BlockchainRegulationStablecoinTrump
|3 min ReadTariff jitters jolt Bitcoin as banks join stablecoin race
Carter Hayes
Senior Analyst
Published
Jan 16, 2026
Bitcoin just wicked to $102,000. That wasn’t the end. It was the opening bell.
Swan Bitcoin CEO Cory Klippsten put it plain: “Bitcoin can get dragged around a bit before it finds support.” Then he added the playbook: “Macro-driven dips usually wash out leveraged traders and weak hands, then reset positioning for the next leg up.” Traders heard the signal.
The spark was clear. The U.S. president floated 100% tariffs on Chinese imports. Risk sold off. Crypto felt it first. In 24 hours, Bitcoin long liquidations hit 2.19 billion**. Across the market, long liquidations totaled **8.02 billion, per CoinGlass. That’s fuel. After the purge comes the run.
Banks circle the rails while rules lock in
While price whips, the pipes get stronger. A group of global banks says it is exploring 1:1 reserve-backed digital money on public blockchains, tied to G7 currencies — the dollar, euro, yen, and more. Names matter: Bank of America, Goldman Sachs, Deutsche Bank, Citi, in a statement flagged by BNP Paribas. The aim is simple. Bring digital settlement to where the liquidity already lives, with full compliance and risk controls.
Read the bank statement here: BNP Paribas press release.
In the U.S., the GENIUS Act — now law — sets the playbook for payment stablecoins. It isn’t live yet. Expect a roughly 15-month runway, or 120 days after Treasury and the Fed finalize rulemaking, whichever comes first. Translation: the guardrails are coming. The money will follow.
Prediction markets go global. Attention becomes an asset class.
Price is one story. Information is another. Kalshi just raised 300 million** in a Series D led by **Sequoia** and **a16z**, with **Paradigm** in the mix and new checks from **CapitalG, Coinbase Ventures, General Catalyst, Spark Capital**. The new number matters: **5 billion valuation, up 3 billion** since June’s **185 million round. And the switch flipped: Kalshi says it’s now live in 140+ countries with the same product experience. That’s not a side bet. That’s a new exchange lane for macro catalysts.
This is the blueprint. Tariff shocks shake positions loose. Banks build stable money on public rails. Prediction markets price the next headline in real time. Volatility isn’t noise. It’s a ladder.
Disclaimer: This document is intended for informational and entertainment purposes only. The views expressed in this document are not, and should not be taken as, investment advice or recommendations. Recipients should do their own due diligence, taking into account their specific financial circumstances, investment objectives and risk tolerance, which are not considered here, before investing. This document is not an offer, or the solicitation of an offer, to buy or sell any of the assets mentioned.