On Friday, the Office of the Comptroller of the Currency (OCC) approved national trust charter applications from several key firms in the industry including Circle’s First National Digital Currency Bank, Ripple National Trust Bank, BitGo Bank & Trust, Fidelity Digital Assets, and Paxos Trust Company. 

OCC’s Approval Of Digital Asset Trust Banks

Once finalized and full approval is reached, these national trust bank charters would empower the crypto companies to manage and hold assets on behalf of their customers, enabling faster payment settlements. 

Currently, Anchorage Digital is the only digital asset company that holds a national trust bank charter from the OCC, which oversees a total of 60 such institutions. 

Comptroller Jonathan Gould emphasized that each application underwent a thorough and rigorous review process, underscoring the necessity for each entity to meet additional conditions before gaining full operational status. 

He explained that welcoming new entrants into the banking landscape aids in modernizing the system, diversifying offerings, and enhancing access to innovative financial products.

Ripple CEO Challenges Banking Lobbyists

Brad Garlinghouse, CEO of Ripple, commented on the approval via social media, highlighting it as a significant advancement for Ripple’s stablecoin, RLUSD. He stated that it sets a high standard for compliance under both federal and state regulation.

Garlinghouse also took a moment to address banking lobbyists who may have opposed this move, asserting that their “anti-competitive tactics” are evident.

The executive pointed out that while these lobbyists have argued that the crypto industry does not abide by the same regulations, the recent approvals demonstrate that the crypto sector is operating transparently under the supervision of the OCC. 

Stuart Alderoty, Ripple’s Chief Legal Officer, noted that the firm is among the first entities to receive conditional approval following the enactment of the GENIUS legislation, ensuring the sustainability of Ripple’s stablecoin business for the long term.

Featured image from DALL-E, chart from TradingView.com 

On Thursday, JPMorgan, one of the largest banking institutions globally, marked a pivotal moment in the intersection of traditional finance and cryptocurrency by successfully arranging a US Commercial Paper (USCP) issuance for Galaxy Digital. 

This significant transaction, valued at $50 million, was executed on the Solana (SOL) blockchain and was purchased by Coinbase Global and crypto exchange-traded fund (ETF) issuer Franklin Templeton.

JPMorgan’s Future Plans For Blockchain Structures

This issuance stands out as one of the first instances leveraging blockchain technology for the issuance and servicing of securities, signaling a growing trend of traditional financial firms embracing new technologies. Scott Lucas, the head of Markets Digital Assets at JPMorgan, shared insights on future developments, stating: 

In the first half of next year, we intend to build on this momentum by exploring how this structure and JPMorgan’s role in it can be expanded, not just in terms of the investor and issuer base but also security type.

Acting as the arranger for the deal, JPMorgan also created the on-chain USCP token. The process for both issuance and redemption will be conducted in Circle’s USDC stablecoin. 

This issuance marks Galaxy’s inaugural foray into commercial paper, enhancing the firm’s short-term funding capabilities and facilitating access to a growing array of institutional investors who are increasingly incorporating blockchain-money market instruments into their portfolios. 

Solana Foundation’s Role 

Jason Urban, Global Head of Trading at Galaxy, highlighted the potential of public blockchains in enhancing capital markets’ operational efficiency. 

Urban noted that by actualizing the first on-chain commercial paper offering and aiding in structuring one of the earliest US transactions of its kind, Galaxy is actively promoting an open, programmable infrastructure that supports “high-caliber financial products.”

Sandy Kaul, Head of Innovation at Franklin Templeton, remarked on the industry’s shift towards practical blockchain usage, emphasizing the pivotal role of the investment in backing Galaxy’s initiatives and accelerating progress towards a more open, efficient, and resilient financial ecosystem.

Nick Ducoff, Head of Institutional Growth at the Solana Foundation, highlighted the critical advancement achieved by bringing the security and efficiency of public blockchains to institutional finance. 

He further disclosed that Solana’s architecture facilitates secure and trustworthy financial transactions, providing a robust foundation for institutions like JP Morgan to arrange transactions with enhanced trust and performance standards.

Brett Tejpaul, Co-CEO of Coinbase Institutional, emphasized the transformative impact JPMorgan’s initiative and the milestone transaction in institutional finance’s adoption of public blockchain technology. 

At the time of writing, Solana’s native token, SOL, was trading at $136, having recorded a significant 12% decline over the past 30 days. This price action also positions SOL’s valuation down by over 53% from the all-time high of $293 reached earlier in the year. 

Featured image from DALL-E, chart from TradingView.com 

On Thursday, Bitcoin (BTC) once again fell below the critical $90,000 mark, even after what many had anticipated to be a bullish event stemming from the US Federal Reserve’s (Fed) decision to cut rates by a quarter point. Analysts from Bull Theory note several factors contributing to this unexpected downturn.

Bitcoin Sell-Off Amid Market Unease

The analysts pointed out that the rate cut itself was largely anticipated by investors weeks prior, with a 95% probability already priced into the market. 

Ahead of the announcement, they identified that many positioned themselves in expectation of some form of liquidity support from the Fed, leading to a rally in Bitcoin prices. 

However, when the actual cut and the accompanying plan for $40 billion in monthly T-bill purchases were confirmed, many of these “whales”—large investors in the market—began to take profits. 

Adding to the market’s unease was Fed Chair Jerome Powell’s post-announcement press conference, where he highlighted persistent weaknesses in the labor market and ongoing inflation concerns. Furthermore, the Fed’s dot plot projections indicated the likelihood of only one additional rate cut in 2026.

The situation was compounded by disappointing earnings results from Oracle, which reported its second quarter’s financials after the market’s close. The tech giant missed its adjusted revenue estimates, and higher capital expenditure projections led the stock to plunge by more than 11% in after-hours trading. 

This drop also negatively impacted US stock futures, as concerns grew that the artificial intelligence (AI) boom may be peaking. The widespread fear from Oracle’s results quickly spread from equities into the cryptocurrency space.

Ultimately, all three factors converged to create a significant sell-off: the rate cut was already factored into the market, liquidity trades had been preemptively enacted, and Powell’s remarks did not provide the strong easing signal that some traders had hoped for. 

Positive Liquidity Conditions Expected In 2026

Interestingly, Bull Theory analysts assert that the crypto market’s recent decline is not indicative of a fundamental shift towards bearish conditions but rather an overreaction based on high expectations leading up to the Fed’s announcement. 

The Fed has now enacted rate cuts three times in as many meetings, and their plans to purchase $40 billion in T-bills over the next month are designed to inject liquidity into the markets. 

Moreover, Powell indicated that further rate hikes are not on the horizon as a base case, and forecasts for solid economic growth next year remain intact.

Although job gains may have been overstated, suggesting a softer labor market, this could afford the Fed greater flexibility to ease monetary conditions in the future if necessary. 

The current market movements illustrate that the dumping of assets was largely driven by overly optimistic expectations rather than any deterioration in underlying fundamentals.

Looking ahead, the analysts believe that next year is expected to be more favorable for Bitcoin and broader crypto prices in terms of liquidity, contrasting sharply with the conditions projected for 2025. 

Bitcoin recovered above $91,100 as of this writing, amid rising volatility. This puts the top cryptocurrency 26% behind its all-time high of $126,000, set in October of this year. 

Featured image from DALL-E, chart from TradingView.com 

The US Congress is moving rapidly to support President Donald Trump’s Executive Order 14330, signed on August 7, 2025, which is focused on “democratizing access to alternative assets, including crypto, for 401(k) Investors.”

This order mandates the Department of Labor (DOL) and the Securities and Exchange Commission (SEC) to lower regulatory barriers that currently prevent investments in alternative assets—such as private equity, real estate, digital assets, and commodities—from being included in 401(k) retirement plans.

Congressional Push For Crypto In 401(k)s

In a joint letter signed by Republican Congressman French Hill and Democratic ranking member Maxine Waters of the House Financial Services Committee, lawmakers expressed their endorsement of the Executive Order. 

They highlighted the importance of providing all Americans with access to alternative asset investments as a means to enhance net risk-adjusted returns on their retirement savings. 

The letter emphasized that the Executive Order instructs the Secretary of Labor to work alongside the SEC to assess the need for regulatory adjustments. It also calls on the SEC to alter its guidelines to facilitate access to these alternative assets in participant-directed defined contribution retirement plans.

The legislators urged the SEC to act promptly, suggesting that revisions to existing regulations are essential to allow 90 million Americans currently restricted from investing in alternative assets to secure a more dignified retirement.

However, the implementation of this Executive Order may face further delays as the American Federation of Teachers (AFT) has publicly voiced its opposition to this initiative as well as to the proposed cryptocurrency market structure bill, which has already encountered notable delays in Congress.

AFT Raises Alarm Over Executive Order 

As reported by Bitcoinist on Wednesday, December 10, AFT President Randi Weingarten criticized the Executive Order, describing it as “as irresponsible as it is reckless.” 

The federation’s President further expressed significant concern over the alleged risks that this order poses to working families’ pensions and the broader economy. 

Weingarten pointed out that the current draft of the order raises “deep concerns” regarding retirement plans, including those related to the union’s own pensions. Her argument centers on the fear that advancing crypto legislation could pave the way for widespread fraud and unethical practices within retirement schemes.

Among the specific worries mentioned by the AFT is a provision allowing non-crypto companies to issue stock on the blockchain, thereby circumventing established regulatory frameworks for securities. 

Weingarten warned that this could lead to the erosion of traditional securities laws and potentially disastrous outcomes. She cautioned that retirement plans, including pensions and 401(k) accounts, might be invested in unsafe assets even under the guise of being traditional securities.

Featured image from DALL-E, chart from TradingView.com 

A recent report from BitcoinTreasuries.Net highlights significant challenges faced by Bitcoin-focused treasury companies since November. The findings revealed that the vast majority of these firms are now grappling with substantial unrealized losses, prompting many to sell off considerable amounts of their Bitcoin holdings.

Market Struggles Continue

In a sample analysis of 100 companies with reliable cost basis measurements, approximately 65% purchased Bitcoin at prices that now exceed the current market value, leaving a considerable number of these treasuries with substantial unrealized losses. 

Bitcoin’s market downturn in late November pushed spot prices down towards $90,000, leaving many buyers from 2025 at a financial disadvantage. 

Now, the market’s leading crypto has retraced below this key level on Thursday, even despite the Federal Reserve (Fed) rate cut announcement. Among the companies surveyed, about two-thirds are found to be sitting on unrealized losses based on current market values. 

But despite the volatility in pricing, some of the largest balance sheets continued to acquire Bitcoin. Notably, firms like Strategy (previously MicroStrategy) and Strive significantly contributed to net additions in November, with Strategy accounting for approximately 75% of all monthly purchases following their sell-offs.

Mining companies remain steadfast as a cornerstone of public market Bitcoin holdings. In November, they represented about 5% of new additions to the market and around 12% of the total balances held by public companies. 

Bitcoin Demand Remains Strong

Even as Bitcoin treasury stocks have shown softness compared to Bitcoin itself and broader equity benchmarks, many companies still pursued strategies to add BTC to their balance sheets while refining their capital-market approaches. 

BitcoinTreasury.Net’s analysis indicates that nearly 50 firms have managed to achieve gains of at least 10% over the last 6 to 12 months.

Over time, losses have begun to soften for some. Currently, around 140 companies have experienced declines of at least 10% over a 1 to 3 month period, while about 105 companies have seen similar declines year-to-date. 

However, not all corporate holders opted to weather the storm of price fluctuations. In November alone, at least five companies decided to sell Bitcoin, with Sequans leading the charge by offloading roughly one-third of its holdings.

Looking forward, the fourth quarter of 2025 is expected to close with about 40,000 BTC added to public company balance sheets. This figure is notably below the totals from each of the prior four quarters and aligns closely with the additions seen in the third quarter of 2024. 

The report concluded that despite a clear easing in the “summer buying frenzy,” demand for Bitcoin has not entirely diminished as public corporations are adapting to a more cautious and selective approach as they reassess their recent purchases.

At the time of writing, BTC traded at $89,920, down over 2% in the previous 24 hours. This places the cryptocurrency 27% behind its all-time high of $126,000 set in October of this year. 

Featured image from DALL-E, chart from TradingView.com

The legal saga surrounding Do Kwon, co-founder of Terraform Labs, has culminated in a significant ruling, with the crypto magnate sentenced to 15 years in prison this Thursday. 

This decision follows a tumultuous period marked by the collapse of two digital currencies created by the firm, which collectively erased an estimated $40 billion from the market in 2022, leading to widespread repercussions within the broader cryptocurrency industry.

Do Kwon’s 15-Year Sentence

During the sentencing hearing, US District Judge Paul A. Engelmayer underscored the seriousness of Do Kwon’s actions, stating, “Your fraud was unusually serious. For four years you publicly lied to the market.” 

The judge emphasized that Kwon misrepresented TerraUSD as a stablecoin backed by a system designed to sustain its peg to the dollar, asserting that Kwon’s claims were ultimately fraudulent when the peg faltered.

Judge Engelmayer remarked that Do Kwon’s actions had devastating effects, contributing to the collapse of investments for “hundreds of thousands of investors.” He noted that a lighter sentence would be unacceptable, stating: 

“Five years would be so implausible it would require appellate reversal. Others must be deterred. People are watching this [live]. There will be future entrepreneurs. This case will serve as a reminder of breaking bad and what happens.” 

With that, the US District Judge imposed a 15-year sentence, factoring in time already served—17 months and eight days while in pre-extradition custody.

Judge Hints At Fort Dix Transfer

Interestingly, there were suggestions from both the judge and prosecutors that Kwon could be transferred to Fort Dix, a facility where some high-profile inmates are held. There’s also the possibility that part of his sentence could be served in South Korea, where he is facing additional legal challenges.

In January, Do Kwon was charged with nine criminal counts that included securities fraud, wire fraud, commodities fraud, and conspiracy to commit money laundering. 

Featured image from ABC, chart from TradingView.com 

On Wednesday, the Office of the Comptroller of the Currency (OCC) released findings that have raised alarm bells regarding crypto debanking, reigniting fears of what some are dubbing “Operation Chokepoint 2.0” within the financial sector. 

This supervisory review focused on nine of the largest national banks under OCC supervision, including JPMorgan Chase, Bank of America, Citibank, Wells Fargo, US Bank, Capital One, PNC Bank, TD Bank, and BMO Bank.

‘Harmful Debanking Policies’

The preliminary findings from the OCC reveal troubling trends: between 2020 and 2023, these banks appeared to make unwarranted distinctions among customers based on their legal business activities. 

Specifically, many of these institutions maintained policies that either restricted access to financial services or required heightened scrutiny and approvals for certain clients. 

The OCC identified examples where at least one bank imposed limitations on various sectors, including crypto, due to their engagement in activities considered “contrary to [the bank’s] values,” even though those activities were not illegal.

Sectors affected by these policies included oil and gas exploration, coal mining, firearms, private prisons, tobacco and e-cigarettes, adult entertainment, and notably, digital assets. 

The findings indicated that many banks placed strict limitations on crypto-related activities as well, which often stemmed from concerns about financial crime.

These practices, the OCC confirmed, were prevalent at each of the banks examined in the review. Comptroller Jonathan V. Gould expressed frustration regarding the situation, stating: 

It is unfortunate that the nation’s largest banks thought these harmful debanking policies were an appropriate use of their government-granted charter and market power. 

Gould noted that while many of these policies were publicly announced, some banks have maintained that they did not participate in debanking.

In his comments, Comptroller Gould emphasized the OCC’s commitment to eliminating practices that would “weaponize finance,” whether instigated by regulators or the banks themselves. 

National Banks To Facilitate Crypto Transactions

The agency disclosed that it is still evaluating “thousands of complaints” related to allegations of political and religious debanking, with plans to report on these findings “in due course.” The OCC aims to hold banks accountable for these actions and ensure that unlawful debanking practices do not persist. 

This follows Tuesday’s letter from the banking regulator that allows national banks to participate in “riskless principal transactions” involving cryptocurrencies. This permits national banks to buy and sell cryptocurrencies for their customers’ accounts. 

This new structure allows users to transact in crypto-assets through established national banks, resulting in a more regulated environment than exchanges that operate outside of strict oversight regulation. 

Featured image from DALL-E, chart from TradingView.com 

The much-anticipated crypto market structure bill, intended to establish a clearer regulatory framework for digital assets in the United States, appears to be facing significant delays. 

Recent discussions among a bipartisan group of pro-crypto senators suggest that a markup, initially expected before Christmas, may be postponed until after the holiday season.

Negotiations Stalled For Crypto Bill

According to a report by Eleanor Terret from Crypto In America, a closed-door meeting on Tuesday revealed that advancing the bill before Christmas is becoming increasingly unlikely. 

The significant hurdle lies in the ongoing negotiations between Republican and Democratic lawmakers, who remain divided on several critical issues. 

A leaked three-page compromise proposal from Senate Banking Republicans to their Democratic counterparts, reported by Politico, offered some insights into the negotiation process.

Among the provisions highlighted in the proposal was an assurance to Democrats that front-end sanctions compliance for certain decentralized finance (DeFi) platforms would be integrated into the bill. In exchange, the proposal sought to preserve protections for software developers and self-custody. 

Two major points for Democrats were included in this offer: a requirement for Democratic commissioners to be involved in agencies overseeing crypto and ethics language aimed at preventing high-ranking government officials from profiting from digital assets. 

Bipartisan Support Remains Elusive

As lawmakers continue to grapple with the complexities of the negotiations, there is a sense of fatigue among those involved. At this week’s BA Policy Summit, Senator Bernie Moreno described the bargaining process as “decently frustrating.” 

Senator Cynthia Lummis, one of the top supporters of the industry and the passage of the market structure bill, and chair of the Senate Banking’s Subcommittee on Digital Assets, noted that the staff members working on the bill are feeling “exhausted.”

With only seven working days remaining before members depart for the Christmas break, negotiations are expected to persist. Senator Lummis has indicated her desire to release a draft of the bill by the end of this week, allowing the industry a chance to review it ahead of a potential markup next week. 

According to Terret, Senate Banking Chair Tim Scott could still convene a markup next week and likely push the bill through along party lines. However, securing bipartisan support would greatly enhance the final bill’s chances of passing in the full Senate next year, potentially explaining a decision to delay the markup until January.

Meanwhile, the Senate Agriculture Committee, which previously released an incomplete draft of its own market structure bill last month, may also hold its markup next week. 

However, committee Chairman John Boozman suggested to Bloomberg Tax that he would likely postpone such a decision until next year, citing several “difficult issues” that need resolution.

A spokeswoman for the committee later confirmed to Crypto In America that a markup would be scheduled “soon,” indicating that discussions are still ongoing. 

Featured image from DALL-E, chart from TradingView.com

Strategy, formerly known as MicroStrategy, has expressed strong opposition to a proposal by the Morgan Stanley Capital International (MSCI) to exclude digital asset treasury companies (DATs) from its indexes. 

Calls For Fair Treatment Of Digital Asset Companies

In a recent letter signed by Michael Saylor and the firm’s CEO Phong Le, Strategy highlighted its support for MSCI’s efforts to establish consistent eligibility criteria across its indices. 

However, the company criticized the proposed threshold for excluding firms with more than 50% digital assets on their balance sheets, calling it “misguided.” The company argued that this measure could have negative implications not only for Strategy’s operations but also for the broader cryptocurrency market.

Strategy emphasized that, unlike traditional investment funds, it maintains the operational agility to adapt its value-creation strategies in tune with the evolving technology underlying Bitcoin. 

The firm asserts that this flexibility is a critical asset for investors and distinguishes Strategy and other DATs from traditional digital asset investment vehicles. 

The firm likened its investment approach in a singular asset class to that of real estate investment trusts (REITs) or oil companies, stating that MSCI categorizes those entities correctly without labeling them as investment funds. Therefore, it argued, DATs should be afforded similar treatment.

‘Discriminatory And Arbitrary’

The letter criticized the proposed 50% digital asset threshold as “discriminatory and arbitrary,” suggesting that it imposes uniquely unfavorable conditions on digital asset companies while allowing other industries—like oil, timber, and real estate—to maintain concentrated asset holdings without similar scrutiny. 

Strategy raised concerns that enforcing this rule would necessitate MSCI to create new methods for measuring balance sheet concentration, complicating the indexing process unnecessarily due to varying accounting principles across asset classes and jurisdictions.

Additionally, Strategy elaborated on how the exclusion of DATs could substantially inhibit innovation within the digital asset industry, which the current administration strongly promotes as part of its economic strategy. 

The company said that digital assets like Bitcoin have the potential to become foundational elements of global financial systems, but the proposed measures could limit access to these transformative technologies for pension plans and 401(k)s, ultimately redirecting billions away from the sector.

Strategy cautioned that a hasty exclusion of DATs could be based on misconceptions about their business models, asserting that it reflects a misunderstanding of the nature of these entities. 

The firm advocated for a more measured approach similar to MSCI’s past handling of the “Communication Services” sector, which underwent extensive consultation and a thorough review before reorganizing traditional telecom, media, and internet companies.

Strategy Urges MSCI To Reconsider

If implemented, Strategy warns that MSCI’s proposal could lead to the delisting of numerous companies heavily involved in digital assets. JPMorgan analysts estimate that Strategy alone might face liquidations of up to $2.8 billion as a direct consequence of this exclusion.

Such a move is also expected to potentially distort market dynamics by incentivizing Bitcoin miners to sell their assets immediately instead of holding them as part of their business strategy.

In light of these concerns, Strategy urged MSCI to withdraw the proposal for excluding companies with over 50% digital asset holdings from its Global Investable Market Indexes. 

The firm asserted that the proposal is rooted in a flawed understanding of DATs and would impose conditions unaligned with national interests, particularly those advocating for the responsible growth of the digital asset space.

As of this writing, the company’s stock, trading under the ticker symbol MSTR, is trading at $185. There has been almost no difference since Tuesday’s trading session amid consolidating crypto prices. 

Featured image from DALL-E, chart from TradingView.com 

The American Federation of Teachers (AFT) has formally added its voice to the growing opposition against the proposed crypto market structure bill, urging the Senate Banking Committee to reconsider the legislation. 

In a letter obtained by CNBC, AFT President Randi Weingarten described the bill as “as irresponsible as it is reckless,” citing the alleged dangers it poses to working families’ pensions and the overall economy.

AFT Calls Out Loopholes In Crypto Legislation

In her correspondence with Senate Banking Committee Chairman Tim Scott and Ranking Member Elizabeth Warren, who is known for her consistent skepticism toward digital assets, Weingarten expressed significant concern about the implications of the proposed legislation. 

She stated that the current draft gives the AFT “deep concern” over the risks posed to retirement plans, including the union’s own pensions. Weingarten argued that advancing the crypto legislation could open the door to “widespread fraud” and “unethical practices” within retirement schemes.

Weingarten alleged that the bill “misleadingly” portrays cryptocurrencies as stable and mainstream, despite their volatility. She argued that rather than providing necessary safeguards. “If passed, it will undercut the safety of many assets and cause problems across retirement investments,” she noted.

Among the specific concerns raised by the AFT was a provision allowing non-crypto companies to issue their stock on the blockchain, thus evading existing regulatory frameworks for securities. 

Weingarten warned that this loophole and the corresponding erosion of traditional securities laws could have “disastrous outcomes.” She noted that pensions and 401(k) plans may end up invested in unsafe assets, even when they are nominally traditional securities. 

Additionally, she criticized the legislation for inadequately addressing the fraud and illegal activities that Weingarten believes remain prevalent in crypto markets, labeling it “irresponsible” and “reckless.”

Delays And Heightened Concerns

In the letter, Weingarten also stressed that if the bill were to become law, it could potentially set the stage for the next financial crisis. The AFT’s stance aligns with concerns previously expressed by the AFL-CIO, the nation’s largest labor union, which also opposed a draft of the crypto bill in October.

In line with Weingarten’s opposition, Democratic senators, including Warren, have raised concerns regarding the balance of regulatory oversight between the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC). 

Massachusetts Secretary of State William Galvin reiterated these concerns in a letter, highlighting that the proposed legislation could exclude significant portions of the financial industry from state oversight, creating risks for millions of savers.

Progress on the Senate’s version of the crypto market structure bill has faced delays, partly attributed to the recent lengthiest government shutdown in US history. 

Senator Lummis recently provided insight into potential timelines, indicating that her goal is to share a new draft by the end of the week. She plans to allow both the crypto industry and lawmakers from both parties to review the draft before moving forward with markup next week.

Featured image from DALL-E, chart from TradingView.com 

In a move that could signal a bullish shift for Bitcoin (BTC) and the broader cryptocurrency market, the Federal Reserve (Fed) announced a 25 basis points (bps) interest rate cut, bringing the new rate range to 3.5% to 3.75%. 

Bitcoin Poised To Surge Toward $100,000?

Kevin Hassett, the White House economic adviser and a leading candidate to become the next Fed chair, commented to the Wall Street Journal CEO Council that there is “plenty of room” for additional interest rate cuts. 

He stated, “If the data suggests that we could do it, then — like right now, I think there’s plenty of room to do it.” Hassett, who is President Donald Trump’s preferred choice for the Fed chair position after Jerome Powell’s tenure concludes, has been critical of Powell for being “too late” in lowering rates.

While the last rate cut in October had minimal impact on the Bitcoin price, analyst Michael van de Poppe believes that the current rate cut could significantly benefit the cryptocurrency. He characterized it as a “great move” for Bitcoin and noted that a breakout above $92,000 might be indicative of future bullish momentum. 

Van de Poppe expressed optimism about Bitcoin’s ability to maintain the support level between $91,500 and $92,000, suggesting that if it does, there could be a pathway for Bitcoin to approach the $100,000 mark.

Can BTC Avoid Historical 10% Decline?

Market expert Ash Crypto pointed out that historically, each of the last four times the Fed slashed rates by 25 bps, Bitcoin experienced a 5% to 10% decline shortly thereafter. Despite this pattern, Ash noted that the current market setup differs from previous scenarios, suggesting that different dynamics could be at play.

Several positive factors underpinning this optimism include the conclusion of quantitative tightening (QT) after a three-year period. Should Powell hint at the possibility of quantitative easing (QE) in his forthcoming remarks, it could spur a further bullish trend in the market. 

Additionally, with this being the third rate cut, Ash asserted that there is potential for increased liquidity to flow back into the markets, which historically benefits risk assets like Bitcoin.

Featured image from DALL-E, chart from TradingView.com 

On Tuesday, Bitwise announced the launch of the Bitwise 10 Crypto Index ETF (BITW) on the New York Stock Exchange (NYSE), allowing investors to gain exposure to a diverse range of cryptocurrencies in a single investment vehicle. 

This ETF includes ten digital assets: Bitcoin (BTC), Ethereum (ETH), XRP, Solana (SOL), Chainlink (LINK), Litecoin (LTC), Cardano (ADA), Avalanche (AVAX), Sui (SUI), and Polkadot (DOT). 

Notably, BITW marks the first exchange-traded fund by a major crypto asset manager to incorporate Avalanche, Sui, and Polkadot into its portfolio, as highlighted by Bitwise CEO and co-founder Hunter Horsley in a recent interview with CNBC.

Bitwise ETF Launches With Over $1 Billion In Assets

“This development significantly broadens the audience that can access these various assets, particularly for those digital currencies that lack a spot ETF,” Horsley explained on Monday. 

The fund is tailored for both financial advisors and smaller investors looking to utilize funds from individual retirement accounts (IRAs) or other retirement savings, where ETFs serve as the main investment option.

BITW represents a conversion from a prior index fund that encompassed the same digital currencies and has launched with over $1 billion in assets. 

The approval of Bitcoin and Ethereum ETFs back in January 2024 has led asset managers to compete for the chance to introduce ETFs that track a broader range of digital assets, including altcoins like Sui and Aptos, as well as memecoins such as TRUMP and Dogecoin (DOGE). 

However, these investment vehicles experienced major withdrawals in October and November, particularly for Bitcoin- and Ethereum-focused ETFs. These withdrawals reached record levels amid a broader sense of caution due to falling crypto prices. 

“The timing is ideal for many investors who have been paying attention since the Bitcoin ETF launch and are now looking for a more comprehensive way to allocate to digital assets without the need to select individual assets,” Horsley noted.

BITW Allocates 90% To Major Cryptos 

It’s important to emphasize that while BITW offers exposure to smaller cryptocurrencies in terms of market capitalization, its allocation to these assets is proportionately limited. 

Specifically, the ETF dedicates 90% of its holdings to Bitcoin, Ethereum, Solana, and XRP, with the remaining 10% allocated to the other tokens in the fund. 

The fund will undergo monthly rebalancing, a more frequent schedule compared to many exchange-traded funds in the market that typically rebalance quarterly or semi-annually. 

Bitwise further expressed its commitment to expanding access to cryptocurrency opportunities, stating in a social media post: 

At Bitwise, we’ve been working tirelessly since 2017 to expand access to the opportunities in crypto. Countless investors have requested an index ETP, and we’re thrilled that NOW, with BITW’s listing on NYSE, you have that option. We believe 2025 is a breakout year for this space, and we are more optimistic than ever about the opportunities ahead.

As of this writing, Ethereum is the best-performing asset in Bitwise’s new fund. It is trading at $3,323 and has recorded gains of up to 6% in the past 24 hours as it approaches key resistance levels. 

Featured image from DALL-E, chart from TradingView.com 

On Tuesday, the Ethereum price experienced a notable surge, climbing by 6.5% and reclaiming the critical $3,300 mark for the first time in nearly a month. This has allowed Ethereum to outpace its peers among the top ten cryptocurrencies by market capitalization, showcasing a nearly 12% recovery for the leading altcoin over the past week.

ETH Grows In Demand 

Analysts from Bull Theory attribute this resurgence to several key factors, including significant institutional interest in Ethereum. The firm highlighted BitMine, which holds the largest public company collection of ETH, as a major player in this recovery phase. 

In a recent social media update on X (formerly Twitter), the analysts pointed out that demand for ETH is on the rise as Wall Street quietly builds on the Ethereum platform.

Notably, major financial institutions are beginning to make substantial moves in the Ethereum space. BlackRock, which manages $13.5 trillion, is launching tokenized funds and has filed for a staked Ethereum exchange-traded fund (ETF). 

Other notable players include JPMorgan with $4 trillion in assets, Deutsche Bank at $1.1 trillion, and Standard Chartered with $800 billion. These firms are developing tokenization and decentralized finance (DeFi) infrastructure specifically on Ethereum and its Layer 2 (L2) solutions.

In addition, well-known financial entities such as Amundi, HSBC, BNY Mellon, Coinbase (COIN), Kraken, and Robinhood (HOOD) are incorporating Ethereum into their operations for functions like custody, settlement, and rollup infrastructure. 

As a result, these large companies are holding and staking ETH to generate yield, significantly increasing the altcoin’s demand. BitMine, for instance, anticipates earning over $400 million annually from its staking position.

Could The Ethereum Price Hit $12,000?

Such institutional involvement has led market experts like Tom Lee to speculate that the Ethereum price could potentially reach $12,000 by 2026, driven by growing staking demand and the scaling of tokenization efforts. 

Adding to the momentum, Arkham reported that Tom Lee’s Ethereum treasury firm acquired 138,452 ETH since last week, valued at approximately $431.97 million. BitMine currently holds $12.05 billion in ETH and has an additional $1 billion allocated for further purchases. 

In a different development that could bolster the Ethereum price further, Chris MacDonald, an analyst for The Motley Fool, highlighted reports indicating that the Office of the Comptroller of the Currency (OCC) confirmed US banks can now legally conduct “riskless principal” transactions in crypto assets. 

The analyst asserted that this new regulatory approval may lead to an influx of capital into digital assets, which would likely benefit the Ethereum price and holders, as well as other top cryptocurrencies.

As of this writing, the Ethereum price is trading at $3,325. Despite recent gains, the price is still nearly 33% below the all-time high of $4,946, which was reached earlier this year. 

Featured image from DALL-E, chart from TradingView.com 

During what many anticipated would be the year of a major Bitcoin (BTC) bull run, market expert Axel Adler has revealed that the leading cryptocurrency finds itself at the midpoint of a bear cycle. 

A Mild Bear Cycle Compared To History

As of now, Bitcoin has recorded a modest year-to-date decline of 4%. However, the cryptocurrency has shown some stability this week, consolidating in the range of $89,000 to $94,000, with the latter figure serving as immediate resistance. 

According to Adler, this current correction, which stands at approximately -32%, is considered less severe compared to previous bear cycles. He emphasizes that approximately 88% of Bitcoin holdings remain in unrealized profit, while only about 12% of the total supply is currently at a loss.

Adler points out that Bitcoin’s price action has remained relatively steady within the $90,000 zone, reflecting a mild drawdown in historical context. 

The crucial question as the year approaches its end is whether this correction will stabilize between -35% and -40% from its all-time high, indicating a new, more “flattened” cycle, or if the market will follow historical trends that typically lead to deeper declines of -60% to -70%.

Analyzing past cycles, Adler notes that major bear markets in 2011, 2016, 2019, and 2023 were characterized by a significant increase in the percentage of coins at a loss, often rising to around 60%. These levels typically marked capitulation points in the market. 

In contrast, the current landscape shows only 12% of holders experiencing unrealized losses, which diverges sharply from the patterns observed during past bear markets.

Can Bitcoin Avoid Deeper Declines?

The expert further noted that during recent local cycle peaks, only about 17% of coins were in the red, a figure that remains three to four times lower than traditional capitulation levels. 

This unusual configuration suggests that the current market may resemble a correction within a bullish supercycle rather than the final downturn of a full-blown bear market.

Adler believes that the market appears to be testing the resilience of this correction structure, which stands at -32% from its peak, while maintaining a high ratio of profitable positions. 

He argues that if Bitcoin can sustain this maximum drawdown above the -35% zone alongside moderate unrealized losses, it could bolster the case for a shift towards more “flat” corrections influenced by institutional demand and a structural supply deficit.

On the contrary, should Bitcoin’s correction extend beyond the -40% mark, the likelihood of entering a classic bear market increases significantly. Such a scenario would pave the way for deeper declines, potentially reaching the -60% to -70% range, and could trigger a full capitulation phase in terms of unrealized loss metrics.

At the time of writing, the market’s leading cryptocurrency is trading at $93,000, marking gains of 5% and nearly 9% in the 24-hour and 14-day time frames, respectively.

Featured image from DALL-E, chart from TradingView.com 

Senators engaged in bipartisan discussions regarding the anticipated crypto market structure bill met on Tuesday amid ongoing disagreements about the timing of a committee vote on the legislation. 

According to a report from Politico, Sen. Cynthia Lummis, a key negotiator for the Republican side, expressed optimism that a new draft of the bill could be released this week. 

Lummis aims to have the bill ready for markup before Congress adjourns for the holiday break, stating, “Knock on wood, I hope to share a draft at the end of this week that reflects our best efforts to date.”

Lummis Urges Swift Progress On Crypto Legislation

During a panel discussion hosted by the Blockchain Association, Sen. Lummis emphasized the urgency of progressing with the legislation. She remarked that it might be advantageous for lawmakers to finalize a product and proceed with the markup next week, allowing everyone to take a break for the Christmas holidays. 

In related developments, Politico reported that Senate Banking Republicans submitted a proposal to their Democratic counterparts last week, suggesting over 30 amendments to a previous draft of the legislation. 

The three-page document, which comes from GOP senators on the Banking Committee, seeks to maintain certain elements of the original bill while incorporating adjustments acceptable to Democratic lawmakers.

Senate Banking Committee Chair Tim Scott and other Republicans are eager to finalize the markup next week, although some Democrats have expressed skepticism about this ambitious timeline. Following a meeting on Monday, Democrats sent a response to the GOP offer, but details of their feedback remain unclear.

Concessions In GOP’s Proposal 

The GOP’s proposal outlines the aspects from a September crypto market structure framework that they agree to integrate into a bipartisan bill, hoping to reconcile differences with their Democratic colleagues. 

The proposal includes a two-column table delineating 38 concessions the Republicans are willing to make, in exchange for retaining or modifying 32 sections of the original Responsible Financial Innovation Act discussion draft.

Among the concessions is language that reflects White House approval, which could address Democratic concerns regarding appointments to the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). 

Additionally, the proposal contains ethics provisions aimed at addressing scrutiny over the Trump family’s business connections in the crypto sector. 

However, Lummis noted a previous ethics proposal she negotiated with Sen. Ruben Gallego was rejected by the White House, and she plans to collaborate further with Democrats to revisit the issue.

Other notable concessions from the Republicans include a section on consumer protection standards for digital assets, proposed language regarding bankruptcy, the establishment of a federal baseline for crypto ATMs, and risk management standards for digital asset intermediaries. 

Featured image from DALL-E, chart from TradingView.com 

In a new major breakthrough for the digital asset industry in the United States, the Office of the Comptroller of the Currency (OCC) announced on Tuesday that national banks are permitted to engage in “riskless principal transactions” involving crypto-assets. 

This confirmation comes through the issuance of Interpretive Letter 1188, which outlines the guidelines for such activities.

OCC’s New Framework

According to the OCC’s guidance, acting as a riskless principal for crypto-assets aligns with the services that national banks already offer to custody customers. 

National banks are now allowed to buy and sell both financial and non-financial assets held in custody based on customer directions, adhering to existing agreements and legal requirements. 

Therefore, facilitating the buying and selling of digital assets for custody customers in a riskless principal capacity is essentially the same as acting as an agent for those customers, and it is acknowledged as a legitimate banking activity.

This new framework means that customers can transact in crypto-assets through established national banks, providing a more regulated environment compared to exchanges that operate outside the purview of strict financial oversight. 

Key Concern For Banks In Crypto Transactions

The OCC also distinguished between riskless principal transactions in digital assets and those in traditional securities. The primary differences lie in the underlying assets and the technology used to facilitate these transactions. 

The main concern associated with riskless principal transactions is counterparty credit risk, especially settlement risk. Similarly, in customer-driven, perfectly matched derivative transactions that utilize transitory title transfer, credit risk is the predominant factor. In the letter, the OCC concluded the following:

As with any activity, a bank that conducts riskless principal crypto-asset transactions must do so in a safe and sound manner and in compliance with applicable law. The OCC will examine riskless principal crypto-asset activities as part of its ongoing supervisory process.

Featured image from DALL-E, chart from TradingView.com 

Caroline Pham, the acting chair of the US Commodity Futures Trading Commission (CFTC), has announced the launch of a pilot program allowing Bitcoin (BTC), Ethereum (ETH), and USD Coin (USDC) to be utilized as collateral in US derivatives markets. 

New CFTC Guidance For Crypto

The pilot program was unveiled on Monday, accompanied by new guidance regarding the use of tokenized collateral. The CFTC’s Market Participants Division, Division of Market Oversight, and Division of Clearing and Risk outlined their stance on tokenized assets in today’s announcement, emphasizing that the agency’s regulations are technology-neutral. 

Key topics covered in the guidance include eligible tokenized assets, legal enforceability, custody arrangements, valuation methods, and operational risks. The new directives also encompass tokenized real-world assets (RWAs), like US Treasury securities and money market funds. 

In a move designed to provide regulatory clarity, the CFTC issued a no-action position regarding certain requirements for Futures Commission Merchants (FCMs) that accept non-securities crypto assets as customer margin collateral or that hold stablecoins in segregated accounts. 

This position aims to promote a clearer understanding of the application of segregation and capital requirements for FCMs integrating digital assets into their operations.

CFTC Withdraws Outdated Advisory

Under this pilot program, FCMs will be permitted to accept BTC, ETH, and USDC as margin collateral for an initial three-month period. During this time, the firms must provide weekly reports on the amount of digital assets held in customer accounts, detailing each asset type. 

Additionally, they are required to inform CFTC staff of any significant issues that arise concerning the use of these digital assets as collateral. 

The CFTC has also withdrawn Staff Advisory No. 20-34, which previously restricted FCMs from accepting cryptocurrencies as customer collateral. 

The statement asserts that the advisory had become outdated due to the substantial advancements in the digital asset landscape and the enactment of the GENIUS Act, making it no longer relevant. Acting Chair Pham emphasized the importance of these changes, stating:

Under my leadership this year, the CFTC has led the way forward into America’s Golden Age of Innovation and Crypto. This imperative has never been more important given recent customer losses on non-U.S. crypto exchanges. Americans deserve safe U.S. markets as an alternative to offshore platforms.” 

Pham added that the initiative to allow spot crypto trading on CFTC-registered exchanges and the establishment of a digital assets pilot program set clear guardrails for protecting customer assets, while enhancing the monitoring and reporting capabilities of the CFTC.

Through these initiatives, Pham aims to provide regulatory clarity for tokenized collateral related to real-world assets and respond to the needs of the broader cryptocurrency market.

Featured image from DALL-E, chart from TradingView.com 

In the wake of the GENIUS Act, which was signed into law by President Donald Trump in July, attention is now turning to the CLARITY Act, commonly known as the crypto market structure bill. This legislation has encountered substantial delays, exacerbated by the recent government shutdown and a lack of consensus in Congress.

Bank Leaders To Engage With Congress On Key Crypto Topics

This week, the CEOs of Citigroup, Wells Fargo, and Bank of America are scheduled to meet with both Republican and Democratic senators to discuss the evolving legislation surrounding crypto market structure. 

The meetings are set for Thursday, and congressional staff have indicated that the CEOs would welcome the chance to share insights on US Global Systemically Important Bank (GSIB) market structure priorities.

The bank leaders are anticipated to hold separate discussions with lawmakers from both parties, emphasizing collaboration to shape effective policies that position the United States as a leader in crypto assets. Among the topics on the agenda are bank permissibility, interest payments, and concerns surrounding illicit finance. 

Senate Faces Hurdles

Recent updates on social media platform X (previously Twitter) from Eleanor Terret of Crypto In America, also indicate that obtaining a markup for the crypto market structure bill before the Christmas break poses challenges. 

Senator Mark Warner has expressed concerns about pending language from the White House regarding two critical components of the bill—ethics and quorum. 

Warner noted the importance of addressing these issues thoughtfully, stating that bipartisan discussions are ongoing, yet productive progress is essential.

The Senate’s approach to the legislation is further complicated by its division into two committees: the Banking Committee, which oversees securities laws, and the Agriculture Committee, which focuses on commodities law. 

Both committees have released drafts of their work during the fall, with markup sessions—the process for voting on amendments before a full Senate vote—upcoming. However, both committees are proceeding cautiously due to unresolved issues.

Senators Demand Conflict Of Interest Provisions

The most pressing concerns include the treatment of stablecoin yields, potential conflicts of interest, and the regulatory approach to decentralized finance (DeFi). 

Some Democratic senators have indicated that they will not support the legislation unless it includes provisions addressing any possible conflicts relating to the President’s family and their business involvements in the crypto realm. 

Moreover, while market structure legislation primarily targets centralized platforms managing user funds, there is a push from the traditional finance sector to classify virtually all crypto-related entities, including developers and validators, as intermediaries.

Market analyst MartyParty provided an encouraging update on December 4, noting that the bipartisan crypto market structure bill is gaining momentum in Congress. 

A markup session with the Senate Banking Committee has been tentatively scheduled for December 17-18, just prior to the holiday recess.

Featured image from DALL-E, chart from TradingView.com 

Twenty One Capital, a major player in the Bitcoin (BTC) treasury sector founded by Jack Mallers, is on the verge of going public in the United States. However, ahead of its highly anticipated debut on December 9, the company has moved a substantial sum of 43,500 BTC—approximately worth $4.5 billion—into an escrow wallet. 

This move has sparked market concerns about a potential sell-off, which could create major selling pressure for the leading cryptocurrency as it attempts to consolidate above the key $90,000 support level.  

$1.5 Billion Loss In Bitcoin Investments

Experts on the social media platform X (formerly Twitter), such as OxNobler, have pointed out that the company is currently grappling with a significant $1.5 billion loss on its Bitcoin investment. 

He warned that this financial pressure could potentially lead to a new crash for Bitcoin and adversely affect the broader cryptocurrency market as well. 

The apprehension surrounding this situation is reflected in Bitcoin’s price action, as the leading cryptocurrency dipped below $90,000 earlier on Monday amid growing uncertainty about its future trajectory.

However, Jack Mallers had previously addressed the reasoning behind this monumental Bitcoin transfer. According to him, this step is part of the preparations for Twenty One Capital’s upcoming listing on the New York Stock Exchange (NYSE). 

As part of the transaction, the company is transitioning 43,500 BTC from third-party custody to a self-custody account, ensuring transparency by updating its proof of reserves accordingly.

The firm, backed by major players like Tether and SoftBank, aims to take on Michael Saylor’s Bitcoin proxy firm Strategy (previously MicroStrategy) in the competitive Bitcoin treasury sector. 

A significant milestone was reached on December 3, when shareholders of CEP approved a business merger with Twenty One Capital, paving the way for the company’s initial public offering (IPO).

Once the transactions are finalized, the combined entity will operate as Twenty One Capital, Inc., with its shares expected to begin trading on the NYSE under the ticker symbol “XXI.” 

Twenty One Capital Gears Up For IPO

Amid the preparations for its anticipated debut in the US, the firm has indicated that it will focus exclusively on Bitcoin-related ventures, offering shareholders new opportunities to gain exposure to BTC through equity markets. 

With a Bitcoin-native operating framework and a long-term strategy designed for value creation, Twenty One intends to establish itself as a leading platform for capital-efficient Bitcoin accumulation and related business initiatives.

This move to go public follows a tumultuous period for Mallers, who disclosed that JPMorgan Chase had abruptly closed his accounts in September without explanation. 

“Last month, J.P. Morgan Chase threw me out of the bank… Whenever I asked them why, I received the same response: ‘We aren’t allowed to tell you,’” Mallers recounted on November 23. The closure letter cited “concerning activity” and referenced the Bank Secrecy Act, preventing him from reopening accounts at the bank.

Featured image from DALL-E, chart from TradingView.com 

As Bitcoin (BTC) experienced significant volatility throughout the year, reaching new all-time highs (ATHs) before enduring sharp corrections of up to 30%, the cryptocurrency community has become increasingly polarized regarding its future direction. 

Many analysts are raising concerns about a potential bear market emerging in 2026; however, market expert Shanaka Anslem has offered a different perspective on social media platform X (formerly Twitter), questioning whether 2025 has already represented the real bear market.

A Sign Of Cycle Change

In his analysis, Anslem highlights key evidence. For the first time in history, Bitcoin breached its all-time high prior to the Halving event in April of this year, which he argues isn’t a bullish signal but rather an indication of the cycle inverting. 

According to him, 2024 should not be viewed as the beginning of a new bull run; instead, it was a period of what he calls “political repricing” as the market factored in a pro-crypto administration with President Donald Trump’s reelection. 

The characteristics of a bear market have been evident in 2025, according to Anslem. Bitcoin’s dominance has reached multi-year highs while altcoins continue to struggle, leading to quarter-after-quarter declines in their values. 

Additionally, a massive $3.5 billion in exchange-traded fund (ETF) outflows occurred within just one month. This year saw a significant 29% drawdown from its October highs, paired with extreme fear readings on various sentiment indices.

Anslem insists that while the four-year Halving cycle remains relevant, its impact has evolved. With $120 billion in ETF interconnected with the Federal Reserve’s (Fed) liquidity, the Halving continues to dictate BTC’s supply, but demand now aligns with broader economic narratives rather than the more crypto-specific factors.

Major Bitcoin Rally Ahead? 

What does Anslem’s “cycle inversion” theory implies for 2026? If the bear market has already transpired, masked by nominal highs, the next logical phase might be a genuine blow-off top. 

His predictions suggest Bitcoin’s price could soar to between $150,000 and $200,000, particularly as global liquidity continues to expand and directs capital toward hard assets. Anslem believes that many in the market are currently positioned for a downturn that has already occurred.

However, dissenting opinions exist. Analyst Mr. Wall Street argues that the bottom for Bitcoin has not yet arrived and won’t be realized in the coming weeks or months. 

He highlights that the critical support level has been breached, indicated by the weekly exponential moving-average (EMA50) closing below the threshold. 

He asserts that the market has entered the early stages of a substantial bear market, predicting that it will only abate once Bitcoin reaches the $54,000 to $60,000 range, which he expects might occur in the fourth quarter of 2026. 

Despite this bearish outlook, he remains cautiously optimistic about Bitcoin in the short term. He expects a potential upward movement to retest the EMA50 Weekly, which currently stands at approximately $100,000, while maintaining that mid-term targets are much lower. 

At the time of writing, BTC was trading at $90,352, which represents a 28% difference between current valuations and ATH levels. 

Featured image from DALL-E, chart from TradingView.com