Apr 14, 2025: Our weekly Institutional Insights explores the latest market developments — market performance, industry news, exchange-traded fund (ETF) flows, trending topics, upcoming events and token unlocks — to help you supercharge your crypto trading.

 explores the latest market developments — market performance, industry news, exchange-traded fund (ETF) flows, trending topics, upcoming events and token unlocks — to help you supercharge your crypto trading.

Weekly highlight — Apple exemptions send crypto higher 

US president Donald Trump’s administration recently exempted smartphones, computers and other electronics from reciprocal tariffs, providing significant relief for major technology manufacturers like Apple and NVIDIA. This move, announced by US Customs and Border Protection, limits the impact of Trump’s 125% tariff on goods from China and baseline 10% global tariff affecting many countries.

The exclusions cover popular electronics, such as smartphones, laptops, hard drives and memory chips, typically not domestically produced. This decision is welcome news for consumers who feared rising prices due to potential tariffs. It also benefits major tech companies that have made substantial investment pledges in the US domestic markets to the Trump administration.

The tariff reprieve marks a noteworthy easing in Trump's trade conflict with China, effective retroactively from April 5. White House Press Secretary Karoline Leavitt emphasized that America must not depend upon China for critical technologies, highlighting the president's efforts to secure substantial investments from leading tech firms to bolster domestic manufacturing. 

However, the reprieve may be temporary. The exclusions stem from an initial order designed to prevent cumulative tariffs on specific sectors. While certain semiconductor manufacturing equipment is excluded, the announcement doesn’t cover the 20% tariff targeting China, aimed at addressing fentanyl shipments.

Analysts note that while this exemption is a win for the tech industry, uncertainty remains regarding future tariffs. The administration is poised to further investigate semiconductor imports, potentially leading to new tariffs in the coming weeks. As negotiations evolve, other countries may seek similar exceptions, complicating the trade landscape. 

Overall, while this announcement offers temporary relief, the future of tariffs remains uncertain as the administration continues its aggressive trade policies.

Weekly crypto highlight — Bitcoin has its role to play amid volatility

The concept of "safe haven" assets, traditionally represented by gold and government bonds, is being challenged in today’s volatile markets. For decades, investors relied on a classic portfolio structure of 60% equities and 40% bonds, with capital flowing into gold and government bonds during market downturns. These assets were seen as stable and reliable, ideal for safeguarding against volatility. However, in a world marked by constant market activity, geopolitical unrest and rising skepticism toward governments, the definition of a safe-haven asset may require reevaluation.

Enter Bitcoin, a highly volatile and often misunderstood asset. Despite skepticism from many investors, Bitcoin has significantly outperformed traditional safe-haven assets since the COVID-19 market lows, rising over 1,000% since March 2020. In contrast, long-duration bonds have dropped by 50%, and gold, while up 90% over five years, appears less impressive when adjusted for monetary inflation.

However, Bitcoin's status as a safe haven remains debated. During various risk-off events, it’s behaved more like a high-beta asset than a protective hedge. For instance, in March 2020, BTC fell 40%, while the Nasdaq-100 dropped 27%. But during the recent tariff-led sell-off in April 2025, Bitcoin held up better than the Nasdaq-100, suggesting emerging strength.

Non-sovereign assets like Bitcoin could thrive amid geopolitical tensions, given their decentralized, censorship-resistant nature. Traditional safe havens like gold and long-duration bonds are losing their luster, with gold’s gains overshadowed by monetary expansion and rising yields on Treasury bonds.

As Bitcoin continues to demonstrate resilience, it may challenge the notion of what constitutes a safe haven. While it may not fit the classic definition of a low-volatility asset, its durability, neutrality and liquidity make it increasingly relevant in today’s financial landscape. Thus, the traditional playbook for safe-haven assets may need an update.

Advanced

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Weekly Institutional Insights: Apple exemptions send crypto higher; Bitcoin’s role to challenge gold

Our weekly crypto derivatives analytics report delves into macro events; the current state of crypto and trading signals from spot trading volume; and futures, options and perpetual contracts.

After initially resisting US president Trump’s “Liberation Day” tariffs, crypto markets joined the global sell-off, with BTC falling from $87K on April 2 to a low of $74K. BTC’s term structure was inverted again before easing, while ETH’s term structure remained inverted. Meanwhile, short-term BTC volatility skews favored OTM puts, reflecting more bearish sentiment than during the Q1 2023 US banking crisis. However, volatility levels decreased after Trump announced a 90-day pause on tariffs (excluding those on China), leading to a significant rally in spot prices.

Please check out the report’s highlights.

BTC open interest declined substantially this week

Bybit’s largest perpetual swap markets initially remained stable during the broader market sell-off and tariff reactions, recovering from the dip after the 

. However, Trump’s recent announcement and subsequent pause of near-unilateral import tariffs significantly impacted these markets, leading to notable declines in open interest for BTC and ETH, which have fallen sharply from their late March highs.

After a brief period of positive funding rates, BTC’s perpetual swap market fluctuated between positive and negative sentiment, indicating traders were hesitant to commit to a strong directional move (similar to trends in options markets). This changed when President Trump announced a 90-day tariff relief, leading to positive jumps in funding rates. Altcoins displayed a similar pattern, with funding rates alternately positive and negative before rising following the tariff announcement.

During the April 6–7, 2025 sell-off, traders sought downside protection, as BTC's spot price fell to $75K in reaction to President Trump’s tariff announcement. The high volume of put options relative to calls indicates strong demand for this protection. Meanwhile, the US's reciprocal tariffs caused a significant inversion in BTC’s at-the-money volatility term structure, which, although it has eased, remains inverted. Additionally, there‘s a stronger skew toward OTM puts at short tenors as compared to the March 2023 US banking crisis. Put open interest has surged over the past week, reflecting extremely bearish sentiment for both the near and long terms.

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Bybit X Block Scholes crypto derivatives analytics report (Apr 9, 2025): Tariffs bring substantial volatility at a level similar to that of the Q1 2023 US banking crisis

In this tutorial, we’ll explore how you can stake and mint Lombard LBTCv on Bybit Web3 Staking with the Bybit Web3 Seed Phrase Wallet. 

In this tutorial, we’ll explore how you can stake BTC to mint 

Please note that in order to get started, you’ll first need to download the Bybit App on the Apple App Store or Google Play Store. 

How to stake and mint LBTCv with Bybit Web3 Staking

: Launch the Bybit App on your mobile device and tap on the 

: Deposit BTC into your preferred Bybit Web3 Seed Phrase Wallet BTC address.

: Once you’ve deposited BTC into your wallet address, tap on the 

drop-down and select the BTC address into which you’ve deposited BTC. 

: Input the exact amount of BTC you’d like to stake, and tap on 

 and sign the message to allow this exact amount of BTC to be staked.

 page. Ensure that the amount of BTC is exactly the same as you wish to stake, and tap on 

: Tap on the icon located at the upper-right corner of the screen to check your transaction history.

: You’ll receive LBTCv in three progressive stages:

: Once you’ve received LBTCv, you can check your points (updated every hour).

If you wish to stake more BTC, simply repeat Steps 7 through 12. However, please

that you won’t be able to stake more BTC as long as you haven’t yet received your LBTCv.

To redeem your LBTC, simply scroll down the 

button. Then, wait three days for the successful redemption of LBTC.

If you wish to cancel your redemption, you can do so within these three days.

Beginner

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How to stake and mint Lombard LBTCv with Bybit Web3 Staking

A Chainlink Spot ETF would bridge TradFi and crypto, offering a simplified way to gain exposure to LINK without the complexities of digital wallets or exchanges.

There's been a recent surge in spot ETF applications as investors look for ways to sidestep the rigid frameworks of traditional finance. The success of 

 — drawing billions in inflows — signals a major shift in the way institutions approach crypto investments. 

 networks, is in line for its own Spot ETF. The proposed fund promises a direct, hassle-free way to invest in Chainlink (LINK), eliminating the need to deal with complex 

 and exchanges. This article explores what a Chainlink Spot ETF is, how it would work, its current market impact and what its potential approval could mean for investors and the broader crypto landscape.

A Chainlink Spot ETF is an exchange-traded fund, backed by Chainlink (LINK) tokens, that would directly track the market price of LINK, a cryptocurrency powering decentralized oracle networks, thus enabling investors to gain exposure without directly holding the asset itself.

 (ETF) would offer investors direct exposure to LINK’s price movements without requiring the investors to handle the digital asset directly. 

Authorized Participants (APs), typically large financial institutions or market makers approved by the ETF issuer, play a central role in maintaining liquidity and aligning the ETF’s market price with its net asset value (NAV). These entities facilitate the creation and redemption of ETF shares by acquiring LINK tokens from exchanges or over-the-counter markets, and transferring them to the ETF’s custodian, a regulated entity responsible for secure storage. 

In exchange, the ETF issuer provides APs with newly created shares, which represent fractional ownership of the underlying assets. The shares are then introduced to secondary markets for investors to trade.

Creation, redemption and listing of shares

When redeeming shares, APs collect ETF shares from the market and return them to the issuer, receiving LINK tokens from the custodian in return. These tokens can be sold on the open market or held, depending upon the AP’s strategy. This creation-redemption process enables an 

 mechanism that stabilizes the ETF’s price, relative to its underlying assets. 

If the ETF is trading at a premium to NAV, APs create and sell shares to capitalize on the price difference, pushing the market price downward. Conversely, if the ETF is trading at a discount, APs redeem shares, reducing supply and driving the price upward. This dynamic ensures that the ETF’s market price remains closely tied to LINK’s actual value. 

Shares are listed on exchanges and traded like traditional stocks, integrating seamlessly into existing portfolios while offering potential tax efficiencies. The structure combines the accessibility of conventional investments with the benefits of cryptocurrency exposure, appealing to those seeking indirect participation in LINK’s market movements through a regulated and familiar framework. For investors, the ETF will simplify exposure to Chainlink by eliminating the need to manage 

 or wallets, or navigate complex crypto exchanges. 

The Hashdex Nasdaq Crypto Index US ETF, which includes Chainlink (LINK), has gained attention as a significant development in the crypto ETF space. This ETF, 

 in February 2025 and currently provides exposure to Bitcoin and Ethereum. 

 with the SEC on Mar 14, 2025 to expand the ETF's scope to include additional cryptocurrencies like LINK, ADA and SOL. This application remains the sole filing for a Spot Link ETF (as of Mar 20, 2025). While the SEC has approved the fund's initial structure, its response to the inclusion of Chainlink and other assets remains pending.

The SEC has historically been cautious about approving spot cryptocurrency ETFs, due to concerns about market manipulation and investor protection. However, the approval of multi-asset ETFs such as NCIQ signals a potential shift in regulatory attitudes. Market sentiment has been cautiously optimistic, with investors viewing these developments as a step toward broader acceptance and integration of cryptocurrencies into traditional financial systems. The timeline for the approval of Chainlink Spot ETFs remains uncertain, but growing institutional interest and regulatory advancements suggest progress in the near future.

Current impact of Chainlink Spot ETF applications on the crypto market

The anticipation surrounding Chainlink Spot ETF applications is clearly influencing market sentiment. Although Chainlink's price hasn’t yet surged dramatically, increased investor interest and speculation about potential ETF approvals have boosted overall optimism. 

Data from LINK and CoinGlass reveals that 

 have fallen to 138.8 million coins, the lowest since September 2024, indicating that investors are holding onto their tokens in self-custody wallets instead of selling. This trend reflects a growing belief that SEC approval for a Spot LINK ETF could substantially boost the token’s price. In addition, Chainlink’s role as one of the largest oracle networks and its innovative cross-chain interoperability protocol for asset tokenization further reinforce this positive outlook.

What will it mean if a Chainlink Spot ETF application is approved?

The approval of a Chainlink Spot ETF would have some significant implications for both the cryptocurrency market and traditional financial sectors, as follows.

If you’re looking to capture the market and trade LINK tokens, Bybit offers the 

A Chainlink Spot ETF would connect cryptocurrency with traditional finance by allowing investors to track LINK’s price without the complications of managing digital wallets. Specifically, it would keep the ETF's price in line with LINK’s market value, increase liquidity and attract institutional investors. Approval of a Chainlink Spot ETF could drive LINK's price higher, similar to trends seen with Bitcoin ETFs, and confirm Chainlink’s importance in the crypto ecosystem, encouraging its use across various industries. 

However, investors need to be cautious of potential short-term price swings and changes in regulations. Overall, this ETF would make crypto investing simpler for a broader audience, strengthening Chainlink’s position and supporting wider acceptance of blockchain technology in the financial world.

Intermediate

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Chainlink Spot ETF: A gateway to decentralized oracle investment

Altcoins

Privacy coins are cryptocurrencies that put particular emphasis on user animosity. In this article, we explain everything you need to know about them.

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Cryptocurrencies have been praised for the anonymity they offer through the decentralized transactions and other services that they offer. Ever since the creation of 

(BTC), various cryptocurrencies have been created which retain many of Bitcoin’s features.

However, though transactions are decentralized and somewhat anonymous in the blockchain of cryptocurrencies such as Bitcoin, they are not completely private. What this means is that every BTC used in a transaction can be traced to previous transactions. 

This reality gave birth to a new idea for cryptocurrencies with coins that are untraceable and completely private, called 

. In this article, we will explain what Privacy Coins are, how they work, and what their main characteristics are.

The term “privacy coins” refers to coins which do not give out information regarding a 

 transaction. One reason privacy coins were created is to take people’s right to privacy, and apply that to digital transactions or other decentralized digitized services.

A second rationale is that cash should be digitized, as well. Since cash cannot actually be traced unless it is deposited in a bank account and used to buy through that account, there is also a need for cash to be used in decentralized transactions. Hence, using privacy coins promotes 

technology with the functions of cash built in.

Another reason is fungibility: one coin is completely equal to another coin. For example, if a Bitcoin is used for an illegal transaction, that Bitcoin becomes “contaminated” since Bitcoin can be traced. And if you happen to be the owner of that tainted Bitcoin, it may become harder for you to sell it because many people won’t accept Bitcoin with such a history. Privacy coins, on the other hand, are untraceable. Therefore, each coin is equal to any other, no matter the history of the coin — even if it’s been used for illegal transactions.

The two key components of privacy coins are anonymity and untraceability.

Anonymity hides the user’s private information (identity) in every decentralized transaction or service. Untraceability makes the transaction information untraceable from third parties. Because of these two components, privacy coins are banned in some countries, such as South Korea. Though the nature of privacy coins seems mysterious, they are beginning to grow in value as well as in terms of community.

Some of the most prominent privacy coins include 

Before examining each of these currencies to see what makes them unique, let’s take a brief look at how privacy coins work.

Just like other cryptocurrencies, privacy coins work through blockchain technology. Every transaction is decentralized, meaning that no third party is required to regulate the transactions. 

 part of the network. In order to verify these transactions, nodes need to solve complex mathematical problems that prove that the transaction is valid. After the transaction is confirmed, the information is added to the blockchain, and other nodes update their information.

As a consensus mechanism, privacy coins use 

(PoS), or a hybrid version of both PoW and PoS. Each privacy coin may differ in terms of functionality when it comes to what makes it different from other cryptocurrencies — in other words, what makes it “private.”

Here are the main strategies that privacy coins use.

As the name suggests, stealth addresses mean privacy. Every time you receive a coin, a new address is created, making it impossible for others to use your address as a destination in the future. This is one of the simplest ways to ensure privacy in the blockchain.

Some privacy coins use a more complex model of stealth address. This is known as the dual-key stealth address protocol (DKSAP). Each user on this blockchain gets a hold of a private view key, private spend key and a recipient address. The recipient address is the only thing that is visible to others during a transaction. However, the coins you receive do not go to this address, but rather to a different, private, and unique address in the blockchain. The private send key is used to send cryptocurrencies. The private view key is used to look at the funds that are being received.

Ring signatures are another way to ensure privacy. When you sign a transaction with a private key, others can easily link that signature with your address. Ring signatures prevent that. Through a “ring” of random signatures that cosign the transaction with you, it becomes harder for others to link the transaction with your address because there are many signatures taking place. The larger the ring of signatures, the more private your address becomes.

In addition to ring signatures, one way to ensure more privacy based on their model is Ring Confidential Transactions (RingCTs). In the same way that the address becomes private employing ring signatures, the amount of money involved in the transaction is also hidden.

 method whereby different transactions join together into a single and larger transaction. Then, a custodian using a never-before-used address takes the coins and distributes them to the desired recipients, as initiated by the senders.

Visual representation of CoinJoin. Source: 

Zero-Knowledge Succinct Non-Interactive Argument of Knowledge (zk-SNARK) is a way of proving or verifying a transaction in the blockchain without requiring transaction details such as amount, sender or recipient address. In this way, transaction information remains private. Moreover, this model of verifying transactions has proved useful in terms of blockchain scalability. 

Mimblewimble is a relatively new way of ensuring privacy. It also provides a new model of the blockchain, and many cryptocurrencies are beginning to implement it in their own blockchains. Each block of information consists of the outputs, inputs and signature information. The transaction is simply verified if the inputs equal the outputs. This way, Mimblewimble maintains privacy in the blockchain in a simple and efficient way.

 form of encryption of your IP addresses through many various layers of encryption, resembling the layers of an onion — hence the name “onion routing.”

So far, we’ve discussed the key features of privacy coins that increase the level of privacy in cryptocurrencies. But as with every other cryptocurrency, privacy coins have their pros and cons.

That said, what are some examples of privacy coins with the characteristics we’ve mentioned so far? 

One of the biggest privacy coins in the crypto market, Monero uses Proof-of-Work (PoW) as a consensus mechanism. In terms of privacy models, Monero uses both RingCT and Stealth Addresses.

The IRS has offered a bounty prize of $625k for any entity able to solve the privacy technology of Monero. According to 

, Chainalysis and Integra FEC are two firms that have managed to come with a solution and collect the bounty.

Price of Monero throughout the years. Source: 

Dash is another privacy coin that has grown in recent years. 

 Bitcoin fork, meaning that many of its components are the same. The difference is that Dash consists of a hybrid version using both PoW and PoS. 

Dash uses PrivateSend and InstaSend on its transactions. Every “round” of PrivateSend is the equivalent of performing one CoinJoin transaction in order to distribute coins to one recipient. InstaSend is a feature of Dash that makes transactions much faster when compared to those using Bitcoin.

Price of Dash throughout the years. Source: 

Zcash (ZEC) is also a Bitcoin fork. It uses PoW as a consensus mechanism. Zcash uses zk-SNARK as a privacy mechanism, which keeps the amount, sender, and recipient address private from other people not involved in the transaction. A feature that distinguishes Zcash is that privacy is optional, and users can choose which transactions to make private and which ones not.

Price of Zcash throughout the years. Source: 

Verge (XVG) has also proved to be efficient in terms of maintaining privacy. Originally named DogecoinDark in 2014, the network was rebranded into Verge two years later. Verge uses Tor (or onion routing) as a privacy mechanism. With Verge, the IP addresses of users are encrypted using several layers that make it practically impossible for others to decrypt them.

Price of Verge throughout the years. Source: 

Beam is a privacy coin that uses Mimblewimble as a privacy mechanism. This model of privacy is relatively new, and is simpler compared to other blockchains. Each block consists of outputs, inputs and signature information, while keeping other information private. Beam also 

 Dandelion ++ as a mechanism to promote anonymity.

Price of Beam throughout the years. Source: 

In addition to Beam, Grin uses Mimblewimble to ensure privacy in the blockchain. Grin is one of the best privacy coins in terms of scalability.

When it comes to mining, Grin differs from other cryptocurrencies because the rate of reward is the same for everyone. It is expected to remain the same in the future, meaning that a miner today may receive a reward equivalent to that of a miner 50 years from now.

Price of Grin throughout the years. Source: 

What can we conclude — after everything we’ve covered so far?

Privacy is an important aspect of cryptocurrencies because of the vast number of hackers that are looking for potential slips from users. Privacy coins have offered a tantalizing glimpse of complete privacy and untraceability. 

The dark side of privacy coins is that they’ve been used for tax evasion, money laundering and the purchase of various illicit products. Perhaps programmers can find a way to maintain complete privacy while also prohibiting the use of privacy coins for illegal activities. Even though it may seem impossible for now, the future brightly beckons.

So, with the new found knowledge in crypto, why not sign up to Bybit?

What Are Privacy Coins?

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