Gate Research Institute: Solana announces partnership with Kalshi for comprehensive tokenization of prediction markets｜FED and FDIC advance the implementation of the GENIUS Act

Crypto Market Overview

• BTC (-0.91% | Current Price 86,458 USDT): Market sentiment has turned cautious over the past 24 hours, leading to another round of selling in crypto assets. After a pullback on Monday, Bitcoin further fell below 84,000 USD on Tuesday, with a maximum daily decline exceeding 6%. Seasonally, the last month of the year is often influenced by retail caution and institutional window dressing, resulting in a generally weak December market. At the same time, the recent signals from Japan indicating a mis-timed rate hike have triggered potential collapse risks in yen carry trades, further suppressing the sentiment of global risk assets, including crypto assets. In the short term, structural headwinds may persist until a rate cut is truly implemented. Technically, 80,000 USD remains a key support level; if BTC can stabilize above 85,000, there may be a chance to test the resistance level of 90,000 USD again.
• ETH (-2.43% | Current Price 2,794 USDT): Weighed down by BTC's pullback, Ethereum has fallen below 2,800 USD in the past 24 hours and is approaching the key support level of 2,600 USD again. On the 4-hour chart, the Bollinger Bands are widening, with prices running near 2 standard deviations, and the MA5/10/30 showing a bearish arrangement. The RSI has entered the oversold zone, and there is a noticeable outflow of funds, all reflecting strong defensive sentiment in the market as investors react again to the dense liquidity accumulation and dominant downward structure. Currently, both the technical structure and on-chain liquidation situation indicate that ETH is still in an adjustment phase. As the market approaches a crucial decision point, key support becomes particularly important: in the short term, 2,600 USD is the core defense line for Ethereum, and if it stabilizes, there is a hope for a rebound test towards 2,800 USD.
• Altcoins: In the past 24 hours, altcoins have generally shown a downward trend, with XRP down 7.9% and SOL down 9.0%. The altcoin season index is at 37, indicating a very cautious risk appetite.
• Macro: On December 1, the S&P 500 Index fell by 0.53%, closing at 6,812.63 points; the Dow Jones Index dropped by 0.90%, closing at 47,289.33 points; the Nasdaq Index decreased by 0.38%, closing at 23,275.92 points. As of December 2, 10:00 AM (UTC+8), the spot gold price is temporarily reported at 4,218 USD per ounce, down 0.29% within 24H.

Trending Tokens on Juejin

A8 Ancient8 (+89.09%, Market Cap 23.5045 million USD)

According to Gate.io market data, the A8 token is currently reported at 0.05412 USD, with a surge of 89.09% in the last 24 hours. Ancient8 is built on the OP Stack and collaborates with Celestia Underneath to create a gaming-focused Ethereum L2, dedicated to providing a comprehensive suite of Web3 gaming infrastructure tools while serving as a distribution and marketing channel for global games.

The recent rise of A8 is mainly driven by its ecological expansion. On November 26, Ancient8 announced a partnership with the gaming identity layer Dæmons, planning to incorporate A8 as a staking reward into its ecosystem. Meanwhile, the brand new Web3 game incubator AncientX Studio has launched two games on its chain, injecting more application scenarios and growth momentum into the ecosystem.

PRIME Echelon Prime (+45.97%, circulating market value 49.5656 million USD)

According to Gate market data, the current price of the PRIME token is 0.8836 USD, having increased by 45.97% in the last 24 hours. The Echelon Prime Foundation is a web3 ecosystem that promotes the development of the next generation of games. With the support of PRIME, Echelon facilitates innovation in new game economies through an open-source and community-driven framework.

The recent core driving force behind the rise of PRIME comes from its listing on exchanges and trading incentives. An exchange launched the PRIME/USDT trading pair on November 8 and simultaneously kicked off a trading competition with a $8,000 PRIME reward, running until December 1. The launch of new trading pairs usually enhances liquidity and exposure. Although the short-term benefits are evident, the token price is still 55.6% lower than the 90-day average, reflecting the overall cautious attitude of the market.

FIR Fireverse (+44.53%, circulating market cap 9.7083 million USD)

According to Gate.io market data, the current price of FIR token is $0.05546, with a 44.53% increase in the past 24 hours. Fireverse is a decentralized music creation platform powered by artificial intelligence and blockchain. It offers AI music generation, professional promotion, blockchain-based copyright protection, and token incentives. Users can create and trade digital assets and participate in the Web3 music ecosystem, revolutionizing the way music is created and monetized.

The rise of FIR is mainly attributed to its alignment with the AI theme. Fireverse's AI-driven music platform has 16 million users and generates royalty revenue through NFTs, which is highly consistent with the current AI infrastructure token theme. However, FIR's 7-day RSI has reached 90.16, indicating a severe overbought condition. If the price closes below the key support level, it may trigger profit-taking in the future.

Alpha Interpretation

Solana announced a partnership with Kalshi to fully tokenize all of Kalshi's prediction markets.

Kalshi announced that it will tokenize its existing thousands of prediction market contracts on the Solana chain, transforming them into tradable SPL-Tokens on the chain. This tokenization is supported by the DFlow Prediction Markets API, enabling 100% market coverage, native on-chain ownership, and composable DeFi applications, while achieving stablecoin settlements. Meanwhile, Kalshi has launched a developer grant program totaling over $2 million, aimed at encouraging emerging applications to integrate this on-chain functionality. According to CNBC, this move aims to attract high-frequency trading crypto users, further enhancing platform liquidity and pricing accuracy, while providing developers with space to build third-party front ends and strengthening trading privacy protection. Axiom Exchange will become the next integrated platform, with more blockchain projects following suit.

The collaboration between Kalshi and Solana means that Kalshi's prediction market will be more deeply integrated into Solana's DeFi ecosystem, granting predict contracts composability, liquidity, and on-chain asset properties. Furthermore, converting traditional prediction market contracts into on-chain tokens helps to enhance transparency, lower entry barriers, and may attract more institutional and retail participants, positively impacting the expansion of the connection between DeFi and traditional finance. However, this may also bring new risks and regulatory concerns, as the prediction market itself may intersect with gambling, derivatives, and compliance terms. If regulatory attitudes become more stringent, on-chain tokenization may also face policy challenges.

The FED and FDIC will advance the implementation of the GENIUS Act, with the regulatory rules for the first batch of stablecoin issuers expected to be announced in December.

Travis Hill, acting chairman of the Federal Deposit Insurance Corporation (FDIC), stated in testimony submitted to the House Financial Services Committee that the FDIC expects to launch its first set of regulatory proposals for stablecoin issuers in December, in order to implement the GENIUS Act. The initial rules will clarify the process for stablecoin issuers to apply for federal regulation, followed by the release of prudential requirements for FDIC-regulated payment stablecoin issuers early next year, including capital standards, liquidity requirements, and reserve asset quality supervision. It is reported that this hearing will also hear testimonies from other financial regulatory agencies, including the FED. FED Vice Chair Michelle Bowman also stated that the FED is developing a regulatory framework for stablecoin issuers regarding capital, liquidity, and risk diversification in accordance with the requirements of the GENIUS Act.

This action marks the entry into the implementation phase of regulation for payment stablecoin issuers - stablecoins will be included in the federal regulatory framework, clarifying capital, liquidity, reserve, and compliance standards. For the crypto market, this will enhance the transparency and compliance of the stablecoin system, helping to attract institutional and mainstream financial participants, while also potentially increasing issuance costs and squeezing the space for high-risk, unbacked stablecoin projects.

Strategy to establish a $1.44 billion dividend reserve fund for dividends

Strategy announced the establishment of a $1.44 billion dividend reserve fund for distributions, with the funding for this dividend reserve fund coming from the proceeds of Strategy's issuance plan for Class A common stock sold in the market. Strategy's goal is to maintain a dollar reserve sufficient to pay at least 12 months of dividends and plans to gradually increase the reserve, with the ultimate goal of covering 24 months or longer of dividend payments. Furthermore, the maintenance of this reserve fund, as well as the amount, terms, and conditions of the reserves, are at the sole discretion of Strategy and may be adjusted from time to time based on market conditions, liquidity needs, and other factors. In addition, during the period from November 17 to November 30, Strategy purchased 130 bitcoins for a total amount of $11.7 million, bringing the company's total bitcoin holdings to 650,000, with an average purchase price of $74,436.

The strategy of establishing a $1.44 billion dividend reserve reflects its efforts to ensure the sustainability of payments for preferred stock dividends and debt interest in the current market volatility and declining Bitcoin price environment, conveying signals of robust cash flow and liquidity management to investors. This move reduces the company's risk of being unable to fulfill dividend payments due to Bitcoin price fluctuations, potentially enhancing its stock's appeal as an asset with “yield + Bitcoin exposure,” thereby attracting institutional and conservative investors who prefer stable returns. <br> Reference Material:

• Gate, https://www.gate.com/trade/BTC_USDT
• Farside Investors, https://farside.co.uk/btc/
• Gate, https://www.gate.com/trade/ETH_USDT
• X, https://x.com/solana/status/1995585928300232796
• CoinDesk, https://www.coindesk.com/policy/2025/12/01/u-s-fdic-chief-says-first-genius-act-regulations-heading-for-proposal-this-month
• Strategy, https://www.strategy.com/press/strategy-announces-establishment-of-1-44-billion-usd-reserve-and-updates-fy-2025-guidance_12-1-2025

<br> Gate Research Institute is a comprehensive blockchain and encryption research platform that provides readers with in-depth content, including technical analysis, hot insights, market reviews, industry research, trend forecasts, and macroeconomic policy analysis.

Disclaimer Investment in the crypto market involves high risks. Users are advised to conduct independent research and fully understand the nature of the assets and products they are purchasing before making any investment decisions. Gate shall not be liable for any losses or damages arising from such investment decisions.