The U.S. Securities and Exchange Commission has halted applications from multiple ETF providers seeking to launch cryptocurrency funds with 3–5x leverage, exceeding the 200% regulatory cap. Warning letters cited provisions of the Investment Company Act of 1940, which limits fund exposure to 200% of value-at-risk. Analysts warn that such products amplify both gains and losses in volatile markets.

Ian Krotinsky and Aashiq Dheeraj, former Citadel employees, have raised $17 million for Fin, a stablecoin-based payments platform targeting large-value cross-border transactions. Pantera Capital led the funding round, with participation from Sequoia and Samsung Next, according to Fortune. The startup plans to pilot with import-export businesses next month.

Binance will remove four leveraged trading pairs—PENGU/FDUSD, NOT/FDUSD, FLOKI/FDUSD, and INJ/FDUSD—on December 11, 2025. Isolated-margin lending for these pairs suspends on December 8, 2025. The exchange cites risk management and regulatory compliance as reasons for the delisting.

Bitcoin traded around $93,000 during Asian hours Thursday as softer US economic indicators strengthened market expectations for a Federal Reserve interest rate reduction. Analysts cited positive momentum from recent institutional developments, including Vanguard's policy shift on crypto-linked ETFs and speculation about potential Fed leadership changes. The total cryptocurrency market capitalization rose 1.8% to $3.27 trillion.

Daily liquidation volumes have more than doubled compared to the previous cycle, according to a Glassnode and Fasanara report. Average long position liquidations rose from $28 million to $68 million, while short position liquidations increased from $15 million to $45 million. The shift reflects heightened leverage use across cryptocurrency derivatives markets.

Coinbase CEO Brian Armstrong announced on December 3, 2025, that major U.S. banks have partnered with Coinbase to pilot crypto-related projects focusing on stablecoins, trading infrastructure, and custody solutions. BlackRock CEO Larry Fink participated in the discussion at the New York Times Dealbook Summit, highlighting Bitcoin's essential use cases. The collaborations reflect the financial sector's growing acceptance of digital assets.

Polymarket has resumed operations in the United States following regulatory clearance from the Commodity Futures Trading Commission. The platform launched a phased rollout for waitlisted users, who can now access sports event contracts, with additional markets planned for future release. The approval follows a $1.4 million settlement in 2022 and the platform's $112 million acquisition of Florida-based derivatives exchange QCX in July 2025.

The U.S. Securities and Exchange Commission issued nine warning letters Tuesday to major ETF providers including Direxion, ProShares, and Tidal Financial, halting proposed funds designed to deliver three to five times daily returns on stocks and cryptocurrencies. The agency cited violations of Rule 18f-4, which limits a fund's value-at-risk exposure to 200% of its reference benchmark. ProShares withdrew several applications within one day of the letters being posted.