With 2026 approaching, let's revisit the controversies that dominated headlines and group chats, trended across social media, unnerved investors, and forced the ecosystem to confront uncomfortable questionsThe scale and speed of controversies intensified, leading to tangible consequences such as arrests, asset freezes, market bans, and leadership exits2025 marked a shift from behind-the-scenes disputes to public meltdowns, with founders, regulators and platforms clashing in real time across courts, markets ...

Core Insights - Brett Harrison, former president of FTX US, is launching a new perpetual futures exchange named Architect, which will not include crypto markets [1][3] - Harrison criticizes leveraged trading on volatile crypto assets as "irresponsible" and highlights concerns about excessive leverage in the crypto market following a significant market crash [2][5] Company Overview - Architect will offer perpetual futures on traditional stocks, foreign exchange markets, and rare metals, while allowing the use of stablecoins as collateral [3] - The exchange will initially be available to institutional investors, with plans to open to retail investors in the near future [3] Industry Context - Perpetual futures are derivative contracts with no expiration, allowing traders to leverage their positions on asset price movements [3][4] - High leverage ratios, such as 100 or 1000 times the initial capital, on volatile markets can lead to significant risks, including account liquidation [5][6]

Core Viewpoint - Arthur Hayes believes the U.S. Federal Reserve is preparing to adopt yield curve control, which involves fixing interest rates on government bonds by purchasing unlimited amounts of debt [1][5]. Group 1: Yield Curve Control - Yield curve control is defined as a policy where a central bank fixes the rate on government bonds [1]. - The Federal Reserve may expand its balance sheet by purchasing government bonds until bond prices rise and yields fall to a predetermined level [2]. - The Bank of Japan has successfully implemented this approach for nearly two decades, capping rates at desired levels [2]. Group 2: Federal Reserve's Third Mandate - Hayes indicates that the Federal Reserve is signaling a potential move towards yield curve control through discussions of a "third mandate" in the Federal Reserve Act of 1913, which aims to maintain moderate government bond levels [5]. - The interpretation of what constitutes "moderate levels" is left ambiguous, allowing for flexibility in implementation [5]. Group 3: Political Influence - Former President Trump is cited as advocating for low government bond yields and increased money supply to stimulate the economy, which aligns with the potential for yield curve control [6]. Group 4: Impact on Cryptocurrency - Hayes predicts that the adoption of yield curve control will likely lead to an increase in the value of Bitcoin and other digital assets, as these assets tend to perform well when credit expands [7]. - The comparison is made to the 2008 financial crisis, suggesting that similar monetary policies could lead to significant upward movements in Bitcoin prices [8].

Core Insights - Institutional adoption of crypto has gained momentum following the U.S. approval of spot Bitcoin ETFs in January 2024, leading to discussions on asset allocation strategies [1] - The debate centers around whether large investors should allocate more than 5% of their assets under management to crypto, with allocations above the pre-2025 standard risk-adjusted threshold of 1-5% seen as a significant win for Bitcoin [1] Group 1: Institutional Behavior - Institutions are increasingly considering allocations above the 5% threshold due to a mix of structural factors such as ETFs, custody solutions, and evolving accounting standards, alongside market sentiment [2] - The competitive fear of missing out (FOMO) is driving this shift, as no Chief Investment Officer (CIO) wants to be left behind by peers [3] Group 2: Diversification and Risk - While crypto assets may show high correlation with equities during downturns, they are still viewed as a means to diversify return streams over the long term, with allocations beyond 5% focusing on capturing uncorrelated sources of long-term alpha [4] - Critics argue that institutions may confuse speculative growth potential with sustainable long-term value, but the current investment landscape includes regulated ETFs and infrastructure developments that support long-term market evolution [5] Group 3: Market Dynamics - The return distributions of crypto assets differ from traditional assets, influenced by factors such as adoption cycles, technological innovation, and monetary dynamics [6] - Institutions are exploring tactical flexibility through yield strategies, lending, and derivatives, indicating a more sophisticated approach to crypto investments [6]

Core Viewpoint - The U.S. Securities and Exchange Commission (SEC) will not pursue enforcement actions against investment advisers and registered funds using state-chartered trust companies for crypto asset custody, providing temporary clarity in a previously uncertain regulatory environment [1][6]. Group 1: Regulatory Clarity - The SEC's letter indicates that state-chartered trusts may be treated as "banks" under the Investment Advisers Act of 1940 and the Investment Company Act of 1940 for safeguarding digital assets [2]. - Investment advisers and regulated funds can now place client crypto holdings and related cash with state-chartered trusts without violating federal custody rules [3][4]. - The SEC's guidance is significant as federal law requires advisers to use a "qualified custodian," typically a national bank or trust company, to hold client assets [4]. Group 2: Conditions and Compliance - Advisers must conduct due diligence to ensure that the state-chartered trust is authorized by its state banking authority for crypto custody, maintains audited financial statements, and has internal controls verified by independent accountants [5]. - Trusts must follow strict policies to protect private keys, segregate client assets, and prohibit rehypothecation without client consent [5]. Group 3: Market Implications - The SEC's no-action position could broaden the crypto custody market, allowing greater participation from firms such as Coinbase, Ripple's Standard Custody, BitGo, and WisdomTree [6][7]. - The additional clarity from the SEC was deemed necessary to address uncertainties regarding the eligibility of state-chartered trusts [7].

Crypto Exchange Platform Expansion - MEXC expands crypto buying options [1] - Supports 45 fiat currencies [1] - Offers 34 crypto assets [1] - Introduces over 1300 new trading pairs [1] Promotional Offer - Every card purchase grants a Fortune Spin [1] - Users can win up to 1000 USDT per spin [1] - Every spin guarantees a win [1]

Core Viewpoint - Cruz Battery Metals Corp. has approved a strategic initiative to diversify a portion of its free cash into select crypto assets, aiming to enhance shareholder value and align with emerging global trends [1][2][3]. Group 1: Strategic Initiative - The decision to invest in crypto assets is part of Cruz's commitment to exploring innovative investment avenues while maintaining its core focus on battery metals exploration, particularly lithium and cobalt [2][3]. - This diversification strategy is intended to strengthen the company's balance sheet by gaining exposure to digital assets with long-term growth potential [2][3]. Group 2: Management Commentary - The President of Cruz Battery Metals stated that this strategic step reflects a proactive approach to capital management, presenting an additional opportunity to enhance shareholder value alongside core operations [3]. - The crypto market has seen renewed momentum, and companies in this space have demonstrated strong investor interest, which supports Cruz's decision to diversify [3]. Group 3: Core Operations - Cruz's primary business remains focused on advancing its U.S.-based battery metals projects, including the 4,938-acre Solar Lithium Project, Clayton Valley lithium brine assets, and Idaho Cobalt Belt Project [3][4]. - The company will continue to evaluate all investment opportunities prudently, with the goal of sustainable, long-term growth [3].

Company Overview - Galaxy Digital ($GLXY) is positioned as a crypto bank and infrastructure provider [1] - The company holds over $3 billion (>$3B) in crypto assets on its balance sheet [1] - Crypto assets include Bitcoin ($BTC), Ethereum ($ETH), Solana ($SOL), and HYPE [1] AI Data Center Development - Galaxy Digital is constructing a large AI data center in the US [1] - The data center has 800 MW of approved power capacity [1] - An additional 1.7 GW of power capacity is under study for the data center [1] Market Valuation - Galaxy Digital's market capitalization is $10 billion ($10B) [1] - The author suggests a potential 5-10x increase in market capitalization to align with peers [1]