Invest ideasNews
28 Jan 2026, 06:00
Crypto Bears Beware: Global Liquidity Cycle May Be The Longest On Record
Crypto analyst Matt Hughes is arguing the global liquidity cycle is stretching well beyond its usual rhythm and that the extension is precisely why staying structurally bearish on crypto has been so punishing since 2020. Hughes, who posts as “The Great Mattsby,” said Monday that the cycle is “now ~6 years strong post-2020 with no clear peak in sight as of early 2026,” framing the move as something closer to a super-cycle than a standard 4–6 year expansion. What This Means For The Crypto Market Hughes’ core claim is that the traditional mechanism that ends liquidity cycles, central banks tightening into contraction, is being blunted by a mix of debt math, fragmented global money creation, and a capital-intensive investment boom that keeps pulling liquidity back into risk assets rather than allowing it to drain out. “The current global liquidity cycle is on track to become the longest ever, smashing past the typical 4–6 year patterns we’ve seen historically. Here’s why it’s stretching into a true super-cycle (now ~6 years strong post-2020 with no clear peak in sight as of early 2026):” Hughes wrote, before laying out the macro pillars of the thesis. First, Hughes points to the scale of leverage in the system as a constraint on normalization. “Global debt/GDP >350% creates a refinancing nightmare,” he wrote, arguing that each policy response has to be larger to prevent defaults and that aggressive tightening risks cascading sovereign and emerging-market stress. In that framework, policy makers are boxed into “perpetual support mode,” which delays the kind of contraction that would normally mark the end of a liquidity upswing. Related Reading: US Government Bitcoin, Crypto Theft Allegation Emerges Involving CEO’s Son Second, Hughes argues the cycle can run longer because global liquidity is no longer dominated by a single central bank. “The old dollar-only world is fragmenting,” he wrote, describing a “bifurcation of the global monetary system” in which liquidity creation outside the US can offset periods when the Federal Reserve is tighter. In his telling, a multipolar setup — spanning “BRICS nations,” China as a major credit creator, and alternative stores of value including “yuan, gold, crypto” — makes the overall system more resilient than past cycles that were more synchronized. Third, Hughes links the endurance of the cycle to an unusually large wave of capital demand. He calls AI, renewables, data centers, chip fabs, and blockchain “capital hogs,” arguing that the scale of funding required “demand & absorb endless liquidity.” He also ties that directly to market behavior, writing that risk assets like “IWM small-caps, ARKK innovation, BTC” pushing toward or near all-time highs is consistent with a cycle that is “closer to start than end.” Related Reading: Bitwise Says Crypto Has Likely Bottomed, Echoing Q1 2023 Setup Finally, Hughes emphasizes a policy bias toward preventing downturns. He described central banks as “hyper-proactive,” citing tools like forward guidance and yield curve control alongside tighter fiscal-monetary coordination. He also argued geopolitical priorities: reshoring, infrastructure, and the energy transition reinforce a stimulus-leaning posture, while traditional recession signals have been less reliable, pointing to a record-long 10y/3m inversion “without collapse.” Not everyone in the thread accepted the implication that the liquidity impulse remains cleanly supportive. A user posting as zam flagged a near-term risk: “My concern here is that Michael Howell says that liquidity momentum is slowing down considerably and that the liquidity is peaking very soon for this cycle. Any thoughts on that?” Hughes’ reply was succinct: “It can rotate into other assets as long as the economy is strong.” For crypto markets, the exchange captures the key tension: whether the cycle’s length is the dominant story, or whether a decelerating liquidity impulse changes the playbook via rotation rather than outright collapse. Hughes’ framing leaves the timing open-ended, asking followers whether the crypto peak arrives “at the end of 2026 or even longer,” while implicitly suggesting bears may need a clearer, system-wide rollover in liquidity, not just slower momentum, before the macro backdrop decisively turns. At press time, the total crypto market cap stood at $2.95 trillion. Featured image created with DALL.E, chart from TradingView.com
28 Jan 2026, 06:00
XRP Price Pattern Draws Unusual Comparisons To Silver: Analyst
Traders have been looking at a chart that lines up XRP’s major moves with decades of silver data. The match is not perfect. It is, however, striking enough to get people talking about what might happen next. Some see it as a warning. Others see a possible roadmap for big gains. Silver And XRP In Parallel According to chart comparisons shared by market watchers, silver’s long swings since 1980 echo many of XRP’s moves since 2016. Silver climbed to about $48 in early 1980, crashed to roughly $3.4 by the early 1990s, then drifted for years before a run toward $50 in 2011. XRP, on a far faster clock, pushed to highs above $3 in 2018, fell sharply into 2020, recovered, then found a new peak in late 2024. The shapes on the charts — rises, deep drops, long quiet stretches — look similar. That resemblance is what’s being discussed. #Silver looks like #XRP . The time guide we follow, the White Rabbit, is the event itself, which will point out the treasure! A nova flash, getting closer. pic.twitter.com/eAqAfZXEo7 — Dark Defender (@DefendDark) January 26, 2026 What The Numbers Show Reports say silver has jumped roughly 278% since 2025, sitting near $109 per ounce in recent sessions. Gold has also moved, trading above $5,000 per ounce as investors seek safety. Those metal moves have pulled attention back to assets that follow big macro flows. XRP , currently trading around $1.90, is much smaller and far more volatile than either metal, so any similar move could be much larger in percentage terms, but it would likely be sharper and riskier too. History Moves At Different Speeds Silver’s shifts played out over many years. XRP’s similar pattern appears compressed into a few market cycles. That is important. Time matters in markets because long pauses can build a stronger base, and quick cycles can spark fast moves that reverse just as fast. Reports have disclosed that some traders believe crypto cycles keep pace with liquidity and headlines; metals react more to reserve flows and long-term real rates. Both effects can push prices hard, but they do so at different paces. Risk And Reward In Plain Sight If XRP keeps following this pattern, a large upswing could follow a breakout. At the same time, the pattern is no guarantee. Price moves have many causes. Legal shifts, big fund flows, and macro shocks can all change the path. XRP has shown it can fall far and recover in dramatic ways. That playbook brings opportunities but also steep pain for those who buy late or hold through violent swings. Where Traders Might Look Next According to some analysts, key levels from past cycles will matter. Support near recent lows could act as a floor; fresh inflows into crypto or a rotation out of metals might be the trigger for a large move. Volume, broader market risk appetite, and where big holders place their bets will all be watched closely. Featured image from CoinFlip, chart from TradingView
28 Jan 2026, 05:45
A 45-year-old Chinese national, Jiangling Su, has received a four-year prison sentence for his role in a 37 million crypto laundering scam
A 45-year-old Chinese national, Jiangling Su, has received a 46-month prison sentence for his role in a 37 million crypto laundering scam that affected nearly 174 Americans. Su pleaded guilty to one count of conspiracy to operate an illegal money-transmitting business and was ordered to pay over $26 million in restitution. U.S. District Judge Gary Klausner sentenced Su on January 27, according to a statement released by the U.S. Attorney’s Office for the Central District of California. Prosecutors say the Chinese national was part of a global crime network that tricked U.S. victims into sending money to accounts controlled by Su and eight co-conspirators. The prosecutors also pointed out that the co-conspirators reached out to victims in the U.S. through online dating, calls, and texts, promoting fake crypto investments via fake websites posing as legitimate crypto trading platforms. The funds were later laundered through U.S. shell companies, international bank accounts, and digital asset wallets. Over $36.9 million was eventually funneled through an account at Deltec Bank in the Bahamas, before being converted to Tether’s USDT. From there, the funds were redirected to the co-conspirators in Cambodia, who then transferred the USDT to the scam’s leaders in centers throughout the region. However, the scammers told the victims that their investments were growing when, in fact, the victims’ money was being stolen. Duva says criminals are weaponizing the internet for fraud Assistant Attorney General Tysen Duva of the Justice Department’s Criminal Division said criminals in the digital age are finding new ways to weaponize the internet for fraud. Su and his co-conspirators used these unscrupulous means to scam nearly 200 Americans out of their hard-earned money. Meanwhile, Assistant AG Duva claims that the Criminal Division and its law enforcement partners have evolved over the years and have caught several large-scale scammers targeting people through social media, phones, and fake websites to steal from them. The stolen funds are then moved through crypto or wire transfers outside the United States. “New investment opportunities may sound intriguing, but they have a dark side: attracting criminals who, in this case, stole then laundered tens of millions of dollars from their victims.” – Bill Essayli , First Assistant Attorney General for the District of California On the other hand, Essayli thanked U.S. law enforcement partners for their efforts to bring Su and his co-conspirators to justice. He also encouraged the investing public to exercise greater caution, noting that an ounce of prevention is worth a pound of cure. CCIPS coordinates cybercrime investigations and prosecutions The Criminal Division’s Computer Crime and Intellectual Property Section (CCIPS) coordinated with domestic and international law enforcement agencies in the investigations and prosecutions in this case. The Criminal Division and its partners will cut off access to victim proceeds and tools that enabled the fraud by seizing and forfeiting crime-linked crypto. It will also achieve this by disrupting domestic and international money laundering networks and dismantling digital infrastructure used by scammers to target U.S. victims. The Criminal Division will also engage its network of international Computer Hacking and Intellectual Property prosecutors (ICHIPs), who are strategically posted worldwide to coordinate investigations. The CCIPS has secured the convictions of over 180 cybercriminals and court orders for the return of victim funds totaling over $350 million since 2020. Meanwhile, USSS’s Global Investigative Operations Center is also investigating the case. The U.S. Marshals Service, Homeland Security Investigations’ El Camino Real Financial Crimes Task Force, U.S. Department of State’s Diplomatic Security Service, Customs and Border Protection’s National Targeting Center, and the Dominican National Police provided further valuable assistance. On the other hand, the case was prosecuted by Assistant U.S. Attorney Nisha Chandran of the Major Fraud Section, along with Justice Department Trial Attorney Stephanie Schwartz of the CCIPS. Trial Attorney Tamara Livshiz of the Criminal Division’s Fraud Section, as well as Assistant U.S. Attorneys Alexander Gorin and Maxwell Coll of the National Security Division, were also part of the prosecution team. Claim your free seat in an exclusive crypto trading community - limited to 1,000 members.
28 Jan 2026, 05:29
Senior Thai Electricity Officials Caught in Illegal Crypto Mining Scandal
Thailand’s special investigation force (DSI) has exposed four senior officials from the Provincial Electricity Authority (PEA) for allegedly abusing their authority to operate an illegal Bitcoin mining syndicate. Thousands of illegal mining rigs were confiscated from an assistant PEA governor, with cash deposits worth 19 million baht ($612.9K). The Bangkok Post reported Tuesday that DSI raided three houses, seizing mining equipment, cash, laptops, phones and bank passbooks. “Operation Copperhead” – Wider Crackdown on Illegal Bitcoin Mining Operations The raids conducted by the DSI were a part of “operation copperhead,” launched in December 2025, said Police Maj General Rutthapon Naowarat. The operation targets criminal networks operating in Thailand, focusing on money laundering and seizing illegal assets. On January 19, the DSI officials seized 3,642 crypto mining rigs, discovering evidence linking them to financiers and state officials. The accused PEA officials include an assistant governor, a regional-level deputy manager, a technician and a service division employee who retired in 2025. Thorough searches were carried out in Bangkok, Nonthaburi and Samut Sakhon provinces, the report noted. Additionally, the investigators found that the accused PEA officials used their authority to arrange warehousing, facilitating electricity supply and transformer access for the mining hub. They reportedly accepted monthly kickbacks of up to 400,000 baht. “Legal action would be taken against all offenders without exception, regardless of rank or position,” said Pol Capt Khemachart Prakaihongmanee, director of the DSI’s Technology and Cyber Crime Bureau. “The case would be expedited and forwarded to the National Anti-Corruption Commission for further action.” Thailand Tightens Crypto Oversight, Keeps Illegal Operations at Check The nation has already been tightening oversight on digital assets , ordering a broad crackdown on ‘grey money’ – funds that move through legal-looking channels but often trace back to criminal syndicates and illicit activities. Besides, in January 2025, the PEA uncovered a Bitcoin mining farm in Chonburi for tampering with power meters to steal electricity. About 996 mining rigs were seized in the crackdown. However, the issue of illegal Bitcoin mining is not confined to Thailand. It is part of a broader global issue. For instance, Russia saw “millions of dollars per year” in electricity and lost taxes tied to crypto mining last year. As a result, the nation’s Justice Ministry proposed prison sentences up to 5 years and fines reaching 2.5 million rubles for unregistered crypto mining operations. The post Senior Thai Electricity Officials Caught in Illegal Crypto Mining Scandal appeared first on Cryptonews .
28 Jan 2026, 05:28
Steak ’n Shake Ups Bitcoin Bet with $5 Million Boost to Crypto Reserve
Steak ’n Shake has expanded its Bitcoin BTC holdings by adding another $5 million to its Strategic Bitcoin Reserve .
28 Jan 2026, 05:27
South Dakota advances Bitcoin investment with updated bill
A member of the South Dakota House of Representatives has revived a bill that was put on hold approximately a year ago by introducing a new measure that would allow the state to invest public funds in Bitcoin. Representative Logan Manhart proposed the Bitcoin reserve bill, HB 1155, on Tuesday in South Dakota’s legislature. HB 1155 would allow the State Investment Council to devote up to 10% of state revenues to Bitcoin in an effort to promote “strong money” and a “strong state.” South Dakota advances Bitcoin investment with updated bill Under the revised bill, any Bitcoin purchased as an investment would need to be held either directly by the State Investment Council using a secure custody solution or by a competent custodian acting on its behalf. As an alternative, a regulated investment company would offer an exchange-traded product that exposes the state to Bitcoin. The proposed bill mandates that private keys be kept in a hardware-secured, encrypted environment and used exclusively via end-to-end encrypted channels. These private keys must also be under the sole authority of the State Investment Council. According to the bill, the custody system must enforce strict access rules and rely on password-less authentication stored on government devices. The law further requires private-key hardware to be kept in at least two geographically distinct, secure data centers to reduce operational and security risks. It also requires a multi-party governance structure where all user actions are tracked and recorded to authorize transactions. Under the law, the custody provider is also required to maintain a disaster recovery strategy, conduct frequent code audits, and penetration tests of its systems. Following the new custody and security provisions, the overall proposal remains unchanged, largely mirroring Manhart’s earlier 2025 plan. Under the earlier proposal, the Bitcoin reserve bill would legally add Bitcoin to the list of assets the State Investment Council is permitted to own, alongside traditional securities such as government bonds and exchange-traded funds (ETFs). However, if the legislature passes the revised bill and signs it into law, South Dakota would join a few U.S. states that have enacted legislation regarding cryptocurrency or Bitcoin reserves. As of January 2026, Texas, Arizona, and New Hampshire had enacted legislation permitting their states to store confiscated crypto or invest in Bitcoin. However, legislators in other states have put out legislation along these lines. Federal Bitcoin reserve faces legal barriers On January 16, West Virginia State Senator Chris Rose introduced legislation known as “the Inflation Protection Act” that would modify the state’s code to permit the treasury to invest in precious metals, certain digital assets, and stablecoins. Under the bill, Rose proposed that the state’s board of treasury be allowed to make investments in stablecoins, digital assets with a market valuation of more than $750 billion from the prior year, and precious metals. According to the bill, any digital asset purchased by the state’s treasury may be held by a qualified custodian, through a safe custody solution, or in an exchange-traded product (ETP). The U.S. government or certain state governments would have to grant regulatory approval for any stablecoins that were purchased. The bill was presented during the U.S. Senate’s postponement of a markup for a bill that would create a structure for the U.S. market for digital assets. If the bill is approved and signed into law, the state’s treasury could be exposed to Bitcoin, the only crypto asset to meet the market cap requirement as of January. However, there are still legal and administrative challenges in the way of federal efforts to create a U.S. Bitcoin reserve. White House Crypto Council Director Patrick Witt noted that although President Trump signed an executive order in March 2025 establishing a Strategic Bitcoin Reserve and a Digital Asset Stockpile, its implementation has been slowed by complex legal provisions. He also pointed out that the executive order did not explicitly permit direct Bitcoin purchases. Don’t just read crypto news. Understand it. Subscribe to our newsletter. It's free .
