In the Arena | April 1, 2026
- Michael Schwartz
- Apr 6
- 3 min read
“3 observations and a chart” on the latest in the digital assets sector
Nasdaq and NYSE announce partners for 24/7 tokenized stock trading
Nasdaq announced a partnership with crypto exchange Kraken to offer tokenized stock trading. Expected to launch in early 2027, the framework would enable on-chain trading of blockchain-based shares, fully backed 1:1 by traditional equities, with full voting and dividend rights while remaining interoperable with existing systems like DTCC. In parallel, the New York Stock Exchange signed a deal with Securitize to build its tokenized securities platform – a purpose-built venue designed for 24/7 trading, instant settlement and stablecoin-based funding. Intercontinental Exchange (NYSE's parent) also invested in crypto exchange OKX at a $25 billion valuation tied to tokenized stock distribution. We highlight that tokenization of equities is an industry-wide race, with leading exchanges actively building the rails for an always-on financial system.
Kraken secures Fed access — crypto connects to core financial rails
Kraken Financial — the Wyoming-chartered banking arm of Kraken — received approval from the Federal Reserve Bank of Kansas City for a master account, making it the first digital asset firm in US history with direct access to the Fed's core payment infrastructure. Access to Fedwire, the real-time interbank settlement network processing trillions of dollars daily, enables real-time settlement and removes reliance on intermediary banks — a longstanding friction point for crypto platforms. The development follows years of regulatory tension and suggests a more constructive posture toward compliant digital asset firms. We highlight that crypto is no longer operating alongside the financial system — it is beginning to integrate directly into its foundational infrastructure.
Visa and Mastercard expand stablecoin capabilities – payment rails continue to converge
Visa continues to deepen its push into stablecoins, expanding its partnership with Bridge to enable stablecoin-linked card issuance across more than 100 countries. The model allows users to hold stablecoins while transacting seamlessly in fiat at the point of sale, with conversion handled behind the scenes — abstracting away blockchain complexity. At the same time, Mastercard has launched a global crypto partner program spanning 85+ firms and agreed to acquire stablecoin infrastructure provider BVNK for $1.8 billion. We highlight the growing confidence among payment incumbents that stablecoins can improve cross-border efficiency and reduce settlement friction, accelerating the adoption of stablecoin rails as core financial infrastructure.
Chart of the Month – Hyperliquid Trading Volume Spikes on NON-Crypto Activity
Hyperliquid, the decentralized blockchain trading platform that operates 24/7, surpassed $1 billion in daily trading volume tied to oil markets amid geopolitical uncertainty in Iran.
Arena Digital Capital Partners is a liquid evergreen fund open to monthly subscriptions. We are always happy to discuss further with you or investors you think may have an interest in the sector. Please reach out to Bill Cline at williamc@arenadigital.capital.
Sincerely,
The Arena Digital Capital Management Team
Michael Schwartz, Michael Prober & William Cline
Arena Digital Capital Management was founded in January 2022 by three experienced traditional finance hedge fund professionals who have been deploying personal capital in the digital asset ecosystem since 2018. The team has managed billions of dollars of capital for high net worth individuals, family offices, and institutions ranging from pension plans and endowments to sovereign wealth funds. We have worked closely with institutional consultants, RIAs, and other advisors in serving their clients.
In May 2022 we launched Arena Digital Capital Partners, with the goal of providing a multi-strategy investment vehicle to access the digital asset ecosystem. Our mandate is to offer broad exposure across the growing digital asset and blockchain sector with an appropriate level of diversification, professional oversight, and manager selection. Our collection of skill sets and our history in the business allows us to understand, assess, and engage with the practitioners of this nascent asset class with a level of diligence required to be responsible stewards of capital. We are happy to periodically share our observations with you.
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