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DeFi (decentralized finance) offers an innovative alternative to the traditional mortgage system, challenging long-standing yet largely inefficient lending processes in developing countries.

It could be revolutionary in emerging economies with limited access to stable long-term financing. Could fixed-rate lending protocols empower people to take control of their finances?

The lending dilemma in developing countries

Worldwide, major markets move in sync. When interest rates spike in one market, the whole world feels the ripple effect, even among markets of dramatically different sizes.

Every move the United States makes compounds the issue due to the dominance of the US Dollar and the influence of the US Treasury Market, which is the benchmark for global interest rates.

The effect goes both ways. Low and lower-middle-income countries are home to approximately four billion people, so their economic malaise – a state of economic stagnation or downturn characterized by persistent inflation or lackluster growth – will inevitably spill over.

Their economic development is already below average relative to other nations, heightening tensions.

Major lenders are often reluctant to service people living in developing countries because of high perceived risk.

These locations are susceptible to economic instability, which impacts long-term mortgage financing and increases loan defaults.

The lack of a stable local currency, standardized underwriting practice or credit bureaus complicates the conventional approach.

Emerging economies are in a transitional phase of economic development. Relatively high economic growth leads them toward becoming developed nations.

Even under these circumstances, mortgage lending remains poorly understood and inaccessible. DeFi poses a solution – fixed-rate lending protocols.

How DeFi fixes fixed-rate mortgages

Risk-averse centralized institutions with rigid standards dominate traditional lending systems, leaving people in developing countries without access to the funds to purchase a home.

Historically, they have been the only option, even though their processes tend to be outdated, inefficient and exclusionary.

DeFi can potentially democratize homeownership and stimulate the economy by providing an alternative financing solution less susceptible to local market volatility, supporting developing nations and their inhabitants.

Blockchain technology simplifies, secures and streamlines financial transactions, benefiting underbanked and unbanked individuals.

Research shows it directly correlates to improved economic empowerment, financial inclusion, user satisfaction and trust in financial institutions because it enables better access to financial services.

DeFi protocols leverage blockchain technology

Conventional mortgage document verification requires time-consuming cross-validation. The title management process is similarly inefficient and prone to human error and fraud.

Since property transactions and loan servicing involve multiple parties and extensive paperwork, borrowers are often confused about their loan term, interest rate or outstanding balance.

If the lender’s practice is not streamlined, going through conventional channels can take days or weeks.

The time-consuming mortgage underwriting process can take weeks, depending on how busy the lender is and whether the underwriter needs more information.

In comparison, it takes mere minutes to secure a DeFi loan.

DeFi protocols leverage blockchain technology for transparent, accessible and affordable fixed-rate loans, bypassing the inefficiencies and high costs associated with conventional banking.

They store all relevant property, payment and personal details in a tamper-resistant ledger to ensure accuracy and fairness.

Smart contracts facilitate and automate mortgage contracts.

This technology improves verification speed, reduces disputes and eliminates redundancies, enabling institutions to quickly verify documents and offer mortgages.

The process is more transparent, enhancing trust among those in developing nations.

The benefits of DeFi fixed-rate lending protocols

DeFi enables new forms of home ownership and property investment, which are ideal for those in emerging economies.

In peer-to-peer lending, for instance, they could earn a 15% annual percentage yield by lending stablecoins through crypto savings accounts or liquidity pools.

They could use smart contracts to enforce the payback period, reducing counterparty risk.

Asset tokenization enables fractional ownership of loan portfolios, allowing investors to own portions of real estate instead of purchasing it in full.

Communities can collect their funds in liquidity pools to help individuals take out mortgages they wouldn’t have been able to get alone.

Blockchain technology streamlines and lowers the cost of the mortgage process by making most intermediaries redundant.

Traditionally, lenders charge for originating the loan and may also require recipients to pay third-party closing costs for services like appraisals and title insurance.

DeFi has low overhead expenses, making the process more cost-effective.

The future of fixed-rate DeFi lending

Since the blockchain provides an immutable digital ledger, it provides a secure, transparent platform for lenders, borrowers and intermediaries.

Leveraging this technology for fixed-rate lending protocols helps reduce confusion and improve reliability, even in uncertain market conditions.

It could challenge the traditional mortgage process, reshaping the financial future.

Devin Partida is the editor-in-chief of ReHack and is especially interested in writing about fintech. Devin’s work has been featured on Entrepreneur, Forbes and Nasdaq.

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Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

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Good Morning, Asia. Here’s what’s making news in the markets:

Welcome to Asia Morning Briefing, a daily summary of top stories during U.S. hours and an overview of market moves and analysis. For a detailed overview of U.S. markets, see CoinDesk’s Crypto Daybook Americas.

Bitcoin is trading below $110,000, changing hands at $109.7K, as Asia continues its trading week.

The move challenges a prevailing market narrative of summer stagnation, coming on the heels of a note from QCP Capital that emphasized suppressed volatility and a lack of immediate catalysts.

A recent Telegram note from QCP pointed to one-year lows in implied volatility and a pattern of subdued price action, noting that BTC had been “stuck in a tight range” as summer approaches.

A clean break below $100K or above $110K, they wrote, would be needed to “reawaken broader market interest.”

Even so, QCP warned that recent macro developments had failed to spark directional conviction.

“Even as US equities rallied and gold sold off in the wake of Friday’s stronger-than-expected jobs report, BTC remained conspicuously unmoved, caught in the cross-currents without a clear macro anchor,” the note said. “Without a compelling narrative to spark the next leg higher, signs of fatigue are emerging. Perpetual open interest is softening, and spot BTC ETF inflows have started to taper.”

That context makes the current move all the more surprising.

Over the weekend, Bitcoin surged 3.26% from $105,393 to $108,801, with hourly volume spiking to 2.5x the 24-hour average, according to CoinDesk Research’s technical analysis model. BTC broke decisively above $106,500, establishing new support at $107,600, and continued upward into Monday’s session, reaching $110,169.

The breakout coincides with a tense macro backdrop: US-China trade talks in London and a $22 billion U.S. Treasury bond auction later this week have injected uncertainty into global markets. While these events could drive fresh volatility, QCP cautioned that recent headlines have mostly led to “knee-jerk reactions” that quickly fade.

The question now is whether BTC’s move above $110K has true staying power, or whether the rally is running ahead of the fundamentals.

A ‘Massive Shift’ in Institutional Staking May Drive ETH’s Next Rally

Ethereum’s critics have long highlighted centralization risks, but that narrative is fading as institutional adoption accelerates, infrastructure matures, and recent protocol upgrades directly address past limitations.

“Market participants will pay for decentralization because it’s in their economic interest from a security and principal protection standpoint,” Mara Schmiedt, CEO of institutional Ethereum staking platform Alluvial, told CoinDesk. “If you look at [decentralization metrics] all of these things have massively improved over the last couple of years.”

There’s currently $492 million worth of ETH staked by Liquid Collective – a protocol co-founded by Alluvial to facilitate institutional staking

While this figure may appear modest compared to Ethereum’s total staked volume of around $93 billion, what’s interesting is that it originates predominantly from institutional investors.

“We’re really on the cusp of a truly massive shift for Ethereum, driven by regulatory momentum and the ability to unlock the advantages of secure staking,” she noted.

Central to Ethereum’s institutional readiness is the recent Pectra upgrade, a significant development Schmiedt describes as both “massive” and “underappreciated.”

“I think Pectra has been a massive upgrade. I actually think it’s been underappreciated, just in terms of the tremendous amount of change it introduces into the staking mechanics,” Schmiedt said.

Additionally, Execution Layer triggerable withdrawals—a key component of Pectra—provide institutional participants, including ETF issuers, a crucial compatibility upgrade.

This feature enables partial validator exits directly from Ethereum’s execution layer, aligning with institutional operational requirements such as T+1 redemption timelines.

“EL triggerable withdrawals create a much more effective path to exit for large-scale market participants,” Schmiedt added.

Ultimately, Schmiedt said, “I think we’ll see that a lot more [ETH] in institutional portfolios going forward.”

News Roundup

Trump Media May Be the Cheapest Bitcoin Play Among Public Stocks, NYDIG Says

Trump Media (DJT) may be one of the cheapest ways to get bitcoin exposure in public markets, according to a new report from NYDIG, CoinDesk recently reported.

As a growing number of companies adopt MicroStrategy’s strategy of stacking BTC on their balance sheets, analysts are rethinking how to value these so-called bitcoin treasury firms.

While the commonly used modified net asset value (mNAV) metric suggests that investors are paying a premium for BTC exposure, NYDIG’s Greg Cipolaro argues mNAV alone is “woefully deficient.” Instead, he points to the equity premium to NAV, which factors in debt, cash, and enterprise value, as a more accurate gauge.

By that measure, Trump Media and Semler Scientific (SMLR) rank as the most undervalued of eight companies analyzed, trading at equity premiums of -16% and -10% respectively, despite both showing mNAVs above 1.1. In other words, their shares are worth less than the value of the bitcoin they hold.

That’s in stark contrast to MicroStrategy (MSTR), which rose nearly 5% Monday as bitcoin crossed $110,000, while DJT and SMLR remained mostly flat—making them potentially overlooked vehicles for BTC exposure.

Circle Stock Nearly Quadruples Post-IPO as Bitwise and ProShares File Competing ETFs

Two major ETF issuers, Bitwise and ProShares, filed proposals on June 6 to launch exchange-traded funds tied to Circle (CRCL), whose stock has nearly quadrupled since its IPO late last week, CoinDesk previously reported.

ProShares is aiming for a leveraged product that delivers 2x the daily performance of CRCL. At the same time, Bitwise plans a covered call fund that generates income by selling options against held shares, two very different ways to capitalize on the stock’s explosive rise.

CRCL surged another 9% Monday in volatile trading, continuing to draw interest from both traditional finance and crypto investors. The proposed ETFs have an effective date of August 20, pending SEC approval. If approved, they would further blur the lines between crypto and conventional finance, giving investors new tools to play one of the hottest post-IPO names of the year.

Market Movements:

• BTC: Bitcoin is trading at $109,795 after a 3.26% breakout fueled by institutional buying, elevated volume, and macro uncertainty from US-China trade talks and an upcoming $22B Treasury auction.
• ETH: Ethereum rebounded 4.46% from a low of $2,480 to close at $2,581, with strong buying volume confirming support at $2,580 and setting up a potential breakout above $2,590.
• Gold: Gold is trading at $3,314.45, edging up 0.08% as investors watch US-China trade talks in London and a subdued dollar keeps prices attractive.
• Nikkei 225: Asia-Pacific markets rose Tuesday, with Japan’s Nikkei 225 up 0.51%, as investors awaited updates from ongoing U.S.-China trade talks.
• S&P 500: The S&P 500 closed slightly higher Monday, boosted by Amazon and Alphabet, as investors monitored U.S.-China trade talks.

Elsewhere in Crypto

What you need to know

• Alongside Morning Consult, Google’s research survey about scam awareness showed that “over 60%” of users in the U.S. have witnessed scams.
• Despite the high number, Google says its survey data indicates that users have become more “confident” in spotting scams and avoiding them.
• Its data also points toward a sharp difference in online security practices with over 60% of Gen X and Baby Boomers using passwords while Gen Z and Millennials opt for passkeys.
• Google has recently pushed toward more scam/fraud detection software on Android for phone calls and texts.

The internet isn’t going anywhere and neither are scams, but Google says people’s online habits are changing (for the better).

Google’s vice president of privacy, safety, and security, Evan Kotsovinos, shared a post about the company’s work with Morning Consult. The former ran a survey, seeking to identify the changes in online habits by users when it comes to scams and other malicious attempts. According to the research, “over 60% of US consumers perceive an increase in scams over the past year, with one third personally experiencing a data breach.”

While this number seems high (and is undoubtedly is), Google says the data points toward positivity. It states that while users are seeing more scams online, they’ve felt more “confident in their ability to spot” and avoid them. The other side of this is 61% of users in the survey stated the majority of these scams appeared via email.

Witnessing and spotting scams at such a high number makes senses when you factor in Google’s other discovery: “Half of Americans — and over 60% of Gen Z — spend at least 5 hours on their phones per day.”

However, the way we manage ourselves online, such as keeping our accounts safe, isn’t the same. Google and Morning Consult find that our perception of a “safe account” differs between the generations. For Gen X and Baby Boomers, they all prefer concrete passwords that you either have to remember or write down. Google states “over 60%” of people in these generations use passwords, leaving the other 30% to rely on social sign-ins.

The complete opposite is Gen Z, which reportedly leverages new sign-in methods like passkeys or social sign-ins — Millennials, too.

Spot Malice & Cut It

While there is still a vast majority of Americans who prefer using passwords, Google highlights a few protections to utilize. Tools like the Google Password Manager, 2FA (two-factor authentication), and the Google Authenticator App give those written credentials more power against attackers.

Although, we shouldn’t forget that Google has been walking this path of a passwordless future for a while. As such, the company draws awareness to other sign-in options, like passkeys. Moreover, the company states opting to create accounts with “Sign in with Google” is another viable choice. The post states choosing this option will give you the security of your Google Account wherever you’re going — plus, you won’t have to memorize another password!

It’s also worth mentioning that Google has been stepping up its scam/fraud detection capabilities in recent time. In its March feature drop, the company introduced a treasure trove of scam detection features for phone calls and texts in Google Messages. If something in the call or text triggers the software, users will be promptly alerted and told to avoid further contact.

Google brought similar advancements to Chrome on Android, too, thanks to Gemini. The browser’s Safety Check stepped its game up, keeping an eye on malicious notifications and more.

In May, Google published its latest fraud advisory findings to keep uses on their toes when online. Among the many scams, these are the most prevalent: customer support, package tracking, and toll roads.

Bitcoin (BTC) is looking more like a safe-haven asset amid the financial wreckage caused by President Donald Trump’s tariff rollouts, according to the digital asset investment management firm NYDIG.

Greg Cipolaro, the global head of research at NYDIG, notes in a new analysis that Bitcoin demonstrated some decoupling with equities, US Treasuries and the dollar last week.

“Geopolitical tensions, including tariffs, remain topical (despite Trump walking back many of them), but political pressure from Trump on Fed Chair Powell, and even speculation about his potential dismissal that added to market unease. In many ways, this is exactly the kind of environment where Bitcoin should shine. 

The decoupling from traditional risk assets is still very early and fragile, but for those watching crypto markets 24/7 (guilty), the shift is palpable. That said, we haven’t yet seen confirmation in the data. Our preferred correlation measure — a 90-day rolling window — currently shows rising correlations between bitcoin and US equities.”

Cipolaro argues that wavering faith in US policy choices has diminished the status of the US dollar and US Treasuries as safe-haven assets.

“What is interesting to us is that since ‘Liberation Day’ on April 2nd, a new picture of haven assets is starting to emerge, one which includes bitcoin. Bitcoin has acted less like a liquid levered version of levered US equity beta and more like the non-sovereign issued store of value that it is.”

Bitcoin is trading at $95,205 at time of writing. The top-ranked crypto asset by market cap is up more than 2% in the past 24 hours.

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Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

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Welcome to The Market’s Compass Emerging Market’s Country ETF Study, Week #537. As always, it highlights the technical changes of the 20 EM Country ETFs that I track on a weekly basis and publish every third week. Paid subscribers will receive this week’s unabridged Emerging Market’s Country ETF Study sent to their registered e-mail. In celebration of the Easter Holiday, free subscribers will also receive the full version (in a thinly veiled attempt to lure them into becoming paid subscribers). Past publications can be accessed by paid subscribers via The Market’s Compass Substack Blog. Next week I will be publishing The Market’s Compass Developed Markets Country ETF Study. On Sunday I will publish the latest edition of The Market’s Compass Crypto Sweet Sixteen Study which I publish on a weekly basis and tracks the technical changes of sixteen of the larger capitalized Cryptocurrencies.

To understand the methodology used in constructing the objective EM Country ETF Individual Technical Rankings visit the mc’s technical indicators page at www.themarketscompass.com and select “em country etfs”.

To understand the methodology used in constructing the objective EM Country ETF Individual Technical Rankings visit the mc’s technical indicators page at www.themarketscompass.com and select “em country etfs”.

This past week The Total EM Technical Ranking or “TEMTR” rose +22.92% to 539 from 438.5 the previous week, which was another sharp rise of +28.78% to 438.5 from 340.5 three weeks ago. The Total Lat AM EM Ranking led the other two geographic regions higher, rising 28.7% to 181.5 from 141. The EMEA EM Total Technical Ranking rose 20.7% to 181 from 150 the previous week. The Total Asia-Pacific EM Ranking rose 19.7% to 176.5 from 147.5.

Seventeen of the twenty EM Country ETFs I track in these pages registered improvement in their TRs over the Good Friday Holiday shortened week ending April 17th, one was unchanged, and two ETF TRs fell. The average TR gain was +5.03 vs. the previous week’s average TR gain of +4.90 when fifteen out of twenty gained ground, two were unchaged, and two fell. Seven of the EM Country ETF TRs ended the week in the “green zone” (TRs between 34.5 and 50), nine were in the “blue zone” (TRs between 15.5 and 34) and four were in the “red zone” (TRs between 0 and 15). That was a improvement from the previous week when only two were in the “green zone”, eleven were in the “blue zone” and seven were in the “red zone”. All five of the Lat/ AM ETFs registered improvement in their TRs with four out of the five entering the “green zone”.

*To understand the construction the of The Technical Condition Factors visit the mc’s technical indicators page at www.themarketscompass.com and select “em country etfs”.

This past week a 76.43% reading was registered in the Daily Momentum Technical Condition Factor (”DMTCF”) or 107 out of a possible total of 140 positive points. That was higher from the week before reading of 42.14% or 59 which was a major lift from the deeply oversold condition three weeks ago, of 5.71% of only 8 out of 140 points.

As a confirmation tool, if all eight TCFs improve on a week-over-week basis, more of the 20 ETFs are improving internally on a technical basis, confirming a broader market move higher (think of an advance/decline calculation). Conversely if all eight TCFs fall on a week-over-week basis it confirms a broader market move lower. Last week six TCFs rose, one was unchanged, and one fell.

*A brief explanation of how to interpret RRG charts visit the mc’s technical indicators page at www.themarketscompass.com and select “em country etfs”. To learn more detailed interpretations, see the postscripts and links at the end of this Blog.

The chart below has three weeks, or 15 days*, of Relative data points vs. the benchmark, the EEM (the Emerging Markets ETF), at the center, deliniated by the dots or nodes. Not all 20 ETFs are plotted in this RRG Chart. I have done this for clarity purposes. Those which I believe are of higher technical interest remain.

*Because of the holiday shortened week, there are only 14 days of data points

When I published the last EM Country ETF Study on March 31st, I highlighted the iShares MSCI Turkey ETF (TUR) which had fallen sharply from the Leading Quadrant through the Weakening Quadrant and ending up in the Lagging Quadrant. Before rolling over last week the TUR rose sharply into the Improving Quadrant exhibiting Positive upside Relative Strength Momentum (note the distance between the daily nodes) as it rose into the Improving Quadrant. The iShares Indonesia ETF (EDIO) lifted up out Laging Quadrant three weeks ago into the Improving Quadrant but after marking positive Relative Strength and Momentum two weeks ago it has rolled over and has begun to track sideways although it remains in the Leading Quadrant. The standout Relative Strength performer had, over the previous two weeks been the iShares MSCI India Index Fund ETF (INDA) until it rolled over last week, losing upside Relative Strength Momentum.

When Trump dropped the “tariff bomb” on the financial markets three weeks ago the EEM printed a lower weely price low below the January 10th weekly closing low of 41.02 to close three weeks ago at 40.58 in concert with the “TER” falling to 340.05. That said the TER did not print a lower low and has since risen back to 539.5 but, it would be premature to declare that it was a non-confirmation of the price lows, but the 13-Week Exponential moving average of the “TER” is hooking higher. More on the longer-term technical condition of the EEM follows…

The Average Weekly Technical Ranking (“ATR”) is the average Technical Ranking (“TR”) of the 20 Emerging Markets Country ETFs we track weekly and is plotted in the lower panel on the Weekly Candle Chart of the EEM presented below. Like the TER, it is a confirmation/divergence or overbought/oversold indicator.

Four weeks ago, prices were teetering on support offered by the Lower Parallel (solid red line) of the longer-term Standard Pitchfork (violet P1 through P3) after being capped at price resistance at 45.50 for the second time the week before. The following week prices broke below support at the of the longer-term Pitchfork and the Cloud. Prices traded lower two weeks ago before a temporary reversal in Trump’s Tariff plans led to a sharp intra-week turnaround. I have since drawn a new Schiff Pitchfork (red P1 through P3). Prices have retaken the ground above the Median Line (red dotted line) of the shorter-term Pitchfork but have been capped at the Kijun Plot (green line) and the Cloud last week. Both MACD and the Stochastic Momentum Index rolled over through their signal lines but (thanks to the price reversal at P3) there is a hint of stabilization in the shorter-term Stochastic Momentum Index. That in itself is not enough to suggest that a sustainable low is in place.

Learn about Pitchforks and Internal Lines in the three-part Pitchfork tutorial in the Market’s Compass website, www.themarketscompass.com

More on the technical condition of the EEM in Thoughts on the Short-Term Technical Condition of the EEM but first…

*For the four-day Holiday shortened week ending April 17th. Does not include dividends if any.

Fifteen of the twenty EM Country ETFs were up on an absolute basis last week (the iShares MSCI South Korea Index Fund ETF (EWY) was flat on the week) and four traded lower. Fifteen EM ETFs outperformed the 0.41% gain in the EEM on a relative basis. The average four-day absolute gain in the EM ETFs was +2.00% adding to the previous week’s average absolute gain of +3.82% helping to reverse the -6.80% average absolute loss registered three weeks ago.

At the time of our last missive on the shorter-term technical condition of the EEM (highlighted with the yellow circle) prices continued (for weeks) to track sideways in a 3 point range. That was until the following week when prices fell sharply lower below support afforded by the Cloud and VAP support (volume at price) thanks to the “Tariff Bomb”. Two more days of extended price weakness brought about an oversold condition as witnessed by 10-Day Stochastic Momentum and more importantly, my EM Country ETD Daily Momentum / Breadth Oscillator and a sharp price reversal unfolded which led to me to draw the new Standard Pitchfork (violet P1 through P3) and a week ago last Friday, the EEM overtook the Median Line (violet dotted line) of the Pitchfork. That said, with the oversold fuel mostly spent, the rally has stalled at what was once VAP support now turned VAP resistance. It is premature to suggest the nadir was reached at P3. Only a follow through rally that overtakes VAP resistance, massive Cloud resistance and the Upper Parallel (solid violet line) of the Pitchfork would suggest that the correction has run its course. Buyers beware of another “Trump Card” (tip of the hat to Stephen Suttmeier for that one).

All the charts are courtesy of Optuma whose charting software enables anyone to visualize any data including my Objective Technical Rankings. The following links are an introduction and an in-depth tutorial on RRG Charts…

https://www.optuma.com/videos/introduction-to-rrg/

https://www.optuma.com/videos/optuma-webinar-2-rrgs/

To receive a 30-day trial of Optuma charting software go to…

www.optuma.com/TMC.

The first quarter of 2025 has brought significant challenges for technology investors. With the S&P 500 (^GSPC 1.08%) struggling amid renewed trade tensions and economic policy shifts under the Trump administration, many innovative companies have seen their market valuations compress dramatically — regardless of their operational progress.

These market conditions have created a rare buying opportunity across multiple emerging technology subsectors. From advanced computing to nuclear innovation, and from drug discovery platforms to urban air mobility, transformative companies are trading at steep discounts to their potential future values.

Image source: Getty Images.

For investors willing to look beyond current volatility, these three diverse technology disruptors represent compelling opportunities to position your portfolio for the next wave of technological revolution that will reshape entire industries in the decades ahead.

Powering the AI revolution

Despite an 8% year-to-date decline, Applied Digital (APLD 3.35%) remains at the forefront of a critical shift in artificial intelligence (AI) — power-efficient data infrastructure. As demand for AI computing intensifies, Morgan Stanley projects a potential 36 GW power shortfall for U.S. data centers by 2028, positioning Applied Digital to capitalize on this emerging challenge.

Bolstered by strategic investments from Nvidia and a new $5 billion financing facility from Macquarie Asset Management, the company has the financial backing to execute its ambitious vision. However, investors should be mindful of its substantial debt load of $479.6 million and ongoing net losses despite robust revenue growth.

Ultimately, Applied Digital’s investment narrative centers on infrastructure emerging as a strategic asset, potentially rivaling AI software in driving the next phase of computing innovation.

Transforming urban mobility

Joby Aviation (JOBY 5.35%) is emerging as a leader in electric urban air mobility. Still, its stock has fallen by a whopping 23% year to date, a reflection of the broader market’s struggles this year and the typical short-term volatility associated with an evolving industry.

Joby Aviation’s innovative air taxis, capable of carrying a pilot plus four passengers at speeds up to 200 mph, hold the potential to drastically cut travel times, possibly transforming an 80-minute drive from Heathrow to Canary Wharf into an 8-minute flight. The company is also expanding its market presence through strategic alliances with Virgin Atlantic and Delta Air Lines while delivering aircraft to the U.S. Air Force and achieving rapid progress on FAA certification.

With plans to carry its first commercial passengers by late 2025 or early 2026, over $933 million in cash reserves, and an additional $500 million commitment from Toyota, Joby has the financial strength to execute its ambitious vision.

Nonetheless, investors should note that Joby’s success hinges on navigating complex multistage FAA certification processes and establishing entirely new regulatory frameworks for urban air mobility operations. These noteworthy challenges could impact both the company’s projected commercialization timeline and costs.

Empowering AI’s optical backbone

Poet Technologies (POET -4.44%) shares have retreated 35% year to date, creating a compelling entry point for investors targeting the critical optical infrastructure that powers modern AI networks. The company’s revolutionary Optical Interposer platform seamlessly integrates electronic and photonic components onto single chips, producing high-speed optical engines that are becoming indispensable for next-generation data centers.

With AI development accelerating globally, TrendForce projects optical transceiver demand to surge at an impressive 56.5% annual growth rate. Poet is strategically positioned to capitalize on this expansion through established partnerships with industry leaders including Luxshare Tech and Mitsubishi Electric. The company has fortified its financial position with over $110 million in recent funding, while expanding its manufacturing capabilities in Malaysia to address the anticipated demand curve.

While Poet’s groundbreaking technology has garnered multiple industry accolades, the company remains in the commercial-scaling phase. Its future success hinges on flawless manufacturing execution and widespread adoption among hyperscale data centers that are aggressively expanding their AI infrastructure to meet exploding computational demands.

The following is a guest article from Jesse Knutson, Head of Operations at Bitfinex Securities.

In developed economies, accessing the U.S. dollar is a given. Investors rarely have to consider incorporating USD-denominated assets into their portfolios as the relative stability of their local economies provides a sufficient foundation for financial security.

Contrast this to many emerging economies, where access to the U.S. dollar is essential for businesses and individuals to safeguard wealth. Yet this can be difficult thanks to large amounts of red tape, uneconomical exchange rates, and, in some jurisdictions, regulatory challenges.

It doesn’t matter where in the world you live; most businesses and individuals share the same goals: to be financially secure, grow wealth, and create a solid financial footing for the next generation. Realizing these goals in the global south is extremely challenging if the currency is volatile or inflation is high. In these situations, savers look to place their assets in the relative stability of the U.S. dollar. Without access to the dollar, it can feel like building on quicksand – no matter how hard you try, the foundation keeps shifting.

Up until relatively recently, there were only two real options for obtaining the dollar: traditional banking institutions or the black market. Traditional methods come with bureaucracy, high fees, and limited availability, while the black market exposes users to significant risks, including wildly fluctuating rates and potential legal ramifications.

The advent of crypto turned this on its head. Stablecoins provide almost instantaneous access to the dollar to anyone with an internet connection with virtually no transaction fees. This has proved to be a lifeline for those fighting double—or even triple-digit inflation on a daily basis.

A recent report by Castle Island Ventures found that 69% of crypto users in Brazil, Nigeria, Turkey, Indonesia, and India converted their local currency into stablecoins. Users said they prefer using stablecoins instead of accessing the U.S. dollar via more traditional means because of greater efficiency, lower chances of government interference, and the potential to earn yield.

While stablecoins generally perform well, more sophisticated financial products based on blockchain technology are emerging that provide the ability to transact in a dollar-denominated system and favorable and predictable yields.

Investors are increasingly drawn to tokenized funds that provide exposure to U.S. government T-bills. This small but growing asset class seems to have momentum behind it. The total value of tokenized U.S. treasuries increased by 415% during 2024 alone, and they are now the second largest real-world asset crypto asset category on RWA.xyz.

Much of this growth has been driven by the two biggest funds – Hashnote’s USYC and BlackRock’s BUIDL. Yet both have eligibility requirements that exclude the vast majority of the people who could benefit the most. USYC has a $100,000 minimum investment, and BUIDL is only available to U.S. accredited investors, who need to have an income of at least $200,000 to qualify.

This is clearly out of bounds for most people who battle emerging market inflation on a daily basis. The essence of tokenization is to rethink how we finance and democratize global access to investment opportunities.

Tokenized U.S. T-bill funds can and should be for everyone. Retail investors with small amounts to invest have the most to gain from parking their spare capital in a product that provides exposure to U.S. government debt – arguably the safest asset in the world – and yield on that investment.

NexBridge is proving that it can be done. It recently launched USTBL, the first offering of tokenized T-bills on Bitcoin-based technology. With a minimum ticket size of just 1 USDt, oversight from El Salvador’s national digital asset commission, and transfer restrictions enforced on the Liquid Network, USTBL strikes a balance between inclusion, regulatory compliance, and long-term sustainability.

Democratizing access to finance is at the heart of blockchain’s promise. As tokenized funds gain prominence, we must ensure they remain a tool for empowerment—breaking down barriers, leveling the playing field, and unlocking opportunities for individuals wherever they are in the world.

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