This week, the global financial landscape saw a shift in sentiment with the temporary suspension of reciprocal tariffs. The announcement of a 90-day pause on retaliatory tariffs by the US and matching moves from the EU offered some respite to markets. This pause has been attributed to China’s continued high tariff rate (125%), contrasting with the US’s 10% baseline. Despite this relief, job creation remains a key concern as jobless claims rose to 223,000, underscoring the labor market’s ongoing fragility. Meanwhile, Bitcoin and cryptocurrencies experienced notable developments, including China and Russia utilizing Bitcoin for energy trading. Blackrock’s move to include Anchorage Digital Bank as an additional custodian for its Bitcoin holdings reflects growing confidence in digital assets. Additionally, Cboe Digital and Fidelity Investments are pushing forward with innovations in the cryptocurrency space, such as a new BTC futures product and the launch of Crypto for IRAs respectively. Regulatory developments also took center stage: the SEC granted approval for Ethereum ETFs from iShares, Bitwise and Grayscale while the U.S. Department of Justice disbanded its National Cryptocurrency Enforcement Team. The DeFi sector saw borrowing demand decline with stablecoin yields reaching 2.8% compared to traditional market rates at 4.3%. Meanwhile, tokenized gold trading volume reached a two-year high this week, exceeding US$1 billion as investors sought safe havens amidst economic uncertainty. Aave’s success in purchasing its governance token underscores the growing maturity of DeFi protocols. Magic Eden’s acquisition of Slingshot further highlights the trend of NFT marketplaces integrating with blockchain technologies for enhanced trading experiences. Finally, Ripple announced a landmark deal to acquire Hidden Road, highlighting the competitive landscape in the financial technology space.