Welcome to the January 2026 edition of The Monthly Crypto Map — your monthly wrap of the developments reshaping the global crypto landscape. |
Crypto is no longer just about markets but it is quietly becoming a geopolitical tool.
While the US is trying to formalise the industry through the CLARITY Act and push digital assets deeper into mainstream finance, some of the most dramatic shifts are coming from places operating outside traditional financial systems.
Pakistan is now exploring a politically charged partnership with a Trump-linked stablecoin project to rebuild cross-border payment rails; and Iran has taken an even more provocative step, openly exploring cryptocurrency payments for arms exports to bypass Western sanctions.
Meanwhile, India is experimenting with BRICS digital currency linkages while tightening crypto norms for the domestic market.
Globally, we are witnessing the redrawing of global monetary and geopolitical fault lines, just as markets begin betting on the next tokenisation-led bull cycle. |
Read on: |
US |
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Senate panel advances CLARITY Act, bringing US crypto regulation closer to reality
The Senate Agriculture Committee has advanced a bill to introduce wide-ranging rules for the cryptocurrency industry, marking an important step for the proposed CLARITY Act. The bill, which moved forward with support mainly from Republicans, aims to bring clearer regulation to digital assets by defining how the sector should be supervised. However, it still faces a major hurdle as it must clear the Senate Banking Committee before it can be voted on by the full Senate. The progress is significant because the legislation could shape the future rules governing cryptocurrencies in the US.
South Dakota revives plan to invest public funds in Bitcoin
A South Dakota lawmaker has reintroduced legislation that would allow the state to invest up to 10% of certain public funds in Bitcoin, reviving a proposal that failed to advance during last year’s legislative session. The bill includes strict custody, cybersecurity and governance safeguards for any digital assets held by the state, and reflects a broader push among some US states to explore Bitcoin as part of reserve and treasury management strategies. |
SEC, CFTC launch "Project Crypto"
The Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) are re-launching Project Crypto as a joint policy initiative to better prepare US markets for the digital era.
4 in 10 US merchants accept digital assets
Cryptocurrency payments are steadily entering mainstream US commerce, with new research from the National Cryptocurrency Association and PayPal showing that nearly 39% of merchants already accept digital currencies at checkout. The study also found that 84% of merchants expect crypto payments to become commonplace within the next five years, highlighting growing business interest in digital assets as companies respond to changing consumer payment preferences.
INDIA |
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RBI proposes linking BRICS' digital currencies
The Reserve Bank of India (RBI) has reportedly proposed linking official digital currencies across BRICS nations to ease cross-border trade and tourism payments, a move that could potentially reduce reliance on the US dollar amid rising geopolitical tensions.
India’s financial intelligence unit tightens norms for crypto
India's Financial Intelligence Unit (FIU-IND) significantly strengthened AML and KYC guidelines for Virtual Digital Asset (VDA) service providers, including cryptocurrency exchanges. While the tighter norms could curb misuse and strengthen confidence in the sector, they may also increase compliance burdens, particularly for smaller platforms. |
ASIA |
Iran accepts crypto for arms sales
Iran’s Defence Ministry export arm is reportedly accepting cryptocurrency payments for advanced weapons systems, in what appears to be an attempt to bypass international sanctions imposed on the country. The move is among the first known cases of a nation offering to accept digital currencies as payment for military equipment.
Pakistan inks deal with an affiliate of Trump's family on crypto
Pakistan signed an agreement with a company affiliated to Trump family's World Liberty Financial to explore using a dollar-linked stablecoin called USD1 for cross-border payments and digital financial infrastructure. The move was positioned as part of Pakistan’s push to modernise payments and strengthen remittance and trade settlement systems. People have also raised concerns that this could push the country to financial and geopolitics risk.
China begins paying interest on digital yuan wallets
China upgraded its central bank digital currency (CBDC), allowing interest payments on digital yuan balances starting January 2026. The move shifts the e-CNY from functioning like digital cash to acting more like deposit money and is aimed at boosting adoption and competition with private payment platforms.
Hong Kong moves toward stablecoin licensing
Hong Kong, operating as China’s regulated digital-asset gateway, prepared to issue its first stablecoin licences in early 2026. The move signals growing support for regulated stablecoins within China’s broader financial ecosystem. |
Japan signals support for crypto trading on traditional exchanges
Japan’s finance minister said the government supports allowing cryptocurrency trading through regulated stock and commodity exchanges. The move is part of a broader plan to align crypto regulation and taxation with traditional financial markets and expand institutional participation. |
Other countries
Argentina leads crypto adoption in Latin America
Argentina has emerged as the leading cryptocurrency market in Latin America, with adoption becoming widespread across both consumers and businesses. Stablecoins dominate usage, accounting for around 80% of transaction volume on some exchanges, and the market continues to expand with rising enterprise adoption and growing participation from urban users. |
GLOBAL MARKET DEVELOPMENTS |
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Bernstein forecasts tokenization boom
Bernstein said 2026 could mark the beginning of a tokenisation “supercycle,” adding that digital assets likely hit a bottom after a weak end to 2025, with recent market corrections creating buying opportunities in crypto-linked stocks.
Ripple CEO predicts all-time highs
Brad Garlinghouse, CEO of Ripple, said cryptocurrency markets could hit fresh record highs this year. Bitcoin previously touched an all-time high of about $126,000 in October.
USDT0 becomes largest cross-chain liquidity network
In January, USDT0, the unified liquidity network for Tether (USDT), marked its first anniversary after facilitating over $63 billion in total value transfers, including more than $431 million in bridge volume.
CORPORATE DEVELOPMENTS
Morgan Stanley files Bitcoin & Solana ETFs
Morgan Stanley plans to launch exchange-traded funds (ETFs) linked to the price of Bitcoin and Solana, the largest and sixth-largest crypto assets by market capitalisation, according to a Form S-1 filing with the US Securities and Exchange Commission.
UBS evaluates crypto trading
UBS, which manages about $6.6 trillion in assets, plans to allow select wealthy clients to trade Bitcoin and Ether as part of a broader push into digital assets. |
Ledger prepares $4 billion NYSE IPO
Ledger, the French crypto hardware wallet maker, is preparing for an IPO on the NYSE this year that could value the company at over $4 billion. |
YZi Labs backs BitGo IPO
YZi Labs, the investment firm backed by Changpeng Zhao, has taken a strategic stake in the IPO of BitGo, backing the crypto custodian as it debuted as a publicly listed company on the NYSE. |
Tether freezes $182 million in USDT stablecoin
Tether froze over $182 million worth of its USDT stablecoin across five wallet addresses on the Tron network on January 11, according to on-chain data tracked by Whale Alert, marking one of the largest single-day enforcement actions on the network in recent months. |
Bitfarms to exit Latin America
Bitcoin mining firm Bitfarms announced plans to exit Latin America after agreeing to sell its 70-megawatt mining site in Paso Pe, Paraguay for up to $30 million.
SECURITY & FRAUD |
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BTQ Technologies launches Bitcoin Quantum Testnet
Rising concerns around quantum computing potentially compromising the roughly $2 trillion Bitcoin network have prompted new defensive efforts from BTQ Technologies.
Chinese cryptocurrency money laundering networks surge
Cryptocurrency money laundering has surged over the past five years, with Chinese-language networks emerging as a major hub of the global underground economy. Research by Chainalysis estimates that more than $82 billion moved through on-chain laundering channels in 2025, up sharply from about $10 billion in 2020.
Chinese national sentenced for crypto scam in the US
Chinese national Jingliang Su was sentenced to 46 months in prison for helping launder over $36.9 million from victims through a digital-asset investment scam operated from centres in Cambodia, with the court also ordering him to pay $26.9 million in restitution. |
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