The global trading platform eToro has agreed to acquire the self-custodial wallet provider Zengo in a deal valued at approximately $70 million, according to a report by The Block.
The acquisition follows eTRO's recent Nasdaq debut and strong fourth-quarter earnings. The move signals a strategic push toward integrating self-custody features into its ecosystem following a recent crypto trading rollout in New York.
Simultaneously, the State Bank of Pakistan has issued a directive allowing regulated banks to open accounts for licensed virtual asset service providers (VASPs). This policy effectively ends a prohibition on such banking services that has been in place since 2018, The Block reported.
Regulatory safeguards in Pakistan
While the new directive permits account openings, it imposes strict limitations on how financial institutions handle digital assets. The State Bank of Pakistan has prohibited banks from using their own proprietary funds or customer deposits to trade or hold digital assets.
Furthermore, the central bank's instructions mandate the strict segregation of client funds belonging to VASPs. This regulatory framework aims to prevent the commingling of traditional banking capital with volatile crypto-asset holdings.
In other market movements, TeraWulf shares declined following the company's decision to upsize an equity raise to $900 million. The funds are intended to support the buildout of the company's AI-focused data center infrastructure, as reported by The Block.
Other notable developments in the digital asset sector include 21Shares filing a second amendment to its Hyperliquid ETF filing, seeking a Nasdaq listing under the ticker THYP. Additionally, Ripple has entered a partnership with Kyobo Life Insurance to enable the settlement of tokenized government bonds in South Korea, according to The Block.
