JPMorgan distanced itself from Polymarket, Gemini is drowning in losses, and Norway entered ETH through the back door — digest for August 14
While the market consolidated in narrow ranges, events were unfolding in the shadows that will shape the contours of the industry for months to come. Financial giant JPMorgan finally severed its banking relationship with the prediction platform Polymarket back in October of last year, citing regulatory risks. This did not become a public drama — the parties maintained business contacts, and Polymarket itself quickly found a new banking partner. Notably, JPMorgan continues to claim a role as organizer of a potential Polymarket IPO, and the platform itself is currently raising over $1 billion at a valuation of $20 billion — double last year's figure.
Gemini: Fourth Consecutive Quarter of Losses
The Winklevoss brothers' crypto exchange reported a net loss of $107.7 million for the second quarter. This is already the fourth consecutive loss-making period, although revenue grew 37% year-over-year, reaching $45.5 million. The key problem is that assets on the platform plunged 54% to $8.4 billion. The company attributes this to falling prices and an outflow of institutional clients. The operating loss was reduced by 18% quarter-over-quarter, and the exchange itself is actively diversifying into prediction markets and stock trading. But revenue growth alone is clearly not enough to reverse the trend.
Norway Enters ETH via BitMine Shares
The Scandinavian sovereign fund disclosed a holding of approximately 6.15 million shares in BitMine Immersion Technologies, worth about $81.87 million as of June 30. Thus, the fund gained indirect exposure to Ethereum, not by buying digital assets directly, but through a public company. BitMine itself held about 5.805 million ETH as of August 9, of which approximately 5.067 million were in staking. The date and purchase price of the shares are not disclosed, which adds to the intrigue.
It is telling that institutional money continues to seek workarounds to enter cryptocurrency, avoiding direct ownership of coins. This indicates continued caution among regulators, but at the same time confirms a growing appetite for digital assets.
My comment: JPMorgan's departure from Polymarket is a signal that even the largest banks are not willing to tolerate regulatory uncertainty in the prediction markets space. And Gemini's losses amid revenue growth are a classic symptom of a model crisis: without institutional inflows and new products, exchanges find it increasingly difficult to maintain margins. Norway, meanwhile, demonstrates a trend: sovereign funds will enter crypto through miner stocks and ETFs rather than direct purchases — this reduces political risks but does not change the essence.