Weekly Update: 12th of September
What happened between the 5th and 12th of September?
- Nasdaq invests $50 million in Gemini and seeks approval to offer tokenized shares alongside traditional securities trading. Read more
- Kazakhstan announces the development of a national crypto reserve and new regulation to establish a stronger financial position. Read more
- Falling producer prices increase the likelihood of a Fed rate cut this month, with prominent figures calling for a 50 basis point reduction. Read more
- The first Dogecoin ETF launches via a regulatory workaround, while dozens of altcoin ETF applications await decisions in the coming months. Read more
Nasdaq pushes for tokenized securities
Nasdaq is taking a major step towards integrating traditional securities with blockchain infrastructure. Earlier this week, the exchange submitted a proposal to the SEC to enable tokenized securities to trade on its primary market. If approved, traditional securities could be converted into tokenized formats and traded on the same order book as their legacy counterparts, maintaining full legal and financial rights. This would also make such shares tradable 24/7.
In parallel, Nasdaq announced plans to invest $50 million in crypto exchange Gemini, just ahead of its IPO, through a private placement. While recent crypto IPOs have delivered strong returns, Nasdaq is also pursuing a strategic partnership to integrate Gemini’s services into its broader offering. This move could strengthen Nasdaq’s positioning in the digital asset ecosystem and improve institutional access to crypto services.
Kazakhstan builds national crypto reserve and regulatory framework
In his annual address, President Kassym-Jomart Tokayev of Kazakhstan announced plans to establish a national crypto reserve. This reserve will be managed by the National Bank’s Investment Corporation and will consist of “promising” digital assets. In tandem, Kazakhstan is drafting a comprehensive digital asset law expected to come into effect by 2026. Additionally, investments are being made into “CryptoCity” in Alatau, intended to bolster the country’s crypto infrastructure.
As countries like Kazakhstan accelerate their digital asset strategies, it puts mounting pressure on other governments to advance their own regulatory and strategic frameworks. The race for digital financial leadership is increasingly becoming geopolitical.
U.S. economy readies for rate cut as PPI declines
U.S. producer prices (PPI) unexpectedly fell by 0.1% in August month-on-month, versus market expectations of a 0.3% increase. On an annual basis, PPI slowed to 2.6%, down from 3.1% in July. This moderation in inflationary pressure adds to market conviction that the Federal Reserve may lower interest rates as early as this month.
Fed Chair Jerome Powell had previously hinted at a possible September cut. Now, calls for a deeper cut by 50 basis points are gaining momentum, echoed by voices like former President Donald Trump and BlackRock CEO Larry Fink. A more aggressive monetary easing could further bolster risk assets, including digital currencies, as liquidity conditions improve.
First Dogecoin ETF begins trading
On September 11, the first U.S.-based Dogecoin ETF, DOJE, officially began trading, marking the debut of a regulated investment product tied to a memecoin. Approved under the Investment Company Act of 1940, the structure allows for greater design flexibility than the standard ETF model used for Bitcoin and Ethereum. This means it follows an alternative path to market, while a more traditional Dogecoin ETF application remains delayed for now. Nevertheless, an interesting development as it is the first memecoin coming to regulated investment vehicles.
Currently, nearly 100 ETF applications are awaiting SEC approval. These include both bundled crypto ETFs and single-asset products for projects like Litecoin, Bitcoin Cash, Solana, XRP, and Hedera. With most deadlines falling in the next 2–3 months, the altcoin ETF landscape could shift rapidly. While supply is increasing, it remains to be seen whether demand from traditional investors will follow suit.
In other digital assets news
- A new Chainalysis report shows the U.S. and India leading global crypto adoption. The Netherlands ranks a disappointing 39th.
- Solana-based treasury company Sol Strategies receives Nasdaq listing under ticker ‘STKE’.
- Stripe and Paradigm announce Tempo, a new blockchain focused on payment solutions.
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