In the Arena | January 1, 2026

“3 observations and a chart” on the latest in the digital assets sector

SEC approves DTCC pilot to record US securities settlement on-chain 

The Depository Trust & Clearing Corporation (DTCC)—the clearinghouse that settles and records nearly all US stock trades—has received SEC approval to pilot the settlement and recording of US securities on select blockchains. This development is a meaningful step in the migration of traditional financial infrastructure onto tokenized rails. DTCC processes and settles trillions of dollars of securities transactions daily.  The initiative reflects a growing recognition among incumbents that tokenization and blockchain technology can improve settlement efficiency, transparency, and operational resilience within existing regulatory frameworks. We highlight continued acceleration of global capital markets moving on-chain with regulatory blessing.

Google, CNBC partner with blockchain prediction market leaders as prediction markets become a mainstream information layer

Google is integrating real-time data from blockchain based prediction markets run by Polymarket and Kalshi into its Google Finance search results and finance interface used by everyday investors. CNBC announced an exclusive partnership with Kalshi to incorporate real-time prediction data into CNBC’s editorial coverage across its TV, digital, and subscription channels, including  Squawk Box and Fast Money. These integrations offer audiences a new lens into how event probabilities and market expectations are shifting in real time. We believe these moves demonstrate that decentralized prediction markets which run on blockchains are increasingly being treated as a real-time forecasting signal—complementing traditional polling, research, and analyst commentary.

SEC Chairman predicts “all US markets will be on-chain within two years”

SEC Chairman Paul Atkins said rapid advances in electronic trading and blockchain technology are driving the biggest transformation in the US financial system in decades, predicting that tokenization could become a core feature of American markets within just a few years. He highlighted benefits including greater transparency, predictability, and reduced settlement risk as on-chain rails compress the gap between trade execution, payment, and final settlement. Today, blockchain-based transactions using stablecoins settle in under 30 seconds, 24/7/365, compared with legacy systems like SWIFT and Fedwire that take one to five business days and operate only during US business hours. Cross-border costs plummet from $25-50 plus FX spreads to less than $0.01.We highlight that a sitting SEC Chair has now articulated the most aggressive timeline yet for a blockchain-based transformation of US financial infrastructure.

Chart of the Month  – Blockchain Processing Speed Comparable to Legacy Financial Systems 

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

www.arenadigital.capital

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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