XRP Has Added USD 73.48B To Its Market Cap Over The Past 7 Days, Reaching A New All-Time High OF USD 154B - We Discuss Key Narratives & Market Dynamics In This AM’s Note. The XRP rally being fueled by narratives surrounding crypto adoption in the US: Social media and crypto news sources have attributed XRP’s performance to the new-found political support for crypto in the US. XRP’s issuer, Ripple, is based in San Francisco, and under Biden has been the subject of an SEC investigation over its issuance of the token. The WSJ describes Trump’s second term as ‘new era for crypto—with fewer government hurdles.’ Under a ‘litigation peace,’ according to the asset’s proponents, XRP will become more accessible to major financial institutions using the asset as a ‘bridge currency’ for foreign exchange. Non-US XRP markets are magnitudes times greater than those available to US traders: XRP was restricted from US traders while Ripple was involved in litigation with the SEC. However, on the back of favourable rulings in the case this year, trading venues have begun offering XRP to US residents again. In November, Robinhood listed XRP while Coinbase and Kraken did so in July. However, foreign markets, where US residents are barred from trading, dwarf those in the US. For instance, XRP/USD has seen a combined trading volume of US ~2.76B over the last 24 hours on Kraken and Coinbase. This is compared to USD 13.89B worth of XRP/USD volume on UpBit, Binance, ByBit, and OKX. UpBit is notable as it is an exchange available in South Korea and has seen USD 5.51B worth of XRP/USD volume. This disparity between US and non-US XRP markets is even greater when considering perpetual swap markets which are inaccessible to US traders. Binance and OKX’s XRP perp contracts have recorded USD 22.67B and USD 7.22B of volume in the last 24 hours. The XRP bull thesis & international exposure to US banking: Beyond the current trading environment, the XRP bull thesis is that the digital asset will become ubiquitous in international capital flows as a ‘bridge currency’ when settling foreign exchange. Trump's friendliness to crypto is bolstering this thesis further. For the most ardent XRP supporters, the addressable market for the token is greater than that for BTC. The XRP bull thesis is supported by relatively esoteric news sites, with headlines such as ‘XRP to be Adopted By Big Global Banks as Ripple Eyes Growing $16 Trillion Custody Market.’ Ripple’s executives also discuss this bull thesis in high profile US media. For instance, in July 2023, Ripple General Counsel Stu Alderoty told CNBC the firm is confident US banks and other financial institutions in the country will start showing interest in adopting XRP in cross-border payments. In this context, for non-US XRP bulls, the asset represents exposure to the US and global financial system. This may be especially true in jurisdictions where platforms like Binance are more accessible than traditional brokerages offering access to US and global banking equities.

- **Wallets linked to the US Government transferred approximately USD 2B worth of forfeited BTC to Coinbase Prime.** The move involved 19,800 BTC and has historically preceded sales. According to blockchain analytics firm Arkham, the government still holds USD 18B in confiscated crypto. - [Link](https://www.coindesk.com/markets/2024/12/02/silk-road-bitcoin-worth-nearly-2-b-moved-to-coinbase-prime) - @CoinDesk - **MARA Holdings (NASDAQ: MARA) unveiled a plan to issue USD 700M of 0% convertible senior notes.** The notes, set to mature on June 1, 2031, are unsecured and offer conversion into cash or MARA equity. Furthermore, MARA intends to allocate up to USD 50M of the proceeds for the repurchase of current convertible notes, and the remainder to BTC purchases - [Link](https://www.globenewswire.com/news-release/2024/12/02/2989626/0/en/MARA-Holdings-Inc-Announces-Proposed-Private-Offering-of-700-Million-of-Zero-Coupon-Convertible-Senior-Notes.html) - @MARA - **Solana-based memecoin platform pump.fun's revenue fell 66% in the last week of November.** After the platform deactivated its livestream feature amid concerns over harmful content, revenue fell to USD ~11.3M, compared to USD ~33.8M in the prior week. In the month of November, the platform generated USD ~94M in revenue, a ~3x increase over October - [Link](https://cointelegraph.com/news/pump-fun-revenue-dropped-66-percent-backlash) - @Cointelegraph - **Asia-based Sora Ventures launched a USD 150M fund to advance BTC-focused treasury strategies in Asia.** The fund targets listed companies in Japan, Hong Kong, Thailand, Taiwan, and South Korea. It aims to enhance financial strategies and stakeholder value - [Link](https://cryptoslate.com/sora-ventures-launches-150-million-fund-to-emulate-microstrategys-bitcoin-strategy-across-asia/) - @CryptoSlate - **Crypto custodian BitGo announced it is expanding its services to retail.** After serving institutional clients for over a decade, BitGo now offers trading, staking, and wallet services globally to retail investors - [Link](https://cointelegraph.com/news/bitgo-expands-retail-market-new-trading-platform) - @Cointelegraph - **EDX Markets appointed Tony Acuña-Rohter as CEO, succeeding founder Jamil Nazarali.** Supported by firms including Fidelity and Charles Schwab, EDX operates as an institution-only crypto exchange. Nazarali will become executive chairman, focusing on strategic leadership as the exchange seeks to execute on its growth strategy - [Link](https://www.coindesk.com/business/2024/12/02/fidelity-schwab-citadel-backed-crypto-exchange-edx-markets-appoints-new-ceo) - @CoinDesk - **The ECB released a progress report on its CBDC project, citing a ‘preparation phase’ for the ‘digital euro.’** The report highlights advancements in the digital euro scheme rulebook and the selection of service providers. It aims to establish a unified digital payment system across the euro area, with user research and innovation partnerships underway - [Link](https://www.ecb.europa.eu/press/pr/date/2024/html/ecb.pr241202~d0b19e5e1b.en.html) - @ECB - **German fintech 21X secured regulatory approval to launch a tokenization platform.** The firm received a license from BaFin to operate a blockchain-based trading and settlement system. This license allows 21X to launch its exchange for tokenized financial instruments from Frankfurt in Q1 2025 - [Link](https://www.globenewswire.com/news-release/2024/12/03/2990264/0/en/21X-secures-historic-EU-license-to-launch-the-first-fully-regulated-blockchain-based-trading-venue.html) - @21X

- WSJ: [Bitcoin Euphoria Threatens To Break These ETFs](https://www.wsj.com/finance/investing/bitcoin-euphoria-threatens-to-break-these-etfs-eca74ca2) - Barron's: [Bitcoin Spiked After Trump Election Win. These 4 Crypto Stocks Are Doing Even Better.](https://www.barrons.com/articles/bitcoin-crypto-stocks-buy-analyst-8b1921ab)

- **[The Cure](https://cryptohayes.substack.com/p/the-cure)**, Arthur Hayes, December 2, 2024 - Arthur Hayes discusses ongoing crypto market dynamics.

- **[Interoperability May Be 'Turning A Corner' With Hyperlane Co-Founder Jon Kol](https://www.theblock.co/post/328907/interoperability-may-be-turning-a-corner-with-hyperlane-co-founder-jon-kol)**, The Scoop Podcast, December 2, 2024 - Hyperlane co-founder Jon Kol discusses the concept of blockchain 'interoperability.'