The End of the Rivalry: Wall Street Goes All-In on Crypto

TL;DR

• Kraken co-CEO David Ripley declared at Axios AM Live that "nearly all traditional financial services companies are gonna offer crypto, bitcoin, ethereum to their customers" — calling this "a big story of 2026"
• Nasdaq CFO Sarah Youngwood confirmed U. S. markets are deep enough to absorb the coming wave of trillion-dollar IPOs (SpaceX, OpenAI, Anthropic) without rewriting rules
• Coinbase's head of institutional strategy told CNBC that both retail and institutional investors are now signalling crypto is a long-term asset to hold — not merely a speculative trade
• Coinbase CEO Brian Armstrong told Politico the landmark crypto regulation bill will be "good for the banks" — a remarkable statement from a crypto native
• Nasdaq is pursuing extended-hours trading; crypto markets already operate 24/7 — the convergence is accelerating
• Ripley identified tokenized public equities as the next major frontier beyond stablecoins

The Kraken-Axios Declaration

At an Axios AM Live event in Washington, D. C. on 9 June 2026, Kraken co-CEO David Ripley sat alongside Nasdaq CFO Sarah Youngwood and delivered what may be remembered as the defining soundbite of the year: the long-running rivalry between Wall Street and crypto is over. Financial institutions are now racing — not walking — to meet growing demand for digital assets from retail investors, institutions, and wealthy clients.

Ripley's thesis rests on a simple observation: stablecoins proved the model. Investors have demonstrated they are willing to hold blockchain-based versions of traditional assets. The next frontier, he argued, is tokenized public equities. "It's not going to end there. … The next most significant place where we see tokenized equity or tokenized assets will be public equities."¹

The Convergence Thesis

Axios framed the moment as a "collision of mega-trends" — AI, stablecoins, tokenization, and extended-hours trading — all pushing financial markets toward a more global, digital, and always-on future. Nasdaq is pursuing extended-hours trading; crypto markets already operate 24/7. Tokenization is expanding the types of assets investors can own.

Nasdaq CFO Sarah Youngwood reinforced the institutional readiness, stating that U. S. markets are deep enough to absorb the coming wave of trillion-dollar IPOs — SpaceX, OpenAI, and Anthropic — without rewriting the rules. The system is prepared for "both those very small companies" being created by AI and "those larger companies" that emerge from them.¹

Coinbase: Crypto Is a Long-Term Institutional Hold

John D'Agostino, Coinbase's head of institutional strategy, told CNBC on 8 June that both retail and institutional investors are now signalling that crypto is a long-term asset to hold — not merely a speculative trade. This marks a fundamental shift in how traditional finance views the asset class.²

The Political Dimension

Even the political landscape is shifting. Coinbase CEO Brian Armstrong told Politico on 4 June that he believes the landmark crypto regulation bill working through Congress will be "good for the banks" — a remarkable statement from a crypto native. Armstrong expressed respect for Jamie Dimon despite Dimon's personal attacks, signalling a maturing industry ready to work within regulatory frameworks rather than against them.³

Investment Implications

The convergence of crypto and traditional finance blurs the lines between asset classes. Tokenized equities, tokenized deposits, and stablecoins are creating hybrid instruments that defy traditional categorisation. For institutional investors, the signal is clear: digital asset exposure is no longer an alternative allocation — it is becoming a core component of the financial system.

Sources