Happy Thursday!

In today's newsletter, we cover several key topics: Gary Gensler's potential departure from the SEC, Republicans retaining control of the U.S. House, spot bitcoin ETFs surpassing $500 billion in trading volume, and more.

Meanwhile, the FBI has seized Polymarket CEO Shayne Coplan's phone and electronics.

We also discuss reactions from Elon Musk, Vivek Ramaswamy, and Dogecoin co-creator Billy Markus regarding Trump's "DOGE" announcement.

Gary Gensler's Potential Farewell

In prepared remarks on Thursday at the Practicing Law Institute's 56th Annual Institute on Securities Regulation, U.S. Securities and Exchange Commission Chair Gary Gensler reflected on his time leading the agency's team.

• "It's been a great honor to serve with them, doing the people's work, and ensuring that our capital markets remain the best in the world," he stated.
• "I've been proud to serve with my colleagues at the SEC who, day in and day out, work to protect American families on the highways of finance," he added.

Gensler's comments suggest a potential farewell could soon be on the cards following Donald Trump's recent election victory.
Pro-crypto Trump vowed to fire the industry-hostile Chair on day one of his presidency.
Sources indicate Gensler will likely step down, as previous SEC leaders have, although he could opt to remain as a commissioner.
In his speech, Gensler also urged crypto exchanges to register and called for proper disclosures, describing many of the 10,000 digital assets as securities.
– "Putting this in context, aside from bitcoin, ether, and stablecoins, the rest of this market approximates $600 billion," Gensler noted.

Republicans Retain Control of U.S. House

On Wednesday, Republicans retained control of the U.S. House, securing a majority of 218 members, which allows crypto-friendly lawmakers to potentially lead the Financial Services Committee and push for digital asset-related bills.

• The influential committee, which oversees the SEC and Federal Reserve, is expected to appoint a new Chair this month or by December.
• Current Chair Rep. Patrick McHenry, R-N.C., plans to retire in January, with potential replacements being Reps. French Hill, Andy Barr, Bill Huizenga, and Frank Lucas, all known proponents of crypto initiatives.
• Blockchain Association's Ron Hammond stated that a Republican-led committee would likely prioritize stablecoin regulations and the crypto market structure before focusing on DeFi and NFTs.

U.S. Spot Bitcoin ETFs Hit $500 Billion

U.S. spot bitcoin ETFs have surpassed $500 billion in cumulative trading volume — less than a year after their January launch.

• This milestone was achieved after a total volume of $7.9 billion for the ETFs on Wednesday, making it the fourth-largest trading day since their inception, with BlackRock's IBIT contributing a record $5.2 billion.
• While this figure is significant, it represents a remarkable accomplishment for the new bitcoin funds, which are competing against major established ETF products like the Vanguard S&P 500 ETF (VOO) and the Invesco QQQ Trust (QQQ).
• The bitcoin ETFs have accumulated $4.7 billion in net inflows over a six-day positive streak following Trump's election, nearing $30 billion in total net inflows since launch, bringing the total assets under management to almost $90 billion.

DeFi Technologies' CoreFi Strategy Launch

Fintech firm DeFi Technologies is launching CoreFi Strategy, targeting investors seeking "higher beta bitcoin exposure" through Core, marketed as a bitcoin-staking blockchain despite bitcoin lacking a native staking model.

• CoreFi Strategy intends to launch on a Canadian stock exchange in Q1 2025, aiming to acquire BTC and CORE tokens and employing financial strategies to build its treasury and deliver regulated yield opportunities to investors.
• CEO Olivier Roussy Newton states that CoreFi Strategy aspires to mirror MicroStrategy’s bitcoin exposure for traditional markets.
• Core's ecosystem claims over 8,200 BTC staked and $700 million in total value locked, permitting CORE token holders to stake their bitcoin for additional staking yields through a dual staking model.

Coinbase Climbs in Apple App Store Rankings

Coinbase has re-entered the top 10 free category of the U.S. Apple App Store, reaching the number one position in finance amid the Trump-fueled crypto rally.

• The app surged from 435th the day before the U.S. election to 8th as bitcoin hit new all-time highs above $93,000, likely showcasing renewed retail interest.
• Notably, Coinbase has previously entered the top 10 rankings when the crypto market peaked, most recently hitting number one just before the prior bull market climax in October 2021.

Upcoming Events

• UK GDP figures are set to be released at 2 a.m. ET on Friday.
• U.S. FOMC member John Williams will speak at 1:15 p.m.
• Devcon concludes in Bangkok, while Adopting Bitcoin kicks off in El Salvador.

Never miss a beat with The Block's daily digest of the most influential events happening across the digital asset ecosystem.