Major institutional investors are doubling down on crypto treasury companies, notably Bitmine Immersion Technologies, with significant shareholders like Morgan Stanley and Bank of America boosting their stakes in the fourth quarter of 2025. This move occurs despite a broader market downturn.
Meanwhile, the decentralized finance (DeFi) sector is experiencing a liquidity crunch, leading to the shutdown of prominent protocols. ZeroLend, a DeFi lender, has ceased operations citing insufficient liquidity and low user numbers. Crypto analytics platform Parsec also shuttered, attributing its closure to market volatility.
Bitcoin and Ether saw modest gains of approximately 2.6% each over the past week. This uptick occurred amidst significant outflows from U.S. spot Bitcoin ETFs, which recorded three consecutive days of selling culminating in $165 million in outflows. Ether ETFs also experienced reversals, with outflows following initial inflows.
Morgan Stanley, the largest shareholder in Bitmine Immersion Technologies (BMNR), increased its position by 26% to over 12.1 million shares. ARK Investment Management, the second-largest holder, expanded its stake by 27%. Other major institutions, including BlackRock, Goldman Sachs, Vanguard, and Bank of America, also significantly increased their exposure to BMNR. These investments were made despite a 48% drop in Bitmine's stock price during the fourth quarter of 2025.
Kraken’s tokenized equities platform, xStocks, has surpassed $25 billion in total transaction volume since its launch. The platform's growth is driven by both centralized and decentralized exchange trading, as well as minting and redemption activity.