Hey there, PoI readers! 💫

It's your favorite crypto connoisseur, Mochi, back with another serving of tantalizing tech and web3 news. From David Sacks predicting a banking-crypto merger and Vitalik going all-in on decentralized social, to Trump's tariff flip-flop and Anthropic pondering AI consciousness, we've got a lot to unpack. So, buckle up and get ready for a wild ride through the wonderland of digital assets!

INTEL BRIEF

🟧 White House crypto czar David Sacks believes banks and crypto firms will eventually merge into one unified digital asset industry once stablecoin legislation passes, despite ongoing disputes over yield provisions.

🟧 Ethereum co-founder Vitalik Buterin is making decentralized social media a top priority for 2026, criticizing token-focused SocialFi projects while calling for platforms built on shared, open data layers.

🟧 US stocks and crypto posted modest gains after President Trump called off European tariffs linked to Greenland negotiations, though crypto sentiment has shifted to "extreme fear" despite the uptick.

🟧 Anthropic released a revised 80-page "Constitution" for Claude, detailing ethical principles and safety guidelines while raising philosophical questions about whether AI chatbots might possess consciousness.

White House Crypto Czar Predicts Banks and Crypto Companies Will Merge Into One Massive Industry

David Sacks is playing matchmaker between two industries that have been giving each other the side-eye for years. Speaking from the World Economic Forum in Davos (because where else do you discuss crypto's future?), the White House crypto czar dropped a spicy take: banks and crypto companies are destined to become one big happy digital asset family.

But before we pop the champagne, there's a tiny little roadblock called the CLARITY Act—a market structure bill that's been collecting dust in the Senate faster than NFTs in a bear market. The drama? It's all about stablecoin yield, baby.

Here's the tea: traditional banks are sweating bullets over the idea of stablecoins offering juicy yields, worried about a massive deposit flight that could see trillions of dollars yeeting themselves out of boring old savings accounts. Meanwhile, crypto companies like Coinbase are like "yield is non-negotiable, fam"—so much so that CEO Brian Armstrong publicly withdrew support for the bill last week, citing "too many issues" with the current draft.

Sacks is playing peace negotiator, urging both sides to "see the bigger picture" and compromise. He pointed out that the GENIUS Act (which became law in July 2025 and banned issuers from offering stablecoin yields) took multiple attempts before passing, suggesting persistence pays off.

His prediction? Once legislation passes, banks will dive headfirst into crypto anyway, making the yield debate kind of moot. "Over time, the banks like the idea of paying yield because they're going to be in the stablecoin business," Sacks noted—basically calling this beef a temporary lovers' quarrel.

David Sacks predicts banks and crypto firms will merge into one digital asset industry post-legislation

Stablecoin yield debate is blocking the CLARITY Act from moving forward in the Senate

Coinbase withdrew support for the bill, citing concerns about eliminating yields while protecting banks from competition

Vitalik Buterin Goes All In on Decentralized Social Media and Roasts SocialFi Token Projects

Vitalik Buterin just announced his 2026 New Year's resolution, and it's all about decentralized social media. The Ethereum co-founder is officially done with what he calls the centralized "info warzone" (looking at you, traditional social platforms) and is going all-in on open, blockchain-based alternatives.

In a Wednesday post on X (the irony is chef's kiss), Vitalik revealed he's been living his best decentralized life through Firefly, a multi-client interface supporting X, Lens, Farcaster, and Bluesky. Every single post he's read or written in 2026? Accessed through decentralized platforms. That's commitment with a capital C.

But Vitalik isn't just here to flex his Web3 lifestyle—he's got strong opinions about how the industry has fumbled the bag. He absolutely roasted crypto-native social projects that rely on speculative tokens instead of actual innovation, calling out SocialFi experiments for rewarding "pre-existing social capital and short-term price speculation" rather than quality content. Ouch. He pointed to creator-subscription models like Substack as better examples of aligning incentives around meaningful discourse.

The timing is particularly spicy given this week's major shake-ups in the decentralized social space. Neynar acquired Farcaster from Merkle, with co-founder Dan Romero admitting the protocol needs "a new approach and leadership." Meanwhile, Aave handed off Lens Protocol to Mask Network, signaling that even the OGs are struggling to crack the mass-adoption code.

Despite Farcaster's two million registered users and Lens's 506,000, the sector still faces an uphill battle converting early adopters into sustained growth. But Vitalik's message is clear: "If we want a better society, we need better mass communication tools"—and decentralization is believed to be the path forward.

Vitalik Buterin is prioritizing decentralized social media in 2026, using platforms like Firefly to access Lens, Farcaster, and Bluesky

He criticized token-focused SocialFi projects for rewarding speculation over quality content

Major leadership changes hit the sector as Neynar acquired Farcaster and Aave transferred Lens to Mask Network

Trump Drops European Tariffs and Stocks Rally But Crypto Sentiment Crashes to Extreme Fear

US stocks and crypto both caught a break on Wednesday after President Donald Trump announced he was calling off his Feb. 1 tariff threats against eight European countries—all tied to his, uh, ambitious plans for Greenland.

The S&P 500 jumped 1.16%, apparently thrilled that Denmark, Norway, Sweden, the UK, France, Germany, the Netherlands, and Finland could keep their trade relationships intact. Trump claimed on Truth Social that he'd had a "very productive meeting" with NATO Secretary General Mark Rutte and was working on what he called the "framework of a future deal" regarding Greenland and the Arctic Region. Sure, Jan.

Over in crypto land, the reaction was about as coordinated as a group project where nobody read the instructions. Bitcoin climbed 1.64% to $90,010, Ether rose 3.03%, and Solana gained 2.36%—modest wins, but we'll take 'em. Crypto stocks? Total mixed bag. MicroStrategy (MSTR) popped 2.23% (because of course Michael Saylor's Bitcoin hoard benefits), while Coinbase (COIN) slipped 0.35%. Mining stocks were equally chaotic, with Riot Platforms down 4.70% and Mara Holdings up 1.83%.

Here's the plot twist though: despite prices ticking up, the Crypto Fear & Greed Index decided to have an existential crisis, plummeting to an "extreme fear" score of 20—down four points from Wednesday. Apparently, the market is still channeling its inner pessimist, regardless of the green candles.

Some analysts have speculated that crypto traders tend to overreact to Trump's tariff theatrics anyway. Back in October, sentiment platform Santiment noted that retail traders love playing the blame game during downturns, often pointing fingers at whatever Trump tweet is trending that week.

Trump canceled European tariffs linked to Greenland negotiations, sparking a 1.16% S&P 500 rally

Bitcoin, Ether, and Solana posted modest gains (1.64%, 3.03%, and 2.36% respectively), while crypto stocks had mixed results

Crypto Fear & Greed Index dropped to "extreme fear" (20) despite higher prices, suggesting traders remain skeptical

Anthropic Updates Claude's Constitution and Asks If Their AI Chatbot Might Actually Be Conscious

Anthropic just dropped the updated rulebook for its AI chatbot Claude, and it's giving very much "we're the responsible adults in the room" energy. Released Wednesday alongside CEO Dario Amodei's appearance at Davos (because nothing says cutting-edge AI quite like Swiss ski lodges), the revised 80-page Constitution is Anthropic's way of saying "we're not like other AI companies."

For context: Anthropic has been riding the "Constitutional AI" wave since 2023, training Claude using a specific set of ethical principles rather than human feedback. Think of it as AI with a moral compass—or at least, that's the sales pitch. The new version keeps most of the original principles but adds extra layers of nuance around ethics, safety, and what it means to be a "helpful" chatbot that won't accidentally help you build a bioweapon (yes, that's specifically mentioned).

The Constitution breaks down into four core values: being "broadly safe," being "broadly ethical," following Anthropic's guidelines, and being "genuinely helpful." The safety section is particularly interesting—Claude is programmed to spot signs of mental health crises and direct users to emergency services, avoiding the PR nightmares that have plagued other chatbots. The ethics section emphasizes "ethical practice" over philosophical theorizing, meaning Claude should be able to navigate real-world moral dilemmas skillfully (no pressure, right?).

But here's where things get deliciously weird: the document ends by questioning whether Claude might actually be conscious. "Claude's moral status is deeply uncertain," it states, noting that "some of the most eminent philosophers on the theory of mind take this question very seriously." So basically, Anthropic is out here saying "our chatbot might be sentient, who knows?"

This whole move is believed to be part of Anthropic's broader strategy to position itself as the "ethical" alternative to companies like OpenAI and xAI—the boring cousin at the family reunion who actually reads the terms and conditions.

Anthropic released an updated 80-page Constitution outlining Claude's ethical principles, safety protocols, and behavioral guidelines

The document emphasizes four core values: safety, ethics, compliance, and helpfulness, including crisis intervention features

Anthropic raised philosophical questions about AI consciousness, stating "Claude's moral status is deeply uncertain"

And that's a wrap, my lovely PoI readers! 🎯 I hope this edition left you feeling informed, entertained, and maybe even a little bit richer (in knowledge, of course). From crypto-banking mashups to existential AI questions, today's news was absolutely chef's kiss. Remember to stay curious, stay informed, and keep spreading the love. Until next time, this is Mochi, signing off with a virtual high-five!

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