FirstFT: Crypto market’s $1tn sell-off

Good morning and welcome. In right now’s e-newsletter:

• Crypto sell-off slashes $1tn from market worth

• HSBC board at odds over candidates for chair

• Lawrence Summers to reduce public roles after Epstein ties

• Overhaul at Larry Ellison’s science initiative in Oxford

We start with the cryptocurrency market, the place greater than $1tn has been worn out prior to now six weeks as considerations about lofty tech valuations and the trail of US rates of interest have fuelled a sell-off in speculative property.

What we all know: The worth of 18,000 cash tracked by information supplier CoinGecko has tumbled 25 per cent for the reason that peak final month, wiping about $1.1tn from their mixed capitalisation.

Bitcoin has additionally shed 1 / 4 of its worth over the identical interval, leaving the world’s largest cryptocurrency buying and selling at its lowest degree since April and flat for the yr.

Losses for merchants in giant leveraged bets over the previous month have accelerated the tempo of the promoting, analysts say.

Market flip: The decline marks a stark reversal for the digital property, which had beforehand soared to document highs on President Donald Trump’s pledge to make the US the world’s “bitcoin superpower”. Read the full story.

Right here’s what else we’re conserving tabs on right now:

• Germany: Chancellor Friedrich Merz and France’s President Emmanuel Macron co-host the European Digital Sovereignty summit in Berlin.

• Spain and Ukraine: Prime Minister Pedro Sánchez hosts President Volodymyr Zelenskyy in Madrid.

• US-Saudi ties: President Donald Trump hosts Crown Prince Mohammed bin Salman on the White Home.

• Outcomes: Bertelsmann, House Depot, Imperial Manufacturers, Klarna and RTL report earnings.

5 extra prime tales

1. Unique: HSBC’s board is at odds over who ought to progress as a candidate to develop into its subsequent chair, as Europe’s largest lender tries to discover a substitute for Mark Tucker following his shock exit this yr. Learn concerning the prime contenders for one among banking’s most challenging roles.

2. Unique: Former US Treasury secretary Lawrence Summers stated he would step again from public commitments after paperwork confirmed he requested late little one intercourse offender Jeffrey Epstein for recommendation on pursuing an extramarital relationship with a feminine mentee. Read the full report.

3. Unique: Larry Ellison’s £10bn science initiative in Oxford is present process an overhaul, because the tech billionaire scales again formidable plans to create a world-leading analysis institute within the UK. The cancellation of key programmes has led to a leadership rift and staff departures.

4. A number of massive European defence corporations are making ready to drift on public markets because the business seeks to capitalise on enthusiasm that has sparked a rally within the sector this yr. Listed below are the businesses exploring initial public offerings.

5. Nigel Farage’s Reform UK will right now define plans to save lots of £25bn a yr in an alternate Funds by specializing in slicing help to EU residents dwelling within the nation and assist to a number of the poorest folks on the planet. Read more on the proposals.

Be a part of FT consultants on November 28 at 1pm London time to analyse how UK chancellor Rachel Reeves’ Autumn Funds will have an effect on the economic system. Subscribers can here for this unique occasion.

Information in-depth

Crumbling bridges, mismatched rail gauges and labyrinthine paperwork stay important hurdles to shifting navy property throughout Europe. Transporting troops from ports within the west to nations bordering Russia or Ukraine would take virtually seven weeks. Right here is how Nato is addressing Europe’s “military mobility” problem.

We’re additionally studying . . . 

• Nineteen Nineties nostalgia: Enormous enhancements within the many years since are a reminder that even actually knotty problems can get better, writes Sarah O’Connor.

• ‘Infernal circle’: The Labour authorities must resolve and clarify what sort of immigration it desires for the UK.

• G20 makeover: Johannesburg’s beautification marketing campaign for this week’s summit has left the dysfunctional metropolis’s residents angry, particularly over the R194mn ($11mn) put aside for internet hosting the occasion.

• Anybody for tea?: The revival of the traditional British model Mr Kipling, invented by an advert company within the Sixties, has led to Premier Foods’ recovery, writes John Gapper.

Chart of the day

China’s GDP figures have drawn scrutiny for years however that has intensified amid a property slowdown and decreased transparency. The unreliable information has pushed economists and researchers to look for proxy measures for the economic system.

Take a break from the information . . . 

In Paris, a espresso revolution is percolating. In most neighbourhoods, you’ll find micro-roasteries and outlets championing state-of-the-art brewing methods. Meet the pioneers reimagining the French capital’s café society.