Etherstorm Unleashed

Daily Updates:

• Republicans in the US Senate Banking Committee have released their version of the House’s CLARITY Act, a legislation designed to “provide clear rules of the road for digital assets” – according to the banking committee chair, Tim Scott. The CLARITY Act, along with the GENIUS Act and an act that bars the Federal Reserve from issuing its own cryptocurrency were passed by the House last week during what was dubbed as “Crypto Week”. 
• While the GENIUS Act has now passed both chambers and was signed into law by Trump, the Senate needs to pass their versions of the CLARITY and Anti-CBDC Act. Senator Lummis has stated that the Senate aims to have the market structure bill, tentatively titled Responsible Financial Innovation Act, passed before October 2025. 

‍

• ETH Spot ETFs are continuing to demonstrate their insatiable appetite for the Ether token. Yesterday, Spot ETH ETFs purchased $533.8M of Ether tokens, continuing a consecutive run of inflows that began on July 3, 2025. 
• Over the past 30 days, the Ether token has rallied 62%. In one of our recent reports we identified ETH as a major beneficiary to the growing institutional interest in stablecoins and bringing real-world assets on-chain. 

‍

• While BTC treasury strategies dominated headlines only a few months ago, companies are also increasingly pivoting to Ether-dominated treasury management alternatives. 
• Cathie Wood’s Ark Investment Management purchased 4.77M shares of BitMine on July 21, valued at $182M. BitMine, as we covered here, is a US-listed Bitcoin miner that recently pivoted to pursue an Ether-related treasury strategy. 
• ETH is currently trading 1.4% higher on the day at $3,678. Most of the crypto market is up, with BTC trading at $118K (+0.5% over the past 24 hours) and SOL at just under $200 (+2.4%). Binance’s native BNB token reached a new all-time high earlier today of $804 – up more than 300% since its late 2023 bear-market low. 

‍

• As the rally in BTC’s spot price has abated, the implied volatility of BTC options continues to decline slowly. 7-day options currently trade with an ATM implied volatility of 31%, while short-tenor skews continue to carry a slightly bearish tilt towards OTM puts for 7- and 14-day tenors. 
• That contrasts the more bullish view in futures markets. The 7-day futures spot yield is over 12% indicating futures prices are above spot prices, such that BTC futures traders are willing to pay a premium above the spot price for long exposure. Perpetual swap funding rates are also at 0.02%, indicating once more a willingness to pay for leveraged upside exposure. 
• In comparison, ETH’s term structure has completely flattened, with all tenors trading with an implied volatility of 64-65%. OTM calls still carry a significant premium over similar-dated OTM puts – with the put-call skew for 7-day ETH options at 6.9%.

‍

• On Monday Coinbase Global Inc., the largest digital assets exchange in the US, announced that American individuals can now access its “perpetual-style” futures contracts for Bitcoin and Ether. 

‍

• On July 22, 21Shares filed with the SEC to launch the 21Shares Ondo Trust, a new passive ETF directly tracking the ONDO token. The fund will follow the CME CF Ondo Finance-Dollar Reference Rate and use Coinbase Custody for secure, cold-storage safekeeping.
• Following the news, ONDO surged 2.3%, pushing its market cap to $3.44B. Details on the ETF’s ticker and exchange listing have not yet been disclosed.

‍

• Yesterday, the U.S. Securities and Exchange Commission (SEC) granted accelerated approval for Bitwise’s application to convert its Bitwise 10 Crypto Index Fund (BITW) into an ETF. However, the approval was immediately stayed, pending a full Commission-level review.
• The reversal came in a letter from SEC Assistant Secretary Sherry Haywood, stating that the order “is stayed until the Commission orders otherwise.” No timeline was provided for the review.
• The Bitwise 10 Crypto Index Fund holds a diversified basket of digital assets, including Bitcoin and Ether, and has traded publicly since 2017. Bitwise first filed for ETF conversion in November 2024.

‍

• World Liberty Financial (WLF), a crypto venture associated with President Donald Trump, has acquired 3,473 ETH—worth approximately $13M —according to onchain data from Arkham Intelligence data. The ETH was purchased across multiple wallets on Tuesday evening at an average price of $3,743, and later staked on Aave.

‍

• On July 23, CoinShares International Limited, a leading European digital asset investment company with over $9B in assets under management, announced that its French subsidiary, CoinShares Asset Management, has received authorisation under the Markets in Crypto-Assets (MiCA) Regulation. 
• It is the first regulated asset management firm in continental Europe to combine MiCA, MiFID, and AIFM authorisations, unlocking new investment possibilities across the €33T European asset management market by enabling comprehensive crypto and traditional asset services throughout the European Union.

‍

• Yesterday President Trump reached a trade deal with Japan that will see Japanese goods, including automobiles, levied with a 15% tariff, while creating a $550B fund to make investments in the US. The agreed upon 15% rate is lower than the threatened 25% that was set to be in place from August 1. 
• Speaking at the White House, Trump said “They had their top people here and we worked on it long and hard, and it’s a great deal for everybody”. 

‍

• Global Asian food platform, DDC Enterprise Limited (NYSE: DDC) has filed to sell up to $500M in securities, with the U.S. SEC, to expand their BTC treasury accumulation strategy.
• DDC’s currently hold around 368 BTC at approximately $90,764 per BTC.

‍

• Telegram has rolled out its built-in TON Wallet to 87 million U.S. users which allows the transfers of USDT, Toncoin, NFTs and other tokens, with self-custody in-app.
• Toncoin (TON) is up 2.7% in 24hrs after spiking nearly 10% following the announcement. 

This Week’s Calendar:

Charts of the Day:

Figure 1. BTC at-the-money implied volatility across selected tenors. Source: Deribit, Block Scholes

Figure 2. ETH at-the-money implied volatility across selected tenors. Source: Deribit, Block Scholes

Figure 3. BTC 25-delta put-call skew ratio across selected tenors. Source: Deribit, Block Scholes

Figure 4. ETH 25-delta put-call skew ratio across selected tenors. Source: Deribit, Block Scholes