Crypto Market Update: Commerce Department to Spend US$2 Billion on Quantum Infrastructure

Here’s a quick recap of the crypto landscape for Friday (May 22) as of 8:00 p.m. UTC.

Get the latest insights on Bitcoin, Ether and altcoins, along with a round-up of key cryptocurrencymarket news

Bitcoin (BTC) was priced at US$76,447.97, a decrease of 1 percent over the past 24 hours.

Chart via TradingView.

Bitcoin price performance, May 22, 2026.

Friday is Bitcoin Pizza Day, a day commemorating a 2010 transaction where two pizzas were purchased for 10,000 BTC. It serves as a historical reminder of the asset’s first practical application.

In the years since then, Bitcoin has transitioned from an experimental niche into a cornerstone of modern finance, acting as a global store of value with a valuation reaching six figures.

Ludovico Rossi, CRO of Brickken, a firm specializing in compliant tokenization infrastructure for financial instruments and real-world assets, said the landscape has shifted dramatically over the last 15 years, with BlackRock (NYSE:BLK) operating a Bitcoin exchange-traded fund and Strategy (NASDAQ:MSTR) using the asset as a treasury reserve.

In a statement sent to the Investing News Network, Rossi suggested that a reduction in transaction frequency alongside a surge in transaction size reflects a market finally pricing a fixed-supply asset according to its scarcity.

“Bitcoin did not fail as a currency; it repriced its monetary function around scarcity,” he said.

Currently Bitcoin is rangebound between US$76,000 and US$78,000.

Stagnation in the derivatives market has coincided with a capital rotation into altcoins, where investors are pursuing tokens linked to artificial intelligence, HYPE and privacy coins.

Ether (ETH) was priced at US$2,098.17, down by 1.2 percent over the last 24 hours.

Altcoin price update

• XRP (XRP) was priced at US$1.35, down by 1.5 percent in 24 hours.

• Solana (SOL) was trading at US$85.34, 2 percent lower over the past 24 hours.

​Today’s crypto news to know

US government to deploy US$2 billion to supercharge quantum computing

The US Department of Commerce is funneling over US$2 billion into the quantum technology sector through the CHIPS and Science Act. The federal government announced it has signed official letters of intent with nine major companies to rapidly accelerate the development of fault-tolerant, utility-scale quantum systems.

A significant portion of these funds targets foundational hardware manufacturing capacity, with IBM (NYSE:IBM) securing US$1 billion to launch a subsidiary exclusively focused on quantum-grade superconducting wafers.

GlobalFoundries (NASDAQ:GFS) is also receiving US$375 million to build a secure domestic manufacturing facility that supports diverse, large-scale quantum architectures.

Seven other technology firms will receive millions to solve complex engineering bottlenecks across multiple quantum modalities like neutral-atom, photonic and silicon-spin systems.

Secretary of Commerce Howard Lutnick emphasized that this Trump administration initiative is designed to create thousands of high-paying jobs while fortifying national security and technological resilience.

House oversight committee targets prediction markets in insider trading probe

Prediction market platforms Kalshi and Polymarket are facing intense political scrutiny after the House oversight committee officially launched an investigation into widespread insider trading allegations.

Committee Chair James Comer dispatched formal letters to the CEOs of both companies, demanding a trove of internal documents regarding their know-your-customer protocols and suspicious trade detection policies.

The Republican-led probe is particularly focused on lucrative wagers linked to armed conflicts, specifically demanding internal communications related to recent bets on the Iran war and the American military intervention in Venezuela. This aggressive congressional action follows the high-profile arrest of a US soldier who allegedly utilized classified military intelligence to profitably trade on Polymarket.

Furthermore, Kalshi recently penalized multiple American politicians for placing wagers on the outcomes of their own electoral races. A recent media investigation also flagged over 80 instances of highly suspicious, potentially insider-driven trading activity across Polymarket’s ecosystem.

Trump Media prepares to liquidate Bitcoin stash amid steep losses

Trump Media & Technology Group (NASDAQ:DJT) appears ready to offload a massive chunk of its cryptocurrency treasury after transferring 2,650 BTC to the Crypto.com exchange. The transfer of the stash, valued at roughly US$205 million, is seen as a desperate liquidation attempt as the company bleeds capital. The corporate entity behind the Truth Social platform is currently facing a staggering US$455 million unrealized loss on its digital asset portfolio.

Despite US President Donald Trump’s heavy promotion of the cryptocurrency sector, the firm aggressively acquired 11,542 BTC at a cost of US$118,522 per coin, much higher than today’s price levels.

News of the potential sale comes just days after the company abruptly abandoned its highly anticipated application for a spot Bitcoin exchange-traded fund. It also follows Trump Media’s recent catastrophic first quarter net loss of nearly US$406 million against a meager US$871,200 in actual revenue. Consequently, the company’s share price has also plummeted, shedding 68 percent of its value over the past 12 months.

Japan recognizes foreign stablecoins as electronic payment instruments

Japan’s Financial Services Agency announced that starting on June 1 of this year, certain foreign-issued stablecoins will be legally recognized as electronic payment instruments in Japan.

This means that qualifying foreign stablecoins, like USDC-style dollar-backed tokens, can be used legally for payments within Japan’s regulated payment system. This does not make stablecoins legal tender, but gives them a defined legal status for use within Japan’s payment system. This is an amendment to Japan’s existing stablecoin rules that previously relegated foreign stablecoins to the “speculative fringes” classified as securities.

Marcos Viriato, CEO and co-founder of Rayls developer Parfin, said the decision signals a broader global shift toward tokenized forms of money becoming embedded within formal financial systems.

“What is emerging is not a financial system built around a single stablecoin or settlement rail, but a far more diverse digital money ecosystem where stablecoins, tokenized deposits, digital infrastructure, and traditional banking systems will need to interoperate across multiple regulated networks and jurisdictions,” he wrote in an emailed statement.

Viriato continued:

“That changes the conversation significantly. The challenge is no longer simply regulatory recognition of digital assets, but how institutions securely move value, liquidity and settlement activity between these different systems in a compliant and operationally scalable way.

“The winners in digital finance will be the jurisdictions and infrastructure providers that make this interoperability possible, while enabling traditional financial systems and blockchain-based networks to work together seamlessly.”

Fed proposal opens payment access to non-traditional institutions

The Federal Reserve Board has requested public comment on a proposal for a new payment account type that allows eligible non-traditional financial institutions to access Fed payment services for clearing and settling transactions

The initiative seeks to foster financial innovation while minimizing risks to payment infrastructure and reserve banks. Qualifying entities would not be able to borrow money from the Fed, would not earn interest on their balances and would be restricted to systems equipped with automated controls intended to stop overdrafts.

They also wouldn’t be permitted to use FedACH, the Fed’s automated clearing house service for batch electronic payments like payroll and bill payments, to settle payments.

Companies will have to have anti-money laundering and other controls to prevent illegal financial activity.

A 60 day window for public feedback will begin following the proposal’s publication in the Federal Register. Until this period concludes, reserve banks have suspended all pending Tier 3 account access applications.

Ethereum Foundation changes and market standing

Two more researchers, Carl Beek and Julian Ma, announced their exits from the Ethereum Foundation this week. In total, eight senior researchers and leaders have left the organization in 2026, with five departures happening in May.

Also this week, former Ethereum Foundation researcher Dankrad Feist proposed creating an entirely new institution with at least US$1 billion in funding, explicitly tasked with protecting Ether’s competitive position and price.

He argues that since the Ethereum Foundation currently holds less than 0.1 percent of Ether, it doesn’t benefit from staking rewards or transaction fees. While currently underperforming relative to Bitcoin and Solana year-to-date and remaining under its 2025 cycle peaks, Ether continues to maintain a dominant position in developer engagement, stablecoin settlement throughput, total value locked and institutional-grade infrastructure.

Mark Cuban said on Front Office Sports’ Portfolio Players podcast that he sold most of his Bitcoin after it failed to act as a safe haven during the Iran war and dollar weakness, but said he is “less disappointed” in Ether.

Don’t forget to follow us @INN_Technology for real-time news updates!

Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.

Securities Disclosure: I, Meagen Seatter, hold no direct investment interest in any company mentioned in this article.

Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.