Daily TEA – Blockchain Expansions, DeFi Reboot & AI Censorship
USDe, Ethena, Huawei, BitGo, Neuralink
Hello, dear TEA-mates! Here’s what you need to know today：
1.🪙 YZi Labs Expands Ethena Investment as USDe Surges to $13B
YZi Labs has ramped up its investment in Ethena Labs, boosting support for the synthetic stablecoin USDe, which recently became the third-largest crypto dollar with over $13 billion in circulation. This funding will accelerate Ethena’s multi-chain expansion—including on BNB Chain—and foster institutional-grade product development. New launches, such as the fiat-backed USDtb and Converge, an institutional settlement platform with ties to BlackRock and Securitize, are set to link real-world assets with crypto markets. USDe’s model, which pairs volatile assets like BTC, ETH, and SOL with short perpetual futures to maintain its peg, enabled it to surpass $10 billion supply quicker than any previous crypto dollar. These efforts reflect Ethena’s strategy to embed stable, yield-generating assets at the heart of the digital economy—bridging traditional finance and crypto. Market experts predict the stablecoin sector could swell to $2 trillion by 2028. Read More
🍵 TEA For Thought: Let’s make it clear that this USDe is not a “stable” coin, it’s pegged to volatile cryptos including BTC, ETH, SOL. Which means, when these crypto crash, so will this USDe stablecoin.
2.📉 Vitalik Highlights DeFi Potential and Pushes for Reduced USD Reliance
Vitalik Buterin calls for low-risk DeFi on Ethereum, likening it to Google Search for long-term stability and ecosystem funding. He urges focus on protocols that deliver sustainable revenue without risking Ethereum’s foundational integrity. Importantly, Vitalik recommends exploring basket currencies and “flatcoins” to reduce dependency on USD, especially amidst regulatory improvements and rising dedollarization narratives globally. This marks a strategic shift as Ethereum’s revenues decline and regulatory landscapes change. Read More
🍵 TEA For Thought: Vitalik talking about dedollarization—the question is, why now?
3.🤖 Huawei and Zhejiang U Co-Develop DeepSeek-R1-Safe AI, Boosts Censorship
Huawei partnered with Zhejiang University to develop DeepSeek-R1-Safe, a generative AI trained on 1,000 Huawei Ascend chips and designed to prevent politically sensitive discussion almost entirely. The model outperformed rivals in security defenses and is in line with China’s regulatory demands for models reflecting “socialist values.” The success rate, however, drops against disguised or coded content, raising questions about the balance between user safety and state control. Read More
🍵 TEA For Thought: One has to ask, “DeepSeek-R1-Safe”—safe for whom? For the people or just the CCP?
4.🏦 BitGo Targets NYSE IPO With $90B in Custody Amid Institutional Crypto Boom
Crypto custody leader BitGo has filed for a US IPO, aiming to list on the NYSE with over $90.3 billion in assets under custody across 4,600+ clients. The move follows regulatory changes enabling more banks like US Bancorp to reenter digital asset services, signaling a surge of institutional adoption and public market debut for crypto firms. BitGo’s dual-share structure means its CEO retains significant voting power, and the expansion builds on its recent licenses in the EU for trading and custody. Read More
🍵 TEA For Thought: More and more like this will happen in the era of AI and blockchain.
5.🧠 Neuralink Plans Brain-Speech Trial—AI Communication at Thought Speed
Elon Musk’s Neuralink will launch a clinical trial in October to test brain implants that translate thoughts into text, targeting users with speech impairments. The trial is part of a growing slate of international studies and hints at a future where people could communicate with the latest AI models or LLMs at the speed of thought—a vision Neuralink says could deliver responses directly to devices like AirPods, potentially redefining human-computer interaction. Read More
🍵 TEA For Thought: Imagine a world where we communicate to the latest AI model, at the speed of thought—even faster than speaking—and get information back instantly through our AirPods. Sounds sci-fi, but it’s not too far away.
In Memory of Charlie Kirk
"Do not be afraid of those who kill the body, and after that have no more that they can do." Luke 12:4.
May he rest in peace.
Stay sharp, stay informed. See you tomorrow.
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