Consensys Launches Sovereign Network Interoperability

It's Monday, November 2, 2026.

Consensys introduces Sovereign Network Interoperability. The SEC updates its crypto asset classification. NJ drops its lawsuit against Coinbase staking. And SBI explores RWA tokenization on Arbitrum.

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Consensys Sovereign Network Interoperability

Consensys introduced Sovereign Network Interoperability, a tech stack for coordinating transactions across independently operated institutional ledgers. It routes instructions, coordinates execution and tracks transactions through completion, with support for collateral mobility, securities settlement, cross-currency payments, and fund servicing.

The system is designed to keep assets on their native ledgers rather than move them through bridges or onto a shared ledger. Its Cross Ledger Interoperability Protocol uses zero-knowledge proofs to verify cross-ledger execution. The stack also plans support for the Ethereum Economic Zone standard. Institutions can operate the product themselves or use Consensys-managed services.

SEC Crypto Asset Classification

The SEC Division of Corporation Finance updated its crypto asset FAQs, adding guidance on how governance and operational control affect its interpretive framework. SEC Staff says participants in broad-based governance generally are not a central party when they are unaffiliated and do not act together outside that process. A central party may include an entity with unilateral power to control access, voting, validation, code changes, or transactions.

The FAQs also distinguish functional systems, where a native asset can be used, from decentralized systems, which operate autonomously without central control. The update also says staking receipt tokens may qualify as digital tools when they evidence ownership of an underlying digital commodity, or as digital commodities when issued by a protocol-based liquid staking provider tied to a functional system.

NJ Drops Coinbase Staking Lawsuit

New Jersey’s Bureau of Securities dropped its 2023 cease-and-desist order against Coinbase over its staking services. The order, dated October 30, also rescinds a $5 million penalty, but says the action is without prejudice and makes no ruling on the merits. The restriction had banned the exchange from offering staking in the state. Coinbase says New Jersey users can resume staking after more than three years of restrictions. Coinbase is still facing 2023-era lawsuits from Wisconsin, Maryland, California, and Washington over Coinbase’s staking service.

SBI Explores RWAs On Arbitrum

Ember Protocol and SBI Digital Markets signed a memorandum of understanding to explore tokenizing and distributing institutional real-world assets on Arbitrum. The proposed work spans asset structuring and issuance, investor subscriptions and redemptions, and access to settlement, secondary markets and network distribution. Arbitrum One holds over $900 million in RWA TVL, according to data from Defillama.

Misc News

FBI attributes Binance hack to TraderTraitor. Kim Yo Jong rejects statement. CZ says Binance has allocated 100% of funds to cover hack losses. Mercado Bitcoin suffers a $40 million hack. ZachXBT reports that an EU-based entity was drained of $160 million.

Uniswap celebrates 8 years since launch. Bitmine adds 8k ETH Rocket Pool releases Smart Node version v1.25 (high priority). Ethlabs Week 19 update. DeFi Saver releases Loan Shifter 2.0. And NYSE expands agent to Sponsored Tokenized Securities.

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