The Blockchain Bulletin, Apr 2: Senator Backs Crypto in Retirement Plans

Hey folks! Welcome to the latest edition of the Blockchain Bulletin, where we provide you with insights that garnered massive attention in the past 24 hours. Alabama Senator Tommy Tuberville stirred headlines by proposing to reintroduce the Financial Freedom Act, a bill aimed at allowing citizens to include cryptocurrencies in their retirement portfolios. In a recent interview, Tuberville criticized President Biden’s administration for attempting to “control how Americans invest their money,” while lauding Donald Trump as the “Crypto President.” His remarks come amid rising tensions between federal policy and decentralized finance freedoms.

Meanwhile, the Chief Legal Officer of OKX, Mauricio Beugelmans, stepped down after nearly four years. His departure, noted on his LinkedIn profile, follows OKX’s recent $500 million settlement with the U.S. Department of Justice. Beugelmans, who had been instrumental in crafting OKX’s global compliance strategy since August 2021, concluded his term in March 2025—just weeks after the hefty penalty was announced.

Ethereum co-founder Vitalik Buterin has once again moved markets with his wallet activity. He recently sold his remaining 5,000 DHN tokens for $93,655 USDC, leading to a sharp drop in DHN’s price. Also, he offloaded 2 trillion LEDOG tokens for $16,569 USDC. These tokens were unsolicited airdrops—a tactic often used to attract visibility by sending meme coins to high-profile wallets. Additionally, Buterin transferred ETH to a new experimental blockchain initiative, continuing his pattern of supporting experimental projects. 

Meanwhile, in an unprecedented move, a hacker had a taste of his medicine. Siphoning over 2,930 ETH (worth $9.6 million) from zkLend in February, the hacker fell prey to a scam website while laundering the funds. Reportedly, the hacker had accessed a fake TornadoCash website, following which he lost $5.4M worth of ETH. The hacker had manipulated zkLend’s lending protocol using flash loans and rounding errors but failed to navigate laundering platforms like Railgun. 

Defunct crypto exchange FTX will begin distributing $11.4 billion to its major creditors starting May 30, 2025. The valuation of crypto assets will be pegged to their prices on November 11, 2022, the day FTX filed for bankruptcy, which raised concern among many as prices have surged since then. Meanwhile, creditors with claims under $50,000 had already received payouts in late 2024, with 98% reportedly compensated within two months of the plan’s rollout.

In a regulatory pivot, the Kentucky Department of Financial Institutions has officially dropped its case against Coinbase, reversing its stance on staking services. The dismissal, filed on April 1, coincided with the signing of House Bill 701 by Governor Andy Beshear. The new law clarifies that staking and mining do not constitute securities under state law. Kentucky now joins South Carolina and Vermont in embracing crypto-forward policies. Coinbase CLO Paul Grewal applauded the shift, saying it promotes innovation and consumer opportunity. 

Circle has announced its intent to go public after filing IPO documents. The company tapped JPMorgan and Citigroup to guide the process, marking a departure from its previously failed SPAC merger attempts. Though a listing date has not been finalized, the IPO filing—expected by the end of April—will disclose key financials and possibly the ticker symbol. If successful, it could become the largest crypto IPO to date, surpassing Coinbase’s public debut. 

Binance has revealed KernelDAO (KERNEL) as the latest addition to its Megadrop program. As a restaking protocol backing Kernel, Kelp, and Gain, KernelDAO plans to distribute 40 million KERNEL tokens via Megadrop, accounting for 4% of the total 1 billion supply. Another 40 million will be unlocked six months after listing for marketing campaigns. The initial circulating supply on Binance Spot will exceed 162 million tokens, offering early access to users. 

Coinbase CEO Brian Armstrong has publicly called on Congress to revisit stablecoin regulations. Posting on X, Armstrong emphasized that U.S. consumers should be allowed to earn on-chain interest through stablecoins, a function currently restricted by existing banking laws. He argued that the current framework creates unfair advantages for traditional banks and limits innovation in the digital asset space.

In an unconventional legal development, a Brazilian bankruptcy court has approved the use of NFTs to serve legal notices to unidentified defendants in the BWA Brazil crypto fraud case. The case centers around alleged pyramid schemes involving Bitcoin, with NFTs now being deployed to notify anonymous wallet holders involved in the transactions. This marks a legal first for the country, offering a modern twist to due process in crypto litigation. 

As the crypto ecosystem evolves, Tuberville’s reintroduction of the Act fuels political debate while Kentucky’s move embraces staking reforms. Further, with FTX repayment plans and Buterin’s sell-offs, it underscores the industry’s push for growth amid regulatory uncertainty. 

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