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Good Morning.
The line between offshore DeFi and Wall Street compliance keeps blurring. Hyperliquid’s reported talks with Kraken parent Payward are the latest sign that crypto’s biggest native platforms are no longer trying to dodge US regulators, they’re trying to work inside the system. With the CFTC already courting Kalshi and Coinbase into perps, and the White House name checking Hyperliquid directly, the real question isn’t if perpetual futures come onshore, it’s who gets there first.
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In Today’s Email:
**What Matters:Hyperliquid Seeks US Foothold 👀Case Study:Memecoin Credit Card Loophole Exposed🔎Governance & Features:**Ethena Debuts Payments App🚀
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WHAT MATTERS
State of play: Hyperliquid Labs is reportedly nearing a deal with Kraken parent company Payward to bring perpetual futures trading to US traders, according to Bloomberg.
Payward subsidiary Bitnomial would offer registered US users crypto perps linked to Hyperliquid’s markets, though CFTC approval is still pending.
Former SEC counsel Ashley Ebersole said the regulatory process could take at least 10 to 12 months.
Payward acquired Bitnomial earlier this year for up to $550M, giving it a CFTC-licensed US derivatives stack.
The talks follow a broader regulatory push, including comments from President Trump and the CFTC’s May approval for Kalshi and Coinbase to list crypto perps.
HYPE traded up 1.3% to $84.25, just below its recent all-time high above $86.
Why it matters: US regulatory access has been the missing piece for Hyperliquid to compete head on with regulated exchanges, and a Kraken-backed entry point would be its clearest path yet to onshore volume.
Our take: The Payward tie-up signals growing institutional confidence that perps are headed onshore, but a 10 to 12 month regulatory runway means this is a 2027 story, not an immediate catalyst for HYPE.
**For builders and investors: **Watch for CFTC/SEC guidance on custody and routing rules, since that framework will likely become the template other perp platforms use to enter the US market.
CASE STUDY
Robinhood Wallet and Fomo let users buy memecoins with credit cards through a Crossmint product that appears to misclassify transactions and sidestep card network crypto rules, according to The Block.
Crossmint’s Token Checkout codes memecoin purchases as “digital goods media” instead of cryptocurrency, letting users skip KYC checks and still earn card rewards.
Chase said the Visa transaction was miscoded, should not have earned rewards, and has opened a case with Visa; New York’s AG office is reviewing the matter.
Crossmint defends the classification by citing SEC guidance that some memecoins qualify as collectibles, but legal experts say card network rules are a separate framework.
After The Block asked about the GENIUS and DEGEN tokens, both became unavailable for purchase via Apple Pay and Google Pay on the apps.
Fomo and Robinhood both deferred compliance questions to Crossmint, which is now pursuing money transmission licenses across the US.
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INSIGHTS
**State of play: **A 𝕏tweet by Ash breaks down how memecoins paired with Robinhood’s tokenized stocks, like BONER and HIMS, route buying demand through the underlying stock token, creating artificial premiums that are especially pronounced when markets are closed.
Robinhood stock tokens are ERC-20s that track real shares but are legally debt securities, not equity, and only authorized market makers can mint or burn them.
Minting only happens during NYSE hours, so on chain token supply freezes on weekends and after hours, letting premiums balloon versus the real stock price.
Buying a memecoin like BONER routes demand through its paired stock token, locking those tokens into the liquidity pool and shrinking circulating float.
Off hours memecoin demand can push the token price far above Friday’s close; when markets reopen, market makers mint and sell fresh tokens, collapsing the premium.
The mechanism aims to squeeze real world short interest over time, but on chain stock supply remains too small to meaningfully affect actual share prices today.
FEATURES & GOVERNANCE UPDATE
Ethena Labs has launched the beta of Ethena Pay, a self-custodial money app built on Avalanche, offering up to 6% yield and 10% cashback across 48 countries.
The app integrates Ethena’s USDe stablecoin, letting users hold dollar balances, receive fiat via IBAN or crypto, and send free USD, EUR and GBP transfers.
Three membership tiers, Standard, Pro and VIP, offer APY up to 6% and card cashback up to 5%, plus up to 10% cashback at select brands like Uber and Spotify.
The beta rolls out in stages across 48 countries including Brazil, Mexico, Japan and the UAE, with the US and EU excluded from the initial launch.
USDe’s circulating supply sits at about $4B, down sharply from a peak of roughly $15B in September 2025.
The launch follows regulatory scrutiny in Europe, where Germany’s BaFin ordered Ethena’s local entity to wind down its USDe business last year.
Other notable feature updates:
Aave𝕏hikesGHO Savings Rate to 4.50%.Ethena𝕏launchesPay app on Avalanche.Pendle𝕏doublesPT-AUSD supply cap to 80M.Aaveproposesonboarding cirBTC as collateral.NAVI𝕏launches3-month USDC incentive campaign.3Jane𝕏launchesLevered Callable Capital, +20% APY.YO Protocol𝕏launchesBASKETS across Base, Ethereum, Arbitrum.
QUICK BITES
EthenalaunchesEthena Pay app.Paywardto tokenize100 London-listed stocks.Hyperliquid Strategiesexpandsequity facility to $2.5B.Robinhood Chainhitsrecord $989M in daily DEX volume.Kalshi and Polymarket’s combined volumefalls15% in August.Crypto treasury companieshit$340B mcap as altcoin DATs outperform.G20 leadersvowto establish ‘clear pathways’ for digital assets innovation.Robinhood Wallet and Fomoappearsto sidestep card-network crypto rules.
NOTEWORTHY READS & MEME
McKenna’s𝕏readon Arete Capital CHIP Thesis.TokenLogic’s𝕏readon Repricing the USDe Economy on Aave.Arkham’sreadon How Robinhood Became the Top Fee-Earning Blockchain.
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Disclaimer: All the information presented in this publication and its affiliates is strictly for educational purposes only. It should not be construed or taken as financial, legal, investment, or any other form of advice.
