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Institutions can now trade on Binance using tokenized money market funds held off the exchange.

The model cuts risk by keeping assets in regulated custody while still unlocking crypto liquidity.

The partnership shows how traditional finance and crypto are blending through tokenized assets.

Institutions can now deploy tokenized money market fund shares as trading collateral on Binance. Franklin Templeton and Binance launched the program to solve capital inefficiencies in crypto markets. The solution allows institutions to trade on Binance without moving assets onto the exchange. 

Instead, clients hold tokenized MMF shares through Franklin’s Benji platform in regulated custody. Binance mirrors the collateral value within its trading system. Ceffu provides the custody and settlement infrastructure. Consequently, institutions can earn yield while accessing crypto liquidity. The initiative reflects a broader push to merge traditional finance with digital assets.

Moreover, the program builds on a 2025 strategic collaboration between both firms. Eligible clients now use Benji-issued tokenized money market fund shares as off-exchange collateral. However, the assets remain secured in third-party custody. Binance integrates the collateral value directly into its trading environment. Hence, institutions avoid the counterparty risk of parking funds on exchanges.

How the Off-Exchange Model Works

Franklin Templeton issues tokenized MMF shares through its Benji Technology Platform. Clients hold these shares in regulated, off-exchange custody. Binance then mirrors the asset value inside its trading accounts. Ceffu supports custody and settlement for institutional participants.

Additionally, this structure tackles a long-standing pain point for large traders. Institutions often hesitate to move treasury assets onto exchanges. They worry about counterparty exposure and regulatory gaps. This program removes that friction. Consequently, traders maintain custody protections while unlocking capital efficiency.

Roger Bayston, Head of Digital Assets at Franklin Templeton, emphasized the institutional focus. “Since partnering in 2025, our work with Binance has focused on making digital finance actually work for institutions,” he said. 

He added, “Our off-exchange collateral program is just that: letting clients easily put their assets to work in third-party custody while safely earning yield in new ways. That’s the future Benji was designed for, and working with partners like Binance allows us to deliver it at scale.”

TradFi and Crypto Move Closer

Binance sees the move as a structural shift. “Partnering with Franklin Templeton to offer tokenized real-world assets as off-exchange collateral is a natural next step in our mission to bring digital assets and traditional finance closer together,” said Catherine Chen, Head of VIP & Institutional at Binance. She added, “Innovating ways to use traditional financial instruments on-chain opens up new opportunities for investors and shows just how blockchain technology can make markets more efficient."

Besides, institutions increasingly demand stable, yield-bearing collateral that supports 24/7 settlement cycles. They also require integration with governance and risk frameworks. Ian Loh, CEO of Ceffu, noted, “Institutions increasingly require trading models that prioritize risk management without sacrificing capital efficiency.”

The post Franklin, Binance Launch Tokenized MMF Collateral appears on Crypto Front News. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.

Bitcoin plunged below $80K after $2.7B liquidations unwound leverage built during months of consolidation.

U.S. selling dominated as Coinbase premium stayed negative and spot Bitcoin ETFs saw $6.2B net outflows.

Capital rotation into AI stocks drained crypto liquidity while ETF pressure and weak spot demand weighed prices.

Bitcoin has dipped as heavy liquidations erased all gains recorded after Donald Trump’s November 2024 election. The selloff unfolded across global crypto markets and intensified on February 9, 2026. According to Wintermute, leverage unwound rapidly after macro shocks triggered a delayed risk-off move, pushing Bitcoin below $80,000 for the first time since April 2025.

Sharp Selloff Follows Macro Shocks and ETF Pressure

According to Wintermute’s February 9 market update, Bitcoin fell from range-bound levels and briefly touched $60,000 before rebounding into the low $70,000s. Over $2.7 billion in liquidations hit as leveraged positions built during months of consolidation unwound. Notably, Bitcoin now trades about 50% below its October all-time high of $126,000.

Several events converged to trigger the move. These included Warsh’s Federal Reserve chair nomination on January 30, weak Magnificent Seven earnings, and a sharp precious metals correction. Microsoft shares dropped 10%, while silver lost 40% in three days. Markets processed these shocks slowly, then rotated broadly into risk-off positioning.

ETF activity also shaped price action. IBIT traded over $10 billion in notional volume on Thursday, underscoring the growing role of spot Bitcoin ETFs. However, forced selling linked to redemptions added pressure during declining prices.

U.S. Selling Dominates as Institutional Demand Fades

Spot market data showed persistent U.S. selling throughout the decline. Wintermute reported that the Coinbase premium remained negative during the entire move, indicating sustained domestic selling pressure. Internal OTC data confirmed that U.S. counterparties sold heavily all week.

At the same time, spot Bitcoin ETFs recorded roughly $6.2 billion in cumulative net outflows since November. This marked the longest outflow streak since ETF launch. IBIT emerged as both the largest holder and the largest source of incremental supply during redemptions.

Derivatives markets also reflected stress. IBIT and Deribit now account for nearly half of crypto options activity. Investors appeared complacent after compressed volatility before the washout.

AI Capital Rotation Weighs on Crypto Performance

Wintermute noted that capital rotation toward artificial intelligence stocks continued to drain liquidity from crypto. A widely shared chart showed Bitcoin tracking software stocks closely. However, AI-focused names absorbed most available capital.

When AI stocks are removed from the Nasdaq, crypto’s negative skew largely disappears. Until ETF flows reverse and the Coinbase premium turns positive, Wintermute reported that spot demand remains limited.

The post Bitcoin Erases Trump-Era Gains as $2.7B Liquidations Hit appears on Crypto Front News. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.

Banks softened stance by allowing possible exemptions but still pushed for a broad ban on stablecoin yield rewards.

Crypto firms sought wider definitions of permissible activities while banks argued rewards risk deposit flight.

Talks were called productive yet no deal emerged as pressure builds to resolve disputes before March 1.

White House officials hosted a second meeting on stablecoin yield rules this week as banks and crypto firms sought progress on the CLARITY Act. The talks took place Tuesday in Washington and included senior industry executives and regulators. According to Eleanor Terrett, participants called the meeting productive, although no compromise emerged by the end.

Banks and Crypto Firms Detail Positions on Stablecoin Rewards

According to Eleanor Terrett, both sides arrived better prepared than during the first meeting. Banking representatives presented written “prohibition principles” outlining acceptable and unacceptable terms on stablecoin rewards. 

Notably, the document included language allowing “any proposed exemption,” a shift from earlier positions. Previously, banks refused to discuss exemptions tied to transaction-based rewards. This change marked a limited concession during negotiations. 

However, the document still called for a general ban on stablecoin yield. The principles proposed barring any financial or non-financial consideration linked to holding or using payment stablecoins. 

Banks argued rewards could encourage deposit flight and threaten traditional lending. Trade groups present included the American Bankers Association, Bank Policy Institute, and ICBA.

Crypto representatives focused heavily on defining “permissible activities.” They pushed for broader definitions that allow rewards tied to account usage. Banks, however, sought narrower language to limit such activity.

Ripple CLO Signals Movement as Talks Continue

Ripple Chief Legal Officer Stuart Alderoty described the meeting as productive in a post on X. He stated that “compromise is in the air” as discussions continue. Alderoty attended alongside Paul Grewal of Coinbase, Miles Jennings of a16z, and executives from Paxos and the Blockchain Association.

Summer Mersinger, CEO of the Blockchain Association, echoed that discussions remained constructive. Ji Kim of the Crypto Council for Innovation also confirmed ongoing engagement. However, no final agreement emerged during the session.

The meeting was led by Patrick Witt, Executive Director of the President’s Crypto Council. Senate Banking Committee staff were also present. Notably, the White House reduced attendance compared with the first meeting.

Legislative Pressure Builds Ahead of March Deadline

The White House urged both sides to reach a deal by March 1. Further discussions are expected in the coming days. However, it remains unclear whether another large-scale meeting will occur before month’s end.

The stablecoin yield debate continues to block Senate Banking Committee action on the Digital Asset Market Clarity Act. Although the bill passed the House last year, unresolved disputes remain. For now, talks continue without a final resolution.

The post White House Stablecoin Yield Meeting Sees Progress, But No Deal appears on Crypto Front News. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.

Marszalek spent $70M in crypto to acquire AI.com, setting a new domain sale record.

AI.com will host autonomous AI agents managing tasks, messaging, and workflows.

The Super Bowl ad drove massive traffic, temporarily crashing the AI.com website.

The AI.com domain has been officially purchased by Crypto.com CEO Kris Marszalek in a set record of $70 million in crypto. The platform was then launched with autonomous AI agents, capable of managing tasks and enhancing features.

Marszalek Secures AI.com Domain in Historic Crypto Deal

Crypto.com CEO Kris Marszalek finalized the AI.com domain purchase in April 2025 for $70 million. The sale is the largest publicly disclosed domain transaction on record.

The previous top sales included CarInsurance.com at $49.7 million in 2010 and Voice.com at $30 million in 2019. Analyst Broker Larry Fischer noted the rarity of such opportunities.

Marszalek stated that AI will be one of the greatest technological waves over the next 10 to 20 years. The CEO has previously invested heavily in naming rights, including the Staples Center rebranding.

https://twitter.com/coingecko/status/2020725203546837059?s=20

The AI.com acquisition serves as a strategic launchpad for Crypto.com’s new consumer AI platform. The platform aims to offer personal AI agents capable of executing multiple daily tasks for users.

AI.com Launches Autonomous Agents During Super Bowl

The AI.com platform debuted its agentic AI product during Super Bowl 60 on February 9, 2026. The commercial encouraged viewers to create handles on the site, generating a massive influx of traffic.

The ad introduced agents that can organize work, send messages, execute app actions, build projects, and even trade stocks. 

Marszalek emphasized the agents’ ability to autonomously build new features. The improvements made by one agent are shared across the network, increasing utility for all users.

Future Features and Subscription Options for AI.com

AI.com users can access the platform for free, with paid subscription tiers providing advanced capabilities and higher input token limits. The company is actively exploring additional offerings.

Planned features include financial service integrations, agent marketplaces, and co-social networks for human and AI collaboration. Users will select usernames, and AI handles to personalize their agents.

Marszalek’s vision is a decentralized network of billions of self-improving agents. The network aims to accelerate capabilities and contribute toward developing artificial general intelligence.

The post Crypto.com Launches AI.com After Record $70M Crypto-Paid Domain Acquisition appears on Crypto Front News. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.

Coinbase Premium Index spikes as U.S. investors push Bitcoin demand, revealing deep-pocketed accumulation beyond retail activity.

Vertical premium signals strategic U.S. positioning, suggesting long-term allocation rather than short-term trading moves.

$73K remains a focal resistance, while institutional buying shapes Bitcoin’s near-term market structure and price action.

The Coinbase Premium Index surge signals strong U.S. spot demand for Bitcoin. This reflects decisive accumulation by institutional and strategic investors. It also indicates a shift toward longer-term market positioning.

Coinbase Premium Index Surge Signals U.S. Spot Demand

The Coinbase Premium Index vertical increase indicates that U.S.-based investors are driving Bitcoin demand.

https://twitter.com/Eljaboom/status/2020623467314635135?s=20

The sudden rebound suggests that the premium is leading price action. Historically, such moves are associated with buyers of size and long-term strategies entering the market.

Markets now observe that this rebound aligns with U.S. investors prioritizing exposure over short-term gains. These investors often operate in regulated venues like Coinbase to ensure custody and compliance certainty.

Recent activity also shows that volatility in Bitcoin does not hinder this demand. Instead, the premium’s vertical movement reflects urgency in acquiring Bitcoin before broader market conditions shift.

Strategic Positioning by the U.S. Investors

The Coinbase Premium Index signals more than temporary trading activity. U.S. entities typically enter the market with allocations that reflect longer-term objectives.

Allocators, such as institutional funds, ETFs, or banks, tend to make non-negotiable bids. Their activity can influence premiums ahead of price movements, emphasizing structural market demand.

Speculation about front-running potential regulations is evident. This reflects structured buying rather than retail speculation.

Coinbase serves as an optimal venue for these participants, offering compliance assurance and large order handling. These factors are consistent with a sustained premium, indicating ongoing U.S. spot demand.

Key Levels and Market Observations

Bitcoin’s $73,000 level is currently a key resistance. Previously, it capped prices for almost five months in 2024. Traders are closely monitoring this range.

The combination of macro sentiment and premium activity underscores focused buying.

President Donald Trump’s comments regarding the Dow and potential Fed rate decisions remain under scrutiny. Markets interpret these signals for their impact on institutional capital flows and safe-haven allocations like Bitcoin and gold.

Market observers also note that positioning suggests traders continue to deleverage and unwind exposure rather than aggressively chasing price spikes. This dynamic emphasizes that premium-driven buying is largely structural.

The Coinbase Premium Index rebound confirms that U.S. investors, particularly those with strategic objectives, are actively purchasing Bitcoin. This movement provides a clear view of the market’s marginal buyer, guiding future analysis.

The post Coinbase Premium Index Soars as U.S. Investors Push Bitcoin Spot Demand Higher appears on Crypto Front News. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.

Over 1M SOL have been withdrawn from exchanges in 72 hours as long-term holders show confidence.

Post-flush price consolidation shows that the market absorption is not renewed selling pressure.

In February, TVL cooled gradually, as holders redistributed positions to reduce sudden liquidity loss.

Over 1.077 million SOL were withdrawn from exchanges in the past 72 hours. Analytically, reduced exchange supply suggests lower selling pressure. Usually, this creates conditions for potential upward momentum in SOL price.

Exchange Withdrawals Indicate Reduced Sell Pressure

This pattern suggests a shift from distribution to accumulation. With supply leaving exchanges and potentially thinning order books, this could affect future price action.

https://twitter.com/alicharts/status/2020649344811311493?s=20

This signals growing confidence from institutional investors, who may be anticipating higher SOL prices.

Or they could be simply protecting their holdings from short-term market swings. Either way, the trend hints at a cautious yet structurally bullish outlook.

Price Action Shows Post-Capitulation Absorption

SOL price followed a descending structure with lower highs and lower lows, culminating in a sharp flush toward the low-$80s. The capitulation included a high-volume wick, signaling seller exhaustion.

Source: CryptoRank

Following the flush, the price rebounded to the mid-$80s, forming a tight consolidation range.

Technical indicators confirm the transition from aggressive selling to market balance. The MACD, which was negative, crossed bullish during the rebound, then flattened near the zero line. 

Similarly, RSI recovered from oversold territory to mid-40s and low-50s, then slightly declined. Both indicators suggest compression rather than renewed bearish pressure.

Volume trends during this period declined while price consolidated, indicating neither buyers nor sellers held full control. Market movement in this phase represents absorption, where prior selling is met with cautious accumulation. 

Analysts note this creates conditions for a potential upward impulse if resistance levels are breached.

February TVL Movement Suggests Healthy Redistribution

Solana’s total value locked (TVL) data shows that investors are rotating funds into Solana rather than leaving assets idle.

The controlled decline suggests profit-taking and reallocation rather than mass withdrawals. Core liquidity remained, indicating a structurally stronger foundation for Solana heading into March.

The TVL behavior aligns with broader market volatility. Price corrections during this period led to partial unwinding of leveraged or short-term positions. 

Despite this, TVL maintained a level above pre-February values, showing that capital was redistributed, not lost. This redistribution underlines a market that absorbed gains while retaining structural strength.

The post 1M+ SOL Withdrawn From Exchanges in 72 Hours, Signaling Reduced Sell Pressure appears on Crypto Front News. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.

MSTR fractals show past support near $120 and corrective bounces, hinting at recurring trader behavior patterns.

Losses are largely non-cash; $50B in bitcoin vs $8.2B debt shields MSTR from balance sheet stress.

Analysts target $750 upside if bitcoin climbs, while rallies often act as seller reloads amid volatile swings.

Strategy MSTR stock surged 26% in a single session, climbing from $107 to $135, marking a decisive rebound after recent weakness. Intraday momentum pushed the stock near its session high of $135.67. 

Analysts note this rally aligns with fractal patterns observed in MSTR’s previous cycles, hinting at key support near $120.

Fractal Patterns in MSTR Stock

The weekly chart for Strategy MSTR stock displays a familiar structure from prior cycles. The current setup mirrors a past parabolic rise followed by a distribution phase at the highs. 

Traders observe that previous support levels have shifted into resistance, acting as a trapdoor for price action. In the last cycle, once MSTR broke below its range floor, downside momentum accelerated. 

https://twitter.com/alicharts/status/1989354887520633294?s=20

Volatility expanded, and price bounces became corrective. Sellers actively defended prior support zones. Current behavior appears similar, suggesting recurring market psychology.

Recent attempts to rally near the $170–$180 range resemble a “dead-cat” bounce. Buyers briefly entered, but supply regained control quickly. 

Fractals indicate patterns are driven by trader behavior rather than identical candle formations.

Balance Sheet Strength Amid Losses

Strategy reported a $17.4 billion operating loss and a $12.6 billion net loss in Q4. These losses are primarily non-cash mark-to-market accounting charges due to bitcoin’s price decline. 

https://twitter.com/saylor/status/2020638352589103342?s=20

Benchmark analysts state true balance sheet stress would only occur if bitcoin fell below $8,000 for several years. Management confirmed that none of the debt carries covenants tied to bitcoin prices. 

TD Cowen highlighted that MSTR was designed to amplify bitcoin volatility with equity trading around 1.5 times bitcoin swings. Staggered debt maturities and cash reserves reduce near-term forced selling risk.

Analyst Perspectives and Market Sentiment

Analysts from TD Cowen and Benchmark maintain buy ratings for Strategy MSTR stock. TD Cowen views MSTR as one of the most efficient methods for gaining leveraged bitcoin exposure outside ETFs. 

The company’s preferred equity business and liquid STRC preferred stock offering an 11.25% dividend also support positive sentiment. Market reactions have shown volatility in response to Q4 earnings. 

MSTR shares fell approximately 17% after the report but rebounded 21% as bitcoin moved from $60,000 back above $70,000. Analysts agree that rallies currently serve as opportunities for sellers to reload rather than new uptrend signals.

The post Analysts Split on MSTR: Will It Drop to $120 or Soar to $750 on BTC Strength? appears on Crypto Front News. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.

Blockchain.com now fully FCA-registered, offering regulated crypto services across the UK and EU.

The company will expand wallets, custody, and institutional tools under strict UK compliance.

With 90M+ wallets and $1.2T processed, Blockchain.com strengthens trust in UK digital assets.

Blockchain.com has officially registered with the Financial Conduct Authority (FCA) to operate as a crypto asset business. 

As per the release, the company has spent over a decade at the center of Britain’s crypto ecosystem, both as a service provider and investor. Hence, this registration enables Blockchain.com to offer brokerage, custodial, and institutional-grade services in full compliance with one of the world’s strictest financial regulations. 

CEO Peter Smith said, “We’ve always believed in the importance of getting this right. We are committed to working hand-in-hand with the FCA and UK policymakers as they shape the permanent regulatory framework.”

This regulatory achievement builds on the recent acquisition by Blockchain.com of a MiCA license. As a result of this acquisition, the company is now able to deliver crypto services across the full spectrum of European Economic Area countries under one set of regulations.

Nic Cary, Co-founder and Vice Chairman, added, "This registration marks our long-term commitment to responsible growth within one of the world’s most respected regulatory environments."

Additionally, the registration with the FCA places Blockchain.com in an advantageous position for the new permanent UK regulation that is set to be introduced in 2027.

Expanding Services Across the UK

Once approved by FCA, Blockchain.com aims to grow considerably. This will include digital asset custody and wallet services for retail and institutional customers. There will also be compliance and treasury solutions for institutions.

Aside from providing a secure financial partnership, Blockchain.com also seeks to enhance access to brokerage services in a way that fully meets FCA requirements. These are steps towards developing a strong, secure, and compliant crypto environment in the UK.

To date, Blockchain.com has facilitated more than $1.2 trillion in transactions and over 90 million wallets worldwide since 2011. Therefore, the company’s rich knowledge and experience are sources of reliability and trust in the evolutionary process of the UK’s regulatory environment. The company’s reach is extended to over 70 jurisdictions worldwide, further bolstering our position in the digital assets innovation market.

The post Blockchain.com Gains FCA Registration, Strengthens UK Crypto Presence appears on Crypto Front News. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.

BTC falls below whale realized prices, hinting at prolonged weakness and cautious market behavior.

Fresh investor inflows turn negative, showing sell-offs aren’t being absorbed by new capital.

Exchange outflows hit $456B; 78% of platforms shed funds, confirming market-wide bearish pressure.

Bitcoin faces market stress as prices dip below key whale thresholds, signaling early bear market dynamics. Data shows whales holding between 100 and 1,000 BTC, worth $7–70 million at current levels, see their realized price at $69,000. _onchain notes, “The last time this occurred after an ATH was in June 2022, when price traded below it for roughly seven months.” Consequently, whale behavior indicates potential prolonged weakness in BTC’s recovery trajectory.

Besides, the lack of fresh capital compounds the pressure. According to IT_Tech_PL, “New investor inflows have flipped negative. The sell-off is not being absorbed by fresh capital.” Historical patterns confirm that bull markets typically attract accelerating capital during drawdowns, while early bear phases trigger withdrawals. Currently, 30-day net inflows total −$2.6 billion, highlighting reduced participation and contracting liquidity. This environment forces any upward moves to remain corrective rather than trend-defining.

The breach of the whale's realized price is a clear signal of bearish momentum. When BTC trades below these levels, long-term holders may reduce exposure, amplifying downward pressure. Moreover, this mirrors patterns observed post-ATH in mid-2022, which persisted for seven months. Hence, traders monitoring whale positions should exercise caution, as internal rotations rather than new capital now dictate price movement.

Exchange Withdrawals Highlight Market-Wide Weakness

Exchange flows corroborate the bearish trend. Crazzyblockk reported, “Everyone blamed Binance FUD, but Exchange data reveals something different. This is market-wide bearish withdrawal.” Between January and February 2026, 78% of exchanges experienced net outflows. Binance’s withdrawal ratio peaked at 4.65, below the market average of 5.71, proving widespread pressure extends beyond any single platform. 

Additionally, total market outflows reached $456 billion versus $445 billion inflows, indicating collective capital exit. Only 17 out of 80 exchanges posted positive inflows, underscoring the systemic nature of the downturn.

Furthermore, bearish withdrawal patterns align with historical behavior in early bear markets. Investors often move funds to cold wallets, tightening liquidity and limiting fresh capital. Consequently, BTC’s short-term trajectory now depends on internal rotations rather than new market entrants.

The post BTC Faces Early Bear Market Pressure Amid Whale Sell-Offs appears on Crypto Front News. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.

Bithumb’s internal ledger credited BTC far exceeding verified on-chain reserves during a system malfunction.

A sudden supply shock caused a sharp local drop in the BTC price, which diverged from global markets within minutes.

Lawmakers labeled the failure structural, opening the door to audits and formal investigations.

The Bithumb Bitcoin reserve incident has drawn attention after abnormal BTC credits triggered a sharp price collapse on the Korean exchange. The event exposed a disconnect between internal balances and blockchain-backed reserves, raising questions about exchange controls and user protections.

Internal Ledger Failure Triggers Market Shock

The Bithumb Bitcoin reserve incident began when users were credited with unusually large BTC balances. Official reserve data shows Bithumb holds about 41,843 BTC on-chain. 

Yet system records briefly reflected hundreds of thousands of BTC in user accounts. Market participants reacted immediately. 

https://twitter.com/CryptoPatel/status/2020580893774279162?s=20

Social media posts circulated screenshots showing unexpected balances and rapid sell orders. Tweets described the episode as an operational breakdown rather than a routine interface error.

As sell pressure surged, the BTC/KRW trading pair detached from global prices. Liquidity thinned, and bids vanished across multiple price levels. 

This created a short-lived but severe local discount compared with international exchanges.

Price Collapse Reveals Liquidity Fragility

The sudden increase in tradable BTC overwhelmed Bithumb’s order books. Thousands of coins entered the market within minutes. 

Local market makers withdrew, and price discovery stalled. Charts shared widely on trading platforms showed a sharp red wick. 

https://twitter.com/lookonchain/status/2019751187646402923?s=20

Bitcoin briefly traded near ₩81 million while global prices remained much higher. The movement reflected excess supply rather than macroeconomic or blockchain activity.

Regulatory Attention and Industry Signal

Korean lawmakers reportedly referred to the case as a structural failure. This classification suggests deeper flaws in accounting and settlement systems. 

Authorities are expected to examine whether controls matched regulatory standards. The episode demonstrated that internal databases can temporarily override blockchain constraints. 

Balances became spendable before reserve verification. Such gaps expose exchanges to liquidity risk when withdrawals or conversions occur simultaneously.

Industry observers now view the Bithumb Bitcoin reserve incident as a cautionary episode. Confidence depends on alignment between ledgers and on-chain assets. 

Any mismatch can disrupt markets within minutes and damage trust in centralized trading venues.

The exchange later restored prices, but the episode remains under review. For traders, the event reinforced the difference between account balances and blockchain custody. 

On-chain reserves remain the fixed constraint. Internal systems function as promises until verified through withdrawals.

The post Bithumb BTC Balance Error Triggers Flash Crash and Reserve Transparency Fears appears on Crypto Front News. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.

Ethereum plans to let validators verify blocks using zero knowledge proofs instead of re-executing every transaction.

EIP 8025 introduces optional execution proofs so attesters can validate blocks with constant cost and lighter hardware.

The L1 zkEVM roadmap depends on ePBS and zkVM teams already proving Ethereum blocks ahead of a 2026 rollout.

Ethereum is preparing a major validation overhaul that could change how blocks are confirmed on the network. Ethereum Foundation member ladislaus.eth said the shift replaces transaction re-execution with zero-knowledge proof verification. The plan, outlined under the L1-zkEVM 2026 roadmap, targets validators, developers, and home stakers across Ethereum’s global network.

From Transaction Re-Execution to Proof Verification

Currently, every Ethereum validator re-executes all transactions in each block to confirm validity. However, according to ladislaus.eth, this approach scales poorly as on-chain activity grows. More gas usage increases storage, bandwidth, and hardware demands for every node.

Under the proposed design, validators would instead verify cryptographic proofs. These proofs confirm correct execution without re-running transactions. Notably, verification time remains constant regardless of block complexity.

This shift relies on zkEVM technology, now moving into Ethereum’s core protocol. Importantly, the change does not replace current methods. Instead, it adds an optional validation path for attesters.

EIP-8025 Introduces Optional Execution Proofs

The roadmap centers on EIP-8025, known as Optional Execution Proofs. The proposal allows validators, called zkAttesters, to confirm blocks by checking zero-knowledge proofs. They would no longer need to run a full execution client.

According to the design, execution layer clients generate execution witnesses. These witnesses feed into zkVMs, which produce proofs of correct state transitions. Consensus layer clients then verify those proofs.

Proofs from different execution clients would circulate through a dedicated gossip network. Attesters would accept blocks after verifying a threshold, currently proposed as three of five proofs. This structure preserves client diversity while reducing validation costs.

Roadmap Timeline and Infrastructure Dependencies

The Ethereum Foundation has scheduled the first L1-zkEVM workshop for February 11, 2026, at 15:00 UTC. The session will cover six research tracks, including prover infrastructure and security verification.

Notably, the roadmap depends on enshrined proposer-builder separation, or ePBS. ePBS, targeted for the Glamsterdam hardfork, extends proof generation time windows. This change enables real-time proving within a single slot.

As development progresses, zkVM teams such as RISC Zero, ZisK, and openVM already prove Ethereum blocks. Meanwhile, EIP-8025 now sits in the consensus-specs features branch, pending further review.

The post Ethereum Moves Toward ZK Proofs for Core Block Validation appears on Crypto Front News. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.

Bitcoin, NASDAQ, and Silver hit simultaneous lows on the same 5-minute candle at 11:15 am Asia time.

The synchronized selloff resulted from forced multi-asset deleveraging, not crypto-specific catalysts.

Correlations surged temporarily during liquidation, then relaxed once the weakest leveraged positions were closed.

A Bitcoin synchronized selloff occurred at 11:15 am Asia time, impacting NASDAQ and Silver simultaneously. Liquidity conditions reset, triggering widespread deleveraging across assets.

Rare Timing Signals Macro Stress

The Bitcoin synchronized selloff occurred minutes after the crypto daily open. At this time, liquidity resets and funding calculations roll. Risk engines reassess exposure, creating a vulnerable environment for leveraged traders.

Across three distinct markets, the lows appeared on the same five-minute candle. Such precision is highly unusual. This simultaneity suggests forced flows rather than individual, discretionary selling decisions.

Trading patterns reinforce this conclusion. The move displayed a slow grind, followed by an air-pocket flush, and finally an aggressive snapback. Volume spikes at the lows indicate rapid liquidation, not lack of interest.

https://twitter.com/DaxxTrader/status/2020376772571963692?s=20

Structure Shows Widespread Deleveraging

All three markets—Bitcoin, Silver, and NASDAQ—shared the same decline structure. Slow reductions in risk were followed by sudden margin calls and stop-loss triggers. Algorithms accelerated selling as liquidity thinned.

The aggressive snapback after the flush demonstrates exhaustion of forced selling. Positions closed mechanically, then stabilized as markets absorbed the excess. This aligns with textbook deleveraging behavior observed in multi-asset books.

Crowded trades amplify such events. Bitcoin, tech equities, and metals increasingly belong to the same “macro-sensitive” trade bucket. When risk thresholds are breached, liquidation occurs across all assets simultaneously.

Correlations Reflect Shared Risk Exposure

The event underlined how different assets behave as one under stress. BTC as a high-beta liquidity asset, NASDAQ as a growth proxy, and Silver as a hybrid inflation hedge all reacted in tandem.

Prime brokers enforce risk limits without regard for asset class. Multi-strat hedge funds, family offices, and leveraged retail positions all contribute to sudden, synchronized moves. Forced selling transcends individual market fundamentals.

After such events, markets often stabilize. Correlations spike briefly, then relax as leverage is purged. Bitcoin may rebound alongside tech if liquidity and risk appetite return. Alternatively, post-capitulation consolidation could dominate while the market digests prior volatility.

The post Bitcoin, NASDAQ, and Silver Drop Together in Rare Synchronized Market Flush appears on Crypto Front News. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.

LayerZero’s tech moves digital assets across blockchains securely, helping stablecoins like USDt0 operate without losing liquidity.

Tether’s Wallet Development Kit + LayerZero enables AI wallets to transact autonomously at scale.

USDt0 has moved $70B in a year, proving LayerZero’s infrastructure works for real-world, global crypto settlements.

Tether Investments has made a major strategic move by investing in LayerZero Labs, the team behind a leading interoperability protocol. The investment highlights Tether’s commitment to building proven, production-ready infrastructure for cross-chain digital asset transfers. 

The integration of Tether's WDK with LayerZero's technology positions the move to further power seamless payments, settlements, and custody for real-world applications. In addition, the infrastructure will support agentic finance, enabling AI wallets to act autonomously in stablecoin and digital asset transactions at scale.

LayerZero Labs has developed one of the most widely adopted bridging frameworks in the blockchain market. Its technology ensures secure and efficient movement of digital assets across multiple blockchains. 

Over the past year, LayerZero’s infrastructure enabled Everdawn Labs to launch USDt0 and XAUt0, demonstrating large-scale cross-chain transfers under live market conditions. Consequently, these implementations proved that tokenized assets and stablecoins can operate across chains without losing liquidity or causing fragmentation.

Real-World Impact and Adoption

USDt0 has processed over $70 billion in cross-chain value transfers within just twelve months. This milestone validates LayerZero Labs’ technology as critical infrastructure supporting major digital assets. Additionally, the Omnichain Fungible Token standard underpins these transfers, ensuring seamless interoperability. 

Paolo Ardoino, CEO of Tether, emphasized the practical significance, stating, “LayerZero Labs has built interoperability technology that allows digital assets to be transferred in real-time across any transport layer and distributed ledger.” Hence, the investment strengthens the foundation for digital assets to act as global settlement instruments.

LayerZero CEO Bryan Pellegrino also highlighted the partnership’s importance. “The success of USDt0 was an important stepping stone. Having Tether deepen its commitment with this investment is the ultimate validation,” he said. Besides, the collaboration aims to reduce fragmentation, enhance liquidity efficiency, and enable stablecoins to function seamlessly across diverse blockchain networks.

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Buterin says Ethereum and AGI should prioritize intentional, safe progress over unchecked acceleration or pure capability races.

He highlights privacy tools like local LLMs, ZK payments, and TEEs to enable trustless AI use without identity leakage.

Ethereum could act as an economic layer for AI agents, enabling API payments, bot hiring, deposits, and on-chain disputes.

Ethereum co-founder Vitalik Buterin has outlined how Ethereum could support AI coordination and economic interaction. He shared the views in a recent X post, reflecting on ideas first raised two years ago. Buterin explained why he sees Ethereum and artificial intelligence as linked through governance, privacy, and economic design.

Rethinking Ethereum and AGI From a Shared Philosophy

Buterin said discussions around Ethereum and artificial general intelligence often start from separate philosophical viewpoints. However, he argued both should prioritize intentional progress over unchecked acceleration. He referenced a recent exchange with Solana co-founder Anatoly Yakovenko, known as Toly.

According to Buterin, framing work as simply “building AGI” misses important distinctions. He compared it to reducing Ethereum to “working in finance” or “working on computing.” Instead, he said both Ethereum and AGI require choosing a constructive direction.

He emphasized human freedom and safety as core goals. These include avoiding permanent power loss to institutions or advanced systems. He also cited risks from offense outpacing defense, referencing his earlier d/acc framework.

Tooling for Private and Trustless AI Interaction

Buterin then shifted focus to near-term priorities. Notably, he highlighted building tools for trustless and private AI interaction. These include local large language models and zero-knowledge payments for API calls.

He explained that ZK payments could allow remote AI usage without linking user identities. He also pointed to cryptographic methods to improve AI privacy. These include client-side verification of proofs and Trusted Execution Environment attestations.

According to Buterin, these tools mirror earlier Ethereum privacy goals. However, they now apply to AI computation instead of financial transactions. He described this work as essential groundwork.

Ethereum as an Economic Layer for AI Agents

Buterin also outlined Ethereum’s role as an economic coordination layer. He said Ethereum could support AI-related API payments and bot-to-bot hiring. He also mentioned security deposits and potential on-chain dispute resolution.

He referenced ERC-8004 and AI reputation systems as building blocks. These mechanisms, he said, could enable decentralized AI architectures. Economic interaction would replace centralized coordination.

Finally, Buterin revisited governance and market design. He said LLMs can scale human decision-making. This could revive prediction markets, quadratic voting, and decentralized governance models first explored in 2014.

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OKX says DEXs will dominate, while Binance faces criticism for centralizing crypto power.

CEXs protect users with rules; DEXs give full self-custody freedom. Both have roles.

Experts urge collaboration over public disputes to grow crypto responsibly and fairly.

The crypto industry is witnessing growing tension as OKX openly questions Binance’s market dominance. Simon Dedic, a prominent crypto analyst, argued that even major centralized exchanges (CEXs) like OKX are frustrated with Binance’s aggressive tactics. 

He stated, “It’s inevitable that DEXs will eat the entire CEX market share,” emphasizing that long-term industry growth cannot thrive under centralized control. This debate raises questions about market access, accountability, and the future of exchanges.

OKX’s position highlights the tension between decentralized exchanges (DEXs) and centralized platforms. Dedic suggested that CEXs, especially Binance, squeeze the crypto space “like a lemon until there’s nothing left,” hinting at monopolistic behaviors. 

Consequently, he argues that the transition to DEXs is unavoidable. However, OKX CEO Star countered this framing. Star explained, “DEXs and CEXs serve fundamentally different roles. Open, permissionless access belongs to DEXs; responsibility, standards, and accountability belong to CEXs.” This perspective underscores the regulatory and protective obligations CEXs hold while providing market access.

Access Versus Responsibility in Crypto Exchanges

The core of the debate centers on access and responsibility. Star stressed, “Users who interact with DEXs understand—or should understand—that they are using a tool and assuming full responsibility for their actions.” 

By contrast, CEXs custody user funds, acting similarly to banks. Hence, they enforce anti-money laundering, sanctions compliance, and consumer protection measures. Star concluded, “Conflating DEXs and CEXs is not openness. It is an attempt to avoid responsibility,” highlighting a fundamental difference in operational philosophy between OKX and Binance.

Meanwhile, other voices in the community urge cooperation over confrontation. Books, a crypto commentator, noted that public disputes could harm the industry. “You probably had the ability to jump on a call with CZ rather than put it out on the timeline,” he remarked, emphasizing collaboration over public criticism. 

Additionally, 0xMo.eth argued that access and responsibility can coexist, stating, “Providing access doesn’t mean abandoning standards. CEXs can maintain compliance while expanding market access.”

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Cango sold 4,451 BTC at ~$68.5k to repay a Bitcoin-backed loan, reducing leverage and improving liquidity.

Despite the sale, Cango still holds 3,645 BTC and says it remains committed to Bitcoin mining operations.

Proceeds will fund an AI pivot using modular GPU nodes across 40+ sites to offer distributed compute services.

Cango Inc sold 4,451 Bitcoin over the past weekend, raising about $305 million to reduce debt and fund AI expansion. The company disclosed the sale after board approval, with proceeds settled in USDT. Cango said the transaction followed a review of market conditions and aimed to strengthen its balance sheet.

Bitcoin Sale and Balance Sheet Adjustment

According to Cango, the Bitcoin sale was completed on the open market and settled directly in USDT. The company used the full proceeds to partially repay a Bitcoin-collateralized loan. This move reduced financial leverage and improved liquidity.

The sale implies an average price near $68,524 per Bitcoin. Shares were little changed in Monday trading. However, Cango stock remains down about 83% year over year.

Despite the divestment, Cango continues to hold 3,645 Bitcoin. Those holdings are valued above $250 million, according to BitcoinTreasuries data. The company said it remains committed to Bitcoin mining while optimizing capital allocation.

Shift Toward AI Compute Infrastructure

Following the balance sheet adjustment, Cango outlined its strategy to expand into AI computing. The company plans to use its grid-connected global infrastructure to offer distributed compute services. More than 40 sites will support this effort.

Cango said it will begin with modular, containerized GPU nodes. These units will provide inference capacity for small and mid-sized enterprises. The company described this segment as underserved.

Later phases include building a software orchestration platform. This system will unify compute resources across locations. Cango said the modular approach allows faster deployment than traditional data centers.

Leadership Changes and Industry Context

To support the AI strategy, Cango appointed Jack Jin as chief technology officer for its AI business. Jin previously worked at Zoom Communications Inc. He led large-scale GPU cluster deployments for language model inference and training.

Cango said Jin’s background in GPU orchestration aligns with its distributed compute roadmap. The company framed its pivot as a response to rising compute demand and grid constraints.

Other miners are making similar moves. Bitfarms said it plans to exit mining by 2027. Analysts at KBW recently downgraded Bitfarms, Bitdeer, and Hive Digital, citing execution risks in AI transitions.

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Stablecoins can speed up cross-border payments but may weaken local currencies in countries with inflation or weak banks.

Lack of regulation and weak KYC rules could make stablecoins risky, even enabling illicit financial activity.

Ripple predicts stablecoins will become central to global finance, with 50% of Fortune 500 firms holding them by 2026.

The International Monetary Fund (IMF) has sounded a warning that stablecoins could fundamentally change global payments, while highlighting major financial risks. In a post on its official X page, the IMF said that rising adoption of stablecoins, especially dollar-pegged ones, may challenge local currencies in weaker economies. 

The institution emphasized that these digital assets were fully capable of eroding the control of the central bank as well as causing a state of macroeconomic instability in case the regulatory environment was not clear. Secondly, in addition to that, the IM also pointed out that the stablecoins could creep in to replace the local currencies in those countries that were experiencing high rates of inflation.

Furthermore, the IMF has included a caution that the rate of capital flight might increase with the emergence of stablecoins. Money might exit a particular country easily, thereby causing volatility. It has also pointed out the lack of regulation as an area of serious concern.

For instance, the IMF raised concerns about the question of who actually has the power in terms of global stablecoins, as well as how conflicting jurisdictions would be able to resolve any disputes. It also raised concerns over the operation risks and KYC processes, which might increase risks by facilitating illicit financial activities.

Potential Benefits Amid Risks

However, the IMF recognized that stablecoins cannot be ignored. These digital assets could lower costs and increase speed for cross-border payments. Consequently, they may support growth in tokenized assets and broader financial inclusion. Besides, the IMF highlighted that stablecoins could expand beyond crypto trading if proper legal frameworks are implemented. 

“Stablecoins have the potential to reshape cross-border payments and capital flows,” the report stated. Hence, regulatory clarity remains crucial to prevent economic destabilization in vulnerable nations.

Ripple President Monica Long also weighed in, emphasizing stablecoins’ growing role. She predicted that the sector would integrate into mainstream financial systems, becoming foundational for global settlements. 

Long forecasts that by the end of 2026, roughly 50% of Fortune 500 companies will hold crypto exposure, including stablecoins. Additionally, the European Union’s Systemic Risk Board aligned with these concerns, proposing a ban on multi-issuance stablecoins, citing potential risks to the euro’s stability.

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Bessent criticized Coinbase’s stance on the CLARITY Act, saying delaying legislation undermines long-sought regulatory certainty.

He urged compromise, rejecting claims that no bill is better than a flawed one as crypto rules remain stalled in the Senate.

Stablecoin yield and Fed “skinny” accounts dominate renewed White House talks between banks, crypto firms, and regulators.

U.S. Treasury Secretary Scott Bessent criticized Coinbase’s opposition to the CLARITY Act ahead of a White House crypto meeting today. Speaking on FOX News, Bessent said the stalled bill threatens regulatory certainty the industry has sought for years. His remarks target comments from Coinbase CEO Brian Armstrong as talks resume between crypto firms and banks.

Bessent Calls for Compromise on Stalled Crypto Bill

During the FOX News interview, Bessent urged all parties to seek a middle-ground solution. He stressed that advancing the CLARITY Act remains critical at this moment. According to Bessent, the legislation must move forward to provide clear rules for digital assets.

He directly addressed comments from Coinbase CEO Brian Armstrong. Armstrong previously said having no bill was preferable to passing a flawed one. However, Bessent rejected that view and described such resistance as unproductive.

“We’ve got a few recalcitrant actors,” Bessent said during the interview. He added that crypto cannot move forward without finalized legislation. He also linked the push to former President Donald Trump’s stated goal of making the U.S. the “crypto capital of the world.”

White House Meeting Rekindles Industry Negotiations

Bessent’s comments came before the second White House meeting scheduled for today. Crypto firms and major banks are set to revisit unresolved issues around the CLARITY Act. The first meeting, held last week, ended without a specific agreement.

Notably, today’s talks will again focus on stablecoin-related provisions. Lawmakers and industry representatives continue to debate whether crypto firms should pay yield to customers. That disagreement remains central to the Senate delay.

According to the current agenda, the meeting aims to break the legislative impasse. A resolution could allow the Senate Banking Committee to resume its markup process.

Fed ‘Skinny’ Accounts Add Pressure to Talks

Alongside the CLARITY Act, the Federal Reserve’s “skinny” master account proposal remains contentious. The accounts would grant fintech firms limited access to Fed payment systems. However, banks and crypto firms remain divided on the issue.

As stablecoin yield dominates discussions, the Fed proposal continues to complicate negotiations. The overlap between these issues has intensified tensions. For now, discussions remain ongoing as parties attempt to align positions before legislative movement resumes.

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BTC drops from $126K to below $80K, marking its biggest 4-month fall since 2022 amid heavy leverage unwind.

Spot BTC ETFs saw $6.2B outflows since Nov, forcing sales that worsened price declines.

Investors pulled from crypto into AI stocks, leaving Bitcoin and non-AI software under pressure.

Bitcoin plunged below $80,000 for the first time since April 2025, wiping out all gains since Trump’s November 2024 election, as per Wintermute report. Over the weekend, $2.7 billion in liquidations swept the market, fueled by a combination of macro catalysts and compressed leverage. 

Traders identified mixed Mag7 earnings, a sudden plunge in precious metals, and Warsh’s Fed nomination as reasons that prompted trades. Similarly, crypto underperformed other markets while registering negative skewness in rallies and crashes, typical characteristics of bear markets.

Bitcoin dropped from the all-time high of 126,000 in October to the lower levels of 60,000 before rebounding back to the lower end of 70,000 by the weekend. Spot volumes also increased, with IBIT reaching $10 billion in notional trades by Thursday. This underlines the importance of ETFs to the price dynamics. This 50% drop in four months is the biggest pullback for Bitcoin since 2022.

Spot Pressure and Institutional Exodus

Spot market flows revealed sustained selling pressure, particularly from U.S. counterparts. Coinbase premiums stayed in discount through the move, confirming continuous domestic selling. Internal OTC data supported the trend, showing institutions offloading Bitcoin all week. Moreover, the spot BTC ETF complex has shed approximately $6.2 billion in net outflows since November, the longest streak since ETFs launched.

ETF redemptions forced sponsors to sell spot into declining prices, creating a self-reinforcing feedback loop. IBIT emerged as both the largest holder and incremental supply source, while IBIT and Deribit now dominate roughly half the crypto options market. The washout demonstrated how complacency during range trading left investors vulnerable to sudden volatility spikes.

Analysts noted Bitcoin closely tracked software names in the S&P, largely due to AI capital absorption. Investors rotated funds into AI themes indiscriminately, leaving crypto and non-AI software under pressure. Weak earnings from Microsoft signaled a potential reversal, but more significant de-risking is needed.

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White House hosts crypto firms and big banks to ease tensions over stablecoin yield and access to Fed payment rails.

Fed skinny master accounts draw support from crypto groups but pushback from banks citing risk and oversight gaps.

Regulators will review divided comment letters before drafting rules, with Fed guidance expected later this year.

Crypto firms and major U.S. banks will meet Tuesday afternoon at the White House to address growing disputes. The talks involve stablecoin yield and the Federal Reserve’s proposed “skinny” master accounts. The meeting follows rising tensions between crypto companies, banks, and regulators over access to payment rails.

White House Meeting Brings Industry Leaders Together

According to Crypto In America, the White House scheduled the meeting to broker common ground. Senior policy staff will attend, rather than company chief executives. Representatives from banking and crypto trade groups will also participate.

Sources said Bank of America, JPMorgan, and Wells Fargo received invitations. Invites may also have reached PNC, Citi, and U.S. Bank. Coinbase Chief Legal Officer Paul Grewal is expected to attend.

While stablecoin yield remains the main agenda item, another issue looms large. The Federal Reserve’s proposed “skinny” master accounts have widened the divide. These accounts would grant eligible fintech firms limited access to Fed payment systems.

The proposal emerged after Fed Governor Christopher Waller raised the idea in October. The Fed then sought public comment in December. That process now shapes the White House discussions.

Comment Letters Show Industry Divide

The divide became clearer after 44 comment letters reached the Fed on Friday. Crypto firms and blockchain groups largely supported the proposal. Bank trade associations responded with caution.

Stablecoin issuer Circle said the accounts could strengthen payment system resilience. The Blockchain Payments Consortium also supported the plan. Its members include Fireblocks, Polygon, Solana, and TON.

However, Anchorage Digital raised concerns despite calling the proposal a positive step. It criticized limits on balance holdings, interest earnings, and clearing house access.

Bank groups focused on regulatory risk. The American Bankers Association cited limited supervisory histories. It also flagged inconsistent safety standards across eligible firms.

Regulatory Concerns and Next Steps

The Colorado Bankers Association warned of faster fraud risks under the proposal. Better Markets CEO Dennis Kelleher submitted a separate letter. He described the plan as an unjustified expansion of the Fed’s mandate.

The proposed accounts would benefit stablecoin issuers like Ripple and Circle. The Fed said it will review all submissions before drafting rules. Waller told Crypto In America he aims to release them in the fourth quarter.

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