Today in crypto, Telegram co-founder says Iran ban backfired, Polymarket removed a market tied to the fate of a missing US service member after backlash. Meanwhile, community banking groups pushed back against the approval of Coinbase’s national bank charter, arguing that it falls short of the industry’s regulatory standards.
Telegram co-founder says Iran ban backfired
Pavel Durov, the co-founder of the Telegram messaging application, said the Iranian government’s Telegram ban has backfired due to technical workarounds like virtual private networks (VPNs) and similar tools.
VPNs mask online users’ IP addresses, allowing them to bypass national firewalls and access blocked content.
Despite the Iranian government’s ban, the Telegram application has been downloaded by over half of its population, Durov claimed. He said:
“The government hoped for mass adoption of its surveillance messaging apps, but got mass adoption of VPNs instead. Now over 50 million members of the digital resistance in Iran are joined by more than 50 million more in Russia.”
Decentralized and encrypted messaging platforms, alongside blockchain technology can act as a lifeline for individuals amid increased government surveillance and restrictions, proponents say.
Polymarket takes down market on missing US pilot after backlash
Polymarket removed a market tied to the fate of a missing US service member after mounting backlash, saying the listing violated its “integrity standards.”
The controversy erupted after a prediction market appeared asking whether US authorities would confirm the rescue of a pilot reportedly shot down over Iran, with most users (over 60%) betting that they wouldn’t be rescued until Saturday.
US Representative Seth Moulton condemned the market, calling it “disgusting” and expressing concerns over people speculating on the fate of a potentially injured service member. “They could be your neighbor, a friend, a family member. And people are betting on whether or not they'll be saved,” Moulton wrote.
In response, Polymarket said it had taken the market down immediately, adding that it should not have been listed and that the company is reviewing how it passed internal safeguards. The platform did not provide further detail on what specific rule had been breached.
Community banks oppose Coinbase trust charter approval
US community banking groups are pushing back against the Office of the Comptroller of the Currency’s (OCC) conditional approval of a national trust charter for Coinbase, arguing the decision could weaken regulatory standards. The Independent Community Bankers of America (ICBA) said the move may allow crypto companies to operate under a different framework than traditional banks.
The group raised concerns that granting a trust charter to a crypto company could blur the lines between banking and digital asset services. According to the ICBA, Coinbase’s business model does not align with the legal requirements for institutions seeking such approval.
Community banks also warned that the decision could create an uneven playing field, where crypto companies gain access to bank-like privileges without being subject to the same level of oversight. This, they argue, could introduce new risks to the broader financial system.
The opposition highlights ongoing friction between traditional financial institutions and crypto companies as regulators continue shaping how digital asset companies fit within the US banking system.
