ICE Bets $2B on Polymarket, S&P Bridges Crypto and Stocks: Weekly Recap

Major financial institutions like ICE, S&P Global, and BNY Mellon are deepening their integration with the crypto market through significant investments, new hybrid financial products, and exploring tokenized payment solutions.

• Traditional financial giants are making significant moves into the crypto space.

• New hybrid financial products are bridging cryptocurrencies with traditional equities.

• Tokenization and staking are expanding the utility and accessibility of digital assets.

Intercontinental Exchange (ICE) has invested up to $2 billion in Polymarket, valuing the crypto prediction platform at $9 billion, as Polymarket prepares to re-enter the U.S. market. S&P Global launched the Digital Markets 50 Index, a hybrid benchmark combining cryptocurrencies with blockchain-related stocks, while BNY Mellon is exploring tokenized deposits to modernize payment infrastructure. Grayscale became the first in the U.S. to offer staking for Spot Ethereum ETFs, reflecting a growing mainstream acceptance and integration of digital assets.

ICE's Investment in Polymarket

• 00:00:05 Intercontinental Exchange (ICE), parent company of the NYSE, is investing up to $2 billion in Polymarket, valuing the crypto-based prediction platform at $9 billion post-money. This agreement positions ICE as a global distributor of Polymarket's event-driven data and includes plans for future tokenization initiatives. The investment coincides with Polymarket's planned return to the U.S. market following a 2022 settlement with the CFTC that restricted its domestic access.

S&P Crypto-Stock Index

• 00:01:30 S&P Global launched the Digital Markets 50 Index, a new benchmark that merges 15 major cryptocurrencies with 35 publicly traded companies in the blockchain and digital asset sectors. Developed with Dynari, this index represents S&P's first hybrid product connecting crypto assets and traditional equities, designed to offer diversified exposure across the crypto ecosystem. Eligible assets must meet specific market capitalization thresholds, and no single asset will exceed 5% of the index.

BNY Mellon Tokenized Deposits

• 00:02:27 BNY Mellon is evaluating tokenized deposits to bolster blockchain-based payment infrastructure, aiming to modernize real-time, cross-border, and instant settlement systems. This initiative would enable clients to transact using digital representations of bank-held deposits processed on decentralized ledgers. Carl Slabicki of BNY Mellon's Treasury Services stated that tokenized deposits could overcome 'legacy technology constraints,' offering near-instant settlement and 24/7 availability backed by commercial bank money.

Grayscale's Staking ETFs

• 00:03:33 Grayscale Investments has introduced staking to its Spot Ethereum ETFs (ETHE and ETH) and the Grayscale Solana Trust (GSOL), a first for U.S.-listed crypto exchange-traded products. This feature allows investors to earn staking rewards without directly managing validators or crypto wallets, made possible by recent regulatory guidance. Grayscale CEO Peter Mintzberg confirmed that investors can now benefit from the value accrual of staking with no action needed or change to exposure.