The SEC has issued a warning letter to ETF issuers targeting high-leverage products

On December 4th, the U.S. Securities and Exchange Commission (SEC) delayed—for the second time—the deadline for its highly anticipated short selling and related stock loan disclosure rule. Under the SEC’s guidance, large investment management firms (including hedge funds) now have until January 2, 2028, to comply with short selling reporting requirements. Disclosure obligations for stock loan transactions are pushed back to September 28, 2028. The SEC stated the temporary exemptions are “in the public interest and consistent with investor protection goals.” In October 2023, the agency rolled out new rules: eligible asset managers must report short positions monthly, while pension funds, banks, and institutional share-lenders must submit reports the next trading day. In August, the U.S. Fifth Circuit Court of Appeals ruled the SEC failed to properly assess the rule’s economic impact and ordered the agency to reevaluate. SEC’s sole Democratic commissioner Allison Herren Le

On December 4th, per the Coinbob Popular Address Monitor: Over the past hour, a whale wallet tagged "pension-usdt.eth" boosted its BTC short position with 3x leverage, totaling roughly $60 million in notional value (position size: $93.2 million; average entry price: $92,700). The position is currently floating at a $460,000 loss (1.4%) and ranks as the top BTC short position on Hyperliquid. Earlier today at 00:00, the address partially closed a $60 million BTC short position at break-even before adding to the short again this morning. Recently, the wallet has focused on swing trades with low leverage and large order sizes: it held positions for an average of ~8 hours this week, and has generated $6.6 million in monthly profits.

Dec. 4 — Onchain Lens data indicates a newly created wallet’s 20x-leveraged short position on BTC has been fully liquidated, resulting in a $3.2 million loss.

On December 4, The Block reported that CryptoQuant said in a Wednesday report Strategy recognizes a non-zero chance Bitcoin could face a deep or prolonged pullback. Setting a 24-month USD buffer signals the firm expects Bitcoin may trade sideways or decline over a longer period, and market acceptance of stock financing could drop going forward. CryptoQuant noted the “dual reserve model” — holding both USD and Bitcoin simultaneously — reduces the risk of forced Bitcoin sales during a market downturn. But this marks a strategic shift for Strategy, differing from its approach from 2020 through November 2025, when it consistently bought Bitcoin via stock and convertible bond issuances. “This shift impacts the Bitcoin market significantly,” CryptoQuant stated. “On one hand, Strategy’s reduced marginal Bitcoin buying pressure will weaken the strong demand channel seen in prior bull cycles. On the other, the USD reserve and newly disclosed hedging/selling capabilities sharply lower the

On December 4, Arkham announced via official channels that Arkham Swap is now live. All Arkham users can now seamlessly swap any token directly on the Arkham platform, with support for Ethereum, Base, BNB Chain, Polygon, and Optimism.

On December 4, The Wall Street Journal reported that OpenAI founder Sam Altman has repeatedly expressed interest in building a data center in space. Sources say Altman has explored an acquisition or partnership deal with a rocket company—a move that would put him in competition with Elon Musk’s SpaceX. OpenAI has reportedly been in negotiations over potential transactions in recent months, but recent discussions between OpenAI and the rocket company have become less active.