The Crypto Desk

Crypto

Bitcoin, Ethereum, regulation, and the forces moving digital assets.

36 stories · Edition of 2026-08-26 · Curated by AI at Invalid Date

CRYPTO

Solana Records 4.2 Billion Transactions as SOL Price Rises 40%

24h ago · Source: cointelegraph

Solana processed a record 4.2 billion transactions in July, the highest monthly total reported to date.

SOL increased roughly 40% over eight days, reaching above $100 for the first time since February.

On‑chain data cited by The Kobeissi Letter showed the July figure was up 13.5% from June and about 91% higher than December.

The same letter noted that the value of tokenized real‑world assets on Solana climbed to nearly $4 billion, a 11.8% rise over the past month, according to RWA.xyz data.

The price rally coincided with a broader crypto market rebound and followed the U.S. Treasury Department's plan to double certain long‑dated bond buybacks to at least $4 billion per operation, a move that lowered yields and boosted risk appetite.

CoinMarketCap reported the market rebound as the primary driver of the SOL price increase.

The surge reflects growing use of Solana for tokenized real‑world assets, though the durability of the price rally remains uncertain.

CRYPTO

40 Malicious Firefox Extensions Target Crypto Wallets, Nine Previously Listed as Sports Score Tools

24h ago · Source: cryptoslate

Socket, a software supply‑chain security firm, reported that 40 Firefox add‑on identities exhibited confirmed malicious behavior, including the ability to steal recovery phrases, private keys, or wallet‑keyring data. The findings were part of a larger analysis that linked 77 identities to what Socket calls the “Offside Wallet Theft Factory,” with activity spanning from at least March to August. Mozilla’s add‑on signing records show that the 59 versions examined by Socket were published between March 9 and August 3, with clusters of activity in April and late July. The malicious extensions used distinct techniques: seven functioned as remote‑controlled phishing loaders, fifteen captured recovery phrases or other wallet secrets, thirteen modified clones of the Rabby wallet to exfiltrate serialized keyrings before encryption, and five harvested credentials and clipboard data. Because the add‑on removes itself from the browser, uninstalling does not revoke an exposed secret; users whose recovery phrase, private key, or wallet keyring reached a malicious version must treat the wallet as compromised. The remote‑controlled phishing add‑on 0KX WEB3 was still live when Socket disclosed it, and Mozilla removed it before the report’s publication. Socket documented exfiltration infrastructure but did not identify confirmed victims, attributable transactions, or a total loss amount. It advised users to move assets to a fresh wallet created from a new recovery phrase, to change passwords and terminate active sessions for those exposed to credential or clipboard attacks, and to verify destination addresses after copying data. Mozilla said it employs automated risk indicators and human review to detect malicious wallet extensions and recommends installing add‑ons only from the official wallet provider’s site. The investigation remains ongoing, and no definitive loss figures have been reported.

CRYPTO

Cardano Vote to Fill Committee Seats Faces Threshold Gaps Before Sept. 1 Deadline

24h ago · Source: cryptoslate

According to CardanoScan data as of Aug. 25, delegated representative (DRep) support stood at 41.7 % and stake pool operator (SPO) support at 12.0 %, both below the 67 % and 51 % thresholds required for the vote to succeed before the Sept. 1 deadline. The proposal seeks to seat four newly elected members of the Constitutional Committee before four incumbents leave, preserving a minimum committee size of five under CIP‑1694. A GovTool snapshot on Aug. 17 recorded 32.46 % DRep support and 1.95 % SPO support, while Intersect estimated DRep backing at 37.9 % and SPO backing at 7.93 % as of Aug. 21. The remaining gaps amount to 25.3 percentage points for DRep and 39.0 points for SPO. Although support has risen since earlier snapshots, both groups must exceed their respective thresholds before epoch 653 ends on Sept. 1; otherwise the committee would shrink from seven to three active members, dropping below the five‑member floor required to ratify governance actions, which could impede proposals such as the planned Dijkstra hard fork while block production would continue. The outcome remains uncertain as the narrow timeframe and sizable deficits leave the vote’s result open to change before the expiry date.

CRYPTO

BankChain Alliance Announces Plan for 2027 Blockchain Network

24h ago · Source: cryptonews

Thirty-nine U.S. state banking associations announced the formation of the BankChain Alliance on Aug. 25, with plans to develop an industry‑owned blockchain network targeted for a 2027 launch. The alliance has not selected a technology partner, disclosed a timeline, or identified participating banks.

The participating associations represent thousands of financial institutions across 39 states, and a membership list published by the group includes banking organizations from Florida, Texas, New York, Pennsylvania, Ohio, Washington and several rural states. Kathy Kraninger, president and CEO of the Florida Bankers Association, has been named interim chair; she previously served as head of the Consumer Financial Protection Bureau.

BankChain says the network would enable tokenized deposits, stablecoins, programmable payments and automated settlement services. Tokenized deposits represent a bank’s liability on its balance sheet, while stablecoins are separate tokens backed by reserve assets and may be issued by banks or other permitted entities. The Federal Deposit Insurance Corporation has proposed treating eligible tokenized deposits the same as conventional deposits, and banking groups argue that blockchain recordkeeping should not affect deposit‑insurance status when legal requirements are met.

The Clearing House, a separate consortium that includes JPMorgan Chase, Bank of America, BNY Mellon, Citi, Wells Fargo, BMO, HSBC and other regional lenders, announced in June that it will pursue a tokenized‑deposit settlement project linked to its RTP and CHIPS payment systems, which clear and settle more than $2 trillion daily. Other banks such as Custodia, Vantage and BMO are also testing narrower blockchain solutions.

BankChain’s governance, ownership structure, funding commitments and dispute‑resolution mechanisms have not been defined. The alliance must choose a technology provider, establish technical standards, and secure bank participation before it can move toward a 2027 launch. No individual bank has publicly committed to using the network, and a pilot has not been announced.

The project remains an industry‑backed development effort rather than an operational payment network. Its ultimate impact will depend on completing governance and technical decisions, obtaining bank commitments and satisfying federal and state regulatory requirements.

CRYPTO

Soluna Proposes 1 Billion Share Increase to Fund AI and Bitcoin Expansion

24h ago · Source: cryptoslate

Soluna Holdings Inc. will seek shareholder approval on Oct. 16 to raise its authorized common stock to 1 billion shares from the current 375 million, as part of financing a 6.3‑gigawatt pipeline that remains largely unbuilt. Currently, Soluna operates about 192 MW of energized capacity and has 14 MW under construction, while roughly 1.6 GW of its 6.3 GW pipeline is in planning and development and 4.5 GW is still in assessment, leaving only about 3 % energized. In March, the company entered a standby equity agreement with YA II PN that permits it to issue more than 20 % of its outstanding shares, and in a separate agreement it may sell up to $250 million of common stock over time. Shareholders will also vote on a proposal allowing Soluna to issue more than 20 % of its outstanding shares under the standby equity agreement. The company had 246.7 million shares outstanding as of Aug. 21. Additional equity could dilute existing shareholders’ earnings per share and voting power. The funding needs arise from projects such as Project Dorothy 3, a planned AI and high‑performance computing campus in Texas with potential capacity exceeding 300 MW, and a 150 MW Briscoe wind farm acquired for $53 million. On Aug. 25, Soluna signed an agreement with Bitdeer to deploy about 28 MW of Bitcoin‑mining equipment at Project Kati 1 in Texas, representing roughly 1.93 exahashes per second. Bitdeer will own the mining machines while Soluna provides site, electricity and operations, and the two will share mining proceeds. CEO John Belizaire said the co‑mining arrangement “is a natural extension of that operating history. It puts our track record to work in a structure where we participate more directly in what the infrastructure produces, alongside a partner that builds some of the most capable machines in the industry.” While the votes would not immediately issue shares or guarantee full capital raising, they would give management greater equity‑financing flexibility as it attempts to convert the largely planned pipeline into revenue‑producing infrastructure.

CRYPTO

Bitcoin Holds $79,000 as Crypto Market Pulls Back, Bull Score Rises

24h ago · Source: coindesk

Bitcoin held around $79,000, down about 1% on August 26 as traders took profits after a 23% weekly gain. Most major cryptocurrencies, including ether and Solana, slipped 4% or more, while XRP fell over 4% to just above $1.44 and Zcash dropped about 6% to roughly $783. Dogecoin slipped near 9 cents, and Tron slipped nearly 3%. BNB fell about 2% to just over $695, and ether fell just under $2,465. Hyperliquid’s HYPE rose about 3% to just over $81, its week‑long gain of almost 40%. CryptoQuant’s Bull Score rose to 80, its highest level since October 6, 2025, when Bitcoin traded near $124,000. The score, which tracks ten market and on‑chain indicators, showed eight of the indicators now bullish. Spot and futures demand expanded together for the first time since early October 2025, with spot demand growing at its fastest monthly pace since late December. Asian equities rose, with the MSCI Asia Pacific index up 1% as lower oil prices eased inflation concerns. Nvidia snapped a seven‑day losing streak ahead of its earnings, and U.S. equity futures erased earlier losses. Investors awaited second‑quarter GDP figures due Wednesday, July PCE inflation, and Federal Reserve Chair Kevin Warsh’s keynote at Jackson Hole on Friday. Market pricing put the odds of a September Fed rate hold between 3.50% and 3.75% at roughly 60%. Anvil, described as a shared on‑chain collateral layer built on a programmable letter of credit that uses reserve assets as guarantees without loans or interest, was introduced on July 29, 2026, according to the report.

CRYPTO

POSCO International Converts Trade Receivables into Digital Assets on Avalanche Blockchain

24h ago · Source: coindesk

POSCO International, South Korea's largest trading company, completed a transaction that tokenized trade receivables on the Avalanche blockchain. The firm partnered with Olea and Intain, which used artificial intelligence to verify invoices, purchase orders and shipping documents before recording the receivables on the Layer‑1 network. Trade receivables represent money owed to a company after delivery and before payment; financing typically requires reconciling records held separately by buyers, sellers and banks. Placing the receivable on a shared ledger creates a single record of ownership and status, potentially cutting paperwork and accelerating access to financing. POSCO reported $22.2 billion in revenue from steel, energy and battery materials and operates more than 80 overseas branches. The pilot follows a similar project with LG CNS on Injective that tokenized receivables from live trade between POSCO subsidiaries and counterparties. POSCO, Olea and Intain said they will explore stablecoin‑based cross‑border settlements and digital treasury tools as tokenization expands into trade finance.

CRYPTO

Solana ETFs Reach Record $1.22 Billion Cumulative Inflows after Five-Day Streak

24h ago · Source: coindesk

U.S. spot Solana exchange‑traded funds added $33.5 million on Monday, the largest daily inflow this year, extending a five‑day streak. Cumulative net inflows reached a record $1.22 billion, according to SoSoValue data.

The ETFs launched on October 28 and have recorded inflows for 21 consecutive days, adding more than $620 million.

Bitwise’s BSOL accounted for $25 million of Monday’s inflows, bringing its cumulative total to $948.2 million, or roughly 80 percent of all capital invested in U.S. spot Solana ETFs, Farside data shows. Fidelity’s FSOL added $4.8 million and Grayscale’s GSOL $3.7 million.

The five‑day streak from August 18 totaled $61.8 million.

Spot bitcoin and ether ETFs also posted consecutive inflows: ether funds received $116 million on August 24 for a sixth straight day, and bitcoin funds added $338 million on Monday for a sixth consecutive positive session, pushing their total to $2.3 billion, the strongest weekly run since October 2025, Farside reports.

Trading volume for Solana ETFs climbed to $166.8 million, the highest level since October 2025.

The consecutive inflows reflect ongoing demand for Solana‑linked products within the broader U.S. crypto ETF market.

CRYPTO

Sphere 3D Crypto Miner Could Face $2.2 Million U.S. Tariff on 2022 Equipment

24h ago · Source: cryptoslate

Sphere 3D, a cryptocurrency mining company, disclosed in an Aug. 24 filing that it may owe about $2.2 million in additional U.S. tariffs on Bitcoin mining equipment purchased in 2022 by a subsidiary.

The filing indicates U.S. Customs and Border Protection classifies the equipment as originating from China, while the seller provided documents stating the miners were not of Chinese origin.

Sphere 3D said the CBP allegation is meritless, that it intends to protest, and that the final amount remains uncertain because the filing does not include interest calculations or evidence of any payments made.

The June 30 balance sheet showed $2.8 million cash, $0.2 million working capital and $5.9 million current liabilities, with 20.5 BTC valued at about $1.2 million. The potential tariff would represent roughly 77% of cash on hand and about 11 times working capital. Sphere 3D later raised $1.7 million through an at‑the‑market equity offering.

The June 30 filing also reported $9 million in operating cash outflows during the first half of the year, $5.3 million in Bitcoin sales proceeds and $2.4 million in net financing proceeds. Management noted recurring losses and negative operating cash flow, creating substantial doubt about the firm’s ability to continue without additional funding. A prospectus indicated the company could sell up to $10.3 million of shares, though it is not required to do so.

Customs regulations generally allow importers 180 days to file a protest after a CBP decision; the company has not disclosed the exact deadline or the procedural trigger for the tariff notice.

A 2022 disclosure described the arrival of 4,000 S19j Pro miners in July, held pending documentation, with about 540 released in August, and referenced FuFu Technologies (BitFuFu) only in the purchase agreement. No public evidence links those shipments, the vendor, or the miner models to the current dispute. The company continues to trade under the ticker ANY, and a name change to DarkHorse Technologies with ticker DRK remains pending.

The tariff claim is pending resolution and could affect Sphere 3D’s liquidity and ability to fund operations.

CRYPTO

SQD Adds Validated Blockchain Data to Google Cloud BigQuery

24h ago · Source: cryptonews

SQD announced on August 24 that its validated blockchain data for ten networks, beginning at each network’s genesis block, is now accessible via Google Cloud’s BigQuery platform. The data passes six cryptographic verification steps that compare multiple source records, verify transaction roots and state roots, and ensure consistency before entering analytics pipelines. Developers can query the full chain histories without building an indexer or storing each chain’s data locally. The service is part of Google Cloud Web3 Blockchain Analytics, which lets users run SQL queries on blockchain blocks, transactions, events and call traces. Wanja Oberhof, CEO of SQD, said the partnership is a defining step for the company and signals that enterprise‑grade blockchain data is now available through a major cloud provider. SQD said it will add additional networks and tools for AI agents in the future, though no specific chains or release dates were provided. The companies did not disclose financial terms, revenue‑sharing models or service‑level agreements related to the integration.

CRYPTO

MicroStrategy’s Bitcoin Treasury Relies on Capital Markets to Cover Debt Obligations

24h ago · Source: cointelegraph

MicroStrategy holds 840,447 Bitcoin valued at about $66.7 billion, exceeding its $63.36 billion cost basis, according to a report. The company carries roughly $22 billion in debt and preferred claims and must service $1.76 billion in annual preferred dividends and interest. A stress test by Regime Intelligence found that Bitcoin would need to fall about 96% before the holdings would no longer cover the convertible notes. The risk therefore stems from the need to maintain access to capital markets to fund the obligations. Report author Sherif Saad told Cointelegraph that investors should monitor the preferred share price and cash reserves, which currently cover about 2.6 times the annualized charges. If financing conditions deteriorate, the company may increase reliance on Bitcoin sales or reserves. CEO Phong Le said the firm has accumulated about 25 times more Bitcoin than it has sold this year and plans to resume purchases later in the year. The company has sold Bitcoin four times since May, including a recent 1,690 BTC transaction, using proceeds for dividends, share repurchases and a US dollar reserve.

CRYPTO

Galaxy Attributes 1,789 Bitcoin Theft in Coldcard Hack to Unmoved Funds

24h ago · Source: cointelegraph

Galaxy Research has attributed the theft of 1,789.28 Bitcoin from 8,865 addresses to the Coldcard hardware wallet hack, according to a post on X by Alex Thorn, the firm’s head of research. The theft, worth $114.7 million at the time, left 1,561 Bitcoin, or 87.3%, unmoved in attacker‑controlled addresses. Researchers said the funds have not been spent, though some later losses have moved through CoinJoin and peel‑chain techniques. The analysis draws on 221 victim reports covering 790.72 Bitcoin, or 44.2% of the total attributed loss. The median loss per report was 1.04 Bitcoin. Galaxy shared the identified attacker addresses with major exchanges, compliance firms and law‑enforcement agencies to pursue freezing of the assets if they reach centralized platforms. Analysts note that the majority of the stolen Bitcoin remains stationary, indicating possible future movement. The incident underscores difficulties in attributing cryptocurrency theft and recovering assets once mixed.

CRYPTO

BitMEX to Reduce Open Positions and Close Exchange in Staged Shutdown

BitMEX will enter reduce‑only mode at 04:00 UTC on August 26, ending the ability to open new positions while allowing traders to reduce existing exposure.

24h ago · Source: cryptoslate · 1 min read

BitMEX will enter reduce‑only mode at 04:00 UTC on August 26, ending the ability to open new positions while allowing traders to reduce existing exposure. The exchange plans to close all positions and cease trading on September 23, 2024. The board of HDR Global Trading Limited, BitMEX’s owner, said the decision follows a strategic review and is not linked to financial distress, a hack or regulatory pressure. From August 26 through the final close, BitMEX may force‑close positions to support an orderly wind‑down, and it will not be liable for trading losses if users cannot close positions during that period. After the shutdown, account holders will retain limited access to view balances and transaction history and to withdraw funds, but the trading interface and other services will be disabled. BitMEX will apply a monthly fee of 1 % per year or $50, whichever is greater, to verified balances remaining after September 23, deducting the charge from the account balance without allowing a negative balance. On September 28, API withdrawals will be disabled, requiring manual withdrawals through the website and ending support for integrations such as Fireblocks and Copper. The exchange will thereafter support withdrawals of USDT, USDC and ETH only on the Ethereum network.

CRYPTO

Chainalysis-Led Operation Flags 7,700 Crypto Accounts in Child Abuse Investigation

24h ago · Source: cointelegraph

Chainalysis-led Operation Lighthouse identified more than 7,700 crypto accounts linked to child sexual abuse material, according to a Tuesday press release shared with Cointelegraph.

The operation examined 29,120 crypto addresses and digital identifiers tied to over 100 CSAM platforms, forums or distribution networks on the surface and dark web. It generated 14,300 investigative leads across 11 exchanges and payment services and flagged suspects in 125 countries, including 16 registered sex offenders. The suspect pool also included military personnel, law enforcement officers, medical professionals and educators with direct access to children, Tom McLouth, senior intelligence analyst at Chainalysis, said. “Behind every lead is a real child at risk,” he told Cointelegraph.

The multi‑day sprint was hosted at the National Cyber‑Forensics and Training Alliance in New York after months of data enrichment. Participants included law enforcement agencies, private‑sector partners and organizations such as Europol, the UK National Crime Agency, Binance, Coinbase, Block, and the Internet Watch Foundation. They used on‑chain intelligence to develop leads for further legal processes and case development, Chainalysis said.

The effort is expected to result in arrests, prosecutions and account‑level disruptions. The operation follows other collaborative initiatives by crypto firms and child‑protection groups to share intelligence on crypto activity related to exploitation. Binance announced a partnership with Stop The Traffik in July to provide intelligence, training and insights for detecting and investigating crypto activity linked to human trafficking and child exploitation. In 2019, the U.S. Justice Department used blockchain tracing to dismantle the darknet market Welcome to Video, leading to 337 arrests, the rescue of at least 23 victims and the seizure of about eight terabytes of material.

CRYPTO

BlackRock Lowers Minimum Bitcoin Amount for Direct Swap Into IBIT ETF

24h ago · Source: coindesk

BlackRock reduced the minimum bitcoin amount required to exchange directly for shares of its IBIT exchange‑traded fund to $1 million, down from $25 million, according to a Bloomberg report. The in‑kind creation process lets investors transfer bitcoin to the fund and receive ETF shares without first selling the cryptocurrency, thereby avoiding capital gains taxes. Bitwise, another ETF issuer, also lowered its threshold to $3 million from $100 million, the report said. IBIT has processed more than $5 billion in such swaps since October, up from $3 billion, said Robbie Mitchnick, BlackRock’s head of digital assets. The increase in swaps coincides with heightened concerns over custody failures, thefts and other security incidents in the cryptocurrency market, Mitchnick told Bloomberg. Other issuers, including Grayscale and VanEck, have introduced similar in‑kind creation options for ether, and spot ETFs have attracted billions of dollars since their launch in 2024. The change reflects growing demand for regulated products that allow large holders to adjust exposure without triggering taxable events, though the long‑term impact on self‑custody practices remains unclear.

CRYPTO

Moonwell Proposes Zero Repayment for cbETH Liquidity Gap

24h ago · Source: cryptoslate

Moonwell, a decentralized lending protocol, proposed no repayment of cbETH in its latest reserve round. The plan leaves a $1.8 million liquidity shortfall unaddressed. Anthias Labs published the allocation on August 24. The shortfall stems from a February oracle misconfiguration that priced cbETH near $1.12 instead of roughly $2,200. Liquidators seized 1,096.317 cbETH, according to Anthias Labs. Moonwell's API showed $1.93 million supplied and $1.94 million borrowed. The same data indicated negative $8,223.63 liquidity and 100.43% utilization as of August 25 11:28 UTC. The reserve plan specifies repayments would be limited to each mToken market. When reserves are insufficient, the plan would allocate them pro rata among eligible borrowers. Actions at or below $1,000 would be omitted. Repayments would be capped at the lowest of reserves, available cash, or current borrower debt. The cbETH row lists $1,768,665.13 of gross bad debt, a $1,768,664.86 net shortfall, and $7,360.83 of reserves. The document does not state which factor produced a $0 allocation. Two public comments reported withdrawal difficulties for cbETH positions. The total number of affected suppliers has not been determined. Anthias Labs said the plan would remain within each market. Moonwell and Anthias Labs had not responded in the public forum by August 25 11:30 UTC. The liquidity gap remains unresolved. Moonwell has not provided a timeline for addressing the shortfall.

CRYPTO

Bitcoin Payments Decline at El Salvador’s Bitcoin Beach, Surveys Show

24h ago · Source: cryptonews

Bitcoin Payments Decline at El Salvador’s Bitcoin Beach, Surveys Show

A restaurant in El Zonte, known as Bitcoin Beach, recorded its only Bitcoin payment of August when a visitor paid for lunch, according to a Bitcoin Core contributor who has lived in El Salvador since 2022.

National surveys indicate low consumer use of Bitcoin. A poll of 1,266 people conducted by the Universidad Centroamericana found that 8.1% of Salvadorans used Bitcoin for purchases in 2024, with a 95% confidence level and a margin of error of 2.75 percentage points. Earlier surveys showed a decline from 25.7% in 2021 to 12% in 2023.

El Salvador made private‑sector Bitcoin acceptance voluntary after revising its Bitcoin Law under an IMF program in February 2025. The International Monetary Fund stated that government‑controlled Bitcoin holdings have remained unchanged, and apparent increases in wallet balances may reflect internal transfers rather than new transactions.

Atack described the restaurant encounter as anecdotal and noted that staff said most customers now pay by card and some declined tips in satoshis because they had forgotten how to use the Bitcoin application. Another visitor reported paying with Bitcoin recently and observed signage indicating continued acceptance, suggesting that payment infrastructure remains available at some businesses.

No comprehensive transaction data for El Zonte were publicly released. The restaurant’s experience aligns with broader evidence of reduced Bitcoin usage, but it does not confirm a nationwide decline in payments.

Future updates from merchant data and a planned nationwide usage survey may clarify the trend. Until then, the available information shows weaker adoption of Bitcoin for everyday purchases in El Salvador.

CRYPTO

XRP Gains 44% in One Week, Leverage Reaches Highest Level Since January

24h ago · Source: coindesk

XRP rose 44% over the past week, pushing its estimated leverage ratio on Binance to 0.21, the highest level since January, according to on‑chain data. Futures volume reached $6.4 billion in the last 24 hours, more than five times spot trading, with open interest of $3.45 billion and positions heavily weighted toward longs. The rally coincided with a broader crypto uptick after the U.S. Treasury announced an expanded bond‑buyback program, which lowered long‑term yields and lifted Bitcoin toward $80,000. XRP outperformed Bitcoin and other major tokens during the rally. Data from CoinGlass showed that on Wednesday about two accounts placed long bets for every short, and among top traders the long‑to‑short ratio was roughly three to one on Binance and two to one on OKX. XRP fell about 5% on Wednesday, dropping to $1.44 from above $1.50 earlier, while the token had risen sharply in the prior week. The high leverage ratio indicates that traders are using borrowed capital to maintain large positions, increasing the risk that a decline could trigger forced liquidations. Such liquidations would add selling pressure and could accelerate the downward move. Analysts continue to monitor price action for further declines that might convert the recent pullback into a sharper correction.

CRYPTO

State Banking Associations Plan Nationwide Blockchain Network

24h ago · Source: coindesk

Thirty‑nine state banking associations have joined the BankChain Alliance, a consortium led by Kathy Kraninger, CEO of the Florida Bankers Association, to develop a nationwide blockchain network. The alliance says the network will launch in 2027 and aims to complete development by the end of 2026. The project is described as industry‑owned, industry‑designed and industry‑governed. After a year of policy disagreements between the banking industry and the cryptocurrency sector, the associations announced the initiative. The network is intended to support financial innovations such as smart payments, tokenized deposits and stablecoins. The consortium says the platform will be secure and regulated, allowing banks of all sizes to provide modern services. Kraninger, serving as interim chair of the project, said the network will enable institutions to serve customers safely and efficiently in rural, urban and regional communities. The alliance is still looking for a technology partner to build the system and notes that it will be interoperable with other networks. The timeline for full deployment remains subject to the selection of a technology partner.

CRYPTO

Bitcoin Rises Above $80,000 as Futures Open Interest Falls to Five-Month Low

24h ago · Source: coindesk

Bitcoin rose above $80,000, reaching its second-largest weekly gain in five years. Futures open interest for bitcoin-denominated contracts fell to about 587,584 BTC, the lowest level in nearly five months, according to Glassnode. Cash-backed collateral now dominates the market, while crypto-margined open interest dropped to a record low of roughly 52,000 BTC, representing 11% of total activity. The price increase from around $62,000 to $80,000 over the past week coincided with a decline in open interest from 645,760 BTC on August 14 to 587,584 BTC, indicating that short sellers either closed positions or were liquidated. Billions of dollars in short positions were liquidated, creating a short squeeze that helped push prices higher. Perpetual futures funding rates remained below 10% annualized, suggesting moderate bullish positioning. The shift toward cash-margined futures may contribute to greater price stability, though the sustainability of the rally remains uncertain.

CRYPTO

Druckenmiller Criticizes Treasury's $4 Billion Bond Buyback as Ineffective

24h ago · Source: coindesk

Billionaire investor Stanley Druckenmiller said the Treasury’s $4 billion bond buyback program is unlikely to reverse rising long‑term Treasury yields. He made the statement in a Wall Street Journal opinion piece, noting that the 10‑year yield increased to 4.70%, a 50‑basis‑point rise this year, while the 30‑year yield reached 5.22% after a 19‑year high. The federal debt recently surpassed $40 trillion, and Druckenmiller said elevated yields reflect nominal growth and serve as a market check on borrowing. He argued that attempts to artificially suppress yields may only provide short‑term relief and could weaken fiscal discipline, as markets are better positioned than committees to allocate capital. While the Treasury’s action may temporarily cap yields, analysts expect the overall upward trend in rates to continue. The commentary follows a period in which Bitcoin and gold prices have risen, though the link between the bond buyback and those asset movements remains unconfirmed. The situation highlights ongoing debate over the Treasury’s role in influencing interest rates and the potential impact on financial markets.

CRYPTO

US State Banking Associations Form Alliance to Build Nationwide Blockchain Network for 2027

24h ago · Source: cointelegraph

Thirty‑nine U.S. state banking associations announced the formation of the BankChain Alliance on Tuesday, with a target launch in 2027. The group said the planned network will support smart payment tools, tokenized deposits, stablecoins and automated settlement, and will be interoperable with other blockchains. BankChain will invite banks nationwide to hold stakes in the network. The alliance represents thousands of financial institutions across the country. The announcement did not identify individual banks committing to participation, nor did it disclose governance or funding details. The effort follows several bank‑led blockchain initiatives launched since late 2025, including a project by The Clearing House and major banks aimed at clearing and settling tokenized deposits while linking blockchain activity to existing payment systems. In March, the Cari network, developed with regional lenders, launched a minimum viable product and attracted more than 30 banks by July. A separate consortium, the DTX Consortium, formed through the Independent Bankers Association of Texas, reported over 50 member banks in June as it prepares a tokenized‑deposit pilot. Open Standard announced in June that more than 140 companies are participating in Open USD, a dollar‑backed stablecoin slated for launch later in 2026. Magazine: Hugging Face hack exposes the open‑weight AI cybersecurity paradox. Cointelegraph did not respond to a request for comment before publication.

CRYPTO

Bitcoin Bull Score Reaches 80; $83,000 Weekly Close Needed for Confirmation

24h ago · Source: cryptonews

Bitcoin's CryptoQuant Bull Score increased to 80, the highest reading since October 2025, after a 24% weekly rally that pushed the price near $80,000. The index requires a weekly close above $83,000 to confirm a new bull market. CryptoQuant's Bull Score aggregates ten on‑chain and market metrics to gauge market demand, investor profitability, network activity and liquidity. Eight of the ten indicators are currently signaling bullish conditions. The model defines a bull market only when Bitcoin records a weekly close above its 365‑day moving average, which sits near $83,000. On Aug. 25, Bitcoin rose more than 24% from below $64,000, briefly surpassing $80,000 before retreating to around $79,000, according to CoinGecko. The rally coincided with net inflows of about $1.9 billion into U.S. spot Bitcoin exchange‑traded funds during the week ending Aug. 21, the strongest weekly total since October 2025. Analysts noted that the combined rise in spot and futures demand, observed for the first time since early October 2025, suggests participation from both cash buyers and derivatives traders. Short‑term holder profits rose to 20.5%, the highest level since June 2025, indicating potential selling pressure. Between Aug. 20 and Aug. 22, large short‑term holders realized roughly $1.2 billion in profits, with a peak of $614 million on Aug. 20. Exchange inflows increased to about 53,000 BTC, the largest weekly deposit total since June, as holders moved coins to trading platforms. While deposits do not guarantee sales, they add to potential supply. Market strategist Joel Kruger referenced Bitcoin’s May 2026 high of $82,820 as a key resistance level; a clear weekly break above that range could target $100,000 and the 2025 record high. The current price action, though indicative of improving market conditions, has not yet met CryptoQuant’s confirmation threshold. A sustained weekly close above $83,000 will determine whether the recent rally signals the start of a longer‑term bull market.

CRYPTO

Bitwise Launches Self-Custodied Tokenized Stock Portfolios with Coinbase

24h ago · Source: cointelegraph

Bitwise Asset Management announced on Tuesday that it has launched automated, self‑custodied portfolios of Coinbase tokenized US stocks, allowing eligible investors outside the United States to follow preset investment strategies while retaining control of the assets in their own wallets. The portfolios use Coinbase’s tokenized stocks and are rebalanced by Glider, which matches user holdings to model portfolios designed by Bitwise. The initial lineup includes three strategies — Mag7X, robotics and AI leaders — featuring Apple, Nvidia, Microsoft, Tesla and SpaceX. Tokenized listed stocks total $2.49 billion, a 5.18% increase over the past month, with 2.25 million holders and $27.28 billion in monthly transfer volume, according to rwa.xyz. Unlike traditional mutual funds, the tokenized stocks remain in users’ non‑custodial wallets; Bitwise sets the portfolio methodology while Glider executes trades and rebalancing. Bitwise applies a 0.15% methodology access fee, excluding trading and Glider platform fees. The assets can be used in decentralized finance applications for lending or borrowing, subject to the risks of those protocols. The launch follows Coinbase’s tokenized US stocks going live on Base a day earlier, enabling eligible non‑US users to trade the assets around the clock and integrate them across DeFi platforms.

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JPMorgan Projects 75% Upside for SpaceX Stock to $240

24h ago · Source: cryptonews

JPMorgan analysts retain an Overweight rating and a $240 price target for SpaceX, implying roughly 75% upside from recent trading levels. The bank’s rating follows its assessment that the recent acquisition of Cursor provides tangible improvements to the Grok model.

SpaceX shares rose about 2% after the rating announcement, trading near $138 compared with a prior close of $135. Approximately 370 million SpaceX Class A shares are scheduled to become eligible for trading on September 9 and 10, potentially expanding the public float by about 20%.

The completed $60 billion stock‑based purchase of Cursor on August 14 gives SpaceX access to Cursor’s AI tools, which serve more than 50,000 business customers and are used by nearly two‑thirds of Fortune 500 companies. JPMorgan noted that Cursor’s developer data has supported additional training for recent Grok 4.6 releases, enhancing the model’s capabilities for research, data analysis, software engineering, and application development.

Analyst Doug Anmuth said the acquisition represents an important step for SpaceX’s enterprise artificial intelligence business. Other analysts have offered differing views; Argus assigned a Buy rating with a $160 target, while Morningstar estimated fair value at $63 per share and Morgan Stanley projected a $300 target with a $600 bull‑case scenario.

Institutional ownership has grown since the June 12 Nasdaq debut, with Italian bank Intesa Sanpaolo holding nearly 5.66 million SpaceX shares valued at about $966 million as of June 30. Separately, Starlink submitted a fresh request to Indian regulators for approval to deploy its second‑generation satellite constellation, which would enable direct‑to‑device connectivity for compatible mobile phones.

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World Liberty Launches $4.05 Billion USD1 Stablecoin on Canton Network

24h ago · Source: cryptonews

World Liberty Financial announced on August 25 that its USD1 stablecoin, valued at $4.05 billion, is now issued directly on the Canton Network, allowing institutions to settle tokenized assets and cash in a single transaction.

The Canton Network, operated by Digital Asset, provides a public blockchain with privacy and permissioning controls for regulated financial participants.

DeFiLlama ranks USD1 as the sixth‑largest stablecoin by market capitalization. The stablecoin is fully reserved, with reserves consisting of dollar deposits, U.S. money‑market funds and other cash equivalents, and monthly reserve reports are published.

Canton processes more than $9 trillion in tokenized assets each month and sees about $350 billion in on‑chain U.S. Treasury activity daily. The native issuance lets institutions exchange USD1 and a tokenized asset simultaneously, reducing settlement risk. An earlier Tradeweb transaction showed synchronized settlement of a tokenized Treasury security and USDCx.

World Liberty’s proposed national trust bank, World Liberty Trust Company, received conditional OCC approval on August 14, requiring $20 million in eligible capital and other preopening conditions before a final charter is granted. If the OCC issues final approval, the trust will assume issuance, redemption and reserve management of USD1 from BitGo Bank & Trust and will provide digital‑asset custody and stablecoin conversion services under federal supervision.

World Liberty CEO Zach Witkoff said the growth reflects institutional demand and denied any link to the Trump family. A $2 billion transaction accounted for a notable share of early USD1 usage, and Abu Dhabi‑based MGX used the stablecoin in May to settle a Binance investment.

Democratic lawmakers have questioned World Liberty’s ties to President Donald Trump and to a foreign state‑backed investor. The Canton Network also plans a U.S. benefits pilot called Resources for Independence, Stability, and Employment, which would distribute monthly payments to participants in three states beginning in the first quarter of 2027, pending federal approval.

The OCC’s conditional approval does not allow the trust to operate yet, and the benefits pilot remains subject to regulatory clearance.

CRYPTO

LayerZero Introduces ATLAS Trading Engine, ZRO Rises About 30%

24h ago · Source: coindesk

LayerZero unveiled ATLAS, a trading and settlement engine built on its Zero blockchain, causing ZRO to climb about 30%.

LayerZero, the blockchain infrastructure firm that works with DTCC, Intercontinental Exchange and Citadel Securities, said the system is designed for crypto‑native platforms and institutions that want to offer markets around the clock.

The platform combines trade matching, clearing, settlement and risk management in a single system.

It supports spot crypto, perpetual futures, stocks, bonds, commodities and prediction markets, with trading volume of roughly $1 during the session.

ZRO rose to $1.0684 after the announcement.

Bryan Pellegrino, co‑founder and CEO of LayerZero, said the new infrastructure addresses the need for a globally accessible, continuously available market as the global asset base expands.

He added that ATLAS provides a neutral, performant backend for all market participants.

The system will be offered in two configurations: Open ATLAS for crypto apps and prediction markets, and Institutional ATLAS, which lets exchanges and financial firms set their own rules while using the same engine.

Venues can stake ZRO for fee rebates, and 75% of net fees after rebates and payments to market creators will be used to buy and burn ZRO, reducing its supply.

The expansion follows a period after a $292 million theft from the Kelp DAO bridge in April, when several protocols moved away from LayerZero’s cross‑chain bridging service.

The move represents LayerZero’s first major step into market infrastructure and raises questions about how the new system will integrate with existing exchange models.

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Kraken Temporarily Restricts Accounts after 12,000 Dust Transfers from HTX

24h ago · Source: cryptonews

Kraken temporarily restricted some customer accounts after nearly 12,000 small cryptocurrency transfers linked to the sanctioned exchange HTX were sent to its addresses between August 17 and August 24, according to a Bloomberg report published August 25. The exchange restored access to the accounts after completing reviews but kept the transferred funds separate.

The transfers, valued at a few cents to a few dollars each, were identified by blockchain analysts as originating from wallets previously associated with HTX. HTX denied that it initiated the transfers and said it was investigating possible mislabeling or third‑party activity. European Union sanctions against the Huobi Global entity took effect on August 23, 2026, which may have heightened scrutiny of transactions occurring around that date.

Kraken said the activity resembled a “dust attack,” in which small amounts of crypto are distributed to trigger compliance reviews. The exchange could not identify the originators of the transactions and retained the disputed funds while awaiting further verification. Similar dust transfers had previously reached addresses at other exchanges, including Coinbase and Binance.

Compliance experts noted that relying solely on wallet exposure can be misleading; transactions can be received without the recipient’s consent. Exchanges must consider transaction value, timing, and user behavior when assessing potential sanctions exposure. Tether, a centralised stablecoin issuer, froze more than $500 million across 370 addresses in a 30‑day period as part of separate enforcement actions.

Kraken and HTX have not announced a joint investigation or a timeline for a definitive resolution, and the next update will likely require detailed wallet‑level evidence. The incident highlights a limitation in automated compliance systems that depend on direct address links.

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Japan to Study 24/7 Blockchain Settlement for Stocks and Government Bonds

24h ago · Source: cryptonews

Japan plans to establish a study group to examine a blockchain-based settlement system that would process stock and government bond trades around the clock. The finance ministry, the Bank of Japan and financial institutions are expected to participate in the group, which could finalize a development plan in early 2027 and begin operations in the early 2030s. Currently, equities settle on a T+2 basis while domestic bonds settle the next business day. The proposed infrastructure would link securities transfer with cash payment, potentially allowing investors to access proceeds instantly and reduce counterparty exposure. The Bank of Japan is already testing blockchain settlement using central‑bank current‑account deposits in a sandbox that explores tokenized wholesale deposits and delivery‑versus‑payment mechanics. A public test network is slated for 2026, and private sector pilots such as Progmat’s migration of ¥452 billion in tokenized securities and SBI Holdings’ Strium project are under way. Governance, cybersecurity, privacy and operational resilience will be key issues for the study group. No formal announcement has been made confirming the initiative as of this writing.

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Crypto Fear & Greed Index Rises to 74, Highest Since Oct. 2025

24h ago · Source: coindesk

Crypto sentiment shifted from fear to greed over a 12‑day period. The Crypto Fear & Greed Index rose from 27 on August 12 to 74 on Tuesday, then eased to 65 on Wednesday, according to the index’s published data. The gauge measures market mood on a scale of 0 to 100 by combining bitcoin volatility, trading momentum, social media activity, bitcoin’s share of total crypto value, and Google search interest; values above 50 are classified as greed. It last reached 74 on October 5, 2025, five days before a $19 billion liquidation of leveraged positions that represented the largest such event on record.

Bitcoin climbed from below $68,000 at the start of the week to near $80,000 on Tuesday, while other major tokens posted gains of up to 70%. Dogecoin increased about 24% over the past seven days, and several memecoins saw larger moves, with Thinking Cat up 131% and Cash Cat up 113%. The rally in thinly traded tokens indicates renewed risk appetite, though analysts noted the elevated readings could precede a market correction.

The upcoming test for the market occurs Friday, when Federal Reserve Chair Kevin Warsh presents his first Jackson Hole keynote as chair. Participants are watching for remarks on interest rates and inflation after a recent retreat in long‑term Treasury yields helped lift bitcoin’s price.

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Zerohash Submits Revised OCC Trust Bank Charter Application

24h ago · Source: coindesk

Zerohash has resubmitted a trust bank charter application to the U.S. Office of the Comptroller of the Currency after its initial filing was returned last month. The OCC said the first application contained material deficiencies, prompting the return, but the agency has not issued a decision on the merits. The new filing narrows the scope of the request and a public comment period will remain open until September 17. Several other crypto firms have recently received preliminary trust charters, while two have been denied; Zerohash's application is the only one that has been returned. A company spokesperson said in August that the revised filing would be less ambitious and aimed at a more focused national trust approval aligned with its rollout timeline. The OCC and Zerohash did not respond to inquiries for comment. The firm operates a state‑chartered trust bank and provides crypto infrastructure services to firms such as Morgan Stanley’s E*Trade, BlackRock, Stripe, Franklin Templeton, Interactive Brokers and DraftKings. Zerohash is also party to a California wrongful termination lawsuit in which its former chief compliance officer alleges dismissal after raising compliance concerns.

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Bitcoin Extends Seven-Day Advance to Roughly 25% as Crypto Markets Rise

24h ago · Source: coindesk

Bitcoin rose more than 4% to top $80,000 for the first time since May, extending its seven‑day gain to roughly 25%, while the CoinDesk 20 index added 2.7%. The rally began after the U.S. Treasury announced it would at least double the size of long‑dated bond buybacks, and spot buying and deeper liquidity signaled meaningful capital deployment, according to Glassnode. Analysts noted about $3 billion of short positions were liquidated in two days and that Bitcoin on‑chain transaction volume remained near eight‑year lows. Futures positioning stayed bullish, with long positions accounting for more than 51% of taker flow, and Bitcoin futures open interest fell to the low‑700,000 BTC range. Ether and XRP futures showed similar patterns, while Solana’s open interest rose 4% to 66.14 million SOL, still within its recent range. The 24‑hour cumulative volume delta was negative for most top coins, indicating increased shorting via market orders. Options volatility indices declined, with Bitcoin’s 30‑day implied volatility dropping to 45% from 49% and a similar pattern for ether. Some options traders placed large bets on Bitcoin surpassing $82,000, but seven‑day skews for Bitcoin and ether remained negative, highlighting continued demand for downside protection. Among altcoins, Virtuals Protocol rose 12.5% after expanding its AI‑agent tokenization platform to Solana, Stacks increased 16%, Polygon gained 12% following a proposal to reform staking and tokenomics, Injective rose 10% after an affiliate’s SEC transfer‑agent registration, and Solana added 5.1% amid ETF inflows and a network upgrade. Aave, Ethena, Morpho and ether.fi posted declines of 8.5%, 6.4%, 7.9% and 1.3% respectively, without specific catalysts. The market’s direction remains uncertain as volatility eases and short‑position liquidation continues, while investors monitor upcoming regulatory and technical developments.

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Phantom to End Sui Support in Wallet on September 24

24h ago · Source: cryptoslate

Phantom will discontinue support for the Sui blockchain in its wallet on September 24, ending balance displays, transaction capabilities and app connections for Sui users.

The integration between Phantom and Sui launched on January 29, 2025, allowing users to send, receive, swap and manage Sui assets and to connect to applications such as Suilend, Navi, Aftermath and Bluefin. At that time the Sui Foundation reported that Phantom had about 15 million monthly active users, up from seven million in a December 2024 announcement, though those figures reflected the overall user base, not only Sui users.

On September 24 Phantom will remove Sui from its network list, stop displaying balances, halt Sui transaction support and terminate connections to Sui‑related decentralized applications. Users will need to reconnect to those applications through another compatible wallet. The product sunset does not end ownership of Sui assets; the credentials that authorize the assets remain on the Sui blockchain.

Phantom’s migration guide offers three pathways. Users can swap native SUI for wrapped SUI on Solana, which avoids recovery‑phrase migration. They can convert SUI into other assets such as SOL, ETH or USDC, also without moving the recovery phrase. Alternatively, users with a recovery phrase can import the same Sui address into Slush, or Ledger hardware‑wallet users can maintain their private keys offline while accessing the account through Slush; each option carries distinct fee structures and security considerations.

The decision raises security concerns because moving a high‑value recovery phrase during a forced interface change creates a window for impersonation. Both Phantom and Slush have stated they will not contact users first, request recovery phrases or private keys, or move assets on users’ behalf. The public record contains no disclosed number of affected users and no explanation for the split, leaving the economic and security impact unproven.

The episode underscores how wallet interfaces can shape discovery and routine access to a blockchain, even when the underlying ledger remains permissionless and ownership stays with the user. Users who miss the September 24 cutoff can restore Sui access through a compatible wallet at a later time.

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US Treasury Launches Quantum-Readiness Task Force for Digital Assets

24h ago · Source: cryptoslate

The U.S. Treasury announced on Aug. 24 the establishment of a Quantum-Readiness Task Force, including a workstream focused on digital assets, to prepare the financial system for potential vulnerabilities from quantum computing.

Quantum computers could break current public-key cryptography, putting blockchain signatures at risk. Approximately 7 million Bitcoin, representing addresses with exposed public keys, are considered potentially vulnerable, according to a June advisory from Coinbase’s independent quantum council. The advisory urged developers to begin technical and governance planning before quantum attacks become feasible. In June, BlackRock, Coinbase, Strategy and six other institutions created the Bitcoin Security Consortium, pledging $15 million over three years to fund post-quantum cryptography research and related efforts.

The Treasury’s task force will bring together representatives from federal agencies, financial institutions, market infrastructure operators and technology providers to identify critical cryptographic dependencies, enhance interoperability and address implementation challenges as existing encryption may become susceptible to more powerful quantum computers. Treasury officials said the group will not set a migration deadline for Bitcoin, Ethereum or other private digital‑asset companies; any transition would require separate engineering and governance decisions within each network. The initiative follows President Donald Trump’s June executive order directing high‑value federal systems to adopt post-quantum key establishment by Dec. 31 2030 and post-quantum digital signatures by Dec. 31 2031, deadlines that apply only to specified government systems. Treasury did not impose binding rules on crypto firms, and any future regulatory requirements would need specific authorities targeting private blockchains.

While the task force creates a coordination framework for the sector, it does not yet define a concrete timeline for migration, leaving the path forward open to future rulemaking.

CRYPTO

World Liberty Financial Launches USD1 Stablecoin Natively on Canton Network

24h ago · Source: cointelegraph

World Liberty Financial announced on Tuesday that its USD1 stablecoin is now live natively on the Canton Network, enabling institutions to settle transactions for tokenized real‑world assets.

USD1, the sixth‑largest stablecoin by market capitalization, had previously been issued on other blockchains.

The native integration lets USD1 serve as the cash leg for derivatives collateral, institutional lending, asset issuance and redemptions, while using Canton’s privacy and permissioning controls to settle tokenized assets in the same transaction.

USD1’s market capitalization stands at roughly $4.05 billion, according to DeFiLlama data. BitGo Bank & Trust, the issuer, manages reserves that include short‑term U.S. Treasurys, government money market funds and dollar deposits.

Canton is a public, permissionless blockchain designed for institutional finance, processing more than $9 trillion in tokenized assets each month and moving over $350 billion in U.S. Treasurys daily.

The launch follows a separate Canton expansion announced last week, in which Digital Asset and the American Idea Foundation plan a pilot to distribute state‑administered benefits across three U.S. states beginning in 2027.

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Thailand Moves Closer to Bitcoin, Ether ETFs with Draft Rules

24h ago · Source: cointelegraph

Thailand’s Securities and Exchange Commission announced draft rules for spot Bitcoin and Ether exchange‑traded funds that could be listed on the Stock Exchange of Thailand. The regulator said on Monday it is seeking public comment on two consultation papers, one outlining the ETF regulations and the other setting qualifications for foreign digital asset custodians used by mutual and private funds. The draft would permit passive ETFs that track only Bitcoin or Ether and require each fund to hold at least 80% of its net assets in the underlying crypto asset each year. ETFs would trade exclusively on the SET and would be limited to a single crypto asset. Mutual and private funds could invest in Thai‑domiciled ETFs as well as foreign ETFs, subject to existing investment limits, while the regulator would not allow alternative products such as depositary receipts tied to foreign ETFs during the initial phase. Onshore digital asset custodians would remain the primary providers for crypto ETFs, though the SEC said foreign custodians may be used when deemed appropriate. Foreign custodians serving mutual and private funds would need supervision by a regulator with legal authority and must meet standards the SEC considers adequate. The SEC will accept comments on the consultation papers until September 20.