Coinbase (NASDAQ:COIN) is making a bold move that could reshape the future of stock trading in the United States. The crypto exchange is seeking approval from the U.S. Securities and Exchange Commission (SEC) to offer tokenized equities—digital representations of stocks issued and traded on the blockchain.

If the SEC greenlights the request, Coinbase would be able to launch a platform where users can trade these tokenized versions of traditional equities. This would put Coinbase in direct competition with major brokerages like Robinhood (NASDAQ:HOOD) and Charles Schwab (NYSE:SCHW) while marking a major leap in the integration of traditional finance with blockchain innovation.

What Are Tokenized Equities?

Tokenized equities are essentially digital tokens that represent ownership in a company’s stock. Rather than holding shares in the conventional way through a brokerage, investors would hold blockchain-based tokens that track the value and performance of the underlying equity.

This format offers a range of potential benefits:

• Lower trading costs 
• Near-instant settlement 
• 24/7 access to markets 

According to Coinbase Chief Legal Officer Paul Grewal, this technology represents a “huge priority” for the company’s future strategy.

Regulatory Roadblocks and the SEC’s Role

Despite the potential, tokenized equities currently face regulatory hurdles in the U.S. Under current law, companies offering securities must be registered broker-dealers. Coinbase’s bid to offer these new products hinges on receiving either a no-action letter or exemptive relief from the SEC.

A no-action letter would indicate that the SEC staff does not intend to pursue enforcement if Coinbase launches its tokenized equity offering. However, Grewal did not confirm whether Coinbase has officially submitted such a request.

Coinbase’s move comes after a rocky regulatory past. The SEC, under the Biden administration, sued the company in 2023 for allegedly operating as an unregistered securities exchange. That lawsuit was dropped this year under the Trump administration, which has since adopted a more crypto-friendly stance. The administration has also formed a crypto task force focused on developing clearer rules for digital assets.

Competition and the Global Race

Coinbase is not alone in this space. Rival exchange Kraken recently announced it would offer tokenized U.S. equities—branded as xStocks—in select markets outside the U.S. Other firms globally are experimenting with similar models, particularly in jurisdictions with more defined digital asset frameworks.

Still, the U.S. market remains the holy grail. If Coinbase successfully navigates regulatory challenges, it would be the first to bring tokenized equities to American investors at scale—potentially unlocking a huge new business segment.

Key Challenges for Tokenized Equity Adoption

While the technology is promising, critics argue that several key barriers remain:

• Lack of liquidity in secondary markets 
• Unclear global standards for tokenized assets 
• Investor protection and transparency concerns 

A recent report by the World Economic Forum highlighted these challenges, warning that despite the hype, tokenized stocks may face a slow path to mainstream adoption without unified regulatory standards and robust trading infrastructure.

The Bigger Picture: Politics, Crypto, and Wall Street

The timing of Coinbase’s push is not accidental. Former President Donald Trump has made crypto a central talking point of his 2024 campaign, attracting donations from industry leaders and promising regulatory reform. Bitcoin (BTC-USD) and other digital assets have surged in response to this friendlier political climate.

By aligning itself with this momentum, Coinbase is seizing a strategic opportunity to expand beyond crypto trading and into tokenized financial services. If successful, the tokenized equities move could transform Coinbase from a crypto exchange into a full-service financial platform built on blockchain rails.

Final Thoughts: A Tipping Point for Tokenized Finance?

The introduction of tokenized equities in the U.S. would be a game-changer, offering investors new ways to engage with traditional markets through blockchain technology. Whether the SEC grants Coinbase the necessary approvals remains to be seen, but the implications are massive.

If approved, Coinbase could become the first major U.S. platform to offer blockchain-based stock trading—blurring the lines between Wall Street and Web3.

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DUBAI, UAE, June 17, 2025 /PRNewswire/ — Bybit, the world’s second-largest cryptocurrency exchange by trading volume, released a new options volatility report in collaboration with Block Scholes. The report shows a historic volatility divergence between Ethereum (ETH) and Bitcoin (BTC) during May?2025.

Key Highlights:

• In May 2025, ETH options exhibited historically high volatility premiums over BTC, driven by ETH’s elevated realized volatility during a major price rally.
• The ETH-to-BTC implied volatility ratio for short-dated options surged past 2x — reaching a nearly five-year high.
• BTC’s realized volatility fell below a long-standing 35% floor, breaking a 19-month trend.
• ETH’s volatility term structure showed persistent inversion, with shorter-dated options pricing higher volatility than longer-dated ones.
• The implied volatility divergence coincided with ETH’s outperformance, which included a 23% intraday rally amid key market events.

ETH-to-BTC Implied Volatility Expands to Five-Year High

In May 2025, a notable dislocation in implied volatility emerged between ETH and BTC options. Implied volatility reflects market expectations for future price movement over an option’s lifespan. At the start of the month, the ETH-to-BTC implied volatility ratio for 7-day options hovered around 1.5 — indicating that ETH options were priced with 50% higher expected volatility than BTC options.

By May 16, the ratio climbed above 2x, reaching a peak not seen since 2020, as BTC’s implied volatility declined to its lowest levels since October 2023. This drop in BTC volatility broke below the 35% floor that had held for over 19 months, while ETH’s short-tenor implied volatility remained elevated, though slightly below its May 10 high. The volatility spread was particularly pronounced in the 30-day tenor, reaching its widest point since mid-2022.

Realized Volatility Trends Underscore the Divergence

The sharp divergence in implied volatility was reinforced by trends in realized volatility — a measure of actual historical price movement. In May, ETH’s realized volatility significantly outpaced BTC’s across various tenors, fueling expectations for continued dispersion between the two assets.

On May 15, the 7-day realized volatility ratio between ETH and BTC peaked, closely followed by the implied volatility ratio — suggesting market participants expected ETH’s higher volatility to persist. This trend is not new: the ETH-BTC volatility ratio has been climbing steadily since July 2024, amid both bull runs and periods of market stress.

ETH’s standout performance in May was catalyzed by several factors, including positive US-UK trade news. ETH surged more than 23% on May 8 alone and continued to outperform BTC, which gained approximately 10% during the same period. Despite this momentum, ETH remained over 50% below its January 2025 peak and its all-time high.

#Bybit / #TheCryptoArk / #BybitReport

About Bybit

Bybit is the world’s second-largest cryptocurrency exchange by trading volume, serving a global community of over 70 million users. Founded in 2018, Bybit is redefining openness in the decentralized world by creating a simpler, open and equal ecosystem for everyone. With a strong focus on Web3, Bybit partners strategically with leading blockchain protocols to provide robust infrastructure and drive on-chain innovation. Renowned for its secure custody, diverse marketplaces, intuitive user experience, and advanced blockchain tools, Bybit bridges the gap between TradFi and DeFi, empowering builders, creators, and enthusiasts to unlock the full potential of Web3. Discover the future of decentralized finance at Bybit.com.

For more details about Bybit, please visit Bybit Press
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Justin Sun’s Tron reverse merger strategy is making waves across the crypto and stock markets. On Monday, Nasdaq-listed SRM Entertainment (NASDAQ:SRM) announced it had reached a landmark agreement with the blockchain platform Tron, triggering a massive rally in SRM stock.

This deal is no ordinary partnership—it involves a $100 million equity investment, a name change to Tron Inc., and the appointment of Justin Sun as a strategic adviser. If completed, this reverse merger could give Tron an indirect path to going public in the United States—a rare feat for a crypto firm in today’s regulatory climate.

What Is a Reverse Merger—and Why Is Tron Using One?

A reverse merger allows a private company to become publicly traded by merging with an already listed company, bypassing the traditional IPO process. In this case, Tron’s reverse merger with SRM Entertainment may enable it to list on the Nasdaq without enduring the scrutiny and timeline of a standard public offering.

According to SRM’s statement, a private investor is set to inject $100 million into the company, with that value potentially rising to $210 million if warrants are exercised. While the investor was not named, the Financial Times reports that the capital is expected to come directly from Tron itself.

Tron Inc. and SRM: What Happens Next?

Once the deal is finalized, SRM will reportedly be renamed Tron Inc., with Sun stepping in as an adviser. The current leadership structure and ownership details, however, remain unclear. SRM did not disclose whether Tron’s investment would lead to a change in control or management direction.

The move marks a striking pivot for SRM, a company previously focused on producing toys and souvenirs for theme parks. Its stock surged more than 300% on Monday, rising from $1.45 to a high of $6.70, reflecting investor excitement over the crypto collaboration.

Political Ties and Controversy Cloud the Deal

The Tron reverse merger is not without controversy. The deal was arranged by Dominari Securities, a boutique investment bank owned by Dominari Holdings, which recently welcomed Donald Trump Jr. and Eric Trump to its board. The Trump family’s growing presence in crypto-related ventures has sparked concern among political watchdogs and ethics experts.

Adding to the scrutiny, Justin Sun faces ongoing legal battles with the U.S. Securities and Exchange Commission (SEC). In 2023, the SEC filed a civil fraud lawsuit against him, which has since been paused. Sun is also a major investor in Trump’s World Liberty Financial, where he increased his stake to $75 million earlier this year.

Tron’s USD1 stablecoin is now listed on the World Liberty platform—raising questions about overlapping interests and the potential for conflicts of interest, particularly given Trump’s financial ties to the venture.

Crypto Meets Wall Street: A New Era or Red Flag?

If approved, the Tron reverse merger would mark one of the most high-profile cases of a blockchain platform entering U.S. public markets. For investors, it presents both opportunity and risk: the allure of crypto innovation versus the uncertainty of legal and political entanglements.

Critics worry that the deal may invite further regulatory scrutiny, especially as the SEC continues its crackdown on crypto firms. Supporters argue that going public could increase transparency and give retail investors access to a leading blockchain ecosystem.

Should Investors Watch SRM or Tron Now?

With SRM shares tripling in value after the announcement, momentum traders are already circling. But investors should approach cautiously. While the Tron reverse merger adds excitement to the stock, the details are still murky, and the legal issues surrounding Sun have not been resolved.

Nonetheless, if Tron succeeds in going public via SRM, it could open the door for other crypto firms to follow a similar path—especially as they face mounting resistance from regulators in traditional IPO routes.

For now, both Tron and SRM Entertainment (NASDAQ:SRM) are firmly on the watchlist.

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Trump Media bitcoin ETF plans are making headlines again as Trump Media & Technology Group (NASDAQ:DJT) filed a proposal to launch a new exchange-traded fund investing in both bitcoin and ethereum. This move marks the company’s second crypto ETF filing in just two weeks, signaling a serious push into digital asset markets.

The latest filing with the U.S. Securities and Exchange Commission (SEC) outlines the proposed Truth Social Bitcoin & Ethereum ETF, a fund that would combine exposure to the two largest cryptocurrencies by market cap.

Why Is Trump Media Entering the Crypto ETF Market?

The Trump Media bitcoin ETF venture appears to be a bold attempt to capitalize on the growing mainstream adoption of cryptocurrencies. With high-profile players like BlackRock (NYSE:BLK) and Fidelity already dominating the market, entering the ETF race this late is undeniably risky.

Yet Trump Media is betting that its political and brand alignment — especially with the pro-crypto sentiment among Donald Trump supporters — could attract a unique investor base that traditional Wall Street firms don’t reach.

ETF analyst Bryan Armour of Morningstar noted, “The only way to stand out will be through fees or brand.” That could give Trump Media an edge if it markets directly to retail investors who already engage with the Truth Social platform or view Trump as a cryptocurrency advocate.

Bitcoin and Ethereum Allocation: What We Know

The filing, submitted under the issuer name Yorkville America Digital, indicates an initial allocation strategy of three bitcoins for every one ethereum. While most cryptocurrency ETFs focus on a single asset, combining the top two coins is a way to broaden appeal and potentially reduce volatility.

However, the proposed Trump Media bitcoin ETF hasn’t disclosed its fee structure — a crucial factor for investor decision-making. Competing products like BlackRock’s iShares Bitcoin ETF, which now holds $72.5 billion in assets, boast low expense ratios around 0.12%. Trump Media will likely need to match or beat that to attract institutional flows.

Challenges Ahead for Trump Media’s Crypto ETF

Despite the bold ambition, the path to success won’t be easy. Crypto ETF markets are already saturated with established offerings. From Grayscale (GBTC) to Bitwise, numerous products already give investors exposure to bitcoin, ethereum, or both.

As Sui Chung, CEO of CF Benchmarks, explained, “There is little that is different about this new venture other than the way it could be marketed.” That branding angle may turn out to be the ETF’s most important asset.

Much like fans of Apple (NASDAQ:AAPL) buy the stock out of brand loyalty, Trump supporters who use Truth Social may invest in the Trump Media bitcoin ETF more for ideological or emotional reasons than performance or cost efficiency.

Still, a successful launch would require SEC approval, effective fund management, and the ability to scale assets quickly. Without these, even the strongest brand might struggle to survive in the crowded ETF landscape.

Will Trump’s Political Clout Help the ETF Succeed?

Donald Trump has become increasingly vocal in his support of cryptocurrency, pledging to protect bitcoin mining and opposing the development of a central bank digital currency (CBDC). That political positioning could make Truth Social ETFs an appealing investment vehicle for retail traders seeking alignment with broader pro-crypto ideologies.

In short, the Trump Media bitcoin ETF may become more of a political and cultural statement than a traditional financial instrument. That alone might be enough to carve out a niche, even in a saturated market.

Bottom Line: Should You Watch DJT Stock Now?

The launch of the Trump Media bitcoin ETF is still uncertain, pending regulatory approval. But if greenlit, it could attract a passionate base of retail investors and add to Trump Media & Technology Group’s (NASDAQ:DJT) overall market profile.

While it’s too early to know how successful the ETF will be, its unique blend of crypto exposure, political branding, and social media influence makes it one to watch — especially as Trump’s influence grows in the 2024 election cycle.

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