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Treasury Department Drops Case Over Tornado Cash

The U.S. Treasury Department and Washington, D.C.-based advocacy group Coin Center have agreed to end an appeal centered on the Ethereum coin mixer Tornado Cash.

Author

Ryan Allis
July 10, 2025

Issue Summary: Welcome back to Coinstack, the weekly newsletter for institutional crypto investors and industry insiders. We review the top news, stats, and reports in the digital asset ecosystem for our 330k weekly subscribers. This week the US Treasury Department dropped its case over Tornado Cash, Vitalik floated gas cap for ZK ‘Endgame’, EU granted MiCA licenses to 53 crypto firms, and big new rounds came in for The Open Platform ($28.5M) and Kuru Labs ($11.5M).

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💵 Weekly Crypto Fundraises & Deals

Here are all the crypto fundraises we heard about this week, ranked by size…

🗞️ Crypto News Recap: The Top 5 Stories

Welcome back to This Week in Crypto… everything you need to know in one scannable format. Here are the top 5 stories of the week…

  1. ⚖️ Treasury Department Drops Case Over Ethereum Mixer Tornado Cash:The U.S. Treasury Department and Washington, D.C.-based advocacy group Coin Center have agreed to end an appeal centered on the Ethereum coin mixer Tornado Cash.

  1. 📈 Ethereum Co-Founder Vitalik Buterin Floats Gas Cap for ZK ‘Endgame’:A proposal backed by Ethereum co-founder Vitalik Buterin would introduce restrictions on the amount of computational work individual transactions can command, strengthening the network against potential attacks and support more advanced forms of cryptography.

  1. ⚖️ EU grants MiCA licenses to 53 crypto firms, Tether and Binance left behind: More than 50 institutions, including major stablecoin issuers and crypto service providers, have received regulatory approval under the European Union’s Markets in Crypto-Assets (MiCA) framework within the first six months of the regulation.

  1. 🚀 U.S. House of Representatives declares July 14th “Crypto Week”:The U.S. House of Representatives has designated the week starting July 14 as “Crypto Week,” as lawmakers consider three landmark bills: the CLARITY Act, the Anti-CBDC Surveillance State Act, and the Senate’s GENIUS Act, in a comprehensive push to establish the United States as a global leader in digital assets.

  1. ⚖️ FTX Recovery Trust freezes payouts to 49 countries pending legal clearance:The FTX Recovery Trust informed the Delaware bankruptcy court that it will treat creditor claims from 49 foreign jurisdictions as disputed, as local rules prohibit either crypto trading or the use of distribution agents.

💬 Tweet of the Week

Source: @Pentosh1

📊 Key Stats of the Week

Here are the most important and interesting stats in crypto this week...

1. Onchain lending continues to accelerate. There are now more than $28B in total open loans across the ecosystem, the highest total ever.

Borrowing activity grew by 30% ($6B) in June alone.

There are now 9 different protocols with at least $1B in open loans, including:

AAVE ($17B)
Sky ($4.3B)
Morpho($2.4B)
Spark ($1.7B)
Kamino Finance ($1.6B)
Euler ($1.3B)
Maple ($1.2B)
Compound ($1B)
Fluid ($1B)

Programmable money marches forward.

Source: @DavidShuttleworth

2. Quietly, Euler has grown its lending business by over 1200% in 2025. The protocol now manages $1.2B in active loans and $2.2B in deposits, generating $50M in annualized fees

This growth has catapulted Euler to the 5th largest active lender in the entire space.

Source: @DavidShuttleworth

3. Stablecoins are being used as a medium of exchange now more than ever. In June, fiat-backed stables like Circle USDC and Tether.io USDT shattered previous records, processing over 236M transactions. This represents a 28% increase month-over-month, coming off a previous all-time high. Moreover, and importantly, this only includes user-driven activity (e.g. CEX/DEX deposits and withdrawals, lending) and filters for intra-exchange transfers, MEV, and other bot activities.

Liquidity and real, objective utility continue to gain momentum. Programmable money moves forward.

Source: @DavidShuttleworth

4. 📈 DePINs are Generating Revenues, Continuing to Expand, and Due to a Large Sector-Wide Correction, are Currently More Attractive than Ever

Source: @OurNetwork

5. However, even as flagship DePIN projects continue to make good on their promises, token valuations have been crushed over the last three months in the public markets, repricing these assets to more attractive valuations.

Source: @OurNetwork

📝 Highlights from the Top Crypto Reports

Here are the top highlights from the best crypto research reports this week…

About the Author: OurNetwork, aims to help you understand crypto like never before by harnessing the power of onchain data & analytics. This is an excerpt from the full article, which you can find here.

📝 Editor’s Note:

Welcome to OurNetwork's latest, a dive into decentralized physical infrastructure networks. Below, we have analysis from Robert, showing that price-to-sales ratios for DePIN networks are falling, which may be a sign of maturity for the space.

Doug from Livepeer, the video infra network, and Daniel from Silencio, the decentralized sound mapping network, chipped in to cover two major DePINs as well. Owen from the OurNetwork team covered Helium.

Be on the lookout for Part 2 of this DePIN series, which comes out on Tuesday.

– ON Editorial Team

📈 DePIN Valuations Continue to Decrease; the Median P/S ratio is Down 60% Since the End of 2024, Contrary to the Trend of Most Other Sectors

In Q2 2025, the price-to-sales ratio (fully-diluted valuation over annualized revenues) for DePINs continued its decline, hitting an all-time low median of 115 in June. This is a ~90% year-over-year decrease across the 26 DePINs with tokens and reported revenue. This is because DePIN revenues continue to grow (now ~1 M $ median annualized revenue) while prices drop in line with the overall market. These ratios exhibit significant variance though, e.g. the interquartile range ranges from 40 to 650 for June P/S ratios.

Not all DePINs have the exact multiple. Valuation drivers have been analysed in the latest part of the 1kx/Messari series on tokenomics of DePINs. One driver is liquidity (corresponding to listings on major CEXs): DePINs with a higher P/S ratio and comparable revenues have deeper liquidity.

P/S-ratios follow a declining trendline when revenue increases. As most DePIN saw rising revenues, the P/S ratios came down over the last quarters, as shown here for Akash, Helium, and Geodnet. Interestingly, those ratios for Q2 2025 are below what the their historical trendline of P/S ratio vs. revenue would predict.

🎧 Top Crypto Podcasts of The Week

Here are the crypto podcasts that are worth listening to this week...

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📰 The Coinstack Newsletter:

Tracking the most important blockchain stories of the 2020s, including a decentralized internet and the creation of a new open global monetary system that works for everyone. As always, published for informational purposes only. Please do your own research. Just our opinions. Not intended as financial advice as we are not financial advisors. We may own some of the digital assets we write about as we believe strongly in the sector. Please do your own research. Published and written weekly by Ryan Allis and Mike Gavela.

Coinstack is a news and analysis newsletter for the digital asset industry. None of the information here is a recommendation to invest in any securities or other types of investments. Past performance is no guarantee of future results. Any historical returns, expected returns, or probability projections may not reflect actual future performance. All investments involve risk and may result in loss.

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