Kraken expands regulated derivatives in Europe with Bitcoin and Ethereum collateral

  • The feature applies to more than 150 perpetual futures markets available to European users.
  • The exchange operates under MiCA and MiFID II regulations, with oversight from Ireland and Cyprus.
  • Kraken’s third-quarter revenue rose by 50% to $648 million following its acquisition of NinjaTrader.

Kraken has expanded its regulated derivatives offering in the European Union, allowing traders to use Bitcoin, Ethereum, and approved stablecoins as collateral for perpetual futures on Kraken Pro.

Announced on 3 November, the move makes Kraken one of the first licensed exchanges in Europe to support crypto-collateralised derivatives under the Markets in Crypto-Assets (MiCA) framework.

The feature strengthens Kraken’s position in Europe’s digital asset market by combining capital efficiency with regulatory compliance.

By allowing clients to post crypto assets instead of converting them into fiat, the exchange provides faster access to liquidity while remaining under strict oversight from European regulators.

Crypto as margin on Kraken Pro

European traders can now use Bitcoin, Ethereum, or select stablecoins as margin across more than 150 perpetual futures markets.

Collateral is converted to USD for liquidation and margin calculations, standardising risk management while maintaining crypto exposure.

Kraken’s operations are covered by its MiCA licence from the Central Bank of Ireland and supervision by the Cyprus Securities and Exchange Commission.

The exchange uses volatility-based margin haircuts to manage exposure to price swings. All custody arrangements comply with the Markets in Financial Instruments Directive II (MiFID II), ensuring full investor protection under European law.

The feature allows traders to access up to 10x leverage using crypto collateral. It reflects Kraken’s ongoing strategy to align its trading products with Europe’s unified digital asset rules ahead of MiCA’s full rollout in 2025.

A shift in EU derivatives

Kraken’s expansion comes at a time when Europe is tightening oversight of crypto products while promoting innovation through consistent regulation.

By offering crypto-collateralised futures under direct supervision, the exchange positions itself at the forefront of compliant derivatives trading in the EU.

The integration benefits institutional and retail traders seeking efficient and legally sound ways to trade leveraged crypto products.

Hedge funds and corporate treasuries can now operate within clear regulatory limits, signalling the increasing maturity of Europe’s digital derivatives market.

This move also strengthens the region’s financial infrastructure. Transparent liquidation procedures and regulated custody standards align digital assets with traditional financial norms, helping reduce risk and improve trust.

As other licensed exchanges follow Kraken’s lead, the EU could become a global hub for compliant digital asset trading.

Growth supports expansion

The announcement follows a strong financial quarter for Kraken. The exchange reported revenue of $648 million in the third quarter, a 50% rise from the previous quarter.

The increase was driven by higher trading volumes and new product integrations following the acquisition of NinjaTrader, a futures and forex trading platform.

This momentum underlines Kraken’s ability to grow while maintaining regulatory standards. By embedding compliance into its strategy, the company is building credibility and scale in an increasingly regulated environment.

As MiCA rules continue to take effect, exchanges that prioritise both innovation and compliance are expected to capture greater institutional interest.

Kraken’s integration of crypto collateral into a regulated derivatives framework demonstrates how digital assets can function securely within Europe’s financial system.

The development marks a shift from speculative trading to a more structured market, where transparency and protection guide participation.

For the European Union, this represents progress toward establishing a regulated, sustainable, and globally competitive digital asset economy.

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After worst October in six years, is Bitcoin poised for a November rally?

  • Bitcoin posted its first negative October performance in six years, now trading at $107k.
  • Fed’s hawkish comments on a potential December rate cut pressured the price.
  • November has historically been one of Bitcoin’s strongest months (42% mean return).

Bitcoin is entering November on uncertain footing after suffering its first negative October performance in six years, a downturn that has left investors questioning whether the move was a healthy correction or the start of a deeper bear trend.

The leading cryptocurrency is currently trading around $107,000, down 1.4% in the last 24 hours.

The recent price weakness culminated in a significant deleveraging event on November 3, which saw over $1.16 billion in leveraged long positions liquidated, highlighting the intensity of the sell-off.

Macro headwinds drive a ‘red October’

The negative monthly performance occurred against a complex macroeconomic backdrop.

While the US Federal Reserve delivered an anticipated rate cut, subsequent comments from Chair Jerome Powell tempered market expectations for another cut in December, creating uncertainty that pressured risk assets like Bitcoin.

This caution was reflected in market data, with Bitcoin’s US-session returns cooling from a positive 0.94% on October 29 to a negative 4.56% over the past week, according to Velo data.

On a more positive note, geopolitical tensions have eased following the trade agreement reached between US President Donald Trump and Chinese President Xi Jinping.

A mid-cycle correction or the end of the bull run?

Despite the recent downturn, some market experts believe the sell-off is a constructive development for the broader bull market.

“So could this red October actually set up the next major leg of Bitcoin’s bull cycle? I think that’s entirely possible,” Rachel Lin, CEO of SynFutures, told Decrypt.

Corrections like this tend to be the midpoint of a broader cycle rather than the end.

This optimistic view is supported by strong on-chain data, which indicates that long-term structural demand from holders remains robust despite the short-term price volatility.

History suggests a strong November rebound is possible

Historical performance data also provides a bullish case for the coming month. November has traditionally been one of Bitcoin’s strongest months, posting an average return of 42% over the past 12 years.

This trend, combined with a still-positive mean return of 6.05% for the third quarter, suggests the underlying uptrend remains intact.

“For November, I expect a period of stabilization and cautious optimism,” Lin said.

Bitcoin may trade sideways early in the month as markets absorb Fed commentary, but a decisive shift in tone could trigger a recovery.

The expert maintains that if Bitcoin continues to follow its typical post-halving cycle, the long-term outlook remains bright.

Citing strong fundamentals from ETF inflows to institutional adoption, Lin believes “a move toward $120,000 to $150,000 by the end of 2025 remains within reach.”


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Bitcoin holds $110k as cautious calm returns to crypto markets

  • Bitcoin is trading steadily around $110,300 as markets consolidate.
  • Traders have largely paused adding new risk after the recent Fed meeting.
  • Bitcoin dominance has risen to approximately 60% of the total crypto market.

With Bitcoin holding steady above the key $110,000 level as traders consolidate positions and reassess risk following last week’s hawkish signals from the US Federal Reserve, a cautious calm settled over cryptocurrency markets at the start of the week.

While the market has stabilized after a volatile period, underlying data from the derivatives and credit markets suggests that a “wait-and-see” approach is now the dominant strategy, with investors looking for a fresh catalyst to dictate the next major move.

As the business week began in Hong Kong, Bitcoin was trading around $110,300, while Ether held near $3,880. Both assets remain down significantly over the past 30 days, by 10% and 14% respectively.

According to market maker FlowDesk, clients have largely “paused adding new risk” after the Fed meeting, with market activity dominated by short-term trading and portfolio rebalancing.

Despite the caution, FlowDesk noted that traders showed net buying in tokens with strong underlying fundamentals like BTC, HYPE, and SYRUP, even as Solana-linked assets lagged.

This deleveraging has left many traders “underexposed if the market rebounds,” suggesting a cleaner market position, the firm wrote.

Fear lingers in the derivatives market

While spot markets appear calm, the derivatives space still shows signs of fear. According to CoinGlass data, approximately $155 million in crypto derivatives were liquidated in the past 24 hours.

The split, with $97 million in long positions and $58 million in shorts being wiped out, points to a moderate flush of overleveraged bullish bets rather than broad panic selling.

FlowDesk observed “elevated put skew and lingering caution despite calmer volatility,” indicating that traders are still buying downside protection.

This cautious positioning, dominated by put buying and call selling, could present an opportunity if the market stabilizes.

“Cheap risk reversals could appeal if spot markets stabilize,” FlowDesk wrote, adding that volatility will likely “drift lower into year-end.”

Gold holds gains despite hawkish Fed

In the broader macroeconomic picture, gold is holding onto its recent gains despite headwinds from the Fed.

The precious metal closed Friday at about $4,003 per ounce, posting a 3.7% gain in October for its third consecutive monthly rise.

Despite hawkish comments from the Federal Reserve and a stronger dollar that have reduced the odds of a December rate cut, haven demand for gold remains strong.

Persistent geopolitical tensions and ongoing U.S. fiscal uncertainty have continued to support the metal’s appeal as a stable asset.


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Venezuela to integrate Bitcoin and stablecoins into its banking network by December

  • Local banks will offer custody, transfers, and crypto-to-fiat exchange services.
  • The bolivar’s sharp depreciation has driven a surge in stablecoin adoption.
  • Conexus currently processes nearly 40% of Venezuela’s electronic payments.

Venezuela is preparing to merge its struggling traditional banking system with digital currencies as payment giant Conexus plans to integrate Bitcoin and stablecoins into the national banking infrastructure.

The move, expected to launch in December 2025, marks a significant step in the country’s financial transformation, offering Venezuelans a regulated channel for cryptocurrency use.

With the bolivar’s persistent depreciation and rising adoption of stablecoins, this development could make Venezuela one of the first nations to formally blend fiat and crypto operations under a unified system.

The integration also reflects Venezuela’s long-standing struggle with international sanctions that have limited access to global banking.

By adopting blockchain-based systems, Conexus aims to provide citizens with a more resilient alternative that can facilitate remittances, domestic transfers, and business payments without heavy dependence on foreign intermediaries and unstable local exchange rates.

The initiative also seeks to improve financial inclusion nationwide, making digital transactions more accessible to individuals and businesses across the country.

Conexus aims to bridge banks and blockchain

Conexus, which currently processes nearly 40% of Venezuela’s electronic transactions, is leading this shift by allowing local banks to offer direct crypto services such as custody, transfers, and fiat conversion for Bitcoin and stablecoins.

The integration seeks to make digital currency access seamless for customers within their regular bank accounts, eliminating the need for external wallets or apps.

The new infrastructure will be built on blockchain technology to enhance transparency and transaction security.

According to the company, the system will enable both individuals and businesses to move between digital and traditional currencies safely, reducing reliance on unregulated exchanges.

Growing reliance on stablecoins amid inflation

Years of hyperinflation have eroded confidence in the bolivar, pushing Venezuelans to rely heavily on stablecoins like Tether (USDT) as a store of value and medium of exchange.

From small retailers to freelancers, many now prefer stablecoins to protect earnings from volatility.

Conexus President Rodolfo Gasparri has highlighted that this surge in stablecoin transactions demonstrates a clear public demand for better integration between crypto and banking systems.

The company’s upcoming model aims to formalise this reality by providing regulated access to crypto within Venezuela’s financial framework, allowing citizens to transact and save using digital assets with greater confidence.

Potential blueprint for emerging economies

The Conexus initiative could reshape not only Venezuela’s financial sector but also set an example for other economies facing currency crises.

By offering a direct bridge between fiat and digital assets, the model could help millions gain access to stable, low-cost, and transparent financial services.

Venezuela’s attempt to merge traditional finance with blockchain technology aligns with global trends toward digitalisation of money, particularly in regions where economic instability drives innovation.

If implemented successfully, this system could serve as a prototype for countries in Latin America and beyond, where inflation and limited banking access continue to affect economic stability.

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Jiuzi Holdings taps SOLV Foundation for its $1B Bitcoin investment plan

  • Jiuzi commits up to $1B and 10,000 BTC to SOLV’s DeFi yield platform.
  • The partnership bridges TradFi compliance with DeFi Bitcoin finance.
  • JZXN shares have surged over 17% following the strategic announcement.

Jiuzi Holdings, Inc. (NASDAQ: JZXN) has unveiled a sweeping $1 billion Bitcoin finance initiative through a strategic partnership with SOLV Foundation, a decentralised finance (DeFi) platform managing more than $2.8 billion in total value locked.

The move positions Jiuzi as one of the few Nasdaq-listed firms actively bridging traditional finance (TradFi) with DeFi to create compliant, yield-generating Bitcoin products for institutional investors.

10,000 Bitcoin commitment to SOLV’s flagship SolvBTC.BNB vault

The partnership will see Jiuzi allocate up to $1 billion from its digital asset plan into Bitcoin staking and yield-focused blockchain products.

Central to the strategy is a commitment of up to 10,000 Bitcoin to SOLV’s flagship SolvBTC.BNB vault on the BNB Chain — one of the largest Bitcoin yield platforms in the ecosystem.

The assets will be safeguarded by regulated third-party custodians and verified through Chainlink’s proof-of-reserves auditing system, ensuring transparency and institutional-grade security.

This marks a pivotal moment for Jiuzi Holdings, which is best known for its new energy vehicle infrastructure business in China.

The company has been steadily diversifying into blockchain finance, and its partnership with SOLV Foundation signals a deepened commitment to positioning Bitcoin as a productive, yield-bearing asset rather than a passive store of value.

Building a compliant bridge between TradFi and DeFi

Jiuzi and SOLV have emphasised that the partnership will operate under strict compliance with US Securities and Exchange Commission (SEC) regulations and Nasdaq listing standards.

The collaboration will establish a joint Steering Committee composed of senior representatives from both organisations.

This committee will develop and oversee Bitcoin-centric DeFi initiatives, including expanding the adoption of SolvBTC across additional blockchain networks such as Solana and Base.

By combining Jiuzi’s regulatory standing and institutional access with SOLV’s on-chain expertise, the partnership aims to create a secure, transparent, and scalable financial framework for Bitcoin-based products.

Both companies view the collaboration as a model for how regulated capital can participate safely in decentralised yield markets.

Optimising treasury strategy through blockchain

Beyond its yield products, Jiuzi will anchor its corporate treasury around Bitcoin as its primary digital asset.

The firm’s Bitcoin holdings, including those of its subsidiaries, will be deposited on SOLV’s platform and managed under the supervision of approved custodians.

This approach is designed to maximise capital efficiency while maintaining visibility and accountability through blockchain-based auditing tools.

Li Tao, Chief Executive Officer of Jiuzi Holdings, described the partnership as “a transformative step forward” that strengthens the company’s Bitcoin vault strategy and aligns it with one of the most advanced ecosystems for Bitcoin liquidity and staking.

SOLV Protocol co-founder Ryan Chow added that the partnership merges Jiuzi’s regulatory stature with SOLV’s expertise in managing large-scale Bitcoin assets, paving the way for secure institutional capital flow into DeFi.

Notably, the news of the partnership sparked a sharp rally in Jiuzi’s stock, with shares surging more than 22% in trading following the announcement.

Investors responded positively to the company’s expansion into digital asset finance, recognising the potential for Jiuzi to play a pivotal role in institutional Bitcoin adoption.

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