SOFR Rises to 3.90% from 3.88%, Fed Funds Rate Holds at 3.88%

The two-basis-point gap between SOFR and the effective fed funds rate is the detail worth noting: it signals modest upward pressure in the repo market even as the policy rate sits still. For crypto and RWA markets, where overnight funding costs feed into leverage and carry, that spread is the transmission channel rather than the headline rate itself. Whether the spread persists around quarter-end or compresses back toward parity is the open question.