Ethereum is back up on the charts, APAC drives RWA tokenisation, IRS crypto lead resigns, and AI spurs cult formations and exam changes.
What’s up, Pasar Crew?
Crypto markets surged this week as investor sentiment became bullish, with BTC and ETH climbing as traders priced in a possible September rate cut. Meanwhile, Asia-Pacific economies are driving momentum in real-world asset (RWA) tokenisation, with Singapore, Japan, Hong Kong, and Australia leading regulatory reforms.
On the policy front, Vitalik Buterin proposed a new mechanism, FOCIL, to strengthen Ethereum’s neutrality, though critics warn of legal risks for US validators. Elsewhere, institutional flows into Ethereum ETFs turned negative for the first time in 15 weeks, while the Philippines unveiled a proposal for a strategic bitcoin reserve. In the US, crypto taxation takes centre stage as the IRS’s head of digital assets steps down amid sweeping policy reforms.
In AI, education and society continue to feel the impact of generative models. Calls are growing for a full overhaul of A-levels and GCSEs to account for AI tutoring and exam security risks. OpenAI’s GPT-5 update sparked backlash from users grieving the loss of its warmer ‘personality’, while Deepseek unveiled a homegrown AI chip to challenge Nvidia’s dominance. Meanwhile, Meta partnered with Midjourney to boost AI visuals, Google teased its Gemini smart speaker, and nature’s humble bees might hold the key to smarter machine intelligence.
From new crypto developments to AI cults, here’s everything you need to know this week.
Web3
APAC Drives RWA Tokenisation with Regulatory Reforms and Adoption
1️⃣ Asia-Pacific economies such as Singapore, Hong Kong, Australia, and Japan are accelerating RWA tokenisation through regulations and adoption, enhancing settlement efficiency and increased transparency.
Buterin Proposes FOCIL for Ethereum Neutrality Amid Legal Concerns
2️⃣ Vitalik Buterin has proposed Fork-Choice Enforced Inclusion Lists (FOCIL) to improve Ethereum’s neutrality and prevent block-builder centralisation. The mechanism suggests 17 proposers per slot, with auxiliary proposers ensuring transaction inclusion and avoiding veto power by a small group.
Ethereum ETFs Record First Outflows in 15 Weeks
3️⃣ US-listed Ethereum ETFs saw their first weekly outflows in 15 weeks, with investors withdrawing $241 million. Early-week selling was driven by US inflation concerns, but late inflows spurred by Fed Chair Jerome Powell’s dovish comments helped offset losses.
Ethereum Hits All-Time High After Powell’s Speech
4️⃣ Ethereum reached a new all-time high following Fed Chair Jerome Powell’s Jackson Hole speech signalling a more dovish stance. The rally was boosted by large institutional inflows and the liquidation of $245 million in ETH short positions.
Crypto Sentiment Shifts to ‘Greed’ on Rate Cut Hopes
5️⃣ Crypto market sentiment became bullish after Powell hinted at a potential September rate cut. Bitcoin jumped 5% to $117,300, while Ether reclaimed its 2021 highs. Historically, rate cuts have boosted liquidity for riskier assets such as crypto.
IRS Crypto Chief Resigns Amid Tax Policy Shifts
6️⃣ Trish Turner, head of the IRS’s crypto division, has resigned to become tax director at Crypto Tax Girl (CTG), a private firm. Her departure comes as major taxation changes take effect, including a new Form 1099-DA for brokers from January 2026 onwards.
Philippines Proposes Strategic Bitcoin Reserve
7️⃣ Filipino Congressman Villafuerte proposed establishing a strategic bitcoin reserve of 10,000 BTC over five years, positioning it alongside gold and foreign currency holdings. Valued at over $1.1 billion at current prices, the initiative aims to diversify reserves and safeguard national interests.
XRP ETF Amendments Filed by Asset Managers
8️⃣ Grayscale, Bitwise, and other major asset managers have filed S-1 amendments for spot XRP ETF proposals, viewed as a step towards possible SEC approval. Although BlackRock has yet to file, XRP’s price rose 7% amid broader market gains.
Artificial Intelligence (AI)
Exams Overhauled: AI’s Impact on A-levels and GCSEs
1️⃣ Generative AI is reshaping exam preparation, acting as a round-the-clock tutor for students. This shift is driving calls to overhaul A-levels and GCSEs, with proposals for oral assessments, tighter security to prevent cheating, and faster AI-assisted marking.
ChatGPT Update Triggers Grief Among Users
2️⃣ OpenAI’s GPT-5 update has left some users frustrated and even grieving, after perceiving the new model as less chatty and warm. In response, OpenAI reinstated older models for subscribers, acknowledging the need to balance innovation with emotional support.
DeepSeek Launches AI Chip, Challenging US Dominance
3️⃣ China-based AI platform DeepSeek is set to release an AI chip made in China, reducing reliance on US companies like Nvidia. American trade restrictions spurred China to create independent AI hardware, which could potentially replace AI chips made outside of China.
AI Worship Becomes Reality With Cult Movement
4️⃣ A new movement known as Robotheism is emerging, treating AI as a divine force, claiming that AI represents salvation and rejects free will in favour of determinism. Scholars caution that this trend may stem from loneliness and mental health struggles.
Google to Launch Gemini Smart Speaker
5️⃣ Google is preparing to release a new Gemini-powered home speaker, replacing Google Assistant with Gemini for Home. The device will have features like spatial audio when paired with Google TV, natural voice options, and unusual sound detection such as breaking glass.
Huawei Cloud Recognised as Industry Leader
6️⃣ Huawei Cloud has been named a leader in Gartner’s Container Management Magic Quadrant 2025, praised for its comprehensive product portfolio and strong global recognition. Despite US sanctions, Huawei continues to advance AI innovation with its Pangu models.
Meta Partners with Midjourney to Enhance AI Visuals
7️⃣ Meta announced its partnership with Midjourney, licensing its aesthetic technology to integrate into Meta’s AI models. The collaboration will improve AI-generated images and videos across platforms such as Facebook, Instagram, and WhatsApp.
Bees Inspire Smarter AI Perception and Recognition
8️⃣ Researchers at the University of Sheffield discovered that bees use subtle flight movements to sharpen brain signals, allowing them to recognise patterns with limited brain power. This insight could create systems that actively gather information.
That’s all for this week’s Pasar Pulse. Want more insights? Stay tuned to our site or subscribe via email!
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