Crypto Weekly Market Wrap October 27: Major Institutional Moves, Policy Shifts, and Market Recovery

Last week, the crypto market regained momentum, following a volatile period. Major institutions adopted blockchain solutions, policymakers gave more indications of clarity, and digital assets continued to gain mainstream traction.

Furthermore, the pardoning of Binance co-founder Changpeng Zhao by President Donald Trump created a major buzz in the crypto sphere. In this crypto weekly market wrap of October 27, we will discuss several big moves that made headlines.

Trump Pardons Binance CEO

President Donald Trump granted a full pardon to the founder of Binance, Changpeng Zhao. The former CEO had served four months in jail and paid a fine of $50 million upon pleading guilty to violations of compliance. According to Trump, the case was one of the wars against cryptocurrency by the former government.

CZ was extremely grateful to be pardoned and pledged to assist in transforming America into the Capital of Crypto. His attorney, Teresa Goody Guillenen, stated that the ruling was reasonable as CZ had no victims and no fraud allegations against him.

A US Senator can't get her facts right, in a public post about a person's charge. There were NO money laundering changes.

The same Senator declared "war on crypto", on public TV, 5 days before my sentencing, during the Biden Admin.

Need a better example of weaponization of… https://t.co/87gTMP6mcn pic.twitter.com/4j1Us48Nop

— CZ 🔶 BNB (@cz_binance) October 24, 2025

Meanwhile, Senator Elizabeth Warren condemned the pardon, terming it political favoritism and posing a threat to accountability. She challenged Congress to take action, and otherwise it would entail normalizing corruption in the making of policies.

JPMorgan to Back Loans with Bitcoin and Ether

JPMorgan Chase plans to enable institutional clients to borrow Bitcoin and Ether in the form of collateral by the end of the year. The project will be managed under a third-party custodian so as to secure assets. The move indicates that the mainstream banking industry is now adopting the use of blockchain-based finance, which it had previously been reluctant to do.

In addition, other major firms such as Morgan Stanley, Fidelity, and State Street are continuing to increase their crypto services. The strategy indicates the increasing need for integration of digital assets in the international markets. Banks are now starting to shift from observation to participation as there is increased regulatory clarity.

Coinbase Acquires Echo for $375 Million

Coinbase confirmed the purchase of a blockchain fundraising site, Echo, for $375 million. Echo has assisted more than 340 projects in raising $143 million since early 2024. The founder of Echo, Cobie, remarked that the platform will remain independent. Coinbase aims to include the ICO platform Sonar from Echo on its broader platform. The acquisition broadens the role of Coinbase to support startups and match investors with opportunities on-chain.

Bunni DEX Shuts Down After Major Exploit

The Bunni DEX ceased operations due to a cyber exploit that resulted in a total loss of $8.4 million. The team claimed insufficient funds to pay for audit and re-launch expenses. The hacking of the stablecoin vaults of Bunni resulted in an immediate closure.

Hello everyone, it is with saddened hearts that we announce the shutdown of Bunni.

The recent exploit has forced Bunni's growth to a halt, and in order to securely relaunch we'd need to pay 6-7 figures in audit & monitoring expenses alone – requiring capital that we simply don't…

— Bunni (@bunni_xyz) October 23, 2025

Users are still able to withdraw funds, and the team will share the remaining treasury assets with token holders. Even after the closure, developers relicensed Bunni v2 smart contracts with MIT to enable the DeFi community to use its innovations.

Trump Picks Pro-Crypto Regulator for CFTC

Michael Selig, the chief counsel to the CFTC crypto division, was nominated by President Trump to run the agency. The appointment highlights this emphasis of the administration on regulatory consistency and transparency in the U.S markets. Selig has been credited with filling in gaps between the CFTC and SEC, which regularly clash in terms of jurisdiction in regulating crypto.

His nomination comes after the CLARITY and GENIUS acts, two bills aimed at establishing a framework regarding digital assets. Selig is seen as an efficient regulator who can strike the right balance between innovation and regulation by industry leaders. His leadership might bring about a unified crypto structure in Washington.

UK Opens Doors to Bitcoin and Ethereum ETPs

The Financial Conduct Authority in the UK eased its ban on crypto exchange-traded products after three years. There were several new listings on the London Stock Exchange, such as a bitcoin ETF, iShares by BlackRock (IB1T). Bitcoin and Ethereum offerings were also initiated by firms like 21Shares, Bitwise, and WisdomTree.

This development, according to 21Shares CEO Russel Barlow, was a significant milestone for British investors. The move takes the UK a step closer to the European level in crypto investments. It also shows that regulators are currently appreciating digital assets as valid investment vehicles.

Kyrgyzstan Plans National Stablecoin on BNB Chain

During his trip to Kyrgyzstan, CZ announced that Kyrgyzstan will launch a national stablecoin on the BNB Chain. The government is also considering developing a Central Bank Digital Currency for payment systems.

Updates from Kyrgyzstan🇰🇬
– The National Stablecoin launched, on @BNBChain
– The CBDC is ready for rollout. Yes, both. CBDC will be used for gov related payments, etc
– The National Cryptocurrency Reserve set up, #BNB included
– LE training
– Binance Academy with 10 top… https://t.co/KPrL0pnsWG pic.twitter.com/SInh5aCPMZ

— CZ 🔶 BNB (@cz_binance) October 25, 2025

Moreover, Kyrgyzstan also created a national crypto reserve, which includes BNB. Binance also initiated educational programs, collaborating with local universities to create more blockchain education with Binance Academy.

Thailand Investigates World Digital Identity Project

The Thai SEC and Cyber Crime Bureau initiated an investigation into World, formerly Worldcoin. Raids were done by the authorities on suspected unlicensed WLD token exchanges in iris-scanning locations.

World’s team made it clear that the distribution of tokens is not in conflict with the local rules and that the third-party trading is not under its control. This probe is also a continuation of past investigations in Germany, Kenya, and Brazil, which is indicative of an increased scrutiny towards biometric crypto projects.

Crypto.com Seeks Federal Trust Charter in the U.S.

Crypto.com officially applied to the Office of the Comptroller of the Currency for a national trust charter. The application puts the company in a position to expand custody and ETF services across state borders. CEO Kris Marszalek stated that the exchange is dedicated to secure and regulated activities that are in line with institutional standards. Upon approval, the charter will elevate Crypto.com to the same position as a traditional trust firm. The filing follows the footsteps of major companies like Coinbase, Circle, Paxos, and Ripple.

SEC and CFTC Push Ahead Despite Shutdown

The SEC and the CFTC are still pursuing substantial crypto milestones, despite the federal government shutdown. Acting CFTC Chair Caroline Pham confirmed that spot crypto trading and tokenized collateral would be introduced by the end of 2025.

Listed spot crypto trading and tokenized collateral by the end of the year @CFTC https://t.co/Ugvh7eMjqc

— Caroline D. Pham (@CarolineDPham) October 22, 2025

Meanwhile, SEC Chair Paul Atkins stated that the shutdown has delayed progress but promised to keep pace. Both agencies continue to keep aligned with the White House’s strategy to complete digital asset regulations this year.

Aster Introduces Rocket Launch Feature

Aster, a decentralized exchange, introduced a new feature named Rocket Launch to finance early crypto projects. The feature combines funds and token pools to reward users who engage in new listings. The initial event comprises APRO Oracle, and the reward pool will be 200,000 Aster tokens, and additional AT tokens. The project aims to encourage liquidity and innovation in the developing blockchain ecosystems.

U.S. Lawmakers Move Toward Bipartisan Crypto Bill

White House head of AI and crypto affairs David Sacks said there was substantial progress from lawmakers on market structure legislation. He confirmed the bipartisan support from both the Senate banking and agriculture committees.

JUST IN: COINBASE CEO JUST SAID LIVE ON CNBC THERE IS "STRONG BIPARTISAN SUPPORT" TO PASS THE #BITCOIN MARKET STRUCTURE BILL

BILLIONS ABOUT TO FLOW INTO BTC 🔥 pic.twitter.com/2kDdLinyij

— The Bitcoin Historian (@pete_rizzo_) October 23, 2025

The upcoming bill builds on the structure under the Genius Act. It intends to introduce transparency and certainty to the digital asset sector, alongside establishing a strong base to grow in the long term.

Polymarket Plans POLY Token and U.S. App Launch

Prediction platform Polymarket is set to release its native POLY token alongside a major rollout into the U.S. CMO Matthew Modabber stated that the team will focus on producing a utility-based token that has long-term value. However, he said that the launch of the U.S. app is the primary priority of the company currently.

Reports suggest that Polymarket could raise capital starting at a $12-$15 billion valuation, indicating investor confidence. The growth will likely boost liquidity and enhance the position of the platform in decentralized prediction markets.

Russia Approves Crypto for Cross-Border Trade

Russia’s Finance Ministry officially accepted the use of cryptocurrencies in international trade settlements. Finance Minister Anton Siluanov clarified that the aim of this is to make international payments easier and yet still under government control. The decision marks a breakthrough in the financial policy of Russia at a time when the country is under Western sanctions.

Regulations are now drafted by the Ministry and the Central Bank to monitor crypto transactions and avoid misuse. Through the use of blockchain, Russia intends to bypass traditional platforms and maintain trade operations amid economic pressure.

FalconX Acquires 21Shares to Expand ETF Offerings

FalconX, a digital trading company, acquired 21Shares, one of the largest crypto ETF providers in the world. The transaction enhances the institutional coverage of FalconX and integrates its prime brokerage business with the product knowledge of 21Shares. The two companies aim to accelerate the creation of regulated crypto investment products for both the retail and institutional markets.

According to The Wall Street Journal, crypto trading firm FalconX has agreed to acquire 21Shares. Executives from both companies said the merged entity will focus on developing crypto funds based on derivatives and structured products. Deal terms were not disclosed, but the…

— Wu Blockchain (@WuBlockchain) October 22, 2025

Under the FalconX umbrella, 21Shares CEO Russel Barlow will still lead the firm. The two firms confirmed that there will be no structural adjustments to current ETFs and ETPs in Europe and the United States.

Bonk Holdings Establishes First BONK Digital Treasury

Bonk Holdings made headlines by listing on Nasdaq after acquiring $32 million in BONK tokens. This acquisition resulted in the company owning close to 3% of BONK’s total supply, establishing the first digital treasury of the Solana-based memecoin.

The company formerly operated under the name Safety Shot, but it rebranded to Bonk in August as it moved into the field of blockchain finance. Through the custody system of FalconX and Fireblocks, the company received 2.26 trillion BONK tokens. The tokens have now been deposited in a Solana Squad multisig wallet, and no transfer can be made without many signatures.

Hong Kong Approves First Solana Spot ETF

The first Solana (SOL) spot ETF, issued by ChinaAMC, was approved by the Securities and Futures Commission of Hong Kong. The ETF will be listed on the Hong Kong Stock Exchange under the new ticker 03460, with a 0.99% management fee.

Solana becomes the third crypto ETF to be approved, after Bitcoin and Ethereum. Additionally, it marks a major breakthrough in the digital asset market in Asia, highlighting the goal of Hong Kong to become a regional cryptocurrency hub.

India Freezes $270 Million in Crypto Assets

The Enforcement Directorate of India confiscated digital assets worth $270 million involved in the fraudulent scheme, OctaFX. According to investigators, OctaFX defrauded investors by using an unlicensed trading platform and laundering money through shell companies. The ED confirmed that the amount of money confiscated in the case has reached $320 million. The prime suspect was intercepted in Spain by the authorities as global cooperation on the fight against financial crimes intensifies.

WazirX Resumes Trading After 16-Month Hiatus

After a 16-month shutdown, Indian crypto exchange WazirX reopened, having suffered a $230 million hack. The company had gone through a restructuring approved by the courts in Singapore, which meant a phased relaunch throughout October.

The trading started with the USDT and INR trading in zero fee terms. Withdrawals are, however, on hold as the company balances out liquidity. CEO Nischal Shetty credited the users with patience, and he pointed out that the asset values had gone up to as much as 70% since the breach.

What’s Live Now
1.The Funds page is now live with rebalanced tokens
2.INR deposits are open
3.Crypto deposits are open

🔜 What’s Next
We’re now working on withdrawals and trading. Stay tuned for an update very soon.

For crypto cold wallets, we have been using @BitGo from…

— Nischal (Shardeum) 🔼 (@NischalShetty) October 23, 2025

WazirX intends to fully recover trading operations by October 27. The relaunch is a defining step in the Indian crypto market, being subject to regulatory and security hurdles over the past years.

Standard Chartered Hong Kong to Launch Crypto ETF Trading

Standard Chartered Hong Kong announced that it would launch a virtual asset ETF trading service in November. This was based on a survey of banks that indicated that 75% of high-net-worth clients desire crypto exposure. Head of Wealth Solutions He Man-chun said that the new service would enable clients to diversify portfolios using the Standard Chartered platform. The move presents a growing trend in digital investment among the elite in Hong Kong.

Digital Asset Investment Products Market Overview

According to the latest CoinShares report, digital asset funds experienced momentum last week as investors reacted to the decreasing inflation signals. Total inflows amounted to $921 million, with new optimism following a slight decline in US CPI data, suggesting further results. Trading volumes remained robust and reached $39 billion compared with average volumes of the year of 28billion.

Rate-Cut Optimism Fuels Record $921M Weekly Global Crypto ETP Inflows

The global cryptocurrency market receives a positive signal, with CoinShares' latest report revealing net inflows of $921 million into ETPs (exchange-traded products) this week, driven by optimistic… pic.twitter.com/nMfcweNXBE

— Chloe | KeyPro ◾️ (@Chloe_HashKey) October 27, 2025

The United States had the highest number of $843 million, and Germany was behind at $502 million. Switzerland, however, registered outflows of $359 million corresponding to provider transfers rather than market selling.

Bitcoin received a total of $931 million, demonstrating maturing interest with the changing policies. Ethereum turned around with outflows that amounted to $169 million after five consecutive positive weeks. Solana and XRP also stagnated ahead of the upcoming US ETF launches, attracting $29.4 million and $84.3 million, respectively.

Bitcoin Price Performance

Bitcoin traded positively last week, leading to a surge of 3% as the selling pressure eased. The price surged from lows of $106k to face resistance at the $116k region. Currently, the price is hovering around $115,400 with a market cap and trading volume of $2.3 trillion and $60 billion, respectively.

Technical indicators on the weekly chart suggest that the price is recovering from the recent slump. BTC’s price bounced off from the lower Bollinger band and has tested the middle band around $113,929. Should the current trend hold, BTC could rally to challenge the upper band, which is acting as the key resistance at the moment.

The Relative Strength Index is hovering around 55, indicating a neutral sentiment in the market. The more ground to gain before reaching the overbought region, BTC is set to continue its upward journey.