Market Watch
Things to Watch This Week (August 10 - August 14)
· Markets Weigh Fed Outlook and Renewed Geopolitical Risks
Global markets remained sensitive to shifting expectations for U.S. monetary policy and renewed geopolitical tensions in the Middle East. Signs of weakness in the U.S. labor market increased expectations for a more accommodative Fed stance, while renewed tensions involving Iran and the Strait of Hormuz raised concerns over energy supply and oil prices. Investors continued to balance the prospect of easier monetary policy against geopolitical and inflation risks.
Random Musing This Week
GRVT: Expanding from a Perpetual DEX into an On-Chain Financial Platform
Grvt recently completed the Token Generation Event (TGE) for its native token, $GRVT. Grvt is a hybrid decentralized exchange (Hybrid DEX) for trading crypto assets and related financial products. The platform initially focused on perpetual futures and has recently expanded its services to include spot trading, yield products, and investment products.
One of Grvt’s key features is its hybrid exchange model, which combines elements of centralized exchanges (CEXs) and decentralized exchanges (DEXs). Functions that require fast processing, such as order matching, are performed off-chain, while user assets are managed through smart contracts and settlement takes place on-chain. Grvt also uses ZK infrastructure based on ZKsync technology to improve scalability and transaction privacy. Users retain control over their assets without transferring custody to the exchange.
In this respect, Grvt shares several similarities with Hyperliquid, one of the leading perpetual DEXs. Both platforms primarily offer order book-based perpetual futures trading and aim to provide trading speed and user experience comparable to centralized exchanges while allowing users to retain custody of their assets.
However, the two platforms differ in their technical architecture and expansion strategies. Hyperliquid operates its trading infrastructure and liquidity ecosystem on its own Layer 1 blockchain, HyperCore. In contrast, Grvt uses ZK-based infrastructure connected to Ethereum, with privacy and capital efficiency as key features. While Hyperliquid has primarily expanded around its trading ecosystem, Grvt is broadening its services beyond trading by integrating yield and investment products within the same platform.
One of the key components of this strategy is Grvt’s “One Balance” model. Traditionally, trading collateral and yield-generating assets are often managed separately. Grvt aims to connect trading and asset management through a single balance. This allows users to access functions such as Trade, Earn, and Invest within the same platform without repeatedly moving assets between different protocols or accounts. Its recent expansion into spot trading and RWA-related investment products is also part of this strategy.
If successfully implemented, this structure could allow Grvt to expand beyond perpetual trading and develop a broader platform combining trading and asset management. In particular, as tokenized assets and the RWA market grow, providing crypto trading and various investment products within a single platform could attract additional users and assets. The $GRVT token is linked to platform membership and user benefits, and whether increased platform usage translates into greater utility for the token will be another important factor to monitor.
However, the perpetual DEX market in which Grvt operates is highly competitive. Hyperliquid has already established significant trading volume, liquidity, and a large user base, making it challenging for new platforms to gain market share. In addition, Grvt’s hybrid architecture differs structurally from fully on-chain exchanges, as certain trading functions rely on off-chain infrastructure. Following the TGE, key factors to monitor include whether trading volume and liquidity can be sustained, whether the One Balance model and new investment products lead to actual user growth, and whether the expansion of these services translates into sustained platform usage.
Recap of Top Stories (August 3 - August 7)
Top Story of the Week
BlackRock Launches Two Tokenized Money Market Funds Built for Stablecoin Reserves
[Tokenization] [Institutional] [Stablecoin] [Infrastructure]
On August 3, BlackRock launched the Daily Reinvestment Stablecoin Reserve Vehicle (BRSRV), a money market fund built to serve as a reserve asset for stablecoin issuers, alongside tokenized on-chain shares of its existing Select Treasury-Based Liquidity Fund (BSTBL).
Ownership of both funds is recorded across Ethereum, Solana, and Stripe’s Tempo blockchain, with Securitize as transfer agent managing whitelisted wallets. The funds hold only cash, short-term Treasuries, and overnight repo — no crypto exposure — with a $3 million minimum.
BRSRV is structured to qualify as an eligible reserve asset under the GENIUS Act, and BlackRock has told investors it intends to become the stablecoin reserve manager of choice — following comparable funds from State Street and Invesco.
Also, In Focus
Wells Fargo to Launch Tokenized Deposits for Corporate and Commercial Clients
[Tokenization] [Banking] [Payments]
On August 4, Wells Fargo announced tokenized deposits — blockchain-based representations of commercial bank money — for select corporate and commercial clients, rolling out this fall with a limited U.S. dollar to British pound exchange on its proprietary blockchain.
The program expands through 2027 to more clients, countries, and currencies, routing payments automatically and retaining the same deposit-insurance eligibility. Wells Fargo joins JPMorgan and Citi, and is expected to connect to the shared bank tokenized-deposit network announced last month.
Western Union Launches Stablecard, Pairing Its Own Stablecoin with a Visa Card
[Stablecoin] [Payments] [Retail Access]
On August 4, Western Union launched Stablecard with infrastructure provider Rain — a digital wallet holding USDPT, its dollar-backed stablecoin issued by Anchorage Digital Bank on Solana, paired with a Visa secured credit card. It went live in 37 markets, targeting 60-plus by year-end.
Recipients can take remittances directly into the wallet, hold the balance in dollars, and spend anywhere Visa is accepted. For a 175-year-old money-transfer company it is a genuine strategic shift, though USDPT circulation remains small against the roughly $100 billion Western Union moves each year.
Japan’s JPYC Raises $38 Million as a Logistics Giant Adopts Its Yen Stablecoin
[Stablecoin] [Asia] [Adoption]
On August 5, JPYC — issuer of Japan’s first registered yen-pegged stablecoin — completed a 6 billion yen ($38 million) Series B extension, with Tokyo-listed logistics group AZ-COM Maruwa investing 1 billion yen as a new strategic partner.
AZ-COM, whose clients include Amazon Japan, plans to pay roughly 2,300 logistics partners in JPYC. The token is also being piloted at Lawson convenience stores.
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