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Crypto Trends

MSTR stock plot thickens as Strategy’s mNAV and Bitcoin price crash
Crypto Trends

MSTR stock plot thickens as Strategy’s mNAV and Bitcoin price crash

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Strategy stock price crashed below an important support level as Bitcoin fell below $110,000 and as its mNAV multiple reached its year-to-date low. 

Summary

  • MSTR stock price has crashed below an important support level.
  • There is a risk that it will form a death cross pattern soon.
  • Bitcoin price has formed a head-and-shoulders on the daily chart and a rising wedge on the weekly.

Strategy stock price traded $297 on Thursday, its lowest level since April, and 35% below its all time high. This crash has brought its market capitalization from the year-to-date high of $129 billion to now $84 billion.

MSTR stock plunged amid the ongoing crypto market crash. Bitcoin (BTC) fell below $110,000 for the first time since Sep. 1. Worse, as the chart below shows, it has formed a head-and-shoulders pattern, pointing to more downside in the near term.

BTC price has formed a head-and-shoulders pattern | Source: crypto.news 

Bitcoin has also formed a giant rising wedge on the weekly chart, meaning that this could be the start of a prolonged bear market.

A prolonged Bitcoin price crash would be negative for Strategy, a company that has become the biggest holder globally. It holds 639,835 coins, currently worth $69 billion. The same coins would be worth $80 billion if it was at its all-time high of $124,200.

Most importantly, the falling BTC price means that the company’s premium has plunged. The closely-watched mNAV multiple has dropped to the year-to-date low of 1.195, down from the November high of 3.4.

The falling mNAV multiple is risky for the company because it uses its premium to raise capital, which it uses to buy Bitcoin. For a long time, Saylor’s rule was that he would not issue shares if the mNAV moved below 2.5. He changed it in August, opening the door for more dilution.

MSTR stock price technical analysis 

Strategy stock chart | Source: TradingView

The daily timeframe chart shows that the MSTR stock price has crashed from a high of $457 in July to $295 today.

It dropped below the important support level at $318, where it failed to move below several times this month.

Worse, the stock is about to form the risky death cross pattern as the spread between the 50-day and 200-day Exponential Moving Averages has narrowed.

A death cross would lead to more downside, potentially to the important support level at $230, its lowest level in April this year. This target is about 25% below the current level. 



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Exchange Review August
Crypto Trends

BNB Slips Below $1K as Crypto Market Drops, Fear Index Nears ‘Fear’

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BNB, the token that powers the BNB Chain and can be used for fee discounts on leading crypto exchange Binance, dropped more than 2% in the last 24 hours amid a wider cryptocurrency market decline.

Sentiment in the industry remains poor, with the Crypto Fear and Greed Index now at 41, a neutral level close to hitting fear, while the average crypto relative strength index (RSI), a technical indicator, points to oversold levels according to CoinMarketCap.

The token slid from $1,025 to just under $1,000 as sellers took control and resistance built near $1,035, according to CoinDesk Research’s technical analysis data model. The broader CoinDesk 20 (CD20) index dropped 3.7%.

BNB Chain validators have put forward a proposal to reduce gas fees from 0.1 to 0.05 gwei. The change would drop average transaction costs to around $0.005 and accelerate block speeds from 750 milliseconds to 450 milliseconds.

The proposal comes at a time in which on-chain trading activity is booming on the BNB Chain after the launch of decentralized trading platform Aster, which recently overtook Hyperliquid in daily perpetual trading volumes.

Technical Analysis Overview

BNB traded within a $49 range over the past 24-hour period, falling to $993. Strong resistance formed just above $1,030, while support held firm around $987.

The price briefly recovered, ticking up from just below $990 to near $994. The gain came as buying demand appeared and pushed the token to form higher lows.

Trading volume suggested a shift from aggressive selling to slower accumulation, with support consolidating near $989 and resistance emerging just under $996.

Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards. For more information, see CoinDesk’s full AI Policy.



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SOL Dips To $192 Ahead of Key ETF Ruling
Crypto Trends

SOL Dips To $192 Ahead of Key ETF Ruling

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Key takeaways:

  • Solana fell to $192 on Thursday, erasing its entire rally to $253 in under a week.

  • A spot ETF ruling on Oct. 10 could unlock deeper institutional flows.

  • SOL’s RSI setup signals a potential short-term bottom despite the altcoin’s broader correction.

Solana (SOL) slipped below the $200 mark on Thursday, erasing its recent rally to an eight-month high of $253. The 19% dip that unfolded in a week has rattled market momentum and raised questions about near-term strength.

SOL one-day chart. Source: Cointelegraph/TradingView

Yet, a looming catalyst may change the narrative. Grayscale’s spot SOL exchange-traded fund (ETF) faces its first approval deadline on Oct. 10, a decision that could determine whether institutional capital flows begin to support SOL in a way similar to BTC and ETH over the past year.

While the REX Osprey Staking SOL ETF, launched in July, offers spot exposure, its structure is less significant than a pure spot product. A Grayscale spot ETF would allow for more direct institutional participation, potentially unlocking deeper liquidity and broader adoption.

That decision is only the first in a series of rulings. The US Securities and Exchange Commission (SEC) is set to review five other applications, with a final deadline on Oct. 16, 2025, including proposals from Bitwise, 21Shares, VanEck, Grayscale, and Canary. Collectively, the lineup underscored the growing institutional interest in bringing SOL into mainstream investment vehicles.

Market participation in Solana, Ether, and Bitcoin. Source: Pantera Capital/X

Supporters argue the timing could be pivotal. Asset managers at Pantera Capital recently called SOL “next in line for its institutional moment,” citing under-allocation relative to BTC and ETH. While institutions hold around 16% of Bitcoin and 7% of Ether, less than 1% of SOL’s supply is institutionally owned. Pantera Capital suggested that a spot ETF could accelerate adoption, especially as companies like Stripe and PayPal expand their integrations with Solana.

Still, not all indicators point to an imminent breakout. Prediction markets platform Polymarket currently assigns just a 41% probability of SOL reaching a new all-time high in 2025. That implied lingering caution even as ETF speculation intensifies.

SOL all-time high odds for 2025. Source: Polymarket

Related: Australian fitness firm tanks 21% on Solana treasury gamble

Price indicator with an 80% hit rate signals SOL bottom

SOL’s price action has displayed remarkable volatility over the past three weeks. The token rallied to $253 from $200 in just 12 days, but a rapid reversal highlighted weakening short-term momentum, with sellers reclaiming ground faster than buyers had established it.

SOL one-day chart. Source: Cointelegraph/TradingView

However, on higher timeframes, the broader trend remains constructive. SOL continues to form a pattern of higher highs and higher lows, keeping the daily structure bullish. The current correction is unfolding within the first major demand zone or order block between $200 and $185, which also overlaps with the 0.50–0.618 Fibonacci retracement band, a region often watched for technical bounces. Holding this zone would reinforce the uptrend and potentially reset momentum.

Losing the $185 level would shift attention to the next order block between $170 and $156. While such a move would not immediately flip the daily chart bearish, it would significantly weaken trend strength and likely invite deeper selling pressure.

On the intraday side, the four-hour chart is showing signs of sellers’ exhaustion. The Relative Strength Index (RSI) has again dipped below 30, a level that historically signaled bottoms or higher lows for SOL.

Since April 2025, this setup has occurred five times, and on four of those occasions, SOL posted swift recoveries. If the pattern repeats, short-term relief could follow, as the higher timeframe correction plays out.

SOL four-hour chart and RSI bottom analysis. Source: Cointelegraph/TradingView

Related: Solana open interest hits record 72M SOL, but why is price falling?

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.



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$1.12B Worth Of Crypto Liquidated As Market Goes Red
Crypto Trends

$1.12B Worth of Crypto Liquidated as Market Goes Red

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The cryptocurrency market witnessed one of its sharpest corrections today, with over $1.13 billion worth of liquidations occurring across all major exchanges in the last 24 hours. The sell-off was primarily driven by traders who were long, means the ones who had bet on price increases .

According to the data from Coinglass, about $252,502 traders were liquidated from their positions. Of the total amount, $1.04 billion came from long positions, while $83.88 million was liquidated from short positions.

Ethereum leads liquidations

The liquidation wave hit the Ethereum (ETH) recorded the heaviest losses with over $428.11 million liquidated in a single day. Bitcoin(BTC) followed behind with $273.60 million in liquidations, while Solana recorded $75.20 million. 

Other altcoins like Avalanche (AVAX), XRP, and Dogecoin(DOGE) also added to the sell-off. The single largest liquidation order, valued at $29.12 million, was recorded on Hyperliquid in the ETH-USD market.

Coinglass heatmap showed that Ethereum’s dominance in this wipeout was overwhelming as traders who had bet on the price going up face the majority of losses. An unlucky trader alone lost $45M during the dump. According to a previous report, the trader also took a bet on Ethereum surge but lost his position as the price dropped below $4000 and left the trader with less than half a million dollars in the account.

At the time of writing, the price of ETH is trading at $3,924, down from its daily high of $4,273. Bitcoin also dropped from its intra-day high of $113,660, and is currently trading for $108,823. The overall market valuation is down by 3.95% to $3.73 trillion, according to CoinMarketCap.

Also Read: Hack Turns $GAIN Into Pain, Griffin AI Token Crashes 84%



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Crypto Exchange Giant Kraken Wraps Up $500 Million Funding Round
Crypto Trends

Crypto Exchange Giant Kraken Wraps Up $500 Million Funding Round

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  • IPO plans 
  • Unconventional CEO

According to a recent report by Fortune, cryptocurrency exchange Kraken has closed a massive $500 million funding round at a staggering $15 billion valuation. 

To put this massive raise into perspective, it is worth noting that the exchange raised only $27 million in venture capital funding during its first decade. 

IPO plans 

Kraken has been considering going public for roughly five years. Then-CEO Jesse Powell first divulged the company’s IPO plans in 2021 during a major bull run. 

However, Kraken’s plans to go public were likely postponed due to the cryptocurrency winter that came in 2022. 

In March, Bloomberg reported that Kraken was planning to go public in 2026. This was followed by the company’s acquisition of futures trading platform NinjaTrader. 

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As reported by U.Today, the cryptocurrency industry is currently experiencing an IPO boom, with such major names as Circle and Gemini all going public. 

Kraken is facing increasing pressure to go public in the near future since its valuation risks taking a significant hit if its cryptocurrency prices tank in 2026. However, it is worth noting that the company still has rather strong fundamentals. 

Unconventional CEO

Co-CEO Arjun Sethi is currently spearheading the exchange in a rather unorthodox way. 

Sethi operates one of the world’s largest exchanges out of his home in Menlo Park, combining business with his personal life.

He is primarily focused on merging crypto with traditional finance, with Kraken’s recent tokenization efforts being part of this push. 

With xStocks, which are tokenized versions of US equities, Kraken aims to increase its appeal for retail traders. 



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Bitcoin Price (BTC) Tumbles Below $109K
Crypto Trends

Bitcoin Price (BTC) Tumbles Below $109K

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A rough early session for crypto markets took a turn for the worse in U.S. afternoon hours Thursday, with BTC$109,398.95 tumbling below $109,000, its weakest price in nearly a month.

ETH$3,893.40 plummeted 8% through the past 24 hours rapidly approaching $3,800, erasing gains since early August. It’s now has lost 22% since its record highs last month. SOL$196.43, changing hands above $250 only two weeks ago, plunged below $200, down another 8% today. The CoinDesk 20 Index was down 6%.

The sharp move lower across the board triggered a widespread leverage flush on derivatives markets, liquidating over $1.1 billion worth of leveraged trading positions, CoinGlass data shows. Ether led liquidations with over $400 million long positions, or bets on higher prices, being wiped out, followed by bitcoin’s $265 million.

Crypto liquidations over the past 24 hours (CoinGlass)

Crypto equities also took a hit. Michael Saylor’s Strategy (MSTR), the largest corporate owner of BTC, sunk as much as 10% during the session to five-month low. The stock, which is often seen as a leveraged bet on bitcoin’s price, gave up all of this year’s gains and is now 1.5% down year-to-date, while BTC is still holding on 16% advance during the same period.

Ether treasury firms Bitmine (BMNR) and Sharplink Gaming (SBET) were down 7%-8%,as were bitcoin miners MARA Holdings. (MARA) and Riot Platforms (RIOT).

With Thursday’s nosedive, BTC is now on the brink of taking out the lows of late August-early September, when it bottomed just above $107,000. That price level could serve as support at least for a bounce, with order books also showing a liquidity cluster which could absorb selling pressure, CoinDesk reported on a Hyblock Capital analysis.

Read more: Here Are the 3 Make-Or-Break Bitcoin Price Floors as BTC Sell-off Gathers Steam



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FOMO Fuels BNB Surge, But Analyst Warns Of Short-Term Fragility
Crypto Trends

FOMO Fuels BNB Surge, But Analyst Warns Of Short-Term Fragility

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Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure

BNB has entered a historic phase after surging above the $1,000 mark, positioning itself as one of the few altcoins from the previous cycle to chart fresh all-time highs. This milestone underscores its resilience and strength, particularly in a market where most altcoins continue to struggle with volatility and downside pressure.

Despite a recent pullback, sentiment remains notably bullish. Analysts point to the token’s decisive momentum, with its breakout above previous resistance levels setting it apart as one of the strongest performers in the current cycle. Top analyst Darkfost highlights that since August, BNB has shown remarkable price action by breaking through its former all-time high of $793 with conviction.

Since then, the token has climbed steadily, recently hitting a new record price of $1,083—an impressive 50% gain year-to-date. This performance reflects not only investor confidence in BNB but also the ecosystem’s continued growth and its evolving role within the broader crypto landscape.

BNB Outperformance And Risks Ahead

In a recent CryptoQuant report,  Darkfost highlighted how BNB’s price action stands in sharp contrast with the broader altcoin market. While most altcoins have struggled to regain momentum since the beginning of the year, BNB has emerged as a clear leader, consistently breaking higher and securing new all-time highs. The crossing of the $1,000 milestone marked not just a psychological victory but also a structural turning point for the token’s market dynamics.

BNB Spot Volume Bubble Map | Source: CryptoQuant

Darkfost further explained that this turning point was amplified by the growing connection between Binance and ASTER, the new perpetual DEX backed by CZ. With Binance’s influence and ASTER’s rapid growth, investors are increasingly seeing BNB as not only a token tied to an exchange but also a gateway to a broader ecosystem of innovation and liquidity.

That said, cautionary signals are also surfacing. Spot trading volumes have spiked significantly, suggesting that a portion of BNB’s rally has been driven by FOMO. While such surges often accompany strong bullish trends, they can also introduce fragility into the market. When trading activity overheats, prices become more vulnerable to sharp pullbacks as momentum cools.

BNB currently combines the strength of growing adoption and an expanding ecosystem, with the risks of an overheated short-term setup. This duality makes it both one of the standout winners of the current cycle and a token entering a phase where strategic caution is essential. The coming weeks will test whether BNB can consolidate its gains or if the weight of exuberance sparks a correction.

Price Action Details: Holding Key Level

BNB is currently trading near $995, consolidating just below the $1,000 psychological level after setting a new all-time high at $1,083 last week. The chart shows that after a strong breakout in mid-September, BNB entered a phase of heightened volatility, with sharp moves on both sides as traders react to overbought conditions.

BNB consolidates around key level | Source: BNBUSDT chart on TradingView

The 50 EMA on the 4-hour chart remains well above the 100 and 200 EMAs, showing that the overall uptrend remains intact. However, the recent pullback from $1,083 to under $1,000 indicates that momentum has cooled, and short-term caution is warranted. If bulls can reclaim and hold above $1,000, another push toward $1,050 and potentially a retest of the highs could follow.

On the downside, immediate support lies around $960, where the 50 EMA is converging. A deeper correction could bring the price toward $920, but as long as the structure remains above $900, the broader bullish trend remains valid.

Featured image from Dall-E, chart from TradingView

Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.



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Bitcoin price data. Image: Tradingview
Crypto Trends

Crypto Market Wipes Out September Gains as Bitcoin Barely Hangs On: Analysis

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In brief

  • The crypto market is now deep in the red for September, shedding close to 5% in total value in 24 hours.
  • Bitcoin is holding onto a slim 1% gain for the month, staying in the green for now.
  • Technical indicators suggest market exhaustion, but prediction markets remain somewhat optimistic.

Brace yourselves, the Red September curse is upon us.

The crypto market has officially entered negative territory for September, despite Bitcoin holding on to a slight gain, after a brutal week that erased $162 billion from crypto valuations. The wipeout canceled out the gains generated from the bullish two-week start to the month, back when Bitcoin briefly notched its second-best September performance in 13 years.

Crypto market cap data. Image: Tradingview

The seasonal curse, though, doesn’t seem to be affecting traditional markets, despite September also being historically the worst month of the year for Wall Street. The S&P 500 gained 0.64% over the past 24 hours while gold retreated 1.2% from recent highs near $2,670 per ounce showing investors still want risk instead of hedge.

That risk appetite, however, does not appear to currently extend to crypto—outside of a few, recent overperformers, such as the still only-a-week-old Aster.

The crypto market’s longstanding correlation with broader risk assets is today offering little relief, with Bitcoin unable to hold the line at the crucial $111,000 support mark and Ethereum breaking below $4,000, triggering cascading liquidations across digital assets.



The crypto market as a whole has dropped 4.7% so far today, falling to $3.73 trillion and extending a seven-day decline that has revived talk of September’s notorious weakness for digital assets.

Bitcoin’s remaining 1% gain for the month, trading now at just above $109,000, represents the sole barrier preventing the entire crypto market from posting even bigger monthly losses—a precarious position given the asset’s 67% market dominance means minor selling pressure could flip the narrative completely red.

Bitcoin price data. Image: Tradingview

Red September: The fundamentals behind the curse

September has historically delivered negative returns for crypto markets in eight of the past 11 years, a phenomenon traders attribute to institutional portfolio rebalancing after summer holidays and fiscal year-end adjustments.

This year’s pattern seems to be following the script: Despite early buyings pushing the total market cap above $4 trillion with trading volumes surging 27% in the opening days of September, profit-taking mid-month could end up pushing performance to a monthly net loss.

The mechanics of the current selloff reveal how leverage amplified the damage. When Ethereum dropped 9% below the psychologically important $4,000 level—its first breach since August—it triggered $500 million in long liquidations on that asset alone. The contagion spread immediately to smaller tokens more prone to volatility.

The Altcoin Season Index, which measures capital rotation between Bitcoin and alternative cryptocurrencies, fell sharply over the week from 77 to 69 points as investors retreated to the perceived safety of the largest cryptocurrency, Bitcoin. In other words, traders are getting rid of their tokens, some of them rotating into Bitcoin, as the nervousness intensifies.

Alctoin Season Index. Image: Coinmarketcap

For what it’s worth, the way the Alcoin Season Index is structured, it does not matter whether traders are swapping altcoins for Bitcoin or exiting the market completely: Bitcoin dominance increases in either scenario.

What’s more, regulatory headwinds are compounding the observable technical weakness in the charts. The Senate’s October 1 crypto tax hearing and SEC/CFTC joint roundtable on September 29 create event risk that could catalyze selling if outcomes disappoint. Historical data shows crypto markets typically decline 3-5% in the 48 hours preceding major regulatory announcements as traders reduce exposure.

Can Bitcoin save crypto from Red September?

At the moment, the charts say Bitcoin is holding the life saver, but it’s losing its strength.

Users on Myriad, a prediction market operated by Decrypt’s parent company Dastan, believe there’s a nearly 60% chance today will be another red day for BTC, meaning the price of Bitcoin will close the day lower than when it started.

On the plus side, Myriad prediction market users place the odds at 68% that Bitcoin manages to stay above $105K throughout the September. But, for context, those odds have dropped rapidly in just the last few hours, falling from 84% early this morning.

Looking ahead to “Uptober”—with October being historically the best month for crypto markets—Myriad users currently favor the price of Bitcoin reaching $120K, but only by a slight margin over the $110K to $11K range. So, perhaps a green month ahead—just not that green.

Do the charts agree with predictors?

Bitcoin’s technical structure suggests the largest cryptocurrency by market cap may struggle to prevent the broader market from slipping into September losses, despite currently trading above $109,000 and within an ascending trend that has been in place since March.

Bitcoin price data. Image: Tradingview

While Bitcoin maintains a golden cross formation—where the 50-day moving average sits above the 200-day line, typically a bullish configuration—momentum indicators tell a different story. The Squeeze Momentum indicator has flipped to a bearish impulse, marking a shift in short-term direction that often precedes deeper corrections.

The Average Directional Index, or ADX, reads just 17, well below the 25 threshold that signals a strong trend in either direction. This weak trend strength means Bitcoin lacks the momentum to push decisively higher or lower, leaving it vulnerable to external shocks.

The Relative Strength Index—basically a thermometer of how hyped an asset is—sits at 42, having declined from overbought conditions above 70 just weeks ago. This rapid deterioration in momentum while price remains elevated often marks distribution phases where larger holders sell into residual buying interest.

Bitcoin’s ascending channel, while appearing bullish at first glance, actually constrains upside potential. The coin has been bouncing at a very solid support line, showing that bulls refuse to die when prices dip too much. However, the top doesn’t match the bottom, and prices are showing a “lower highs, higher lows,” pattern that usually ends in compression before an explosive movement in the near future.

Bitcoin’s inability to reclaim $115,000 after three attempts this month has created a descending triangle on shorter timeframes, a pattern that resolves lower 67% of the time, according to technical analysis textbooks. The measured move target from this formation points to $108,000, which would represent a 5% decline sufficient to push the entire crypto market into negative territory for September.

The good news for bulls? September will be over in five more days. The bad news? Uptober is no guarantee either.

Disclaimer

The views and opinions expressed by the author are for informational purposes only and do not constitute financial, investment, or other advice.

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3 reasons the IREN stock price may crash soon
Crypto Trends

3 reasons the IREN stock price may crash soon

by admin



IREN stock price is in a strong bull run this year as investors cheer its strong earnings and the ongoing diversification into the artificial intelligence industry.

Summary

  • IREN stock price has jumped as the company targets $500 million ARR in AI revenue in Q1.
  • It also jumped after the recent $17 billion deal between Microsoft and Nebius.
  • However, IREN has become overbought and could go through a mean reversion.

IREN has moved from the April low of $5.17 to $50, bringing its market capitalization to $13 billion.

IREN, one of the top Bitcoin (BTC) mining companies, has jumped after it published strong results and shared his vision of becoming a major AI data center operator. 

The results showed that its Bitcoin mining operations generated $180 million in Q4 2025, an increase from the $141 million it made in the same period last year. Its AI cloud revenue doubled to $7 million, and management expects its annualized run rate to hit $500 million in the current quarter.

In addition to this strong revenue growth, the company shared its vision of being a major AI data center provider. It recently announced that it had doubled its capacity to 23,000 GPUs.

IREN stock has also jumped after some notable announcements that showed demand for AI computing power remains strong.

For example, Microsoft recently inked a $17 billion deal with Nebius, a company that provides similar services. OpenAI has a $12 billion deal with CoreWeave, and Nvidia is partnering with OpenAI to boost data center spending. 

As such, investors believe that one or more Big Tech companies will also announce IREN as a partner in a multiyear deal. Also, there is hope that it could become a buyout target. CoreWeave recently announced a buyout of Core Scientific, a similar company.

Why IREN share price may crash soon

The first main reason why the IREN share price may crash is that the data center industry is a capital‑intensive one. For example, it recently spent $676 million on buying GPUs from Nvidia and AMD.

As such, funds from its Bitcoin mining operations will not be enough to fund its growth. Therefore, there is a possibility that management will use the elevated stock price to raise capital. Such a move will be highly dilutive to existing investors.

Second, there are concerns about its valuation as it now trades at a forward P/E ratio of 50.

IREN technicals point to a pullback

Meanwhile, technical analysis suggests that the IREN stock price has become significantly overbought as the Relative Strength Index and the Stochastic Oscillator have moved to overbought levels. It is common for overbought assets to have a pullback.

The other reason is that the stock’s standard deviation has soared in the past few months. As a result, it remains much higher than the 50‑, 100‑, and 200‑day exponential moving averages.

IREN stock price chart | Source: TradingView

Therefore, the stock will likely go through mean reversion, a situation where it falls back to its traditional averages. This mean reversion happens as investors start to book profits.



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BTC faces "cloud resistance." (geralt/Pixabay)
Crypto Trends

Centrifuge Launches Tokenized S&P 500 Index Fund on Coinbase’s Base Network

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Real-world asset specialist Centrifuge has launched what it calls the first licensed S&P 500 index fund on blockchain rails, opening one of the world’s most recognized equity benchmarks to on-chain investors.

The Janus Henderson Anemoy S&P 500 Fund, dubbed SPXA, went live on Thursday on Base, an Ethereum layer-2 network developed by crypto exchange Coinbase.

The offering is the first tokenized index fund licensed by the S&P Dow Jones Indices. It allows the S&P 500, a wide basket of the largest publicly traded U.S. companies that covers roughly 80% of the U.S. equity market, to trade around the clock with transparent holdings.

FalconX, a digital asset brokerage, was an anchor investor in the product, while Wormhole, a cross-chain messaging protocol, will handle future expansion to other blockchains. Janus Henderson, a London-based global asset manager with nearly $500 billion in AUM, is serving as sub-investment manager, while Centrifuge’s asset management arm Anemoy oversees the fund.

The initiative fits into a broader trend of bringing traditional financial instruments such as bonds, funds and equities, often called real-world assets (RWA), onto blockchain rails. Proponents explore tokenization for operational gains, speedier settlements and around-the-clock trading.

Centrifuge, which has built infrastructure for tokenizing private credit and fixed income since 2017, sees SPXA as its entry point into equities, a tokenization trend that has recently taken off.

“Indices are the best way to bring stocks on-chain,” Bhaji Illuminati, CEO of Centrifuge, said in a statement. “They’re simple, collateral-ready and unlock liquidity in ways individual securities can’t.”

For S&P Dow Jones Indices, the offering is a stepping stone to “build the future of index-linked financial products” traditional finance products are beginning to migrate to blockchain environments, said Cameron Drinkwater, chief product officer at S&P DJI.

Read more: Blockchain-Based RWA Specialists Bring $50M to Apollo’s Tokenized Credit Strategy



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