CoinPhoton

$AAVE
to Remove 50 Low-Adoption Assets and Exit Six Blockchains
Aave is deprecating 50 underused asset reserves and winding down its lending markets on Sonic, Scroll, zkSync, Metis, Soneium and Aptos.
The overhaul affects about $98.1 million in supplied assets and $15.6 million in outstanding debt. Aave said the affected markets generate too little activity and revenue to justify their oracle, monitoring and risk-management costs.
The protocol will also retire 21 matured Pendle principal tokens and remove several bridged assets whose users have shifted to native versions.
Aave plans to freeze the affected reserves and gradually reduce supply and borrowing limits, allowing users to close positions while minimizing liquidation risks.
The six departing blockchain deployments each generate less than $5,000 in quarterly revenue, according to risk adviser LlamaRisk.

Ethereum Turns 11 as Scaling Advances but ETH Price Struggles
Ethereum marked the 11th anniversary of its genesis block on July 30, with the network’s gas limit reaching 60 million and rollups now handling about 95% of transactions.
Base-layer activity remained relatively efficient, with simple $ETH
transfers costing around $0.20 and token swaps about $3.79. The network is also preparing for the Glamsterdam and Hegotá upgrades, while its 2026 roadmap targets a gas limit above 100 million and stronger post-quantum security.
Institutional adoption has expanded through new ether exchange-traded products from Morgan Stanley and BlackRock that stake part of their holdings and pass rewards to investors.
However, ETH traded near $1,920 on the anniversary, down 49% over the past year and 61% below its 2025 record high.
The Ethereum Foundation also faced major internal changes, with around 54 employees leaving and two co-executive directors stepping down within five months.

South Korea Uncovers $8.6 Million XRP Investment Scam
South Korean authorities have uncovered a cryptocurrency fraud scheme that stole about 3.4 million $XRP
, worth roughly $8.6 million, from 71 victims.
The fake investment platform appeared shortly after the launch of Flare Network’s FXRP token in October 2025. It promised monthly returns of 1.5% to 1.8% while falsely claiming that users’ deposits would remain protected.
The operators used fabricated websites, articles, blog posts and promotional videos to make the project appear legitimate. Victims were instructed to transfer XRP through overseas exchanges before sending it to wallets controlled by the suspects.
The platform disappeared after operating for just over a week. Investigators later traced about $19 million in digital asset activity linked to the scheme and froze approximately $12.1 million on foreign exchanges.
Three suspects were arrested in South Korea, while another alleged organizer remains overseas and is subject to an international alert.

Samsung SDS Explores Stablecoin and AI Payment Partnership With Upbit Operator
Samsung SDS is discussing cooperation with Dunamu, the operator of South Korean crypto exchange Upbit, on stablecoin infrastructure, digital asset systems and AI-powered payment models.
The Samsung Group IT services unit said the partnership could combine its cloud, cybersecurity and enterprise technology capabilities with Dunamu’s blockchain expertise.
Samsung affiliates strengthened their ties with Dunamu in May by acquiring a combined 4% stake in the company. Samsung SDS described the investment as strategic rather than purely financial.
The initiative comes as Samsung expands further into digital finance, following plans to add stablecoin support to Samsung Wallet. Samsung SDS is also increasing investment in AI and cloud infrastructure after reporting a 5.9% annual rise in second-quarter revenue to $2.6 billion.

Bitcoin Holds Near $64,500 as US Stocks Rebound
Bitcoin remained steady around $64,500 on Thursday as the sell-off in South Korean semiconductor stocks eased and US inflation data matched market expectations.
The June Personal Consumption Expenditures index rose 3.7% year over year, down from 4.1% in May but still well above the Federal Reserve’s 2% target. The S&P 500 gained about 1%, while the Nasdaq rose 2.3%, improving sentiment across risk assets.
The Federal Reserve kept interest rates unchanged at its latest meeting. Bitwise Chief Investment Officer Matt Hougan said Bitcoin may become less sensitive to future rate decisions because policy changes are expected to be smaller than in previous cycles.$BTC

BitRiver Founder Charged Over Alleged $12.5 Million Fraud
Russian authorities have charged Igor Runets, the founder of BitRiver, with large-scale fraud linked to a cryptocurrency mining equipment contract.
Investigators allege that a company controlled by Runets signed an approximately $8 million agreement in 2023 to supply equipment to a business within an industrial group founded by billionaire Oleg Deripaska. The buyer reportedly paid $7.9 million upfront, but the equipment was not delivered within the agreed 32-day period.
Prosecutors claim Runets never intended to fulfill the contract and instead used the money for personal expenses. The total value of the case has been estimated at around 1 billion rubles, or $12.5 million.
Runets had previously been placed under house arrest over separate tax-related allegations and was remanded in pretrial detention on July 22.

Pavel Durov Says Russia Labeled Him a Terrorist Over Surveillance Refusal
Telegram founder Pavel Durov said Russia designated him a “terrorist” after he refused government demands for mass surveillance and censorship on the messaging platform.
His comments came a day after Russia’s Federal Security Service accused him of facilitating terrorist activity by allegedly failing to remove Telegram channels used by extremist groups and Ukrainian intelligence services.
Russian authorities also reportedly barred Durov from publishing information online. He mocked the restriction, saying officials appeared confused about who could ban whom from the internet.
The case adds to Durov’s legal troubles in France and Australia, where authorities have also accused Telegram of failing to adequately address illegal and terrorism-related content.
Durov denies wrongdoing and maintains that Telegram will not give governments access to users’ private messages.

Ex-OpenAI Researcher’s Hedge Fund Seeks Fresh Capital After AI Stock Rout
Situational Awareness, the hedge fund founded by former OpenAI researcher Leopold Aschenbrenner, has approached investors and lenders for new capital after suffering heavy losses during July’s AI stock sell-off, according to the Financial Times.
The fund reportedly managed around $20 billion as of early June and had gained 439% after fees through June. However, leveraged bets amplified losses when AI-related stocks fell sharply in July.
Situational Awareness had invested heavily in AI infrastructure, power and data centers, including more than $1.1 billion across seven bitcoin mining companies pivoting toward AI computing.
The size of the losses and the amount of capital being sought were not disclosed.

JPMorgan Says Clarity Act Delays Are a Setback for Crypto Markets
JPMorgan analysts said the declining chances of the Clarity Act passing the U.S. Senate before year-end represent a setback for the cryptocurrency industry.
Prediction markets currently put the probability of passage at 37% on Kalshi and 26% on Polymarket, as lawmakers remain divided over ethics rules, stablecoin yields, decentralized finance, enforcement and illicit-finance provisions.
JPMorgan views the bill as broadly positive because it could clarify the roles of the CFTC and SEC, encourage institutional-grade infrastructure, increase U.S. liquidity and make it easier for banks, exchanges, custodians and market makers to enter the sector.
However, analysts warned that parts of the current draft could deter institutions if decentralized platforms are allowed to trade tokenized securities outside regulatory oversight or crypto firms face weaker anti-money-laundering obligations than traditional financial institutions.
Further delays could also allow traditional financial infrastructure to capture much of the growth in tokenization and blockchain-based finance instead of public crypto networks.

JPMorgan Says Clarity Act Delays Are a Setback for Crypto Markets
JPMorgan analysts said the declining chances of the Clarity Act passing the U.S. Senate before year-end represent a setback for the cryptocurrency industry.
Prediction markets currently put the probability of passage at 37% on Kalshi and 26% on Polymarket, as lawmakers remain divided over ethics rules, stablecoin yields, decentralized finance, enforcement and illicit-finance provisions.
JPMorgan views the bill as broadly positive because it could clarify the roles of the CFTC and SEC, encourage institutional-grade infrastructure, increase U.S. liquidity and make it easier for banks, exchanges, custodians and market makers to enter the sector.
However, analysts warned that parts of the current draft could deter institutions if decentralized platforms are allowed to trade tokenized securities outside regulatory oversight or crypto firms face weaker anti-money-laundering obligations than traditional financial institutions.
Further delays could also allow traditional financial infrastructure to capture much of the growth in tokenization and blockchain-based finance instead of public crypto networks.

Quantum Solutions Sells More Ether to Fund AI Data Center Expansion
Japan-listed Quantum Solutions sold another 1,000 $ETH
for about $1.9 million to finance the expansion of its AI infrastructure and data center business.
The sale reduced the company’s ether holdings to approximately 4,765 ETH, pushing it behind Def consulting, which holds 4,976 ETH, as Japan’s largest publicly traded corporate ETH treasury.
Quantum has now sold 1,904 ETH since mid-June, cutting its holdings by 28.6%. The company expects to record a loss of about $100,000 on the latest transaction after purchasing much of its ETH when prices were between $4,000 and $4,500.
Quantum has authorized the sale of up to another 2,471 ETH through Oct. 30. However, most of its remaining holdings are either pledged as loan collateral or held in a trading account, which could limit its ability to complete the full disposal.

Senators Seek New Ethics Compromise to Advance Crypto Clarity Act
U.S. senators have sent the White House a revised ethics proposal aimed at breaking the deadlock over the Clarity Act, a sweeping cryptocurrency market-structure bill.
The compromise was drafted by Republican Sen. Thom Tillis and Democratic Sen. Ruben Gallego, though its details have not been disclosed. Democrats have demanded stronger safeguards addressing President Donald Trump’s crypto interests, including his memecoin and his family’s involvement with World Liberty Financial.
An earlier draft would bar public officials and their spouses from issuing or sponsoring digital assets, but it excludes other family members and would expire in January 2029. Critics argue that the sunset clause and Justice Department-led enforcement would make the restrictions ineffective.
The bill also faces opposition over stablecoin rewards, with banks warning they could drain deposits from the traditional banking system. With the Senate scheduled to begin its recess on Aug. 7, securing the 60 votes needed for passage appears increasingly difficult.

IRS Warns Crypto Holders About Fake Compliance Letters
The U.S. Internal Revenue Service has warned that scammers are mailing counterfeit letters to cryptocurrency holders in an attempt to steal their digital assets or personal information.
Some letters instruct recipients to register through a fake “Digital Asset Compliance Portal,” which the IRS says does not exist. The agency also advised taxpayers not to scan suspicious QR codes or respond to callers demanding payment.
The scheme represents a shift from traditional online phishing to physical mail, potentially making the fraud appear more credible because the IRS has previously contacted taxpayers about cryptocurrency reporting.
The warning comes as crypto-related crime remains widespread. Blockaid recently reported more than $1 billion in losses from crypto hacks during the first half of 2026, while CertiK recorded over 50 physical “wrench attacks” targeting crypto holders.

Coinbase Shares Fall Despite Record Market Share and Prediction-Market Growth
Coinbase shares fell about 7% in after-hours trading despite strong second-quarter growth across several newer business lines.
Prediction-market contracts and revenue more than doubled from the previous quarter, while annualized revenue from the segment surpassed $100 million. Coinbase also captured a record 10.3% share of global crypto trading volume, marking its third consecutive quarter of market-share gains.
The average amount of USDC held across Coinbase products reached a record $20 billion, representing more than 30% of USDC in circulation.
Subscription and services revenue rose to $555 million, and Coinbase said 88% of its net revenue now comes from sources other than bitcoin spot trading.

Strategy Posts $8.2 Billion Q2 Loss as Bitcoin Slump Hits Holdings
Strategy reported an $8.2 billion net loss for the second quarter, reversing a $10 billion profit a year earlier, mainly due to unrealized losses on its bitcoin holdings.
The company sold about $218 million worth of bitcoin this year to fund preferred-stock dividends and has paused BTC purchases for five consecutive weeks while building its cash reserves.
CEO Phong Le said Strategy reduced convertible debt by 18% to $6.7 billion and increased its USD reserve by 12% to $2.4 billion during the quarter. CFO Andrew Kang later said the reserve had risen to $3.75 billion, enough to cover roughly two years of dividend and interest obligations.
Strategy most recently reported holding 843,775 $BTC $MSTRB
.

Trade.xyz to Cover Losses From $60 Million Liquidation Event
Decentralized perpetual futures exchange Trade.xyz said it will reimburse traders affected by roughly $60 million in liquidations after its SK Hynix contract suddenly fell 19%.
The contract’s mark price dropped from about $1,128 to $917 on July 27 after a single trade was executed on a thin Korean pre-market venue. Trade.xyz said multiple independent data providers relayed the transaction and its oracle system operated exactly as designed.
Because the oracle accurately reflected the external market price, positions were automatically liquidated even though the sharp move was caused by limited liquidity rather than a technical failure or confirmed manipulation.
Trade.xyz described the reimbursement as a one-time discretionary measure and said eligibility details and payouts would follow within days.
The exchange is now reviewing how it calculates prices and may give greater weight to activity on its own order books rather than relying heavily on external venues with limited liquidity.
SK Hynix shares later fell about 17% as Korean equities suffered a record two-day decline, despite the chipmaker reporting a 557% increase in quarterly profit that still missed expectations.
$SKHYB

Ethereum’s Role in Perpetual Trading Shifts Toward Settlement and Collateral
Ethereum pioneered decentralized finance, but the rapidly growing perpetual futures market has increasingly moved to faster networks such as Hyperliquid, Solana and Ethereum layer-2 platforms.
Perpetual exchanges require low fees, rapid execution and near-continuous reliability to process frequent trades, liquidations and funding payments. Ethereum’s base layer prioritizes security and settlement, making it less suitable for latency-sensitive trading.
Arbitrum helped establish Ethereum’s layer-2 perpetual market when GMX launched in 2021. Base has also attracted trading platforms by offering lower costs, faster transactions and access to a growing pool of users and liquidity.
Meanwhile, Hyperliquid built a purpose-designed blockchain for perpetual trading, while Solana benefited from low fees and strong retail activity. Ethereum faces an additional challenge because its users and liquidity are fragmented across multiple layer-2 networks, often requiring traders to bridge assets.
However, Ethereum supporters argue that it does not need to dominate trade execution. The network remains a major source of stablecoins, collateral, liquidity and mature DeFi infrastructure, allowing it to serve as the settlement foundation for markets operating elsewhere.
Institutional adoption will depend on deeper liquidity, predictable execution, better custody, cross-margining and more efficient capital movement between venues.
Ethereum’s future in perpetual markets may therefore depend less on becoming the fastest trading network and more on remaining the deepest and most trusted place for collateral and settlement.
$ETH

Senators Finalize CLARITY Act Ethics Compromise as Deadline Nears
U.S. Senators Thom Tillis and Ruben Gallego have reportedly finalized a bipartisan compromise on the CLARITY Act’s ethics provisions, though the proposed language has not yet been made public.
The section aims to restrict senior government officials from maintaining direct financial ties to crypto projects, with President Donald Trump’s digital asset interests at the center of the debate. The compromise still needs support from the White House and enough Democrats to secure the 60 Senate votes required to advance the bill.
Time is running short before the Senate begins its August recess on August 7. Senate Majority Leader John Thune has said the bill is unlikely to complete the full legislative process before the break, although an initial cloture vote could build momentum for September.
Other unresolved issues include protections for DeFi developers, safeguards against illicit finance and rules governing stablecoin rewards. Banking groups want stronger restrictions preventing stablecoin issuers from offering rewards resembling deposit interest, while crypto advocates argue the current compromise is sufficient.
Industry representatives increasingly view September as the bill’s last realistic opportunity before the November midterm elections. Failure to pass the legislation could force lawmakers to restart negotiations in the next Congress.

Bitcoin Holds Near $64,000 as Oil Surge and Chip Sell-Off Pressure Markets
Bitcoin traded around $64,000 on Wednesday as rising oil prices, weakness in global technology stocks and uncertainty ahead of the Federal Reserve’s interest-rate decision weighed on risk assets.
BTC briefly fell to an 11-day low of $62,700 before recovering. The decline followed a continued sell-off in Asian semiconductor shares amid concerns about the debt obligations of major chip and artificial-intelligence companies.
Escalating tensions between the United States and Iran added further pressure. WTI crude oil rose 7.6%, while Brent gained 5.4%, raising concerns that higher energy prices could keep inflation elevated and influence future monetary policy.
Before the Fed’s decision, markets priced in a 66.3% probability that rates would remain at 3.5%-3.75%, compared with a 33.7% chance of a quarter-point increase.
Bitcoin remained trapped between key 50-day moving averages, with liquidation clusters forming near $63,500 and $64,900. Trading activity was also weak, with average daily spot volume falling to $2.2 billion in July, its lowest level since July 2023.
$BTC

White House Rejects Proposed CLARITY Act Changes
The White House has rejected proposed changes to developer protections in the CLARITY Act, signaling another dispute over the stalled crypto market structure bill.
US law enforcement groups reportedly asked the administration to revise provisions in the Blockchain Regulatory Certainty Act, which is included in the broader legislation. The proposal sought to clarify that protections for blockchain developers would not create, expand or alter criminal liability under federal law.
White House crypto adviser Patrick Witt said the suggested language was “not even close” to the administration’s position and did not reflect productive negotiations.
The bill is also facing opposition from Democrats over ethics provisions related to President Donald Trump’s crypto holdings. Senate Majority Leader John Thune has not scheduled a vote, and lawmakers are unlikely to complete the required procedural steps before the Senate’s August recess.
The CLARITY Act would shift significant oversight of digital assets from the Securities and Exchange Commission to the Commodity Futures Trading Commission. Critics have warned that the CFTC currently has fewer enforcement resources and remains understaffed.