gm 23/10

Summary
gm, The Federal Reserve is exploring a new 'skinny' master account option that would allow crypto firms and fintechs direct access to the Fed's payment system without requiring full banking privileges, potentially resolving a major infrastructure challenge for the industry. Meanwhile, FalconX announced its acquisition of 21Shares, one of the largest crypto ETP issuers, signaling continued consolidation in the institutional crypto space. Hong Kong approved the world's first spot Solana ETF, getting ahead of the U.S. regulatory process which remains delayed by the government shutdown. Additionally, SharpLink Gaming increased its Ethereum treasury to 859,853 ETH (valued at $3.5 billion), highlighting the growing trend of companies using Ethereum as a treasury asset. Bitcoin whales are increasingly converting their holdings to ETF shares for tax advantages, representing a significant shift in how long-term holders manage their assets.

News Headlines
📊 Bitcoin Futures Traders Return as BTC Rallies to $114K

• Crypto futures traders are returning to the market following a challenging sell-off on October 10 that resulted in $20 billion in futures liquidations, with Bitcoin futures open interest rising above $32 billion from a low of $28 billion.
• The rally to $114,000 coincides with positive indicators such as increasing open interest and rising BTC funding rates, suggesting strong futures market influence, though analysts caution that swing traders may capitalize on price peaks.

🌐 Bitcoin Whales Quietly Embrace BlackRock ETF Following SEC Rule Change

• Bitcoin whales are increasingly converting their holdings into exchange-traded funds like BlackRock's iShares spot Bitcoin ETF (IBIT), with over $3 billion already converted according to BlackRock's head of digital assets, Robbie Mitchnick.
• This trend allows whales to maintain Bitcoin exposure while integrating their assets into the conventional financial system, offering better access to investment opportunities and tax advantages through in-kind creations and redemptions.

🤝 Aave Partners with Maple Finance to Integrate Institutional Assets

• Aave has partnered with Maple Finance to integrate Maple's yield-bearing stablecoins, syrupUSDC and syrupUSDT, into its lending markets, enhancing capital efficiency across its ecosystem.
• The collaboration aims to boost borrow demand by offering institutional-grade assets as collateral, with Maple's stablecoins backed by assets in credit pools that handle billions in institutional capital.

🏘️ Real Estate Tokenization Firm Propy Launches $100M Expansion

• Propy has announced a $100 million expansion to acquire mid-size property title companies across the U.S., aiming to digitize and modernize the $25 billion property title industry using blockchain and AI.
• The company has already processed $4 billion in digital real estate transactions and plans to integrate technology that reduces fraud and increases efficiency, targeting a $1 billion valuation through these acquisitions.

🏒 NHL Becomes First Major Sports League to Partner with Prediction Markets

• The NHL has entered multi-year licensing agreements with prediction market platforms Polymarket and Kalshi, becoming the first major U.S. sports league to allow these platforms to use its trademarks.
• This partnership comes amid significant growth in prediction markets, with weekly trading volumes surpassing $2 billion, positioning these platforms to compete with established sportsbooks especially in states where sports betting is restricted.

Market Metrics

Fundraising & VC
1. Sign (Strategic, $25.5M) - On-chain infrastructure for token distribution and credential verification
2. Nubila (Seed, $8M) - Global environmental data network
3. Lit Protocol (Undisclosed, $2.5M) - Decentralized key management and compute network

Regulatory
🔒 UK FCA Sues Crypto Exchange HTX for Unlawful Promotion

• The UK's Financial Conduct Authority has initiated legal proceedings against cryptocurrency exchange HTX for unlawfully promoting digital asset services without proper authorization.
• This enforcement action follows previous warnings issued about HTX (formerly Huobi) as early as 2023, highlighting the regulator's commitment to consumer protection in the UK's digital asset market.

🏦 Asian Exchanges Reject Bitcoin Treasury Companies

• Stock exchanges in Hong Kong, India, and Australia are increasingly rejecting applications from companies seeking to pivot to Bitcoin treasury strategies, citing concerns about volatility risks.
• This regulatory pushback follows significant losses for retail investors in digital-asset treasury trades, with experts cautioning against loosening corporate governance standards for such investment vehicles.

🔄 Senator Lummis Pushes CFPB to Finalize Open Banking Rules

• Senator Cynthia Lummis urged the Consumer Financial Protection Bureau to expedite its open banking rule, which would allow consumers to share financial data with third parties, including cryptocurrency exchanges.
• Lummis emphasized that banks have been restricting access to industries they oppose, including digital assets, and warned that continued barriers could drive innovation overseas.

💰 Congress Moves to Update Bank Secrecy Act Reporting Thresholds

• A bipartisan group of senators introduced the STREAMLINE Act to update the Bank Secrecy Act's reporting thresholds for the first time in 50 years, raising the Currency Transaction Report threshold from $10,000 to $30,000.
• The proposed changes would impact U.S. cryptocurrency exchanges that must comply with BSA requirements and would require the Treasury Department to adjust these thresholds for inflation every five years.

🌐 Liechtenstein Launches State-Backed Blockchain Network

• Liechtenstein has inaugurated a state-backed blockchain infrastructure network (LTIN) managed by Telecom Liechtenstein, operating under the country's Blockchain Act and aligning with EU's MiCAR regulation.
• This public-private partnership aims to create secure transaction and identity systems for institutions needing compliance with European regulations, with a commitment to using 100% renewable energy.

Technical Analysis
Bitcoin - Bitcoin is within an approximate horizontal trend channel in the short term, which indicates further development in the same direction. The currency is between support at points 107600 and resistance at points 109600. A definitive break through of one of these levels predicts the new direction. The volume balance is negative and weakens the currency in the short term. RSI is below 30 after the falling prices of the past weeks. The currency has strong negative momentum and further decline is indicated. However, particularly in big stocks, low RSI may be a sign that the stock is oversold and that there is a chance for a reaction upwards. The currency is overall assessed as technically neutral for the short term.

Ethereum - Investors have accepted lower prices over time to get out of Ethereum and the currency is in a falling trend channel in the short term. Falling trends indicate that the currency experiences negative development and falling buy interest among investors. There is no support in the price chart and further decline is indicated. In case of a positive reaction, the currency has resistance at 3970 points. Volume tops and volume bottoms correspond badly with tops and bottoms in the price. Volume balance is also negative, which confirms the trend. The currency is overall assessed as technically negative for the short term.