New York — WisdomTree’s crypto business is no longer an experiment but core to the firm’s strategy and on the verge of turning profitable, CEO Jonathan Steinberg said in a fireside chat at the Ondo Summit in New York on Tuesday. “We want to continue to scale,” Steinberg said. “Last year, we went from like $30 million in assets to about $750 million in assets," adding that he firm doesn't currently make money on its digital asset efforts but is "in line of sight of taking this to a profitable business.” ...

Core Insights - U.S. spot Bitcoin exchange-traded funds (ETFs) saw a significant turnaround in investor flows on February 2, attracting nearly $562 million in net daily flows after weeks of substantial net outflows [1][2] - The cumulative net inflows for all U.S. Bitcoin spot ETFs reached $55.57 billion, marking one of the largest single-day inflows since early January [1] Group 1: Market Dynamics - The inflow recovery followed a challenging period for Bitcoin-linked investment products, with spot ETFs experiencing heavy redemptions totaling $817.87 million on January 29 and $509.70 million on January 30 [3] - Major stock indexes have been declining since October, contributing to thin trading in both conventional and crypto markets, with total net assets held by U.S. Bitcoin spot ETFs dropping to $100.38 billion from over $125 billion in mid-January [4] - Despite the inflow surge, the decline in total net assets reflects Bitcoin's price drawdown rather than a decrease in ETF participation [4] Group 2: Trading Activity - Trading activity rebounded alongside inflows, with the total daily traded value across spot Bitcoin ETFs reaching $7.68 billion, indicating active repositioning rather than passive inflows [5] - BlackRock's iShares Bitcoin Trust remained the largest fund, holding $60.17 billion in net assets, while Fidelity's FBTC led the day in inflows with $153.35 million, bringing its cumulative inflows to $11.43 billion [6] - Grayscale's GBTC saw no new inflows and faced cumulative net outflows of $25.70 billion, while other issuers like Bitwise, ARK Invest, and VanEck reported positive flows [7]

Core Viewpoint - SoFi Technologies has shown significant growth despite recent share price declines, with a notable increase in revenue and customer base, raising questions about its valuation and investment potential [1][3][5]. Financial Performance - In 2025, SoFi reported a 38% year-over-year adjusted revenue growth, reaching $3.6 billion, and achieved its first $1 billion quarter in Q4 [3]. - The adjusted net income for Q4 2025 was $173.5 million, reflecting a 184% increase compared to the previous year [5]. - The company anticipates a 30% revenue growth in 2026, with diluted earnings per share (EPS) expected to rise by 54% [5]. Customer Growth and Product Offering - SoFi's customer base has expanded to 13.7 million, with 1 million new customers added in the last three months [3]. - The company has successfully implemented cross-selling strategies, with 40% of new products opened by existing customers [4]. Market Position and Valuation - SoFi shares currently trade at a forward price-to-earnings ratio of 41.3, which may deter some investors due to perceived high valuations [6]. - Despite the elevated market expectations, analysts remain optimistic about SoFi's earnings trajectory, with forecasts indicating continued growth [7].

Group 1 - The introduction of Bitcoin through the iShares Bitcoin Trust ETF (IBIT) has marked the official recognition of crypto as an asset class [1] - Binary Tree Analytics (BTA) aims to enhance transparency and analytics in capital markets, focusing on Closed-End Funds (CEFs), Exchange-Traded Funds (ETFs), and Special Situations [1] - BTA has over 20 years of investment experience, leveraging a background in finance from a top university to deliver high annualized returns with low volatility [1]

Group 1 - xAi is recruiting for over a dozen roles in crypto and traditional finance to train its AI models, including positions in crypto, equity, fixed-income, private credit, and quantitative trading [1] - The new crypto role will focus on teaching AI models how to analyze blockchain data, model tokenomics, and manage volatility using tools like Nansen and Chainalysis [2] - Musk's involvement in crypto markets includes promoting Dogecoin and Tesla's investment in Bitcoin, indicating a long-standing interest in the sector [3] Group 2 - SpaceX is taking over xAi as part of Musk's consolidation of business interests, with the merger valued at over $1 trillion [4] - xAi has raised $42 billion from venture investors, making it the second-largest player in the large language model segment after OpenAI [5] - Tesla invested $2 billion into xAi in January, highlighting the company's commitment to AI development [5]

Core Insights - Investors are shifting from traditional fixed income securities to sectors with strong dividends due to falling interest rates, with notable inflows into utilities, energy, and real estate [2] - The approval of the first 11 spot Bitcoin ETFs by the SEC in January 2024 has provided a new avenue for investors to gain crypto exposure without navigating the complexities of decentralized finance [3] - Demand for Bitcoin and Ethereum funds surged, adding over $32 billion in 2025 [4] Group 1 - Traditional fixed income options have lost appeal for income-focused investors due to lower interest rates [2] - The introduction of Bitcoin ETFs allows investors familiar with equity markets to access crypto without the complexities of DeFi [3] - The crypto asset class, including Bitcoin, does not inherently produce yield, presenting challenges for income generation [5] Group 2 - A financial services firm is planning to leverage Bitcoin through traditional equity markets to create income-generating opportunities [6] - With lower interest rates expected in 2026, there is a growing interest in dividend-paying stocks and ETFs that also provide crypto market exposure [8] - BlackRock has filed for approval of a Bitcoin income ETF that utilizes options strategies to generate yield while providing access to Bitcoin prices [8]

Core Viewpoint - Nomura Holdings is tightening risk controls at its European crypto subsidiary, Laser Digital Holdings, following third-quarter losses attributed to market volatility, indicating a cautious approach towards digital assets amid significant unrealized losses reported by firms in the sector [1][3]. Group 1: Financial Performance - Nomura's net income for the quarter ended December 31 dropped 9.7% year-over-year to ¥91.6 billion ($590 million), leading to a 6.7% decline in shares, the largest intraday drop in over nine months [2]. - The international operations of Nomura earned ¥16.3 billion before taxes, marking the 10th consecutive profitable quarter, although this was approximately 70% lower than the previous year due to losses in Europe [4]. - Despite the crypto setbacks, the firm reported the highest pretax income in 18 years across its four segments, with Wealth Management achieving record-high recurring revenue and Investment Management assets reaching an all-time high of ¥134.7 trillion following a $1.8 billion acquisition [5]. Group 2: Risk Management and Strategy - The CFO, Hiroyuki Moriuchi, confirmed that Nomura is reducing risk at its digital asset unit due to market fluctuations, emphasizing the need for strict position management to mitigate risks [3][4]. - Nomura announced plans to buy back up to ¥60 billion in shares, representing 3.2% of its outstanding stock, as part of its strategy to enhance shareholder value [5]. Group 3: Industry Context - The challenges faced by Nomura reflect broader issues within the crypto treasury sector, where major holders are reporting substantial unrealized losses, including a reported $17.44 billion loss on digital assets for the three months ended December 31 [6].

Bitcoin is trading below the average cost basis of US spot Bitcoin exchange-traded funds after the products recorded their second- and third-largest weekly outflows on record last month, according to research from Alex Thorn, head of research at Galaxy. Key Takeaways: Bitcoin has fallen below the average cost basis of US spot Bitcoin ETFs, leaving the typical ETF buyer underwater. Heavy outflows of nearly $2.8 billion over two weeks signal a sharp reversal from last year’s strong inflows. Despite pri ...

Core Insights - The initial optimism surrounding President Trump's deregulatory stance for the crypto industry has not materialized as expected, with financials underperforming and Bitcoin experiencing significant losses [2][3] - The approval of the first 11 spot Bitcoin exchange-traded products (ETPs) by the U.S. Securities and Exchange Commission in January 2024 led to nearly $10 billion in inflows for Bitcoin ETPs in 2025, despite Bitcoin's poor performance [4][5] - Investors are increasingly turning to Bitcoin ETFs for exposure to the crypto market, with the Grayscale Bitcoin Trust ETF attracting over $20 billion in assets under management [5][6] Financial Sector Performance - In 2025, the financial sector ranked second-to-last among the S&P 500's 11 sectors, achieving a gain of just over 5% [2] - Bitcoin has lost nearly 15% since its all-time high on January 25, 2025, and over 27% since its record high on October 4, 2025 [2] Bitcoin ETPs and ETFs - Bitcoin ETPs saw inflows of nearly $10 billion in 2025, driven by the SEC's approval of spot Bitcoin ETPs [4] - The Grayscale Bitcoin Trust ETF has a highly liquid average daily trading volume of just over 4 million shares [5] - The ProShares Bitcoin ETF and Grayscale Bitcoin Trust are criticized for not justifying their elevated expense ratios, while the iShares Bitcoin Trust ETF offers a more favorable expense ratio of 0.25% [6]

Investment Trends - Venture investors invested $1.4 billion into crypto companies in January 2026, a 14% increase from January 2025, despite a decrease in the number of funding events from 85 to 60, indicating larger investments in fewer companies [1] - The focus of venture capital is shifting towards American startups as regulations become clearer, with a notable resilience in US markets attributed to the rise of AI tools [3] Key Investors - Prominent investors in January include traditional Wall Street institutions such as BNY Mellon, Fidelity, Citadel Securities, and Bain Capital, alongside frontier VCs like Maelstrom Fund, Lightspeed, Paradigm, and YZi Labs [2] Major Fundraising Events - Rain secured $250 million in a Series B round led by Iconiq Capital, focusing on providing financial infrastructure for crypto businesses [5][6] - BitGo raised $212.8 million in an IPO, marking a significant milestone for crypto infrastructure companies, with shares sold at $18 each [7][8] - LMAX Group raised $150 million in a strategic investment led by Ripple, enhancing its execution-only trading venues [9]