May 25, 2025

🔮 From Pizza to ATHs, Genius Act, DA M&A, People + Institutions Pile In, Loaning Out DeFi

Top Stories

15 Years Later, Bitcoin Pizza Day Highlights Over $1.1 Billion in Missed Gains

May 22 marks the 15th anniversary of Bitcoin Pizza Day, the infamous moment when Laszlo Hanyecz paid 10,000 BTC—then worth just $41—for two Papa John's pizzas. With Bitcoin now trading above $111,000, those coins are valued at over $1.1 billion. Widely recognized as the first real-world Bitcoin transaction, the event is now a symbol of crypto’s explosive growth. Back in 2010, BTC traded for fractions of a cent and was only accessible on obscure forums; today, it’s integrated into Wall Street ETFs, institutional portfolios, and even national reserves. Yet despite its rise, Bitcoin is still rarely used for everyday purchases—highlighting its shift from peer-to-peer currency to store-of-value asset. Hanyecz, for his part, remains a legend, and his $1.1 billion pizza order serves as a powerful reminder of how far Bitcoin has come.

You Get a Loan and You Get a Loan... and You Get a Loan

Aave has surged back to a $30 billion total value locked (TVL), marking a 50% rebound from its YTD low and cementing its status as Ethereum’s top lending protocol. The jump reflects renewed confidence in DeFi, with Aave now generating over $1 million in daily fees. This growth aligns with Ethereum’s broader market recovery, which has spurred users to redeploy idle capital. Aave’s $10 billion in outstanding debt—about 33% of TVL—shows efficient but cautious utilization, signaling both sustainable yield generation and robust protocol health as a new DeFi cycle gains momentum.

Source: The Block

Crypto M&A Heats Up: May Signals Broader Consolidation Trend

Crypto M&A activity is gaining serious momentum in May, with a notable surge in both mega-deals and smaller strategic acquisitions that highlight ecosystem-wide appetite for growth. Just last week, five acquisitions were announced — including Robinhood buying WonderFi, Alchemy acquiring DexterLab, 0x scooping up Flood, Gnosis acquiring HQ.xyz, and Anchorage expanding stablecoin capabilities. While Robinhood gained a foothold in Canada and Anchorage moved deeper into stablecoins, 0x’s acquisition of rival Flood marks growing consolidation in DEX infrastructure. Gnosis’ purchase strengthens its enterprise payments and treasury stack, and Alchemy’s move into Solana via DexterLab reflects demand for multichain development. According to Blockworks Research, crypto M&A in 2025 is already on pace to surpass 2021 levels, driven largely by financial infrastructure deals. The flurry of activity — from giants like Coinbase to niche players — underscores that this isn’t just an “M&A season” but potentially a breakout year for crypto consolidation and vertical integration.

Source: Blockworks

Big Banks Explore Joint Stablecoin Venture Ahead of U.S. Legislation

Major U.S. banks—including JPMorgan, Bank of America, Citigroup, and Wells Fargo—are reportedly in early talks to launch a joint stablecoin initiative. The potential venture, involving The Clearing House and Zelle operator Early Warning Services, hinges on the outcome of pending U.S. stablecoin legislation. Progress on the GENIUS Act—which mandates full dollar backing and audits for large issuers—has prompted increased interest from traditional finance, but any launch remains contingent on final congressional approval and President Trump’s signature.

Regulation

El Salvador’s Bitcoin Gains Top $357M Despite IMF Pressure

El Salvador’s bitcoin portfolio is now over $357 million in unrealized profit, with the country's 6,181 BTC acquired for $287.1 million now worth approximately $644 million at peak—up 125%. This comes as Bitcoin briefly touched $106,000 before correcting. Despite a $1.4 billion IMF deal that includes scaling back crypto initiatives, President Nayib Bukele reaffirmed his commitment to buying more BTC, emphasizing long-term conviction. Since adopting Bitcoin as legal tender in 2021, El Salvador has continued its accumulation strategy, ignoring international pressure and market volatility.

Bitcoin ETFs Hit $109B AUM Milestone as Global Institutions Pile In

Bitcoin spot ETFs have reached a record $109 billion in assets under management, marking a major turning point in institutional crypto adoption. BlackRock’s IBIT leads the pack, recently pulling in $970 million in a single day—its largest inflow in three months. The sustained interest highlights how ETFs have become core allocation tools for institutional investors, overcoming past barriers like custody. Global participation is growing: Hong Kong's Avenir holds nearly $700 million, Abu Dhabi’s Mubadala has allocated $408.5 million, and even Brown University’s endowment has entered with a $5 million stake—underscoring Bitcoin’s expanding legitimacy across diverse capital allocators.

Source: The Block

Strategy, Saylor Hit with Class Action Lawsuit Amid Record Bitcoin Holdings

Strategy and co-founder Michael Saylor face a class action lawsuit alleging the firm misled investors about its profitability and bitcoin-related risks following its switch to fair value accounting. The suit, covering April 2024 to April 2025, also names CEO Phong Le and CFO Andrew Kang, accusing the company of downplaying potential losses while making bullish projections. In an SEC filing, Strategy said it would contest the claims but couldn’t predict the outcome. Notably, the firm also disclosed a new $765 million BTC purchase, bringing its total holdings to 576,230 BTC—now worth over $59 billion.

GENIUS Act Clears Key Senate Vote, Paving Way for Historic Stablecoin Legislation

The U.S. Senate advanced the GENIUS Act on a 66-32 vote, a major breakthrough for stablecoin regulation. Backed by 16 Democrats who reversed course after last week’s failed cloture, the bill requires stablecoins to be fully backed by U.S. dollars or liquid equivalents, with mandatory audits for issuers over $50 billion in market cap. Lawmakers and crypto leaders hailed the bipartisan win as a step toward securing U.S. dollar dominance in digital finance. Final amendments and a vote remain before it can become law.

Other Domestic Regulation Updates

Other International Regulation Updates

Pain & Gain

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Gain

Important Legal Notices

This reflects the views MJL Capital LLC (“MJL”), but it should in no way be construed to represent financial or investment advice. Nothing in this correspondence is intended to constitute or form part of, and should not be construed as, an issue for sale or subscription of, or solicitation of any offer or invitation to subscribe for, underwrite, or otherwise acquire or dispose of any security, including any interest in any private investment fund managed by MJL. Any such offer may only be made pursuant to a formal confidential private placement memorandum of any such fund, which may be furnished to potential investors upon request and which will contain important information to be considered in connection with any such investment, including risk factors associated with making any investment in any such fund. Further, nothing in this correspondence is, or is intended to be treated as, investment or tax advice. Each recipient should consult their own legal, tax and other professional advisors in connection with investment decisions.

Domenic Salvo

Domenic Salvo is a Managing Partner at MJL Capital, helping lead Portfolio Research and Investor Relations.

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