September Monthly Review 2026

This monthly review examines the key developments in the cryptocurrency market during September. Overall, September was a positive but volatile month. Bitcoin rose above $87,000 during the month, while Ethereum climbed close to $2,800, although both pulled back from their local highs during the final week.

The key themes in September included strengthening institutional investment flows, uncertainty surrounding the progress of U.S. crypto regulation, the rapid development of tokenized securities, and the continued convergence of traditional exchanges and crypto markets. There were also several significant developments in stablecoin infrastructure.

              
Crypto Market Rally Continued in September
The strong performance of the crypto market continued in September, and overall market sentiment remained clearly positive. The month saw periods of significant volatility, but selling pressure proved short-lived and buying interest quickly returned to the market.
Bitcoin continued its upward trend and climbed above $87,000 at its highest point, reaching its strongest level in several months. The price action showed that demand remained strong even after the sharp rally seen in August. Although bitcoin briefly pulled back from its highs, it maintained clearly higher price levels than at the beginning of the month.
Ethereum also performed strongly and climbed close to $2,800 at its highest point. In addition to the overall positive market environment, Ethereum benefited from growing institutional interest and its strengthening position as a key platform for tokenization and other blockchain-based financial infrastructure.
Overall, September reinforced the positive trend in the crypto market. In particular, stronger institutional investment flows, increased risk appetite and growing interest in tokenized financial products supported the market. The market’s ability to maintain elevated price levels following August’s strong rally suggested that demand behind the upward trend remained robust.
Billions of Dollars Flowed into Bitcoin ETFs
Investment flows into U.S. spot bitcoin ETFs fluctuated significantly during September. The beginning of the month saw both large net inflows and notable redemption days.
A clear shift occurred later in the month. During the week of September 21–25, spot bitcoin ETFs recorded approximately $2.4 billion in total net inflows. On Monday, September 21 alone, net inflows reached approximately $999 million, followed by around $715 million the next day.
Strong ETF inflows were one of the key factors behind bitcoin’s rise during the second half of September. Capital entering the crypto market through ETFs is significant because these products provide traditional investors with an easy way to gain exposure to bitcoin without directly holding the cryptocurrency.
September once again demonstrated how quickly institutional demand can shift. While capital was still flowing out of ETF products around the middle of the month, only a few days later the market experienced one of the strongest periods of inflows seen during the year.
CLARITY Act Failed to Secure Enough Support in the Senate
One of the most closely watched developments in U.S. crypto regulation during September was the Senate’s consideration of the Digital Asset Market Clarity Act, commonly known as the CLARITY Act.
The bill aims to clarify, among other things, the division of regulatory responsibilities between the SEC and the CFTC and to establish a more consistent regulatory framework for the U.S. crypto market.
A procedural vote to advance consideration of the bill received 49 votes in favor and 50 against. A total of 60 votes would have been required for the bill to move forward, meaning it did not advance to the next stage.
The outcome represented a setback for a regulatory reform that the crypto industry has supported for years. At the same time, it showed that although the United States has made progress in several areas of crypto regulation in recent years, passing comprehensive market structure legislation remains politically challenging.
SEC Opened the Door to Trading Tokenized Stocks
Although the CLARITY Act did not advance in the Senate, the U.S. Securities and Exchange Commission made a significant decision related to tokenization just two days later.
On September 17, the SEC announced a so-called Innovation Exemption framework that, under certain conditions, allows tokenized versions of stocks listed on U.S. exchanges to be traded on blockchain-based marketplaces.
One of the key requirements is that holders of tokenized shares must have equivalent rights to holders of traditional shares. In addition, the smart contracts used for trading tokenized stocks must be publicly auditable.
The SEC’s decision represents an important step in the development of tokenization, as it provides a clearer regulatory framework for trading U.S.-listed stocks through blockchain-based infrastructure.
Nasdaq Invested $100 Million in Kraken’s Parent Company
The convergence of traditional exchanges and crypto markets was particularly evident in September through the cooperation between Nasdaq and Kraken. Nasdaq announced on September 10 that it would invest $100 million in Payward, Kraken’s parent company.
The investment is part of a broader collaboration between the companies focused on tokenized equities and the development of around-the-clock markets. Nasdaq and Payward are working together on the Nasdaq Equity Tokens system, known as NETs.
The goal is to enable the trading and settlement of tokenized stocks outside the normal trading hours of traditional exchanges. According to current plans, the products are expected to be introduced to Kraken’s xStocks infrastructure in 2027.
The partnership is a concrete example of how traditional financial market infrastructure and blockchain-based trading systems are gradually converging.
NYSE and Blockchain.com Explore 24/7 Trading of Tokenized Stocks
The New York Stock Exchange, or NYSE, also announced a new tokenization-related initiative in September. NYSE Group and Blockchain.com entered into a partnership aimed at exploring the offering of tokenized versions of U.S.-listed stocks and ETFs to international investors.
One of the objectives of the collaboration is to enable tokenized securities to be traded around the clock, seven days a week. The companies also plan to integrate equity and crypto market data across their respective systems.
The initiatives announced by Nasdaq, NYSE and the SEC during September together formed one of the month’s most significant broader trends. Tokenization is no longer limited to individual crypto companies or experimental projects, as some of the world’s largest exchanges are now actively building infrastructure for blockchain-based trading.
Circle Launched the Arc Blockchain Mainnet
One of the most significant developments in the stablecoin market during September was the launch of the mainnet of Arc, a new blockchain developed by Circle, the issuer of USDC, on September 16.
Arc is a Layer 1 blockchain designed specifically for financial markets, payments, stablecoins and tokenized assets. Transaction fees on the network can be paid in USDC, and Circle says the network provides extremely fast transaction speed.
The founding validators of the Arc network include BlackRock, DTCC, ICE, Mastercard, Visa, Standard Chartered and Galaxy, among others. The participation of such a broad group of traditional financial institutions in blockchain infrastructure reflects the growing importance of stablecoins and tokenized financial instruments.
Binance Invested $100 Million in Circle
Circle’s position in the stablecoin market was further strengthened in September by a new strategic investment. Binance announced on September 22 that it had invested $100 million in Circle and extended the companies’ USDC partnership with a new five-year agreement.
The partnership aims to increase the use of USDC across Binance’s global platform, particularly in emerging markets. Circle is responsible for the technical infrastructure behind USDC, while Binance aims to expand the distribution and use of the stablecoin across its services.
The launch of Circle’s Arc network and Binance’s investment during the same month highlight the growing importance of stablecoins as part of the infrastructure connecting crypto markets with the traditional financial system.
Summary
September continued the positive momentum that began in the crypto market in August, although price movements were clearly more volatile. Bitcoin climbed above $87,000 at its highest point during the month, while Ethereum rose close to $2,800. Strong inflows into spot bitcoin ETFs during the second half of the month were an important factor supporting the market.
However, many of the month’s most significant developments were increasingly related to crypto market infrastructure. The SEC opened the door to trading tokenized U.S. stocks, Nasdaq invested in Kraken’s parent company, NYSE began exploring tokenized securities together with Blockchain.com, and Circle launched its Arc blockchain for institutional use.
At the same time, the CLARITY Act’s failure to advance in the Senate showed that building a comprehensive regulatory framework for the U.S. crypto market remains far from straightforward.
Overall, September reinforced the broader trend of cryptocurrencies, stablecoins and tokenized securities becoming increasingly integrated into the traditional financial system. Market attention is increasingly shifting beyond individual cryptocurrencies toward the question of what blockchain-based financial infrastructure will look like in the years ahead.