Crypto.com CEO Kris Marszalek expects a strong fourth quarter for digital assets if the Federal Reserve (Fed) cuts interest rates at its September 17 meeting, citing improved market conditions and increased liquidity for risk assets.
The prediction comes as CME futures markets price a 90% probability of rate cuts following Fed Chair Jerome Powell’s dovish speech at Jackson Hole, while crypto markets position for extended rallies amid anticipated monetary easing.
According to him, top investment banks have approached the exchange regarding a potential IPO, but it remains privately held, enjoying operational flexibility while maintaining a solid balance sheet.
In an interview with Bloomberg, Marszalek revealed that Crypto.com generated $1.5 billion in revenue last year, with $1 billion in gross profit, predicting better performance in 2025 driven by lower borrowing costs and increased institutional adoption.
The company reported $300 million in profitability last year after reinvesting $700 million, undoubtedly making it one of the most profitable crypto exchanges, considering public markets. The exchange announced a partnership with Trump Media and Technology Group on August 26, establishing a treasury strategy for its native Cronos token.
Marszalek confirmed Crypto.com “has the numbers” for a public listing after multiple approaches from leading investment banks, but emphasized no decisions have been made.
The CEO addressed potential conflict of interest concerns by noting that Trump’s assets are held in blind trusts, while Crypto.com operates as an independent, publicly traded company.
Marszalek described the partnership as supporting the administration’s ambitious crypto agenda. He emphasized Crypto.com’s role in executing multibillion-dollar Bitcoin strategies and providing infrastructure for various crypto initiatives.
The collaboration extends beyond treasury management to include ETF development, payments infrastructure, and subscription services as part of broader Trump administration crypto initiatives.
The Fed Chair acknowledged labor market weakening, citing July’s disappointing 73,000 payroll additions and downward revisions to previous months. Earlier last month, Treasury Secretary Scott Bessent called for 50 basis point cuts following “incredible” inflation data, which is a shift from the Fed’s hawkish stance.
Powell’s Jackson Hole remarks triggered widespread forecast revisions, with Morgan Stanley, Barclays, BNP Paribas, and Deutsche Bank now expecting September rate cuts.
Amid all these, the looming replacement of the Fed Chair has sparked some debates. European Central Bank President Christine Lagarde warned that Trump’s undermining of Fed independence would create “very serious danger” for the global economy.
She emphasized that political control over monetary policy would have “very worrying” implications for global economic stability.
The blockchain analytics firm cited that Ethereum’s technical indicators suggest caution, despite its strong price performance, with short-term MVRV nearing 15% and long-term readings at 58.5%.
