Details funds weren’t as fortunate, however, snapping a four-week inflow streak.
Investors added $433 million to the publicly traded bitcoin products on Friday, leaving an overall $6.2 million net inflow for the week ending Sept. 18, according to The Block’s analysis of SoSoValue data. The net inflow amount is modest, but large in comparison to the $462.7 million in outflows the funds had logged the week before.

Spot ether ETFs, meanwhile, posted a $140 million weekly outflow despite taking in $143.8 million on Friday. The result ended a streak of four positive net inflow weeks during which the funds collected a combined $1.94 billion.

Fidelity’s FBTC drives Friday’s recovery

Bitcoin ETFs managed to make up a large deficit caused by outflows on Tuesday and Wednesday. Monday’s $160 million inflow was followed by withdrawals of $450.3 million on Tuesday and $296 million on Wednesday. Even after $159.5 million came in on Thursday, the funds were down $426.8 million for the week.

Friday’s buying covered that shortfall with little to spare. The $433.0 million in inflows was the funds’ largest daily inflow since Sept. 3, when they drew $730.9 million.

Fidelity’s FBTC, the second-largest such fund by both assets under management (AUM) and trading volume per The Block’s data, accounted for $310.7 million of Friday’s total, with BlackRock’s IBIT adding $108.4 million. Bitwise, VanEck, and Ark and 21Shares’ funds brought in relatively smaller amounts.

Though Fidelity’s FBTC is the second-largest fund by AUM, BlackRock’s IBIT has a commanding lead in trading volume via The Block.
Over the full week, however, IBIT took in $120.7 million, ahead of FBTC’s $79.9 million. The other bitcoin funds together lost approximately $194.4 million, leaving the category barely above zero with just $6.2 million in net inflows.

Bitcoin ETFs are still down about $1.45 billion in net flows this year. Their cumulative inflows since launch stand at $55.16 billion, while net assets totaled $102.53 billion on Friday.

Bloomberg ETF analyst Eric Balchunas noted the resilience of bitcoin ETF investors in a Thursday post on X, remarking that cumulative inflows remained around $55 billion after peaking near $63 billion. He described their staying power as “incredible intestinal fortitude from the Boomers given they saw a 50% drawdown,” while noting that rising stock prices may have helped investors hold on.

Ether funds snap four-week inflow streak

For ether ETFs, three consecutive negative sessions from Tuesday through Thursday, which drained $404.8 million, led to the products’ four-week inflow streak ending last week.

Inflows to the funds on Monday and Friday weren’t enough to recover those losses. BlackRock’s ETHA drew $114.3 million on Friday but ended the week with $56.1 million in outflows. Fidelity’s FETH also finished lower for the week, losing $25.8 million despite a $26.2 million addition on Friday, per The Block’s analysis of SoSoValue data.

The weekly outflow was ether ETFs’ first since the week ending Aug. 14. The funds remain positive for the year, though, with approximately $922 million in net inflows. They held $16.72 billion in net assets as of Friday, against $13.25 billion in cumulative inflows since launch.

Trading volume picked up across both categories. Bitcoin ETF volume reached $16.17 billion, up from $8.77 billion the week before, while ether ETF volume rose to $6.82 billion from $5.14 billion. Last week also had an extra trading day: the previous week’s session count was cut to four by Labor Day.

Ref: https://paykalken.com

#Bitcoin #BTC #BitcoinETF #ETF #Ethereum #ETH #EtherETF #BlackRock #Fidelity #CryptoFunds

Visa is moving to stop crypto payment processors from categorizing memecoin purchases under a “digital media” category, which allowed users to buy memecoins with credit cards and earn ordinary points or cash back on the purchases, per a Friday report from the newsletter Crypto in America.

The move follows The Block’s Sep. 1 investigation into Crossmint, the firm powering such transactions for the popular apps Fomo and Robinhood Wallet, and its payment processor Checkout.com, which was told directly that the category is no longer appropriate for memecoin purchases, per the report.

Crossmint’s memecoin checkout remains available on both apps as of publication time per The Block’s review. Crypto in America reported that Visa has given the processors a grace period expected to end next week, after which the purchases will need to be processed as typical cryptocurrency transactions subject to Visa’s restrictions.

The Block’s investigation found that memecoin purchases on the apps were categorized under the merchant category code (MCC) 5815, typically intended for digital media purchases like streaming movies or audiobooks, and lacked special flags that indicate the transactions involved crypto assets.

Crossmint told The Block that it believed the category was appropriate given the SEC’s guidance that some memecoins can be considered akin to collectibles in a securities context, though payments experts told The Block that the SEC’s opinions do not typically determine how purchases should be categorized under card-network classification rules.

Chase told The Block at the time that it believed the category was inappropriate for the memecoin purchases and referred the matter to Visa. New York Attorney General Letitia James’ office also told The Block that it was aware of Crossmint’s product and was looking into the matter.

Some tokens that Crossmint was offering through its Token Checkout product also appeared to stretch the boundaries of being “memecoins” under Crossmint’s own guidance, such as Genius Terminal’s GENIUS, the native token of a non-custodial trading platform that has no apparent origin as an internet meme or cultural trend. GENIUS and another token, DEGEN, were made unavailable to buy through Crossmint’s Apple Pay checkout after The Block asked the firm about its classification of those tokens.

“Complying with regulation, especially now that we’re a regulated financial entity, is super important, but we’re always going to have a little bit of tension between the business and the law that is healthy,” Crossmint Head of Strategy Fonz Olvera told The Block in an interview for the original report.

Mastercard, meanwhile, has not publicly disclosed whether it has issued similar instructions to payment processing firms. Mastercard, Crossmint, and Checkout.com did not immediately respond to requests for comment from The Block. Visa declined to comment on an earlier inquiry from The Block asking if the payments giant planned to restrict the use of the digital media category for memecoin purchases.

Ref: https://paykalken.com

#Visa #Crossmint #Memecoin #Crypto #CryptoNews #CryptoPayments #CreditCard #Web3 #Fintech #DigitalAssets

The U.S. Treasury Department sanctioned Iranian crypto exchange BitBank on Thursday, alleging it facilitated the transfer of hundreds of millions of dollars in bitcoin to the Islamic Revolutionary Guard Corps.

The IRGC is an organization designated as a terrorist group by the U.S., European Union, and several other governments.

The Office of Foreign Assets Control, commonly known as OFAC, also designated BitBank’s software developer, Pishtaz Simorgh Electronic Trade Company, and three associates of Iranian financier Babak Zanjani: Hossein Ali Zaker Hossein, Mohammad Mahdi Zaker Hossein and Seyed Adel Heidari.

A Thursday release from the Treasury described BitBank as a “priority digital asset venture” controlled by Zanjani, who was previously sanctioned by OFAC over an alleged network of companies that helped launder money and evade sanctions on Iran.

Between June and July, Zanjani used BitBank to move hundreds of millions of dollars to the IRGC in the form of bitcoin (BTC). The agency also alleged that the Hormuz Safe Marine Services Authority has used the exchange since June to transfer payments to the regime.

Hormuz Safe appears to be the formal entity behind a bitcoin-settled platform first reported by Iranian media in May. The platform was promoted as offering coverage for ships traveling on the Strait of Hormuz a few months after the U.S.-Iran conflict began. At the time, Iran said it was targeting more than $10 billion in revenue for the platform.

The Block reached out to OFAC for clarification and will update this article if additional information is provided.

“Today’s designations of Iranian digital asset infrastructure make perfectly clear that efforts to finance the Iranian regime using cryptocurrencies are not beyond OFAC’s reach,” Treasury Secretary Scott Bessent said. “If you support the Iranian regime, the Department of the Treasury will sanction you.”

Economic Fury, Economic Outcast

Thursday’s designations mark the latest U.S. crackdown on crypto platforms allegedly helping Iran evade sanctions.

In June, OFAC sanctioned Nobitex, Iran’s largest crypto exchange, along with Wallex, Bitpin and Ramzinex under the administration’s earlier “Economic Fury” campaign. Treasury said Nobitex processed more than half of Iran’s digital asset inflows in 2025 and facilitated transactions involving the IRGC and other sanctioned entities.

OFAC followed up in August by sanctioning exchanges Shelbit and Aban Tether.

The latest action falls under a continuation of Economic Fury called “Operation Economic Outcast,” a broader campaign launched on Aug. 24.

Ref: https://paykalken.com

#BitBank #Iran #Bitcoin #BTC #Crypto #CryptoNews #OFAC #Sanctions #IRGC #CryptoExchange

The Securities and Exchange Commission and Commodity Futures Trading Commission are signaling they will move ahead with crypto rulemaking using their existing authority after the U.S. Senate failed to advance the Clarity Act, potentially shifting the focus of U.S. digital asset regulation from Congress to the agencies.

The Senate on Tuesday voted 49-50 against the Clarity Act, which would regulate the digital asset industry comprehensively for the first time at the federal level. The bill needed 60 votes to move forward.

“Our collective conviction that America must continue to lead is indispensable,” SEC Chairman Paul Atkin said Wednesday. “I have been unequivocal: with or without legislation, we will act decisively within the SEC’s statutory authority to deliver certainty for American investors and for the entrepreneurs shaping our technological future. Stay tuned.”

CFTC Chair Mike Selig posted a similar message, saying the agency is “locked in and ready to ship its rules for the new frontier of finance.”

“The outcome of yesterday’s Senate vote was unfortunate. American investors deserve regulatory clarity, legal certainty, and consumer protections in crypto asset markets,” CFTC Chair Mike Selig said in a statement. “President Trump promised to deliver a future-proof crypto asset regulatory market structure one way or another, and we will help him get the job done using our existing statutory authorities.”

Early fallout

One Republican Senate aide told The Block’s Sarah Wynn that they think the bill is dead, though some, like Sen. Thom Tillis, think there is still life for Clarity.

Democrats largely opposed the bill over concerns about President Donald Trump’s crypto interests and ethics provisions, while Republicans rejected a Democratic counteroffer, leaving the legislation’s path forward uncertain as the November elections approach.

Bernstein analysts also expect the two agencies to take an “aggressive and swift” approach to crypto rulemaking. JPMorgan analysts echoed that sentiment, though noted that agency rules are less durable because future administrations could change them and they could be challenged in court.

“The CFTC and SEC are stepping up. Go time,” said Coinbase CEO Brian Armstrong Wednesday on X.

Ref: https://paykalken.com

#Crypto #CryptoNews #SEC #CFTC #CLARITYAct #Bitcoin #CryptoRules #Regulation #DigitalAssets #Blockchain

Novogratz warned that further delays could force more of the crypto industry offshore.

Ref: https://paykalken.com

#CLARITYAct #Crypto #CryptoNews #Novogratz #GalaxyDigital #Bitcoin #USSenate #CryptoBill #Regulation #DigitalAssets

Both designs aim to make wallets easier to use, including gasless transactions and passkeys. The talks fell short of a shared standard after the two sides diverged on priorities: Ethereum is emphasizing censorship resistance and security, while Base is optimizing for scale and compliance.

Ref: https://paykalken.com

#Ethereum #Base #EIP8130 #EIP8141 #AccountAbstraction #Web3 #Crypto #Blockchain #CryptoNews #SmartWallets

Ref: https://paykalken.com

#Crypto #ClarityAct #Bitcoin #CryptoNews #USSenate #Regulation #CryptoBill #Blockchain #DigitalAssets #CryptoPolicy

Bitcoin’s outlook remains bullish, but it needs to clear resistance at $81,700 to confirm a new bull market, according to CryptoQuant.

The onchain analytics firm said in a Friday report that bitcoin’s 24% rally over two weeks had stalled. The price had been moving between $76,000 and $82,000 and is currently hovering at around $77,000.

“The trend is still constructive, but a wall of resistance stands in the way,” Julio Moreno, CryptoQuant’s head of research, said in the report.

Resistance levels range from $77,100 to $88,700

Moreno sees resistance between $77,100 and $80,200, where long-term holders sold as much as 539,000 BTC over a 30-day period this year. Moreno calls that zone the “nearest and heaviest on-chain supply resistance above the current price.”

Following that zone, the first major technical resistance level is bitcoin’s 365-day moving average, currently around $81,700, Moreno said.

Historically, bitcoin bull markets have “officially” started when the price closes above this average, Moreno noted. He said a clear move above it could confirm a new bull market, or else bitcoin could keep trading in a range.

The next level is $83,600, based on CryptoQuant’s “3x Metcalfe band.” The model estimates bitcoin’s value based on network activity, including active addresses.

Moreno said these bands have marked important levels in previous cycles. The 3x band was at $138,000 when bitcoin hit its $126,000 all-time high in October 2025. The 2x band was close to bitcoin’s price when it first reached $100,000 in December 2024.

Moreno also sees possible selling pressure around $88,700. This is the upper level of CryptoQuant’s trader realized price model, which tracks the average price paid by active traders.

“The upper band marks where trader profit-taking has historically emerged,” Moreno said.

Bitcoin support levels

If bitcoin moves lower, Moreno sees support around $70,000, its 200-day moving average. He also sees support between $62,000 and $65,000, where long-term holders bought about 476,000 BTC this year.

“The overall picture remains bullish; Bitcoin simply needs to digest the overhead supply and break its valuation ceilings before a new leg up can develop,” Moreno concluded.

Ref: https://paykalken.com

#Bitcoin #BTC #CryptoQuant #BitcoinBullMarket #OnChainAnalysis #CryptoTrading #BitcoinPrice #CryptoMarket #TechnicalAnalysis #CryptoNews

Former Alameda Research CEO Caroline Ellison has a new gig at the nonprofit charity Manifund, says its cofounder Austin Chen.

On Friday, Chen said Ellison has accepted a role at Manifund to develop its funding platform as well as bolster its philanthropic efforts. Chen said Ellison had been on a work trial with the nonprofit since July and became full-time in August, publishing her work under the pseudonym “Carol.”

Ellison pleaded guilty in December 2022 to fraud and conspiracy charges tied to the 2022 collapse of FTX crypto exchange, which resulted in billions of dollars in customer losses. She cooperated with prosecutors and testified against FTX founder Sam Bankman-Fried, who was later convicted and sentenced to 25 years in prison.

Ellison began serving her two-year sentence in November 2024, but was released early in January 2026, likely due to her being cooperative in facilitating investigations into FTX.

Chen addressed FTX’s collapse and the billions of dollars lost to investors.

“I believe in redemption,” Chen said in a post. “Caroline has admitted her faults, worked to make creditors whole, and served her time in prison. I’d like to give her the opportunity to contribute back to the world; I hope that the world will concur.”

Ellison said she was excited to be in her new role, and also apologized for her previous actions.

“But I’m very grateful to Austin for giving me a second chance, and judging me on my current work performance rather than my past,” Ellison said in the post. “I feel very lucky not only to have a job, but to be working somewhere that I think is doing great work and has a mission I believe in.”

Ellison’s lawyer, when she pleaded guilty and at her sentencing, did not immediately respond to a request for comment.

The charity is focused on artificial intelligence safety and effective altruism projects, according to its site.

Ref: https://paykalken.com

#CarolineEllison #AlamedaResearch #FTX #SamBankmanFried #Manifund #Crypto #CryptoNews #EffectiveAltruism #AISafety #Cryptocurrency

Ahead of a pivotal initial vote next week, Senate Republicans released a revised version of the landmark Clarity Act cryptocurrency legislation that includes new rule language for “non-decentralized finance protocols.”

On Thursday, Sen. Cynthia Lummis and other fellow Republicans released a 630-page bill text.

“We have incorporated more than 114 separate provisions at my Democrat colleagues’ request, and as a result, this bill is a strong bipartisan product,” Lummis said in a statement. “Unlike rulemaking, legislation gives this industry a lasting solution that shields it from the whiplash of changes in the White House.”

Over the past year, the Senate has been trying to advance the Clarity Act — which would regulate the crypto industry for the first time at the federal level. The bill will have its first procedural vote on Sept. 15 as the Senate returns to Washington with limited time to advance the bill.

The Clarity Act faces a dicey path to President Donald Trump’s desk. The bill has been hit with one setback after another, including a battle between banks and crypto over the treatment of stablecoin rewards, concerns about illicit finance, and the latest big snag, which has yet to be resolved — how to address Trump’s growing crypto wealth, which has grown to hundreds of millions of dollars linked to World Liberty Financial and his TRUMP memecoin.

In July, Trump agreed to an ethics provision barring public officials, employees and their spouses from issuing or sponsoring digital assets. The provision would be enforced by the Justice Department, not state attorneys general, and would expire in January 2029. Democrats criticized the language as insufficient and have since sent, along with Republican Sen. Thom Tillis, another version of ethics language.

Politico reported that the latest version does not have any support from Democrats, which is crucial in passing the bill. The bill also does not include significant changes in its ethics portion, and still gives the Justice Department lead authority to enforce it.

New version

The new version included new rulemaking for those “non-decentralized finance trading protocols,” which it describes as a person or a group of people that “act in concert, has the authority, directly or indirectly, through any contract, arrangement, understanding, relationship, or otherwise, to control or materially alter the functionality, operation, or rules of consensus or agreement of the decentralized finance trading protocol.”

Those non-DeFi trading protocols would need to register with the Commodity Futures Trading Commission, and the bill directs the CFTC and Treasury to write rules. The new section was something Democrats wanted to see added, a crypto industry source told The Block.

The updated text also includes language that DeFi provisions just apply to “spot and cash digital commodity transactions,” which Lummis said was meant to address concerns from tribal governments about the Clarity Act’s impact on prediction markets. Clarifications were also made to how credit unions conduct crypto activities, Lummis said in her statement.

Lummis, who is set to leave Congress in January 2027 as she is not seeking another term, has posted on X repeatedly in a push to get Clarity passed.

“The Clarity Act allows the United States to write these rules instead of watching from the sidelines while Singapore or the UAE write them for us,” Lummis said in a post on Wednesday. “Our country has a long history of leading. We cannot break from that tradition.”

Ref: https://paykalken.com

This follows last month’s security breach at shipping provider ShipMonk, which exposed the personal information of 67,000 Trezor customers in the U.S.

Ref: https://paykalken.com

#Trezor #CryptoSecurity #Phishing #HardwareWallet #Cybersecurity #CryptoScam #WalletSecurity #Bitcoin #SelfCustody #CryptoNews

Cronos, a Layer 1 blockchain associated with Crypto.com, confirmed that roughly $9.19 million had left the chain during the Aug. 30 exploit and remains unrecovered.

In a post-mortem published Monday, Cronos said an attacker manipulated collateral on lending protocol Tectonic to borrow $120.4 million before validators halted the network at block 90,907,150.

Following validator consensus, the chain was rolled back to block 90,896,188 — the last block before the attack. The rollback restored affected balances to their pre-exploit state, reversing roughly $111.2 million in impacted value.

However, about $9.19 million, or 7.6% of the affected funds, had already been transferred off the network and could not be restored. “The $9.19 million that left Cronos before the halt has not been recovered and is beyond the restoration’s reach,” the team said.

The team noted that the rollback discarded 1 hour 54 minutes of chain history, or 10,961 blocks, meaning that transactions during the period were reversed regardless of whether they were related to the exploit.

“It was a hard decision, taken together with the validators, weighing the finality users expect from a chain against the funds at risk,” Cronos said. “The alternative, restarting without restoring state, would have left the borrowed assets in the attacker’s control.”

Price manipulation

The post-mortem also detailed the timeline of the attack. On Aug. 30, the attacker deployed contracts and drove up the price of TONIC, Tectonic’s thinly traded governance token.

About 10 minutes later, the attacker used the inflated collateral to borrow $120.4 million across nine markets. The Cronos team identified the malicious activity about 36 minutes after the attack, leading to subsequent suspension and rollback.

Cronos then resumed block production about 11 hours after the attack began, with balances back to their pre-exploit state, according to the post.

The team said that it is still working with exchanges, bridges, and other affected platforms to complete the necessary reconciliation on their systems, adding that no user action is required at this time. The block explorer is back online, and indexers, subgraphs, and public RPC endpoints are operational as well.

The post-mortem, however, did not name the attacker or say what will happen to the unrecovered $9.19 million. The Block has reached out to Cronos for further information.

Ref: https://paykalken.com

#Cronos #Tectonic #CRO #TONIC #CryptoHack #DeFiExploit #BlockchainSecurity #ChainRollback #CryptoSecurity #CryptoNews

The foundation named FOCIL (EIP-7805) and Frame Transactions (EIP-8141) as S-tier, “must-ship” proposals. It also announced that it aims to have Ethereum L1 fully quantum-resistant by December 2029. $ETH

Ref: https://paykalken.com

#Ethereum #ETH #EthereumUpgrade #EIPs #Hegota #FOCIL #FrameTransactions #QuantumResistance #EthereumL1 #CryptoNews

Liquid Network said Sunday that purported white-hat hackers withdrew approximately 4,000 bitcoin, worth about $320 million, from its federation wallet, prompting the Bitcoin sidechain to pause network activity.

In a Sept. 6 post on X, Liquid said Blockstream, the network’s technology provider, was working to contact the parties responsible through an onchain signed message. The statement did not identify them or confirm whether the funds would be returned.

The withdrawal represented roughly 95% of Liquid’s reported bitcoin reserves, which stood at approximately 4,200 BTC before the incident.

“We are aware of a security incident on @Liquid_BTC,” the network wrote.

According to Liquid, the funds were withdrawn through the SideSwap PAK, or Peg-out Authorization Key. The network said that key had not been compromised, nor had any others. Liquid did not explain the root vulnerability that allowed the withdrawal.

An onchain message in a bitcoin transaction linked to the incident read: “we are whitehats. contact us on chain.”

Liquid said it had notified crypto exchanges which have either suspended deposits and withdrawals for LBTC, Liquid’s Bitcoin-backed token, or would do so. Liquid also disabled bridge nodes temporarily, preventing new transactions from being submitted to the network.

“Effectively, the Liquid sidechain is paused until this issue is resolved,” the statement said.

Other assets issued on Liquid, including USDT, DePix and real-world assets, were unaffected by the security incident, according to the network. However, Liquid warned that wallets would be impacted by the disruption.

Liquid is a Bitcoin sidechain designed for faster, confidential transfers and the issuance of digital assets. BTC locked on the Bitcoin network is represented as LBTC on Liquid, with federation operators responsible for securing the underlying bitcoin.

The network said federation members were working to resolve the incident and restore normal activity. Liquid did not disclose when it plans to restart the network or the details of its messages with the purported white-hat hackers

Ref: https://paykalken.com

#LiquidNetwork #Bitcoin #BTC #Blockstream #CryptoHack #WhiteHatHacker #BitcoinSecurity #CryptoSecurity #Sidechain #CryptoNews

UBS, Bank of Montreal and Jane Street have disclosed holdings in U.S. Hyperliquid ETFs, according to a Bloomberg Intelligence review of the funds’ first quarterly ownership disclosures.

Wealth High Governance Asset Management reported nearly $24 million in shares of 21Shares’ HYPE fund at the end of June. That put it ahead of UBS, Bank of Montreal and Jane Street in a list published Friday by Bloomberg Intelligence ETF analyst James Seyffart.

“Earlier this week i took a look at the Hyperliquid ETFs and their 13F reporting,” Seyffart wrote on X. “Here’s a look at all the known holders of the three ETFs.”

Wealth High Governance’s filing shows 632,614 shares in the 21Shares ETF, worth $23,948,236 on June 30. The next name on Seyffart’s list, OLP Capital Management, had $10.5 million in exposure.

At $7.5 million, UBS ranked third. Bank of Montreal was fourth with $6.7 million, and Jane Street fifth with $4.4 million. The list went on to name Discovery Capital, Brevan Howard, Balyasny and Boothbay.

The smaller entries included $22,068 from Royal Bank of Canada and $1,103 from Tower Research Capital. Wealth High Governance, OLP, UBS, BMO and Jane Street together reported $53 million. They accounted for 70.8% of the $74.9 million total, based on the figures in Bloomberg’s table.

The second-quarter filings won’t capture any subsequent sales, and bank holdings can include client money. Trading firms may also have hedges against the shares. Managers generally have to file a 13F once they meet the $100 million threshold for qualifying securities, so the reports aren’t a full count of ETF investors.

21Shares was first to bring a Hyperliquid ETF to market on May 12 with THYP. Bitwise’s BHYP began trading three days later, while Grayscale launched HYPG on June 3. Investors can buy the funds’ shares in brokerage accounts to get exposure to Hyperliquid’s HYPE token.

The funds have brought in $356.58 million in net inflows since launch through Sept. 4, per SoSoValue data. Friday’s $10.52 million inflow went entirely to Bitwise’s BHYP. The three funds held $480.86 million in net assets at the close.

Hyperliquid is a decentralized exchange built on its own blockchain, best known for perpetual futures, contracts that have no expiry date. Its terms currently restrict U.S. users, though the Trump administration has said it wants to bring the platform into the country.

As Crypto Whale Data reported Friday, Kraken’s parent company Payward is working with the CFTC on access to certain Hyperliquid-linked perpetuals through regulated exchange Bitnomial. That could give U.S. customers a separate product using Hyperliquid’s infrastructure without opening the existing venue to them. The final structure has not been announced.

Ref: https://paykalken.com

#Hyperliquid #HYPE #CryptoETF #21Shares #Bitwise #Grayscale #UBS #JaneStreet #DeFi #CryptoNews

Perpetual futures contracts on the decentralized exchange Hyperliquid have exploded in popularity over the past year, drawing traders with the ability to bet on crypto prices around the clock. However, Hyperliquid’s platform is not currently available to U.S. traders.

Now, President Donald Trump says his administration is working to bring Hyperliquid into the United States “in a fully compliant and legal fashion,” raising a deceptively simple question: How?

Last month, Trump said the Commodity Futures Trading Commission would work to bring Hyperliquid into the U.S. Then, crypto exchange Kraken’s parent company said it was working with the CFTC to offer registered U.S. users access to a selection of crypto perps linked to markets on Hyperliquid and its underlying Layer 1 blockchain through Bitnomial, a CFTC-regulated platform.

That arrangement could allow Hyperliquid HYPE-2.04%HYPE-2.04%

$83.99

See Details to provide certain parts of the underlying technology, liquidity, or market design, without actually opening its existing venue to people in the U.S., said Nansen Research Analyst Nicolai Sondergaard.
“It would be a separate U.S. product built around Hyperliquid’s infrastructure, and the final structure has not yet been formally announced,” Sondergaard said in an email.

That distinction between Hyperliquid’s existing venue and a U.S. centric platform is important, Sondergaard added, because currently people in the U.S. can technically access Hyperliquid through the underlying chain, but Hyperliquid’s terms restrict people in the U.S.

“The proposed arrangement would provide a formal route through a regulated intermediary, with KYC [know your customer], sanctions screening, customer-fund protections and a clear legal entity responsible for the product,” Sondergaard said. “The trade-off is that U.S. users would probably get fewer markets, lower leverage and more conservative risk controls than users on the permissionless venue.”

Still, Sondergaard said he doesn’t think that should mean that Hyperliquid should be “fully KYC-gated.”

“Blanket KYC would mainly remove privacy and permissionless access for legitimate users while pushing liquidity offshore,” Sondergaard said. “A regulated U.S. access layer is more useful because it gives users a compliant option without requiring the entire global market to operate under one model.”

CFTC-SEC

Both the CFTC and its sister agency, the Securities and Exchange Commission, would likely need to be involved in writing revised interpretive rules involving custody and mechanics around current routing standards, former SEC senior counsel Ashley Ebersole told The Block, ahead of news of Payward’s proposal. Ebersole is currently the co-founder and chief legal officer at real-world assets platform tx.

But the partnership between Bitnomial and Hyperliquid gives them a regulatory head start, Ebersole said.

“Partnerships of this type provide the regulatory infrastructure that would have added months or years to Hyperliquid’s US roadmap if pursued on its own,” Ebersole said. “The assets to be offered still need to be approved, but Kraken and Bitnomial’s involvement materially accelerates the timeline for launching them here.”

Some groups are pushing for both agencies to work together. In a letter last month, the Hyperliquid Policy Center urged the SEC and CFTC to adopt a harmonized framework for perpetual contracts.

The CFTC has already taken steps toward bringing perpetuals into regulated U.S. markets. In May, cleared the way for bitcoin perpetual futures contracts to be listed in the U.S when it greenlit KalshiEX and Coinbase to list the products. On Thursday, Coinbase said it filed a notice registration form with the SEC to get its sign-off to begin listing equity perpetuals.

Changing rules at the SEC and CFTC, however, is notoriously slow. Even if regulators moved quickly, revisions could take up to a year, Ebersole said.

Both the Trump administration and Trump himself have “very bullish views” on ensuring that the U.S. is the leader of the financial world, he said, but the 2028 presidential elections could shift those priorities.

“In a case like that, it really just becomes dependent on what the next administration’s appetite is if you can’t get it done in the remaining years of the Trump administration,” he said.

A new era for markets

For decades, U.S. markets have been built to operate largely from 9:30 a.m. to 4 p.m. ET and are closed on holidays and weekends. But that model has increasingly come under pressure as exchanges and other market operators move toward around-the-clock trading. Major venues such as CME already offer liquidity nearly 24 hours a day, five days a week.

If Hyperliquid were to launch an operational U.S. venue, it could add pressure on traditional markets to accelerate that shift.

“If theoretically Hyperliquid came onshore and was up and running in the U.S. and available to U.S. persons, then that would be additional motivation for existing markets to move in the direction of the features being offered on that new competitor,” Ebersole said.

The growth of Hyperliquid and perpetuals has also raised concerns.

Mark Hays, associate director for cryptocurrency and financial technology with Americans for Financial Reform and Demand Progress, said the administration’s push for platforms like Hyperliquid “has a checkered history” and can lead to financial instability.

“The Trump administration’s efforts to pave the way for crypto firms like Kraken and Hyperliquid to get quick easy access to US markets isn’t surprising – given the long pattern of collusion between the administration and the crypto industry – but it does suggest regulators are failing to heed the lessons of the past – which could have far-reaching impacts across all US financial markets,” Hays said in an email.

CME CEO Terrence Duffy has repeatedly pushed back against crypto perpetuals, reportedly calling them a “disaster waiting to happen,” and also sued the CFTC over the agency’s approval of perpetual futures.

Legacy players want to defend their turf, said Ebersole, citing a brewing fight in Congress between banks and crypto over stablecoin rewards as lawmakers work to pass broader crypto legislation.

Those legacy stakeholders could do that by demanding that new entrants in perpetuals follow the current rules, he said.

“You can also take the regulatory angle and say those products shouldn’t be offered in any case because they don’t comply with the existing rulebook, which is why I think we’re seeing changes in that rulebook would likely be needed to allow something like this to happen,” Ebersole said.

Ref: https://paykalken.com

#Hyperliquid #HYPE #Trump #CFTC #SEC #CryptoPerps #PerpetualFutures #DeFi #CryptoRegulation #CryptoNews

Coinbase, the largest U.S. based crypto exchange, is seeking to list 24/7 equity products as perpetual gain momentum.

The company filed a notice registration form with the Securities and Exchange Commission earlier this week to get sign-off to begin listing equity perpetuals, said Coinbase Chief Policy Officer Faryar Shirzad on Thursday in a post on X.

“Equity perps have proven demand internationally, and we’re excited at the prospect of a regulated pathway for U.S. investors,” he said.

Next, Coinbase would need the Commodity Futures Trading Commission’s sign-off, Shirzad added. Coinbase launched perpetual futures in March, allowing people outside the U.S. to trade those assets on a set of specific stocks including Apple Inc., Microsoft, NVIDIA and Amazon.

Perpetuals, or perps, are a type of futures contract that don’t have an expiration date and allow people to bet on the price movement of assets without owning them directly. Much of the market currently operates on offshore exchanges that are not regulated in the U.S.

In May, the CFTC began allowing bitcoin perpetual futures contracts to list in the U.S. when its staff greenlit KalshiEX and Coinbase to list the products. A month later, the CFTC released a request for comment on crude oil perpetual contracts and 24/7 trading.

One exchange in particular has been thrown into the spotlight — Hyperliquid (HYPE). That platform became popular among crypto derivatives traders and came into the spotlight last month at the White House when President Donald Trump said that CFTC Chair Michael Selig was working to bring the perpetual trading platform Hyperliquid into the U.S. in a “fully compliant and legal fashion.”

Earlier this week, Bloomberg reported that Hyperliquid Labs is seeking to go onshore in the U.S. through a deal with Payward, crypto exchange Kraken’s parent company.

Ref: https://paykalken.com

#Coinbase #SEC #EquityPerpetuals #PerpetualFutures #24x7Trading #CryptoDerivatives #StockTrading #CFTC #DigitalAssets #CryptoNews

Plaintiff Douglas Kim says he lost about $1.95M in Feb 2025 after impersonators used leaked details and lured him to enter his seed-phrase

Ref: https://paykalken.com

#Ledger #CryptoSecurity #DataBreach #Cybersecurity #CryptoScam #SeedPhrase #HardwareWallet #CryptoNews #DigitalAssets #ClassAction

Kalshi and Polymarket saw their combined volume decline last month, the first month-over-month drop in a year, following a World Cup-driven surge.

According to The Block’s data dashboard, the combined monthly volume at Kalshi, Polymarket and Polymarket US fell 14.5% in August to $45.33 billion, marking the first decline since August 2025.

Specifically, Kalshi recorded $37.17 billion in volume in August, down 7.3% from $40.1 billion in July, while Polymarket and its U.S. platform saw a combined $8.16 billion, down 36.7% from $12.89 billion in July.

The August pullback followed a summer spike in prediction market activity driven by the World Cup, which ran from June 11 to July 19. Still, the August volume remained well above May’s $25.66 billion.

Polymarket, Polymarket US and Kalshi Monthly Volume (The Block)
Meanwhile, both Kalshi and Polymarket are facing increased scrutiny from state regulators in the U.S., particularly over sports-related contracts. Over a dozen states have taken enforcement action or filed lawsuits against Kalshi and Polymarket.

Last week, Connecticut sued Kalshi to block the platform from offering sports contracts, escalating the state’s months-long legal fight against the platform.

Despite escalating legal fights with state-level authorities, Kalshi is still expanding its footprint in sports.

It recently signed a deal with the U.S. Tennis Association to become the exclusive prediction market partner of the U.S. Open, whose main draw began Aug. 30.

Meanwhile, earlier this week, Kalshi permanently banned former U.S. Rep. George Santos from trading on the platform, marking its first-ever permanent ban. Santos violated its rules by trading a bet on whether he would attend the State of the Union, and was ordered to pay a fine of over $71,000.

Ref: https://paykalken.com

#Kalshi #Polymarket #PredictionMarkets #Crypto #SportsBetting #WorldCup #USRegulation #CFTC #DeFi #CryptoNews

Robinhood Chain recorded a record $989 million in single-day DEX trading volume on Friday.

Total value locked (TVL) clocked in at a record $708 million, a near 100% month-over-month increase. Stablecoin supply on the chain also stands at ~$770 million, a 47% month-over-month increase.

Alongside the absolute growth, the composition of projects and tokens that have grown in recent weeks, compared to the month prior, has changed.

In July, Robinhood Chain was dominated by memecoin beta, following the run and eventual Robinhood spot listing of CASHCAT. In August, tokens that have garnered the most attention and volume have been those related to utility and infrastructure.

The most notable example is PONS, one of the chain’s most dominant launchpads, whose market cap grew from $20 million to over $200 million this month alone.

Expand Chart

The chain’s other dominant launchpad is LONG (long.xyz), which facilitates tokens (mainly memecoins) paired against tokenized stocks, which remain Robinhood Chain’s key differentiator.

The largest stock-paired memecoin in the chain was launched from the LONG launchpad, with the ticker “AI,” short for Artificial Inu, paired against tokenized NVDA. The AI memecoin had grown from a $1.5 million market cap on Aug. 1 to a peak of $135 million on Aug. 30, as it now holds over ~$3.3 million of liquidity in its NVDA pool, more than triple the depth of its WETH pool.

Memecoins paired against tokenized stocks now account for roughly a quarter of all stock-linked trading volume on Robinhood Chain.

Other notable utility-related Robinhood Chain projects include Delta, a liquidity-layer protocol, UP, a ve(3,3) emissions project similar to Aerodrome on Base and NetNet, an OHM-style bonding project, all of which have 10x’d their valuations in August alone.

Ref: https://paykalken.com

#Robinhood #RobinhoodChain #DEX #DeFi #TokenizedStocks #RWA #Crypto #Stablecoins #Memecoins #CryptoNews

The bank also plans to issue loans secured by USDT, bitcoin, and ether once they are approved by the central bank, according to TASS.

#Sberbank #Russia #Bitcoin #Ethereum #USDT #CryptoTrading #CryptoLending #CryptoRegulation #CryptoNews #DigitalAssets

The Commodity Futures Trading Commission (CFTC) ordered a former White House teleprompter operator to pay more than $172,000 to settle charges that he used his advance access to President Trump’s speeches to profit from “mention markets” on prediction marketplace Kalshi.

The former employee, Gabriel Perez, was ordered to repay $107,539.02 in profits and pay an additional $65,000 civil fine. The order also bars him from trading on any CFTC-registered entity for three years.

Perez opened an account at Kalshi on Dec. 8, 2025, and traded between December 2025 and March 2026, according to the order. Perez allegedly read Trump’s prepared remarks roughly an hour before delivery and placed his trades on Kalshi mention markets, which attempt to predict specific words that public figures will use in addresses, based on the words in the text.

Perez consented to the order without admitting the findings. The CFTC said he received a roughly 40% reduction of the civil penalty after he voluntarily sat for an interview and accepted responsibility, which the agency called “exemplary cooperation”.

The CFTC credited KalshiEX for its assistance in the matter. Kalshi head of enforcement Robert DeNault said on X the exchange’s surveillance unit caught the trading.

“It doesn’t matter who you are: violate our rules or federal law and you will face the consequences,” DeNault wrote.

The Perez order is the agency’s second event contract settlement since late July. On July 31, former congressman George Santos agreed to pay the CFTC about $35,000 over Kalshi trades on a contract asking who would attend February’s State of the Union address. The agency found he made misrepresentations about his own attendance on social media while holding positions in the market.

Both orders carry three-year trading bans, and both grew out of Kalshi referrals, though Santos was charged for manipulating a contract under which he had influence, while Perez was charged for trading on insider information.

Private companies have also faced employees using insider information to trade on prediction markets. Federal prosecutors in May charged Google engineer Michele Spagnuolo with using internal search data to make about $1.2 million on Polymarket, and the CFTC filed a parallel civil complaint. House Oversight Chairman James Comer opened a probe in May into insider trading controls at Kalshi and Polymarket, requesting documents detailing how each platform verifies users’ identities, enforces geoblocks, and detects suspicious trading activity.

Both platforms had tightened those controls in March, adding screening tools and updated conduct rules. The CFTC has separately proposed a rules framework for prediction markets under Chair Michael Selig.

Also on Friday, the Ninth Circuit ruled against Kalshi in its fight with Nevada gaming regulators, holding that the company had not shown a likelihood that federal commodities law preempts the state’s gambling rules, arguably dealing a significant blow to Kalshi’s legal posture.

Ref: https://paykalken.com

#Kalshi #CFTC #PredictionMarkets #InsiderTrading #CryptoNews #EventContracts #MarketIntegrity #Trading #Regulation #FinTech

Connecticut has sued Kalshi to block the platform from offering sports-related event contracts, escalating the state’s months-long legal fight against the prediction markets platform.

In a statement released Wednesday, Connecticut Attorney General William Tong said the state is seeking a court injunction requiring it to cease offering what it identifies as unlicensed sports wagers.

“Sports event contracts are no different than sports betting and are not magically shielded by federal law from Connecticut’s commonsense consumer protection laws,” said Tong.

Connecticut Governor Ned Lamont said that Kalshi’s prediction markets put the state’s consumers and young people at serious risk.

“When we legalized sports wagering in 2021, the goal was to create a safe, responsibly regulated market for Connecticut consumers, not to open a free-for-all on sports betting,” Lamont added.

Jovy Dedaj, Kalshi’s head of litigation, wrote in a post on X that Connecticut’s move is “the latest in a line of arbitrary and inconsistent enforcement,” as the state is “okay with other prediction markets operating there in the meantime.”

“This unequal treatment is exactly why federal oversight is necessary,” said Dedaj.

The Block has reached out to Kalshi for further comment.

Legal battle

The case is Connecticut’s latest move in its months-long fight with Kalshi.

In December 2025, Connecticut’s Department of Consumer Protection ordered Kalshi, Robinhood, and Crypto.com to stop promoting and offering sports event contracts.

Kalshi fought back by filing a lawsuit against state officials the following day, arguing that its markets — which allow users to trade on outcomes of future events — are regulated derivatives products overseen by the Commodity Futures Trading Commission.

Because the CFTC granted Kalshi designated contract market status in 2020, the company claims that Connecticut’s gambling laws do not apply and that the state is overstepping its authority.

Earlier this month, Judge Vernon Oliver denied Kalshi’s motion for preliminary injunction against state enforcement. The company has since appealed the decision to the Second Circuit.

Separately, in April, the CFTC sued Connecticut, Arizona, and Illinois, arguing that the states can’t outlaw CFTC-registered designated contract markets.

“The CFTC will continue to safeguard its exclusive regulatory authority over these markets and defend market participants against overzealous state regulators,” CFTC Chair Michael Selig said at the time.

Nationwide

Connecticut is among more than a dozen states that have taken enforcement action or filed lawsuits against Kalshi over its sports event contracts.

Earlier this month, a Washington court ordered Kalshi to stop offering prediction markets related to sports, elections, politics, entertainment, culture, technology and science in the state.

Also this month, Baltimore, the most populous city in Maryland, sued Kalshi and Polymarket, alleging that their sports-event contracts amount to illegal gambling.

Ref: https://paykalken.com

#Kalshi #PredictionMarkets #SportsBetting #CFTC #Crypto #Regulation #EventContracts #FinTech #Gambling #CryptoNews

Las Vegas businessman Brent C. Kovar was convicted by a federal jury for fraudulently obtaining $24 million from at least 400 investors through his cryptocurrency company, Profit Connect.

Kovar was found guilty on 11 counts of wire fraud, two counts of mail fraud and two counts of money laundering, the U.S. Attorney’s Office for the District of Nevada said in a statement on Monday.

According to the statement, Kovar owned Profit Connect, a Las Vegas-based company that operated from late 2017 to July 2021. He told investors that the company used artificial intelligence software on a supercomputer to mine crypto and verify transactions.

Prosecutors said Kovar marketed the firm as a profitable venture, promising investors fixed annual returns of 15% to 30% and a 100% money-back guarantee. He also told investors that Profit Connect held hundreds of millions of dollars in cryptocurrency reserves and falsely claimed that their investments were insured by the Federal Deposit Insurance Corporation.

The company, however, was not profitable, had no reserves, and could not pay the promised returns or honor the money-back guarantee, the statement said.

“The victims in this case thought they were engaged in revolutionary technological advancement, but it was merely a deception crafted by the falsehoods and trickery of Mr. Kovar,” said FBI Las Vegas Field Office Special Agent in Charge Christopher S. Delzotto.

Kovar faces a statutory maximum of 280 years in prison and is scheduled to be sentenced on Nov. 30, with a federal judge to determine the actual sentence.

Ref: https://www.paykalken.com

#Crypto #Bitcoin #CryptoFraud #CryptoScam #Fraud #MoneyLaundering #CryptoMining #AI #Investing #Blockchain

Bitcoin (BTC) just recorded its largest dollar-denominated weekly gain in history — gaining $14,264 to close the week at $77,387. This is a 22.7% gain in just seven days.

The current rally, triggered by the U.S. Treasury Department’s announcement last week of an expansion of its buyback program, has flipped investor apathy into FOMO. The Crypto Fear & Greed Index stands at 78 — on the brink of “extreme greed” and the highest it has been since December 2024.

The improved sentiment is also reflected in U.S. bitcoin exchange-traded fund flows. In the trading week ended Aug. 21, spot bitcoin ETFs reported $1.92 billion in total net inflows, the largest amount the funds have seen since the height of the last bull cycle in October 2025, according to SoSoValue data.

Matt Cole, Chairman and CEO of Strive, said bitcoin’s comparative performance against both the dollar and gold shows that the next bitcoin cycle “will be the strongest we have ever seen.”

Hunt for scarcity

“The growing hunt for scarcity in an AI-driven world of abundance both point toward a powerful structural tailwind for scarce assets,” Cole wrote, adding that this force will drive more capital toward scarce monetary assets such as gold, silver, and bitcoin.

The bitcoin-to-gold ratio currently stands at 16.73 ounces of gold per bitcoin, the highest level since May, according to Longtermtrends.

“What makes this week particularly interesting is that bitcoin has now broken out against both the dollar and gold. The breakout has been explosive,” Cole said. “Relative performance within that trade will help determine where incremental capital and liquidity flow. When bitcoin is the fastest horse, it will attract a disproportionate share of that capital.”

The Strive CEO said these structural forces have left him more bullish on bitcoin today than ever before, adding that while a short-term pullback is likely, buyers will step in aggressively to buy the dip.

BTC, ETH Price Performance (30D) / The Block
Rally to continue

Other analysts predict that the current upward momentum will likely continue in the near future.

“The rally will continue in the short term, fueled by the short renewed ETF inflows, and improving macro liquidity,” said Dominick John, analyst at Zeus Research. “With the CLARITY Act potentially advancing in September, institutional confidence could strengthen further, but some mid-term consolidation is likely before the next leg higher.”

BTC Markets Crypto Analyst Rachael Lucas told The Block that it is important to understand what is driving the gains of such historic magnitude.

“Momentum this sharp is often driven by a mix of short covering, spot demand and derivatives positioning rather than a single catalyst,” Lucas said. “The key thing to watch isn’t the headline number; it’s whether spot volume and ETF inflows are confirming the move or whether it’s being amplified by leverage.”

Lucas noted that spot-driven rallies offer stronger structural support for another leg up, whereas leverage-heavy moves leave the market vulnerable to a sharp unwind.

Watch the flows

Spot Bitcoin ETF Flows / The Block
The BTC Markets analyst said investors should watch spot bitcoin ETF flow data, which tends to lag, as it will show whether institutional demand is in line with market sentiment. Investors should also monitor derivatives positioning, funding rates and open interest, which will show how much leverage has built into this move, Lucas said.

“Overheated funding rates and elevated open interest after a move this size are often an early warning of a leverage-driven pullback,” Lucas added. “Broader macro risk, particularly any hawkish repricing in rate expectations or USD strength, could also cap enthusiasm.”

Lucas, however, noted that a fair amount of profit-taking and volatility is a normal part of price discovery, and should not be interpreted as a bearish signal in itself.

“The main target is to reclaim $80,000 and see how the market responds. If the breakout holds, I’d look toward $85,000-$90,000, with $100,000 possible if ETF inflows and macro liquidity remain supportive,” John of Zeus said.

Ref: https://paykalken.com

#Bitcoin #BTC #Crypto #BitcoinETF #BTCPrice #CryptoMarket #BullMarket #Liquidity #Gold #Macro

Grayscale is inching closer to launching its Zcash (ZEC) exchange-traded fund, filing its fifth amendment with the U.S. Securities and Exchange Commission on Friday.

The proposed ETF would convert Grayscale’s existing Zcash Trust, bringing the product closer to a spot ETF structure — and the first in the U.S. to directly track the privacy-related asset.

In its latest amendment, Grayscale said the trust would be renamed The Zcash ETF. A sponsor fee was also set at an annual rate of 2.5%, according to the latest filing.

The ETF would list on NYSE Arca, Inc. under the ticker symbol ZCH. The Bank of New York Mellon would serve as the transfer agent and Coinbase Custody Trust Company, LLC as the custodian.

“The Trust intends to issue Shares on a continuous basis and is registering an indeterminate number of Shares,” Grayscale said in the filing on Friday. “It is expected that the Shares will be sold to the public at varying prices to be determined by reference to, among other considerations, the price of ZEC and the trading price of the Shares on the NYSE Arca at the time of each sale.”

In its fourth amended filing earlier this week, Grayscale said that a Digital Currency Group subsidiary was in discussions to potentially contribute about 200,000 ZEC to the fund.

Grayscale has launched over a dozen crypto ETFs, including bitcoin, Ethereum, Dogecoin and XRP. The company’s Zcash Trust has been running since 2017 and, as of Friday, has over $260 million in assets under management.

Zcash is the 12th-largest crypto by market capitalization, according to The Block’s data page. The digital asset was created in 2016 and is designed to be focused on privacy.

If the SEC greenlights Grayscale’s Zcash ETF, it would be the first of its kind in the U.S.

“Looks like they’re getting closer and closer to converting this thing into an ETF,” said Bloomberg Intelligence ETF Analyst James Seyffart on Friday in a post on X.

Ref: https://paykalken.com

#Zcash #ZEC #ZcashETF #Grayscale #CryptoETF #PrivacyCoin #Crypto #DigitalAssets #Altcoins #CryptoNews

Spot bitcoin exchange-traded funds in the U.S. reported $517.19 million in net inflows on Wednesday amid a notable rebound in the cryptocurrency market.

According to data from SoSoValue, eight out of 12 bitcoin ETFs recorded net inflows on the day, led by $284.7 million worth of inflows into BlackRock’s IBIT. Ark & 21Shares’ ARKB logged $77.7 million in inflows, and Fidelity’s FBTC reported $62.4 million.

Total inflows into the bitcoin funds were the largest since May 4 — three months and 16 days ago.

Analysts concurred that the sizable net inflows resulted from positive news that drove up the crypto market after months of downturn.

Buyback expansion

Yesterday, bitcoin (BTC) climbed above $69,000 for the first time in two months while ether (ETH) reclaimed $2,000 amid a broader crypto market rally attributed to a Treasury buyback expansion and the Securities and Exchange Commission’s latest crypto offering proposal.

“We’re not surprised by the $517 million inflow into bitcoin ETFs on Wednesday – it’s a natural reaction to the Department of Treasury’s buyback announcement,” Jeff Mei, COO of BTSE, told The Block. “When the Treasury signals it’s stepping in to cap Treasury yields, the dollar softens, risk appetites return, and bitcoin and crypto benefit.”

On Wednesday morning, the U.S. Treasury Department said that it will at least double the size of liquidity support buyback operations for longer-dated nominal coupon securities across the 10- to 30-year segment.

Earlier on Tuesday, the SEC proposed a rule that would create two tailored exemptions for certain crypto investment contracts: issuers could raise up to $5 million over four years or $75 million annually, subject to disclosure requirements.

No day traders

Rachael Lucas, crypto analyst at BTC Markets, said that expectations of improving liquidity have resulted in renewed institutional positioning, rather than “pure retail FOMO.”

“After the heavy outflows seen in May-June and more choppy flows through parts of July and mid-August, a print of this size signals that larger allocators are once again treating current levels as constructive entry points or adding on strength,” Lucas told The Block. “It is not opportunistic day-trading money; these are typically longer-horizon allocations from players who have the compliance frameworks and balance-sheet capacity to move size.”

However, both Lucas and Mei said that inflows are unlikely to continue at this magnitude.

“A lot depends on whether the buybacks are a one-off move or an ongoing initiative — This depends on inflation and how the U.S.-Iran conflict will evolve,” Mei said. “The catalysts we’re watching for are next week’s CPI data and any commentary from Bessent on whether this buyback strategy will be sustained over a longer period.”

Hyperliquid to US

The crypto market is continuing its rally today, with bitcoin up 8.3% in the past 24 hours at $69,564, and ether up nearly 18% at $2,251. XRP and Solana both rose around 10%.

Hyperliquid’s HYPE (HYPE) was among the day’s top gainers, fueled by President Donald Trump’s public comment that Commodity Futures Trading Commission Chair Michael Selig is working to bring the perpetuals-focused trading platform into the U.S. in a “fully compliant and legal fashion.”

LIT (LIT), the native token of competing perp futures trading platform Lighter, added 23.5% in the past 24 hours to $2.84. The overall crypto market is up 8%.

“Overall, Wednesday’s print is a constructive data point that institutional demand remains very much alive and capable of absorbing supply when the setup improves,” Lucas said.

Ref: https://paykalken.com

#Bitcoin #BTC #BitcoinETF #Crypto #CryptoMarket #ETFInflows #BlackRock #IBIT #Institutional #CryptoNews

Tokenized stock’s market share has grown to 15%, up three times from the start of the year. It’s been one of the few RWA categories to see growth as interest in onchain equity trading has ballooned. Total market cap currently sits around $2.8 billion.

RWA transfer volume has also rocketed, doubling in August to $20 billion, up from $9 billion the month prior. Despite accounting for a relatively small share of the total RWA market, tokenized equities have drawn the most attention from retail investors and have become an entry point to onchain applications.

Three contenders have emerged in the race to bring stocks onchain. Ondo Finance, Binance (bStock), and xStocks have captured the majority of market share, collectively accounting for an impressive 77%. Ondo sits with the largest slice at $957 million, while bStocks and xStocks command $622 million and $600 million, respectively.

Expand Chart

All three leverage synthetic representations of underlying stock. While the specific mechanics vary, each aims to replicate the actual stock performance while giving the investor a derivative to transact or trade. Other builders such as Securitize and Superstate are working to bring actual equity onchain, where shares issued on the blockchain carry the same rights as conventional shares.

Tokenized equity companies are choosing between first-to-distribute and onchain native tokenization. While synthetic stocks are being traded more frequently, they lack the full ownership, governance and shareholder protections of the underlying asset.

Ref: https://paykalken.com

#TokenizedEquities #RWA #Ondo #Binance #xStocks #Tokenization #DeFi #Crypto #Blockchain #OnchainFinance