You are about to leave the website of SDM Inc. ("SDM") and will be redirected to the website of SDM Financial Inc. ("SDM Financial"), a US affiliate of SDM providing crypto derivatives trading services.
Please be aware that SDM Financial's services are not intended for, and should not be used by, residents of Canada.
By clicking on the link to SDM Financial's website, you acknowledge and agree that: You are not a Canadian resident.
SDM Financial is not registered with any regulatory authority in Canada and is strictly prohibited from entering, or otherwise engaging in, any transactions with Canadian residents.
Non-Canadian residents who deal with SDM Financial do so at their own risk, and SDM will not be held liable for any losses or damages incurred as a result.
By clicking 'I Accept' below, you confirm that you have read, understand, and agree to the above . If you do not agree, please select 'I Decline' and you will be redirected back to SDM's website.
BlackRock's Tokenized Treasury Fund Rapidly Gains Market Traction, Signaling Growing Blockchain Integration in Finance
BlackRock's entrance into the tokenized real-world asset (RWA) market with its BUIDL fund, focusing on U.S. Treasuries, has quickly captured significant attention, amassing $245 million in deposits and securing second place in its category within just a week of launch. Competing with Franklin Templeton's leading fund in the sector, BlackRock's move underscores the financial industry's accelerating interest in blockchain technology to tokenize traditional financial instruments for improved efficiency and faster settlements. The tokenized Treasury market, serving as an ideal entry point for such efforts due to its low risk and familiarity among investors, has seen rapid expansion, growing from $100 million to a potential $1 billion market soon. BUIDL, operating on the Ethereum blockchain, offers institutional investors a stable yield-generating opportunity by representing investments in U.S. Treasury bills and repo agreements, highlighting the growing integration of blockchain innovations within conventional finance sectors.
Venture Smart Financial Seeks to Launch Hong Kong's First Spot Bitcoin ETF Amid Regulatory Evolution
Venture Smart Financial Holdings Ltd., a Hong Kong-based financial services firm, has applied to launch a spot Bitcoin exchange-traded fund (ETF), targeting a release as early as May or June, pending regulatory processes. This development comes as Hong Kong signals openness to spot crypto ETFs, aligning with the Securities and Futures Commission and the Hong Kong Monetary Authority's recent policy revisions. Bloomberg's Eric Balchunas highlighted potential regulatory changes to allow in-kind creations and redemptions for these ETFs in Q2, enhancing asset management and trading volumes. The ETF aims to offer exclusive features for the Hong Kong market, potentially increasing assets under management and benefiting various stakeholders within the financial ecosystem, although certain uncertainties remain regarding the readiness of service providers.
21Shares Debuts Toncoin Staking ETP on SIX Swiss Exchange, Bridging Traditional Finance with Crypto Rewards
21Shares AG has launched a Toncoin staking exchange-traded product (ETP), TONN, on the SIX Swiss Exchange, allowing investors to earn staking rewards on Toncoin without directly managing a staking node. This ETP, which charges a 2.5% annual fee, debuts with approximately $40 million in assets under management, catering to the demand for new crypto products among investors. This launch coincides with Toncoin's price surge following its integration by Telegram for sharing advertisement revenue and rewarding users, marking a significant move since Telegram's previous legal battle with the SEC over its initial blockchain project, TON. The blockchain, now managed by the TON Foundation and endorsed by Telegram for web3 infrastructure, has seen Toncoin reach a new all-time high. 21Shares, known for offering over 40 ETPs across multiple exchanges, holds around $7 billion in assets under management, highlighting its significant role in providing access to cryptocurrency investments through traditional financial markets.
Trading Desk Insights
This Friday, the spotlight's on Deribit as the leading crypto options exchange gears up for a monumental day, with BTC and ETH options contracts valued at $9.5 billion and $5.7 billion respectively hitting their settlement date. The considerable volume of these contracts expected to expire in-the-money (ITM) may well act as a catalyst for increased market buoyancy or volatility. Particularly noteworthy are the "max pain" points for this quarter's expiry, pegged at $50,000 for BTC and $2,600 for ETH, indicating the price levels where option holders could face the heaviest losses.
In anticipation of its halving on April 4th, Bitcoin Cash (BCH) experienced a notable 13% surge. The leap in BCH futures' open interest — jumping from $213 million to $500 million in just a week — signals a market bracing for heightened volatility, with traders ramping up leveraged positions.
The realm of tokenized U.S. Treasury notes is witnessing explosive growth, with over $1 billion now circulating on public blockchains, marking a staggering tenfold increase since January 2023. This surge is largely attributed to BlackRock's launch of its Ethereum-based tokenized fund, BUIDL, on March 20th. Tokenized Treasuries transform U.S. government bonds into blockchain-tradable tokens, melding traditional finance with the cutting-edge crypto market.
Meanwhile, stock futures hovered around the break-even mark on Thursday, as the S&P 500 teeters on the brink of its strongest first-quarter performance in half a decade. Market participants are taking a breather tomorrow in observance of Good Friday.
Inflation data recently came in above expectations, bolstering the argument for the Federal Reserve to pause on adjusting its short-term interest rate target. Fed Governor Christopher Waller, while acknowledging the current inflationary pressures, didn't dismiss the possibility of rate cuts later in the year. This stance hinges on whether recent data points are merely blips in the ongoing battle against inflation or if they suggest a more sustained trend that could adjust rate cut forecasts for the remainder of the year.
Crypto Charts
Macro Charts
Disclaimer
This research is for informational use only. This is not investment advice. Other than disclosures relating to Secure Digital Markets this research is based on current public information that we consider reliable, but we do not represent it is accurate or complete, and it should not be relied on as such. The information, opinions, estimates, and forecasts contained herein are as of the date hereof and are subject to change without prior notification. We seek to update our research as appropriate.
Any forecasts contained herein are for illustrative purposes only and are not to be relied upon as advice or interpreted as a recommendation. The price of crypto assets may rise or fall because of changes in the broad market or changes in a company's financial condition, sometimes rapidly or unpredictably. Past performance is not a guide to future performance, future returns are not guaranteed, and a loss of original capital may occur. Fluctuations in exchange rates could have adverse effects on the value or price of, or income derived from, certain investments. We and our affiliates, officers, directors, and employees, excluding equity and credit analysts, will from time to time have long or short positions in, act as principal in, and buy or sell, the securities or derivatives, if any, referred to in this research.
The information on which the analysis is based has been obtained from sources believed to be reliable such as, for example, the company’s financial statements filed with a regulator, company website, company white paper, pitchbook and any other sources. While Secure Digital Markets has obtained data, statistics, and information from sources it believes to be reliable, it does not perform an audit or seek independent verification of any of the data, statistics, and information it receives.
Unless otherwise provided in a separate agreement, Secure Digital Markets does not represent that the report contents meet all of the presentation and/or disclosure standards applicable in the jurisdiction the recipient is located. Secure Digital Markets and their officers, directors and employees shall not be responsible or liable for any trading decisions, damages or other losses resulting from, or related to, the information, data, analyses, or opinions within the report.
Crypto and/or digital currencies involve substantial risk, are speculative in nature and may not perform as expected. Many digital currency platforms are not subject to regulatory supervision, unlike regulated exchanges. Some platforms may commingle customer assets in shared accounts and provide inadequate custody, which may affect whether or how investors can withdraw their currency and/or subject them to money laundering. Digital currencies may be vulnerable to hacks and cyber fraud as well as significant volatility and price swings.
Contact Us
Sign up to receive more exclusive market coverage:
.png)
.png)
.jpeg)
