Crypto Currents: Banks push tokenization as AI stocks wobble

Traditional finance continues to extend its reach into the world of tokenization, just as crypto-related equities like Gemini and CoreWeave face intense selling pressure. Meanwhile, H.C. Wainwright has issued a sweeping round of ratings on crypto miners, and bitcoin struggles to regain key technical levels. Stay up on the crypto news that matters with “Crypto Currents,” daily from The Fly. Join us at 2 PM ET for your essential briefing on the fast-moving world of cryptocurrency on FlyCast radio, Also, subscribe to our YouTube channel for the Crypto Fly By weekly recap.

SOFI LAUNCHES CRYPTO TRADING; JPMORGAN, STANDARD CHARTERED PUSH TOKENIZATION: Traditional finance continues its integration with blockchain technology, as SoFi Technologies (SOFI) has become the first nationally chartered U.S. consumer bank to launch in-app cryptocurrency trading. The bank is rolling out access to bitcoin (BTC-USD), ether (ETH-USD), and solana (SOL-USD), citing a 60% user preference for trading with a licensed institution.

Meanwhile, the institutional push for tokenization continues. JPMorgan (JPM) and Singapore’s DBS (DBSDY) are developing a blockchain framework for interbank deposit tokens as an alternative to stablecoins. In a similar move, Standard Chartered (SCBFY) has partnered with DCS Card Centre in Singapore to support DeCard, a credit card that enables stablecoin spending.

Even Sony (SONY) is deepening its Web3 involvement; The Block reports that its partner Startale Group has unveiled a “super-app” for Sony’s Soneium blockchain ecosystem.

CRYPTO STOCK EARNINGS: In its first earnings report since going public, Gemini (GEMI) shares fell after missing analyst estimates. The cryptocurrency exchange posted a net loss of $159.5M, or ($6.67) per share, attributing the loss to high marketing and IPO-related costs. However, the company’s revenue growth did outpace that of competitor Coinbase (COIN). In contrast, crypto platform Bullish (BLSH) was upgraded to Buy from Hold at ClearStreet. The analyst cited the company’s growing market share and its recent expansion into the U.S. as primary drivers for the upgrade. Separately, trading platform eToro (ETOR) reported Q3 results showing $3.97B in crypto-derived revenue. Analytics Insight notes that high associated costs crimped margins, leading to a net profit of just $77M from its crypto division.

In the infrastructure space, CoreWeave (CRWV) shares fell 9% after warning that data center delays would impact its Q4 results, a fallout that also weighs on sentiment from its failed merger with Core Scientific (CORZ).

CleanSpark (CLSK) shares also fell 5% after upsizing its convertible note offering to $1.15B to fund expansion. The offering follows similar convertible debt moves by TeraWulf (WULF) and Galaxy Digital (GLXY).

ANALYST RESEARCH: H.C. Wainwright analyst Mike Colonnese issued a weekly note with several updates on crypto and AI infrastructure stocks:

• Bitdeer (BTDR): The firm lowered its price target to $30 from $32 but maintained a Buy rating, citing the company’s plan to convert up to 200 MW to AI data centers.
• IREN (IREN): The price target was raised to $56 from $45, though the firm kept its Sell rating. The change follows IREN increasing its 2026 AI Cloud revenue guidance to $3.4B from $2.5B.

Reiterations: The analyst also reiterated ratings and price targets for several other companies:

• Bitfarms (BITF): Buy, $5 target
• Bit Digital (BTBT): Buy, $7 target
• Cango (CANG): Buy, $8 target
• Cipher Mining (CIFR): Buy, $30 target
• CleanSpark (CLSK): Buy, $30 target
• Core Scientific (CORZ): Buy, $25 target
• CoreWeave (CRWV): Buy, $180 target
• BitFuFu (FUFU): Buy, $7 target
• HIVE Digital (HIVE): Buy, $8 target
• MARA Holdings (MARA): Buy, $28 target
• Riot Platforms (RIOT): Buy, $26 target
• Gryphon Digital (GRYP): Neutral rating
• Mawson Infrastructure (MIGI): Neutral rating
• Soluna Holdings (SLNH): Neutral rating

BITCOIN STALLS BELOW $110K AS INVESTOR CAUTION LINGERS: Despite the corporate activity, broader market sentiment for bitcoin remains fragile according to Bloomberg. The token is struggling to reclaim its 200-day moving average near $110,000 after last month’s $340B market value wipeout. Open interest in perpetual futures remains well below its peak, and ETF inflows were minimal, signaling new caution from investors.

PRICE ACTION: As of time of writing, bitcoin was trading at $103,416.57, while ether was trading at $3,480.86, according to price data from CoinDesk.