#638
Poacher Turned Gamekeeper
There's an old tension in security circles: the best way to understand how to break something is to have already broken it. Locksmiths make decent burglars. Former hackers make great security experts. This logic is uncomfortable but exactly why the Treasury Secretary and Federal Reserve Chair last week scrambled to summon Wall Street's CEOs to a meeting at Treasury HQ. The poacher had a new tool, and the gamekeepers needed a briefing.
The poacher in question is Anthropic’s Mythos, the latest frontier AI model that has, quite deliberately, been handed to a small circle of systematically important institutions before the world gets access. The usual suspects of global financial plumbing are now running the model against their own systems to probe for the kinds of vulnerabilities Mythos has already proven capable of finding.
The message from Washington to Wall Street is clear: the gun exists, it might be pointed at you, now use it to bulletproof the vault. The irony is Anthropic is fighting the administration in court over the Pentagon’s decision to label it a supply-chain risk, whilst also being the administration’s chosen instrument to stress-test the financial system. Welcome to the dual-use era: where the company accused of being a security risk is the one being asked to help secure the kingdom.

Portfolio News
Perplexity uses Plaid to personalize financial insights - Managing money has always meant tracking accounts across multiple institutions. Most people never get a complete view unless they maintain spreadsheets. Perplexity now offers an alternative. In an expansion of its integration with Plaid, the artificial intelligence firm now lets users link bank accounts, credit cards and loans directly inside its platform. Read more
Prediction market making is hard - A great long form read from Matt Levine @ Bloomberg on what market making actually is when the thing you’re trading (prediction markets) is messy, subjective reality. He also digs into the challenge of resolution: deciding what actually happened using crypto models like UMA (portfolio company), where token holders arbitrate truth. Read more
Poacher Turned Gamekeeper
Goldman is using Mythos, working with Anthropic on cyber risks - Goldman Sachs is “supplementing” its cyber and infrastructure resilience after regulators warned the largest US banks about the latest artificial intelligence model from Anthropic. Read more
Wall Street banks try out Anthropic’s Mythos as US urges - Goldman Sachs Group Inc., Citigroup Inc., Bank of America Corp. and Morgan Stanley are among the banks testing the technology internally, the people said. Read more
Industry News
Goldman’s Bitcoin ETF push signals Wall Street taming of crypto - Goldman Sachs this week became the latest major Wall Street firm to file for a Bitcoin ETF — joining Morgan Stanley, BlackRock and a growing roster of institutions racing to package cryptocurrencies for mainstream investors. Goldman’s twist: a product that generates monthly income by selling options, offering cautious investors a yield in exchange for capped upside during rallies. Read more
Banks bet big on tokenized deposits to power real-time treasury - CFOs have historically operated with limited, delayed visibility into cash. However, banks, most recently HSBC, are now introducing blockchain-based tokenized deposits that enable instant, always-on fund transfers. For CFOs, the implications are both operational and strategic. Read more
In this critical part of audits, the accountant’s role is shrinking fast - Accounting firms are scaling back the role of human auditors in routine testing of things like payroll and revenue contracts, long a critical part of their work, amid a greater reliance on AI agents. Read more
Wise to shift primary listing to US next month - The fintech group expects to begin trading on Nasdaq on 11 May 2026, while maintaining its London listing, and will switch to reporting in US dollars under US GAAP for its 2026 financial year results. Read more
How a 233-year-old Wall Street institution went all in on crypto - The NYSE, long defined by centralized trading, is pivoting to digital assets with major investments and plans for 24/7 blockchain-based securities markets, marking its boldest and riskiest reinvention yet. Read more
SEC approves plan removing day-trading limit for investors - The Financial Industry Regulatory Authority, Wall Street’s self-regulatory watchdog, had proposed reworking the pattern day trading rule, which bans a trader from making more than four day-trades in a five-day period if their margin account has less than $25,000 in assets. The new margin standards, which require customers to have enough equity in their account to cover the risks they run at that moment, will apply to all investors rather than just small ones. Read more
Fintech SumUp lines up banks for possible London IPO - SumUp is preparing a potential London IPO, hiring major banks and targeting a $10b valuation, in a move that could revive the city’s struggling IPO market. Read more
Palo Alto Networks founder agrees to buy California bank for AI revamp - Palo Alto Networks founder Nir Zuk plans to acquire California based Liberty Bank to deploy AI driven financial services, partnering with fintech investors and positioning for broader banking sector adoption. Read more
Select Financings
Balerion - Texas based provider of mortgage origination AI raised $6m in Seed funding raised by Kleiner Perkins. Read more
BizScout - Austin based marketplace and data platform for small business acquisitions raised $5m in Seed funding led by Valor Equity. Read more
Brix - Turkey based fintech focused on tokenizing emerging markets assets raised $5.5m in new funding led by FRWRD Ventures. Read more
Paxos Labs - New York based developer of onchain financial products for enterprises raised $12m in new funding led by Blockchain Capital. Read more
Pillar - New York based hedging and risk execution platform for commodity-driven businesses raised $20m in new funding led by a16z. Read more
Plata - Mexico based digital bank raised $405m in Series C funding led by Bicycle Capital. Read more
Pumpcade - Solana based prediction markets platform raised $5m in Seed funding led by Foundation Capital and Jump Crypto. Read more
Ralio - UK based payments platform for AI agents raised $2.5m in new funding led by Sure Valley Ventures. Read more
Ratio - San Francisco based fintech for B2B scale-ups raised $15.8m in new funding led by Streamlined Ventures. Read more
Slash - San Francisco based vertical banking startup raised $100m in Series C funding led by Ribbit Capital. Read more
Spektr - Copenhagen based maker of AI infrastructure for financial services compliance raised $20m in Series A funding led by NEA. Read more
Wamo - Finland based finance operating platform for SMEs raised €10m in Series A funding led by 3TS Capital Partners. Read more
Wealth.com - Arizona based estate planning platform raised $65m in Series B funding led by Charles Schwab. Read more
Zenskar - New York based billing and revenue automation platform raised $15m in Series A funding led by Susquehanna, Bessemer Venture Partners, Shine Capital and others. Read more
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