Daily Brief: October 3, 2025
Crypto Mergers, 24/7 Trading, ETF Delays
TL;DR: Avalanche Treasury Co. plans a $1B AVAX buy through a SPAC merger, marking a trend of crypto firms going public to boost token utility. CME Group to start 24/7 crypto trading by 2026, aligning with global market demands. Meanwhile, the U.S. government shutdown stalls altcoin ETF approvals, affecting market access and innovation.
🚀 Avalanche Treasury Co. Plans $1B AVAX Buy with SPAC Merger
Avalanche Treasury Co., supported by the Avalanche Foundation, is set to merge with Mountain Lake Acquisition Corp. in a deal valued at over $675 million. This merger aims to create a public avenue for AVAX token exposure, with plans to list on Nasdaq by early 2026. The company will manage over $1 billion in AVAX assets, offering institutional investors a 23% discount compared to direct purchases.
This merger highlights a growing trend of crypto treasury companies going public, focusing on actively managing and investing in the Avalanche ecosystem. This includes investments in protocols, real-world asset tokenization, and validator infrastructure. Backed by major investors like Galaxy Digital and Pantera Capital, this move signals strong confidence in Avalanche's growth potential.
Avalanche Treasury Co. plans to offer more than just passive exposure to AVAX. By actively participating in the ecosystem, the company aims to enhance token utility and adoption. The involvement of high-profile advisors and institutional investors underscores the strategic importance of this move, positioning Avalanche as a preferred blockchain for enterprise applications.
Why it matters: This transaction provides institutional investors with more accessible and cost-effective exposure to AVAX, while promoting active management to enhance token utility and ecosystem growth, marking a significant step in Avalanche's mainstream adoption.
🕒 CME Group Goes 24/7 with Crypto Trading
CME Group, a leading US derivatives exchange, plans to introduce 24/7 trading for crypto futures and options starting in early 2026. This initiative aims to compete with offshore exchanges that already offer continuous trading. The expansion will include assets like Solana and XRP, in addition to Bitcoin and Ethereum, to meet the growing demand from institutional investors.
By offering round-the-clock trading, CME aligns its services with the nonstop nature of crypto markets. This change addresses the issue of weekend trading gaps and enhances risk management for institutional investors. However, the expansion is pending regulatory approval, which is currently delayed due to a US government shutdown.
CME's decision reflects a broader industry trend towards more accessible and continuous crypto trading. Other exchanges, like Cboe, are also boosting their crypto derivatives offerings. This development could significantly impact the crypto market by increasing liquidity and market efficiency, especially given CME's role in price discovery.
Why it matters: This development modernizes a major regulated crypto derivatives marketplace, offering institutional investors greater flexibility and potentially increasing market stability and participation.
🚦 Altcoin ETF Approvals Stalled by U.S. Shutdown
The U.S. government shutdown has stalled the approval of over 90 pending altcoin spot ETFs, including those for Solana, XRP, and Cardano. The SEC, responsible for these approvals, has paused operations, delaying the launch of these investment products. Analysts had anticipated approvals to begin in early October, but the political deadlock has pushed back timelines.
The SEC's new generic listing standards were designed to speed up the approval process by removing the need for 19b-4 filings. However, the shutdown has put these plans on hold. Major financial firms like Franklin Templeton and Fidelity have been updating their filings to include staking provisions, showing strong institutional interest in altcoin ETFs.
Despite regulatory delays, the market remains optimistic. Solana, for example, continues to demonstrate price resilience, reflecting investor confidence. The listing of Solana ETFs on platforms like the DTCC underscores the growing integration of blockchain assets into traditional finance, even as political hurdles temporarily slow progress.
Why it matters: The delay in ETF approvals affects the growth of regulated crypto investment products, impacting market access and highlighting how political events can influence financial innovation.
