast sparks AI disruption fears

Workday shares plunged to a five-year low after the HR and payroll software provider issued a soft sales forecast, intensifying investor concerns about AI-driven competitive threats. The company is facing pressure from AI tools that could directly disrupt its core offerings, alongside broader hiring slowdowns as AI adoption reduces demand for HR software. Australian software firm WiseTech Global announced plans to cut 2,000 jobs (one-third of its workforce) in a two-year AI-linked restructuring. Workday's struggles exemplify how AI is reshaping enterprise software markets, with investors punishing companies perceived as vulnerable to AI disruption while rewarding those positioned to capture AI productivity gains.

Jamie Dimon says society should start preparing for AI job displacement: 'Now's the time to start thinking about' it

JPMorgan Chase CEO Jamie Dimon warned society must prepare for AI-driven job displacement and would support government intervention including potential bans on mass AI layoffs to prevent social destabilization. Speaking at Davos, Dimon stated AI's effect on labor "may go too fast for society" and advocated for government retraining incentives and local retraining programs. JPMorgan has already displaced workers through AI but retrained them for other roles, demonstrating corporate ability to manage transition while acknowledging broader societal risks. Dimon's position marks a notable shift among financial elites toward acknowledging AI unemployment as a systemic threat requiring policy intervention.

Citrini's AI Job Loss Scenario Faces Pushback From Global Investors, Economists

A Citrini Research report projecting mass white-collar unemployment by 2028 due to AI adoption triggered significant market volatility and global investor backlash. The report modeled a scenario where rapid AI productivity gains trigger corporate layoffs that erode consumer demand, creating a negative feedback loop as companies cut staff to boost margins and redirect resources into AI investment. The analysis cited DoorDash as vulnerable to AI agents enabling direct courier-customer coordination at lower cost. While some economists criticized the report's assumptions as extreme, the market reaction signals investor anxiety about AI-driven labor displacement and potential economic destabilization.

Companies cutting jobs as investments shift toward AI

Goldman Sachs economists estimate AI was responsible for 5,000 to 10,000 monthly net job losses in U.S. industries most exposed to automation last year, and accounted for 7% of total planned layoffs in January 2026. The report documents specific workforce reductions: Dow plans to cut 4,500 jobs (13% of workforce) using automation and AI; Allianz plans to cut 1,800 travel insurance jobs as AI replaces manual processes; Pinterest and Nike have made AI-linked cuts. Federal Reserve Governor Lisa Cook warned the Fed may be unable to counter this AI-driven unemployment trend through monetary policy alone.

Destitute survivors of south-east Asia's cyberscam farms an 'international crisis'

The Guardian reports that thousands of survivors freed from forced-labor cyberscam compounds across Southeast Asia are now destitute and sleeping on streets, with aid agencies warning of an international humanitarian crisis. Victims trafficked into compounds to conduct global cryptocurrency and investment scams lack passports, money, and support from Cambodian authorities who have failed to offer victim screening or other assistance.

Fed's Cook says AI triggering big changes, sees possible short-term unemployment rise

Federal Reserve Governor Lisa Cook warned that artificial intelligence represents the most significant reorganization of work in generations, cautioning that job displacement may precede creation and could temporarily raise unemployment even as productivity gains materialize. She noted AI investment may initially push neutral interest rates higher before potentially lowering them if gains concentrate among the wealthy, creating monetary policy trade-offs that traditional demand-side tools cannot address.

Ministers urged to impose temporary ban on crypto political donations

UK Parliament's Joint Committee on National Security Strategy demanded a moratorium on cryptocurrency political donations until safeguards against foreign interference are implemented. The warning comes after the Representation of the People bill omitted crypto donation restrictions despite concerns that digital assets enable malign actors to conceal funding sources, complicating Electoral Commission and law enforcement oversight capabilities.

I.R.S. Tactics Against Meta Open a New Front in the Corporate Tax Fight

The Internal Revenue Service is using real-world profit data to challenge how Meta and other large technology companies value intellectual property moved offshore, opening a new front in the government's battle against corporate tax avoidance. The agency is scrutinizing the "Double Irish" arrangement and transfer pricing mechanisms that allowed Meta to relocate IP rights to Ireland while its U.S. parent maintained control of core technologies, questioning whether offshore subsidiaries paid adequate consideration for assets that generate billions in global revenue.

Flagship-backed Generate Biomedicines eyes $2.2 billion valuation in US IPO

Generate Biomedicines, founded in 2018 by Flagship Pioneering (the venture firm behind Moderna), announced plans to raise up to $425 million in a Nasdaq IPO that would value the company at $2.17 billion. The company uses AI to replace traditional trial-and-error drug discovery by generating novel protein-based therapeutics computationally. Its lead candidate, GB-0895 for severe asthma, is currently in late-stage trials. Menlo Ventures, which cited Aurora Therapeutics' bespoke CRISPR work as validation of the approach, has invested $16 million in AI-driven genetic medicine startups.

AI threatens enterprise software companies, says Franklin Templeton CEO

If AI makes human labor obsolete, who decides who gets to eat?

The Guardian examines the overlooked question of resource distribution amid AI-driven labor displacement, exploring how societies will feed populations if traditional employment becomes obsolete. The article discusses proposals including universal basic income, AI dividend portfolios, and tax policies to steer technology toward augmenting rather than replacing workers.

Big Tech's AI bond binge shatters 'unspoken contract' with investors

Hyperscalers are abandoning their traditional "fortress balance sheet" approach to fund AI infrastructure buildouts through massive debt issuances, challenging decades of investor expectations. Oracle issued a record $18 billion bond in September 2025, while Alphabet, Amazon, Meta and Microsoft collectively project nearly $650 billion in 2026 capital expenditures. Credit markets are pricing higher default risk for tech borrowers as AI disruption threats and potential data center obsolescence create uncertainty. Investors warn that bringing speculative AI spending into debt markets fundamentally alters the risk profile of previously cash-rich tech giants.

Honeywell Considers Walking Away From Johnson Matthey Catalyst Deal

Honeywell International is weighing abandonment of its $2.4 billion acquisition of Johnson Matthey's Catalyst Technologies business, agreed to in May 2025. The UK chemicals company had positioned the sale as central to restructuring efforts focused on clean air technologies and platinum group metals, while the deal represented Honeywell's push into automation and energy transition technologies.

Ethereum's Vitalik Buterin proposes AI 'stewards' to help reinvent DAO governance

Ethereum co-founder Vitalik Buterin has proposed deploying AI "stewards" to manage decentralized autonomous organizations, using zero-knowledge proofs and secure computation environments to automate governance decisions while protecting sensitive data. The system would embed AI agents within multi-party computation or trusted execution environments, enabling them to process private information without exposing it on public blockchains. Buterin argues this architecture could overcome DAO governance failures caused by human attention limits, while privacy-preserving tools would prevent coercion and bribery in voting processes.

Big Tech's Soaring Spending on AI Is Eating Into Stock Buybacks

Major technology companies are reducing stock buyback programs after years of funneling cash to investors, redirecting capital toward artificial intelligence infrastructure and compute capacity. The shift signals a strategic reprioritization as AI competition intensifies, with tech giants choosing long-term capability buildout over immediate shareholder returns.

TXNM Energy gets FERC approval for $11.5 billion Blackstone deal

The U.S. Federal Energy Regulatory Commission authorized Blackstone Infrastructure's $11.5 billion acquisition of TXNM Energy, ruling the transaction "consistent with the public interest" with no harm to rates or competition. The approval marks a critical regulatory milestone for the private equity giant's expansion into utility infrastructure, though state-level approvals remain pending.

Stronger Growth, Weaker Hiring: Forecasters See a Split-Screen Economy

Economic forecasters predict GDP expansion alongside hiring slowdowns, revealing a labor market where productivity gains and automation decouple growth from human employment. The megacorps extract profit while fewer workers are needed to sustain expansion.

Circular investment deals by major AI companies spark 'bubble' fears

AI companies engage in circular investment schemes with chipmakers, where firms buy chips then receive investments that inflate stock prices, raising sustainability concerns about corporate-controlled AI ecosystem

Nvidia is turning GPUs into capital, but questions exist around sustainability — AI companies are financing hardware like debt, as bank warns of 'sharp market correction'

Nvidia transforms GPUs into financial instruments as AI companies finance hardware through debt deals, creating circular capital bubble where corporate power dictates essential resource allocation