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SEC Approves WisdomTree Digital Money Market Fund to Trade at Fixed $1 Intraday Price

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TLDR:

  • The SEC issued an exemptive order on Feb. 23, 2026, allowing WisdomTree’s digital MMF to trade at $1 intraday.
  • The order grants relief from Section 22(d) and Rule 22c-1, bypassing the standard next-calculated NAV pricing requirement.
  • Registered broker-dealers with dealer agreements can now sell Covered Fund shares at a stable $1.00 on a principal basis.
  • Rule 17d-1 Relief also permits WisdomTree’s affiliated dealer to transact with the fund under terms consistent with the Act.

WisdomTree Government Money Market Digital Fund has received a landmark exemptive order from the U.S. Securities and Exchange Commission.

The order allows investors to trade the fund’s shares at a fixed $1.00 price with a dealer on an intraday basis.

This approval marks a notable shift in how digital money market fund shares can be bought and sold, regardless of the fund’s end-of-day net asset value (NAV).

SEC Grants Pricing Relief for Intraday Transactions

The Division of Investment Management issued the order on February 23, 2026. It covers WisdomTree Digital Trust, WisdomTree Securities Inc., WisdomTree Digital Management Inc., and WisdomTree Transfers Inc.

Together, these entities filed the original application on May 8, 2025. An amendment followed on January 16, 2026.

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The exemptive order grants relief from Section 22(d) of the Investment Company Act of 1940 and Rule 22c-1 under the Act. Under normal rules, fund shares must be sold at the next-calculated NAV. This order creates an exception specifically for digital money market fund shares.

Under the new structure, registered broker-dealers who enter a dealer agreement with a Covered Fund can trade shares at $1.00 on a principal basis.

This means individual and institutional investors alike can transact at a stable price throughout the trading day. The fixed price applies regardless of what the NAV calculates to at day’s end.

The SEC posted the development publicly, noting the order permits investors to trade shares at $1 with a dealer on an intraday basis.

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Rule 17d-1 Relief Permits Affiliated Dealer Participation

Beyond the pricing relief, the SEC also granted Rule 17d-1 Relief under Section 17(d) of the Act. This portion of the order addresses transactions between the fund and its affiliated dealer, WisdomTree Securities Inc. Without this relief, such arrangements would be prohibited under the Act.

The Commission found that the affiliated dealer’s participation in these transactions is consistent with the Act’s provisions, policies, and purposes.

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It also determined the arrangement is no less advantageous than participation by other parties. Both orders took effect immediately upon issuance.

A public notice of the application was issued on January 26, 2026. Interested parties had an opportunity to request a hearing, but no such request was filed. The Commission then moved forward without ordering a hearing.

The relief also extends beyond the Applicant Fund. It applies to any series of the Applicant Trust or other registered open-end management investment companies meeting specific criteria.

This broader scope means other digital money market funds could potentially benefit from the same pricing structure in the future.

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Crypto World

XRP Crypto Falls to $1.31 After Failed Breakout as Liquidity Dries Up

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XRP Crypto slipped to $1.31 after a hard rejection at $1.35 left traders with little to show from a breakout attempt that briefly looked credible.

The 2% drop is secondary – what matters is the combination of that ceiling rejection and visibly thinning order book depth, a setup that historically precedes sharper directional moves.

The failed push came off a March 31 high of $1.37, with XRP unable to clear $1.40 resistance and grinding lower through a $1.28–$1.33 range ever since.

That recent run toward $1.35 now looks like a distribution zone rather than a launchpad, and the market cap sits at $80.6 billion with 24-hour volume at just $2.01 billion – reduced participation that confirms the liquidity problem is real. The chart now forces a binary question: does $1.28 hold, or does the next support at $1.15 come into play faster than bulls expect?

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XRP Crypto, Reclaim $1.35 or Retreat to $1.15?

XRP Crypto is trading below both its 50-day EMA ($1.38) and 200-day EMA ($1.88), with price pinned inside a descending channel on the 4-hour chart where both the 50-SMA and 200-SMA act as overhead ceiling.

Daily RSI reads 38 – weak momentum, but not yet in oversold territory, which means there’s no technical floor from that indicator alone. MACD is negative and expanding downward, removing any near-term momentum argument.

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Key resistances sit at $1.3500; load-bearing supports are $1.3000 and $1.2698. The $1.28 level has held since February, aligning with the 23.6% Fibonacci retracement – below it, holder support thins materially until $1.15.

Source: TradingView

The bull case requires a clean reclaim of $1.35 on volume – not a wick, a close – followed by a hold above the 50-day EMA at $1.38.

That sequence opens $1.45 and, with a catalyst, $1.60 tied to regulatory progress on the CLARITY Act, which carries a 63% probability of passing in 2026 per current prediction markets. Long-term analysts maintain structurally bullish frameworks, but those scenarios require macro conditions – FOMC dovishness, easing geopolitical tensions – that aren’t present right now.

The bear case activates on a confirmed daily close below $1.28. Analysts are flagging $1.15 as the next meaningful support, with more aggressive targets at $0.80 contingent on oil above $100 and Fed rate holds through Q2.

The uncomfortable reality is that XRP is down nearly 30% year-to-date and 64% from its $3.65 all-time high, and every bounce has been sold. The single most important level: $1.28. Hold it and the range stays intact; lose it and $1.15 becomes the next anchor.

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The post XRP Crypto Falls to $1.31 After Failed Breakout as Liquidity Dries Up appeared first on Cryptonews.

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South Korea Tightens Crypto Rules with 5-minute Asset Verification Mandate

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South Korea Tightens Crypto Rules with 5-minute Asset Verification Mandate

South Korea has ordered all crypto exchanges to reconcile their internal ledgers with actual asset holdings every five minutes after an inspection uncovered weaknesses in internal controls.

The directive was announced on Monday by the Financial Services Commission (FSC) after a meeting with top crypto exchanges and the Digital Asset Exchange Alliance (DAXA), during which they discussed the findings of an emergency inspection triggered by the Bithumb payout incident.

The inspection found that three of the country’s five major exchanges were reconciling balances only once every 24 hours, limiting their ability to respond quickly to discrepancies. Systems designed to halt trading during major mismatches were also found to be insufficient, raising concerns about how exchanges would handle large-scale errors.

In February, Bithumb mistakenly distributed 620,000 Bitcoin (BTC) to 249 users during a promotional event. The exchange later announced that it recovered 99.7% of the funds the same day. The remaining 0.3%, 1,788 BTC that had already been sold, was covered using company reserves.

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Related: Bithumb seeks to reappoint CEO despite recent controversies: Report

South Korea mandates five-minute asset checks

Under the new measures, exchanges must implement automated ledger-to-wallet reconciliation systems operating on a five-minute cycle. They will also be required to introduce defined criteria for triggering automatic transaction halts in the event of significant discrepancies.

Beyond reconciliation, regulators are pushing for sweeping changes to internal operations. High-risk processes like promotional payouts will require stronger oversight, including third-party cross-checks and multi-level approval systems. Exchanges will also need to separate high-risk accounts and implement automated verification tools for payments.

Top Korean crypto exchanges. Source: CoinGecko

Furthermore, external audits will shift from quarterly to monthly, while disclosures will expand to include detailed asset balances by wallet and ledger.

“The financial authorities and the DAXA plan to complete the rule changes needed to implement the improvement measures within April this year,” the FSC wrote.

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Related: South Korean brokerage Korea Investment & Securities eyes Coinone stake: Report

Bithumb delays IPO to post-2028

Last week, Bithumb announced it is now targeting an IPO after 2028, marking another delay from its earlier 2025 plans as it works through restructuring and regulatory pressure. The exchange said it will focus on strengthening accounting policies and internal controls through 2027, following an advisory agreement with Samjong KPMG.

Meanwhile, Naver Financial has also delayed its planned share swap with Dunamu by about three months, now targeting a shareholder vote on Aug. 18 and completion by Sept. 30.

Magazine: South Korea gets rich from crypto… North Korea gets weapons

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