The Daily: Ripple leads $1 billion XRP treasury raise, MegaETH buys back portion of pre-seed stake, and more

The following article is adapted from The Block’s newsletter, The Daily, which comes out on weekday afternoons.

Happy Friday! Bitcoin briefly slid below $104,000 this morning as “extreme fear” grips markets, with concerns over U.S. regional banks and renewed China trade tensions weighing on sentiment.

In today’s newsletter, Ripple is reportedly leading an effort to raise $1 billion for a new XRP treasury company, MegaETH buys back 4.75% of equity and token warrants from pre-seed investors, Bitcoin ETFs see their largest daily outflows since August, and more.

Let’s get started!

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Ripple leads $1 billion raise for new XRP treasury

Ripple is leading a $1 billion raise to create a new XRP digital asset treasury, Bloomberg reported, citing sources familiar with the matter.

• The fundraising is expected to occur via a special purpose acquisition company (SPAC), with Ripple contributing part of its own (substantial) XRP holdings.
• The details of the raise and the transaction structure are still being discussed and remain subject to change, but if completed, the new entity could become the largest XRP-focused DAT to date.
• The move comes amid cooling sentiment around DAT firms like Strategy, Metaplanet, and BitMine, as some begin to trade at market caps below their net crypto asset values.
• In June, Singapore-based Trident Digital announced plans to raise $500 million to build an XRP treasury.
• XRP, the world’s fifth-largest cryptocurrency, fell 5.8% in the past 24 hours to trade at $2.27 amid the broader market downturn.

MegaETH buys back equity and token warrants from pre-seed investors

MegaETH repurchased 4.75% of its equity and token warrants from pre-seed investors ahead of its mainnet and token launch later this year, though the terms of the deal were not disclosed.

• However, co-founder Shuyao Kong said the buyback, approved by key stakeholders including Dragonfly and Echo, was completed above its $20 million seed-round valuation of “9-figures.”
• Kong explained that some investors exited after shutting down their funds, and because MegaETH bans secondary sales, its team was the only permitted buyer.
• MegaETH said the buyback reflects its commitment to aligned ownership and tight governance as it readies a public token sale on Cobie’s Sonar platform.

Spot Bitcoin ETFs see largest daily outflows since August, worth $536 million

Spot Bitcoin ETFs saw $536 million in net outflows on Thursday — their largest single-day withdrawal since Aug. 1, led by Ark Invest’s ARKB and Fidelity’s FBTC.

• The exodus reflects rising investor risk aversion amid U.S.-China trade tensions and a broader crypto market deleveraging, LVRG Research Director Nick Ruck said.
• Ruck noted that ETF outflows signal increased market fragility in the near-term, and suggested that prices may face further downward pressure.
• Meanwhile, spot Ethereum ETFs also reversed course with $56.9 million in net outflows on Oct. 16 after two days of gains.

Arthur Hayes’ family office, Maelstrom, targets $250 million for new private equity fund

Arthur Hayes’ family office, Maelstrom, is seeking to raise more than $250 million for a new private equity fund targeting up to six mid-sized crypto firms, according to Bloomberg.

• Managing Partner Akshat Vaidya said the fund will focus on blockchain service providers, including trading infrastructure and analytics startups, investing between $40 million and $75 million annually.
• Each acquisition will be structured through a special purpose vehicle targeting cash-generating businesses, Vaidya said.
  The raise comes amid a surge in crypto M&A activity this year, with Ripple, Coinbase, and Stripe among those striking major deals.

FIFA’s World Cup NFT platform faces criminal complaint from Swiss gambling regulator

Swiss gambling regulator GESPA filed a criminal complaint against FIFA, alleging its World Cup NFT platform operates illegal, unlicensed gambling services.

• The investigation found that FIFA Collect’s competitions involve monetary stakes, cash prizes, and chance-based outcomes qualifying as lotteries or sports betting.
• FIFA’s NFT collections, initially built on Algorand and later migrated to Polygon, are now set to move to its own Avalanche-based “FIFA Blockchain.”

Looking ahead to next week

• UK CPI inflation data are due on Wednesday. U.S. CPI numbers are scheduled for release on Friday.
• ECB President Christine Lagarde speaks on Tuesday and Wednesday.
• Melania Meme, Layer Zero, KAITO, and Scroll are among the crypto projects set for token unlocks.
• Zebu Live kicks off in London. Blockchain Africa Conference and Lugano Plan ₿ Forum also get underway.

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© 2025 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.