• Bitcoin spent the entire week trading above last week’s levels, hitting its highest point in a fortnight, but failing to convincingly break past $94,000
• Bitcoin grew from a weekly low of $86,470 on Tuesday (02/12) to a Thursday (04/12) high of $94,010
• It spent the majority of the week trading above $90,000 before surrendering some of its gains in late trading
• Ether outperformed Bitcoin this week, albeit having fallen further over the last few weeks
• Ether increased from a Tuesday (02/12) low of $2,796 to a weekly peak of $3,236 on Thursday (04/12)
• Overall market capitalisation rose back above $3tn, with an intraweek high of $3.2tn
• According to industry monitoring site DeFi Llama, total value locked in DeFi rose by over $6bn to $120.9bn

Digital assets rebounded slightly after their recent downward trend, as macro outlooks improved and investor sentiment recovered. Big institutional names like BNY invested in blockchain networks, SEC chair Paul Atkins praised tokenisation, numerous DeFi and TradFi firms struck partnerships and there was a flurry of activity in adoption and legislation across the world.

ETF News

What happened?

• Digital asset investment products achieved a second successive week of inflows, bucking their recent negative trend
• According to Coinshares data published on Monday (08/12), net inflows reached $716mn in the trading week ending Friday the 5th, building on last week’s $1.1bn inflow recovery
• Despite this, the American spot ETFs for Bitcoin and Ether both actually returned weekly losses, as a significant portion of overall inflows could be attributed to capital from outside the US (Germany and Canada adding nearly $200mn), XRP ETFs ($245mn) and newly-launched Chainlink ETFs ($53mn)
• Spot Bitcoin ETFs returned three days of inflows at relatively modest levels (topping out at $59mn), contrasted with large ($195mn) outflows on Thursday
• BlackRock’s market-leading IBIT posted both nine-figure inflows ($120mn) and outflows ($113mn)
• This performance includes the fund’s longest streak of weekly outflows since it debuted in January 2024
• That made it the only fund to reach these levels in either direction, as the next highest daily in- and outflows both came from ARK Invest’s ARKB, at $43mn and $91mn respectively
• Spot Ether ETFs meanwhile exhibited a reverse of that trend; one day of nine-figure inflows ($140mn), sandwiched by more modest outflows (up to $79mn) throughout the rest of the week
• BlackRock’s ETHA and Fidelity’s FETH logged the best trading day of the week on Wednesday (03/12), adding $53mn and $51mn respectively
• ETHA also showcased the largest daily outflows, at $89mn on Tuesday (02/12)
• In other ETF news, BlackRock filed a registration statement with the SEC on Friday for the iShares Staked Ethereum Trust ETF, making it the largest issuer to pursue staking returns on an ETF
• This marks the world’s largest asset manager’s fourth crypto filing, following spot Bitcoin, spot Ether, and Bitcoin income

Digital Asset VC news

What happened?

• Despite recent market doldrums, venture capital activity has exhibited significant strength
• Deal values year-to-date reached a new record of $8.6bn in November; more than the last four years combined, according to Pitchbook data
• Pitchbook analyst Ben Riccio told Bloomberg “Major crypto companies have become more acquisitive in 2025, with rate cuts, regulatory clarity and the crypto bull market earlier in the year shifting them into growth mode”
• The total number of deals also hit new highs at 133, beating 2022’s previous record of 103 deals (albeit at a far lower $1.02bn total value)
• Coinbase alone was involved in nine M&A deals since the turn of the year; tripling last year’s total and leading the way in the industry, after acquiring Solana trading platform Vector.fun last week
• However, crypto advisory firm Architect Partners cautions that recent market headwinds could lead the year to end with a whimper rather than a bang; “It remains to be seen how deal activity and valuations will be affected in the next few months if crypto prices stay depressed. We have already heard of some deals being cancelled due to market uncertainty, so stay tuned”
• Turkish exchange Paribu purchased Bahrain-based exchange CoinMENA for $240mn, acquiring a strategic foothold in the Middle East/North Africa (MENA) region
• CoinMENA was the largest exchange in the region, and now provides Paribu with instant licenced access to its markets, including Dubai
• According to Paribu’s blog, “the transaction represents Turkey’s largest fintech acquisition to date and the country’s first cross-border crypto deal”
• Wall Street trading veterans Jane Street led a $105mn round for crypto infrastructure firm Antithesis
• Digital asset VC Paradigm made its first foray into Brazil, investing $13.5mn in the Series A of local startup Crown, at a $90mn valuation
• Crown is notable for developing the real-backed BRLV stablecoin, and Paradigm’s Ricardo de Arruda told industry publication TheBlock “The liquidity network effects that you build when you are the main stablecoin of a currency are extremely strong”
• Finally, Bloomberg reported new details on Ripple’s recent $500mn share sale, including investor protections for a guaranteed 10% annualised return after three or four years

Stablecoin news

What happened?

• Stablecoin development and adoption continued globally, as projects in multiple countries advanced their plans for the asset type
• Payment processors Decta published the Euro Stablecoin Trends Report 2025, showcasing growth for Euro-pegged coins since the introduction of the EU’s MiCA regulations a year and a half ago
• Market capitalisation of Euro stablecoins has more than doubled in the post-MiCA period, significantly outpacing the rate of overall stablecoin market cap growth
• Euro stablecoins have also grown from a total $500mn in May this year to $680mn currently, despite lacklustre overall market performance in Q4 thus far
• Transaction volume showcases even greater growth, up nine-fold since MiCA implementation to $3.83bn monthly
• Leading European issuers include Malta’s Stasis, Societe Generale’s SG-Forge, and Circle
• Global remittance firm Moneygram announced a partnership with custody specialists Fireblocks, to introduce stablecoin payments and real-time treasury to Moneygram’s network
• This follows on from rival Western Union’s embrace of stablecoins, including the creation of its own proprietary token
• Startale, the blockchain partner of electronics and entertainment giant Sony, launched the first dollar-backed stablecoin on the new Soneium network
• According to a press release, “the token is intended to serve as the default digital dollar for payments, rewards and other functions across the Soneium ecosystem”
• The news confirms recent Nikkei reports that Sony was planning to launch a US stablecoin for international entertainment and media customers

International news

What happened?

• Crypto and blockchain adoption hit headlines around the world, as several countries and states reported on its rising profile and impact
• Polish legislators failed to overturn a veto on Prime Minister Donald Tusk’s Crypto Assets Bill, as President Karol Nawrocki believed it was too restrictive and contrary to his pledges around supporting digital assets
• French banking giant BPCE (Banque Populaire et Caisse d’Épargne) kicked off a crypto trading pilot to its customers, introducing a potential two million users to the service via its banking app
• The pilot includes retail customers, with digital assets limited to Bitcoin, Ether, Solana, and USDC
• This follows a series of other European banks to introduce crypto trading services to clients, including BBVA, Santander, and Raiffeisenbank
• Russia’s VTB bank (the country’s second-largest by assets) announced that from January 2026, qualified investors will be able to spot trade Bitcoin and Ether
• Unlike the previous retail-friendly efforts, this service will be limited to customers with $1.3mn assets or an annual income of at least $650,000
• Head of Brokerage Andrey Yatskov said in an interview that its wealthy clients voiced great interest in the asset class, and that “preparations are already underway for testing by ‘superqualified’ investors, but it’s clear that this status won’t become widespread”
• Argentinian newspaper La Nacion reported that its central bank is considering approval for local banks to provide digital asset trading services, possibly as soon as April 2026
• Binance became the first exchange to secure a global licence under ADGM frameworks, allowing it to operate its global website from Abu Dhabi
• Analysts spoke about the potential impact of Korean internet giant Naver’s recent $10bn acquisition of local crypto exchange Upbit, potentially building a “sovereign crypto super app” leveraging the scale of the former’s influence
• Dragonfly Capital wrote that it “sets a clear precedent: platforms with massive distribution will aggressively acquire top-tier crypto infrastructure to internalize the value chain and dominate the next generation of financial flow”
• Coinbase opened registrations for customers in India after a two-year pause, starting with crypto-to-crypto trading facilities before adding a fiat on-ramp next year
• It previously withdrew from the market in 2023, following regulatory tension and uncertainty
• Malaysia reported an unwelcome surge in crypto mining activity – powered by illegal diversion from the national grid, to the tune of $1bn in electricity value
• Hong Kong crypto exchange HashKey filed to go public, raising roughly $215mn (HK$1.67bn) for a valuation above ten times that amount
• Finally and perhaps most significantly, on Tuesday (03/12) the UK government passed legislation recognising crypto as a new, third kind of property, separate and distinct from physical objects and contractual rights
• Freddie New of Bitcoin Policy UK called it “the biggest change in English property law since the Middle Ages”

Crypto Treasury news

What Happened?

• Leading Bitcoin treasury firm [Micro]Strategy made its largest treasury purchase since July, adding 10,624 Bitcoin for $962.7m over the last week
• According to SEC filings, the coins cost and average of $90,615, and bring its total holdings to 660,624 Bitcoin with an average purchase price to $74,696
• Leading Ether treasury firm BitMine also made a major purchase, buying 138,452 Ether for around $435m; its biggest buy (by some margin) of the last four weeks
• Chairman Thomas Lee said he believes “the Crypto Supercycle is intact”, and that the Ethereum blockchain’s recent Fusaka upgrade introduced the anticipated scaling and security improvements without any visible issues

What happened: BNY and Nasdaq invest $50mn in digital asset firm

How is this significant?

• Digital Asset Holdings, the firm behind finance-focused blockchain Canton, raised $50mn in fresh capital this week from a slew of major institutions, including BNY Mellon and Nasdaq
• This builds on a $135mn round earlier this year, which featured DRW Venture Capital and Citadel Securities as participants
• Bloomberg analysts reported that “the fresh capital from banks and exchange operators reflects growing institutional interest in blockchain, spurred by a more favourable regulatory environment in the US”
• Although it is a public blockchain, the Canton network has attracted favour from institutions as it enables users to choose the levels of privacy inherent in transactions
• Tokenisation is an area of particular growth for the firm, where it claims over 600 institutional users, and currently ranks as the number one blockchain for record-keeping (but not distribution, where assets can be actively traded on-chain)
• In a statement, Digital Asset CEO Yuval Rooz said “Institutions across the financial ecosystem recognise the necessity of blockchain infrastructure purpose-built for regulated markets”

What happened: SEC chair predicts tokenisation of all markets

How is this significant?

• In a FOX Business interview this week, new SEC chair Paul Atkins outlined his belief that digital assets will grow into an influential financial force, particularly in the realms of tokenisation
• Atkins (much like BlackRock executives in The Economist last week) said that blockchain is “driving the biggest transformation in the US financial system in decades”
• He was optimistic about both the scale and pace of adoption, telling host Maria Bartiromo “The next step is coming with digital assets and digitisation, tokenisation of the market. It’s the way the world will be… maybe not even in ten years, maybe even a lot less time, maybe a couple of years from now”
• Atkins outlined several expected benefits of tokenisation, including settlement times, transparency, alongside predictability and risk reduction (by narrowing existing gaps between trade execution and final settlement)
• He also acknowledged the agency’s resistance during the previous administration, but said that now “It’s a new day, and so we want to embrace this new technology, bring it onshore where it can work under American rules”
• In a speech this week, he backed up the interview claims, outlining three different paths to tokenisation; issuing stock on a blockchain, creating “digital twins” of stocks (including ownership) as per a Nasdaq proposal, and synthetic tokens
• The latter were described by SEC commissioner Hester Peirce as akin to “tokenised structured notes or security-based swaps, [which] offer no ownership or voting interest in the issuer”

What happened: Crypto exchange Kraken partners with Deutsche Börse

How is this significant?

• US crypto exchange Kraken announced a partnership with German stock exchange Deutsche Börse Group this week, heralding it as a bridge between traditional markets and the digital asset economy
• The news came within two months of Kraken raising funds at a $20bn valuation, and just days after Kraken acquired tokenisation specialist Backed Finance, which provides exposure to several major tokenised equities and stocks via its xStocks tokens
• The first phase of the new partnership involves integration with Deutsche Börse subsidiary 360T, integrating xStocks into the 360X platform, and “giving Kraken clients access to competitive, bank-grade FX liquidity through one of the deepest global liquidity pools available, significantly improving fiat on- and off-ramp efficiency while ensuring institutional-grade execution and reliability”
• Additionally, the partnership provides Deutsche’s Börse institutional clients with its US capabilities in terms of crypto and tokenised asset access
• Kraken Co-CEO Arjun Sethi commented “While everyone is talking about tokenised equities, we are just doing it. We are focused on long-term investment, not hype”
• The company’s Head of Institutional, Gurpreet Oberoi, told industry publication Coindesk that “This partnership is the clearest signal yet that institutional adoption is accelerating, and that Europe intends to compete on equal footing with Wall Street as this transformation moves from millions to billions”
• Deutsche Börse Group CEO Stephan Leithner added “Across our entire value this partnership will further enhance our support for institutional clients in the digital asset era and pave the way for digital capital markets”
• In other Kraken news, the exchange launched an invitation-only VIP program for UHNW clients, echoing the launch of competitor Binance’s new “prestige” program last week

What happened: CFTC pilots crypto as collateral

How is this significant?

• On Monday (08/12), the Commodity Futures Trading Commission announced a new “digital assets pilot program”, opening the door for crypto to serve as collateral
• The permissible digital assets for such purposes are initially limited to Bitcoin, Ether, and USDC as “tokenised collateral”
• Additionally, it currently only applies to Futures Commission Merchants, who will need to provide weekly disclosures on digital asset holdings over the first three months of the pilot
• Acting Chairman Caroline Pham also recognised last week’s decision to allow spot crypto asset trading on CFTC exchanges, stating “Americans deserve safe US markets as an alternative to offshore platforms, and that’s why last week I announced that spot crypto can now be traded on CFTC registered exchanges”
• Bitnomial Founder Luke Hoersten applauded the move, explaining that “Broker intermediation and clearinghouse net settlement eliminate counterparty risks while providing the capital efficiency traders need”
• Numerous industry voices appeared praising the move in the CFTC’s press release, including crypto dot com Co-Founder Kris Maszalek, who commented “For years, we have been able to offer tokenised collateral in markets other than the United States… we will now be able to use tokenised collateral to support our CFTC-regulated crypto and predictions market products, as well as our margined derivatives. This means 24/7 trading is a reality in the United States”

This weekly financial roundup is for informational purposes only and is not financial, investment, or legal advice. Information is based on public sources as of publication and may change. Consult a professional before acting.