The EU strengthens regulation of major digital platforms, analysis of cryptocurrency market trends

Source: CritpoTendencia Original Title: The EU toughens its offensive against the big digital platforms Original Link: https://criptotendencia.com/2025/12/06/la-ue-endurece-su-ofensiva-contra-las-grandes-plataformas-digitales/

The EU toughens its offensive against the big digital platforms

European regulators imposed a €120 million fine on X after concluding that the platform failed to comply with the obligations of the Digital Services Act (DSA).

The investigation, which lasted two years, determined that the company did not do enough to curb the spread of illegal and harmful content.

The report also questions the blue check verification system introduced under Elon Musk’s leadership, calling it misleading because it makes it difficult for users to identify the authenticity of accounts. According to regulators, this model deviated from industry standards and affected transparency.

The sanction is part of a broader EU offensive against major digital platforms. TikTok reportedly avoided a similar fine after agreeing to adjustments imposed by Brussels.

Meta considers major cuts in the metaverse and analysts predict a boost for the stock

Meta’s possible plan to significantly reduce its investment in the metaverse could become one of the company’s biggest strategic shifts since its name change in 2021. Mizuho analysts note that a cut of up to 30% in Reality Labs (the division responsible for virtual and mixed reality devices) would immediately strengthen the group’s profitability.

The analyst team described Reality Labs as an $80 billion black hole of accumulated losses and estimated that the cuts could add around $2 per share to projected earnings for 2026.

Mizuho reiterated its Outperform rating with a price target of $815, and a bullish scenario reaching $1,245 thanks to accelerated growth from AI. This would imply an increase of more than 21% compared to the current price of $672.

Do Kwon pleads guilty in the United States to fraud linked to the collapse of Terra

Do Kwon, the controversial creator of the failed Terra ecosystem, pleaded guilty before a New York court in the criminal case he faces in the United States. The entrepreneur, who initially denied the nine charges filed (including securities fraud, wire fraud, and conspiracy to launder money) changed his stance after a special hearing was called.

Kwon ultimately took responsibility for two offenses: conspiracy to commit fraud and wire fraud. His project collapsed in 2022, creating a hole of about $40 billion in the crypto market and causing significant losses to thousands of investors.

The guilty plea marks a key turning point in one of the biggest scandals to shake the cryptocurrency industry.

Strategy creates a $1.44 billion reserve to boost confidence amid Bitcoin downturn

Strategy announced the creation of a $1.44 billion reserve, funded through stock sales, with the aim of shielding itself from crypto market volatility. CEO Phong Le explained that the measure seeks to reassure investors at a time of downward pressure on Bitcoin.

“We are a key part of the crypto ecosystem. That’s why we started to raise capital and bring dollars onto our balance sheet, to dispel fear, uncertainty, and doubt,” Le said in an interview with CNBC.