Bitcoin holds $90K as ETH treasuries slow; DeFi week recap
Cryptocurrency markets entered another week of consolidation after the prior week’s rebound. Bitcoin (BTC) remained above the $90,000 psychological threshold, while overall sentiment stayed in “fear” territory, with CoinMarketCap’s Fear & Greed index edging up from 20 to 25 over the week.
Fear & Greed index, all-time chart. Source: CoinMarketCap
In broader markets, corporate Ether (ETH) purchases have slowed markedly in recent months, even as the largest holders continued to add to positions. Monthly acquisitions by Ethereum digital asset treasuries (DATs) declined 81% from August’s peak.
Investors are also focused on the U.S. Federal Reserve’s policy meeting on Wednesday for guidance on the path into 2026. The CME Group’s FedWatch tool shows markets assigning an 87% probability to a 25 basis point cut, up from 62% a month earlier.
Interest rate cut probabilities. Source: CMEgroup.com
Ethereum treasury activity drops 80% as a few large buyers dominate
Data indicate the Ethereum treasury trade is fading, with monthly purchases declining from the August high, though several large buyers continued accumulating significant amounts of Ether.
Bitwise reported that investments by Ethereum DATs fell 81% over the last three months, from 1.97 million ETH in August to 370,000 ETH in November. Max Shennon, senior research associate at Bitwise, noted on Tuesday that the downtrend in ETH DAT activity has persisted.
Source: Max Shennon
Despite the slowdown, firms with stronger balance sheets continued either to acquire ETH or to raise capital for future purchases. BitMine Immersion Technologies, the largest corporate Ether holder, added approximately 679,000 ETH—valued at $2.13 billion—over the past month, reaching 62% of its stated goal to accumulate 5% of the ETH supply, according to data from Strategicethreserve. The aggregator also shows BitMine holds $882 million in cash, indicating potential capacity for further acquisitions.
Top corporate Ether holders. Source: Strategicethreserve.xyz
Citadel urges tighter SEC oversight of DeFi tokenized equities, prompting criticism
Citadel Securities recommended that the U.S. Securities and Exchange Commission increase regulatory scrutiny of decentralized finance platforms facilitating trading in tokenized U.S. equities, drawing pushback from crypto market participants.
In a letter to the SEC on Tuesday, Citadel Securities said DeFi developers, smart contract engineers, and self-custody wallet providers should not receive “broad exemptive relief” for enabling tokenized stock trading. The firm argued that DeFi platforms offering tokenized equities likely satisfy definitions of an “exchange” or “broker-dealer” and should be subject to securities regulations.
The firm further contended that granting exemptions for DeFi-based trading of tokenized shares would create uneven regulatory treatment for the same security, contrary to the Exchange Act’s “technology-neutral” approach. The comment came in response to the SEC’s request for feedback on tokenized stock oversight and was met with significant criticism from crypto industry advocates.
Arthur Hayes cautions Monad could drop 99%, labels it a high-risk “VC coin”
Arthur Hayes warned that Monad, a newly launched layer-1 blockchain, could fall as much as 99%, describing it as another venture capital–driven project with limited circulating supply relative to its fully diluted value (FDV).
Speaking on Altcoin Daily, the former BitMEX CEO said token structures with high FDV and low float can see sharp initial rallies followed by steep declines as insider allocations unlock. Hayes added that many new layer-1 networks ultimately fail to establish lasting use cases, noting he expects only a small number to maintain long-term relevance—highlighting Bitcoin, Ether, Solana (SOL), and Zcash (ZEC) as likely survivors.
Monad raised $225 million last year from venture capital firm Paradigm. The layer-1 network launched on Monday alongside an airdrop of its MON token, which has risen about 40% since debut, according to market data.
Crypto lending tops $25 billion outstanding, with transparency improving: Galaxy
The crypto lending market’s outstanding balances reached nearly $25 billion in the third quarter, led by firms such as Tether, Nexo, and Galaxy, with participants emphasizing increased transparency compared with prior cycles.
According to Galaxy Research, the market has grown by more than 200% since the start of 2024, reaching its highest level since the first quarter of 2022, though still below the $37 billion peak recorded then. Alex Thorn, head of research at Galaxy, said the sector now features more centralized lending platforms and significantly better transparency, calling it a notable shift from earlier market cycles.
The crypto lending landscape has seen many new platforms in the past three years. Source: Alex Thorn
Portal to Bitcoin secures $25 million and unveils atomic OTC trading desk
Bitcoin-native interoperability protocol Portal to Bitcoin raised $25 million in a funding round led by digital asset lender JTSA Global, coinciding with the launch of an atomic over-the-counter (OTC) trading desk.
The latest raise follows earlier investments from Coinbase Ventures, OKX Ventures, Arrington Capital, and others. The newly introduced Atomic OTC service aims to enable instant, trustless cross-chain settlement of large block trades. While similar in concept to cross-chain atomic swap solutions from THORChain, Chainflip, Liquality, and Boltz, Portal to Bitcoin is focused on a Bitcoin-anchored OTC market for institutional participants and large traders.
Chief executive Chandra Duggirala said the platform is designed to make Bitcoin a settlement layer for global asset markets without relying on bridges, custodial arrangements, or wrapped assets.
DeFi market overview
Data from industry trackers show that most of the top 100 cryptocurrencies by market capitalization ended the week lower. Canton (CC) posted the steepest weekly decline among the top 100, falling 18%, followed by Starknet (STRK), down 16% for the week.
Total value locked in DeFi. Source: DefiLlama
Thank you for reading this summary of the week’s notable DeFi developments. Check back next Friday for additional updates, insights, and education on the evolving decentralized finance landscape.
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