Today in crypto, Bitcoin mining difficulty drops by over 11%, and the US has granted a national bank charter to crypto startup Erebor Bank. Meanwhile, China issued a ban on unapproved stablecoins and tokenized real-world assets.
Bitcoin mining difficulty falls by 11.1% in steepest drop since China’s 2021 crypto crackdown
The Bitcoin network mining difficulty, the relative challenge of proposing new blocks for inclusion in the Bitcoin blockchain, fell by over 11.1% over the last 24 hours, marking the sharpest drop in a single adjustment period since China’s 2021 mining ban.
The Bitcoin network mining difficulty is at 125.86 T, according to data from CoinWarz, which also shows the average block time has fallen from over 11 minutes to about 9.47 minutes.
Difficulty is projected to rise again in the next adjustment on February 20, increasing difficulty to about 132.9 T, according to projections from CoinWarz at the time of this writing.
The steep adjustment in mining difficulty came amid a broad market downturn that crashed Bitcoin’s (BTC) price by over 50% and a severe winter storm in the United States that impacted energy infrastructure and caused a temporary reduction in miner hashrate.
Crypto-focused Erebor wins first new US bank charter of Trump’s second term: WSJ
The United States has approved a newly created national bank for the first time during President Donald Trump’s second term, granting a charter to crypto-friendly startup Erebor Bank.
The Office of the Comptroller of the Currency (OCC) confirmed the approval on Friday, allowing the lender to operate nationwide, the Wall Street Journal reported, citing people familiar with the matter.
The institution launches with about $635 million in capital and aims to serve startups, venture-backed companies and high-net-worth clients, a segment left underserved after the 2023 collapse of Silicon Valley Bank.
Erebor is backed by a roster of prominent technology investors, including Andreessen Horowitz, Founders Fund, Lux Capital, 8VC and Elad Gil. The project was founded by Oculus co-creator Palmer Luckey, who will sit on the board but not manage daily operations.
China bans unapproved stablecoins and RWA issuance
The People’s Bank of China, together with seven other regulatory bodies, issued a joint statement banning the unapproved issuance of yuan-pegged stablecoins and tokenized real-world assets (RWAs) by both domestic and foreign companies.
According to the announcement, no entity or individual, whether inside or outside China, may create or issue Renminbi-linked stablecoins without explicit approval from regulators. That includes offshore versions tied to the yuan, closing a loophole that some had hoped might allow crypto activity to persist around China’s borders.
The move also extends long-standing restrictions on cryptocurrencies by formally folding RWA tokenization into China’s risk framework. Authorities view converting real assets into tradable tokens without approval as potentially illegal financial activity.
The regulators argue this step is part of a broader strategy to keep speculative digital assets outside China’s formal financial system while promoting the use of the state’s digital yuan (e-CNY).
