The Daily: Crypto prices plummet, Strategy's $6 billion in Q1 unrealized losses, crypto attorney sues to uncover Satoshi Nakamoto's true identity and

The following is adapted from The Block’s newsletter,  The Daily , which comes out on weekday afternoons.

It's Monday! The week started off with more of the crypto market in the red, with ether's price falling to lows not seen since 2023. It's not all looking bleak, though — we might be closer to finding out more information on Bitcoin's creator, and a high-profile crypto figure is guiding blockchain industry efforts abroad. 

In today's newsletter, $1.6 billion in leveraged bets evaporate as digital asset prices continue to fall, Michael Saylor's Strategy discloses around $6 billion in Q1 unrealized losses, a crypto attorney sues the Department of Homeland Security to find out more about Satoshi Nakamoto and more.

Meanwhile, the stablecoin issuer Tether is deciding whether to launch a new stablecoin just for institutions.

Let's get started.

Crypto prices plummet as $1.6 billion in leveraged bets evaporate

The crypto market experienced a sharp 10% drop on Monday, with ether falling to its lowest price point since 2023.

• At least $1.6 billion in leveraged crypto positions were liquidated in 24 hours, though the real figure may be higher due to incomplete exchange data.
• The selloff followed the announcement of historically high U.S. tariffs and related global macroeconomic uncertainty.
• DeFi users scrambled to protect ETH-backed loans as ether dipped below $1,500.
• A whale lost $106 million on a 67,570 ETH position, and even the alleged ZKasino scammer saw a $27.1 million loss on a leveraged bet.
• Despite the turmoil, analysts predict a potential short-term rebound driven by oversold conditions and upcoming U.S. economic data releases.

Strategy discloses around $6 billion in Q1 unrealized losses

Strategy reported $5.91 billion in unrealized losses on its bitcoin holdings in Q1 2025 due to a sharp market downturn driven by macroeconomic pressures.

• The firm paused bitcoin purchases between Mar. 31 and Apr. 4 amid zero demand for its equity offerings, MSTR and STRK.
• Strategy purchased 80,715 BTC at an average price of $94,922 per BTC in Q1, but the firm faced its steepest quarterly loss since 2018, when bitcoin fell 12% to $84,000.
• Strategy currently holds 528,185 BTC — nearly 3% of the total supply.

Crypto attorney sues Homeland Security to uncover Satoshi Nakamoto's true identity

Crypto lawyer James A. Murphy filed a lawsuit against the U.S. Department of Homeland Security to seek documents that could reveal the identity of Bitcoin’s creator after his FOIA requests went unanswered.

• Murphy, known as 'MetaLawMan' online, argues the public deserves to know what the government might know about Satoshi Nakamoto.
• The lawsuit references a 2019 interview in which DHS Special Agent Rana Saoud allegedly claimed to have met four individuals involved in Bitcoin's creation, suggesting potential government knowledge of Nakamoto’s identity.
• Murphy emphasized the importance of transparency amid growing federal interest in bitcoin.

CZ joins Pakistan Crypto Council as advisor

Former Binance CEO Changpeng 'CZ' Zhao has been appointed as a strategic advisor to the Pakistan Crypto Council to support crypto education, infrastructure and adoption efforts in the nation.

• The Pakistan Crypto Council, established by the government in March 2025, aims to position the country as a leader in blockchain innovation amid global momentum driven by U.S. crypto policy shifts.
• CZ stated he advises several governments on crypto regulation and blockchain use, maintaining a non-political stance and solely on crypto.
• Despite legal troubles in the U.S., the world's largest crypto exchange Binance recently secured $2 billion in funding from Abu Dhabi's MGX.

Franklin Templeton leads $8 million seed round for stablecoin startup Cap

Cap , a blockchain startup building a yield-generating stablecoin and lending platform, raised $8 million in a seed round led by Franklin Templeton.

• The protocol leverages Ethereum’s EigenLayer and the MegaETH Layer 2 to enable users to mint cUSD using USDC or USDT, which can then be lent out to institutions for yield while being secured by restaked ETH.
• Cap's model involves institutions borrowing user-supplied stablecoins in exchange for interest, though borrowers must take out a kind of "loan insurance" to protect lenders amid potential loan defaults.

Never miss a beat with  The Block's daily digest  of the most influential events happening across the digital asset ecosystem.