The Daily: JPMorgan warns of crypto downside risk, Hashdex set to launch world's first spot XRP ETF and more

The following article is adapted from The Block’s newsletter,  The Daily , which comes out on weekday afternoons.

Happy Thursday! Well, President Trump's talk at the FII Priority event in Miami yesterday evening did offer a small morsel of crypto content that the community had been waiting for, helping bitcoin to rebound somewhat — though it was largely a reiteration of his previous remarks.

In today's newsletter, JPMorgan warns of near-term downside risk as bitcoin and ether futures face weak demand, Brazil is set to launch the world's first spot XRP ETF, Tether leads $10 million fundraising for MANSA and more.

Meanwhile, the SEC has launched a new unit focused on protecting investors against fraud in crypto and AI.

Let's get started. 

JPMorgan warns of crypto downside risk

JPMorgan analysts have warned of near-term downside risk in the crypto market amid weakening institutional demand for CME bitcoin and ether futures.

• The total crypto market cap has dropped 15% from its $3.7 trillion high on Dec. 17, marking a significant correction, albeit far shallower than prior cycles.
• The downturn has seen bitcoin and ether futures nearing backwardation, mirroring what happened last June and July, the analysts noted.
• Normally, strong demand leads to futures trading at a premium, often above 10% annually, but current weakness could cause futures to slip below spot prices again.
• The analysts pointed to a lack of positive catalysts as a key factor driving the reduced demand, with major crypto-related initiatives from the Trump administration unlikely before the second half of the year.
• Momentum-driven funds reducing exposure and profit-taking by institutional investors are also contributing to the ongoing downturn in the crypto market, they said.

Brazil set to launch world's first spot XRP ETF

Hashdex is expected to launch the world's first spot XRP ETF on the B3 exchange after gaining approval from Brazil's securities regulator, local media reported.

• However, the Hashdex Nasdaq XRP Index Fund remains in its pre-operational phase, and the crypto asset manager has yet to set a launch date.
• Brazil's approval comes as the U.S. Securities and Exchange Commission reviews multiple spot XRP ETF proposals from firms like 21Shares, Bitwise and Grayscale amid the perception of a more positive crypto regulatory environment under President Trump.
• The price of XRP rose around 5% following the news on Wednesday.

Tether leads $10 million fundraising for MANSA

MANSA raised $10 million in funding led by stablecoin issuer Tether to expand its cross-border payment services.

• Tether invested in MANSA's $3 million pre-seed round that was also co-led by Polymorphic Capital, with participation from Octerra Capital, Faculty Group and Trive Digital.
• MANSA secured an additional $7 million in liquidity funding from other institutional investors.
• MANSA uses USDT to provide firms with onchain liquidity, aiming to make cross-border payments more accessible and efficient.
• The company plans to use the fresh capital to expand into Latin America and Southeast Asia, addressing liquidity challenges in those regions.

Japan's Metaplanet reaches bitcoin milestone

Japanese investment firm Metaplanet has bought an additional 68.59 BTC for $6.6 million, expanding its total holdings to 2,100 BTC — reaching 0.01% of bitcoin's total 21 million supply for the first time.

• The Tokyo-listed firm maintains a positive outlook on bitcoin, aiming to accumulate 10,000 BTC by the end of 2025 and 21,000 BTC by the end of 2026.
• Metaplanet has been actively buying the foremost cryptocurrency since announcing its Michael Saylor-inspired bitcoin acquisition strategy in April 2024.
• The company's stock price has soared a whopping 3,830% over the past year, gaining 68% so far in 2025, according to TradingView.

Crypto investors see 518% surge in 2024 gains, while ETH leads losses

Crypto investors saw an average gain of $5,482 in 2024 — a significant increase from 2023's $887 average gain, according to cryptocurrency tax platform CoinLedger.

• SUPER, HYPE and BTC contributed the largest unrealized gains, while ETH, ADA and POL led users' unrealized losses last year.
• Bitcoin remained the most-held cryptocurrency among CoinLedger's 500,000 users, with Ledger leading wallet imports and Coinbase dominating exchange data.
• "Cryptocurrency is in a bull market," CoinLedger CEO David Kemmerer said. "It's clear that the results of the 2024 presidential election have pushed enthusiasm for digital assets to new heights."

In the next 24 hours

• Federal Reserve Governor Philip Jefferson will speak at 11:30 a.m. on Friday.
• Immutable, Moca Network and 1inch are all set for token unlocks.
• FII Priority concludes in Miami.

Never miss a beat with The Block's  daily digest  of the most influential events happening across the digital asset ecosystem.