Finance

Looser Bank Regulations Won’t Weaken Asset-Based Financing, According to PGIM

Asset-based financings could experience a slowdown as the new administration loosens regulations on banks, but long-term growth trends are unlikely to be affected, according to Gabe Rivera and Edwin Wilches, co-heads of securitized products at PGIM Fixed Income, a division of Prudential Financial Inc.

Asset-based finance, which refers to funding backed by cash flows from specific assets rather than corporate revenues, has gained popularity as it allows lenders to finance a wide range of products, from consumer loans to credit cards.

TECH

DOGE Disbands Agency Behind Login.gov, IRS Direct File, and Other Tech Initiatives

The General Services Administration (GSA) has disbanded a technology division responsible for developing key public-facing IT services, such as Login.gov, the central login system for essential government services like Medicare, Medicaid, and Social Security.

This move, revealed in an internal memo obtained by Politico, was directed by Elon Musk’s Department of Government Efficiency (DOGE) as part of broader efforts to reduce government spending under the Trump administration.

The unit, known as 18F, was established in 2014 and contributed to several high-profile initiatives, including redesigning the Department of Justice’s Civil Rights Division complaint submission process and developing the free online tax return service, IRS Direct File.

18F operated as a cost-recovery office, meaning it billed other agencies for its services. According to its website, "GSA funds 18F through the Acquisition Services Fund (ASF), which allows for investment in the development and delivery of products and tools that will be used by other agencies on a reimbursable basis."

The cuts were announced at 1 a.m. ET on Saturday, Politico reports, impacting around 70 employees, including product and account managers, procurement specialists, user interface engineers, researchers, and designers.

18F had been the target of ideological criticism in recent months. In February, DOGE leader Musk retweeted a post that labeled the group as “far left” and accused it of "viciously subverting Trump during his first term."

CRYPTO

Trump Unveils Plan for Strategic Crypto Reserve with Bitcoin, Solana, XRP, and More

Cryptocurrencies surged on Sunday following President Donald Trump's announcement of the creation of a U.S. strategic crypto reserve that will include Bitcoin, Ether, XRP, Solana’s SOL token, and Cardano’s ADA.

In a post on Truth Social, Trump stated, “A U.S. Crypto Reserve will elevate this critical industry after years of corrupt attacks by the Biden Administration, which is why my Executive Order on Digital Assets directed the Presidential Working Group to advance a Crypto Strategic Reserve that includes XRP, SOL, and ADA. I will ensure the U.S. becomes the Crypto Capital of the World.”

He added in a follow-up post, “And, obviously, BTC and ETH, as other valuable cryptocurrencies, will be at the heart of the Reserve. I also love Bitcoin and Ethereum!”

Following the announcement, XRP surged 33%, Solana’s SOL token rose by 25%, and Cardano’s ADA soared more than 60%. Bitcoin climbed 10%, reaching $94,343.82 after dropping to a three-month low below $80,000 on Friday, while Ether gained 13%, recovering from significant losses this year.

Trump is scheduled to host the first White House Crypto Summit on Friday, and investors are eager for further insights into the reserve's plans.

This marks the first time Trump has clarified his support for a "crypto reserve" rather than a "stockpile." A reserve implies actively acquiring crypto over time, while a stockpile would simply involve not selling the crypto currently held by the U.S. government.