Morning News | Infrared Protocol launches TGE on 12/17; YO Labs completes $10 million Series A; SEC publishes digital asset custody guidelines

Today’s Highlights:

Infrared (IR) Enters a Critical Phase with TGE on December 17

The liquidity staking protocol on the Berachain network - Infrared has announced detailed airdrop information for IR tokens. This airdrop rewards early Infrared community members, those who participated in pre-deposit events, and active community participants. The IR token will have three main functions: staking to receive sIR for governance rights; profit sharing through buyback; and token issuance to optimize protocol efficiency.

According to the latest market data, IR is currently priced at $0.08. Important timelines: pre-deposit window opens at 1:00 on December 16 (UTC+8) and closes at 16:00 on December 17 (UTC+8), when IR tokens are officially listed. All airdrop claim requests will end permanently at 08:00 on January 12, 2026 (UTC+8).

YO Labs Raises an Additional $10 Million for Crypto Yield Optimization Protocol

The team behind YO Protocol announced the completion of a Series A funding round of $10 million, led by Foundation Capital, with Coinbase Ventures, Scribble Ventures, and Launchpad Capital participating. To date, total funds raised amount to $24 million. The company plans to use these funds to expand the protocol to more blockchains and improve infrastructure.

Bitcoin and Ethereum Markets Show Inconsistent Signs

Bitcoin is currently trading at $90.78K, down 0.32% in the past 24 hours. According to 10x Research, Bitcoin’s 4-year cycle still exists, but the main drivers are no longer halving events but political factors, liquidity environment, and election cycles. Bitcoin reached historic peaks in 2013, 2017, and 2021. This year, amid recent rate cuts, Bitcoin has not regained strong upward momentum as institutional investors have become the dominant force but are more cautious. Overall liquidity has tightened, cash flow into the market has slowed, weakening the momentum needed for continued price breakthroughs.

Ethereum is trading at $3.10K. A head of Ethereum at a treasury company stated that the company will never sell the ETH they hold, which accounts for nearly 4% of the total supply. Staking now would generate over $1 million in daily net income.

SEC Releases Comprehensive Guidelines on Crypto Wallets and Asset Custody

The U.S. Securities and Exchange Commission (SEC) has issued detailed guidelines on crypto wallets and digital asset custody, systematizing the advantages and risks of different storage methods. The guidelines compare self-custody and third-party custody models, and remind investors to pay attention to whether custodians re-hypothecate assets or if customer assets are mixed.

The SEC also explains the difference between hot wallets and cold wallets: hot wallets are connected to the internet and face higher security risks; cold wallets reduce online attack risks but if storage devices are damaged or private keys lost, assets could be permanently lost. Industry insiders suggest this guideline indicates a clear shift in SEC’s attitude towards crypto regulation.

Leverage Ratios on Exchanges Drop to 5-Month Low

Analyst Ali said that due to investors de-risking (de-risk), leverage ratios on crypto exchanges have fallen to their lowest in five months, indicating a more cautious market sentiment.

NFT Activity Declines Last Week

Data shows that NFT trading volume decreased by 10.18% to $66.71 million last week. The number of NFT buyers dropped by 66.91%, to 165,759; sellers decreased by 70.44%, to 120,912. On the Ethereum network, trading volume reached $24.93 million, down 3.02% from the previous week; Solana network reached $5.65 million, up 48.27%; BNB Chain reached $10.83 million, up 45.64%.

Hong Kong Continues Stable Development of Stablecoins

Hong Kong Legislative Council member Ng Kit-chung shared that the development of stablecoins in Hong Kong will remain stable and continue to advance steadily. The passed stablecoin bill is the result of long-term planning. Overall development will align with international financial environments, initially testing in the domestic market, with the goal of developing an international market.

He also suggested that different industries could boldly experiment with integrating Web3 technology, especially in the field of RWA (Real World Asset). Hong Kong will continue to promote regulatory sandbox initiatives to explore the importance of compliant development.

Cryptocurrency Handling Mechanisms in Criminal Cases Need Improvement

Justice Net proposed establishing multiple judicial pathways for handling cryptocurrencies related to criminal cases. This includes clarifying the legal status of third-party organizations, building a dual-standard technical system, strengthening oversight by prosecutors, and exploring differentiated handling models with three methods: converting to cash, destruction, and restitution.

For cases involving restitution to victims, priority should be given to auction-based models to ensure recovered funds are sufficient for compensation. For cases involving confiscation of illegal items, destruction or technical sealing can be applied to prevent re-entry into the market. For assets involved in crimes that have been mixed with legitimate investments at high prices, converting to cash is preferred to minimize losses.

Warning Notice: Beware of High-Yield Projects Without Real Operations

Local authorities have issued warnings about risks associated with unverified virtual asset projects. These projects lack real supporting activities, rely on promises of high returns, and attract participants as core features. Investors should be cautious of high-profit temptations in virtual assets and avoid illegal financial risks.

24-Hour Hot Token Rankings

According to GMGN data, as of 09:00 on December 15 (UTC+8):

• Top 5 on Ethereum: SHIB, LINK, PEPE, UNI, ETHFI
• Top 5 on Solana: TRUMP, PENGU, MELANIA, FO, ME
• Top 5 on Base: PEPE, BASED, NATO, SKYA, B3

Coinbase CEO’s Views on Cryptocurrency and Institutional Reform

Brian Armstrong stated that cryptocurrencies help establish property rights, a healthy monetary system, and free trade for everyone. However, they are not万能, and institutional reforms such as de-regulation and anti-corruption are still needed to enable sustainable development.