Thirty-nine state banking associations have joined a new initiative called the Bankchain Alliance, aiming to launch a nationwide bank-owned blockchain network by 2027.
The alliance says the network would foster stablecoins, payments, and tokenized deposits within the banking system’s existing regulatory framework.
Crypto commentator Scott Melker described the development as significant, noting the alliance represents thousands of community and regional banks unwilling to cede control of tokenized finance to crypto firms or large institutional banks.
Melker, host of “The Daily Wolf” on Yahoo Finance, said the alliance has not yet selected a technology partner, and it remains unclear whether the network will operate as a closed system or offer interoperability with other chains.
The alliance has indicated a preference for interoperability, though no concrete technical decisions have been announced ahead of the targeted 2027 launch date.
Bitcoin (BTC-USD) remains under pressure, pulling back to around $79,000 after facing rejection near the $81,000 level, a move Melker attributed to healthy deleveraging following a 24% single-week rally.
Melker argued that the crypto fear and greed index shifting into greed territory should not be interpreted as a bearish signal, pointing out that during Bitcoin’s previous run to $126,000, sentiment remained elevated for an extended period.
Strategy (NASDAQ: MSTR) is drawing renewed attention after the company’s dollar liquidity approached nearly $6.69 billion, coming close to matching its outstanding convertible debt of approximately $6.75 billion, effectively reducing net leverage to near zero.
Strategy holds $5.1 billion in a designated USD reserve earmarked for dividends and expenses, alongside a flexible USD cash reserve of $1.59 billion that can be deployed to buy Bitcoin, repay convertible notes, or repurchase preferred shares.
Melker suggested that rather than accumulating Bitcoin aggressively, Strategy may be prioritizing balance sheet simplification by retiring complex debt obligations, including preferred shares STRK and STRD, which are currently trading below par.
He pointed to competitor Strive, which cleared all its convertible debt obligations and is now focused solely on its SETA product as a Bitcoin acquisition vehicle, as a potential model Strategy could be moving toward.
On the stablecoin front, Revolut announced plans to enter the global stablecoin race with a euro-backed token, a move driven in part by MiCA regulations in the European Union that forced the neobank to delist Tether.
Separately, the European Central Bank claimed its proposed digital euro would offer a maximum level of privacy, a promise Melker dismissed outright, warning that central bank digital currencies represent a dystopian form of monetary control.
Japan’s financial regulator also signaled plans to develop a blockchain-based stock settlement system, with details expected in early 2027, reflecting a broader global push toward blockchain infrastructure in traditional finance.
In the show’s regular “How Not To Invest” segment, Melker highlighted the federal jury conviction of Las Vegas business owner Brent Kovar for running a $24 million Ponzi scheme called Profit Connect, in which at least 400 investors were falsely promised fixed annual returns of 15 to 30% through an alleged AI supercomputer mining operation.
