BitcoinKE

THORChain founder, JP Thor, has urged node operators to resist calls to block cryptocurrency linked to North Korean hackers arguing that doing so would undermine the protocol’s commitment to permissionless settlement.
The dispute follows the October 29 theft of more than $6 billion in virtual assets from Binance which the FBI attributed to North Korea’s TraderTraitor hacking group.

MILESTONE | Binance Gets Hacked in the Largest Crypto Exploit in History

The FBI, working with the U.S. Secret Service and IRS Criminal Investigation, has urged THORChain node operators, instant exchanges, and other crypto services to block transactions involving addresses connected to the stolen funds.

REGULATION | FBI Urges DeFi Industry to Block Addresses Linked to the Binance Hack

The agency warned that the hackers were converting stolen assets, primarily into Ethereum, before moving them through decentralised finance protocols and instant-swap services to further obscure their origins.
THORChain has previously been used by North Korean-linked hackers to swap cryptocurrencies following major exploits generating transaction fees for the protocol.

REALITY CHECK | Why BitGet Hacker Used THORChain to Move Stolen Funds

Its native RUNE token rose 13% amid expectations of increased trading activity tied to the Binance theft.

#ThorChain’s $RUNE token up following the #BinanceHack. https://t.co/1mtGkGmy7Q
— BitKE (@BitcoinKE) October 30, 2026
However, 9 chains on THORChain, including Bitcoin, Ethereum and TRON, remain halted after automated systems paused the network on October 31 2026 over an unrelated block-reorganisation bug.
JP Thor, who says he is no longer involved in the protocol’s operations, argued that node operators should not intervene to restrict transactions.

“IMO if THORNodes decided to take the protocol offline next week then the experiment is over,” he said.
“The last bastion of unencumbered and neutral settlement is over. There will simply be no other venue and the protocol would have failed.”

CASE STUDY | This Hack Has Exposed Crypto’s Permissionless Idealism

THORChain’s governance structure allows node operators to coordinate a halt while individual operators can also leave the network if they no longer wish to process transactions.
According to developer Chad Barraford, speaking on the Unchained podcast, roughly 50 unknown individuals operate the network’s 100 nodes. However, the protocol can operate with up to 4 nodes in a worst case scenario.
The dispute raises questions about the legal exposure of infrastructure operators that continue processing transactions linked to a major state-sponsored theft, particularly as U.S. authorities investigate the incident.
The FBI’s request places THORChain at the centre of a broader debate over whether decentralised financial infrastructure should remain neutral or intervene when its permissionless services are used to move stolen assets.


CRYPTO CRIME | Why BitGet Hacker Was Able to Move Over $80 Million in Stolen XRP




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Coinbase Global reported a 66% year-on-year increase in third-quarter net income to $719 million as gains from cryptocurrency investments and growth in prediction markets helped offset weaker trading activity.
The U.S. cryptocurrency exchange generated $1.22 billion in revenue, down 35% from a year earlier while transaction revenue fell 44% to $590.2 million amid subdued crypto market activity.


The profit included a $715 million gain on cryptocurrency investments. Excluding investment gains and related adjustments, Coinbase reported adjusted net income of $77.7 million.
Coinbase’s prediction markets business surpassed $200 million in annualised revenue, doubling from approximately $100 million in the previous quarter.

REGULATION | ‘Gambling by Another Name is Still Gambling,’ Says New York as It Sues Coinbase, Gemini Over Prediction Markets Offerings

Prediction markets and derivatives accounted for about 25% of transaction revenue, according to Bernstein analysts, helping offset weaker spot trading.
Subscription and services revenue contributed $570.2 million, representing 49% of net revenue, as Coinbase expands beyond its core trading business.
Stablecoin revenue remained a key contributor, reaching $328 million, up 3% from the previous quarter.

MARKET ANALYSIS | Circle’s Frothy Relationship with Coinbase and Why the $USDC Stablecoin Issuer Partnered with Binance

The results highlight Coinbase’s efforts to diversify revenue as crypto trading activity weakens with prediction markets, derivatives, and stablecoin services increasingly contributing to its business.
The company also reported a fourth consecutive quarter of crypto trading market-share gains reaching 10.7% in the third quarter.


STABLECOINS | World’s Largest Stablecoin Reports $1.5 Billion in Q3 2026 Operating Profit




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Binance processed $4.65 billion in withdrawals and $1.01 billion in deposits after reopening withdrawals on November 1 2026, resulting in net outflows of approximately $3.64 billion.
The outflows represented 2.1% of the exchange’s $171 billion in assets under management with withdrawal volumes surging initially before stabilising, Binance said.
The re-opening follows an October 29 2026 hack that resulted in the theft of approximately $6.3 billion in cryptocurrency.

MILESTONE | Binance Gets Hacked in the Largest Crypto Exploit in History

Binance founder, Changpeng Zhao, credited U.S. law enforcement agencies, including the FBI, Secret Service and IRS, for helping track and freeze stolen funds.

REGULATION | FBI Urges DeFi Industry to Block Addresses Linked to the Binance Hack

The exchange said it had set aside approximately $6.34 billion to cover affected assets and was preparing an updated Proof of Reserves report.
The incident has renewed scrutiny of exchange security and the risks posed by compromised internal systems across the cryptocurrency industry.


DeFi | Humanity Protocol Looses Over $30 Million Due to a Compromised Laptop



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The U.S. Federal Bureau of Investigation (FBI) has officially attributed the theft of at least $6 billion in cryptocurrency from Binance to North Korea identifying the state-linked TraderTraitor hacking group and urging cryptocurrency platforms to block addresses associated with the stolen funds. https://bitcoinke.io/2026/10/binance-gets-hacked/
In a notice published on October 31 2026, the FBI said it had identified Bitcoin, Ethereum and Solana addresses used by the attackers and called on cryptocurrency exchanges, decentralized finance protocols, and other industry participants to block transactions involving those addresses.
The bureau said it had detected signs that TraderTraitor was converting stolen assets primarily into ether with laundering expected to continue through decentralized finance protocols and instant-exchange services.
The FBI is investigating the incident alongside the U.S. Secret Service and the IRS Criminal Investigation Division.
The attribution formalizes suspicions raised shortly after the attack by blockchain analytics firms, TRM Labs and Chainalysis, which also linked the exploit to TraderTraitor.

REALITY CHECK | TRM Labs vs Chainalysis – Who is Better at Blockchain Forensics?

The group has previously been linked to North Korea’s $1.5 billion Bybit hack in February 2025 making the Binance incident roughly 4x larger than the earlier theft.
Binance has said approximately $6.3 billion in digital assets were stolen in the attack which involved a compromised engineer’s laptop and weaknesses in its transaction approval system. The exploit reportedly affected 10 blockchains and unfolded in about 20 minutes.
The exchange has set aside at least $6.34 billion in company funds to cover the losses and said customer assets remain safe. Binance and its industry partners have also frozen approximately $3 billion in stolen assets.
The FBI said it remains committed to disrupting North Korea’s cryptocurrency theft and laundering operations and requested information that could help identify those responsible or recover the stolen funds.


REALITY CHECK | Why the Binance Hacker Passed Funds via THORChain




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Blockchain analytics firm, Chainalysis, has disclosed a cybersecurity incident involving unauthorized access to its systems saying an investigation has found no evidence that attackers accessed sensitive investigation data, passwords, or authentication credentials.
In a security notice published on October 30 2026, the company said it was working with external cybersecurity experts to investigate the incident, determine its scope, and strengthen its systems.
Chainalysis said some customer information, including user IDs, names, email addresses and organizational roles, may have been accessed. It has not disclosed how many customers were affected or how attackers gained entry.

REALITY CHECK | TRM Labs vs Chainalysis – Who is Better at Blockchain Forensics?

The company said there was no evidence that attackers accessed investigation graphs, case notes, transaction results, or query results. It also reported no evidence of compromised passwords, multi-factor authentication secrets, or session tokens.
The incident raises concerns about the security of blockchain analytics firms that handle sensitive financial intelligence for cryptocurrency businesses, financial institutions, and law enforcement agencies.
Chainalysis said it had notified customers and would provide further updates as its investigation progresses.


MILESTONE | Binance Gets Hacked in the Largest Crypto Exploit in History



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Tether has reported $1.5 billion in third-quarter net operating profit, while its excess reserves nearly doubled to almost $8 billion, strengthening the financial buffer backing the world’s largest stablecoin issuer.
The company said its reserve buffer increased by approximately $3.5 billion during the quarter, bringing excess reserves to nearly $8 billion. The increase provides additional protection against potential losses and reinforces Tether’s ability to maintain the dollar peg of its USDT stablecoin.

STABLECOINS | World’s Largest Stablecoin Reports $1.5 Billion in Profits in Q2 2026

Tether’s total assets exceeded $181 billion while liabilities stood at approximately $173 billion leaving the company with roughly $8 billion in assets above its obligations.
The company said USDT circulation reached approximately $174 billion supported by growing demand for dollar-denominated digital assets across global markets.
Tether’s third-quarter profit brings its year-to-date net operating profit to approximately $10 billion reflecting earnings from its reserve portfolio, which includes U.S. Treasury securities, gold, and other assets.
The company also reported direct and indirect exposure to U.S. Treasury securities exceeding $135 billion making it one of the world’s largest holders of U.S. government debt.


The figures highlight the growing financial scale of stablecoin issuers whose reserve holdings increasingly position them as significant participants in global government debt markets.
Tether’s expanding reserve buffer comes as regulators intensify scrutiny of stablecoin issuers over reserve quality, redemption safeguards, and financial transparency. The company said its latest figures were independently attested by BDO rather than representing a full financial audit.

INSTITUTIONAL | The Largest Stablecoin Company Secures a ‘Big Four’ Audit Firm for the First Full Audit

The results underscore how stablecoin growth is translating into substantial profits and expanding financial buffers while increasing the importance of reserve management and transparency to the broader digital-asset market.


MILESTONE | Tether is Now One of the Largest Holders of Gold Globally




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Crypto-linked stocks tumbled, led by Coinbase Global, as a $6.3 billion Binance hack compounded pressure from declining digital-asset revenues and a broader technology-sector sell-off.
Coinbase shares fell more than 13% after the exchange reported a 34% year-on-year decline in Q3 2026 net revenue to $1.16 billion.
Circle Internet Group dropped more than 9%, while
Bitcoin treasury company, Strategy, fell about 8%.
Bitcoin miners and blockchain financial services firms also posted sharp losses.


The sell-off followed Binance’s disclosure of a major security breach with the exchange confirming approximately $6.3 billion in stolen assets. Bitcoin also remained under pressure as investors reduced exposure to riskier assets amid concerns over technology valuations and artificial-intelligence spending.

MILESTONE | Binance Gets Hacked in the Largest Crypto Exploit in History

The declines highlight the vulnerability of crypto-related equities to both falling digital-asset prices and company-specific revenue pressures.
Coinbase’s quarterly profit was boosted by $715 million in cryptocurrency investment gains while adjusted net income was $78 million underscoring the gap between reported earnings and underlying operating performance.
The broader market pressure comes as traditional financial infrastructure faces its own challenges from crypto disruption.
More than 20 publicly listed companies, including
Microsoft,
Alphabet,
JPMorgan,
Wells Fargo,
Oracle,
IBM,
Dell, and
Intuit,
have objected to plans by crypto exchange OKX and Intercontinental Exchange, the owner of the New York Stock Exchange, to offer tokenized versions of their shares.

INSTITUTIONAL | Microsoft, Alphabet, Qualcomm, Goldman Sachs Join Opposition to OKX-ICE Tokenized Stock Trading

The objections expose a growing divide over who controls the next generation of financial markets. While crypto firms and exchanges are pushing blockchain-based trading and settlement, established companies are resisting the distribution of tokenized shares without their consent.
Together, the developments highlight a crypto industry facing pressure on both fronts.


INSTITUTIONAL | Why Major U.S-Listed Companies are Opposing New York Stock Exchange Tokenization Plans




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THORChain’s RUNE token rose more than 13% climbing from a low of $0.59 to around $0.67 as the latest Binance hack renewed attention on the cross-chain protocol’s role in moving stolen cryptocurrency.
#ThorChain’s $RUNE token up following the #BinanceHack. https://t.co/1mtGkGmy7Q
— BitKE (@BitcoinKE) October 30, 2026
On-chain investigator, ZachXBT, reported that funds linked to the Binance exploit passed through THORChain before being consolidated at an Ethereum address also associated with September’s $387.5 million Bitget hack.

MILESTONE | BitGet Says Stolen Funds Nearing $400 Million as Security Breach Unfolds

Both incidents have been linked to North Korean hacking operations.

The Bitget exploit illustrated why attackers use THORChain.

REALITY CHECK | Why BitGet Hacker Used THORChain to Move Stolen Funds

Its permissionless architecture allows users to swap assets across blockchains without centralized exchange approval making it difficult for platforms to intervene once stolen funds enter its liquidity infrastructure.
The attacker used the protocol to convert stolen assets into Bitcoin while also moving approximately $83 million in stolen XRP across multiple wallets.

The XRP movements exposed another limitation in crypto recovery:
Ripple cannot freeze native XRP in attacker-controlled wallets, unlike stablecoin issuers such as Tether and Circle, which can blacklist certain addresses.

CRYPTO CRIME | Why BitGet Hacker Was Able to Move Over $80 Million in Stolen XRP

THORChain’s refusal to block addresses associated with the Bitget attacker also triggered a dispute with Bitget CEO, Gracy Chen, who argued that decentralization should not shield infrastructure facilitating the movement of identifiable stolen funds.
The protocol maintained that its architecture does not support selectively censoring individual transactions.
The controversy echoes the February 2025 Bybit hack when attackers used THORChain to launder approximately $1.4 billion in stolen assets prompting disagreements among contributors over whether the network should restrict transactions linked to criminal activity.

CRYPTO CRIME | ByBit Sues North Korea Over the $1.5 Billion Hack in 2025, Secures Asset Freeze

The latest incident has brought renewed attention to THORChain’s permissionless cross-chain model which generates transaction fees from swaps. However, while increased activity can benefit protocol economics, hack-related flows do not necessarily represent sustainable organic demand for its services.


CASE STUDY | Why Binance Hackers Turned to the Largest DeFi Lending Protocol to Move Stolen Crypto




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The attackers behind the Binance security breach used decentralised finance (DeFi) lending protocol Aave to convert stolen stablecoins into Ethereum seeking to move assets beyond the reach of centralised issuers capable of freezing them.
On-chain data shows that a wallet linked to the attackers deposited approximately $60 million in stolen USDT as collateral on Aave V3 on Ethereum and borrowed 19,762 wrapped Ether (WETH) worth about $44.6 million at the time.

MILESTONE | Binance Gets Hacked in the Largest Crypto Exploit in History

The strategy highlights a key vulnerability in crypto theft investigations:
While stablecoins such as USDT and USDC can be frozen by their issuers when linked to suspected criminal activity, Ethereum has no central issuer with the same ability to blacklist individual addresses and prevent transfers.

By using Aave, the attackers effectively used the stolen USDT as collateral to obtain an alternative asset without having to sell the stablecoins directly for ETH through a centralised exchange. The borrowed WETH could then be moved through other wallets and converted into ETH making the proceeds harder to immobilise through issuer-level freezes.

How Binance Hackers Used AAVE to Cash Out Stolen Crypto

The timing was critical.

The Aave transaction took place between 20:58 and 21:01 UTC, approximately 40 minutes before the first emergency freeze of Aave markets. This gave the attackers an opportunity to borrow against the collateral before the protocol restricted new lending activity.
Aave subsequently confirmed that the position held approximately $59.9 million in USDT collateral against $43.8 million in outstanding debt. It said the position was
over-collateralised,
remained subject to normal liquidation procedures, and
did not expose Aave suppliers to losses.


The incident prompted Aave to coordinate an emergency response with its risk service providers freezing reserves across multiple networks to prevent further deposits and borrowing. The intervention covered 175 reserves on Aave V3 across 16 networks and 117 reserves on Aave V4 across four networks.
Importantly, the incident did not involve an exploit of Aave’s smart contracts.
Instead, the attackers used the protocol’s legitimate lending functionality as an exit route demonstrating how decentralised financial infrastructure can become part of the laundering process following major exchange breaches.

The episode also exposes a difficult challenge for DeFi protocols:
Providing permissionless access to financial services while responding to criminal activity that can rapidly move through otherwise functioning lending and trading infrastructure.


DeFi | Why this Primary Risk Management Provider is Exiting the Largest DeFi Lending Protocol




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Kenyan nationals and and a Kenyan business are among those charged in the United States over an alleged cryptocurrency investment scam that used fake online relationships to steal more than $750,000 from American victims.
U.S prosecutors from the Department of Justice (DoJ) allege that the group operated scam compounds in Madagascar where workers posed as women on dating websites to build trust with victims before directing them to fraudulent non-fungible token (NFT) investment platforms. Victims were instructed to connect their cryptocurrency wallets to the websites allowing the scammers to withdraw funds without their knowledge.

#Kenyans and a #Kenyan business named in the latest #crypto crime investigations and report from @TheJusticeDept
#CryptoCrimeKE #CryptoLaunderingKE #CryptoKenya #CryptoKE
@DCI_Kenya @CMAKenya @CBKKenya @NPSOfficial_KE https://t.co/G4nPZho8k6
— BitKE (@BitcoinKE) October 30, 2026
Investigators identified about 74 cryptocurrency wallets linked to victims in several US states. The group allegedly had connections to criminal networks in China and Malaysia and moved its operations from Cambodia to Madagascar in early 2025 following law enforcement action.
The case highlights the growing international reach of cryptocurrency investment fraud, romance scams, and identity theft to steal digital assets. U.S authorities say the 6 defendants face charges linked to the alleged scheme with prosecutors seeking their extradition from Madagascar.
The charges remain allegations until proven in court.


REGULATION | ‘Proceeds of Crime Are Laundered and Concealed Within Real Estate or Cryptocurrency in Kenya,’ Says Kenyan Director of Criminal Investigations (DCI)




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Decentralized finance lending protocol, Aave, has frozen hundreds of lending markets across multiple blockchain networks following the suspected $6.3 billion Binance hot-wallet exploit, seeking to prevent the attacker from using stolen assets as collateral to borrow additional funds.
In an October 30 2026 governance forum update, Aave risk service provider, LlamaRisk, said it coordinated an emergency response with Aave Labs, TokenLogic, and Certora within 10 minutes of the first reports of the incident.

MILESTONE | Binance Gets Hacked in the Largest Crypto Exploit in History

The response resulted in 175 reserves being frozen across 16 networks on Aave V3 and another 117 reserves across four networks on Aave V4. The affected networks include Ethereum, Arbitrum, Avalanche, Base, BNB Chain, Optimism, Polygon and several others.
The freezes were executed by Aave’s guardian multisig between 21:42 and 23:04 UTC on October 29.

The Attacker Had Already Used Aave to Borrow $44.6 Million
LlamaRisk disclosed that a wallet belonging to the suspected Binance exploiter’s cluster had interacted with Aave before the emergency restrictions took effect.
Between 20:58 and 21:01 UTC, the wallet deposited $60 million in Tether’s USDT stablecoin into Aave V3’s Ethereum Core market and borrowed 19,762 Wrapped Ether (WETH), worth approximately $44.6 million at the time.
The transaction effectively converted USDT, which its issuer can freeze, into wrapped ether, which does not have the same centralized freezing mechanism.
The borrowing occurred approximately 40 minutes before Aave executed its first market freeze. LlamaRisk said no wallet associated with the attacker had interacted with the protocol since 21:01 UTC.
The position currently holds approximately $59.9 million in USDT collateral against $43.8 million in outstanding debt leaving it over-collateralized and subject to normal liquidation procedures.
Aave said the position was the attacker’s only exposure to the protocol across all networks and versions and did not pose a risk to suppliers.

DeFi | AAVE Implements AAVE Shield to Automatically Block Swaps with Over 25% Price Impact

Why AAVE Froze Markets Across Multiple Networks
Rather than restricting only the specific tokens stolen from Binance, Aave opted to freeze lending and borrowing activity across its markets.
LlamaRisk said the attacker could exchange stolen assets for any token listed on Aave and subsequently use those assets as collateral to borrow other cryptocurrencies.
Restricting only the stolen tokens would therefore have left alternative routes for the attacker to access liquidity through the lending protocol.
The team also opted for an emergency freeze because Aave’s guardian multisig can reverse the restrictions. Cutting supply and borrowing caps instead would have required a governance vote and approximately five days to restore.
The freeze prevents users, including the attacker, from opening new supply or borrowing positions. However, existing users can still withdraw assets and repay outstanding loans, while liquidations continue normally.
Users cannot add collateral to existing positions while the affected reserves remain frozen. Repaying loans is therefore the only way to improve their health factors during the restrictions.

Crypto Market Impact and Stablecoin Activity
Aave reported that its oracle feeds, which provide external asset prices used to calculate collateral values and liquidations, continued operating normally throughout the incident.
As of 00:55 UTC on October 30, Bitcoin and Ether had each fallen approximately 4% since the Binance wallet drain.

State of the market following the #BinanceHack news. https://t.co/jk3ACcgKkF
— BitKE (@BitcoinKE) October 30, 2026
Several governance tokens held by the attacker recorded larger declines, with AAVE and Chainlink’s LINK falling approximately 9%, Uniswap’s UNI dropping 8% and Arbitrum’s ARB declining 6%.
Aave said the market freezes prevented the attacker from depositing these tokens into its lending markets while existing positions backed by the assets remained healthy.
The protocol’s GHO stablecoin also experienced a slight decline from approximately $0.998 to $0.997 as holders redeemed about 4.6 million GHO for USDT through its GHO Stability Module between 21:49 and 22:07 UTC.

REGULATION | Leading Crypto Lender Says the DAO Crypto Seizure Could Destabilize DeFi Markets

Aave to Maintain Restrictions Until Binance Containment Improves
Aave said the affected markets would remain frozen until the attacker’s funds stop moving and there is greater clarity on Binance’s efforts to contain the incident.
The protocol plans to coordinate with Aave Labs and other service providers on a staged reopening of the markets once conditions allow.
LlamaRisk warned that prolonged restrictions could also affect lending market liquidity. Because frozen reserves cannot receive new deposits, large withdrawals could increase utilization rates and borrowing costs for remaining users.
The response highlights how a security breach involving a centralized exchange can extend into decentralized finance where stolen assets may be converted into collateral used to access liquidity or moved across multiple protocols.
Aave said it would continue tracking the attacker’s wallets across Ethereum, Arbitrum, Optimism, and Avalanche while monitoring price feeds and potential liquidation risks.


DeFi | Why this Primary Risk Management Provider is Exiting the Largest DeFi Lending Protocol




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Sub-Saharan Africa’s cryptocurrency economy grew 13.4% year-on-year to $101 billion between July 2025 and June 2026 making it the world’s fastest-growing crypto region despite remaining the smallest by transaction value, according to blockchain analytics firm, Chainalysis.
South Africa and Nigeria accounted for more than three-quarters of regional activity although their markets followed different trajectories.
South Africa’s crypto economy expanded 52% to $39.3 billion, while
Nigeria recorded $38.1 billion, down 3% from the previous year.
South Africa’s growth was driven largely by cross-border peer-to-peer stablecoin flows and cryptocurrency service activity. Nigeria, meanwhile, saw growth in centralized exchange activity offset by declines in decentralized exchange transactions and cross-border P2P transfers.


Stablecoins Emerge as a Major Growth Driver
Stablecoin activity through P2P channels increased over 6x between 2022 and 2026 rising from $2.3 billion to $14.6 billion. Over the same period, Bitcoin value received through these channels fell 60% to $14.6 billion.
Stablecoin remittance value more than doubled year-on-year to $492 million while cross-border stablecoin transfer volumes increased nearly 5x highlighting growing demand for cheaper international payments and access to dollar-denominated value.
The report also found that active intra-African crypto payment corridors nearly doubled from 80 to 152 while transaction volumes more than tripled to $116.5 million.


Other key findings:
Personal wallets: Accounted for 32.3% of crypto value received across the region, the highest share globally. Cross-border P2P transfers represented 70.9% of this activity.
Ghana: Crypto activity grew 80% to $5.1 billion.
Senegal: Recorded the region’s fastest growth among the highlighted smaller markets, with activity surging 215% to $2.3 billion.
Ethiopia: Crypto activity declined 8% to $3.7 billion.
South African businesses: Recorded $8.34 billion in business-like crypto transactions during the reporting period.
Nigeria’s domestic exchanges: Received $6.22 billion, accounting for half of the country’s centralized exchange inflows, up from 27% in 2025 and 7% in 2022.
Crypto remittances: Western countries sent $888 million into Sub-Saharan Africa, up 36% year-on-year. North America accounted for $645 million.

Chainalysis said the region’s next phase of growth will depend on
regulatory clarity,
greater integration with existing financial infrastructure, and
the ability of crypto payment channels to deliver practical benefits for consumers and businesses.


SURVEY | South Africa Leads Africa in Merchant Crypto Payment Adoption in 2025, Becomes 6th Globally




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Binance, the world’s largest cryptocurrency exchange, is investigating a potential security breach after on-chain data showed billions of dollars in digital assets moving from wallets linked to the platform to newly created external addresses.
Reports put the figure at over $5.7 billion making it the largest ever crypto attack in history.
According to blockchain intelligence firm, Arkham, the hackers held over $5.7 billion stolen from Binance including:
$1.5 billion in bitcoin
$900 million in ETH
~$1.5 billion in USDT
Over $800 million in USDC
The exchange has not confirmed the amount stolen or established the cause of the incident.
The incident rattled cryptocurrency markets with Bitcoin falling about 2% in the immediate aftermath, Ether declining 3% and Binance’s BNB token dropping around 8% in an hour, according to market data.

State of the market following the #BinanceHack news. https://t.co/jk3ACcgKkF
— BitKE (@BitcoinKE) October 30, 2026
Binance said it was investigating reports of a potential security issue and assured customers that their funds remained safe. Co-founder, Changpeng Zhao, said the incident appeared to be a hack, while co-founder, Yi He, said the company would cover any losses.



The exchange temporarily suspended withdrawals while conducting security checks.

Stablecoin issuers Tether and Circle also moved to freeze assets linked to the incident with Binance reporting that approximately $3 billion in cryptocurrency had been frozen as it worked with law enforcement and blockchain analytics firms to trace additional funds.
If confirmed, the breach could surpass the $1.5 billion Bybit hack in February 2025 to become the largest cryptocurrency exchange hack on record.


DeFi | Solana DEX Hit by the Largest DeFi Exploit of 2026 So Far




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DoorDash has agreed to acquire grocery-delivery rival Instacart in a deal valued at about $17 billion, combining two major delivery platforms as competition intensifies across food, grocery and retail.
The deal will expand the range of products available to consumers through DoorDash’s delivery network, while giving Instacart access to more merchants and delivery infrastructure. Instacart shoppers will be able to buy from about 150,000 stores, up from roughly 100,000, the companies said.
The acquisition also strengthens DoorDash’s position beyond restaurant delivery as platforms seek to capture more everyday consumer spending and improve the economics of their operations.

The Stablecoin Angle
The deal comes as DoorDash explores stablecoin-based payment infrastructure through Tempo, a blockchain network incubated by payments company, Stripe, and investment firm, Paradigm.
The initiative is intended to help the platform pay merchants and delivery workers faster and at lower cost across multiple markets.

CASE STUDY | Stablecoin Use By This Global Food Delivery Service Reveals Where Mainstream Adoption is Coming From

Stablecoins could allow platforms operating across borders to settle payments around the clock reducing reliance on fragmented banking systems, intermediary fees, and foreign-exchange costs.
As DoorDash expands its grocery and retail operations through Instacart, the potential application extends beyond delivering orders. A larger marketplace means more payments between the platform, retailers, delivery workers, and other partners, creating opportunities to streamline cross-border settlement and merchant payouts.
The model reflects a broader shift toward using stablecoins as payment infrastructure rather than solely as cryptocurrency trading assets. Its commercial value will depend on whether faster settlement and lower transaction costs outweigh the expenses of conversion, compliance, and integration with local banking systems.



INSTITUTIONAL | Why This Japanese Financial Giant Became a Strategic Investor in an Asian Stablecoin Payments Firm




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Utah has filed 14 criminal charges against prediction market operator Kalshi and its co-founders, escalating a legal battle that now exposes the company to both criminal prosecution and civil penalties over its sports and event contracts.
The charges include
one felony count alleging a pattern of unlawful activity,
12 felony counts of promoting online gambling, and
one misdemeanor count.
Prosecutors allege Kalshi continued accepting wagers from Utah residents despite a federal court ruling allowing the state to enforce its gambling laws.
The case relies on evidence gathered by an undercover agent from the Utah Attorney General’s Office who used
a local address,
phone number, and
debit card
to access the platform in September 2026.
Kalshi reportedly allowed the agent to place 12 separate sports wagers. The state argues that these transactions demonstrate the platform is actively promoting illegal gambling within Utah’s borders.

REGULATION | ‘Gambling by Another Name is Still Gambling,’ Says New York as It Sues Coinbase, Gemini Over Prediction Markets Offerings

The criminal case follows a separate civil lawsuit in which Utah is seeking to stop Kalshi from offering contracts on sports, elections, politics, and other events, and recover profits allegedly earned in the state.

The state has estimated those profits at $30 million to $60 million.

REGULATION | New York Sues Polymarket Over Alleged ‘Illegal Gambling Operation’

The dual legal actions raise the stakes for prediction market operators where civil lawsuits can seek
injunctions,
restitution, and
financial penalties,
while criminal prosecutions can expose companies and executives to fines and, depending on the charges, potential imprisonment.

The dispute also highlights the risk of defying court rulings while regulatory authority remains contested.

Kalshi maintains that its event contracts are federally regulated financial derivatives under the Commodity Futures Trading Commission (CFTC) rather than gambling products subject to state laws.

REGULATION | CFTC Invokes Emergency Powers Ordering Kalshi to Continue Operating amid New York Lawsuit

The CFTC has separately sued Utah arguing that federal law gives it exclusive authority over the relevant markets. Kalshi has called the criminal charges an over-reach and said it will challenge them in court.
The legal fight extends beyond Utah with states including Arizona, Nevada, Massachusetts and others pursuing restrictions or litigation against prediction market operators. The outcome could determine whether platforms such as Kalshi and crypto-based rival, Polymarket, face a patchwork of state gambling laws or operate primarily under federal oversight.


REGULATION | Kalshi Looses Appeal as U.S Court Backs State Regulation of Sports Gambling Contracts




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Thailand’s Supreme Court has ruled that Bitcoin qualifies as property under criminal law rejecting a defence argument that the cryptocurrency could not be stolen because it exists as electronic data and is not legal tender.
The decision upheld a 10-year prison sentence in a case involving a victim who was threatened and assaulted before being forced to transfer 2.480801 BTC, worth about $50,000 at the time, to a wallet controlled by an attacker on Koh Samui in September 2022.
Thailand’s Supreme Court has ruled that Bitcoin can qualify as property under criminal law, finding that converting money into cryptocurrency does not strip it of its economic value or legal protection.

REGULATION | Religious Ruling Crashes with Pakistan’s Virtual Assets Act as Crypto Ambitions Meet Islamic Finance Principles

The court’s plenary bench said Bitcoin
has a market price,
can be exchanged for cash when a buyer is available, and
can be owned by members of the public
making it eligible for protection under property-related criminal laws.

“The value of the money transferred as property therefore fulfills the elements of an offense against property,” the court said in a translated summary.

The judges cited Thailand’s 2018 digital asset business decree, which defines cryptocurrency as electronic data created on a network for use as a medium of exchange.
The court also considered a Bank of Thailand letter stating that cryptocurrency is not legal tender, but found that this status did not prevent Bitcoin from qualifying as property in the criminal case.
It ordered the return of the stolen Bitcoin or compensation of 1.878 million Baht.
The ruling does not make Bitcoin legal tender or require businesses to accept it as payment. Instead, it distinguishes between cryptocurrency as a legally protectable asset and money recognised for settling debts.
The decision could strengthen the legal basis for prosecuting crypto theft and seeking restitution in Thailand where criminals have increasingly targeted digital asset holders.


REALITY CHECK | Leading Islamic Scholar Declares Cryptocurrency Purchases Haram Under Islamic Law




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Bitcoin Core developers have disclosed three software vulnerabilities identified through an artificial intelligence scan including a flaw that allowed attackers to remotely crash Bitcoin nodes running on
Windows,
macOS, and
BSD systems.
The vulnerability enabled a malicious peer to overwhelm a node with data causing memory exhaustion and a crash. Linux systems were not affected. Developers released fixes across supported Bitcoin Core versions on October 27 and 28 2026, before publicly disclosing the flaw on October 28 2026.
The findings mark the first disclosures under Bitcoin Core’s revised security policy which calls for faster publication of vulnerabilities that AI tools can easily discover rather than keeping them confidential for months while users upgrade.

REALITY CHECK | Bitcoin Core Changes Vulnerability Disclosure Policy as AI Threats Grow

The automated scan used a large language model to examine Bitcoin Core’s code with human contributors verifying the findings before they were submitted to the project’s security team. Two other vulnerabilities were also disclosed, involving
memory growth and
potential failures during blockchain reorganizations.
The episode highlights how AI is changing security across the crypto ecosystem making it easier to identify software weaknesses while reducing the time developers have to patch them before malicious actors discover and exploit the same flaws.
Bitcoin Core developers said three additional medium- and high-severity vulnerabilities fixed in version 30.0 are expected to be disclosed in November 2026.


REPORT | AI is 2x More Effective at Exploitation Than Detection in Crypto, Says Binance Research




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Singapore police said at least two cases involving tampered Ledger hardware wallets have resulted in losses of about S$3.5 million ($2.7 million) since September 10.
Preliminary investigations found that some Ledger devices purchased from local retail stores contained malicious hardware components capable of capturing users’ private keys or recovery phrases, potentially allowing attackers to access wallets and transfer cryptocurrency without authorization.
The disclosure adds to a widening investigation into suspected supply-chain compromises involving Ledger devices sold through 3rd-party retailers across Southeast Asia.
Ledger has asked resellers in
Singapore,
Malaysia,
Indonesia,
Thailand,
the Philippines,
Vietnam and
Hong Kong
to suspend sales while investigations continue.

REALITY CHECK | Europe’s Largest Consumer Electronics Retailer Removes Ledger Wallets Internationally

The company has said it has no indication that its own systems, services, or direct sales channels were compromised. Singapore police said they are working with Ledger as investigations continue.
The incident highlights a security risk beyond conventional crypto hacks where hardware wallets can be compromised before reaching users, undermining the protection offered by keeping private keys offline.
Singapore police urged users with suspected tampered devices to stop using them, avoid entering recovery phrases, and contact wallet providers through official support channels.


CRYPTO CRIME | Ledger Confirms Hardware Wallet Implant with Reported Crypto Losses Exceeding Over $80 Million




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Google Cloud is developing a digital asset custody service that uses multi-party computation (MPC) to help banks and financial institutions secure Bitcoin and other crypto assets without relying on a single private key.

The service, called Google Multi-Party Compute, distributes cryptographic key shares across separate environments allowing multiple parties to jointly authorize transactions without reconstructing the complete private key in one location.
The system also allows institutions to
establish transaction limits,
restrict destination addresses, and
set approval thresholds before transfers are signed.
Google says the design aims to reduce the risk of stolen credentials or compromised systems leading to unauthorized asset transfers.


The service is currently in private preview with commercial availability targeted for early 2027. Google’s parent company, Alphabet, has begun using it to secure digital assets on Ethereum and Solana while financial institutions are testing the technology.
The move puts Google in competition with specialist crypto security providers such as Fireblocks, BitGo, and Fordefi as banks expand into digital asset custody and tokenized financial products.
The launch comes as private-key compromises remain a major source of crypto theft highlighting the growing importance of institutional-grade security infrastructure as traditional finance adopts blockchain technology.


CASE STUDY | Company Loses Access to Bitcoin Holdings Held By a 3rd Party Plunging Shares by 50%




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Datavault AI shares fell 49.55% to $0.067 after the Nasdaq-listed company disclosed it has been unable to withdraw Bitcoin held at crypto exchange, Biconomy, since June 2026.


The company also plans to restate 4 financial reports after determining that Bitcoin received under a $150 million share deal with Scilex Holding should have been recorded as a receivable rather than a corporate digital asset.
The accounting corrections are expected to reduce reported assets by $92.2 million at the end of 2025 and $49 million as of June 2026. Management is re-assessing the company’s ability to continue operating as collection of the amounts owed by Scilex remains uncertain.
The disclosure highlights the risks of corporate Bitcoin treasuries relying on third-party exchanges for custody and access to assets, particularly when those holdings are counted on to fund business operations.


INSTITUTIONAL | Standard Chartered Moves to Consolidate Institutional Crypto Custody Business With Zodia Acquisition




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