Sabal Law Week in Review: November 14–20, 2025
Catch up on this week’s key legal and regulatory updates impacting startups, funds, and emerging tech. Sabal Law breaks it down:
Traditional Finance
Chaos Industries funding. Defense-tech company Chaos Industries raised $510M at $4.5B valuation from Valor Equity, 8VC, and Accel to scale drone- and missile-detection systems.
LP secondaries surge. LP-led secondary volume hit $56B in H1 2025 (up 40% YoY), driven by first-time sellers seeking liquidity amid extended hold periods and weak exit markets.
Bluesky Eagle fake advisers. SEC charged six purported investment advisers for falsely claiming billions in AUM and fabricating office locations in Forms ADV.
Cato disgorgement challenge. Cato Institute and others urge Supreme Court to review Ninth Circuit ruling allowing SEC disgorgement without proof of investor pecuniary harm.
CVC private wealth push. CVC grew individual-investor AUM 69% to €3B in Q3 and plans first U.S. private-wealth product in early 2026.
DigitalBridge closes $11.7B fund. DigitalBridge Partners III closed oversubscribed with $7.2B in fund commitments plus $4.5B co-invest, targeting digital infrastructure.
SEC 2026 exam priorities. SEC Division of Examinations dropped standalone crypto focus from 2026 priorities and will emphasize fiduciary duty, custody, and new data-breach rules.
Digital Assets
Grayscale IPO filing. Grayscale Investments filed for NYSE-listed IPO under ticker GRAY, advised by Davis Polk and Skadden, as the latest major crypto firm to pursue public markets.
Silvergate bankruptcy plan approved. Delaware judge greenlighted Silvergate Capital’s Chapter 11 plan, reinstating common shareholders and fully repaying subordinated notes and unsecured claims.
FASB crypto transfer project. FASB will decide whether to add guidance on accounting for crypto-asset transfers, potentially expanding its landmark 2023 rules.
FDIC tokenized deposits. Acting FDIC Chair Travis Hill confirmed the agency is drafting guidance affirming tokenized deposits remain insured deposits.
BNY money-market fund for stablecoins. BNY launched a new money-market fund designed for stablecoin issuers to park reserves.
OCC bank crypto fee authority. OCC Interpretive Letter 1186 confirms national banks may hold and pay crypto network “gas fees” as principal for permissible activities.
Kraken $20B valuation & IPO. Kraken raised $800M (including $200M from Citadel Securities) at $20B and confidentially filed for a U.S. IPO.
Nasdaq tokenized settlement proposal. Nasdaq filed rule to allow optional blockchain settlement of equities on existing T+1 basis while keeping same CUSIP and full Reg NMS protections.
White House crypto foreign accounts. Administration reviewing Treasury proposal to implement OECD CARF for automatic exchange of U.S. persons’ offshore crypto holdings starting 2027.
Sports Investing
San Diego Padres exploring sale. Padres ownership launched a sale process amid ongoing probate lawsuit by late owner Peter Seidler’s widow over control and trust assets.
Goldman acquires Excel Sports. Goldman Sachs Alternatives took majority stake in Excel Sports Management (repping Tiger Woods, Caitlin Clark, Nikola Jokic) in a deal valuing the agency near $1B.
Atlético de Madrid majority sale. Apollo Sports Capital will become majority owner of Atlético de Madrid; Miguel Ángel Gil and Enrique Cerezo remain CEO and President.
Sapphire Sport rebrands. Sapphire Sport spun out and rebranded as independent 359 Capital with $300M AUM focused on sports, media, and entertainment.
VestGen Athlete platform. VestGen Wealth launched dedicated wealth-management service for pro and NIL athletes in partnership with Athlete Collective.
UFC-Polymarket partnership. UFC and Polymarket launched real-time fan prediction scoreboard integrated into live broadcasts and venue displays.
Prop trading in prediction markets. Acuiti report shows nearly half of global prop trading firms are evaluating or already trading prediction markets, with strong U.S. adoption and growing institutional interest.
ICYMI
Hedge funds enter private credit markets. Point72, Millennium, Jain Global, and others are raising dedicated private-credit and illiquid strategies as public-market growth slows.
Alts democratization. Advisors increasingly use interval/evergreen funds to bring private equity and credit to wealth clients despite liquidity and tax complexities.
Evaluating Nasdaq tokenization rule. Nasdaq’s proposed rule would enable optional blockchain settlement of equities while preserving Reg NMS and existing investor protections.
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