Cryptocurrency markets have experienced a continued downturn, marking the fourth week of losses and raising alarms about the current state of the bull market cycle.

Investor anxiety heightened this week when a report from 10X Research disclosed that BitMine Immersion Technologies, known as the foremost corporate Ether holder globally, is nursing unrealized losses of $3.7 billion on its total investments in Ether (ETH).

A decline in the net asset value (NAV) across digital asset treasuries (DATs) is making fundraising difficult for new projects, leaving shareholders “trapped” in a cycle of increasing losses, as noted by Markus Thiele, founder of 10X Research.

In response to pressures from the MSCI stock market index, which is contemplating excluding corporate crypto treasuries holding over 50% of their asset value in cryptocurrencies, the consultation period remains open until December 31st. Public results are expected by January 15, 2026, with changes slated for implementation in February.

Additionally, Bitcoin (BTC) plummeted to a low of $82,000, the lowest in six months, echoing prior lows seen during market responses to policies instituted by US President Donald Trump. For further insights, TradingView data can be referenced.

BitMine’s Struggles with $3.7 Billion Loss Amid Rising Competition

Mounting challenges for corporate crypto-trust firms surface, particularly as BlackRock advances its staked Ether fund, which analysts suggest could pose direct competition to the existing landscape of digital asset treasuries.

As indicated in a recent report by 10x Research, BitMine Immersion Technologies faces approximately $1,000 in losses per bought ETH, translating into total unrealized losses of $3.7 billion. The challenging market conditions are further intensified by a decreasing net asset value which complicates fundraising efforts and leaves many investors effectively trapped unless they are willing to absorb significant losses. Markus Thielen highlighted the risks investors face when this value diminishes, creating a metaphorical “Hotel California” effect where exiting without damage becomes increasingly hard.

“When the premium inevitably shrinks to zero, as it is doing now, investors find themselves trapped in the structure, unable to get out without significant damage, a true Hotel California scenario.”

A company’s mNAV ratio, which estimates enterprise value against cryptocurrency holdings, indicates that BitMine’s ratio is currently at 0.77, making capital expansion a challenge.

SEC to Hold Roundtable on Privacy Concerns

In December, the US SEC’s Crypto Task Force will convene to address critical issues surrounding privacy within the cryptocurrency realm, with a scheduled roundtable for December 15. Crypto execs and SEC officials will discuss common challenges but no formal proposals will be made.

Privacy has surged in importance, particularly following pivotal cases involving Tornado Cash and the legal ramifications surrounding crypto developers.

“Authoritarians thrive when people have no privacy. When those in charge start being hostile to privacy protections, it is a major red flag,” said Naomi Brockwell.

This renewed focus on privacy reflects the foundational motives behind cryptocurrency, emphasizing secure communication.

Coinbase Launches New ETH-Backed Loans

Coinbase has introduced Ether-backed loans for US clients, enabling users to borrow USDC against their Ether holdings, reducing the need to sell.

Users have access to loans up to $1 million in USDC amid fluctuating rates, while Coinbase aims to further diversify its asset-backed offerings.

DeFi Education Fund’s Initiatives Against Poverty

The DeFi Education Fund is advocating for DeFi to mitigate global poverty, proposing technological strategies that could significantly cut remittance costs for the unbanked. Their objective is to leverage blockchain to reduce financial service costs, propelling enhanced economic control for individuals.

Mastercard Enhances Crypto Addresses

Mastercard looks to simplify cryptocurrency transactions by enabling the use of username-style aliases in place of lengthy wallet addresses, with support from Polygon and Mercuryo for alias verification.

DeFi Market Status

Most of the top 100 cryptocurrencies experienced declines this week, indicating continued instability in the market.