GM to all of you nutcases. It’s Crypto Nutshell #799 drawin’ it up… 🖍️🥜

We’re the crypto newsletter that’s more intense than a submarine crew trapped underwater with the clock ticking… ⚓⏱️

What we’ve cooked up for you today…

What’s in the Crypto Nutshell Portfolio?

BREAKING: Coinbase CEO denies White House clash, says negotiations are ongoing

The CLARITY Act drama took another turn over the weekend.

Rumors began circulating that the White House was furious with Coinbase and considering pulling support for the crypto bill entirely.

Brian Armstrong shut that down fast.

What sparked the rumors

Crypto Journalist Eleanor Terrett reported Friday that "The White House is considering pulling its support for the crypto market structure bill entirely if Coinbase does not come back to the table with a yield agreement that satisfies the banks."

Armstrong flat-out denied it.

He said the administration asked Coinbase to explore a deal with banks - specifically community banks.

What went wrong with the bill

Industry sources detailed the specific problems with last week's draft to CoinDesk.

The bill was published just before midnight Monday. Amendments were due by 5 PM Tuesday - just 17 hours later.

The hearing was scheduled for Thursday 10 AM. That's 58 hours between text drop and markup.

Not enough time to digest 270+ pages and 137 amendments.

As a recap, the big issues were:

DeFi provisions: New sections on decentralized finance appeared for the first time in Monday's draft. No prior circulation. The provisions expanded the Bank Secrecy Act to DeFi, potentially blocking decentralized platforms from actually operating decentralized.

Stablecoin yield: The banking lobby secured restrictions on direct yield. Platforms could only offer rewards through user activity like transactions and staking.

SEC authority: The bill granted the SEC power to force disclosures and restrictions on any token whose value depends on "entrepreneurial or managerial efforts." Every new token launch would need SEC approval to prove it's not a security.

Tokenized equities: Armstrong called it a "de facto ban." Though tokenization firms like Superstate, Securitize, and Dinari pushed back, saying the bill simply placed tokenized securities under SEC jurisdiction like any other security.

A contrarian take

Analyst Michaël van de Poppe argued the bill stalling is actually positive.

He compared it to Europe's MiCA regulations, which took multiple rounds before passage.

What happens next

Democrats held a call with industry reps Friday to restart negotiations.

Armstrong expects a new markup "in a few weeks."

The Senate Agriculture Committee still plans its markup January 27. But without Banking Committee alignment, passage gets significantly harder.

The core fight remains: banks versus crypto over stablecoin yield.

Armstrong framed it as protecting consumers. Banks frame it as preventing unfair competition from unregulated entities.

Negotiations continue. 🚀

You know what’s rarer than gold? Business news that’s actually enjoyable.

That’s what Morning Brew delivers every day — stories as valuable as your time. Each edition breaks down the most relevant business, finance, and world headlines into sharp, engaging insights you’ll actually understand — and feel confident talking about.

It’s quick. It’s witty. And unlike most news, it’ll never bore you to tears. Start your mornings smarter and join over 4 million people reading Morning Brew for free.

Check it out

Here’s a weird one for you…

Tom Lee’s BitMine (the world’s biggest Ethereum treasury company) just made another $200M investment.

But this time, not in Ethereum, but rather, in MrBeast’s company, Beast Industries.

So what’s actually going on here?

This isn’t a $200M “MrBeast bet.” It’s a distribution bet.

BitMine can buy more Ethereum any day of the week. What it can’t buy is millions of young people choosing its future product by default.

MrBeast is basically the biggest trust + attention engine on the internet for Gen Z and Gen Alpha.

If Mr Beast Industries launches a money app (which they have hinted at), a payments product, or anything “finance” adjacent, BitMine wants to be inside that funnel from day one.

And here’s the key.

Crypto doesn’t lose because the tech is bad. Crypto loses because adoption feels annoying, risky, and nerdy.

MrBeast makes everything feel simple, fun, and normal.

If a Beast product makes people download an app, verify, tap a button, and move money as part of a challenge or giveaway, that is the gateway to mass adoption.

That’s what BitMine paid for.

Not a headline, but a shortcut to mass retail adoption & the biggest audience on the internet.

Watch this space. 👀

Let’s kick off the week with a look at the Bitcoin HODL Waves - one of the clearest snapshots of market conviction.

Each coloured band represents the percentage of Bitcoin that last moved within a specific time frame.

The warmer the colour, the younger the coins - with red showing Bitcoin that has been held for less than one day.

Today, we’re focusing on short-term holders (STHs) - defined as coins held for less than six months.

Here’s how the Bitcoin supply breakdown looks today:

TL;DR: 31.28% of all Bitcoin is in the hands of short-term holders. 🔒

That's down from 31.77% two weeks ago.

The youngest cohort (<1 day) ticked up slightly as some fresh buying came in. The 1 day to 1 week band contracted as those coins aged out.

The 1 week to 1 month band expanded, absorbing coins from the tier below. Meanwhile, the 1-3 month range shed over a full percentage point as those coins matured into the 3-6 month band, which jumped 0.70%.

Translation: coins are aging, not selling.

Short-term holders are still more sensitive to headlines and prone to flush on volatility.

But the overall share keeps contracting.

As long as the long-term base stays dominant - and it does at 68.72% - this isn't a structural problem.

If these coins survive the chop and age into the 6+ month bands, this will look like what it usually is: a transfer from weak hands to patient ones. 💎

Here’s Why Bitcoin is a Better Scarce Asset Than Gold: Ark Invest's Cathie Wood. Bitcoin's fixed supply makes it a superior scarce asset to gold when demand rises, according to the Ark Invest CEO's 2026 Outlook report.

Steak 'n Shake Says Bitcoin Stash Grew by $10 Million in Value. Steak 'n Shake, a restaurant chain that accepts BTC as a method of payment for its products, announced that the value of its BTC treasury grew by $10 million.

Fish to shark holders accumulate at fastest pace since the FTX collapse. The so-called Fish-to-Shark cohort added 110,000 BTC over the past 30 days, according to Glassnode.

Trove Markets announces sudden pivot to Solana, hours before token is set to go live. A week after raising $11.5 million to build a perp DEX on Hyperliquid, Trove said it will build on Solana instead, blaming a liquidity partner for the move.

Want to get even smarter? Check these out.

p.s. all completely FREE (one click subscribe link)

Select your answer below and you’ll be redirected to the results page. (answer explanation can be found after “Meme Corner”)

Because what would the crypto world be without its share of memes?

Trivia Answer: $0.31 🥳

During Ethereum's 42-day ICO in mid-2014, ETH sold for roughly $0.31 per token. Anyone who held from the ICO has seen returns of over 10,000x at ETH's all-time high.

Advertise with Crypto Nutshell to get your product or brand in front of the crème de la crème of crypto investors. Crypto Nutshell readers are high-income earners who are always looking for unique or interesting offers.

Get in touch today.😎

We read every comment submitted in this poll and love to hear what you guys have to say. 😁 (bonus points for suggestions 🍪)

DISCLAIMER: The content of this newsletter is not financial advice. This newsletter is strictly educational and is not investment advice. Please be careful and do your own research.