Key Takeaways:

With the Middle East war raging, fiat currencies in Brazil and Argentina rose, drawing future inflows next. Following a January Trump Administration intervention, Venezuela can offer a new future market opportunity. Brandywine’s Jack McIntyre, managing $44B, predicts Asian markets will shift funds to Latam oil next.

Latam, Isolated From Energy Issues, Becomes An Investment Opportunity During War Time

In wartime, investors adjust their portfolios to navigate the intricacies of war and maintain their performance accordingly.

In this situation, Latam markets, which have become a sort of safe haven for investors, are rising as alternatives that, in some ways, are isolated from the energy crisis caused by the ongoing conflict in the Middle East due to their endogenous oil production.

Argentina and Brazil’s fiat currencies are among the few that have appreciated against the dollar since the war started, and dollar bonds from Ecuador and Colombia, which have a significant oil output, have also performed well in their class. Analysts also signal Venezuela as a future opportunity, as the Trump Administration continues to push for changes after it intervened in the country in January.

The failure to reach an end to the U.S.-Israel-Iran conflict after a short ceasefire only makes these bets hold up, as the uncertainty that overtakes main markets is less pervasive in the region.

Anthony Kettle, a senior emerging markets portfolio manager at RBC Bluebay in London, told Bloomberg that their highest conviction picks were now centered in Latam. “Targeting sovereigns and corporates that either benefit from, or at least are more resilient to, higher energy prices remains one of our preferred themes,” he stressed.

In addition, some are betting on the rise of these markets as Asian economies and even the U.S. start to seek diversification from their usual oil sources, bringing more funds to the region’s economies. Jack McIntyre, who helps oversee $44 billion in global fixed-income assets at Brandywine Global Investment Management, shares this opinion.

In addition, the regional high interest rates continue to make it attractive to carry trade investors, who take debt in other countries to invest in Latam. Jonathan Fortun, senior economist at the Institute of International Finance, said that recent numbers suggest that “commodity support and relative carry appeal” continue to cushion the region from market losses.

Key Takeaways:

Canary Capital filed with the SEC to launch a PEPE ETF tracking token price via direct holdings. PEPE ETF signals broader push into volatile assets as firms expand beyond bitcoin and ethereum. SEC filing warns PEPE lacks utility, raising risks of manipulation and unstable long-term valuation.

Canary Capital Files PEPE ETF With Direct Token Exposure Structure

Canary Capital Group LLC, an investment firm focused on digital asset products, filed a registration statement with the U.S. Securities and Exchange Commission (SEC) on April 8. The filing outlines the proposed Canary PEPE ETF (the Trust), designed to track the price of the PEPE token. The product aims to provide regulated exposure to a meme-based cryptocurrency. The filing states:

“The Trust’s investment objective is to seek to provide exposure to the price of PEPE Coin (‘PEPE’) held by the Trust, less the expenses of the Trust’s operations and other liabilities.”

“The Trust provides investors with the opportunity to access the market for PEPE through a traditional brokerage account without the potential barriers to entry or risks involved with acquiring and holding PEPE directly. The Trust will not use derivatives that could subject the Trust to additional counterparty and credit risks,” the filing explains.

Risks Highlighted as Meme Token Demand and Volatility Raise Concerns

The document explains that the Trust is structured as an exchange-traded product (ETP) issuing shares of beneficial interest that will trade on a public exchange. It details that the Trust will hold PEPE tokens directly as its primary asset and will not engage in derivatives or synthetic exposure. The filing states:

“In seeking to achieve its investment objective, the Trust will hold PEPE and will value its shares daily as of 4:00 p.m. Eastern time using the same methodology used to calculate the pricing benchmark. All of the Trust’s PEPE will be held by the custodian.”

A small portion of the Trust’s assets, capped at five percent, will initially be held in ETH to cover transaction fees on the Ethereum network. The filing indicates that ongoing fees and expenses are expected to gradually reduce the Trust’s PEPE holdings over time, potentially approaching zero. It also notes that these costs and asset reductions could prevent the trust from fully achieving its stated investment objective.

The registration statement highlights risks associated with meme tokens, including speculative demand cycles, limited historical data, and potential market manipulation. “Unlike other digital assets such as bitcoin, the value of PEPE is not primarily related to its utility as a means of transaction and its acceptance in the retail sector is limited,” it describes, adding:

“While PEPE has enjoyed some success in its limited history, the aggregate value of outstanding PEPE is smaller than that of bitcoin and may be eclipsed by the more rapid development of other digital assets.”

The proposal reflects broader efforts by asset managers to expand crypto investment vehicles into niche and high- volatility digital assets.

BNP Paribas Adds Crypto-Linked ETNs for Retail Investors

Growing access to regulated crypto-linked instruments is reshaping how traditional investors engage with digital assets, as BNP Paribas Commercial Banking in France extended its exchange platform on March 26 to include crypto-asset ETNs. The expansion enables retail clients to access six new products tied to bitcoin and ethereum performance.

Clients can obtain exposure through exchange-traded notes (ETNs) without directly holding the underlying tokens, using standard securities accounts under MiFID II rules. MiFID II (Markets in Financial Instruments Directive II) is a European Union framework governing how investment services are delivered and how trading venues function. BNP Paribas stated:

“These ETNs are regulated products that offer exposure to the performance of crypto-assets through an indirect investment, without the need for direct purchase or holding of bitcoin or ether.”

Availability begins March 30, 2026, covering individual, entrepreneurial, private banking, and Hello bank! users in France, with a phased rollout planned for wealth management clients in other markets. The addition integrates crypto-linked notes alongside equities, bonds, ETFs, SCPIs, and structured products already accessible through the institution’s exchange services.

Institutional Blockchain Strategy Expands Beyond Retail Trading

Separate initiatives across the group concentrate on institutional blockchain infrastructure rather than direct retail trading of digital coins. The bank has not introduced a public crypto exchange or individual token trading feature, instead advancing tokenization through platforms such as AssetFoundry on Ethereum and Neobonds on Canton, alongside projects involving tokenized fund shares, sovereign debt issuance, and renewable energy financing.

Infrastructure development also extends to custody and settlement capabilities through fintech collaborations and central bank experimentation. Partnerships with Metaco and Fireblocks support digital asset servicing for institutional clients, while participation in wholesale central bank digital currency trials reflects ongoing involvement in regulated settlement innovation.

BNP Paribas operates across 64 countries with nearly 178,000 employees, maintaining core business lines spanning commercial banking, investment services, and corporate institutional operations. The group noted:

“The 6 crypto-asset ETNs will be available through a securities account starting from 30th March, 2026, for the bank’s individual and entrepreneurial clients, private banking clients, and Hello bank! clients in France.”

The diversified structure supports integration of new asset classes into existing financial infrastructure while preserving compliance and risk management standards.

FAQ 🧭

How does BNP Paribas provide crypto exposure without direct ownership?It offers regulated ETNs that track bitcoin and ethereum performance through securities accounts. Why is this move significant for traditional investors?It lowers entry barriers by integrating crypto exposure into familiar regulated investment frameworks. What markets are initially targeted for these crypto ETNs?France retail and private banking clients gain first access with broader rollout planned. Is BNP Paribas launching direct crypto trading services?No, the bank focuses on indirect exposure and institutional blockchain infrastructure.

US Debanking Fight Ignites as FTC Targets Visa, Mastercard, Paypal, and Stripe Practices

Access to financial services has become a focal policy concern as federal regulators scrutinize industry practices. Federal Trade Commission (FTC) Chairman Andrew N. Ferguson issued warning letters on March 26 to Paypal, Stripe, Visa, and Mastercard, addressing customer access and compliance with the FTC Act.

Regulatory attention centers on whether platform decisions to restrict users align with contractual obligations and consumer expectations. The correspondence highlights reported instances in which customers were denied services tied to political or religious positions, raising potential concerns about unfair or deceptive conduct. Ferguson wrote:

“Full participation in commerce and public life necessarily requires that law-abiding individuals can access, and freely participate in, our financial system.”

The warning signals that actions inconsistent with stated terms or reasonable expectations could trigger investigations or enforcement measures.

Enforcement Risks Expand Across Financial Ecosystem

Concerns outlined in the letters extend to the broader financial ecosystem, including the role of payment networks in enabling or restricting transactions. Companies are cautioned that facilitating third-party decisions to remove users from services may also fall within regulatory scope if such conduct conflicts with disclosed policies. Ferguson stressed:

“It is inconsistent with American values to deny law-abiding individuals the ability to run their legitimate businesses and feed their families because they attracted the ire of rogue American officials, overzealous activists, or, more worryingly, foreign governments seeking to control public discourse.”

Enforcement history reinforces the agency’s posture, as the FTC has pursued cases against payment platforms over misleading fee disclosures, contract terms, and conduct that enabled fraud. The latest outreach underscores that similar scrutiny could apply to account restrictions or service denials if they diverge from representations made to users. Officials also referenced a 2025 executive order emphasizing that denying services based on political affiliation, religious belief, or lawful activity is unacceptable, framing expectations for compliance across major payment providers.

FAQ 🧭

Why are payment companies facing FTC scrutiny?Regulators are examining whether account restrictions violate disclosed policies or consumer expectations. What risks do Paypal, Visa, Mastercard, and Stripe face?They could face investigations or enforcement if practices are deemed unfair or deceptive. How could this impact investors in payment firms?Heightened regulatory pressure may increase compliance costs and legal exposure. What broader trend does this signal for fintech?Authorities are expanding oversight of how platforms control access to financial services.

Ondo Finance and Franklin Templeton Bring ETFs Onchain

Expanding access to traditional financial instruments through blockchain infrastructure is gaining traction, as Ondo Finance on March 25 announced tokenized exposure to exchange-traded funds (ETFs) in partnership with Franklin Templeton. The move places five ETFs onchain through Ondo Global Markets, introducing new distribution channels for established asset classes.

Under the arrangement, Franklin Templeton continues managing the underlying funds while Ondo supplies the tokenization framework and digital access layer. “Together, we’re tokenizing 5 Franklin Templeton ETFs across growth, large cap, fixed income, equity income, and gold available through Ondo Global Markets, the largest tokenized securities platform globally,” Ondo Finance wrote, adding:

“This marks the first time that tokenized FT-managed ETFs are available onchain.”

The five products are the Franklin Focused Growth ETF (FFOG), Franklin U.S. Large Cap Multifactor Index ETF (FLQL), Franklin Responsibly Sourced Gold ETF (FGDL), Franklin High Yield Corporate ETF (FLHY), and Franklin Income Equity Focus ETF (INCE).

Beyond product design, the structure converts brokerage-style ownership into wallet-based access by issuing tokenized representations of ETF shares. Ondo acquires the underlying securities in traditional markets, holds them within a regulated vehicle, and then mints blockchain-based tokens that mirror ownership, allowing investors to hold these assets directly in crypto wallets rather than through intermediaries.

This approach removes time and access constraints associated with legacy markets. Tokenized ETFs can be traded continuously outside standard exchange hours, including weekends, while also enabling self-custody through digital wallets instead of broker-held accounts. The onchain format further allows these assets to function within decentralized finance systems, where they may be used as collateral without requiring liquidation.

Tokenization Signals Shift in Global Asset Distribution

Meanwhile, the five funds maintain exposure to distinct asset classes, including growth equities, large-cap stocks, gold, high-yield corporate bonds, and income-focused equities. The Franklin Focused Growth ETF targets innovation-driven companies, while the multifactor strategy of FLQL emphasizes quality metrics, and FGDL tracks responsibly sourced gold alongside related assets.

Additionally, the partnership introduces broader geographic accessibility for investors who may lack direct entry into U.S. brokerage infrastructure. Market participants in regions such as Latin America or Asia can gain exposure through stablecoins and digital wallets, though current deployment primarily targets non-U.S. jurisdictions due to regulatory conditions. Ondo Finance concluded:

“The partnership establishes a new model for distributing premier financial products globally via blockchain rails while preserving institutional standards.”

Ondo Global Markets has accumulated more than $700 million in total value locked and over $12 billion in volume since September 2025, supporting more than 70,000 holders and reinforcing its position within tokenized securities markets.

FAQ 🧭

Why does tokenizing ETFs matter for investors?It expands access and liquidity while enabling blockchain-based ownership and transfers. How does Ondo Global Markets impact ETF distribution?It introduces blockchain rails that allow global, digital access to traditional financial products. What assets are included in the tokenized ETF offering?The lineup spans growth equities, large-cap stocks, bonds, income equities, and gold exposure. Does tokenization change how these ETFs are managed?No, Franklin Templeton continues managing the funds with unchanged investment strategies.