Bitwise Asset Management has made its first institutional decentralized finance (DeFi) investment, allocating funds to Maple Finance’s overcollateralized Bitcoin loans. Although the exact amount was undisclosed, data suggests an increase of approximately $5 million in Maple’s total value locked between March 4 and March 5.

The move highlights growing institutional interest in on-chain credit markets. Bitwise’s investment reflects a broader shift toward blockchain-based lending solutions, with Maple Finance offering high-yield strategies.

Bitwise sees DeFi as a way to access uncorrelated returns, particularly as interest rates in traditional markets remain lower. Jeff Park, Bitwise’s head of alpha strategies, emphasized the firm’s interest in emerging opportunities in on-chain lending.

Maple Finance, specializing in institutional on-chain credit, has over $700 million in total value locked across all its strategies. Bitwise, which manages $12 billion in assets, continues to expand its crypto investment portfolio, including ETFs for Bitcoin and Ethereum.

Japan’s ruling Liberal Democratic Party (LDP) is advancing a proposal to reduce capital gains taxes on cryptocurrencies to 20%. This reform aims to classify digital assets separately from traditional securities, aligning Japan’s approach with global trends. The move is part of a broader effort to make Japan a more competitive hub for crypto investments.

The proposal includes changes to the taxation of crypto derivatives and the deferral of taxes on crypto-to-crypto swaps until converted into fiat currency. Lawmakers believe these changes will encourage growth in the sector while maintaining regulatory oversight.

Japan has historically taken a cautious approach to crypto regulations, balancing innovation with consumer protection. This proposal follows ongoing crypto tax reforms and the government’s broader economic stimulus initiatives. Lawmakers have also considered the potential adoption of Bitcoin reserves to diversify national assets.

While some officials support Japan’s increasing engagement with crypto, concerns remain about oversight and market stability. The proposal is currently open for public feedback, with final decisions expected in the coming months.

Telegram Mini App PAWS has migrated to the Solana blockchain after Telegram enforced a policy requiring Mini Apps and third-party crypto wallets to operate exclusively on the TON blockchain. PAWS, a SocialFi project with over 80 million users, chose to move rather than remain within a restricted ecosystem. The migration has boosted Solana’s ecosystem, with over 9 million new Phantom wallet downloads and more than 1 million newly funded Solana addresses.

The transition has also sparked increased NFT activity, with PAWS-related NFT vouchers generating over 100,000 transactions on Magic Eden. This move reignited discussions on blockchain ecosystems’ sustainability, contrasting short-term speculative liquidity bursts with models emphasizing long-term community engagement. PAWS aims to inject lasting value rather than rely on rapid capital inflows.

As part of its rebranding, PAWS intends to evolve into a Web3 brand, integrating DeFi tools, gaming, and social engagement. Future plans include expanding across multiple blockchains, including Ethereum and layer-2 networks. Beyond crypto, the project seeks mainstream adoption through strategic partnerships and real-world activations.

The move sets a precedent for whether Telegram’s vast user base can transition into decentralized blockchain ecosystems. If successful, PAWS could serve as a model for future Web3 projects looking to bridge closed-platform audiences with open, permissionless blockchain networks.