The Era Arc: Daily TEA Shots, February 18, 2025

Crypto Fraud, China Tensions, AI Unicorns, Bitcoin ETFs & More

Feb 18, 2025

Hello, dear TEA-mates! Here’s what you need to know today:

1. 🔥 Argentine President Milei Faces Fraud Charges Over Crypto Promotion

Argentine lawyers have accused President Javier Milei of fraud for promoting Libra (LIBRA), a Solana-based token under the Libertad project. LIBRA’s market cap surged to $4.56B on Feb. 14 after Milei posted about it on X, only to plummet 94% after he deleted the post. The incident has led to accusations of a pump-and-dump scheme.

2. 🌐 Wall Street Banks Cut China Exposure Amid Rising Risks

Major banks like Goldman Sachs, JPMorgan, UBS, and Morgan Stanley are scaling back in China due to reputational risks and costs. Their combined profits in China totaled $33.7M in 2023, a fraction of their global earnings. Goldman Sachs made $67M in China over five years, just 0.50% of its $13B+ global net income in 2024. Meanwhile, JPMorgan earned $26M in China vs. $57B in global earnings for 2024. Goldman and UBS China banker counts also hit a 5-year low.

3. 🤖 AI Unicorn Boom: 11 New Startups Join the $1B Club in January

January saw 11 new unicorns, exceeding the 2024 average of 9 per month. Seven are U.S.-based, while three hail from Europe (U.K., Sweden, Switzerland), and one from India. The youngest unicorn, 1-year-old Hippocratic AI, focuses on AI-driven healthcare. The AI hiring startup Mercor also joined the list after raising $40M.

4. 💡 The New York Times Expands AI Tools for Newsroom Efficiency

The New York Times has deployed internal AI tools to enhance research, editing, summarization, and transcription for its journalists. AI helps reporters analyze large datasets, generate article drafts, and transcribe interviews. However, the company remains cautious about AI-generated content after its legal dispute with OpenAI.

5. 💸 Abu Dhabi’s Mubadala Wealth Fund Flexes $460M Bitcoin ETF Stake

Abu Dhabi’s Mubadala Wealth Fund has become a major Bitcoin ETF holder with a $460M stake, ranking among the top institutional investors. Meanwhile, Goldman Sachs leads with $710M in ETF holdings, spanning BlackRock’s IBIT and Fidelity’s Wise Origin Bitcoin Fund. PNC Bank has also increased its Bitcoin ETF exposure from $10M to $67M in the past year.

6. 📱 Pin AI Lets You Build a Private AI Model on Your Phone'

A new AI startup, Pin AI, has launched a mobile app allowing users to create personalized AI models using DeepSeek or Llama. Unlike cloud-based AI, Pin AI runs models directly on devices, ensuring privacy and offline functionality. The app could disrupt the AI assistant space by offering users more control over their models.

7. 🛠️ BNB Chain Gas Fees Surge 400% Amid Meme Coin Frenzy

Over the past week, BNB Chain’s gas fees skyrocketed 400% to nearly $15M, surpassing Ethereum’s $7M but trailing Solana’s $29M. The surge is fueled by meme coin activity, with platforms like Four.meme generating over 12,000 meme tokens daily. The increase in transaction volume has forced BNB Chain to upgrade its infrastructure for faster and more efficient processing.