Fed Split Deepens as Markets Shift, Crypto Rules Change, and Global Risks Rise | The Integrity Ledger

Welcome to The Integrity Ledger — today’s edition uncovers a fractured Fed, a tech-market recoil, new crypto rules reshaping trading, and fresh corruption crackdowns stretching from Islamabad to Beijing.

The Federal Reserve voted to cut interest rates by 25 basis points for the third consecutive meeting, but the decision revealed deep splits among policymakers. Four members registered soft dissents favoring higher year-end rates, two voted against any cut, while one supported a larger half-point reduction. Limited data availability, including an outdated jobs report due to the government shutdown, complicated the decision-making process.

The Fed's internal disagreements highlight ongoing uncertainty over inflation risks and labor market strength, signaling potential volatility in monetary policy. Investors and businesses should prepare for cautious Fed actions as economic data gradually returns amid persistent inflation concerns.

The New York Times

The Dow Jones Industrial Average rose 0.26% to 48,829.03, approaching a new record as it extended its winning streak. Meanwhile, the S&P 500 and Nasdaq fell 0.34% and 0.65%, respectively, pressured by a tech sector selloff following Broadcom’s earnings miss on AI revenue visibility. Gold surged 1.33% to $4,370.5 and silver reached an all-time high of $64.62 amid renewed safe-haven demand after the Federal Reserve's third rate cut of 2025.

The Fed's rate cut bolstered cyclical stocks while triggering a rotation away from overvalued tech and AI shares, influencing portfolio reallocations. Precious metals' historic rallies suggest investors are seeking protection against volatility and dollar weakness, signaling cautious sentiment heading into 2026.

The Economic Times

Katapult Holdings stock jumped more than 30% in premarket trading after announcing an all-stock merger with The Aaron’s Company and CCF Holdings. The combined entity is expected to generate over $4 billion in last twelve months revenue and about $450 million in adjusted EBITDA by Q3 2025. Katapult shareholders will hold 6% of the merged company, which will maintain approximately 3,000 retail locations and serve over seven million customers.

The merger enhances Katapult’s scale, combining its technology with Aaron’s extensive retail presence and CCF’s financial services to underbanked customers. Investors can anticipate improved unit economics and diversified revenue streams, positioning the company for sustained growth with double-digit EBITDA margins potential. The transaction, expected to close in H1 2026, will likely strengthen competitive positioning in the lease-to-own and alternative financing markets.

Asianet Newsable

The U.S. Commodity Futures Trading Commission (CFTC) has rescinded its 2020 'actual delivery' guidance that classified many crypto spot transactions as futures contracts if not delivered within 28 days. This removal allows regulated U.S. exchanges to offer leveraged products using Bitcoin, Ethereum, and USDC as collateral, fostering safer domestic trading and encouraging innovation under a technology-neutral commodity framework.

By eliminating regulatory barriers, the CFTC paves the way for increased domestic crypto trading and investor protection, reducing reliance on offshore platforms. This shift supports development of competitive, regulated spot and derivatives markets in the U.S., potentially boosting market integrity and consumer confidence in digital asset products.

Bitcoin Ethereum News

Google will pay $700 million as part of a class-action settlement resolving claims of anticompetitive practices in its Google Play Store between August 2016 and September 2023. Most affected U.S. users who purchased apps or in-app items will receive automatic payments via PayPal or Venmo, with a supplemental claims process for those who changed their contact details. The settlement awaits final court approval expected next spring.

This settlement underscores increased scrutiny of app store policies and their impact on consumer costs. It provides direct financial relief to millions of Android users while signaling pressure on dominant platforms to enhance pricing transparency and competition. Businesses and developers should closely watch potential regulatory and legal developments arising from such cases.

The Economic Times

Point-of-care AI diagnostics, valued at $53 billion in 2024, are expected to nearly double by 2033, driven by systems delivering lab-grade results bedside. Ventripoint Diagnostics recently partnered with Nisg̱a'a Valley Health Authority to provide advanced cardiac imaging to remote Indigenous communities through its VMS+ 3D ultrasound technology. Industry analysts project AI could cut healthcare spending by $200 billion to $360 billion annually, with hospitals capturing up to $120 billion in savings from improved operations.

The shift to AI diagnostics enables hospitals to reduce costly MRI scans and address financial pressures by leveraging existing infrastructure. Technologies like Ventripoint's hub-and-spoke model support remote care access, advancing health equity for underserved populations. This growing adoption signals significant potential for efficiency gains and recurring revenue models in healthcare AI.

Benzinga

In December 2025, the React2Shell vulnerability (CVE-2025-55182) was disclosed, exposing a critical unauthenticated remote code execution flaw in React Server Components (RSC). Criminal IP's analysis identified approximately 110,000 RSC-enabled assets in the US alone potentially vulnerable to exploitation. The vulnerability affects multiple popular frameworks including Next.js and RedwoodJS, with official patches available in React-server-dom packages version 19.0.1 and later.

Organizations must urgently update React-related packages and verify patch integration across all frameworks to mitigate risk. Minimizing external exposure of RSC endpoints and leveraging intelligence platforms like Criminal IP for real-time monitoring can enhance detection and defense against automated attacks exploiting this critical flaw.

Benzinga

Rent the Runway announced a 15.4% year-over-year revenue increase to $87.6 million in Q3 2025, driven by a 12.4% rise in ending active subscribers to 148,916. The company completed a transformative recapitalization, reducing debt to $120 million and extending maturity to 2029, while receiving $32.5 million in new equity capital. Gross margin declined to 29.6% due to inventory investments, but net income swung to a $76.5 million profit, boosted by a $96.3 million gain on debt restructuring.

The recapitalization enhances Rent the Runway's financial flexibility, positioning it for sustained subscriber growth and operational expansion. Increased inventory and community-driven strategies aim to improve customer retention and brand awareness. Investors should monitor the company’s margin pressure from inventory investments alongside its trajectory toward improved profitability and cash flow generation.

Benzinga

Senator Rana Mahmoodul Hassan accused the Foreign Office of daily corruption involving billions of rupees in the attestation of documents required for international recognition. During a Senate Standing Committee on Foreign Affairs meeting, members called for digitisation of the attestation process and raised concerns over inefficiencies and alleged misconduct within the ministry.

The corruption claims highlight urgent need for process reform and transparency in document attestation at the Foreign Office. Digitisation and delegation of authority to local bodies could reduce corruption and improve services for overseas Pakistanis, easing bureaucratic hurdles significantly.

Dawn

Do Kwon, former crypto mogul and Terraform Labs co-founder, received a 15-year prison sentence following a $40 billion stablecoin collapse that devastated investors worldwide. The Manhattan federal court characterized the fraud as epic in scale, with up to one million victims losing savings, charitable funds, and financial stability. Kwon pleaded guilty in August to charges linked to his firm’s TerraUSD stablecoin, which was falsely portrayed as a stable investment but secretly propped up by cash infusions.

The ruling underscores increasing regulatory and legal consequences for crypto fraud at scale, emphasizing protections for retail investors and charities. It may prompt greater scrutiny of stablecoin projects and reinforce calls for clearer oversight in the cryptocurrency ecosystem.

CTV News

The US seizure of an oil tanker off Venezuela’s coast highlights the country’s heavy dependence on oil exports, which fund imports, public services, and security under Nicolás Maduro. Venezuela’s oil production is weakened by sanctions and mismanagement, making tanker seizures a potent economic threat that could disrupt food, medicine, and overall stability. Despite large reserves, reduced export revenue deepens economic vulnerability amid shifting trade routes and US-China market dynamics.

Money Control

Retired Chinese official Li Chuanliang fled to the U.S. for asylum after being accused of corruption and criticized Beijing. The Chinese government used Silicon Valley-originated surveillance technology to monitor Li, his family, and associates under operations known as 'Fox Hunt' and 'Sky Net,' aimed at repatriating fugitives worldwide. Li denies charges and continues to expose government abuses despite threats and harassment.

Apnews

India's PLI scheme has attracted Rs 2 lakh crore in investments across 14 sectors, generating over 12.6 lakh jobs and boosting production to Rs 18.7 lakh crore by September 2025. Significant sector gains include telecom, pharmaceuticals, and white goods, enhancing export resilience despite global challenges. Government initiatives like Export Promotion Mission and Bharat Trade Net support MSME exporters and infrastructure.

Asianet Newsable

Stay sharp, stay ethical, and keep following the money.
— The Integrity Ledger Team