Morgan Stanley Joins ETF Party

Morgan Stanley files for Bitcoin and Solana ETFs

AuthorAuthorAuthor

Max Gonzalez, Litquidity Capital & Gannon Breslin
January 07, 2026

Good Morning,

Here's a quick preview of today’s content: Crypto drags down US IPO performance, Banks sound alarm on stablecoin loophole in GENIUS, Crypto hacker launders ETH as $27M exploit unfolds, Canaan uses Bitcoin mining heat to grow tomatoes, and so much more

Happy Wednesday - Let’s dive in.

Market Snapshot

Click here to learn more about the Gannon’s portfolios and subscribe to the strategies on Autopilot.* Since inception (7/7/25), Gannon’s Crypto Portfolio is up +25.66%

  • Crypto markets build momentum as ETF inflows and altcoins lead early-year rally

    • BTC held above $93K, jumping +8% into the new year as strong ETF demand signaled a renewed institutional bid

    • Spot BTC ETFs logged $697M in inflows, their best day since October, marking the second strong trading day of 2026

    • Altcoins outperformed: XRP surged +11% to its highest since mid-November, while SUI posted double-digit gains

    • Memecoins reawakened with DOGE up +17% on the week

  • Ethereum fundamentals strengthened as network usage hit record highs and validator exit queues collapsed

Prediction Markets

  • Bettors on Polymarket are predicting how many Fed rate cuts in 2026?

  • Track and trade live odds on any event, only on Polymarket

Headline Roundup
The major headlines driving crypto markets

  • Morgan Stanley files for Bitcoin and Solana ETFs (DC)

  • Crypto drags down US IPO performance (CT)

  • MSCI decides not to exclude DATs from indexes (CD)

  • Crypto bill heads for Senate Banking Committee hearing (TB)

  • Canaan uses Bitcoin mining heat to grow tomatoes (TB)

  • Maine reaches $1.9M settlement over Bitcoin ATM losses (DC)

  • Grayscale's Ethereum ETF begins paying staking rewards (DC)

  • Circle's USDC outpaces Tether's USDT for second year (CD)

  • Polymarket adds taker fees to crypto markets (TB)

  • Bitcoin miner Riot dumps $200M in BTC (DC)

  • Former CFTC Commissioner joins SUI Group board (TB)

  • PumpSwap trading volume hits record $1.2B (CD)

  • Kraken’s Ink Layer 2 surpasses $500M in TVL (TD)

  • Coinhub brings a bank-like crypto experience to two cities (CD)

  • Infinex revises fundraising structure with fair allocation model (CD)

Venture Capital

  • Bitcoin Hyper, a Solana-speed Layer-2 for Bitcoin, secures $30.1M through an ongoing token pre-sale from undisclosed investors (CS)

  • Web3 quest launchpad Boings.ai raises $30M led by Honey Capital with participation from LandScape Capital, Hotcoin Labs, Starbase and Go2Mars Labs (CW)

  • Tria, a Web3 neo-bank, raises $12M from Ethereum Foundation founders, Cardano, Polygon, Side Door Ventures, and more (ET)

  • HabitTrade, a trading-infrastructure and tokenized-equity brokerage, raises $10M Series A round led by Newborn Town with Bright Venture Capital, StableStock, and others participating (FM)

  • Bitcoin services platform River secures an undisclosed strategic investment from Arthur Hayes’s Maelstrom (RT)

  • Stablecoin-enabled QR payments startup SQRIL receives an undisclosed investment from Tether (EP)

Access the complete VC deal flow on Fundable.

Launches

  • Tether rolls out Scudo unit for its gold-backed token (TB)

  • Lighter launches 24/5 equity perps trading (TB)

  • Forex.com owner StoneX adds crypto offering (FM)

  • BitMEX launches 24/7 stock perps (CT)

  • MarketVector and Amplify roll out stablecoin products (CT)

  • Buck launches bitcoin-linked ‘savings coin’ (CD)

Regulation

  • Banks sound alarm on stablecoin loophole in GENIUS (TB)

  • South Korea considers pre-emptive crypto account freezes (CT)

Cybersecurity

  • Crypto hacker launders ETH as $27M exploit unfolds (TB)

  • $3.9M Flow exploit due to counterfeit tokens (CT)

  • Bitcoin Core bug risks fund loss during wallet upgrades (CT)

Extra Reads

Chart of the Day

Over $1.1B BTC bought in the first two trading days of the year

How was today's newsletter?

Login or Subscribe to participate in polls.

Meme Dump

Pls send us crypto memes to be featured in the newsletter 🤝

🐦 Follow Us: Visit our X account for daily updates on all things web3, DeFi, & crypto.

💰 Gannon’s Crypto Portfolio: Trade alongside Gannon’s crypto on Autopilot

💵 Litquidity Ventures: Accredited investors & qualified purchasers within the Litquidity community can gain access to alternative investments such as venture, late-stage growth, and private equity through Litquidity Ventures. Interested? Fill out this form.

☎️ Book a call with Lit: Want to pick Litquidity’s brain on business advice, insights, or just chat to say what’s up? Buy his time here.

📧 Launch your own newsletter: Have great content ideas and looking to launch your own publication? We highly recommend Beehiiv to get started.

*DISCLAIMER: Investment advice provided by Autopilot advisers LLC, an SEC registered investment advisor. Past performance does not guarantee future results. Investing carries risks including the risk of the loss of principal. Performance doesn’t include fees. See more here.