What happened: Bitcoin traded below $91,000 as net outflows from U.S. spot Bitcoin ETFs resumed, led by significant withdrawals from BlackRock’s IBIT and Fidelity’s FBTC — totaling roughly $486 million. Ethereum and other major assets also declined modestly.
Why it matters: ETF flows remain a key structural signal for institutional demand. Renewed outflows can weaken near-term price support and signal caution among large allocators ahead of macro news and key economic data.
Source: Barron’s market update on BTC/XRP declines & ETF outflows.
What happened: XRP is outperforming Bitcoin and Ether so far in early 2026, driven by strong spot ETF inflows (~$1.3 billion since launch) and clearer regulatory positioning after Ripple’s legal resolution in the U.S. — along with its real-world cross-border payment utility.
Why it matters: XRP’s structural setup — ETFs + use cases in cross-border payments — provides differentiated demand vs BTC/ETH. If institutional rotation continues, XRP could remain a favored alternative asset.
Sources: AInvest & AI Agent analyses of XRP outperformance and ETF dynamics.
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3) Market sentiment remains mixed ahead of U.S. jobs report & macro catalysts
What happened: Traders are cautious as markets await crucial U.S. employment data and a key Supreme Court ruling on global tariffs. Macro expectations are influencing risk assets broadly, including crypto, with sentiment swinging in both directions.
Why it matters: Crypto often mirrors broader risk appetite — macro catalysts like jobs reports can drive volatility and directional shifts. Price action around BTC/ETH now partly reflects traders pricing into macro uncertainty.
Sources: EconomicTimes and Barron’s insights on macro impact and price pressure.
What happened: Alongside Bitcoin’s pullback, altcoins such as Solana, Cardano, and meme/utility assets (e.g., SHIB, DOGE) continue to attract attention in rankings and capital flows, driven by diversification strategies and thematic demand. BTC dominance dropped under 60% in some charts, suggesting rotation.
Why it matters: Capital flowing into altcoins and thematic niches indicates that institutional and retail traders are looking beyond Bitcoin and Ethereum for relative performance or yield opportunities — especially when BTC/ETH show mixed signals.
Morgan Stanley plans crypto trading and tokenized asset wallet under 2026 roadmap
Morgan Stanley is preparing a series of digital asset initiatives that would significantly expand its crypto and blockchain offerings, Barron’s reports. The plans include launching cryptocurrency trading on its retail platform and introducing a proprietary digital wallet focused on tokenized assets.
According to the report, the bank intends to roll out trading Bor bitcoin, Ethereum, and Solana on E*Trade in the first half of 2026. The move would give Morgan Stanley’s retail clients direct access to major cryptocurrencies through an existing brokerage interface.
In parallel, the firm is working on the launch of its own digital wallet, expected in the second half of 2026. The wallet is designed to support tokenized assets, including real-world assets (RWAs) and potentially private company equity, as part of a broader push into tokenization.
The initiative forms part of Morgan Stanley’s longer-term strategy to integrate digital assets across multiple business lines, including workplace financial services and private-market investing. By tokenizing traditional assets, the bank aims to streamline transaction processing and settlement while improving operational efficiency.
Morgan Stanley has steadily increased its exposure to crypto-related services in recent years, expanding client access to digital asset investment products and advancing internal capabilities across trading, custody, and blockchain-based infrastructure. The latest plans signal a deeper institutional commitment to the sector.
As digital assets continue to gain traction among institutional investors, major banks are increasingly positioning themselves to offer crypto-native services alongside traditional financial products. Morgan Stanley’s roadmap reflects an industry shift toward integrating cryptocurrencies and tokenized assets into mainstream financial platforms.
Cathie Wood says U.S. government could begin buying bitcoin for national reserve
The U.S. government may begin actively purchasing bitcoin to build out its national strategic reserve, according to Cathie Wood, founder and CEO of ARK Invest, The Block reports.
Speaking on a recent episode of the Bitcoin Brainstorm podcast, Wood said she believes federal authorities could soon start acquiring bitcoin directly, adding to a reserve that was created by executive action early in Donald Trump’s second term.
To date, the reserve has largely been composed of bitcoin already held by the government, and Trump has previously pledged that these assets would not be sold. However, Wood suggested that the administration may move beyond this approach.
“It seems as though there has been reticence about actually buying bitcoin for the strategic reserve. The original intent was to own 1 million bitcoins, so I actually think they will start buying.”
Wood argued that political considerations could play a key role in shaping the administration’s crypto policy. With upcoming U.S. midterm elections potentially threatening Republican control, she said digital assets remain a strategically important issue for the president.
According to Wood, Trump has multiple incentives to maintain a pro-crypto stance. These include his family’s growing involvement in the digital asset sector, as well as the political influence of crypto-aligned voters.
“The most important one is that he doesn’t want to be a lame duck. He wants to have another one or two productive years, and I think he sees crypto as a path to the future.”
She also claimed that support from the crypto community played a meaningful role in Trump’s election victory, making the sector a politically salient topic as the administration looks ahead to the next phase of its agenda.
Beyond bitcoin accumulation, Wood said the administration is likely to pursue additional regulatory changes favorable to digital assets. Among them, she highlighted the possibility of a de minimis tax exemption, which would remove capital gains taxes on small crypto transactions and potentially encourage broader adoption.
1) Bitcoin & broader crypto market slip; BTC under $91K after ETF outflows
What happened: Bitcoin traded below $91,000 as net outflows from U.S. spot Bitcoin ETFs resumed, led by significant withdrawals from BlackRock’s IBIT and Fidelity’s FBTC — totaling roughly $486 million. Ethereum and other major assets also declined modestly.
Why it matters: ETF flows remain a key structural signal for institutional demand. Renewed outflows can weaken near-term price support and signal caution among large allocators ahead of macro news and key economic data.
Source: Barron’s market update on BTC/XRP declines & ETF outflows.
What happened: XRP is outperforming Bitcoin and Ether so far in early 2026, driven by strong spot ETF inflows (~$1.3 billion since launch) and clearer regulatory positioning after Ripple’s legal resolution in the U.S. — along with its real-world cross-border payment utility.
Why it matters: XRP’s structural setup — ETFs + use cases in cross-border payments — provides differentiated demand vs BTC/ETH. If institutional rotation continues, XRP could remain a favored alternative asset.
Sources: AInvest & AI Agent analyses of XRP outperformance and ETF dynamics.
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3) Market sentiment remains mixed ahead of U.S. jobs report & macro catalysts
What happened: Traders are cautious as markets await crucial U.S. employment data and a key Supreme Court ruling on global tariffs. Macro expectations are influencing risk assets broadly, including crypto, with sentiment swinging in both directions.
Why it matters: Crypto often mirrors broader risk appetite — macro catalysts like jobs reports can drive volatility and directional shifts. Price action around BTC/ETH now partly reflects traders pricing into macro uncertainty.
Sources: EconomicTimes and Barron’s insights on macro impact and price pressure.
What happened: Alongside Bitcoin’s pullback, altcoins such as Solana, Cardano, and meme/utility assets (e.g., SHIB, DOGE) continue to attract attention in rankings and capital flows, driven by diversification strategies and thematic demand. BTC dominance dropped under 60% in some charts, suggesting rotation.
Why it matters: Capital flowing into altcoins and thematic niches indicates that institutional and retail traders are looking beyond Bitcoin and Ethereum for relative performance or yield opportunities — especially when BTC/ETH show mixed signals.
Cathie Wood Says U.S. Government Could Begin Buying Bitcoin for National Reserve
The U.S. government may begin actively purchasing bitcoin to build out its national strategic reserve, according to Cathie Wood, founder and CEO of ARK Invest, The Block reports.
Speaking on a recent episode of the Bitcoin Brainstorm podcast, Wood said she believes federal authorities could soon start acquiring bitcoin directly, adding to a reserve that was created by executive action early in Donald Trump’s second term.
To date, the reserve has largely been composed of bitcoin already held by the government, and Trump has previously pledged that these assets would not be sold. However, Wood suggested that the administration may move beyond this approach.
“It seems as though there has been reticence about actually buying bitcoin for the strategic reserve. The original intent was to own 1 million bitcoins, so I actually think they will start buying.”
Wood argued that political considerations could play a key role in shaping the administration’s crypto policy. With upcoming U.S. midterm elections potentially threatening Republican control, she said digital assets remain a strategically important issue for the president.
According to Wood, Trump has multiple incentives to maintain a pro-crypto stance. These include his family’s growing involvement in the digital asset sector, as well as the political influence of crypto-aligned voters.
“The most important one is that he doesn’t want to be a lame duck. He wants to have another one or two productive years, and I think he sees crypto as a path to the future.”
She also claimed that support from the crypto community played a meaningful role in Trump’s election victory, making the sector a politically salient topic as the administration looks ahead to the next phase of its agenda.
Beyond bitcoin accumulation, Wood said the administration is likely to pursue additional regulatory changes favorable to digital assets. Among them, she highlighted the possibility of a de minimis tax exemption, which would remove capital gains taxes on small crypto transactions and potentially encourage broader adoption.
Morgan Stanley Plans Crypto Trading and Tokenized Asset Wallet Under 2026 Roadmap
Morgan Stanley is preparing a series of digital asset initiatives that would significantly expand its crypto and blockchain offerings, Barron’s reports. The plans include launching cryptocurrency trading on its retail platform and introducing a proprietary digital wallet focused on tokenized assets.
According to the report, the bank intends to roll out trading Bor bitcoin, Ethereum, and Solana on E*Trade in the first half of 2026. The move would give Morgan Stanley’s retail clients direct access to major cryptocurrencies through an existing brokerage interface.
In parallel, the firm is working on the launch of its own digital wallet, expected in the second half of 2026. The wallet is designed to support tokenized assets, including real-world assets (RWAs) and potentially private company equity, as part of a broader push into tokenization.
The initiative forms part of Morgan Stanley’s longer-term strategy to integrate digital assets across multiple business lines, including workplace financial services and private-market investing. By tokenizing traditional assets, the bank aims to streamline transaction processing and settlement while improving operational efficiency.
Morgan Stanley has steadily increased its exposure to crypto-related services in recent years, expanding client access to digital asset investment products and advancing internal capabilities across trading, custody, and blockchain-based infrastructure. The latest plans signal a deeper institutional commitment to the sector.
As digital assets continue to gain traction among institutional investors, major banks are increasingly positioning themselves to offer crypto-native services alongside traditional financial products. Morgan Stanley’s roadmap reflects an industry shift toward integrating cryptocurrencies and tokenized assets into mainstream financial platforms.
Zcash Drops Nearly 20% After Core Development Team Steps Down
The full development team at Electric Coin Company (ECC), the organization behind the privacy-focused cryptocurrency Zcash, has resigned, citing irreconcilable disagreements. The departures stem from a conflict with the board of Bootstrap, a nonprofit entity involved in overseeing Zcash-related governance.
Despite the mass exit, the Zcash protocol itself remains operational and unaffected, continuing to function as normal. ECC CEO Josh Swihart addressed the situation in a public statement on X, describing the circumstances surrounding the team’s departure:
“Yesterday, the entire ECC team left after being constructively discharged by ZCAM. In short, the terms of our employment were changed in ways that made it impossible for us to perform our duties effectively and with integrity.”
Swihart explained that the team is in the process of forming a new company, stressing that the group remains intact and committed to the same long-term vision. According to him, their mission continues to center on building censorship-resistant and privacy-preserving digital money.
He also emphasized that the decision to leave was not driven by technical concerns, but by governance-related actions that undermined ECC’s ability to operate in line with its founding principles.
“Importantly, the Zcash protocol is unaffected. This decision is simply about protecting our team’s work from malicious governance actions that have made it impossible to honor ECC’s original mission.”
In additional remarks, Swihart said that tensions had been building over recent weeks, as a majority of Bootstrap board members moved away from what he described as the core mission of Zcash. He specifically named Zaki Manian, Christina Garman, Alan Fairless, and Michelle Lai, collectively referred to as ZCAM, as being out of alignment with the project’s original goals.
The governance turmoil had an immediate market impact. Following the news, Zcash’s price fell nearly 20%, dropping to around $392 as traders reacted to the uncertainty surrounding the project’s development structure.
Zcash had drawn renewed interest from crypto users in recent months amid a trend in privacy-focused cryptocurrencies. As momentum returned to the privacy coin sector, Zcash emerged as one of the leading assets driving the trend.
Zcash drops nearly 20% after core development team steps down
The full development team at Electric Coin Company (ECC), the organization behind the privacy-focused cryptocurrency Zcash, has resigned, citing irreconcilable disagreements. The departures stem from a conflict with the board of Bootstrap, a nonprofit entity involved in overseeing Zcash-related governance.
Despite the mass exit, the Zcash protocol itself remains operational and unaffected, continuing to function as normal. ECC CEO Josh Swihart addressed the situation in a public statement on X, describing the circumstances surrounding the team’s departure:
“Yesterday, the entire ECC team left after being constructively discharged by ZCAM. In short, the terms of our employment were changed in ways that made it impossible for us to perform our duties effectively and with integrity.”
Swihart explained that the team is in the process of forming a new company, stressing that the group remains intact and committed to the same long-term vision. According to him, their mission continues to center on building censorship-resistant and privacy-preserving digital money.
He also emphasized that the decision to leave was not driven by technical concerns, but by governance-related actions that undermined ECC’s ability to operate in line with its founding principles.
“Importantly, the Zcash protocol is unaffected. This decision is simply about protecting our team’s work from malicious governance actions that have made it impossible to honor ECC’s original mission.”
In additional remarks, Swihart said that tensions had been building over recent weeks, as a majority of Bootstrap board members moved away from what he described as the core mission of Zcash. He specifically named Zaki Manian, Christina Garman, Alan Fairless, and Michelle Lai, collectively referred to as ZCAM, as being out of alignment with the project’s original goals.
The governance turmoil had an immediate market impact. Following the news, Zcash’s price fell nearly 20%, dropping to around $392 as traders reacted to the uncertainty surrounding the project’s development structure.
Zcash had drawn renewed interest from crypto users in recent months amid a trend in privacy-focused cryptocurrencies. As momentum returned to the privacy coin sector, Zcash emerged as one of the leading assets driving the trend.
World Liberty Financial Applies for U.S. Trust Bank Charter to Oversee Stablecoin Operations
World Liberty Financial, a crypto venture associated with the family of U.S. President Donald Trump, has submitted an application to U.S. regulators seeking approval to operate as a nationally chartered trust bank, according to Bloomberg.
Federal oversight sought for USD1 stablecoin
The application was filed with the Office of the Comptroller of the Currency (OCC) and proposes the creation of a new entity, World Liberty Trust Company (WLTC). If approved, the charter would place key elements of the company’s stablecoin business under direct federal oversight.
Trust bank to handle issuance, custody, and conversions
Under the proposal, WLTC would assume responsibility for the issuance and redemption of the USD1 stablecoin, manage reserves backing the token, and provide custody services for fiat currencies and major stablecoins. The trust bank would also be authorized to offer conversion services, allowing users to exchange other widely used stablecoins for USD1.
According to the filing, WLTC plans to launch with a fee-free model for core services, including stablecoin minting and redemption, as well as on- and off-ramp conversions between U.S. dollars and USD1. Custody and stablecoin conversion services would be offered at prevailing market rates.
If granted, the charter would place World Liberty Financial in a narrowly populated regulatory category, with only a limited number of crypto-native firms currently operating under similar federal supervision. The move signals an effort to align the USD1 stablecoin more closely with U.S. regulatory standards at a time of heightened scrutiny of digital asset issuers.
World Liberty Financial operates a decentralized finance protocol developed by its founding company, which was established in 2024 by Zachary Folkman, Chase Herro, Alex Witkoff, Zach Witkoff, along with members of the Trump family. The project has positioned itself as a crypto-native platform with ambitions to operate within the traditional U.S. financial regulatory framework.
World Liberty Financial applies for U.S. trust bank charter to oversee stablecoin operations
World Liberty Financial, a crypto venture associated with the family of U.S. President Donald Trump, has submitted an application to U.S. regulators seeking approval to operate as a nationally chartered trust bank, according to Bloomberg.
Federal oversight sought for USD1 stablecoin
The application was filed with the Office of the Comptroller of the Currency (OCC) and proposes the creation of a new entity, World Liberty Trust Company (WLTC). If approved, the charter would place key elements of the company’s stablecoin business under direct federal oversight.
Trust bank to handle issuance, custody, and conversions
Under the proposal, WLTC would assume responsibility for the issuance and redemption of the USD1 stablecoin, manage reserves backing the token, and provide custody services for fiat currencies and major stablecoins. The trust bank would also be authorized to offer conversion services, allowing users to exchange other widely used stablecoins for USD1.
According to the filing, WLTC plans to launch with a fee-free model for core services, including stablecoin minting and redemption, as well as on- and off-ramp conversions between U.S. dollars and USD1. Custody and stablecoin conversion services would be offered at prevailing market rates.
If granted, the charter would place World Liberty Financial in a narrowly populated regulatory category, with only a limited number of crypto-native firms currently operating under similar federal supervision. The move signals an effort to align the USD1 stablecoin more closely with U.S. regulatory standards at a time of heightened scrutiny of digital asset issuers.
World Liberty Financial operates a decentralized finance protocol developed by its founding company, which was established in 2024 by Zachary Folkman, Chase Herro, Alex Witkoff, Zach Witkoff, along with members of the Trump family. The project has positioned itself as a crypto-native platform with ambitions to operate within the traditional U.S. financial regulatory framework.
What happened: Bitcoin slipped toward $90,000, trading around ~$90,900, while Ethereum held near ~$3,150 as traders awaited key U.S. jobs data and a U.S. Supreme Court ruling on global tariffs. This caution weighed on crypto sentiment.
Why it matters: Macro catalysts — especially jobs figures and legal rulings — can quickly shift risk appetite, and traders are positioning defensively. Price weakness at key levels suggests volatility ahead as markets digest new economic cues.
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2) Morgan Stanley expands crypto ETF filings — Bitcoin, Solana & Ethereum
What happened: Major Wall Street bank Morgan Stanley filed with the SEC to launch spot ETFs tied to Bitcoin and Solana, and according to recent filings, also an Ethereum ETF — signaling deepening bank engagement in digital assets. These products would hold each asset directly, not via futures.
Why it matters: A global bank issuing its own ETFs highlights mainstream institutional confidence in crypto investment vehicles and could attract broader capital flows if approved. It also reflects a shift from simply distributing third-party products toward actively sponsoring crypto ETFs.
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3) UK crypto tax reporting rules now in force — stricter HMRC requirements
What happened: New Cryptoasset Reporting Framework (CARF) regulations took effect in the UK as of 1 Jan 2026, requiring exchanges and platforms to share user earnings and transaction details with HMRC to combat tax evasion.
Why it matters: Heightened tax transparency increases compliance obligations for crypto investors and could influence trading behavior and reporting practices — part of a broader global push to align crypto with traditional financial reporting.
What happened: After early-January strength, Bitcoin and other digital assets saw a pullback — reflecting a “pause” in the recent rally. This is linked to broader weakness in tech stocks and risk-off trading ahead of macro data and global events, affecting risk assets including crypto.
Why it matters: Crypto does not trade in isolation — correlations with equities and shifts in broader investor sentiment often shape price action. A temporary pullback doesn’t negate longer-term trends but underlines how sensitive markets remain to external catalysts.
Bitcoin Near $90K, Morgan Stanley Crypto ETF Push, UK Tax Rules Tighten, Market Rally Pauses
NEWS DIGEST – 08.01.2026
What happened: Bitcoin slipped toward $90,000, trading around ~$90,900, while Ethereum held near ~$3,150 as traders awaited key U.S. jobs data and a U.S. Supreme Court ruling on global tariffs. This caution weighed on crypto sentiment.
Why it matters: Macro catalysts — especially jobs figures and legal rulings — can quickly shift risk appetite, and traders are positioning defensively. Price weakness at key levels suggests volatility ahead as markets digest new economic cues.
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2) Morgan Stanley expands crypto ETF filings — Bitcoin, Solana & Ethereum
What happened: Major Wall Street bank Morgan Stanley filed with the SEC to launch spot ETFs tied to Bitcoin and Solana, and according to recent filings, also an Ethereum ETF — signaling deepening bank engagement in digital assets. These products would hold each asset directly, not via futures.
Why it matters: A global bank issuing its own ETFs highlights mainstream institutional confidence in crypto investment vehicles and could attract broader capital flows if approved. It also reflects a shift from simply distributing third-party products toward actively sponsoring crypto ETFs.
⸻
3) UK crypto tax reporting rules now in force — stricter HMRC requirements
What happened: New Cryptoasset Reporting Framework (CARF) regulations took effect in the UK as of 1 Jan 2026, requiring exchanges and platforms to share user earnings and transaction details with HMRC to combat tax evasion.
Why it matters: Heightened tax transparency increases compliance obligations for crypto investors and could influence trading behavior and reporting practices — part of a broader global push to align crypto with traditional financial reporting.
What happened: After early-January strength, Bitcoin and other digital assets saw a pullback — reflecting a “pause” in the recent rally. This is linked to broader weakness in tech stocks and risk-off trading ahead of macro data and global events, affecting risk assets including crypto.
Why it matters: Crypto does not trade in isolation — correlations with equities and shifts in broader investor sentiment often shape price action. A temporary pullback doesn’t negate longer-term trends but underlines how sensitive markets remain to external catalysts.
Ripple has no plans to pursue an initial public offering, according to company president Monica Long. Speaking in an interview with Bloomberg, Long said the firm’s current financial position allows it to continue expanding without tapping public markets.
Long explained that companies typically consider going public to gain access to liquidity and broader pools of capital. In Ripple’s case, however, those drivers are not pressing. She described the company as being in a “very healthy financial position,” enabling it to fund growth internally while remaining privately held.
Instead of preparing for an IPO, Ripple is prioritising product development and strategic expansion through acquisitions. Long noted that the company remains focused on building infrastructure that connects traditional financial systems with blockchain-based solutions, adding that a change in corporate status is not part of its current strategy. Her comments follow a recent fundraising round in which Ripple raised $500 million at a valuation of approximately $40 billion.
Long characterised the financing terms as supportive of Ripple’s long-term objectives but declined to disclose details related to investor protections or special rights tied to a potential sale of the business.
Throughout 2025, Ripple has accelerated its expansion through mergers and acquisitions. The company completed several major deals, including the purchase of prime brokerage Hidden Road and payments-focused stablecoin platform Rail. It also acquired treasury management provider GTreasury and custody firm Palisade, bringing total M&A spending close to $4 billion.
According to Ripple, transaction volumes processed via Ripple Payments have surpassed $95 billion. The company’s institutional arm, Ripple Prime, has broadened its offering to include additional lending and trading products, while the U.S. dollar-backed stablecoin RLUSD continues to play a central role in Ripple’s ecosystem.
Earlier this year, Ripple’s stablecoin received regulatory approval in Abu Dhabi, marking a key milestone in the company’s push to expand within regulated international markets.
Polymarket Declines Payouts on U.S.–Venezuela Invasion Bets
Polymarket, a crypto-based prediction market, has drawn criticism after it refused to settle several high-value contracts tied to whether the United States would invade Venezuela, Guardian reports. The decision leaves millions of dollars in wagers unresolved, after the platform determined that recent events did not meet its criteria for an “invasion.”
Traders had committed more than $10.5 million on contracts betting that U.S. forces would carry out an invasion by various deadlines, with most money placed on a January 31, 2026 outcome. Some users wagered tens of thousands of dollars on the question, expecting the result to be settled after a surprise military operation that captured Venezuelan President Nicolás Maduro.
However, Polymarket said on its website that payouts only occur if U.S. military forces undertake an action intended to establish control over Venezuelan territory — a condition it ruled was not fulfilled by the raid that removed Maduro. The clarification caused the market price on the invasion question to plunge as traders saw their chances of winning collapse.
The platform’s stance has drawn outrage from users, with some accusing it of arbitrarily redefining terms and failing to honour bets that appeared to be resolved by real-world events. An anonymous trader who placed about $30,000 on related outcomes briefly saw unrealised gains of more than $436,000 before the resolution breakdown, adding to concerns over fairness and transparency.
Polymarket recently secured regulatory approval in the U.S. and is among a growing number of prediction markets attracting attention from both participants and lawmakers. Critics warn that such platforms raise complex legal and ethical questions, especially when geopolitical developments — rather than sporting or financial results — are at stake.
Polymarket declines payouts on U.S.–Venezuela invasion bets
Polymarket, a crypto-based prediction market, has drawn criticism after it refused to settle several high-value contracts tied to whether the United States would invade Venezuela, Guardian reports. The decision leaves millions of dollars in wagers unresolved, after the platform determined that recent events did not meet its criteria for an “invasion.”
Traders had committed more than $10.5 million on contracts betting that U.S. forces would carry out an invasion by various deadlines, with most money placed on a January 31, 2026 outcome. Some users wagered tens of thousands of dollars on the question, expecting the result to be settled after a surprise military operation that captured Venezuelan President Nicolás Maduro.
However, Polymarket said on its website that payouts only occur if U.S. military forces undertake an action intended to establish control over Venezuelan territory — a condition it ruled was not fulfilled by the raid that removed Maduro. The clarification caused the market price on the invasion question to plunge as traders saw their chances of winning collapse.
The platform’s stance has drawn outrage from users, with some accusing it of arbitrarily redefining terms and failing to honour bets that appeared to be resolved by real-world events. An anonymous trader who placed about $30,000 on related outcomes briefly saw unrealised gains of more than $436,000 before the resolution breakdown, adding to concerns over fairness and transparency.
Polymarket recently secured regulatory approval in the U.S. and is among a growing number of prediction markets attracting attention from both participants and lawmakers. Critics warn that such platforms raise complex legal and ethical questions, especially when geopolitical developments — rather than sporting or financial results — are at stake.
Ripple has no plans to pursue an initial public offering, according to company president Monica Long. Speaking in an interview with Bloomberg, Long said the firm’s current financial position allows it to continue expanding without tapping public markets.
Long explained that companies typically consider going public to gain access to liquidity and broader pools of capital. In Ripple’s case, however, those drivers are not pressing. She described the company as being in a “very healthy financial position,” enabling it to fund growth internally while remaining privately held.
Instead of preparing for an IPO, Ripple is prioritising product development and strategic expansion through acquisitions. Long noted that the company remains focused on building infrastructure that connects traditional financial systems with blockchain-based solutions, adding that a change in corporate status is not part of its current strategy. Her comments follow a recent fundraising round in which Ripple raised $500 million at a valuation of approximately $40 billion.
Long characterised the financing terms as supportive of Ripple’s long-term objectives but declined to disclose details related to investor protections or special rights tied to a potential sale of the business.
Throughout 2025, Ripple has accelerated its expansion through mergers and acquisitions. The company completed several major deals, including the purchase of prime brokerage Hidden Road and payments-focused stablecoin platform Rail. It also acquired treasury management provider GTreasury and custody firm Palisade, bringing total M&A spending close to $4 billion.
According to Ripple, transaction volumes processed via Ripple Payments have surpassed $95 billion. The company’s institutional arm, Ripple Prime, has broadened its offering to include additional lending and trading products, while the U.S. dollar-backed stablecoin RLUSD continues to play a central role in Ripple’s ecosystem.
Earlier this year, Ripple’s stablecoin received regulatory approval in Abu Dhabi, marking a key milestone in the company’s push to expand within regulated international markets.
Institutional Crypto Momentum: Morgan Stanley ETFs, Strong Inflows, Bitcoin Stability & XRP Demand
NEWS DIGEST – 07.01.2026
What happened: Morgan Stanley has filed with the U.S. SEC to launch two new cryptocurrency ETFs — the Morgan Stanley Bitcoin Trust and Morgan Stanley Solana Trust — marking one of the first large-scale bank-sponsored crypto ETF filings from a major Wall Street institution. These funds would hold and track their respective assets directly.
Why it matters: A big traditional financial player moving into crypto ETF offerings signals growing institutional acceptance and could broaden mainstream exposure — especially in wealth management channels. This follows intensified bank engagement after recent regulatory clarifications.
What happened: The broader crypto market showed mixed trading, with Bitcoin around $92,500–$93,000 and Ethereum above $3,200, maintaining recent gains amid cautious sentiment. Market participants cited sustained investor confidence despite consolidation patterns.
Why it matters: Holding these key levels early in 2026 suggests resilience after year-end volatility; range-bound trading still dominates, but stable support could set up more defined directional moves ahead.
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3. Crypto ETFs saw the strongest inflows day of the year — nearly $900M on Jan 5
What happened: Institutional capital flowed back into crypto-linked ETFs across Bitcoin, Ethereum, Solana and XRP products, recording one of the largest single-day inflow sessions of the year. Bitcoin ETFs led with nearly $697.2 M in net inflows, while ETH, SOL and XRP also attracted capital.
Why it matters: Such robust ETF demand reflects renewed institutional interest after a volatile end to 2025, supporting price action and signaling that traditional capital is again engaging crypto exposure via regulated vehicles.
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4. XRP ETF boom continues — over $1.4B in inflows so far in early 2026
What happened: The first U.S. spot-XRP ETFs — including REX Osprey’s XRPR and others — have attracted heavy capital in early 2026, pushing total inflows above $1.4 billion in a matter of weeks. This coincides with XRP’s price strength and reduced exchange supply.
Why it matters: Spot ETF inflows are a major structural driver for asset demand — when flows concentrate in XRP products, it not only tightens sell-side liquidity but can also support sustained price expansion if institutional interest persists.
Institutional Crypto Momentum: Morgan Stanley ETFs, Strong Inflows, Bitcoin Stability & XRP Demand
NEWS DIGEST – 07.01.2026
1. Morgan Stanley files for Bitcoin & Solana ETFs — major bank enters crypto placement game
What happened: Morgan Stanley has filed with the U.S. SEC to launch two new cryptocurrency ETFs — the Morgan Stanley Bitcoin Trust and Morgan Stanley Solana Trust — marking one of the first large-scale bank-sponsored crypto ETF filings from a major Wall Street institution. These funds would hold and track their respective assets directly.
Why it matters: A big traditional financial player moving into crypto ETF offerings signals growing institutional acceptance and could broaden mainstream exposure — especially in wealth management channels. This follows intensified bank engagement after recent regulatory clarifications.
What happened: The broader crypto market showed mixed trading, with Bitcoin around $92,500–$93,000 and Ethereum above $3,200, maintaining recent gains amid cautious sentiment. Market participants cited sustained investor confidence despite consolidation patterns.
Why it matters: Holding these key levels early in 2026 suggests resilience after year-end volatility; range-bound trading still dominates, but stable support could set up more defined directional moves ahead.
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3. Crypto ETFs saw the strongest inflows day of the year — nearly $900M on Jan 5
What happened: Institutional capital flowed back into crypto-linked ETFs across Bitcoin, Ethereum, Solana and XRP products, recording one of the largest single-day inflow sessions of the year. Bitcoin ETFs led with nearly $697.2 M in net inflows, while ETH, SOL and XRP also attracted capital.
Why it matters: Such robust ETF demand reflects renewed institutional interest after a volatile end to 2025, supporting price action and signaling that traditional capital is again engaging crypto exposure via regulated vehicles.
⸻
4. XRP ETF boom continues — over $1.4B in inflows so far in early 2026
What happened: The first U.S. spot-XRP ETFs — including REX Osprey’s XRPR and others — have attracted heavy capital in early 2026, pushing total inflows above $1.4 billion in a matter of weeks. This coincides with XRP’s price strength and reduced exchange supply.
Why it matters: Spot ETF inflows are a major structural driver for asset demand — when flows concentrate in XRP products, it not only tightens sell-side liquidity but can also support sustained price expansion if institutional interest persists.
Casino-Style Game Mechanics Spotted in Telegram Beta
Early signs of casino-style gameplay have appeared in the Telegram beta, according to reports from TON community channels. References to Emoji Stake — a new game mechanic built around wagering TON on random emoji outcomes — were spotted directly within the messenger’s interface.
The feature allows users to place bets on emojis such as dice or slot machines without leaving Telegram. According to the description found in the beta, Emoji Stake is currently running as a limited playtest for a potential future platform focused on emoji-based games.
Sources within the TON ecosystem say the experiment explores a format where gambling mechanics are embedded into Telegram’s native user experience, enabling participation in just a few taps and without redirecting users to external apps or websites.
The beta version, referred to as Emoji Stake Beta, reportedly offers a streamlined interface with multipliers ranging from 1.5x to 6.0x. After each round, participants can see their results, including wins or losses, as well as aggregated outcomes from other players.
At this stage, access appears to be restricted to a small group of users, and the feature remains in testing. Telegram has not made any official announcement regarding Emoji Stake or broader plans to introduce gambling-related mechanics into the platform.
If expanded, the experiment could signal new directions for integrating gaming and crypto-native services directly into messaging apps — though for now, it remains an early-stage test.
What happened: Bitcoin reclaimed significant upside — climbing near $94,000–$95,000, marking its highest levels in about six weeks as markets opened up in 2026. Alongside BTC, Ethereum and XRP also posted gains, lifting the entire crypto sector.
Why it matters: This breakout suggests renewed market momentum after the year-end lull, with risk appetite improving and traders positioning early in the new year. A sustained move above these levels could signal a broader bullish phase.
2. XRP leads crypto recovery with strong surge and ranking jump
What happened: XRP has been outperforming many assets, with double-digit percentage gains and a surge that helped it reclaim the No. 3 spot in global market capitalization, overtaking BNB. Institutional ETF flows remain robust, underpinning the rally.
Why it matters: XRP’s leadership during this rally highlights shifting capital flows and investor confidence in select altcoins, not just BTC/ETH — especially where ETF demand and technical breakouts coincide.
Sources: MEXC News; XRP comeback ranking report.
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3. Ethereum stability + upcoming network upgrade keeps ETH in focus
What happened: Ethereum remains stable above $3,150–$3,200, supported by strong fundamentals and preparation for a major upgrade scheduled soon, aimed at improving throughput and lowering fees.
Why it matters: Tech-driven catalysts like network upgrades can attract long-term capital and strengthen market positioning, making ETH a leading contender even as price cycles fluctuate.
Source: Sergey Tereshkin market update.
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4. Record ETF inflows power institutional interest early in the year
What happened: U.S. spot crypto ETFs reported significant inflows (~$670 million) in early 2026, with Bitcoin, Ethereum, Solana and XRP products drawing capital as institutions re-enter the market after late-2025 outflows.
Why it matters: Renewed institutional flows are a major market driver — they add structural demand beyond retail price action. Early Jan inflows suggest serious allocation interest as macro conditions and sentiment improve.