Weekly Update: 12th of December
What happened between the 5th and the 12th of December?
- The crypto market turned cautiously higher, yet investors stayed defensive as Ethereum outperformed Bitcoin on Fusaka scaling upgrades and BlackRock's proposed staked Ethereum ETF. Read more
- Twenty One Capital began trading on the NYSE as a bitcoin treasury company, quickly becoming a major corporate holder with 43.500 bitcoin on their balance sheet. Read more
- State Street and Galaxy announced a tokenized liquidity fund on Solana, aiming to move surplus cash onchain and enhance institutional access to blockchain-based money markets. Read more
- Kraken and Deutsche Börse formed a partnership connecting traditional infrastructure with digital asset markets, giving European institutions regulated access to trading, custody and derivatives exposure. Read more
Ethereum strengthens against Bitcoin
This week, the crypto market stabilised modestly, with Ethereum showing first signs of outperforming Bitcoin. The recently completed Fusaka upgrade enhanced Ethereum’s scalability and should lower costs for users, particularly on layer 2 networks. At the same time, BlackRock’s filing for a staked Ethereum ETF renewed institutional interest. Such a product would allow investors to gain exposure not only to ETH’s price but also to staking rewards in a regulated fund structure, functionally similar to a dividend on a traditional stock.
This reinforces Ethereum’s positioning as yield-bearing infrastructure rather than just a speculative asset. Among altcoins, the rebound was concentrated in higher quality names with solid fundamentals and liquidity, while weaker tokens lagged.
Twenty One Capital goes live on the NYSE
Twenty One Capital made its public debut on the New York Stock Exchange this week under the ticker XXI. The firm positions itself as a dedicated bitcoin treasury company with holdings of more than 43,500 bitcoin, making it the third-largest listed corporate bitcoin holder globally. The listing followed a SPAC merger and represents another step in the institutionalisation of bitcoin as a treasury reserve asset.
While the stock initially traded lower, it later recovered, coinciding with a rebound in the bitcoin price. For institutional investors, Twenty One Capital offers a new listed vehicle to gain indirect exposure to bitcoin, alongside existing players such as Michael Saylor’s Strategy.
State Street and Galaxy launch tokenized fund on Solana
State Street Investment Management and Galaxy Digital announced plans to launch a tokenized private liquidity fund on Solana. The structure is designed as a 24/7 sweep vehicle that moves surplus cash balances onchain, with an anticipated 200 million dollar seed investment from Ondo.
By using public blockchain infrastructure such as Solana and stablecoins like PYUSD, the fund aims to deliver faster settlement, continuous liquidity and improved capital efficiency for institutional clients. More broadly, the initiative demonstrates that major asset managers are moving beyond pilots to build scalable products that integrate traditional money markets with onchain finance, potentially reshaping how treasurers and allocators manage short term liquidity and collateral.
Kraken and Deutsche Börse form strategic partnership
Kraken and Deutsche Börse Group announced a strategic partnership to connect traditional financial infrastructure with digital asset markets. Under the agreement, Deutsche Börse’s institutional clients gain access to Kraken’s crypto and tokenized asset capabilities, while Kraken can leverage Deutsche Börse’s European market, clearing and settlement infrastructure.
The roadmap includes white label trading and custody solutions for banks and financial institutions, as well as potential connections to derivatives markets via Eurex, subject to regulatory approvals. For European institutions, this creates a clearer, regulated access point to digital assets integrated into existing workflows.
In other digital assets news
- BitMine Immersion and Strategy continued expanding their treasuries, with BitMine adding several hundred million dollars worth of ether and Strategy purchasing nearly 1 billion dollars in additional bitcoin.
- Gemini secured CFTC approval for regulated prediction markets in the United States, positioning itself to compete directly with Kalshi and Polymarket in this fast growing segment.
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