GENIUS Act, Markets Up, & Anthropic IPO

View from the Arch #135

June 05, 2026

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This Week in Crypto

It was a rough one this week.

  • Bitcoin fell to around $62,900 this week after spot ETFs recorded $3.4B in outflows - the largest weekly exit since these funds launched in January 2024.

  • ETH dropped below $2,000 for the first time since February, and more than $766M in leveraged positions were wiped out.

  • Unexpectedly, Michael Saylor’s company sold 32 Bitcoin for $2.5B to fund preferred stock dividends, its first sale since 2022.

On the regulatory front, the GENIUS Act deadline is looming:

  • The GENIUS Act stablecoin regulations are due by July 18, and a broader market structure bill has a 50-60% chance of passing before the midterm elections.

  • Meanwhile, banks pushed Congress to kill stablecoin yield through the CLARITY Act - though Coinbase may have found a loophole.

    • While the CLARITY Act explicitly outlaws savings-account-style interest on stablecoins, it allows “activity-based” rewards.

    • Which brings in Ethena, a synthetic dollar protocol that generates returns through an active, delta-neutral basis trade that involves shorting crypto perpetual futures while holding the spot asset.

    • By integrating with Ethena, Coinbase could theoretically route idle USDC into this strategy.

This Week in TradFi

At least the market is up?

  • The S&P 500 crossed 7,600 for the first time this week, and the Dow also hit a new all-time intraday high - powered almost entirely by semiconductors.

  • Marvell surged more than 25% after Nvidia CEO Jensen Huang called it the "next trillion-dollar company".

  • Alphabet weighed on the S&P, falling nearly 4% after announcing it would raise $80 billion from stock sales, and Broadcom failed to raise its AI chip sales forecast, sending semiconductor stocks including Micron, AMD, and Qualcomm lower yesterday.

More on Alphabet:

  • The company announced plans to raise $80B through stock sales - the largest equity capital transaction ever recorded - to fund AI infrastructure spending.

  • The anchor investor is Berkshire Hathaway, committing $10B.

  • Google, Amazon, Microsoft, and Meta collectively plan to spend $725B on capital expenditures in 2026 - up 77% from last year's already record-breaking $410B.

Kevin Warsh has officially succeeded Jerome Powell as Fed Chair, and his first FOMC meeting is coming up - June 16-17:

  • The data coming in ahead is not looking great. April JOLTS showed job openings jumped from 6.9 million to 7.6 million, the highest since May 2024, and ADP's May private payroll report came in at 122,000, above expectations.

  • The official May jobs report drops later today.

  • Fed Governor Waller recently said he "can no longer rule out rate hikes further down the road if inflation does not abate soon".

This Week in Tech

Anthropic filed confidentially with the SEC for a U.S. IPO on Monday.

  • Anthropic's valuation has more than doubled from $380B in February, when it raised $30B in a funding round.

  • Sam Altman's response, per CNBC: the company will go public "when it makes sense to do so."

    • OpenAI, for its part, raised $122B in March at an $852B valuation and is expected to file for its own IPO later in the year.

DeepSeek, China’s best-known AI startup and the company that rattled Silicon Valley in early 2025 with its low-cost models, is raising about $7.4B in its first-ever external funding round.

  • Investors reportedly include Tencent and battery giant CATL, with the round valuing the company at up to $59B.

And Microsoft’s annual Build developer conference produced a lot:

  • Project Solara (an agent-first computing platform), ASSERT (an open-source framework for AI behavior testing), a partnership with the Mayo Clinic for an AI healthcare assistant, and seven new AI models.

  • The most exciting one is MAI-Thinking-1, Microsoft's first advanced reasoning model, which the company says matches leading models on benchmarks.

As usual, below are some fundraising announcements, M&A, and tech personnel changes that caught our eye:

  • Helion, the fusion startup backed by Sam Altman, has raised $465M at a valuation of $15.5B.

  • Software monitoring startup Coralogix has raised $200M at a $1.6B valuation.

  • Ex-Anduril engineer has raised $42M to build the Amazon of composite parts.

Arch is building a next-gen wealth management platform for individuals holding Alternative Assets. Our flagship product is the crypto-backed loan, which allows you to securely and affordably borrow against your crypto.

Disclaimer: None of the above is financial advice, seriously.