State Representative Kyle Pierce filed House Bill 1042 on Thursday, requiring cryptocurrency exchange-traded fund options in Indiana's public retirement programs. The legislation also bars local governments from imposing unreasonable restrictions on digital asset activities, including self-custody, payments, and mining operations.

Strive, the 14th-largest public Bitcoin holder, is calling on MSCI to withdraw its proposal that would exclude companies with crypto exposure exceeding 50% of total assets from global indexes. The plan could force firms like Strategy out of the MSCI World Index. JPMorgan estimates the move could result in losses of up to $2.8 billion for affected companies.

Grayscale submitted an S-1 registration to the SEC for the Grayscale Sui Trust, a spot ETF that would hold SUI tokens. The filing follows 21Shares' Tuesday launch of a leveraged SUI fund on Nasdaq. Both products reflect expanding institutional interest in blockchain-focused exchange-traded vehicles beyond Bitcoin and Ethereum.

Tether faces renewed scrutiny after former BitMEX CEO Arthur Hayes questioned its reserve strategy, warning that sharp declines in Bitcoin and gold holdings could eliminate the stablecoin issuer's equity buffer. CoinShares countered by highlighting Tether's $6.8 billion surplus and nearly $10 billion in profits through the first nine months of the year, arguing the company remains financially sound despite concerns.

Paraguay's Chamber of Deputies passed two resolutions on December 4 requiring state agencies to disclose comprehensive data on Bitcoin mining activities. The Ministry of Industry and Commerce must report all registered miners, while the National Electricity Administration must list authorized electrical connections for mining facilities. Paraguay currently holds 3.9% of global Bitcoin hashrate, ranking fourth worldwide.

Bitcoin has recorded realized losses comparable to levels last seen after the FTX collapse, blockchain data show. Short-term traders are exiting positions while long-term holders remain steady. U.S. spot Bitcoin ETFs saw $196 million in net outflows on December 5, part of nearly $2.9 billion in withdrawals over 30 days.

Arthur Hayes, co-founder of BitMEX, warned that a 30% decline in Tether's Bitcoin and gold holdings could eliminate the stablecoin issuer's equity cushion, potentially leaving USDT technically insolvent during a severe market downturn. James Butterfill, head of research at CoinShares, disputed the concern, citing Tether's Q3 2025 attestation showing $181 billion in reserves against $174.45 billion in liabilities, resulting in a $6.8 billion surplus. The debate highlights ongoing scrutiny of Tether's reserve composition as it expands holdings in volatile assets while maintaining dominance with $185.5 billion in circulation.

Britain's tax authority has ruled that transferring tokens to decentralised finance lending or staking platforms does not trigger immediate capital gains tax. The decision removes years of uncertainty over whether protocol interactions create tax liabilities. Stani Kulechov, founder of Aave, said the clarification could encourage institutional and retail participation in DeFi protocols.