Stablecoin issuers must invest a minimum of $10 million into Morgan Stanley’s money market fund, MSNXX, to access the stablecoin reserve offering. Morgan Stanley’s investment management arm has launched “Stablecoin Reserves Portfolio,” an offering that allows stablecoin issuers to park the reserves backing their stablecoins in one of the bank's money market funds while earning interest. The offering is part of the Morgan Stanley Institutional Liquidity Funds trust (MSNXX), which aims to preserve capital, provide daily liquidity and distribute income while maintaining a $1 net asset value, Morgan Stanley said on Thursday. “Developing innovative ways to work with stablecoin issuers is another step towards modernizing the financial infrastructure,” said Amy Oldenburg, head of Morgan Stanley’s digital asset strategy. The bank said the offering seeks to comply with the Guiding and Establishing National Innovation for US Stablecoins Act (GENIUS Act), a framework that was signed into law in July, which led several T...
The White House’s office of technology policy said that foreign entities are using proxy accounts and jailbreaking techniques to distill capabilities from American AI models. The Trump administration has unveiled plans to combat “industrial-scale campaigns” by Chinese-based entities to copy AI technology developed by US companies. In a statement on Thursday, the assistant to the president for the White House Office of Science and Technology Policy, Michael J. Kratsios, said the government has "information" indicating that foreign entities — primarily based in China — are deliberately targeting major US AI firms to distill their AI models. "Models developed from surreptitious, unauthorized distillation campaigns like this do not replicate the full performance of the original. They do, however, enable foreign actors to release products that appear to perform comparably on select benchmarks at a fraction of the cost," Kratsios said. Read more
Jane Street has filed to dismiss Terraform’s insider trading suit, arguing the reasons for Terra’s collapse have already been litigated. Trading firm Jane Street has asked a US court to toss a lawsuit brought by the administrator of the bankrupt Terraform Labs, accusing the company of insider trading that worsened the collapse of the Terra ecosystem. In a motion to dismiss filed in a Manhattan federal court on Thursday, Jane Street argued Terraform’s suit was an attempt “to extract cash from Jane Street to foot the bill for a fraud that Terraform itself perpetrated on the market.” “Terraform now claims it was victimized by Jane Street’s trading,” it added. “The problem with this theory is that Terraform’s fraud scheme — in which Jane Street had no involvement — has already been prosecuted, adjudicated, and punished.” Read more