SoFi Plans Crypto Comeback

CRYPTO
SoFi Plans Crypto Comeback

SoFi is planning a return to the crypto space by the end of the year, after halting its services in 2023 amid regulatory pressure during its transition to becoming a licensed bank. The decision follows new guidance issued in March by the Comptroller of the Currency, which eased restrictions on banks dealing with digital assets. CEO Anthony Noto told CNBC the company will relaunch crypto investing for members and expand its blockchain capabilities across all product lines over the next two years.

Previously, SoFi had offered access to over 20 cryptocurrencies but paused the service due to the Biden administration’s tough stance on crypto. Now, Noto says SoFi aims to integrate blockchain into lending, saving, investing, and even crypto payments and loans backed by digital assets. The move marks a broader push to embed crypto and blockchain into the company’s overall financial ecosystem as it looks to innovate across all areas.

FINANCE
Markets Rebound Amid Trade Hopes

Markets fluctuated again Tuesday as Trump administration officials attempted to ease investor concerns. Commerce Secretary Howard Lutnick appeared on CNBC, hinting at a near-finalized trade deal pending approval from a foreign government, boosting the S&P 500 by 0.58% after a weak Monday. Still, Trump’s second-term start remains historically poor, with the S&P 500 down nearly 8% since January.

Investor confidence has been shaken by his sweeping tariff policies, even against allies. Tesla remains 50% below its December high, though Elon Musk's resignation from his government post helped slow its decline. Meanwhile, Amazon denied plans to display tariff costs after criticism from the White House. The stock slipped 0.17%. Later in the day, reports surfaced that Trump may soften auto tariffs—potentially easing pressure on manufacturers like Ford and Apple, whose shares rose. Abroad, Canada elected former central banker Mark Carney as prime minister, signaling voter rejection of Trump-style protectionism.

TECH
Super Micro Slashes Revenue Forecast

Super Micro Computer, a Fortune 500 tech firm, issued a weak third-quarter update, warning of a revenue shortfall between $400 million and $1.4 billion. The company lowered its revenue guidance from $5–$6 billion to $4.5–$4.6 billion, citing delays in customer decisions around platform and server purchases, which pushed expected sales into Q4. Gross margins dropped 220 basis points due to aging inventory and costs to speed new products to market.

Shares fell 3% during the day and over 15% after hours. EPS came in far below expectations at $0.16–$0.17, compared to previous guidance of up to $0.53. The company, still recovering from a tumultuous 2024, is trying to rebuild investor trust after facing a short seller report, an auditor exit, and Nasdaq delisting threats. Super Micro has hired BDO as its new auditor, plans leadership changes, and announced enhanced legal and accounting oversight. An earnings call is scheduled for next week.

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