Originally published at: https://peakprosperity.com/daily-digest/russian-nuclear-subs-arrive-at-venezuela-cftc-pilots-program-for-crypto-backed-derivatives/
Geopolitics
Two Russian nuclear submarines arrived off Venezuela’s coast, joining battleships and cruisers, reportedly as part of a response to what sources describe as the emerging Trump Doctrine. This doctrine envisions a multipolar world with the U.S., China, and Russia as three superpowers, sidelining NATO and Europe, according to reports. It reportedly reasserts the Monroe Doctrine by prioritizing U.S. control of the Western Hemisphere, countering Chinese infrastructure investments in Latin America, including Venezuelan oil refineries, and shifting focus to domestic manufacturing, tariffs, and resource nationalization. Proponents of the approach state it admits limits to U.S. global policing, with Europe facing potential challenges from energy shortages, industrial decline, and migration, while NATO could disintegrate. Russia’s advanced undersea capabilities are said to project power in the region, signaling a new hemispheric dynamic under American influence. Some observers describe the submarine deployments as routine naval exercises rather than a specific policy response.
Across the Atlantic, President Trump extended the deadline for Ukraine to accept a U.S.-proposed peace deal with Russia from Thanksgiving to Christmas, stating that failure to negotiate could end American support amid Russia’s military advantage. In a recent call, Trump’s envoys Jared Kushner and Steve Witkoff reiterated the terms to President Volodymyr Zelensky, following talks with Russian President Vladimir Putin in Moscow. Zelensky reported ongoing daily communications with partners to finalize a 20-point document on war-ending parameters and postwar reconstruction, set for submission to the U.S. soon, alongside meetings with a security coalition. Trump noted Russia’s superior size and strength, crediting Ukrainian bravery but emphasizing the need for compromise. Zelensky has affirmed commitment to a reliable and dignified solution through collaborative discussions with partners.
Meanwhile, the European Union advanced plans to permanently freeze €210 billion in Russian state assets, using emergency powers to bypass Hungary’s veto and secure €90 billion over two years for Ukraine aid through a qualified majority vote. Commission President Ursula von der Leyen has pushed this “reparations loan” initiative, which reportedly aims to strengthen the EU’s position in U.S.-led peace talks; it is set for finalization at the December 18 Brussels summit. Germany and Spain expressed support, while Belgium raised concerns over potential Russian retaliation, given that most assets are held in its banks. Safeguards to share risks across member states are under discussion. Russian officials warned of countermeasures, including legal actions that could force compensation if sanctions end. Russian spokespeople have described the plan as outright theft, vowing a harsh reaction including legal countermeasures.
Economy
The Commodity Futures Trading Commission launched a pilot program allowing futures commission merchants to accept Bitcoin, Ether, and USDC stablecoin as margin collateral in derivatives markets. The initiative includes updated guidance on tokenized assets, such as U.S. Treasurys and money market funds, with requirements for strict weekly reporting on customer holdings and issues, as well as a no-action position on certain stablecoin requirements. Officials state that the program seeks to reduce settlement frictions, enhance risk management, and provide regulatory clarity for broader adoption. Critics, including some financial experts, have voiced concerns that cryptocurrency volatility could introduce risks to derivatives market stability.
JPMorgan reportedly holds over 750 million ounces of physical silver, described as the world’s largest stockpile, after adding 21 million ounces in six weeks and shifting to a long position in both physical and paper markets following the closure of a 200-million-ounce short. This accumulation occurs amid tightening physical supply, including U.S. Mint coin shortages, rising lease rates near 30%, and COMEX open interest at 244% of registered silver, which strains the paper market that reportedly dwarfs physical availability by 50 times. Industrial demand, accounting for 59% of silver use, continues to grow amid falling mine output, with analysts citing structural deficits and institutional buying as factors that could drive upward price movements. Other analysts, however, indicate that stable overall silver supply and broader economic conditions might temper expectations for dramatic price surges.
The Federal Reserve cut its benchmark interest rate by 25 basis points to a range of 3.50% to 3.75%, the lowest since November 2022, in a 9-3 vote described as the most divided in 37 years. This marked the third reduction in four months. Projections indicate steady expectations for gradual easing through 2026 and 2027, with moderate economic expansion and slightly elevated inflation. Dissenters included one vote for a 50-basis-point cut and two for no change. The updated statement emphasizes monitoring labor market conditions, where job gains have slowed and unemployment has edged up through September. The Fed plans to restart balance sheet growth by initiating purchases of shorter-term Treasury securities to maintain ample reserves, starting with about $40 billion in Treasury bills this month, with adjustments for seasonal fluctuations and non-reserve liability increases. Some reports noted up to five voting members signaling reluctance for further cuts, highlighting a hawkish undercurrent within the committee.
Mortgage rates, influenced indirectly by the federal funds rate through investor expectations and the 10-year Treasury yield, showed no immediate significant shift following the cut. Analysts suggest that signals of cooling inflation and moderating economic risks could exert downward pressure on longer-term yields, potentially improving affordability for homebuyers and refinancing opportunities for homeowners over time, depending on broader market reactions. However, skepticism persists among some experts, who cite ongoing inflationary pressures and a strong labor market as factors that could limit significant declines in mortgage rates.
Privacy & Surveillance
A petition with nearly three million signatures against the UK’s proposed national digital ID system prompted a debate in Westminster, where MPs from multiple parties expressed concerns over potential privacy erosion and centralized state control. Critics highlighted existing identification methods, such as national insurance numbers and passports, as sufficient and warned that a mandatory digital wallet linked to services like banking, housing, and healthcare could enable a system similar to China’s social credit model, particularly with facial recognition and algorithmic judgments. Additional concerns included data security breaches, as seen in incidents in Estonia and the UK, and the lack of manifesto commitment, with calls to scrap the scheme amid fears of future abuse through linked government records. A minority of MPs supported the system for modernizing citizen interactions if implemented with safeguards, but overall sentiment reportedly favored preserving liberties over expanded surveillance.
The European Union and Canada signed a Memorandum of Understanding to advance interoperability of digital identities and credentials, building on a June 2025 summit commitment. The agreement establishes a forum for expert dialogue, joint pilots, and use case testing of digital wallets, alongside sharing best practices and standards for cross-border recognition. Co-chaired by officials from both sides, the deal also covers AI research, quantum technologies, and digital economy standards, following similar EU-Singapore plans and aligning with Canada’s new framework and the EU’s wallet system to facilitate citizen and business interactions. Privacy advocates have raised apprehensions regarding potential data security risks and enhanced surveillance possibilities.
Berlin’s parliament approved an overhaul of its security law, granting police expanded powers including hacking into devices via state spyware, secret home entries for installation, and AI training on real investigative data such as photos and messages. The reforms also permit body cameras in private homes for officer safety, cell tower queries to track phones at events, biometric matching with social media images, automatic license plate recognition, and drone neutralization. Preventive detention periods are extended to five days generally and seven for terrorism cases. Civil rights groups described the measures as an assault on privacy, with the data protection commissioner calling the spyware a threat to citizens’ IT security. A constitutional challenge is planned, marking a shift from Berlin’s traditionally strong privacy stance. Proponents maintain the changes are essential for addressing contemporary threats like terrorism and cybercrime.
European Politics
A London primary school teacher was dismissed and initially banned from working with children after telling Muslim pupils that Britain remains a Christian nation while enforcing school rules against unauthorized prayers. The incident involved the teacher addressing students washing feet in bathroom sinks at the non-faith school, referencing the King’s role as head of the Church of England and suggesting an Islamic school nearby for such practices. Police dropped a hate crime investigation, but the local safeguarding board deemed the comments emotionally harmful, leading to suspension in March 2024 and dismissal for gross misconduct by February 2025. Supported by the Free Speech Union, the teacher successfully appealed and now works part-time elsewhere. The case has been cited as highlighting tensions in multicultural education settings. Opponents of the teacher’s approach argue that the remarks could have been perceived as exclusionary, potentially alienating minority students.
Sources
Fed Cuts Rates to Lowest Since 2022: The Ripple Effect on Mortgage Rates
The Fed just cut rates to their lowest point since 2022. Here’s what that could mean for mortgage rates.
Source | Submitted by Mike from Jersey
UK Teacher Banned for Telling Muslim Pupil Britain Remains a Christian Nation
A teacher was sacked and branded a risk to children after telling a Muslim pupil that Britain is a Christian country.
EU Bypasses Hungary Veto with Emergency Powers to Seize Russian Assets for Ukraine
EU Rushes To Secure Russian Assets Under Emergency Powers, Bypassing Hungary Veto
Fed’s Most Divided Vote in 37 Years: 25bps Rate Cut, Balance Sheet Restart
The FOMC cut rates by 25bps to 3.50-3.75% as expected, with a 9-3 vote split; Miran sought a 50bps cut, while Goolsbee and Schmid preferred no change.
CFTC Launches Pilot Program to Test Crypto as Collateral in Derivatives Markets
The digital asset pilot, announced by CFTC acting chairman Caroline Pham on Monday, will allow futures commission merchants (FCM) – a company that facilitates futures trades for clients – to accept Bitcoin, Ether and Circle’s stablecoin USDC for margin collateral.
Trump Extends Ukraine Peace Deadline from Thanksgiving to Christmas
Donald Trump has told Volodymyr Zelensky that he has until Christmas to accept his deal to end the war with Russia.
UK MPs Slam Unwanted Digital ID as Surveillance Fears Grip Westminster
“Who is actually in favor of these [digital ID] proposals, other than the Prime Minister?”
Berlin’s Surveillance Surge: Police Gain Hacking Powers, Home Entries, and AI Data Access
Berlin’s regional parliament has passed a far-reaching overhaul of its “security” law, giving police new authority to conduct both digital and physical surveillance.
JPMorgan’s Silver Hoard: Signals of a Historic Price Surge Ahead
JP Morgan’s long position signals that the most powerful market player is betting on higher prices.
Russian Nuclear Subs Off Venezuela: Trump’s Doctrine Signals End of NATO and Rise of Three Superpowers
NATO’s worst nightmare is here: 2 Russian nuclear subs just arrived off Venezuela as the Trump Doctrine rewrites the entire world order. 3 superpowers rising, Europe collapsing, & a new Fortress America emerging.
EU and Canada Advance Digital ID Interoperability Through New MoU
EU and Canada agree to collaborate on digital ID mutual recognition, pilots
In addition to sources submitted by community members, the following were also used in the creation of this report: Bloomberg, Wall Street Journal, Seeking Alpha, The Guardian, Russian Foreign Ministry, Volodymyr Zelensky, Reuters, BBC, Bild, and Privacy International.
