Crypto Market On Alert As This Week’s Fed Decision Isn’t Just About Rates

After nearly two years since the U.S. Securities and Exchange Commission (SEC) began investigation on renowned DeFi platform Ondo Finance, the SEC has finally cleared the firm on Monday, December 8th.

The regulatory clarity, which has sparked excitements across the crypto market, follows the SEC’s plans to unlock the promise of tokenization for U.S. capital markets.

According to an official announcement released by Ondo Finance, the investigation, which started in 2024 during the Biden era, has formally been closed by the SEC without filing any charges.

The development, which propels Ondo Finance for broader adoption, also marks a major stepping stone to further bolster the modernization of the U.S. capital markets through blockchain-based infrastructure.

Initially, the investigation began as efforts to ensure if Ondo’s tokenization of real-world assets, including U.S. Treasuries and publicly traded equities, complies with federal securities laws.

Upon its emergence in the crypto industry, Ondo had rapidly entered spotlight following its expansion in the tokenized-Treasury market, hence its high visibility triggered regulatory scrutiny on whether the ONDO token itself should be classified as a security.

SEC moves to expand tokenization in the US market 

While the SEC has continued to make crypto-friendly regulations, it has increasingly acknowledged tokenization as a valid avenue to strengthen the U.S. market.

As such, SEC’s latest move to grant Ondo Finance regulatory clarity has fueled momentum around tokenized Treasuries and tokenized equities as global adoption continues to increase.

Notably, the infrastructures promise to offer faster settlement, greater transparency, and broader access for global investors.

Hong Kong, China, December 8th, 2025, Chainwire

Moca Network, a flagship project by Animoca Brands to build the world’s largest chain-agnostic decentralized digital identity network, today announced the beta launch of MocaProof, a gamified digital identity verification and reward platform that leverages blockchain to simplify and advance data privacy and self-sovereignty. 

MocaProof enables privacy-preserving credential verification for participants to prove ownership, participation, and qualifications on various on-chain and off-chain ecosystems, without the need to disclose raw data or identifiable information. 

MocaProof is integrated with Moca Network’s AIR Kit and Moca Chain to enable reusable, interoperable, and verifiable identity data across its network of platforms, providing zero-knowledge proof, decentralized data storage, on-chain monetization, and single sign-on. ​

The US Securities and Exchange Commission has closed its investigation into the New York-based tokenization platform Ondo Finance. The probe began in 2023 and ended without any charges.

Separately, Ondo received Liechtenstein approval last month to offer tokenized stocks and ETFs across the European Union and wider European Economic Area. The approval followed Ondo Finance’s integration with cryptocurrency exchange Bitget and Bitget Wallet, allowing non-US users to access tokenized real-world assets, including stocks and ETFs.

SEC Clears Ondo Multi-Year Investigation

Ondo said that it received formal notice from the SEC that the “confidential, multi-year” investigation was closed. The review examined whether Ondo’s tokenization of real-world assets complied with federal securities laws. It also assessed whether the ONDO token qualified as a security.

The company said, “The probe examined whether Ondo’s tokenization of certain real-world assets complied with federal securities laws as well as whether the ONDO token was a security.”

Crypto “Enforcement Eases” After SEC Leadership Change

According to a report by Crypto in America, the SEC opened the inquiry in October 2023 under former Chair Gary Gensler, whose tenure was marked by stricter enforcement toward crypto firms. Since Paul Atkins became SEC chair, the agency has closed several crypto-related cases, including those involving Coinbase, Ripple, and Kraken.

Tokenized Securities Could Enter US Markets

Ondo said the investigation began during a period of regulatory uncertainty. It described the environment as defined by “caution, confusion, and occasionally overbroad enforcement actions” and noted it was “one of the only firms focused on tokenizing publicly listed equities at scale.” The company added, “Being early, and being successful, came with scrutiny.”

It said the closure marks the end of one chapter and the start of another, where tokenized securities could become a “core part of the US capital markets.”

Most tokenization platforms continue to focus on customers outside the United States, offering tokenized versions of US-listed stocks and ETFs mainly to European clients, including Kraken-owned Backed, the issuer of xStocks.

BlackRock is advancing further into digital asset investment products with a for the iShares Staked Ethereum Trust ETF, its first U.S. product that offers direct staking exposure for institutional investors.

The official prospectus filing for ishares Staked Ethereum ETF, their fourth crypto filing. Spot btc, eth, btc income and now this. — Eric Balchunas (@EricBalchunas)

The move expands upon the firm’s existing Ethereum fund, which now exceeds $11 billion in assets, and reflects the growing market appetite for yield-generating crypto strategies.

The preliminary prospectus, dated December 5, describes a vehicle that will reflect ETH price performance while also capturing rewards from staking a portion of its holdings.

The trust will issue shares representing fractional beneficial interests in its ether assets, which will be held in custody on behalf of investors. Staking rewards, once received, are intended to enhance net asset value, though the filing cites regulatory and operational risks that could impact distribution and performance.Multi-Custodian Structure Anchored by Coinbase and BNY Mellon

The filing outlines a layered custody and administration model. Coinbase Custody Trust Company is slated to serve as the ETH custodian, while The Bank of New York Mellon will act as cash custodian and administrator.

Anchorage Digital Bank is listed as an additional custodian, strengthening the trust’s regulated oversight and redundancy. BlackRock Fund Advisors will serve as trustee, and iShares Delaware Trust Sponsor LLC is listed as the sponsor of the trust. The structure indicates a clear intention to position the product as a compliant infrastructure designed for institutional comfort and risk management.Provider-Facilitated Staking, Not Validator Operation

Instead of running validator infrastructure directly, the trust will rely on approved third-party staking service providers. The sponsor will determine how staking is allocated based on provider performance, reliability, and reputation.

Staking operations may be executed through affiliates of the custodians or other regulated partners, with the prospectus noting both reward potential and slashing risk as material considerations for investors.

The trust intends to issue shares continuously and list on NASDAQ under the ticker “ETHB”, with creation and redemption occurring in standardized baskets of 40,000 shares.Institutional Demand Shifts Toward Yield-Bearing Crypto Products

BlackRock’s filing indicates a strategic shift as institutional investors increasingly seek exposure beyond price-only products and toward yield-bearing, tokenized financial instruments. If approved, the ETF may help define how staking rewards are classified, a topic still evolving in U.S. regulatory circles.

The staked ETH ETF positions BlackRock at the center of this transition, reflecting its ambition to shape the next phase of digital asset adoption, one in which exposure is not merely speculative but grounded in the operational economics of blockchain networks.BlackRock’s Bitcoin ETF Bleeds $2.7B

Meanwhile, BlackRock’s iShares Bitcoin Trust has logged its longest stretch of weekly withdrawals since the fund launched in January 2024, marking a sharp turn in institutional sentiment toward Bitcoin even as prices steady. Investors pulled more than $2.7 billion from the fund over the five weeks ending Nov. 28, .

Redemptions continued on Thursday with an additional $113 million, putting the ETF on track for a sixth consecutive week of outflows.

Edel will participate in an AMA with PancakeSwap focused on their onchain securities lending platform, which aims to improve yield generation in a manner similar to traditional stock market mechanisms but enabled by blockchain infrastructure. The session’s main value is informational: direct communication about Edel’s platform features, roadmap, and strategic direction can sway investor sentiment or clarify regulatory and risk considerations. Market-moving disclosures regarding partnerships, adoption, or upcoming product releases may emerge. For the official AMA announcement and context, see PancakeSwap’s statement here.

On December 9, Lava Network will participate in an AMA with PancakeSwap to discuss its approach to powering the onchain economy, with a focus on infrastructure for dApps and AI agents. The key mechanism is informational: the AMA gives direct insight into Lava’s technical roadmap and network capabilities, which could influence market perception and investor sentiment. If new partnerships, technological breakthroughs, or adoption metrics are disclosed during the session, these could translate into increased demand for LAVA tokens and potential price volatility. For details, see the official PancakeSwap announcement here.