Grayscale and Franklin Templeton’s new spot XRP ETFs led the market on debut, pulling in $67.4 million and $62.6 million in respective net inflows on Monday.
The following article is adapted from The Block’s newsletter, The Daily, which comes out on weekday afternoons.
Happy Tuesday! Bitcoin’s gentle recovery to the high-$80,000s has analysts urging caution as diverging ETF flows, stressed onchain metrics, and a dense slate of delayed U.S. macro data keep traders guarded despite what some describe as the early signs of a potential bottoming pattern.
In today’s newsletter, Polymarket gets the green light to resume U.S. operations, Grayscale and Franklin Templeton see strong day one inflows for their new XRP ETFs, Klarna plans a USD stablecoin launch, and more.
Meanwhile, Kraken pushes its Krak money app as a bank alternative with a new cashback debit card, salary deposits, and high-yield vaults. Plus, JPMorgan offers investors a chance to win big if bitcoin’s price drops next year, but then rockets in 2028.
P.S. Don’t forget to check out The Funding, a biweekly rundown of crypto VC trends. It’s a great read — and just like The Daily, it’s free to subscribe!
Homegrown NYC startup Polymarket allowed to resume US operations following CFTC reversal
The CFTC has officially approved Polymarket’s return to the U.S. by issuing an Amended Order of Designation that lets the onchain predictions platform operate as a fully regulated intermediated exchange.
* Polymarket cleared its path back into the market by acquiring QCX, a designated contract market and clearinghouse, following its 2022 ban for running an unregistered derivatives exchange.
* The U.S. relaunch caps a breakout year in which Polymarket struck major licensing deals with groups like Google Finance and the NHL, as well as attracting investment from NYSE parent firm ICE.
* The New York-founded startup is reportedly targeting a $12 billion to $15 billion valuation and has also hinted at plans for a POLY token launch.
* Trading volume on Polymarket and rival Kalshi has surged in recent months, with September and October closing at record levels for the sector.
* The CFTC’s shift toward a more hands-off stance on prediction markets follows Kalshi’s successful legal challenge over offering contracts related to the 2024 U.S. elections.
Grayscale and Franklin XRP ETFs each clock over $60 million in day one inflows as group outshines BTC, ETH, and SOL funds
Grayscale and Franklin Templeton’s new spot XRP ETFs led the market on debut, pulling in $67.4 million and $62.6 million in respective net inflows on Monday.
* The broader XRP ETF category logged $164.1 million worth of inflows for the day, handily outperforming its BTC, ETH, and SOL counterparts.
* Pure spot XRP ETFs have amassed $586.8 million in cumulative inflows since trading began on Nov. 13 and have yet to record a single day of outflows.
* In comparison, the U.S. spot Bitcoin ETFs slumped back to net outflows of $151.1 million on Monday, and spot Ethereum ETFs attracted net inflows of $96.6 million.
* Pure spot Solana ETFs brought in $58 million — extending their positive streak since launch to 20 days, totaling $568.3 million.
* Meanwhile, Grayscale’s debut DOGE ETF saw zero flows on its debut day, though NovaDius President Nate Geraci argued the launch symbolized the scale of the U.S. crypto regulatory shift.
Klarna plans USD stablecoin launch on Paradigm and Stripe-backed Tempo blockchain
Swedish buy now, pay later provider Klarna is launching a KlarnaUSD stablecoin on the Paradigm and Stripe-backed Tempo blockchain to cut cross-border payment fees — marking a major reversal from CEO Sebastian Siemiatkowski’s earlier crypto skepticism.
* The USD-backed token is live on Tempo’s testnet and slated for a 2026 mainnet debut, using Stripe subsidiary Bridge’s Open Issuance infrastructure.
* Klarna’s move taps into booming global stablecoin usage, with annual volumes nearing $27 trillion and USD-pegged supply climbing toward $300 billion.
* “Crypto is finally at a stage where it is fast, low-cost, secure, and built for scale,” Siemiatkowski said, noting that Klarna serves 114 million customers and processes $112 billion in gross merchandise volume annually.
Binance ‘knowingly facilitated’ Hamas terrorist group, new lawsuit claims
More than 300 victims of Hamas’ 2023 attack on Israel sued Binance in North Dakota on Monday, alleging the crypto exchange enabled the militant group to move funds for years.
* The complaint claims Binance “knowingly facilitated” illicit transactions for Hamas and other U.S.-designated terrorist groups by using opaque offshore entities and weak customer checks.
* Plaintiffs argue these alleged flows materially contributed to the Oct. 7 attacks, though Binance said it complies with global sanctions and noted U.S. officials have downplayed crypto’s role in Hamas financing.
* The case adds to Binance’s legal challenges in recent years following its 2023 compliance violations and $4.3 billion settlement, as well as former CEO Changpeng “CZ” Zhao’s conviction and subsequent pardon.
Metaplanet borrows another $130 million against its bitcoin holdings to buy more BTC
Metaplanet drew another $130 million from its bitcoin-backed credit facility, bringing total borrowing to $230 million as it looks to ramp up BTC purchases, income strategies, and potential share buybacks.
* The firm said its 30,823 BTC reserve — valued near $2.7 billion — provides ample collateral headroom for loans taken under the $500 million credit line, even amid bitcoin’s sharp price decline.
* Despite being the fourth-largest publicly traded bitcoin treasury company, Metaplanet’s shares have plunged 81% since June, and its BTC stack now carries roughly $600 million in unrealized losses.
In the next 24 hours
* U.S. PPI data are due at 7 a.m. ET on Wednesday. The UK budget statement is scheduled for 7:30 a.m. U.S. jobless claims, PCE, and GDP figures follow from 8:30 a.m.
* ECB President Christine Lagarde will speak at 12 p.m.
* Blast and IOTA are among the crypto projects set for token unlocks.
Never miss a beat with The Block’s daily digest of the most influential events happening across the digital asset ecosystem.
