The US ETF market achieved a historic “triple crown” in 2025, setting records in inflows ($1.4 trillion), new launches (1,100+), and trading volume ($57.9 trillion). This is the first time all three metrics hit records simultaneously since 2021.

Three consecutive years of double-digit S&P 500 gains powered the rally. But Wall Street is starting to ask: what comes next?

The Ghost of 2022

That precedent carries a warning. The year following the 2021 triple crown saw the S&P 500 plunge 19% amid the Federal Reserve’s aggressive rate hikes. The tech-driven rally that fueled ETF inflows reversed sharply, with both inflows and launches slowing in 2022.

The parallels are hard to ignore. In 2021, exuberance around tech stocks drove record demand. In 2025, AI spending has dominated while skepticism is mounting. Since October, the S&P 500 has traded sideways as Wall Street questions the returns on Big Tech’s AI capex.

Eric Balchunas, senior ETF analyst at Bloomberg Intelligence, warned: “Because of how perfect this year seemed to be for ETFs, you kind of want to brace for it.” He suggested a “reality check” could come in 2026 through market volatility or leveraged ETF blowups—risks already demonstrated by GraniteShares’ 3x Short AMD ETP, which lost 88.9% in a single day and was liquidated in October.

---

The Crypto ETF Rotation

Within the broader ETF boom, a striking divergence is playing out in cryptocurrency funds.

BlackRock’s IBIT attracted $25.4 billion despite a -9.6% return—the only negative performer among the top 10 flow leaders. Balchunas called it “Boomers putting on a HODL clinic.” But the tide turned after Bitcoin’s 30% drop from its October high. IBIT recorded five consecutive weeks of outflows totaling $2.7 billion. Ethereum ETFs followed with seven straight days of outflows in December, totaling $685 million.

The opposite emerged in newly launched altcoin ETFs. US spot XRP ETFs, debuting November 13, recorded 28 consecutive trading days of net inflows—unmatched by any crypto ETF at launch. Cumulative inflows reached $1.14 billion with zero outflow days. Still, the daily pace—mostly $10-50 million—pales compared to Bitcoin ETFs, which regularly drew $500 million or more in their early days.

Solana ETFs attracted $750 million despite SOL’s 53% price decline—though unlike XRP, they experienced several outflow days in late November and early December.

	BTC	ETH	XRP	SOL
YTD Inflows	$25.4B	$10.3B	$1.14B	$750M
Dec 1-24	-$629M	-$512M	+$470M	+$132M
Notable	5-week outflows	7-day outflows	28-day inflow streak	Inflows despite -53%

December crystallized this rotation. Through December 24, Bitcoin ETFs shed $629 million, while Ethereum lost $512 million; XRP added $470 million, and Solana gained $132 million.

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Structural Shift or Temporary Adjustment?

Those arguing for structural change point to regulatory clarity—XRP’s SEC lawsuit concluded in August with a $125 million settlement, classifying it as a non-security. Utility narratives are also gaining traction: XRP’s cross-border payments and Solana’s DeFi ecosystem offer applications beyond “digital gold.”

Skeptics caution that XRP and SOL’s consistent inflows may reflect a “honeymoon effect” typical of new ETF launches. Despite record ETF inflows, XRP remains 50% below its July peak, and SOL has dropped 53% since October—a disconnect some attribute to year-end profit-taking and to whales distributing holdings offsetting institutional demand.

---

2026 Outlook

With dozens of crypto ETF applications still awaiting SEC review, more altcoin products are expected in 2026.

The ETF market’s “perfect year” will be remembered alongside correction warnings. But the rotation within crypto ETFs suggests institutional investors are becoming selective—moving beyond Bitcoin and Ethereum toward assets with regulatory clarity and real-world utility. Whether this trend continues will be a key indicator for the broader market’s direction.

The post US ETF Market Hits Triple Crown While BTC Bleeds and XRP Soars appeared first on BeInCrypto.

NVIDIA has agreed to pay approximately $20 billion to acquire assets from artificial intelligence chip startup Groq, marking the company’s largest transaction on record and continuing its strategy of absorbing potential competitors before they can challenge its market dominance.

The chipmaker’s latest licensing deal mirrors a similar transaction just three months ago, reinforcing the narrative that decentralized AI infrastructure may offer the only alternative to Nvidia’s growing dominance.

Threefold Premium in Three Months with Trump Jr. Connection

The deal closed just three months after Groq raised $750 million at a $6.9 billion valuation—a round that included BlackRock, Samsung, Cisco, and 1789 Capital, where Donald Trump Jr. serves as a partner. Nvidia is acquiring all of the company’s assets substantially, except its cloud computing business, though Groq framed the transaction as a “non-exclusive licensing agreement.”

Groq CEO Jonathan Ross, a former Google engineer who helped create the search giant’s Tensor Processing Unit, will join Nvidia along with president Sunny Madra and other senior executives. The startup will continue operating independently under CFO Simon Edwards as its new chief executive.

A Repeating Playbook

The Groq transaction follows a pattern Nvidia established just three months earlier. In September, the company paid over $900 million to hire Enfabrica’s CEO and employees while licensing the startup’s technology. Both deals use licensing structures rather than outright acquisitions, potentially avoiding the antitrust scrutiny that blocked Nvidia’s $40 billion bid for Arm Holdings in 2022.

The Kobeissi Letter summarized Nvidia’s approach bluntly: “We will buy you before you can compete with us.”

Nvidia's newest strategy:

"We will buy you before you can compete with us."

There has never been a company like Nvidia. https://t.co/wsbuAgIqyM

— The Kobeissi Letter (@KobeissiLetter) December 24, 2025

Technical Edge and Competitive Pressure

Groq’s Language Processing Unit uses on-chip SRAM rather than external DRAM, enabling what the company claims is up to 10x better energy efficiency. This architecture excels at real-time inference but limits model size—a tradeoff Nvidia can now explore within its broader ecosystem.

The timing is notable. Google recently unveiled its seventh-generation TPU, codenamed Ironwood, and released Gemini 3, trained entirely on TPUs, to top benchmark rankings. Nvidia responded on X: “We’re delighted by Google’s success… NVIDIA is a generation ahead of the industry—it’s the only platform that runs every AI model.” When incumbents start issuing such reassurance statements, competitive pressure is clearly mounting.

Implications for Decentralized AI

While the deal has no direct impact on cryptocurrency markets, it reinforces the narrative driving decentralized AI computing projects. Platforms like io.net position themselves as alternatives to centralized AI infrastructure.

“People can put their own supply onto a network, whether that’s data centers or yourself with your laptop, contributing your available GPU power, and getting fairly compensated for it using tokenomics,” Jack Collier, io.net’s Chief Growth Officer, told BeInCrypto. The platform claims enterprise clients, including Leonardo.ai and UC Berkeley, have achieved significant cost savings.

However, the gap between narrative and reality remains wide. Nvidia’s acquisition of Groq’s low-latency technology further extends its technical lead, making it harder for any alternative to offer competitive performance.

The transaction also raises questions about independent AI chip development. Cerebras Systems, another Nvidia competitor preparing an IPO, may eventually face similar pressure. Whether it can remain independent or succumb to Nvidia’s financial gravity remains to be seen.

The post Nvidia Absorbs Another Rival for $20B, Boosting Decentralized AI appeared first on BeInCrypto.

The US federal government’s interest payments on national debt surpassed $1 trillion for the first time in fiscal year 2025. Interest expenditure now exceeds both defense spending and Medicare—a first in American history.

Wall Street analysts and social media users alike are invoking “Weimar” as warnings of fiscal crisis mount. Meanwhile, the US Treasury is positioning stablecoins as a strategic tool to absorb the growing flood of government debt.

The Numbers: A Crisis in Plain Sight

In fiscal year 2020, net interest payments totaled $345 billion. By 2025, that figure nearly tripled to $970 billion—outpacing defense spending by approximately $100 billion. When accounting for all interest on publicly held debt, the figure crossed $1 trillion for the first time.

The Congressional Budget Office projects cumulative interest payments over the next decade will total $13.8 trillion—nearly double the inflation-adjusted amount spent over the past two decades.

The Committee for a Responsible Federal Budget warns that under an alternative scenario where tariffs are ruled illegal and temporary provisions of recent legislation are made permanent, interest costs could reach $2.2 trillion by 2035—a 127% increase from current levels.

Why This Is Unprecedented

The debt-to-GDP ratio has reached 100%, a threshold not seen since World War II. By 2029, it will surpass the 1946 peak of 106% and continue climbing to 118% by 2035.

Most concerning is the crisis’s self-reinforcing nature. The federal government borrows approximately $2 trillion annually, with roughly half going solely toward servicing existing debt. CRFB analyst Chris Towner warned of a potential “debt spiral”: “If the people who loan us money get worried we’re not going to pay it all back, we could see higher interest rates—which means we have to borrow more to pay interest.”

Historic First	Year	Significance
Interest exceeds Defense spending	2024	First time since World War II
Interest exceeds Medicare	2024	Debt servicing now largest healthcare expense
Debt reaches 100% of GDP	2025	First time since WWII aftermath
Debt to surpass 1946 peak (106%)	2029	Will exceed all-time historical record

Market Reaction: “Weimar” and “Buy Gold”

Social media erupted at these projections. “The trajectory is unsustainable if unchanged,” wrote one user. Another posted “weimar”—a reference to 1920s German hyperinflation. “The debt service era,” declared another, capturing the sentiment that America has entered a new phase.

The overwhelming majority called for flight to hard assets—gold, silver, and real estate. Notably absent was little mention of Bitcoin, suggesting traditional “gold bug” thinking still dominates retail sentiment.

Market Implications

Near-term, surging Treasury issuance absorbs market liquidity. With risk-free yields near 5%, equities and cryptocurrencies face structural headwinds. In the medium term, fiscal pressure may accelerate regulatory tightening and cryptocurrency taxation.

Long-term, however, presents a paradox for crypto investors. As fiscal instability deepens, Bitcoin’s “digital gold” narrative strengthens. The worse traditional finance performs, the stronger the case for assets outside the system becomes.

Stablecoins: Crisis Meets Solution

Washington has found an unexpected ally in its fiscal troubles. The GENIUS Act, signed in July 2025, requires stablecoin issuers to maintain 100% reserves in US dollars or short-term Treasury bills. This effectively transforms stablecoin companies into structural buyers of government debt.

Treasury Secretary Scott Bessent declared stablecoins “a revolution in digital finance” that will “lead to a surge in demand for US Treasuries.”

Standard Chartered estimates stablecoin issuers will purchase $1.6 trillion in T-bills over four years—enough to absorb all new issuance during Trump’s second term. This would exceed China’s current Treasury holdings of $784 billion, positioning stablecoins as a replacement buyer as foreign central banks reduce US debt exposure.

The Debt Service Era Begins

America’s fiscal crisis is paradoxically opening doors for cryptocurrency. While conventional investors rush toward gold, stablecoins are quietly becoming critical infrastructure for US debt markets. Washington’s embrace of stablecoin regulation is not merely about innovation—it is about survival. The debt service era has begun, and crypto may be its unlikely beneficiary.

The post US Debt Interest Hits $1T: The Hidden Catalyst for Stablecoin Adoption appeared first on BeInCrypto.

The Bank of Korea’s latest Financial Stability Report reveals a significant behavioral shift among Korean crypto investors—from aggressive accumulation to strategic profit-taking, raising questions about the impact on global market dynamics.

This means that, even as Bitcoin surged past $100,000 this year, Korean investors have been cashing out rather than doubling down.

Korea’s Outsized Trading Activity Shows Signs of Cooling

South Korea has long punched above its weight in global cryptocurrency markets. Despite representing a fraction of the world’s population, Korean won (KRW) trading pairs have consistently ranked among the top two fiat currencies globally by volume, often rivaling or exceeding the U.S. dollar during peak periods.

But the BOK’s report suggests a notable change in investor behavior. While Korea’s crypto turnover rate remains elevated at 156.8%—significantly higher than the global average of 111.6%—the nature of that activity has shifted. Rather than chasing rallies, Korean retail investors are now taking profits during the 2025 bull market.

“The domestic crypto market shows high turnover rates as most participants are individual investors who tend to realize gains through short-term trading,” the central bank noted.

Concentration Risks and Market Structure Concerns

The report highlights a striking level of market concentration: the top 10% of investors accounted for 91.2% of total trading volume between 2024 and June 2025, according to Financial Supervisory Service data. This concentration raises concerns about potential price manipulation by a small number of players.

Korea’s unique regulatory environment—which effectively bars corporate participation and prohibits foreign investors from trading on domestic exchanges—has created a market dominated almost entirely by retail traders. The absence of professional market makers has also led to liquidity constraints, as evidenced by Tether’s 5x spike on Bithumb during the October market downturn.

The Global Ripple Effect

When Korean traders pull back, global markets notice. Historical data shows that during the 2017 and 2021 bull runs, Korean exchanges like Upbit and Bithumb frequently ranked among the top in global volume. The so-called “Kimchi Premium“—where Korean crypto prices traded above international benchmarks—served as a reliable indicator of retail euphoria.

The current shift to profit-taking behavior may have contributed to the more measured pace of the 2025 rally compared to previous cycles. With Korean retail investors no longer providing the same level of aggressive bid support, global order books have lost a significant source of buying pressure during key accumulation phases.

The shift is not happening in a vacuum. The BOK’s previous report has attributed the domestic crypto slowdown to a booming local stock market. The KOSPI surged by more than 70% year to date to become the world’s top-performing major index, driven by AI-related stocks such as Samsung Electronics and SK Hynix.

Daily trading volumes on major Korean crypto platforms have collapsed by over 80% compared to 2024 peaks, as local investors redirect capital toward equities and US leveraged ETFs. “Where did all the Korean retail investors in the crypto circle go? Answer: To the stock market next door,” analyst AB Kuai Dong observed.

Diverging Paths: Korea vs. Global Institutional Adoption

The contrast with global market trends is stark. While Korea remains retail-dominated, international markets have undergone rapid institutionalization since the SEC approved spot Bitcoin ETFs in January 2024. These products have attracted over $54 billion in net inflows, with BlackRock’s IBIT alone amassing more than $50 billion in assets under management.

The BOK report acknowledges this divergence, noting that global crypto markets have become increasingly correlated with traditional equities—particularly during periods of macroeconomic stress or monetary policy shifts. Bitcoin’s correlation with the S&P 500 has risen notably since 2020, driven by institutional participation, corporate treasury adoption, and the proliferation of ETFs.

Korea’s market, by contrast, remains relatively insulated from these global dynamics. The central bank attributes this to high retail investor concentration, liquidity constraints, and capital controls that limit arbitrage opportunities.

What Comes Next: Institutionalization on the Horizon

The report suggests that Korea’s market peculiarities may diminish as regulatory reforms proceed. The government permitted non-profit corporations to sell crypto assets starting in June and has since allowed professional investors to trade on a trial basis. Discussions are also ongoing regarding the approval of a spot Bitcoin ETF.

The BOK projects that allowing financial institutions and foreign investors to participate could help establish proper market-making mechanisms and ease liquidity constraints. Increased institutional participation would likely reduce trading volume volatility and lower turnover rates over time.

However, the central bank also warns of potential risks. “When corporate and foreign investors with superior information and capital enter the market, domestic crypto prices may become more sensitive to supply-demand shifts,” the report cautioned, emphasizing the need for careful monitoring during the transition.

The Bottom Line

Korea’s crypto market is at an inflection point. The shift from aggressive buying to profit-taking signals a maturing investor base, but it also removes a key source of global market momentum. As institutional frameworks develop and regulatory barriers fall, Korea’s influence on global crypto dynamics may evolve from raw retail volume to more sophisticated capital flows.

For now, the days of Korean retail traders single-handedly driving global rallies appear to be fading—a transition that could reshape market sentiment patterns for cycles to come.

The post Korean Investors Cashed Out This Year, BOK Says: Global Implications appeared first on BeInCrypto.

The Santa Rally—Wall Street’s beloved year-end tradition—has found an eager audience among Chinese crypto Twitter’s most followed analysts.

Far from dismissing it as Western-market folklore, key opinion leaders in the Chinese-speaking community are treating the final trading days of 2025 as a critical signal of what lies ahead in 2026.

Santa Rally More Than Seasonal Noise

Phyrex, one of the most cited macro analysts in Chinese crypto circles, argues that the Santa Rally is not merely a statistical curiosity. “It’s more like a barometer of market risk appetite,” he wrote. “If markets manage to rise as expected from Christmas through New Year—without fresh macro catalysts—it confirms that investors are still willing to allocate to risk assets, setting the emotional foundation for next year’s pricing.”

The flip side carries weight, too. A failed rally, Phyrex warns, often signals that risk appetite has not recovered, leaving markets vulnerable to weakness or choppy trading well into January and beyond.

The analyst points to several mechanical factors that typically support year-end gains. Tax-loss harvesting wraps up by mid-December, freeing capital to rotate back into equities. Institutional desks go quiet for the holidays, thinning out volumes and allowing modest buying pressure to move indices higher. Year-end bonuses and automatic 401(k) contributions add passive bid support.

Michael Chao, a US-focused markets commentator popular on Chinese Twitter, highlighted the historical odds: since 1950, the S&P 500 has risen 75% of the time during the Santa Rally window, posting an average gain of 1.55%.

But Risks Loom Large

Not everyone is popping champagne early. Cryptojiejie noted that Bitcoin and Ethereum global volumes have shrunk to 2025 lows, calling current conditions “garbage time” for traders. She advised breakout-focused traders to step back and enjoy the holidays until liquidity returns.

Macro headwinds add to the caution. Zhou Financial wrote that the Bank of Japan’s December rate hike to 0.75% has raised concerns about the unwinding of the yen carry trade, while the Federal Reserve’s hawkish 25-basis-point rate cut—paired with a dot plot signaling only two cuts through 2026—disappointed markets that had expected more accommodation.

Phyrex framed the tension bluntly: “If the market still can’t form an effective rally under seasonal tailwinds and gradually recovering liquidity, it likely means the current high-rate environment’s pressure on the economy has already overwhelmed the sentiment boost from holiday factors.”

The 2026 Preview

For Phyrex, this year’s Santa Rally carries outsized significance. He sees it as effectively a preview of Q1 2026 expectations. The logic is straightforward: if investors refuse to bid up risk assets even when seasonal patterns, sentiment vacuums, and returning liquidity all align in their favor, something deeper may be broken.

The intense focus on Wall Street may partly reflect a lack of domestic options. Earlier this month, seven major Chinese financial industry associations issued a joint risk warning—the most comprehensive crypto crackdown since the 2021 ban that drove all exchanges out of the country.

The statement explicitly prohibited real-world asset (RWA) tokenization for the first time, alongside stablecoins, airdrops, and mining. With regulators sealing off virtually every on-ramp, Chinese crypto investors have little choice but to watch global markets from the sidelines.

As Chinese crypto Twitter watches Wall Street just as closely as anyone else, all eyes are on whether Santa shows up.

The post Chinese Crypto Twitter Reads Santa Rally as a Litmus Test for 2026 appeared first on BeInCrypto.

A massive power outage hit San Francisco on Saturday afternoon, leaving 130,000 homes and businesses without electricity. The incident forced residents to face technology’s fundamental vulnerabilities. Caused by a fire at a PG&E substation, the blackout cut off access to digital wallets and cryptocurrency exchanges for thousands of users.

The event highlights how, despite the resilience of decentralized blockchain networks, practical crypto usability still relies on local electricity and internet infrastructure.

San Francisco’s Power Crisis: Scale and Impact

The outage began at 1:09 pm, affecting about one-third of PG&E customers in San Francisco. The disruption focused on the Richmond District and spread across the city. By 11 p.m., power had been restored to roughly 95,000 customers, but nearly 18,000 remained without electricity Sunday afternoon.

The incident disrupted city transit, halted Waymo robotaxis mid-ride, and forced the closure of many restaurants and shops. The scale caught many off guard. As one observer noted on social media, nearly 30% of the city lost power overnight—no storm, no warning, no clear accountability.

Blockchain Networks Endure Local Outages

The blackout offers a timely reminder: even decentralized technologies remain tethered to centralized infrastructure.

Cryptocurrency networks like Bitcoin and Ethereum operate on distributed ledgers maintained by thousands of nodes worldwide. A regional blackout, even one affecting a major tech hub like San Francisco, does not halt the blockchain itself. Transactions continue to be validated, blocks continue to be added, and user assets remain safely recorded on-chain.

In short, your crypto doesn’t disappear when the lights go out.

However, the practical reality is less reassuring. Without electricity and internet access, affected users cannot access wallets, execute trades, or complete payments. Crypto-accepting merchants face the same limitation—no power means no point-of-sale systems.

Mining operations, which require substantial and continuous power, halt immediately during outages. If a blackout affects a region with significant hash rate concentration, network validation could slow temporarily.

For those mid-transaction when power fails, the outcome depends on timing. Unconfirmed transactions remain in the mempool and will be processed once connectivity returns. Confirmed transactions are immutable and unaffected.

Exchange Infrastructure Keeps Crypto Trading 24/7

Major crypto exchanges have developed strategies for uninterrupted trading during power disruptions. Based on industry analysis, exchanges use layered defenses, including uninterruptible power supplies (UPS), backup generators for extended outages, and redundant data centers with automatic failover protocols.

If a main facility fails, trading shifts instantly to another healthy region. Data replication between centers ensures zero data loss and maintains transaction integrity during crises.

Asset security is vital during blackouts. Most holdings are in cold storage, offline, and far from network risks. Hot wallets—used for current trading—are limited and protected by multi-signature protocols and withdrawal limits. Regular drills and continuity plans ensure exchanges continue to operate during extended failures.

The North American Electric Reliability Corporation has documented infrastructure standards for crypto operations. A white paper notes that cryptocurrency facilities require complex internal infrastructure, including UPS systems and generators, to ensure resilience.

These efforts underscore the divide between decentralized network design and the traditional infrastructure required for practical access. However, while blockchains survive regional outages, the services that connect users depend on power and connectivity investments.

The Hardware Wallet Paradox

Security-conscious holders often store assets in hardware wallets, keeping private keys offline and protected from network-based attacks. This remains sound practice. But the blackout reveals an uncomfortable truth: hardware wallets are secure, yet without power, users cannot access them either.

The device itself is safe. The assets are intact. But the owner sitting in a dark apartment cannot verify balances, sign transactions, or move funds to respond to market conditions. Security and accessibility exist in tension during infrastructure failures.

Offline seed phrase backups ensure eventual recovery, but they offer no help in the immediate crisis. For crypto to function as a reliable financial tool, users must plan for scenarios where even their most secure storage becomes temporarily unreachable.

Decentralized, But Not Independent

The San Francisco outage underscores a fundamental tension in cryptocurrency’s value proposition. Decentralization protects the network from single points of failure at the protocol level. But end-user access still depends entirely on electricity, internet connectivity, and functioning local infrastructure—the same dependencies as traditional digital payments.

Some projects are exploring alternatives. Blockstream‘s satellite network broadcasts Bitcoin blockchain data globally, enabling node synchronization without traditional internet access. Such solutions remain niche but point toward greater infrastructure independence.

What This Means for Users

The incident carries practical lessons for crypto holders. Diversified backup plans matter: mobile hotspots, portable battery packs, and knowing which local areas might retain power. When evaluating exchanges, infrastructure redundancy and disaster recovery capabilities should be considered alongside fees and token listings.

But perhaps the most honest takeaway is this: blockchain networks survive blackouts, but user access does not. Until that gap closes, crypto remains a fair-weather financial tool—resilient in theory, unreachable when it matters most.

The post San Francisco Blackout Reveals Crypto’s Dependence on Power Infrastructure appeared first on BeInCrypto.

US-listed spot XRP exchange-traded funds (ETFs) have recorded one month of consecutive net inflows since their November 13 debut, setting them apart from Bitcoin and Ethereum ETFs that experienced billions in outflows over the same period.

The milestone marks a turning point for XRP, which was excluded from traditional investment vehicles for years due to regulatory uncertainty surrounding Ripple’s legal battle with the US Securities and Exchange Commission. Now, with spot ETFs lifting that barrier, institutional capital is flowing into the asset at a pace that has surprised even bullish observers.

A Stark Contrast With BTC and ETH

According to SoSoValue data, XRP spot ETFs have attracted fresh capital every trading session since launch, lifting cumulative net inflows to approximately $990.9 million as of December 12. Total net assets across the five products climbed to about $1.18 billion, with no single day of net redemptions recorded.

The consistency stands out in a market where even the largest crypto ETFs have struggled to maintain steady momentum. Over the same 30-day window, US spot Bitcoin ETFs recorded approximately $3.39 billion in net outflows, including a single-day withdrawal of roughly $903 million on November 20. Ethereum ETFs followed a similar pattern, posting about $1.26 billion in net outflows.

The divergence was most pronounced on December 1. On that day, XRP ETFs brought in $89.65 million while Bitcoin ETFs gained just $8.48 million—roughly one-tenth of XRP’s figure. Ethereum ETFs, meanwhile, recorded more than $79 million in net outflows.

December trading has further highlighted the contrast. Bitcoin spot ETFs recorded four negative flow days compared to eight positive days, while Ethereum ETFs displayed similar volatility with five negative days and seven positive days through December 12. XRP ETFs maintained positive flows throughout.

Second-Fastest to $1 Billion

Ripple CEO Brad Garlinghouse noted that XRP has become one of the fastest spot crypto ETFs to reach $1 billion in assets under management in the US, trailing only Ethereum.

“There’s pent-up demand for regulated crypto products,” Garlinghouse stated. He highlighted Vanguard’s recent decision to offer access to crypto ETFs through traditional retirement and investment accounts, noting that crypto is now “accessible to millions more people who don’t need to be experts in the technology.”

Garlinghouse also emphasized that longevity, stability, and community strength are increasingly essential themes for these new “off-chain crypto investors.”

👀<4 weeks, and XRP is now the fastest crypto Spot ETF to reach $1B in AUM (since ETH) in the US.

With over 40 crypto ETFs launched this year in the US alone, a few points are obvious to me:

1/ there’s pent up demand for regulated crypto products, and with Vanguard opening up…

— Brad Garlinghouse (@bgarlinghouse) December 8, 2025

CME Expands Derivatives Infrastructure

CME Group announced the launch of Spot-Quoted XRP and SOL futures on December 15, further expanding institutional access to XRP.

“We’ve seen strong demand for our current Spot-Quoted Bitcoin and Ether futures, with more than 1.3 million contracts traded since launched in June, and we are pleased to add XRP and SOL to our offering,” said Giovanni Vicioso, Global Head of Cryptocurrency Products at CME Group.

The existing Spot-Quoted Bitcoin and Ether futures have experienced substantial growth, with December average daily volume reaching 35,300 contracts and a record trade day of 60,700 combined contracts on November 24.

Price Lags Behind as Accumulation Signals Build

Market analysts suggest that the uninterrupted inflow pattern indicates that XRP ETFs are being used as structural allocations rather than as tactical trading instruments.

“This is just 5 spot ETFs. No BlackRock, no 10-15 ETFs exposure yet, but they are coming,” one analyst noted, projecting that if weekly inflows remain near $200 million, cumulative inflows could surpass $10 billion by 2026.

Despite strong ETF inflows, XRP’s price performance has remained subdued. The token has declined nearly 15% over the past month and was trading at $1.89 at press time.

The disconnect between inflows and price may reflect the mechanics of ETF markets. ETF creation and redemption involve complex arbitrage processes that delay price effects. Market makers hedging their positions may also blunt some of the immediate impact from inflows.

The post XRP ETFs Log One Month of Inflows as BTC, ETH Funds Bleed $4.6B appeared first on BeInCrypto.

President Donald Trump said he would consider pardoning Keonne Rodriguez, the CEO of privacy-focused Bitcoin wallet Samourai, who was sentenced to five years in federal prison last month for money laundering charges.

The statement reignited debate over the privacy technology of cryptocurrencies. It also raised questions about whether other convicted developers, including Tornado Cash’s Roman Storm, might receive similar presidential clemency.

Calls for More Pardons Meet Market Frustration

During a press briefing on Dec. 15, a reporter asked Trump about Rodriguez’s case, noting it began under the Biden administration but continued under his Department of Justice. Trump responded, “I’ve heard about it. I’ll look at it.” The President added that he would review the matter after the reporter mentioned widespread support for clemency within the crypto community.

Rodriguez, 37, and co-founder William Lonergan Hill, 67, were convicted of operating a cryptocurrency mixing service. The prosecutors say the two facilitated the laundering of over $237 million in criminal proceeds. Rodriguez received five years, while Hill received four years, with both ordered to pay $250,000 in fines.

The announcement drew varied responses. Some supporters expressed hope that the decision would provide momentum for crypto-friendly policies. One X user even called for extending clemency to Do Kwon, the embattled founder of the collapsed Terra/Luna ecosystem.

However, critics pointed to broader market performance under Trump’s presidency. Since he took office, there have been significant declines across major cryptocurrencies, with some tokens down more than 70%.

Prosecution’s Case Against “Simple Developer” Narrative

The Department of Justice presented evidence that challenges the portrayal of Rodriguez and Hill as mere privacy tool developers. According to the Nov. 19 sentencing announcement, prosecutors demonstrated that the founders actively promoted their services to criminal users.

Hill allegedly marketed Samourai on Dread, a darknet forum, directly responding to a user seeking “secure methods to clean dirty BTC” by recommending Whirlpool as a superior option. Rodriguez reportedly encouraged Twitter hackers in 2020 to funnel stolen proceeds through the mixing service. He even expressed disappointment when they chose a competitor.

Most damaging was Rodriguez’s own description of mixing as “money laundering for bitcoin” in WhatsApp messages. At the same time, the company’s marketing materials acknowledged targeting “Dark/Grey Market participants” moving proceeds from “illicit activity.”

Prosecutors said criminal funds processed through Samourai originated from drug trafficking, darknet marketplaces, cyber intrusions, fraud, sanctioned jurisdictions, murder-for-hire schemes, and a child pornography website.

Broader Implications

The case has reignited debate over developer liability for user actions on decentralized platforms. Privacy advocates argue that the prosecution sets a dangerous precedent for open-source software development, while law enforcement maintains that actively promoting criminal use crosses legal boundaries.

Online discussions have expanded to question whether Roman Storm, the Tornado Cash developer convicted on similar charges in August, might also be considered for clemency. Storm was found guilty of conspiracy to operate an unlicensed money transmitting business. The jury deadlocked on more serious money laundering and sanctions violation charges.

Congress continues to debate cryptocurrency regulation. The lawmakers are introducing multiple bills to clarify the legal status of privacy-enhancing technologies, though none have passed into law.

Trump has previously pardoned several crypto figures, including former Binance CEO Changpeng Zhao and Silk Road founder Ross Ulbricht, establishing a pattern that fuels speculation about future clemency decisions in the sector.

The post Trump Hints at Samourai Wallet Pardon — Another After CZ, Ulbricht appeared first on BeInCrypto.

Binance co-founder Changpeng “CZ” Zhao has stepped in to quash rumors of a romance swirling around his brief interaction with a female KOL at Binance Blockchain Week in Dubai.

The speculation traces back to December 4, when CZ faced off against gold advocate Peter Schiff in a much-anticipated debate. During the session, Tintin—a crypto influencer affiliated with the Aster project—walked onstage.

CZ Claps Back

She handed CZ a “magic box” containing a heavy gold item. This moment was captured on video and later amplified when Tintin tweeted that the box was “real f**king heavy.” The moment has since become the most replayed segment of the debate’s YouTube video.

What started as a lighthearted promotional stunt quickly morphed into gossip fodder across Chinese-speaking crypto communities. Some users began spinning tales of a romantic connection between the two.

还有瓜和我有关系？行情太淡，大家没事干了？🤣

看了一下，和Tintin所有的互动：发过3条信息来回，见面聊了10分钟。

和Peter辩论前，见了几个KOL，包括Tintin。刚好想有人递给我盒子更好。就临时决定的。之前没有安排。

大家关心其他人吧。听说那个谁和谁。。。 😂 https://t.co/Y4k9zqI1jC

— CZ 🔶 BNB (@cz_binance) December 14, 2025

CZ, never one to let rumors fester, addressed the speculation head-on in a post on X.

“There’s gossip about me now? The market must be really slow—everyone’s got nothing better to do,” he quipped.

He then laid out the facts: his entire interaction with Tintin consisted of exchanging three messages and meeting for about 10 minutes before the debate. The decision to have someone hand him the box onstage was made on the spot—there was no prior arrangement.

“Go pay attention to someone else. I heard somebody and somebody…” he added, deflecting with a hint of sarcasm.

Timing Raises Eyebrows

The rumors emerged just days after Yi He, CZ’s long-term partner and the mother of his three children, was elevated to co-CEO of Binance on December 3. The appointment, announced by CEO Richard Teng at Binance Blockchain Week, marked the exchange’s most significant leadership shake-up since CZ stepped down in 2023.

When asked about potential conflicts between her personal and professional roles, Yi He drew a clear boundary.

“My personal life is independent from my professional life,” she told reporters in Dubai. “My achievements and capabilities as co-founder are often overlooked with my personal life in question.”

Meanwhile, CZ Keeps Busy in Pakistan

Romance rumors aside, CZ has been focused on expanding Binance’s global footprint. On December 12, he visited Pakistan alongside Binance CEO Richard Teng and Tron founder Justin Sun for meetings with Finance Minister Muhammad Aurangzeb.

The visit coincided with a major regulatory milestone: Pakistan’s Virtual Assets Regulatory Authority (PVARA) issued no-objection certificates to both Binance and HTX, clearing the path for the exchanges to pursue full licensing in the country.

In the car, my roaming didn’t work, so I borrowed Justin’s hotspot, bought an eSIM, PAID IN CRYPTO. He said he learned something new. https://t.co/DwYW8c5jRO

— CZ 🔶 BNB (@cz_binance) December 12, 2025

“A meaningful milestone for Binance in Pakistan,” Teng said on X, noting that the exchange has obtained AML registration from PVARA. “Looking forward to building a safe, transparent, and future-ready digital-asset ecosystem together.”

CZ has served as an adviser to the Pakistan Crypto Council since April 2024, and the South Asian nation appears eager to position itself as a crypto-friendly jurisdiction in the region.

As for the Tintin rumors? It seems CZ has already moved on—even if the crypto gossip mill hasn’t.

The post CZ Denies Romance Rumors With KOL: “3 Messages, 10 Minutes—That’s All” appeared first on BeInCrypto.

Terraform Labs co-founder Do Kwon was sentenced to 15 years in federal prison on Thursday for orchestrating a $40 billion cryptocurrency fraud—a sentence notably lighter than the 25 years handed to FTX founder Sam Bankman-Fried (SBF) last year, despite Kwon’s fraud causing nearly four times the financial damage.

The sentencing disparity highlights how courtroom behavior, remorse, and cooperation with authorities can dramatically influence outcomes in high-profile white-collar cases.

The Verdicts

US District Judge Paul Engelmayer, presiding over Kwon’s case in the Southern District of New York, described the Terra-Luna collapse as “a fraud on an epic, generational scale.” He rejected both the prosecution’s recommendation of 12 years as “unreasonably lenient” and the defense’s request for five years as “utterly unthinkable and wildly unreasonable.”

“Your offense caused real people to lose $40 billion in real money, not some paper loss,” Engelmayer told Kwon, noting there may have been as many as one million victims worldwide.

By contrast, Judge Lewis Kaplan sentenced SBF to 25 years in March 2024 for an $11 billion fraud, citing the defendant’s “exceptional flexibility with the truth” and “apparent lack of any real remorse.”

Why the Difference?

Guilty Plea vs. Trial

Kwon pleaded guilty in August 2025 to conspiracy and wire fraud charges, accepting responsibility for misleading investors about TerraUSD’s stability mechanisms. In a letter to the court, he wrote: “I alone am responsible for everyone’s pain. The community looked to me to know the path, and I, in my hubris, led them astray.”

SBF, on the other hand, went to trial and maintained his innocence throughout. He argued that FTX was merely experiencing a “liquidity crisis” rather than outright fraud. The jury took just four hours to convict him on all seven counts.

Courtroom Conduct

Judge Kaplan found that SBF committed perjury at least three times during his testimony. Kaplan called SBF’s performance on the stand the most “evasive” he had witnessed in nearly 30 years on the bench. “When he wasn’t outright lying, he was often evasive, hairsplitting, dodging questions,” Kaplan said.

The judge also found that SBF had attempted to tamper with witnesses before trial. He sent messages to former FTX general counsel Ryne Miller suggesting they “vet things with each other.”

Kwon, by contrast, listened to victim impact statements—315 letters submitted to the court—and apologized directly. “Hearing from victims was harrowing and reminded me again of the great losses that I have caused,” he told Judge Engelmayer.

Future Legal Exposure

A critical factor in Kwon’s sentencing was his pending prosecution in South Korea. He faces charges that could result in up to 40 additional years in prison. Judge Engelmayer explicitly considered this when crafting the sentence. Kwon will likely be extradited to face trial in his home country after serving his US term.

SBF faces no comparable foreign legal jeopardy, making his 25-year US sentence his primary punishment. However, he is actively fighting to overturn his conviction. In November 2025, SBF’s legal team filed an appeal, arguing that he was “presumed guilty” before his trial even began. His attorney, Alexandra Shapiro, claims the court blocked key evidence proving FTX’s solvency and allowed biased treatment throughout the proceedings. The Second Circuit is expected to take several months to issue a ruling.

	Do Kwon	Sam Bankman-Fried
Sentence	15 years	25 years
Estimated Loss	$40 billion	$11 billion
Plea	Guilty plea	Trial conviction
Remorse	Apologized to victims	No remorse shown
Perjury	None	3 counts found
Witness Tampering	None	Yes
Additional Charges	Up to 40 years in South Korea	None

The Bigger Picture

Both cases represent landmark moments in cryptocurrency enforcement. Prosecutors noted that Kwon’s losses exceeded those caused by SBF, OneCoin co-founder Karl Sebastian Greenwood, and former Celsius CEO Alex Mashinsky combined.

The sentencing outcomes send a clear message to the crypto industry: cooperation and genuine remorse can meaningfully reduce prison time.

Kwon has agreed to forfeit $19.3 million as part of his plea deal. He was also ordered to pay an $80 million fine and to receive a lifetime ban on cryptocurrency transactions as part of his 2024 SEC settlement.

His request to serve his sentence in South Korea was denied.

The post Do Kwon Gets 15 Years, 10 Less Than SBF—Here’s Why appeared first on BeInCrypto.

Coinbase, the largest cryptocurrency exchange in the United States, is preparing to launch prediction markets and tokenized equities, while Gemini has secured regulatory approval.

Kalshi and Crypto.com have formed an industry coalition. Changpeng Zhao is targeting 220 million users through BNB Chain. The war among giants for the throne of the $15 billion prediction market has officially begun.

Coinbase Reveals Key Card in “Everything App” Strategy

Coinbase reportedly plans to officially announce prediction markets and tokenized equity services at a showcase on December 17. The tokenized stocks will be launched in-house, not through partners.

📢 𝐉𝐔𝐒𝐓 𝐈𝐍: $COIN Coinbase Ready to Launch Prediction Markets, Tokenized Stocks – Bloomberg pic.twitter.com/D9Yws3pzun

— Hardik Shah (@AIStockSavvy) December 11, 2025

Coinbase executives have previously expressed interest in entering these businesses but had not made official announcements. However, expectations have been building as screenshots hinting at related functionality have circulated on social network X in recent weeks. A Coinbase spokesperson declined to comment on specific plans, stating only: “Tune in to the livestream on Dec. 17 to find out what new products Coinbase is shipping.”

This move is part of Coinbase’s ongoing “everything app” strategy, designed to provide traders with access to a broad range of assets and markets while keeping pace with rivals who are diversifying their offerings. Robinhood launched Kalshi’s prediction market products earlier this year, and both Robinhood and Kraken offer tokenized US stocks and ETFs outside the United States.

Trading in tokenized equities is growing rapidly. According to rwa.xyz, monthly transfer volume increased 32% over the last 30 days to $1.45 billion.

Industry Coalition CPM Launches: “A Unified Voice Is Necessary”

On the same day, Kalshi and Crypto.com announced the launch of the Coalition for Prediction Markets (CPM), a national alliance of prediction market operators. Coinbase, Robinhood, and sports gaming platform Underdog joined as founding members.

Matt David, executive board member of CPM, emphasized: “The US is the biggest frontier for prediction markets, and the momentum we’re seeing makes a unified industry voice not just important, but necessary.”

The coalition will focus on strengthening the federal framework for prediction markets, establishing nationwide integrity standards to curb insider trading, and pushing back against state-level regulatory overreach.

Sara Slane, head of corporate development at Kalshi and an executive member of the coalition, stated: “We spent years working with the CFTC because prediction markets must operate with strong federal safeguards that prevent insider trading, protect consumers, and ensure these markets remain transparent and corruption-free.” The coalition said more companies are in talks to join.

Gemini Secures CFTC Approval, Shares Surge 28%

Winklevoss twins-founded exchange, Gemini, has also entered the prediction market battlefield. Gemini Space Station Inc. received approval from the Commodity Futures Trading Commission (CFTC) for a derivatives exchange.

The approval allows Gemini to offer event contract trading services to existing US customers through its website and mobile app. In regulatory filings related to its IPO, Gemini had included prediction markets on “economic, financial, political, and sports forecasts” among its list of products of interest.

Gemini stated it “will explore expanding its derivatives offering for US customers to include crypto futures, options, and perpetual contracts.” Following the approval announcement, Gemini shares surged as much as 28% in extended trading.

The approval is among the latest agency actions under Acting Chairman Caroline Pham, who has positioned herself as a champion of the digital assets industry and has taken numerous steps to advance crypto trading on CFTC-regulated platforms. Pham also announced that Tyler Winklevoss would participate in the agency’s CEO Innovation Council, which will include Polymarket founder Shayne Coplan, CME Group Chairman and CEO Terry Duffy, and Kalshi co-founder Tarek Mansour.

CZ Marches to the Center Stage of Prediction Markets

Binance founder Changpeng Zhao (CZ) is also expanding his prediction market territory. On December 4, CZ posted on X about a new prediction market launching on BNB Chain. A key feature of the platform is that user funds generate yield while awaiting outcomes. The platform is backed by YZiLabs (formerly Binance Labs), which manages over $10 billion in assets and has invested in more than 300 projects globally.

One day earlier, Trust Wallet, owned by CZ, launched its Predictions feature. Web3 prediction market protocol Myriad joined as the first integration partner, enabling users to bet on politics, sports, and market trends within the app. Trust Wallet’s user base stands at 220 million.

BNB Chain completed its integration with Polymarket in October, and Opinion Labs, a prediction market provider backed by YZiLabs, launched its mainnet. Opinion Labs secured a multi-million dollar investment at Binance Blockchain Week. They completed a $5 million seed funding round in Q1 2025, led by YZiLabs with participation from Animoca Ventures and Amber Group.

Trump Media Enters the Fray with Truth Predict

Trump Media & Technology Group, the social media company of former President Donald Trump, is also jumping into the prediction market business. The company plans to launch “Truth Predict” on its Truth Social network, allowing users to bet on events ranging from political elections to changes in the inflation rate.

Truth Predict will use Crypto.com Derivatives North America to process bets and will offer wagers on commodity prices and events across all major sports leagues. Initial testing will begin “in the near future,” followed by a full US launch and eventual global expansion.

Devin Nunes, CEO of Trump Media and a former Republican congressman, stated: “For too long, global elites have closely controlled these markets. With Truth Predict, we’re democratizing information and empowering everyday Americans to harness the wisdom of the crowd.”

The Race for the $15 Billion Throne

Prediction markets have exploded since a federal court dismissed the prohibition on election betting last year. Weekly notional trading volume on Polymarket and Kalshi has surpassed the peak set during last year’s US presidential election, reaching new records.

Investor interest is soaring. Kalshi’s valuation has more than doubled following its recent funding round, reaching $11 billion. Polymarket is reportedly seeking to raise funds at a valuation of up to $15 billion.

Traditional financial exchanges, including CME Group and Intercontinental Exchange, are also exploring ways to enter this market. Monthly transfer volume for tokenized equities increased 32% over the last 30 days to $1.45 billion.

However, regulatory uncertainty remains a challenge. Kalshi filed a lawsuit in October against New York’s gaming commission, alleging that the state agency is overstepping its authority by attempting to regulate sports betting operations that fall exclusively under federal jurisdiction. Sports betting remains illegal in nearly a dozen US states, and lawsuits over the legality of prediction markets are mounting.

Coinbase, Gemini, CZ’s BNB Chain, and the newly formed industry coalition — the game of giants for the $15 billion throne has only just begun.

The post Game of Prediction Thrones: Coinbase, Crypto.com, Gemini Join the Battle appeared first on BeInCrypto.

JP Morgan has successfully arranged one of the first-ever debt issuances on a public blockchain, executing a US Commercial Paper offering for Galaxy Digital Holdings LP on the Solana network.

The transaction, announced December 11, was purchased by Coinbase and Franklin Templeton, with all settlement conducted in Circle’s USDC stablecoin—a first for the commercial paper market.

Wall Street No Longer Experimenting

The deal represents a significant departure from JP Morgan’s previous blockchain strategy, which relied primarily on its private Onyx network and JPM Coin. By choosing Solana’s public infrastructure, the Wall Street giant has effectively validated the network’s capability to handle institutional-grade financial products.

“This issuance is a clear example of how public blockchains can improve the way capital markets operate,” said Jason Urban, Global Head of Trading at Galaxy. Franklin Templeton’s Head of Innovation Sandy Kaul added that institutions are no longer just experimenting with blockchain—they’re “transacting on it in a big way.”

JP Morgan served as Arranger, creating the on-chain USCP token and facilitating delivery-versus-payment (DVP) settlement. The DVP model eliminates counterparty risk by ensuring that assets and payments are exchanged simultaneously—a critical feature for institutional adoption. Galaxy Digital Partners LLC acted as the Structuring Agent, marking Galaxy’s first-ever commercial paper issuance.

Coinbase played dual roles as both an investor and an infrastructure provider, offering private-key custody, wallet services, and USDC on- and off-ramp capabilities. The collaboration between traditional finance and crypto-native firms signals a maturing ecosystem ready for mainstream adoption.

Why Solana and USDC

Solana’s selection reflects its technical advantages: speed, scalability, and low transaction costs. The network’s ability to process thousands of transactions per second made it well-suited for institutional operations requiring efficiency and reliability. While Ethereum remains prominent in the tokenization landscape, Solana’s cost efficiency positions it for high-frequency, cost-sensitive financial applications.

Circle’s USDC stablecoin played an equally pivotal role. According to Circle’s official reports, USDC has enabled over $850 billion in value transfers globally, supporting real-time settlement for compliant financial operations. Its use as settlement currency for traditional debt instruments represents a breakthrough for stablecoin utility.

Strong Financials Back the Deal

The transaction strengthens Galaxy’s short-term funding capabilities amid robust financial performance. The company reported $629 million in adjusted EBITDA for Q3 2025—a record quarter. As of June 30, 2025, Galaxy held $2.6 billion in equity and $1.2 billion in cash and stablecoins, positioning it well to expand blockchain-based funding channels.

JP Morgan‘s involvement adds significant credibility. JP Morgan holds $40.1 trillion in assets under custody, $1.11 trillion in deposits, and operations spanning more than 100 countries. The bank’s endorsement of public blockchain infrastructure carries substantial weight for institutional observers.

SOL Unmoved Despite Historic News

Despite the landmark nature of the transaction, Solana’s native token, SOL, has shown a limited price reaction. As of December 12, SOL trades at approximately $136, down 2.25% over the past week. The token briefly spiked above $145 on December 9-10 before retreating to current levels.

The muted response may reflect the market’s forward-looking nature—institutional adoption has long been anticipated. Broader market conditions and profit-taking following recent gains could also be overshadowing the positive news.

The post JP Morgan Brings Commercial Paper to Solana in Historic First appeared first on BeInCrypto.

Yi He, who was named Binance co-CEO on Wednesday, offered blunt advice for women navigating the corporate world: drop the soft-skill crutches and build undeniable expertise.

Speaking to reporters in Dubai just hours after her appointment was announced at Binance Blockchain Week, Yi He reflected on what it takes for women to succeed in male-dominated industries.

Professional Excellence Over Gender Advantages

Her message cut against conventional wisdom about leveraging “feminine” strengths—and resonated with a career that took her from a rural village in Sichuan province to the top of the world’s largest crypto exchange.

“The biggest barrier for women isn’t which industry they’re in—it’s the mental ceiling they set for themselves,” Yi He said.

She cautioned against over-relying on perceived gender advantages such as communication skills or likability.

“When you lean on these soft skills, people respect your charm rather than your expertise. That ultimately undermines your professional credibility.”

Her message was unequivocal: in business competition, being female earns no leniency.

“It’s white knife in, red knife out,” she said, using a Chinese idiom for brutal competition. “Nobody slows down because you’re a woman. If anything, the attacks can be harsher.”

The key, she emphasized, is to become the absolute best in your field—whether in marketing, growth, or content—so that colleagues and competitors alike respect your professional capability above all else.

A Consistent Message on Female Leadership

Yi He’s remarks echo views she has expressed before. In a 2023 interview, she urged women to “forget your gender” and focus instead on becoming good business leaders. “Don’t focus on the fact that you’re a woman in a man’s world,” she said. “Never set a limit on yourself.”

Later that year, in another interview, she attributed the underrepresentation of women in leadership to societal expectations that discourage them from pursuing top positions. “Many women do not speak out or pursue leadership positions because they were not encouraged to do so by their families, schools, or friends,” she said at the time.

何一谈女性职业发展：商业竞争中从无“性别让步”可言

2025 年 12 月 3 日，币安联合创始人何一成为新的币安联席 CEO 后，在迪拜举办的 2025 币安区块链周上接受媒体群访，接受 Blockbeats… pic.twitter.com/1utwcYc7tz

— 吴说区块链 (@wublockchain12) December 5, 2025

Her advice then, as now, centered on seizing opportunities proactively. “Women in tech or other new industries can be bolder and take more risks,” she noted. “They will never know what they can do unless they jump into it.”

Dual Leadership for Binance’s Next Chapter

Yi He’s appointment as co-CEO was announced by Richard Teng during his keynote at Binance Blockchain Week, where the co-CEOs outlined an ambitious roadmap for the exchange. The dual leadership structure pairs Yi He’s product innovation expertise with Teng’s background in regulated financial markets.

Teng called her promotion “a natural progression,” highlighting her role in shaping Binance’s user-first culture since its 2017 founding. The exchange now approaches 300 million users and has set a target of one billion.

When asked about the potential influence of the founder and her partner in a long-term relationship, Changpeng Zhao, Yi He drew a clear line:

“My personal life is independent from my professional life. My achievements and capabilities as cofounder are often overlooked with my personal life in question. Binance has nearly 300 million users who trust us for upholding our core values—looking after their interests, protections, and 1:1 backing for every user asset.”

The exchange now approaches 300 million users and has set a long-term target of one billion. Teng said Binance aims to become a “Super App” bridging centralized and decentralized finance. The company is also deepening partnerships with major institutions, including BlackRock and Franklin Templeton. On the compliance front, Binance blocked nearly $7 billion in potential scams in 2025. It continues to pursue regulatory approvals worldwide.

The post Yi He to Women: “No One Goes Easy on You in Business” appeared first on BeInCrypto.

Bitcoin mining profitability plunged to record lows in late 2025 as the hash rate dropped below $35 per petahash per second, while production costs rose to $44.8 per petahash. This forced miners into payback periods over 1,200 days and drove a major industry shift, with 70% of top mining companies now earning revenue from artificial intelligence infrastructure.

November 2025 marked a turning point for the global Bitcoin mining industry. A confluence of collapsing margins, regulatory pressure, and strategic pivots reshaped the sector’s landscape. Here are the five key trends that defined the month.

Profitability Hits Historic Lows

Network hashrate surged to a record 1.1 ZH/s in October, intensifying competition. Meanwhile, Bitcoin prices dropped to around $81,000, crushing margins across the industry. Machine payback periods have stretched beyond 1,200 days.

MARA CEO Fred Thiel issued a stark warning about the industry’s future. After the 2028 halving reduces block rewards to roughly 1.5 BTC, most business models will collapse. Only miners with access to cheap energy or successful AI pivots will survive, he said.

Financing costs continue to rise as traditional mining revenue shrinks. Even companies transitioning to AI cannot yet offset the decline in Bitcoin income. The squeeze is forcing urgent strategic decisions across the sector.

AI Pivot Accelerates

Seven of the top ten mining companies now generate revenue from artificial intelligence. AI hosting yields already exceed traditional mining returns by roughly 50% per megawatt. The shift is reshaping how the industry measures success.

Bitfarms announced it will phase out Bitcoin mining entirely within two years. Its Washington State facility will be converted into an HPC data center by December 2026. CEO Ben Gagnon said potential returns could surpass all previous mining income.

IREN secured a landmark $9.7 billion, five-year GPU cloud computing agreement with Microsoft. The deal includes a 20% upfront payment. IREN will deploy NVIDIA GB300 GPUs at its Texas facility starting in 2026.

Hut 8 sold four Canadian natural gas power plants totaling 310 MW to TransAlta. The move aligns with its strategic shift toward Bitcoin mining plus HPC infrastructure. CleanSpark aims to become a comprehensive compute platform serving both AI and BTC.

Massive Capital Restructuring

A wave of convertible note issuances is sweeping the industry. CleanSpark raised $1.15 billion at 0% interest. TeraWulf completed a $1.025 billion offering, also at zero percent.

Cipher Mining issued $1.4 billion in senior secured notes at 7.125% yield. IREN plans to raise $2 billion through two separate convertible bond offerings. Bitfarms completed a $588 million convertible debt issuance.

Equipment commitments are equally massive. IREN signed a $5.8 billion agreement with Dell to procure NVIDIA GB300 GPUs. Cipher expanded its Fluidstack agreement, with Google providing $1.73 billion in guarantees.

Canaan secured a $72 million strategic investment from BH Digital, Galaxy Digital, and Weiss Asset Management. The funds will support high-performance computing and the development of energy infrastructure. The company aims to reduce future financing dilution.

Regulatory Polarization

Malaysia has uncovered approximately 14,000 illegal mining operations over the past five years. Stolen electricity has caused roughly $1.1 billion in damage to the state utility TNB. A government task force was established in November to intensify crackdowns.

Russia is deploying AI technology to combat illegal mining. State grid operator Rosseti embeds AI analytics into smart meters to detect power anomalies. One recent bust involved $1.5 million in stolen electricity.

Yet some governments are embracing mining. Japan launched its first government-linked project through a major regional utility. Canaan will deploy water-cooled Avalon miners for grid load balancing by year-end.

Belarusian President Lukashenko declared cryptocurrency mining a national priority for electricity usage. He suggested that crypto could serve as an alternative to reliance on the dollar. About 60% of Russian miners remain unregistered, prompting discussions of an amnesty.

Strategic BTC Accumulation

Leading miners are stockpiling Bitcoin rather than selling into the market. MARA holds 53,250 BTC valued at approximately $5.6 billion. The company ranks second globally in public Bitcoin reserves.

CleanSpark reported total holdings of 13,054 BTC as of November 30. Monthly production reached 587 BTC in November alone—year-to-date mining output totals 7,124 BTC.

Cango holds 6,412 BTC with an explicit commitment to long-term holding. Bitdeer increased its reserves to 2,233 BTC after mining 511 BTC in October. Canaan reached a record 1,610 BTC and 3,950 ETH.

The accumulation strategy signals confidence in Bitcoin’s long-term value. Miners are betting that surviving the current profitability crisis will prove rewarding. Those who hold through the squeeze may emerge as the biggest winners.

The post November Profit Crisis: 70% of Top Miners Pivot to $20B AI Market appeared first on BeInCrypto.

Central banks purchased a net 53 tonnes of gold in October 2025, a 36% month-over-month surge that brought the monthly total to the highest of the year.

This aggressive gold accumulation reflects growing concerns over macroeconomic uncertainty and a strategic shift away from traditional dollar-denominated assets.

Record Gold Purchases Signal Strategic Shift

According to World Gold Council data, central banks purchased a net 53 tonnes of gold in October alone—the highest monthly demand this year—led by Poland, Brazil, and emerging market economies.

Central banks acquired 254 tonnes year-to-date through October, making 2025 the fourth-highest year for gold accumulation this century. This trend highlights concerns about economic stability and currency diversification.

The National Bank of Poland led the activity, buying 16 tonnes in October. This brought Poland’s reserves to a record 531 tonnes, or about 26% of its total foreign exchange reserves. Brazil also bought 16 tonnes, while Uzbekistan added 9 tonnes and Indonesia acquired 4 tonnes. Turkey, the Czech Republic, and the Kyrgyz Republic expanded by 2 to 3 tonnes each. Meanwhile, Ghana, China, Kazakhstan, and the Philippines increased holdings, and Russia reduced its reserves by 3 tonnes to 2,327 tonnes.

Central banks are ramping up gold purchases:

Global central banks purchased +53 tonnes of gold in October, the most since November 2024.

This marks a +194% jump compared to July, and the 3rd-straight monthly acceleration.

In the first 10 months of the year, central banks have… pic.twitter.com/7pZWyEjjvf

— The Kobeissi Letter (@KobeissiLetter) December 4, 2025

95% of surveyed central banks expect reserves to climb next year. Serbia plans to nearly double its gold reserves to 100 tonnes by 2030, while Madagascar and South Korea are considering similar expansion. The sustained demand remains despite high gold prices, emphasizing gold’s strategic importance in uncertain times.

United States Establishes Bitcoin as National Reserve Asset

The trend is now spilling over into digital assets. As sovereign institutions diversify their reserves, Bitcoin is increasingly entering the conversation as a potential complement to gold.

In the United States, Senator Cynthia Lummis stated that funding for the Strategic Bitcoin Reserve “can start anytime,” citing President Trump’s executive order designating Bitcoin as a national reserve asset. The Treasury currently manages approximately 200,000 BTC—worth roughly $17 billion—under a budget-neutral framework using seized assets.

The House’s 2026 appropriations bill requires a 90-day Treasury study on custody, standards, and AI for sanctions enforcement. It also bans funds for a central bank digital currency. No further Bitcoin purchases are mandated beyond seized assets, leaving future reserve growth open for debate.

VanEck’s economic modeling projects that acquiring one million Bitcoin by 2029 could offset about 18% of the US national debt by 2049. CoinShares analysts suggest the reserve could strengthen technological leadership and offer inflation protection. Chainalysis economists, however, warn that simultaneous accumulation by many nations could affect market stability.

States and Nations Race to Build Bitcoin Reserves

Texas has already taken action. On November 20, it became the first US state to purchase Bitcoin for its treasury, acquiring $10 million through BlackRock’s spot Bitcoin ETF when prices briefly dipped to $87,000. The move signals a growing appetite among state governments to treat Bitcoin as a strategic asset.

The momentum is not limited to America. Taiwan’s legislature has urged the government to audit its Bitcoin holdings and consider adding cryptocurrency to its strategic reserves, with Premier Cho Jung-tai pledging a detailed report by year-end. Lawmakers cited concerns about the island’s heavy reliance on U.S. dollar assets, which account for over 90% of its $602.94 billion in foreign reserves.

Deutsche Bank analysts project that Bitcoin could appear on central bank balance sheets by 2030, coexisting with gold as a complementary hedge against inflation and geopolitical risk. As nations race to secure both traditional and digital safe-haven assets, the global reserve landscape may be on the verge of a historic transformation.

The post Central Banks Are Stockpiling Gold: Bitcoin Could Be Next appeared first on BeInCrypto.

Ethereum has successfully activated the Fusaka upgrade on mainnet, marking its second major network enhancement in 2025.

With PeerDAS now live, ETH has surged past the critical $3,200 resistance zone, and traders are watching whether the rally can sustain and even extend further.

Fusaka Goes Live

Ethereum confirmed the Fusaka mainnet activation on December 3 at 22:04 UTC. The upgrade introduces PeerDAS technology, which unlocks up to 8x data throughput for rollups, raises the gas limit from 45 million to 60 million units, and adds R1 curve support for improved user experience. Currently, Ethereum processes between 1.3 and 1.8 million transactions daily and holds over $73 billion in value locked in DeFi.

For L2 and Layer 2 rollups, Fusaka is even more relevant. PeerDAS increases the available space for blobs and prepares gradual capacity increases in future forks focused solely on data. The goal is clear: to maintain very low fees on networks like Arbitrum, Base, or Optimism, even if demand continues to grow.

Community members will monitor the network for issues over the next 24 hours.

Fusaka is live on Ethereum mainnet!

– PeerDAS now unlocks 8x data throughput for rollups
– UX improvements via the R1 curve & pre-confirmatons
– Prep for scaling the L1 with gas limit increase & more

Community members will continue to monitor for issues over the next 24 hrs.

— Ethereum (@ethereum) December 3, 2025

ETH Breaks $3,200 Resistance

ETH is trading at $3,231, up 7.38% over the last 24 hours. The price has cleared the $3,154-$3,200 supply cluster that marked strong resistance, a move that traders see as a bullish signal.

The pattern echoes the pre-Pectra phase in May 2025, when Ethereum surged 56% in just seven days following that upgrade. Technical charts show a classic bullish divergence: while price marked a lower low between November 4 and December 1, RSI printed a higher low—a setup that often signals weakening selling pressure.

On-chain data supports the bullish case. Addresses holding at least $1 million in ETH have increased from 13,322 to 13,945, representing roughly $623 million in additional accumulation by large holders.

Key Levels to Watch

With the $3,200 zone now cleared, the next target sits at $3,653. If the rally extends 56% from Pectra, a move toward $4,262 comes into view.

The squeeze is on.$ETH surges above $3,200 and is now up +17% off Monday’s low. pic.twitter.com/YsdnzsSI7Q

— Noble Investing (@NobleInvesting) December 4, 2025

On the downside, $3,200 now serves as the first support to hold. A break below $2,996 would weaken the bullish structure, exposing $2,873 and potentially $2,618.

For now, sustaining above $3,200 will determine whether Fusaka marks the beginning of a new bullish phase.

The post Fusaka Pushes Ethereum Above $3,200: It Will Reach $4,262 If This Happens appeared first on BeInCrypto.

From Nov. 24 to Dec. 2, 2025, JPMorgan launched leveraged notes tied to BlackRock’s Bitcoin ETF, Vanguard reversed its crypto ban, and Nasdaq quadrupled IBIT options limits. Three moves in nine days created one outcome: Bitcoin’s absorption into traditional finance and institutions.

Analyst Shanaka Anslem Perera describes that this rapid convergence marked a foundational change in how institutional capital accesses digital assets. Leading banks and asset managers expanded crypto offerings, distribution channels, and regulatory frameworks, redefining Bitcoin’s role in global finance.

The November Convergence: Coordinated Infrastructure Expansion

Traditional finance long observed Bitcoin from a distance. By late 2025, however, digital asset infrastructure reached a tipping point. The transformation began with SEC approval of spot Bitcoin ETFs in January 2024, offering a regulated path for institutional investment.

JPMorgan’s Nov. 24 filing detailed leveraged structured notes providing up to 1.5x returns on BlackRock’s iShares Bitcoin Trust ETF through 2028. These securities targeted sophisticated investors seeking amplified exposure while retaining legal protections. Notably, the notes exposed investors to significant downside, risking principal loss if IBIT declined by roughly 40 percent or more.

That same week, Nasdaq announced on Nov. 26 that it would raise IBIT options position limits from 250,000 to 1,000,000 contracts. This acknowledged the growth in both market capitalization and volume, supporting the need for volatility-hedged products for institutional portfolios. As Perera’s structural analysis noted, broader options infrastructure allowed institutions to manage Bitcoin volatility, aligning digital assets with standard risk controls.

On Dec. 2, Vanguard completed the picture. The world’s second-largest asset manager reversed its long-standing opposition and opened Bitcoin and crypto ETFs to clients holding around $11 trillion in assets. Vanguard’s move, made during a market correction, signaled strategic timing rather than speculative chasing.

Retail Capitulation Meets Institutions’ Allocation

This turning point coincided with a wave of retail exits. Bitcoin ETF redemptions soared as individual investors sold amid price drops. Meanwhile, institutional capital took the other side. Abu Dhabi Investment Council and similar sovereign entities increased their Bitcoin allocations as retail sentiment reversed.

Bank of America authorized 15,000 financial advisers to allocate Bitcoin to wealth clients starting Jan. 5, 2026. Advisers recommended a 1 to 4 percent exposure for clients able to stomach volatility, highlighting four ETFs: the Bitwise Bitcoin ETF, the Fidelity Wise Origin Bitcoin Fund, the Grayscale Bitcoin Mini Trust, and the BlackRock iShares Bitcoin Trust. This guidance marked a significant shift for an institution with $2.67 trillion in assets across more than 3,600 branches.

“2024: Vanguard CEO says they will not offer Bitcoin ETFs 2025: Vanguard offers Bitcoin ETFs to 50 million clients Vanguard and JPMorgan have bent the knee,” eOffshoreNomad posted.

Similarly, BlackRock recommended allocating up to 2 percent of portfolios to Bitcoin, citing risk levels comparable to those of the “Magnificent 7” technology stocks. The unified approach across institutions suggested coordinated messaging, if not formal cooperation. Advisers received consistent direction on allocations, risk communication, and client selection from competing firms.

Goldman Sachs took a different approach by acquiring Innovator Capital Management for about $2 billion. This gave Goldman instant distribution and compliance pathways for crypto products, saving years of internal development and providing an established network.

MSCI Index Exclusion: Eliminating Competing Models

While financial institutions expanded ETF infrastructure, other models faced obstacles. On Oct. 10, 2025, MSCI announced a consultation to exclude firms with substantial digital asset treasury holdings from major indices. The preliminary list included Strategy Inc., Metaplanet, and similar companies that pioneered corporate treasury Bitcoin adoption.

The proposal targeted companies in which Bitcoin or other digital assets accounted for an outsized share of the balance sheet. Removal from the MSCI Global Investable Market Indices would force these firms out of passive investment funds and major benchmark-tracking ETFs. The consultation is open until Dec. 31, 2025, with final decisions coming by Jan. 15, 2026.

The timing was notable. Strategy Inc., for example, attracted those wanting Bitcoin exposure without financial intermediaries or ETF fees. But, as MSCI proposed exclusion, major banks introduced new fee-generating ETF options. This created pressure on alternative exposure approaches.

Regulatory clarity accelerated institutional adoption through 2025. Laws such as the GENIUS Act and related orders defined the treatment of digital assets and reduced legal risks for large financial firms. These rules aligned digital assets with existing securities compliance, encouraging institutional entry.

Fee-Based Capture and the End of Alternative Exposure

The nine-day convergence was about more than new products. It firmly established Bitcoin as a fee-earning asset class for traditional finance. Leveraged notes, options, and ETF allocations each bring recurring revenue, while direct treasury and self-custody models now face obstacles such as index exclusions and higher regulatory requirements.

With expanded options, institutions can now manage volatility, making Bitcoin suitable for risk-parity portfolios and mandates with strict limits. The infrastructure shift means Bitcoin now acts as a portfolio component, not just a speculative asset. Yet, this shifts price discovery to derivatives, not spot trading.

The institutional system mirrors other asset classes. Allocations and risk disclosures are harmonized. Licensed advisers guide clients, and products feature standardized fees and messaging. Bitcoin, initially meant to circumvent the system, is now absorbed into the very architecture it once challenged.

The post How Nine Days Redefined Bitcoin Ownership: Absorbed by Institutions appeared first on BeInCrypto.

Precious metals rally to multi-week and all-time highs as Fed easing expectations climb, but crypto markets tell a different story amid ETF outflows and macro headwinds.

Gold prices touched a six-week high on Monday while silver struck a record, buoyed by growing expectations of US interest rate cuts and a weakening dollar.

Silver Shines on Supply Squeeze

Spot gold climbed to $4,241 per ounce, its highest level since late October, while silver soared to a record $58.83 before retreating slightly. The white metal has more than doubled in value this year, far outpacing gold’s impressive 60% gain.

The primary driver behind this rally is growing expectations for Federal Reserve rate cuts. According to CME FedWatch data, traders are now pricing in an 87.6% probability of a 25-basis-point rate cut at the Federal Reserve’s December 10 meeting, with only a 12.4% chance of rates remaining unchanged.

Beyond monetary policy expectations, silver is benefiting from acute supply constraints. A historic squeeze in London during October drew record amounts of the metal into the trading hub, subsequently draining inventories elsewhere. Shanghai Futures Exchange-linked warehouses recently hit their lowest levels in nearly a decade, while one-month borrowing costs for silver remain elevated.

The dollar’s slide to a two-week low has further enhanced the appeal of precious metals for holders of other currencies. Dovish remarks from Fed officials, including Governor Christopher Waller and New York Fed President John Williams, have reinforced expectations for continued monetary easing.

Bitcoin Bucks the Trend

Yet Bitcoin, often touted as “digital gold,” has moved in the opposite direction. The leading cryptocurrency plunged to around $86,000, down roughly 30% from its October all-time high near $126,000.

Several factors explain this divergence. US-listed Bitcoin ETFs recorded approximately $3.4 billion in net outflows in November, reversing earlier inflows. A $9 million Yearn Finance hack on December 1 rattled DeFi sentiment, while Bank of Japan Governor Kazuo Ueda’s hints at a potential rate hike sparked fears of global carry trade unwinding. Additionally, over $1 billion in leveraged crypto positions were liquidated during the recent selloff.

Those who said that the bitcoin chart will follow gold in the future.

sorry, it seems that it is not as expected 😬 pic.twitter.com/7ai1FnNq3e

— DOMBA.eth 🐺 (@DombaEth27) December 1, 2025

Although gold, silver, and Bitcoin are all non-yielding assets, precious metals are benefiting from independent bullish drivers—namely, physical supply shortages. Bitcoin, by contrast, remains far more sensitive to ETF fund flows and leverage liquidations.

While rate-cut expectations should be favorable for Bitcoin over the medium to long term, short-term headwinds are currently exerting greater influence.

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China’s yuan is on track for its strongest annual performance in five years, gaining nearly 4% against the dollar in 2025.

While the rally has captured headlines in traditional finance, its implications for cryptocurrency markets are complicated by Beijing’s increasingly hawkish regulatory stance.

Reduced Capital Flight, Tighter Enforcement

Several factors are driving the yuan’s appreciation: the People’s Bank of China’s supportive daily fixing, renewed inflows into Chinese equities, and a roughly 7% decline in the dollar index. Central investment banks remain bullish, with Goldman Sachs projecting the currency could reach 6.85 per dollar within a year.

For crypto investors, yuan strength is not inherently bullish. Historically, periods of yuan weakness—such as 2018-2019—prompted Chinese capital to seek refuge in Bitcoin as a hedge against currency depreciation. A stronger yuan reverses this dynamic, reducing capital flight incentives and making dollar-denominated assets, including Bitcoin, relatively less attractive to Chinese investors.

Adding to the bearish undertone for China-linked crypto flows, the PBOC last week reaffirmed its crackdown on virtual currencies. At a regulatory coordination meeting on November 29, the central bank warned that crypto speculation has recently resurged, presenting new challenges for risk control. It reiterated that virtual currency-related business activities remain “illegal financial activities” in China.

The PBOC also flagged specific concerns about stablecoins, citing failures to meet customer identification and anti-money-laundering requirements. Authorities warned that stablecoins risk facilitating money laundering, fraud, and unauthorized cross-border fund transfers—signaling that Beijing views dollar-pegged tokens as potential loopholes for capital flight even as the yuan strengthens.

Macro Tailwinds Persist for Yuan

Yet the broader macro backdrop remains supportive for crypto. The same forces driving yuan appreciation—dollar weakness, anticipated Federal Reserve rate cuts, and improving global risk sentiment—are traditionally favorable for risk assets. Bitcoin’s rally since August has coincided with the yuan’s rebound, suggesting both are responding to the same liquidity-driven tailwinds.

While a stronger yuan and tighter Chinese enforcement may reduce one historical source of Bitcoin demand, global liquidity conditions and dollar weakness continue to serve as more significant drivers for crypto market direction.

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Japan’s 2-year government bond yield surged to 1% on December 1, its highest since 2008. Bank of Japan Governor Kazuo Ueda signaled a possible interest rate hike at the December 18-19 monetary policy meeting, sending ripples through global financial markets.

This development could mark the end of three decades of ultra-low interest rates that fueled the yen carry trade. As borrowing costs rise and the yen strengthens, global markets now brace for significant deleveraging across asset classes.

Bond Yields Climb as Rate Hike Expectations Grow

Japan’s bond market moved sharply following Ueda’s recent statements. The 2-year note yield rose by one basis point to 1%. Longer-dated bonds also saw gains: five-year yields rose about four basis points to 1.35%, and 10-year yields climbed to 1.845%, according to Bloomberg data.

During trading, 10-year government bond yields reached 1.850%, their highest level since June 2008. This 17-year high highlights market belief that the BOJ will tighten policy soon. The shift in yields underscores the rapid change in investor sentiment on the central bank’s next move.

Markets responded quickly. The yen gained as much as 0.4% against the dollar, trading at 155.49 on December 1. This reversal from November’s levels reflects growing expectations of higher Japanese interest rates, which are making yen assets newly attractive.

At a business meeting in Nagoya, Ueda stated that reduced uncertainty around the US economy and tariffs bolstered confidence in Japan’s economic and price outlook. He reaffirmed that timely rate changes are key for financial stability and meeting the 2% inflation target.

Inflation and Fiscal Policy Drive Shift Toward Tightening

The government’s expansionary fiscal policy has added to inflation pressures, building a case for monetary tightening. Yen depreciation has lifted import prices, fueling consumer inflation and raising questions about the sustainability of price stability. Governor Ueda highlighted the growing impact of a weaker yen on import costs and warned that expectations could affect core inflation.

Market forecasts now suggest the BOJ’s policy rate could reach 1.4% following three 25-basis-point hikes from the current 0.5% rate. Based on Overnight Indexed Swap rates and 1-year forward rates, expectations are clearly rising. Katsutoshi Inatome of Mitsui Sumitomo Trust said that a hike in December would push future rate estimates even higher.

The BOJ faces a careful balance. While lifting rates tackles inflation and supports the currency, it could disrupt financial flows that have relied on cheap Japanese funding. Ueda emphasized that any hike would be measured in an accommodative manner, not as a sharp break. He added that Japanese policy has revived a system where both wages and prices can rise moderately.

Global Markets React as Yen Carry Trade Nears End

The possible unwinding of the yen carry trade marks a significant change for global finance. For 30 years, investors borrowed yen at low rates to seek higher returns elsewhere, supporting asset prices from US stocks to emerging market bonds. This provided leverage that fueled many market rallies.

As Japanese rates climb, the economics of the carry trade shift. Borrowers who locked in 1% funding with a stable yen now face repayment at 3% and a currency that has appreciated by 10%. This raises the effective borrowing cost to around 13%, making such trades far less attractive. The August 2024 flash crash previewed the turmoil that can occur when carry trade positions unwind quickly.

“For 30 years, the Yen Carry Trade subsidized global arrogance — zero rates… free leverage… fake growth… entire economies built on borrowed time and borrowed money. Now Japan has reversed the switch. Rates climbed. Yen strengthened. And the world’s favourite ATM just turned into a debt-collector.” – AlgoBoffin

The Nikkei 225 fell 1.88% as deleveraging began, and analysts warn that this could start a cycle of forced asset sales. When cheap yen financing vanishes, markets must rely on fundamental strength instead of leverage. The ripples stretch beyond Japan, impacting financial hubs like Wall Street and Shanghai that benefited from yen-driven liquidity.

Cryptocurrency markets are especially vulnerable to tighter global liquidity. Bitcoin and other digital assets respond sharply to changes in funding. Typically, risk assets absorb the first wave of volatility when liquidity dries up, potentially causing swings in crypto valuations.

These **three charts together (Japan 10Y + Silver + Bitcoin)** are telling one of the **clearest macro stories of our lifetime**.

## **1️⃣ Japan 10-Year Yield (The Beginning of the End of “Free Money”)**

For 30+ years, Japan kept interest rates near **zero**.
This created the… pic.twitter.com/JBIOu3SrwS

— ajay patel (@ajaycan) December 1, 2025

Some analysts argue that this transition exposes underlying market dynamics that have been masked by years of loose monetary policy. As liquidity tightens and rates normalize, asset prices may be judged more on intrinsic value than on cheap financing. This shift could benefit some commodities and hard assets, but challenge growth sectors that flourished with ultra-low rates.

The coming weeks are pivotal as the BOJ considers its December decision. Markets are set for tightening, but the exact pace is unknown. Whether Japan chooses gradual or sharper rate increases will shape how quickly and severely global deleveraging unfolds. The era of free Japanese money seems to be ending, ushering in a period of higher volatility and greater scrutiny of market fundamentals worldwide.

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