US Stock Futures Dive Further

The crypto market has rallied, with Bitcoin briefly topping $69,000 for the first time in two months, while Ethereum rose roughly 19% to reclaim the $2,200 mark. The rally was driven primarily by two policy announcements. The U.S. Treasury Department said it will at least double the size of its long-term Treasury repurchase operations, raising the single-auction cap for 10–20 year and 20–30 year Treasuries from $2 billion to $4 billion. The measure takes effect September 9 and will run through the end of the current refinancing quarter. The Treasury stated the move is intended to provide additional liquidity support to the long-term Treasury market. Meanwhile, the U.S. Securities and Exchange Commission (SEC) proposed a new regulatory framework for crypto asset issuances, aiming to create an exemption pathway for certain crypto offerings tied to investment contracts. Under the proposal, eligible issuers can raise up to $5 million over four years, or up to $75 million annually, if they meet disclosure requirements. Fueled by these positive policy developments, the broader crypto market saw broad-based gains, with major assets including Solana and XRP surging over 5% in the past 24 hours. Market analysts noted that while the Treasury’s expanded repo operations differ from traditional quantitative easing, they could still improve liquidity in the long-term bond market, fostering a more favorable environment for risk assets. Additionally, VanEck has previously stated that Bitcoin’s correction phase may be nearing its end, with historical cycle data suggesting the cryptocurrency could be entering a potential accumulation phase. Crypto-related stocks also rose in tandem: Fold Holdings jumped nearly 20%, BitGo and American Bitcoin gained around 15%, and Bitcoin asset reserve firm Strategy and Ethereum asset reserve firm Bitmine rose roughly 10%.

Hyperliquid News cited sources as saying that U.S. President Donald Trump stated SEC Chair is pushing Hyperliquid to enter the U.S. market. Trump noted that relevant work is underway, with the goal of enabling Hyperliquid to operate under the U.S. regulatory framework, though no specific implementation plan or timeline has been released yet. Earlier, Hyperliquid representatives had discussed digital asset regulatory issues with the U.S. SEC’s Crypto Assets Working Group, covering Hyperliquid’s ecosystem, technical architecture, and market regulatory pathways. If Hyperliquid secures U.S. market access in the future, it could become a key case for decentralized derivatives trading platforms to achieve compliance, and further drive on-chain trading platforms into the U.S. mainstream financial market.

U.S. President Donald Trump, during a White House meeting with executives from the crypto industry and financial institutions, called on Congress to pass a "fair version" of the Clarity Act (Crypto Market Structure Act) to establish a clearer regulatory framework for digital assets. Trump stated the bill would help the U.S. maintain its leadership in the cryptocurrency space and open opportunities for the next wave of innovation and entrepreneurship. He added that clear regulatory rules are needed to prevent crypto firms from relocating overseas due to policy uncertainty. Attendees included executives from crypto and financial firms such as Coinbase, Ripple, Robinhood, Kraken, Chainlink, and Gemini, as well as SEC Chair Paul Atkins, CFTC Chair Michael Selig, and White House Crypto Advisor Patrick Witt. The Clarity Act aims to clarify the regulatory authority of the SEC and CFTC over digital assets and establish a federal-level regulatory framework for crypto markets. The bill is expected to be reintroduced in the Senate in September; Republicans still need to secure support from around six Democratic lawmakers to hit the 60-vote threshold required for passage. Additionally, Trump emphasized that his administration has advanced crypto-related policies including a strategic bitcoin reserve, a digital asset reserve plan, a ban on a U.S. central bank digital currency (CBDC), and the Clarity Act. Earlier, the U.S. SEC proposed new rules for crypto asset issuance, which would provide regulatory exemptions for certain token launches and lower the financing barriers for eligible crypto projects.

According to a report from The Information, a person familiar with the matter disclosed that NVIDIA has held investment discussions with data annotation service provider Mercor. Mercor assists the chipmaker in developing open-source AI models. The planned investment is part of Mercor’s $20 billion valuation funding round, with existing investor General Catalyst in talks to lead the round. Historically, most of Mercor’s revenue came from closed-source AI model developers such as OpenAI, Google, and Anthropic. However, as NVIDIA prioritizes advancing its Nemotron open-source model, Mercor’s revenue from NVIDIA is growing. Nemotron is designed to compete with the world’s most advanced open-source models. The source added that NVIDIA paid tens of millions of dollars to Mercor last quarter. Beyond Mercor, NVIDIA also uses data from other providers including Turing and Scale, while maintaining its own internal data team.

US President Trump said the US government has discussed plans to accumulate "large-scale" Bitcoin and other cryptocurrency assets. Trump noted that the US is exploring the possibility of increasing its holdings of digital assets, but did not disclose specific implementation plans, funding sources, or timelines. Earlier, the US government had pushed forward policies related to establishing a strategic Bitcoin reserve, and the market has been closely watching whether the US will further expand the government's allocation to Bitcoin and other crypto assets.

Federal Reserve meeting minutes show several officials favored a rate hike last month, while many others noted further monetary policy tightening would be necessary if inflation fails to cool. However, uncertainty remained a major factor shaping Fed officials’ judgments at the July meeting. The minutes stated: “Regarding the monetary policy outlook, participants reiterated that their interpretation of incoming data will be a key component of policy discussions.” The FOMC voted 9-to-3 in July to keep the benchmark interest rate steady in the 3.5% to 3.75% range. Logan, Harker, and Kashkari dissented, advocating for a 25 basis point rate hike. Two other regional Fed presidents who did not hold voting rights in July—Schmid and Moussailem—later said they would have supported a rate hike at that meeting if they had been eligible to vote. Most policy discussions at the July meeting centered on differing views of future inflation trends. The minutes noted: “Most participants expect inflation to gradually decline over the rest of the year as the impacts of tariffs and earlier energy price increases fade, though many pointed out that the risk of inflation remaining elevated persists.” (Jinshi)