Morning Crypto Market Digest: Ripple Enters Japan, Kalshi Valued at $40 Billion, and MIM Loses Peg
While the market showed sideways movement, several significant events occurred in the industry. Let's break down the key moments that will set the tone for trading in the coming days.
Bitcoin and Ethereum: Calm Before the Storm?
The major cryptocurrencies started the day without sharp movements. Bitcoin (BTC) is fluctuating near the $60,799 mark, with a daily low of $59,029 and a high of $63,097. Ethereum (ETH) is also trading sideways, holding around $1,616. This consolidation could indicate position accumulation by large players ahead of the next impulse.
In the top 10 by market cap, Hyperliquid shows the best daily performance (+3.44%), and over the week, Tron (+2.17%). The expected underperformer is Dogecoin, which lost 3.55% in 24 hours and over 10% in seven days. Among the top 100, Aave stands out (+14.93% daily) and DeXe, which surged nearly 68% over the week.
Ripple Launches Stablecoin RLUSD in Japan
An important step for Ripple's global expansion: the company received regulatory approval from Japan's FSA and launched its stablecoin RLUSD. The token, backed by dollar reserves and short-term U.S. Treasury bonds at a 1:1 ratio, is now available through SBI VC Trade, the crypto division of giant SBI Holdings.
RLUSD's market cap is $1.6 billion, making it a notable player in the stablecoin market. For Japan, known for its strict regulation, this is a precedent: the FSA classified RLUSD as a new type of electronic payment instrument, paving the way for further institutional integration.
Kalshi: New Valuation at $40 Billion
The prediction market platform Kalshi, according to my data, is negotiating a new funding round at a $40 billion valuation. This is nearly double the May valuation of $22 billion and eight times higher than a year earlier. For comparison, main competitor Polymarket is valued at $15 billion.
The deal could close as early as the third quarter. Recall that in May, Kalshi raised $1 billion in a Series F round with participation from giants like Coatue, Andreessen Horowitz, Sequoia, Morgan Stanley, and Ark Invest. In trading volumes, the platform already surpasses Polymarket: $17.9 billion versus $7.1 billion in May. Prediction markets are becoming the new mainstream, and Kalshi clearly intends to cement its leadership.
Abracadabra Loses Control: MIM Crashes 50%
The DeFi protocol Abracadabra faces a serious crisis: its stablecoin Magic Internet Money (MIM) lost its peg to the dollar and fell to $0.49. Problems began in mid-June when the token dropped to $0.74, but the situation has since worsened.
The team is urgently raising interest rates, trying to stimulate debt repayment and reduce the circulating supply of MIM. However, the root of the problem lies in the issuance mechanism backed by yield-bearing tokens and the critical dependence on liquidity pools on Curve Finance. Thin and unbalanced liquidity creates a domino effect: sales increase pressure, and restoring the peg becomes an increasingly difficult task.
My comment: The MIM case is a clear reminder that even overcollateralized stablecoins are vulnerable with insufficient liquidity depth. In conditions of market uncertainty, investors should pay attention not only to collateral ratios but also to the protocol's actual ability to maintain stability under stress scenarios.