Weekly Update: 31st of October
What happened between the 24th and the 31st of October?
- The Federal Reserve cut rates in October but chairman Jerome Powell warned that a cut in December is far from guaranteed, leading to a correction in the market. Read more
- Citi and Coinbase collaborate to build financial-management rails for institutional crypto payments, bridging fiat and digital assets with on-/off-ramps and stablecoin rails. Read more
- Altcoin ETFs for Solana, Litecoin and Hedera begin trading under new listing rules, enabling institutional exposure beyond Bitcoin and Ethereum. Read more
- Ondo tokenizes 100+ U.S. stocks and ETFs on BNB Chain via PancakeSwap, enabling blockchain-access to traditional securities for institutional and global investors. Read more
Market corrects after cautious Fed policy
The Federal Reserve cut its benchmark rate by 25 basis points to a range of 3.75 to 4.00 percent and signaled that a further cut in December is not guaranteed. This triggered a sharp reaction in crypto markets, with Bitcoin dropping around 3 percent within 24 hours. For institutional investors, this combination of rate easing and hawkish messaging indicates improved liquidity but continued policy risk. Risk appetite remains subdued as uncertainty persists. While lower rates could enhance the long-term appeal of digital assets, short-term volatility remains as markets digest conflicting signals.
Citi and Coinbase form strategic alliance
Citigroup and Coinbase Global announced a partnership to build digital asset payment infrastructure targeting Citi’s institutional clientele. The initial phase focuses on fiat on- and off-ramps and payment orchestration between traditional finance and digital assets. Future plans include the integration of stablecoins and 24/7 settlement options.
For institutional investors, this development bridges the divide between legacy banking systems and crypto payment solutions. It marks a significant step toward fully integrated financial workflows for family offices and asset managers operating in both realms.
New altcoin ETFs debut on NYSE
For the first time, spot ETFs focused on altcoins such as Solana, Litecoin and Hedera have launched in the United States. This occurred despite a partial freeze at the SEC, made possible by new generic listing standards that reduce the need for individual product approvals.
Initial trading volumes are limited, but the framework for diversified institutional crypto exposure through regulated markets is now in place. This enables asset managers to expand their strategies beyond Bitcoin and Ethereum in a compliant, exchange-listed format.
Ondo tokenizes U.S. stocks on BNB Chain
Ondo Finance has tokenized over 100 U.S. stocks and ETFs on the BNB Chain via integration with PancakeSwap. This allows on-chain trading of traditional equities, offering benefits such as 24/5 access, transparency, and instant settlement.
For institutional investors, it opens the door to hybrid portfolios where legacy assets can be managed via decentralized rails. This development signals a broader trend toward the merging of traditional finance with decentralized ecosystems, offering scale, efficiency, and programmable exposure to real-world assets.
In other digital assets news
- Polymarket confirms token launch (‘POLY’) and airdrop following its U.S. relaunch.
- Western Union to issue stablecoin on Solana with Anchorage Digital.
- Former President Trump pardons Binance founder Changpeng Zhao (‘CZ’).
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