Crypto Breaking

Robinhood’s latest earnings narrative paints a bifurcated picture: the platform’s overall revenue grew, but the crypto segment continued to grapple with a broader market downturn. In the fourth quarter of 2025, the trading platform reported net revenues of $1.28 billion, up 27% year over year yet beneath Wall Street consensus of about $1.34 billion. Crypto revenues declined sharply, falling 38% year over year to $221 million as digital asset markets cooled after the October downturn. On the bottom line, the company posted net income of $605 million and earnings per share of $0.66, modestly topping expectations of $0.63. For the full year, Robinhood tallied a record $4.5 billion in net revenues and $1.9 billion in net income, marking increases of 52% and 35%, respectively.

Key takeaways

Q4 net revenues came in at $1.28 billion, missing the approximately $1.34 billion expected by analysts, even as the company delivered a 27% YoY increase.

Crypto revenues dropped to $221 million in Q4, a 38% year-over-year decline amid a bearish tilt in crypto markets that accelerated in October.

Notional crypto volumes across Robinhood’s app and its wholly owned exchange Bitstamp rose 3% QoQ to a record $82.4 billion, underscoring ongoing user engagement in crypto activity despite revenue softness.

Equity trading volumes grew more robustly in the quarter, up 10% QoQ to $710 billion, with options trading up 8% to 659 million contracts, highlighting diversification away from crypto into traditional assets.

Robinhood’s “other” transaction-based revenues — including its prediction markets and futures — surged to a quarterly record of $147 million, rising 375% year over year and surpassing equity trading revenues for the first time.

Shares in Robinhood (HOOD) fell in after-hours trading, down 7.66% to $79.04 after closing the regular session at $85.60, continuing a drawdown that has left the stock well below its October 2023 peak.

Tickers mentioned: $HOOD

Sentiment: Neutral

Price impact: Negative. The stock moved lower in after-hours trading following the earnings release, reflecting investor disappointment with crypto revenues and the quarterly miss on consensus estimates.

Market context: The results come as a broader retail and crypto market backdrop remains fragile, with liquidity and risk appetite shifting as investors reassess the potential for mainstream adoption of crypto products within a unified “Financial SuperApp” strategy.

Why it matters

The quarterly numbers illustrate how Robinhood is trying to diversify beyond its origins as a stock-trading app. While the core platform posted a respectable top-line increase, the crypto business—once a high-growth driver—hit a wobble as the crypto cycle cooled. This divergence underscores a broader industry trend: even as retail interest in crypto persists, revenue generation from digital assets remains highly sensitive to price action and market sentiment. For a company positioning itself as a one-stop financial interface, crypto volatility adds a layer of risk to the pace and scale of user monetization.

At the same time, Robinhood’s willingness to lean into non-traditional revenue sources is evident. The quarterly ascent of “other” transaction-based revenues to $147 million, a 375% year-over-year climb, marked a watershed moment where prediction markets and futures began to outpace traditional equity trading revenues. The platform’s bet on event contracts, launched in partnership with Kalshi in March last year, appears to be paying off as traders seek derivatives tied to real-world outcomes. This diversification aligns with the company’s stated ambition to become a holistic Financial SuperApp, a longer-term thesis that hinges on expanding monetization across asset classes and product types.

From an investor perspective, the earnings mix highlights both opportunity and risk. The after-hours stock swing reflects heightened sensitivity to crypto headlines and quarterly revenue gaps. Yet, management’s ability to deliver record annual revenues and grow net income suggests a resilient operating model, buoyed by a mix of crypto exposure, growing volumes in traditional markets, and the rapid acceleration of ancillary products like prediction markets. The “Financial SuperApp” narrative remains intact, but the path to scale will likely depend on continuing to attract and retain a broad user base while extracting incremental margin from new product lines.

CEO Vlad Tenev reiterated a strategic thread that has persisted through earnings cycles: the company is relentlessly building out its suite of financial services to deepen user engagement and lifetime value. In the statement, he emphasized that “our vision hasn’t changed: we are building the Financial SuperApp.” That framing, if realized, could help Robinhood weather episodic crypto downturns by yielding a more stable and diversified revenue stream across products and geographies.

What to watch next

Next-quarter commentary on crypto revenue resilience: whether price action and user activity stabilize enough to revive crypto-related monetization.

Progress updates on the “Financial SuperApp” initiative, including product rollouts, cross-product usage metrics, and international expansion signals.

Regulatory developments affecting crypto trading and prediction markets, especially around consumer protections and platform liability.

Quarterly trends in notional crypto volumes versus other product categories to gauge ongoing demand shifts from crypto to traditional assets and derivative markets.

Follow-up on Kalshi partnership outcomes and the elasticity of revenue from event-based contracts as mainstream retail adoption evolves.

Sources & verification

Robinhood Reports Fourth Quarter and Full Year 2025 Results — official press release

Zacks coverage comparing results to Wall Street estimates

Bitstamp and Robinhood crypto trading volume context and quarterly notional volumes

Robinhood launches betting markets hub with Kalshi — coverage of the prediction markets initiative

Robinhood earnings reveal crypto headwinds amid broader revenue growth

Robinhood (EXCHANGE: HOOD) reported mixed fourth-quarter results as the platform continues to diversify beyond its core trading app into crypto services and other revenue streams. In Q4 2025, the company tallied net revenues of $1.28 billion, a 27% year-over-year increase but below Wall Street consensus of roughly $1.34 billion. Crypto revenues declined sharply, falling 38% year over year to $221 million as digital asset markets cooled after the October downturn. On the bottom line, the company posted net income of $605 million and earnings per share of $0.66, modestly topping expectations of $0.63. For the full year, Robinhood tallied a record $4.5 billion in net revenues and $1.9 billion in net income, marking increases of 52% and 35%, respectively.

Notional crypto volumes across the app and its exchange Bitstamp rose 3% quarter-on-quarter to a record $82.4 billion in Q4, underscoring continued user engagement in digital assets despite soft revenue figures. By comparison, traditional equities activity remained stronger, with equity trade volumes up 10% QoQ to $710 billion and options trading rising 8% to 659 million contracts. The company’s foray into event-based contracts also bore fruit in the quarter, as Kalshi-backed prediction markets helped lift overall revenue from “other” transaction-based streams to a quarterly record of $147 million, up 375% year over year and surpassing the revenue generated from equity trades for the first time.

The quarterly narrative sits within a broader strategy to expand Robinhood’s product suite beyond stock and crypto trading. The company emphasized that the growth of prediction markets and futures was not a one-off spike but part of a deliberate pivot toward higher-margin, diversified revenue streams. While the crypto segment faced headwinds, the strength of non-traditional product lines suggests a path to resilience if demand for these instruments remains robust and regulators maintain a stable environment for retail access to alternatives.

Chairman and CEO Vlad Tenev framed the results within the larger ambition of building a comprehensive financial platform. “Our vision hasn’t changed: we are building the Financial SuperApp,” he said, highlighting that the business model is designed to leverage cross-product engagement and monetization across multiple asset classes. The market reaction to the earnings release reflects a cautious stance: investors weighed the crypto softness against the strength of other lines and the long-term potential of a broader platform ecosystem.

This article was originally published as Robinhood Q4 Earnings Miss as Crypto Revenues Decline on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Robinhood has launched a public testnet for Robinhood Chain, its upcoming Ethereum layer-2 network designed to bring tokenized real-world and digital assets onto the blockchain. The testnet is now open to developers and offers access points, documentation, and compatibility with standard Ethereum development tools, along with early integrations from infrastructure partners. The project emphasizes “financial-grade” use cases, including 24/7 trading, seamless bridging, self-custody, and decentralized products such as tokenized asset platforms, lending markets, and perpetual futures exchanges. A mainnet launch is planned for later this year, with testnet-only assets such as stock-style tokens and tighter integration with Robinhood Wallet anticipated in the coming months.

Ethereum (CRYPTO: ETH) is at the center of Robinhood Chain, which draws on Arbitrum-style technology to scale and secure on-chain interactions around tokenized assets. In the announcement, Robinhood frames the testnet as laying the groundwork for an ecosystem that could redefine access to tokenized real-world assets and unlock deeper liquidity within the Ethereum ecosystem. The release notes that developers will be able to build and test decentralized applications that interact with on-chain securities, commodities, and other tokenized instruments, all while leveraging the throughput benefits associated with layer-2 scaling. A dedicated documentation hub—docs.chain.robinhood.com—provides step-by-step guidance for onboarding, smart contract development, and bridging between the main chain and the testnet environment.

The broader mission, as outlined by Robinhood, is to move beyond a simple exchange app that supports crypto trading to an on-chain infrastructure that can host a range of tokenized real-world assets. This shift builds on the company’s earlier push to tokenize a substantial slice of traditional markets, including nearly 500 United States stocks and exchange-traded funds (ETFs) on Arbitrum as part of a broader real-world asset strategy. In practical terms, tokenized stocks and other asset types could offer near real-time settlement, programmability, and new liquidity venues that hinge on the security and efficiency of blockchain settlement. The testnet will serve as a proving ground for these ideas, with the expectation that some features, such as tighter integration with the Robinhood Wallet, will transition to mainnet in the months ahead.

Robinhood’s leadership has framed the project as part of a broader trend in which centralized exchanges pursue end-to-end control over both the user experience and the on-chain rails that enable trading and custody. In parallel, Coinbase has been pursuing its own on-chain expansion through Base, an L2 network aimed at regulated, scalable trading and the eventual rollout of tokenized equities; the company signaled it would begin tokenized equities in December 2025 as part of a broader strategy. This move aligns with the industry’s push for on-chain settlement and more fluid movement between traditional and digital asset markets.

On the other side of the market spectrum, Kraken has pursued a similar end-to-end approach. The exchange has been developing Ink, its own Optimism-based L2 network, and has signaled a pathway toward tokenized equities such as xStocks. Taken together, these initiatives reflect a sector-wide appetite for on-chain rails that can support regulated trading, custody, and real-world asset tokenization while maintaining robust compliance and risk controls.

Robinhood’s tokenization push

The testnet release underscores a continuing shift in Robinhood’s strategy from simply offering crypto trading to building and operating its own on-chain infrastructure. This explicitly ties into the company’s earlier moves to tokenize real-world assets and integrate them into a broader trading ecosystem. Beyond the testnet, the plan calls for a mainnet launch later this year, with expectations of stock‑style tokens and even deeper integration with the Robinhood Wallet as part of the rollout.

Johann Kerbrat, senior vice president and GM of Crypto and International at Robinhood, framed the testnet as a foundational step toward an ecosystem that could define the future of tokenized real‑world assets. He described the environment as a launchpad for DeFi liquidity within the Ethereum ecosystem, inviting builders to experiment with on-chain representations of traditional financial instruments. The announcement emphasizes that the testnet is designed to support “financial-grade” use cases, including 24/7 trading and cross-chain bridging, while preserving user custody and security.

As the industry moves toward more comprehensive on-chain rails, tokenized assets are increasingly viewed as a way to reduce settlement times and unlock new liquidity pools. The Robinhood Chain testnet embodies this ambition by offering a sandbox where developers can test tokenized securities and other asset types, ensuring that the underlying rails and tooling can withstand real-market stress, while integrating with existing Ethereum tooling and infrastructure. The initiative also participates in a broader narrative about regulated, practitioner-friendly deployments of decentralized finance on established networks.

Historically, Robinhood has faced regulatory scrutiny and public criticism related to outages during periods of market stress and questions about the company’s use of payment for order flow in equities. The company’s leadership has argued that tokenized stocks could help prevent trading freezes by enabling real-time settlement on-chain. Whether the testnet and subsequent mainnet deployment will meaningfully mitigate past concerns remains a topic of ongoing scrutiny among regulators and market participants.

What to watch next

Mainnet launch in the latter part of the year, with a clear roadmap for introducing stock-style tokens on Robinhood Chain.

Expansion of testnet assets beyond basic tokenized instruments, including tighter integration with Robinhood Wallet and enhanced developer tooling.

Continued activity from peer exchanges pursuing on-chain rails and tokenized equities, such as Base (Coinbase) and Ink (Kraken), and how these ecosystems interact with the broader DeFi liquidity landscape.

Regulatory clarity and potential oversight around on-chain tokenized securities and cross-border custody arrangements as these platforms move from testnet to mainnet.

Sources & verification

Official Robinhood release outlining the Robinhood Chain testnet, its documentation hub, and the roadmap for 24/7 trading, bridging, and self-custody.

Statement from Johann Kerbrat on the testnet’s role in enabling a future tokenized real-world assets ecosystem.

Coinbase coverage of stock trading and prediction markets as part of its broader “everything app” strategy and tokenized equities rollout.

Kraken coverage of Ink, its Optimism-based L2, and the xStocks tokenization initiative as part of an end-to-end approach to on-chain markets.

Historical context on Robinhood’s tokenization efforts, including the tokenization of nearly 500 US stocks and ETFs on Arbitrum.

Why it matters

The Robinhood Chain testnet marks a pivotal step in the ongoing transition of traditional financial assets to on-chain representations. By coupling Ethereum‑level security with layer-2 scalability and tokenized instruments, Robinhood aims to provide a more predictable and programmable framework for on-chain asset trading. If mainnet deployment succeeds, developers could build decentralized markets that mirror or improve upon real-world asset trading, with potential benefits such as faster settlement, improved liquidity, and enhanced transparency.

From a market perspective, the initiative contributes to a broader trend of regulated, infrastructure-focused expansion by mainstream financial incumbents into the Web3 and DeFi space. The convergence of wallet-centric custody, tokenized securities, and cross-chain interoperability could influence how liquidity flows between centralized exchanges and decentralized venues, potentially shaping user experience and capital flows for years to come. At the same time, observers will be watching how these platforms address risk controls, regulatory expectations, and incident response given Robinhood’s historical outages and public scrutiny.

Market context

As the crypto and digital asset ecosystem matures, more traditional platforms are experimenting with on-chain rails to support tokenized real-world assets. The Robinhood Chain testnet fits into a wider pattern of exchanges grafting on-chain capabilities to support regulated activity while offering developers a sandbox to refine interoperability with Ethereum-based tooling. The deployment—spanning testnets, mainnet timelines, and collaborations with wallet ecosystems—illustrates a broader industry shift toward programmable, real-time settlement mechanisms and the integration of traditional markets with decentralized infrastructure.

What to watch next

Mainnet timing and any delays or accelerations announced by Robinhood for Robinhood Chain.

Progress on stock-style tokens becoming live on the mainnet and any regulatory disclosures tied to those assets.

Enhanced interoperability between Robinhood Wallet and other DeFi layers or bridges, including potential cross-chain use cases.

Tickers mentioned: $ETH, $COIN

Market context: The launch is part of a broader movement toward on-chain rails for regulated assets and DeFi liquidity on Ethereum-layer-2s.

What to watch next: Mainnet timing, broader tokenized-asset rollout, and wallet-chain integrations will shape the near-term trajectory of Robinhood Chain and related ecosystems.

This article was originally published as Robinhood Unveils ETH Layer-2 Testnet for Tokenized Assets on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Ether faced resistance to hold above $2,000 on Tuesday as market sentiment cooled, and a 31% drop in 2026 has drawn comparisons to price fractals seen in prior bull markets. The slide to roughly $1,736 underscored a broader consolidation, with traders weighing the risk of further draws versus the potential of a patient, bottoming process. On-chain watchers have repeatedly highlighted a defined demand zone spanning approximately $1,300 to $2,000, a band that could attract buyers if price action continues to meander lower. The narrative here centers on whether Ether can form a durable base or slip into a protracted period of range-bound trading that delays a meaningful breakout. For context, market participants continue to monitor liquidity flows, derivative risk, and evolving network fundamentals that often foreshadow macro moves.

Key takeaways

ETH’s drop to about $1,736 may mark the initial low in a broader consolidation phase rather than a final bottom.

On-chain cost-basis data clusters between $1,300 and $2,000, reinforcing this range as a potential demand zone.

A fractal comparison of the 2021–2022 cycle with 2024–2025 suggests a pattern where an early bottom is followed by retests to lower levels before a durable base forms.

UTXO Realized Price Distribution (URPD) points to meaningful overhead resistance near $2,822 and $3,119, concentrations that could cap rallies unless substantial demand emerges below current levels.

Derivatives data show concentrated long-liquidation risk around $1,455 from $1,700, while more than $12 billion in short liquidity sits up to $3,000, implying a potential shift in momentum once downside liquidity is absorbed.

Tickers mentioned: $ETH

Sentiment: Neutral

Price impact: Neutral. Near-term risk remains balanced by base-building signals and a defined demand zone.

Market context: The broader crypto backdrop continues to digest on-chain signals alongside macro risks. Ethereum withdrawals from exchanges have spiked to the highest levels since October 2025, with net outflows exceeding 220,000 ETH, and Binance alone recording roughly 158,000 ETH in daily net outflows—the largest since August 2025. These flows coincided with ETH trading in a $1,800–$2,000 range, suggesting a combination of accumulation and risk-off repositioning. Meanwhile, stablecoin activity on Ethereum has risen markedly, with stablecoin transaction volume up about 200% over the past 18 months even as the price has lagged. This divergence can foreshadow a re-rating if network fundamentals and liquidity conditions align with price action.

Why it matters

The unfolding pattern matters because it frames Ether’s potential trajectory in the context of a longer base-building phase rather than a quick recovery. If the fractal framework holds, the asset could spend more time coiling within a defined band, testing lower supports before a durable upside breakout emerges. This matters for traders and risk managers who must gauge how much exposure to maintain during a broad consolidation while tracking evolving on-chain activity and derivatives signals that historically precede major moves.

From a broader market perspective, the interaction between on-chain demand zones and subtle shifts in exchange flows could signal how liquidity is reallocated as institutions and retail participants reassess risk. The observed uptick in stablecoin settlements and the outflows from centralized venues imply a transfer of risk away from exchanges in favor of self-custody and potentially longer-duration holding patterns. If this trend persists, it could set the stage for a renewed bid when price action tests critical levels in the $1,500s or higher.

Additionally, the ongoing dialogue around whether Ether is capitulating or merely consolidating highlights the nuanced nature of market cycles. The fractal approach, which aligns current action with prior periods of broad basing, suggests that patience and disciplined risk management may be more prudent than chasing short-term rallies during uncertain liquidity regimes. Independent observers are watching for confirmations from on-chain metrics and derivatives markets that could either reinforce a gradual re-rating or expose the market to sharper, faster moves once liquidity conditions flip.

What to watch next

Price tests of the $1,500–$1,600 zone and whether buyers re-emerge at the lower end of the demand band.

Verification of key URPD levels around $1,237 and $1,881 as potential cycle floors and pockets of demand if price retraces further.

Monitoring long versus short liquidity dynamics, including long-liquidation risks around $1,455 from the $1,700 area and substantial short liquidity up to $3,000, which could shape the slope of any ensuing rally.

Trends in exchange withdrawals and stablecoin turnover on Ethereum, which may presage shifts in market participation and risk tolerance.

Derivative market signals, including any evolving bias after absorption of near-term liquidity pressures, to gauge whether the market transitions from distribution to accumulation.

Sources & verification

Ether UTXO Realized Price Distribution (URPD) data and interpretations from Glassnode.

Rising Ethereum withdrawals from exchanges and related net flows, with Binance’s outflows highlighted as a notable datapoint from CryptoQuant.

Derivatives risk indicators, including the Cuingood-style liquidation heat map from Coinglass, detailing long-liquidation risk levels and short liquidity concentrations to $3,000.

Weekly chart framing and fractal comparisons published with reference to ETHUSDT data on TradingView (Cointelegraph/TradingView).

Ethereum Foundation SEAL collaboration articles on wallet security and related efforts to curb drainers.

Ether fractal signals an extended base-building phase

Ether (CRYPTO: ETH) has again drawn analysts to a familiar price-action pattern where a pronounced dip is followed by a prolonged period of range-bound activity rather than an immediate leg higher. On the weekly chart, a move toward the $1,730 area resembles a “first low” rather than a definitive market floor, echoing structures seen during the 2021–2022 period when ETH spent roughly a year consolidating near a first low of approximately $1,730 and a broader support band around $885. These historical touchpoints, when viewed through a fractal lens, suggest the current cycle may unfold similarly: a first phase of downside risk that yields to a more extended base-building phase before demand returns with greater resilience. The weekly framing in this narrative is anchored by the ETHUSDT pair on TradingView, which has provided the visual reference for these comparisons. The fractal interpretation is not a guarantee, but it offers a framework for interpreting the sequence of on-chain activity and price movements against the backdrop of a market still digesting liquidity and macro cues.

In the near term, the market’s focus shifts to whether Ether can sustain a bid above the immediate support around $1,500–$1,600 or if price testing compounds the pressure toward the $1,237 level, a region that previous analyses identify as a potential cycle floor. The on-chain support is reinforced by URPD observations, which show substantial realized price concentration at higher levels, underscoring a stubborn overhead that could keep rallies in check unless fresh demand emerges. At the same time, the index of supply concentration at $2,822 and $3,119 constitutes a ceiling that traders must clear to generate meaningful upside momentum. These resistance pillars remind investors that any attempt to re-rate Ether will require a combination of technical durability and sustained capital inflows.

Meanwhile, market participants should monitor the interplay between on-chain signals and derivatives dynamics. The heat map of long liquidations suggests a risk horizon near $1,455 when price drifts from $1,700, while a large pool of short liquidity up to $3,000 implies a potential upside framework once sellers exhaust liquidity pressure. The balance between these forces—realized price levels, withdrawal trends, and the evolving derivative landscape—will shape whether Ether can complete a longer, steadier base or remains vulnerable to periodic risk-off episodes that push the price toward the lower bound of the current range.

As observers parse these signals, one constant remains: the market’s attention to demand zones and supply barriers. The convergence of on-chain data with macro risk sentiment can either reinforce a patient, base-building narrative or catalyze a more decisive move if new catalysts emerge. The evolving ecosystem continues to attract attention from developers and investors who watch for signs of renewed network activity, institutional participation, and regulatory clarity that could shift the risk calculus in Ether’s favor.

This article was originally published as Big Demand Zone Below $2K Signals ETH’s Next Move on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Former FTX chief executive Sam Bankman-Fried has asked a federal court for a new trial, arguing that testimony from witnesses not available at the original 2023 trial could undermine the government’s portrayal of FTX’s finances before its collapse. The Feb. 5 filing, submitted to the Manhattan federal court by Bankman-Fried’s mother, Barbara Fried, a retired Stanford law professor, is being reviewed separately from the formal appeal process. Legal observers described the move as a long shot, noting that motions for a new trial face steep legal hurdles. The filing keeps the case active as the crypto industry continues to reckon with the fallout from FTX’s collapse. Bankman-Fried was convicted on seven counts tied to the misuse of customer funds at FTX and Alameda Research and was subsequently sentenced to 25 years in prison.

Key takeaways

Bankman-Fried filed for a new-trial request in Manhattan federal court on February 5, arguing that testimony from witnesses not previously available could alter the government’s narrative about FTX’s financial condition before November 2022.

The filing is distinct from his ongoing appeal and is considered a high-risk, rarely-granted remedy, according to coverage of the development.

The witnesses cited include former FTX executives Daniel Chapsky and Ryan Salame; Salame has already pleaded guilty to related charges and is serving a seven-and-a-half-year sentence.

Bankman-Fried is asking for a different judge to review the motion, contending that the trial judge, Lewis Kaplan, showed “manifest prejudice” during the proceedings.

Separately, the FTX bankruptcy estate continues to unwind assets and make payments to creditors, with billions disbursed in 2025 and further payouts anticipated as asset recoveries and claims reviews proceed.

Sentiment: Neutral

Market context: The case sits at the intersection of a reopened legal battle over crypto exchange governance and the ongoing process of asset recovery in the FTX bankruptcy, a backdrop shaping investor sentiment in the broader crypto ecosystem as markets adjust to renewed regulatory scrutiny and liquidity considerations.

Why it matters

The motion filed by Bankman-Fried signals an enduring strategy to contest every possible avenue of review, even after a high-profile conviction that has already reverberated through the industry. By arguing that testimony from former executives who did not appear at trial could alter the narrative surrounding FTX’s finances, the defense aims to inject fresh context into a case that has already established a precedent for the treatment of customer funds and corporate governance within crypto-linked entities. While the odds of a successful new trial remain remote, the procedural maneuver underscores how defendants in landmark crypto cases may pursue multiple tracks to challenge outcomes, particularly when complex financial arrangements are involved.

The allegations hinge on questions about how FTX and Alameda Research presented their financial position in the crucial period leading up to the collapse in November 2022. The defense contends that additional perspective from former executives could complicate the government’s portrayal of solvency and liquidity, potentially altering jurors’ understanding of the company’s underlying finances. The decision to seek a different judge for review adds another layer to the strategy, suggesting the defense believes the presiding judge’s conduct during trial could have influenced the jury’s interpretation. This line of argument echoes earlier appeals discussions that suggested the defense perceived improper constraints on explaining investor fund availability during the proceedings.

On the other side, prosecutors and the bankruptcy team remain focused on recovering value for creditors through a phased payout schedule. The FTX estate’s process has already distributed billions of dollars to creditors in 2025, and officials indicate that additional disbursements will follow as asset recoveries continue and claims are reviewed. The contrast between ongoing asset recovery efforts and a post-conviction legal bid highlights how the FTX saga continues to unfold across multiple fronts—criminal accountability, civil actions, and creditor recovery—well after the initial collapse and sentencing.

What to watch next

Whether the court will accept the new-trial motion for review, and if so, whether the request is reassigned to a different judge for consideration.

Any formal responses from prosecutors and the defense, including potential replies outlining why the witnesses’ testimony could be deemed significant or inconsequential to the verdict.

Timing and scope of further rulings in the criminal case, including any procedural milestones tied to the appellate process or ancillary motions.

Progress of the FTX bankruptcy estate’s payout plan, including any announced disbursements or adjustments to the repayment calendar as asset recoveries evolve.

Sources & verification

Motion filed on February 5 in Manhattan federal court by Sam Bankman-Fried’s team, with commentary noting its position as a long-shot challenge.

Bloomberg’s coverage of the new-trial bid and related scheduling considerations.

Details of Bankman-Fried’s seven-count conviction tied to the alleged misuse of customer funds at FTX and Alameda Research.

Salame’s guilty plea and seven-and-a-half-year prison sentence as a related development in the case.

FTX bankruptcy estate updates describing the phased payout approach and cumulative distributions to creditors in 2025, along with ongoing reviews of remaining claims.

New-trial bid keeps FTX fallout in play as prosecutors press ahead

The central argument in Bankman-Fried’s latest filing rests on the potential impact of testimony from witnesses who were not called at trial, specifically former FTX executives Daniel Chapsky and Ryan Salame. By positing that such testimony could challenge the government’s narrative about FTX’s financial health before the collapse, the defense is attempting to reopen questions about solvency and liquidity that were central to the jury’s assessment in 2023. While the court process for a new trial remains arduous, the submission indicates that the defense believes new material could alter the perception of the company’s finances, a linchpin of the government’s case against Bankman-Fried on seven criminal counts tied to customer funds misuse.

The move to seek a different judge to review the motion adds a procedural layer to the strategy. Bankman-Fried’s team argues that Judge Lewis Kaplan’s conduct during the trial may have introduced what the defense characterizes as “manifest prejudice.” This argument mirrors prior appellate contentions that Kaplan did not allow certain defenses relating to the availability of funds to repay investors to be presented to jurors. The defense’s aim appears to be twofold: to introduce new witnesses who could reframe the financial narrative and to secure an impartial reassessment of the trial dynamics, should the court grant a fresh review.

At the same time, the broader legal and regulatory environment surrounding FTX remains unsettled. The bankruptcy estate’s ongoing efforts to return capital to creditors underscore the complexity of unwinding a multibillion-dollar platform that collapsed under rapid liquidity strains and stakeholder risk. In 2025, the estate distributed billions and indicated that further disbursements would follow as asset recoveries progress and claims are thoroughly reviewed. This ongoing process continues to shape the broader market’s expectations for recovery timelines and the level of restitution investors and customers might eventually receive.

Observers emphasize that even if the new-trial bid does not succeed, it keeps the legal narrative alive, ensuring continued scrutiny of evidence and procedures that could influence future crypto-related prosecutions and settlements. The case thus remains a focal point for discussions about governance, financial disclosures, and customer protections within the crypto space, reinforcing the idea that accountability mechanisms beyond initial verdicts may play a meaningful role in shaping industry standards and investor confidence.

This article was originally published as SBF Seeks New FTX Fraud Trial After Fresh Witness Testimony on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Bitcoin has paused near recent highs, trading south of $69,000 as markets digest a period of consolidation after a volatile move that saw a dip to $60,000 followed by a rally to $72,000. Analysts note that price indicators have shifted into what some describe as a deep-value zone, prompting renewed debate about whether buyers will step in at these levels. Behind the scenes, researchers rely on two long-running metrics—realized price bands and a power-law quantile framework—that together frame the asset’s potential next leg. Taken together, these measures point to a broad, data-driven picture of accumulation forming at multiple support bands.

Key takeaways

Bitcoin’s realized price bands align with a long-term accumulation zone that has preceded major price advances in prior cycles.

The shifted realized price sits near $42,000 while the current realized price hovers around $55,000, signaling a structural support window roughly between $40,000 and $55,000 with potential upside if the pattern repeats.

The power-law quantile model places BTC near the 14th percentile of its long-term log–log price corridor, suggesting a period of relative undervaluation after a cycle peak that could reach toward $210,000 in 2025 per the model.

History shows rallies often follow a re-test of these bands, implying meaningful upside potential—roughly 170%–220%—in the next bullish phase and targets above $150,000.

Consolidation after testing these zones has typically stretched six to eight months before the market resumes its upward trajectory toward new highs.

Tickers mentioned: $BTC

Sentiment: Neutral

Market context: The current price dynamics unfold within a broader crypto environment where on-chain signals and valuation models increasingly inform timing. As liquidity ebbs and flows, accumulation zones identified by realized price bands and corroborated by long-term percentile analyses offer a framework for understanding potential inflection points, even as near-term moves remain uncertain.

Why it matters

For long-term holders and traders alike, the convergence of realized price bands with a low percentile reading from the power-law framework adds nuance to market timing. The near-term picture depicts a tug-of-war between downside risk—as implied by lower-bound scenarios in the $40k–$50k range—and the prospect of a broader upcycle should accumulation hold and demand re-emerge. This dynamic matters because it shapes risk budgeting and entry points during periods of sector-wide caution.

Beyond price, the implications ripple through market infrastructure and product design. If these bands function as gravity wells, participants in mining, staking, and decentralized finance may recalibrate risk models and deployment schedules in anticipation of a sustained rebound. The research also underscores the value of on-chain metrics that anchor sentiment, especially when macro conditions remain uncertain and with the possibility of regime shifts in liquidity and risk appetite.

Analysts emphasize that the synthesis of historical patterns with current readings still requires prudence. While the path to new highs has historically followed a phase of accumulation, each cycle contains unique catalysts and macro-tempo changes that can alter outcomes. The narrative around realized price bands and percentile positioning should therefore be viewed as one tool among many in assessing future trajectories, rather than as a guaranteed roadmap.

What to watch next

Watch for Bitcoin price testing and holding the $55,000 area as a critical inflection point over the next several weeks.

Monitor how often the price re-tests the realized price bands; a sustained move above the mid-$50ks would bolster the case for continued accumulation.

Pay attention to the alignment with the power-law percentile, particularly if readings settle within the $50,000–$62,000 corridor, described as a long-term support floor in prior cycles.

Observe any shifts in the BTC/Gold ratio or related macro indicators that could signal a risk-off or risk-on tilt, which would influence the timing of any durable bottom and subsequent rally.

Sources & verification

On-chain realized price and shifted realized price concepts used to identify long-term accumulation zones and their historical relevance.

The visual mapping of monthly price zones based on realized price bands, with sources cited to TradingView.

The power-law quantile model’s positioning of BTC around the 14th percentile and its implied target near $210,000 in 2025, as discussed by the model’s proponents.

Related discussion referencing large BTC holders and macro conditions as part of the broader context of market bottoms and pullbacks.

Market reaction and key details

Bitcoin (CRYPTO: BTC) has cooled after a volatile stretch, trading just below the $69,000 mark as market participants digest the move from a dip to $60,000 and a subsequent push back toward the $70,000 level. The retreat comes as analysts revisit two on-chain gauges that have historically framed long-run value zones. Realized price, which tracks the average cost basis of BTC the last time it moved on-chain, and its shifted counterpart, which smooths this signal forward in time, are currently signaling a broad accumulation range. In practical terms, this means that the market is tracking a price floor around the mid-$40,000s to mid-$50,000s, with the potential for outsized upside if history repeats itself and buyers re-enter the market en masse.

The current readings place realized price near $55,000 and the shifted realized price around $42,000, reinforcing the idea that a robust support base is forming amid a broader pattern of value-driven accumulation. A chart illustrating these zones, which connects monthly price action to realized-price bands, is available via the linked visualization (Cointelegraph/TradingView) and provides a historical lens on how retests of these bands have historically preceded meaningful rallies. For readers curious about the visual, the chart references BTCUSDT on TradingView.

Beyond the realized-price framework, another analytic approach gaining attention is a power-law quantile model popularized by BTC researcher Giovanni Santostasi. The latest update places BTC near the 14th percentile of a long-term log–log price corridor, suggesting a phase of relative undervaluation after a cycle peak that the model projected could reach as high as $210,000 in 2025. This confluence—price trading near realized bands and a low percentile reading on the long-term corridor—has historically coincided with recoveries, even as the structure permits the possibility of further drawdowns in the near term. The model’s $210,000 target underscores the scale of potential upside that such a framework envisions, even as the timing remains uncertain.

The discourse is not without caution. Observers such as Jelle (CryptoJelleNL) have pointed to periods where the BTC price has fallen around 31% from a prior RSI-based breakout, warning that a retracement toward the $52,000s could occur before a durable bottom takes hold. Another analyst, Sherlock, has flagged a breakdown in the BTC/Gold ratio below recent support, a condition that has previously coincided with transitions into bearish phases. In light of these signals, some analysts argue that a deeper retest—potentially into the $38,000–$40,000 region—remains plausible if historical patterns repeat. Still, the broader narrative remains that a test of the realized bands could, if met with a sustained bid, propel BTC into the next leg of its cycle.

As markets weigh these views, traders will be watching for alignment between on-chain signals and price action. The convergence of the realized-price framework with percentile positioning offers a structured lens through which to assess risk and potential catalysts, even as external factors continue to influence risk sentiment across the crypto space. The discussion around Bitcoin’s long-term value, and how that value translates into price, remains highly dependent on a delicate balance of on-chain activity, macro conditions, and investor appetite for risk.

Related: Bitcoin holders sell 245K BTC in tight macro conditions: Did the market bottom?

https://platform.twitter.com/widgets.js

This article was originally published as Rare Bitcoin Signal Flashes: Could a 220% BTC Rally Follow? on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Ripple, a leader in the digital asset space, has unveiled a series of strategic partnerships that are set to expand its custody offerings for institutional clients. This new development highlights Ripple’s focus on simplifying digital asset custody services for banks and financial institutions. The company has secured collaborations with Securosys and Figment, with the potential to revolutionize the digital asset landscape, particularly for institutional staking and security.

Ripple’s new partnerships with Securosys and Figment represent significant steps toward enhancing its custody services. The collaboration with Figment will enable banks and custodians to offer staking capabilities for leading proof-of-stake networks, including Ethereum and Solana. This integration allows institutions to provide staking rewards to clients while maintaining full control over the custody process.

The addition of Securosys brings a new level of security to Ripple Custody. By integrating Securosys’ CyberVault HSM and CloudHSM, Ripple can provide its clients with top-tier key management services. These high-security solutions eliminate the usual procurement delays and complexities, streamlining digital asset custody for financial institutions.

Ripple’s CEO, Reece Merrick, emphasized the vast potential of these partnerships. According to Merrick, the addition of staking services with Figment and enhanced security measures with Securosys will redefine the digital asset custody landscape for banks. He believes this will allow institutions to expand their offerings while adhering to the highest security and compliance standards.

Chainalysis Integration for Enhanced Compliance

Ripple has also integrated Chainalysis, a leading blockchain analysis platform, into its custody services. This collaboration ensures real-time transaction screening and policy enforcement for institutions using Ripple Custody. Chainalysis’s technology will allow Ripple Custody clients to monitor all transactions before assets leave their vaults.

This addition is vital in ensuring regulatory compliance for institutions dealing with digital assets. Ripple has embedded Chainalysis into its services to help prevent illicit activities such as money laundering and fraud. The integration aligns with Ripple’s mission to create a secure, compliant, and scalable platform for institutional digital asset management.

The integration of Chainalysis strengthens Ripple Custody’s position as a trustworthy and secure platform for institutional clients. Financial institutions will now have access to advanced tools for monitoring digital asset transactions, further reinforcing Ripple’s commitment to providing secure and compliant solutions.

Palisade Acquisition Adds Wallet-as-a-Service Capability

In addition to the partnerships with Securosys and Figment, Ripple has also acquired Palisade, a company specializing in wallet-as-a-service solutions. This acquisition introduces scalable wallet services with Multi-Party Computation (MPC) and multi-chain support. These capabilities are crucial for managing digital asset treasury functions, payments, and fintech integrations.

The addition of Palisade’s technology to Ripple Custody strengthens its multi-chain support, allowing institutions to manage assets across different blockchains. The wallet-as-a-service model enables financial institutions to securely manage digital assets without the need to develop their own infrastructure. This solution is ideal for organizations looking to streamline their digital asset operations.

Ripple’s acquisition of Palisade complements its broader strategy of enhancing the capabilities of its custody platform. The integration of wallet-as-a-service further positions Ripple as a leading provider of secure and scalable digital asset management solutions for institutions.

Ripple Partners with Zand to Strengthen Digital Asset Ecosystem

In a separate move, Ripple has partnered with Zand to advance the digital asset ecosystem. This collaboration aims to combine Ripple’s USD (RLUSD) stablecoin with Zand’s AED (AEDZ) stablecoin. The goal is to unlock new use cases for digital assets as traditional finance moves on-chain.

The partnership between Ripple and Zand represents a step forward in bridging the gap between traditional finance and the blockchain ecosystem. The integration of both stablecoins will provide businesses and financial institutions with more flexible solutions for cross-border payments and digital asset transfers. Ripple’s collaboration with Zand highlights its commitment to pushing the boundaries of digital finance.

This partnership comes at a time when the demand for digital asset solutions is growing. Ripple’s ability to innovate and build strategic partnerships enables it to stay ahead in the rapidly evolving blockchain space.

Ripple’s Vision for the Future of Custody and Compliance

Ripple’s advancements in custody and compliance are laying the foundation for the next wave of institutional digital asset adoption. By partnering with Securosys, Figment, and other strategic players, Ripple is positioning itself as a leader in the digital asset custody space. These collaborations pave the way for banks, custodians, and regulated enterprises to securely manage digital assets while complying with industry standards.

As Ripple continues to expand its partnerships and offerings, it is clear that the company’s vision for the future of digital asset custody is one of innovation, security, and compliance. Ripple’s ability to integrate cutting-edge technology with real-time transaction monitoring and multi-chain support will help redefine the digital asset landscape for institutions.

The future of Ripple Custody looks bright, with a strategic focus on simplifying the digital asset management process for financial institutions worldwide. Through its partnerships and acquisitions, Ripple is not only enhancing its services but also shaping the future of digital finance.

This article was originally published as Ripple Expands Digital Asset Custody with Key Partnerships and Innovations on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

BlackRock’s Bitcoin ETF (IBIT) options have surged to new heights, surpassing gold ETFs in both open interest and trading volume. As of February 10, IBIT options reached a total of 7.33 million active contracts, positioning it as the ninth-largest options market in the U.S. This marks a significant shift, as Bitcoin gains momentum over traditional assets like gold.

The surge in IBIT options highlights a growing interest in cryptocurrency. This uptick has coincided with Bitcoin’s strong performance, outpacing gold in recent trading sessions. As Bitcoin continues to rise, the surge in IBIT options reflects broader market trends, with investors responding to changing global risk sentiment.

BlackRock Bitcoin ETF’s Growing Dominance in the Options Market

The rise of IBIT options points to a shifting preference towards Bitcoin-based assets. With 7.33 million IBIT contracts now open, Bitcoin has solidified its position in the options market, surpassing even gold ETFs like SPDR Gold Shares (GLD). By contrast, GLD options currently sit at 6.44 million, showing a distinct advantage for Bitcoin in this space.

IBIT options have recorded impressive trading volumes, with over 284 million shares traded, resulting in more than $10 billion in notional value. This represents a notable increase from the previous record set in November. The growing volume and interest reflect a clear trend of Bitcoin gaining ground in the financial market.

The put/call ratio for IBIT options is currently 0.64, indicating a more balanced market outlook compared to gold’s ratio of 0.50. As Bitcoin continues to rise, its options market is becoming increasingly influential, while interest in gold begins to wane. This shift signals a broader change in market sentiment, with Bitcoin gaining prominence over gold.

Bitcoin Options Outpace Gold Amid Global Market Shifts

Bitcoin options have experienced significant growth, while the price of gold has weakened. A resurgence in global risk appetite has caused gold prices to ease, as equity indices show positive performance. This shift in sentiment has been attributed to anticipation surrounding upcoming U.S. economic data, including jobs reports and CPI inflation figures.

Despite expectations that gold could hit new highs in the coming years, Bitcoin continues to outperform it in terms of market sentiment. BNP Paribas has projected that gold could reach $6,000 by 2026, but Bitcoin has maintained a stronger position in the current market. This shift in favor of Bitcoin reflects a reassessment of traditional safe-haven assets.

As market conditions change, the growing focus on Bitcoin-based assets like IBIT may continue to challenge traditional investments such as gold. With Bitcoin rising in prominence, it could represent an increasing share of investor portfolios, reshaping the landscape for safe-haven investments.

Bitcoin’s Performance in the Face of Increased Volatility

Despite a 30% crash in the market recently, Bitcoin has shown remarkable resilience. This volatility has sparked ongoing debates regarding Bitcoin’s future, especially in comparison to gold. However, some analysts believe that Bitcoin’s volatility could attract more investors if market conditions continue to favor riskier assets.

JPMorgan’s Nikolaos Panigirtzoglou noted that Bitcoin’s volatility relative to gold has decreased to a record low of 1.5. This reduced volatility ratio makes Bitcoin more attractive to investors looking for higher returns. As Bitcoin’s volatility continues to drop, it may attract a new wave of interest from risk-seeking investors.

With this shift in market dynamics, Bitcoin’s recognition as a significant asset is growing. Many experts suggest that Bitcoin’s price may rally toward $266,000 once the current negative sentiment dissipates. This potential for growth signals that Bitcoin could become even more appealing to investors in the near future.

Spot Bitcoin ETF Sees Record Inflows Despite BlackRock ETF Redemptions

BlackRock’s Bitcoin ETF (IBIT) has seen a surge in options activity, but its overall performance has been mixed. On February 6, spot Bitcoin ETFs recorded $144.9 million in net inflows, signaling renewed interest in cryptocurrency. This marks a positive reversal after a period of outflows, demonstrating a shift in sentiment towards Bitcoin.

However, BlackRock’s Bitcoin ETF faced redemptions of $20.9 million, signaling a less favorable outlook for the ETF itself. Despite this, the IBIT ETF remains an influential player in the market. The growing activity in Bitcoin options, along with fluctuating ETF inflows and outflows, suggests that Bitcoin’s role in traditional financial markets is evolving.

This discrepancy between inflows and redemptions highlights the complexity of investor behavior in the cryptocurrency space. While Bitcoin options gain in popularity, the ETF market remains volatile. Nonetheless, the rise in Bitcoin options is a strong signal that Bitcoin is establishing itself as a dominant asset in global financial markets.

This article was originally published as BlackRock Bitcoin ETF Options Surge, Overtake Gold in Market Volume on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Bitcoin’s long-standing narrative as “digital gold” is under renewed scrutiny as its price action increasingly mirrors that of higher-risk growth assets rather than serving as a traditional safe-haven harbor. Grayscale’s latest Market Byte examines this shift, arguing that the asset’s role in portfolios may be evolving in ways that reflect broader participation from institutional buyers, ETF activity, and shifting macro risk sentiment. While the research maintains that Bitcoin remains a long-term store of value due to its fixed supply and independence from central banks, it cautions that near-term behavior has diverged from gold and other precious metals, opening room for a rethinking of how the market categorizes the digital asset.

In the Grayscale analysis, the first-time reader-facing takeaway is that Bitcoin’s short-term price movements have not tracked gold’s recent rallies. The report notes that bullion and silver have surged to records even as Bitcoin has swooned, suggesting a decoupling from traditional safe-haven dynamics. Instead, Bitcoin’s price action has shown strong correlations with software equities, particularly since the start of 2024. That sector has faced sustained selling pressure amid fears that advances in artificial intelligence could disrupt or render many software services obsolete, amplifying concerns about growth equities’ durability in a high-rate environment.

The charted narrative—one that Grayscale emphasizes with data and context—takes on added significance as the asset has logged a roughly 50% drawdown from its October peak that exceeded $126,000. The drawdown has unfolded in a string of waves, beginning with a historically large liquidation in October 2025, followed by renewed selling in late November and again in late January 2026. Grayscale highlights that persistent price discounts on major trading venues such as Coinbase reflect a broader selling impulse among U.S. participants, including “motivated” sellers who have contributed to the softer price dynamics in recent weeks. This backdrop is shaping a narrative in which Bitcoin’s path is increasingly tethered to the health of growth-oriented equities and the liquidity environment around ETFs and other traditional investment vehicles.

The Grayscale report frames these developments as part of Bitcoin’s ongoing evolution rather than a sudden policy failure of the asset’s core investment premise. Zach Pandl, the report’s author, notes that it would have been unrealistic to expect Bitcoin to supplant gold as a monetary asset in a short period of time. Gold’s long history as a monetary anchor—“used as money for thousands of years and serving as the backbone of the international monetary system until the early 1970s”—shadows Bitcoin’s current trajectory, but the author suggests that the digital asset could still contribute to monetary functions over time as the global economy digitizes further through AI, autonomous agents, and tokenized financial markets.

In broader market terms, the evolution described by Grayscale aligns with a trend toward deeper integration of digital assets into established financial markets. Institutional participation, ETF activity, and shifting risk sentiment are cited as key drivers behind Bitcoin’s greater sensitivity to equities and growth assets. The near-term outlook, therefore, hinges on the possibility of fresh capital reentering the market—whether through renewed inflows into Bitcoin-related exchange-traded products or renewed retail interest. Market watchers note that while AI-focused narratives have dominated sentiment in the meantime, a continuation of liquidity inflows could catalyze a partial rebound for crypto assets as macro conditions stabilize.

Despite the near-term softness, the report underscores a longer-term perspective. While Bitcoin’s monetary status remains a work in progress, its potential to assume a more prominent role in digital-first economies could intensify as tokenization of assets and on-chain finance expand. The analysis highlights that the ongoing transition toward tokenized markets, together with the growth of on-chain infrastructure for tokenized assets, might help Bitcoin solidify a more enduring store-of-value or medium-of-exchange function over time—even if such a shift does not materialize immediately.

From a practical standpoint, the near-term recovery hinges on capital inflows. Grayscale notes that ETF activity could serve as a meaningful catalyst should fresh inflows reappear, while retail participation—currently concentrated in AI and growth-driven equities—would need to broaden to crypto assets for a more robust upside. The research also points to ongoing market structure dynamics, including price discovery processes on major exchanges and the degree to which price gaps on venues like Coinbase reflect broader demand gaps in the crypto space. Taken together, these factors suggest Bitcoin’s path remains highly sensitive to macro risk appetite, regulatory signals, and the ebb and flow of liquidity across traditional and digital markets.

Key takeaways

Bitcoin’s price action has shown stronger ties to growth equities, particularly software stocks, since early 2024, rather than mirroring traditional safe-haven assets like gold.

The asset has experienced a ~50% drawdown from its October peak above $126,000, with declines unfolding in multiple waves including a major liquidation event in October 2025.

Grayscale attributes some of the recent volatility to “motivated US sellers” and persistent price discounts on Coinbase, signaling liquidity and demand dynamics within the U.S. market.

Institutional participation, ETF activity, and shifting macro risk sentiment are cited as factors intensifying Bitcoin’s sensitivity to the broader market environment.

Although Bitcoin has not displaced gold as a monetary asset, its role could evolve as digital markets grow and tokenized financial systems mature.

Tickers mentioned: $BTC

Price impact: Negative. Bitcoin retraced about half of its October highs, underscoring a softer near-term price backdrop tied to risk-on selling and ETF flow dynamics.

Market context: The landscape for digital assets in 2026 is increasingly shaped by ETF inflows, institutional adoption, and a broader appetite for growth-centric equities, which can both buoy and dampen crypto markets depending on macro liquidity and risk sentiment.

Why it matters

The evolving relationship between Bitcoin and traditional financial assets matters for investors rethinking diversification in a digitizing economy. The Grayscale analysis indicates that Bitcoin remains a long-term store of value by design—its fixed supply and independence from central banking authorities still underpin its investment thesis—but the near-term price behavior reveals an asset whose risk profile is closely tied to broader market cycles. For institutions, the finding that Bitcoin correlates with growth equities adds nuance to portfolio construction, suggesting that crypto exposure may be most effective when paired with assets that can withstand higher interest-rate regimes or leveraged liquidity conditions.

From a market-building perspective, the evolution toward deeper integration with traditional finance could spur further product innovation and regulatory clarity. In a world where tokenized markets and AI-driven economies become more pervasive, Bitcoin’s potential to serve as a digital monetary component—though not guaranteed—could gain new relevance as investors seek hedges against macro uncertainties or asymmetric risk exposures. The Grayscale report highlights these dynamics without overselling the pace or inevitability of such a transition, anchoring expectations in observable market structures, ETF activity, and the behavior of major on-ramps like Coinbase.

What to watch next

Monitor ETF inflows into Bitcoin-linked funds in the coming quarters to gauge potential liquidity-driven support.

Track retail participation in crypto amid any renewed appetite for high-growth narratives and AI-related themes.

Observe price action around major exchange on-ramps (e.g., Coinbase) for signs of demand normalization or persistent discounts.

Watch for shifts in broader risk sentiment that could re-anchor Bitcoin’s correlations with growth equities rather than traditional safe havens.

Assess regulation and institutional adoption milestones that might alter the pace of Bitcoin’s integration into mainstream portfolios.

Sources & verification

Grayscale Market Byte on Bitcoin trading more like growth than gold, including references to Bitcoin’s correlation with software equities and macro risk sentiment.

Historical price context, including the October 2025 liquidation event and subsequent selloffs in November 2025 and January 2026.

Notes on price discounts at Coinbase and the role of U.S. sellers in recent weeks.

Statements and framing around Bitcoin’s potential future monetary role amid digitalization and tokenized markets.

Bitcoin’s evolving role amid market dynamics

Bitcoin (CRYPTO: BTC) is navigating a shifting nexus where its core value proposition as a fixed-supply asset intersects with the realities of an increasingly liquid and regulated financial system. Grayscale’s analysis is careful to separate near-term price dynamics from the longer-term investment thesis. While the data show that Bitcoin has not yet displaced gold as a monetary anchor, the asset’s growing integration with institutional channels and exchange-traded products could, over time, reframe its place in diversified portfolios. The near-term backdrop remains a test of liquidity, risk appetite, and the willingness of capital to flow back into crypto as macro conditions evolve.

As markets digest these observations, industry participants will be watching whether Bitcoin can regain momentum through renewed ETF inflows or a revival of retail interest outside of AI and growth narratives. The coming months will reveal whether the current trend toward growth-equity sensitivity is a temporary anomaly or a signal of a deeper, structural revaluation of how crypto assets fit into a digitized, AI-enhanced financial ecosystem.

Ultimately, the conversation centers on duration and resilience: can Bitcoin sustain a longer-term store-of-value narrative while also fulfilling a functional role in a fast-evolving financial architecture? The Grayscale report suggests that both outcomes are possible, contingent on liquidity, regulatory clarity, and the pace at which tokenized finance expands beyond niche markets into mainstream capital allocations. The road ahead will require careful monitoring of price action, investor flow, and the health of risk markets—the triad that increasingly determines whether Bitcoin remains a sanctuary or a sophisticated, dynamic component of diversified portfolios.

This article was originally published as Grayscale: Bitcoin Trades Like a Growth Asset, Not Digital Gold on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Editor’s note: On Safer Internet Day, cybersecurity firm Kaspersky addresses a growing concern for families navigating the rapid adoption of AI by Generation Alpha. As children increasingly use AI-powered tools for learning, entertainment, and everyday questions, the company outlines practical guidance for parents on how to frame AI as a helpful tool without overlooking its risks. The focus is on education, supervision, and the responsible use of digital assistants, rather than restriction alone. The guidance reflects broader questions around digital literacy, data privacy, and online safety that are becoming central as AI tools enter daily life at an early age.

Key points

Parents are encouraged to explain what AI tools are and are not, emphasizing their limitations and potential inaccuracies.

Children should be taught to verify AI-generated information and avoid using it for sensitive topics without adult input.

Built-in safety settings and content filters on devices and platforms are highlighted as a first layer of protection.

Verifying the authenticity of AI-powered apps and limiting permissions is presented as essential to reducing privacy risks.

Ongoing dialogue between parents and children is positioned as key to safe and informed AI use.

Why this matters

As AI tools become embedded in everyday digital experiences, early exposure is shaping how the next generation learns, searches for information, and interacts online. For parents, this raises new challenges around trust, privacy, and digital wellbeing. For the broader tech ecosystem, it underscores the importance of responsible design, clear safeguards, and digital literacy as AI adoption expands beyond adults. Guidance like this reflects how cybersecurity and education are becoming tightly linked as AI use moves into younger age groups.

What to watch next

How AI platforms continue to develop and communicate child safety and parental control features.

Adoption of digital literacy practices by families and schools as AI use grows.

Ongoing discussion around data privacy and age-appropriate AI access.

Disclosure: The content below is a press release provided by the company/PR representative. It is published for informational purposes.

Born between 2010 and 2025, Gen Alpha aren’t just growing up with technology – they’re actively living it. These digital natives are already wielding smartphones, tablets, and AI-powered tools with the confidence of seasoned users, navigating everything from gaming and social media to online learning platforms with remarkable ease. But the question that concerns parents and security experts is whether we are giving our kids too powerful technology, too soon. On Safer Internet Day, Kaspersky security experts are sharing practical tips to help parents turn AI from a potential threat into a trusted ally for the younger generation.

The first line of defence is building AI awareness

Children already discovered that ChatGPT, DeepSeek and other neural networks can answer questions faster than you can find the right answer in Google, and Alexa can play music without pressing a single button.

So, the only solution is to become children’s AI support. Begin by explaining that these digital assistants aren’t friends, pets, or even real people. They’re sophisticated tools that can be helpful, but also potentially misleading, biased, or simply wrong. Then teach them to cross-check information with multiple sources, just like they’d verify facts in a school project.

When discussing AI with children, emphasize that they should never fully trust AI answers, especially for sensitive topics like health, mental wellbeing, or safety concerns. Always encourage them to verify information and never share personal details or documents with AI systems.

Enabling safely filters

Most AI platforms and smart devices come with built-in safety features that are often overlooked or misunderstood. Spend some time to check the privacy settings and content filters and, if possible, tailor them to match your family’s values and your child’s maturity level. This is a basic protection against inappropriate content, privacy breaches, and potentially harmful interactions.

However, not all services and platforms provide an opportunity to set up content filters and fully control children’s online activity. To create safer digital environment for your children consider using parental control tools like Kaspersky Safe Kids. It allows parents to not only to hide inappropriate content and prevent specific apps and websites from being opened, but also helps balance children’s time spent online with screen time management.

Checking the AI-powered app’s authenticity

In a world where AI apps are popping up faster than you can say “chatbot,” verifying app authenticity is essential. Only download apps from official stores and inform your children about the importance of not installing anything from unfamiliar sources. Look up the company behind the app and check whether they have a website and legitimate business presence. Teach your kids to limit their apps’ permissions and do not give access to data unless it’s necessary for the apps to work.

Staying involved and informed

A basic understanding of the range of problems your child is willing to entrust to AI is already significant. By asking simple questions like “What did you ask AI today? Did it give you the right answer?” you’ll be teaching your children to openly discuss with you the use of AI and problems they might face. When they mention using ChatGPT for homework, ask them to show you what they’ve learned. When they talk about their favourite voice assistant, ask about the topics they like to discuss and funny particularities they noted.

“When you actively participate in your child’s AI journey, you transform from a concerned parent into a trusted guide. They’ll seek your input because they know you’re interested in their digital experiences, not just trying to control them. But while allowing children some AI freedom, you must always remain vigilant about their online safety and healthy growth,” comments Andrey Sidenko, Cyber Literacy Projects Lead at Kaspersky.

About Kaspersky

Kaspersky is a global cybersecurity and digital privacy company founded in 1997. With over a billion devices protected to date from emerging cyberthreats and targeted attacks, Kaspersky’s deep threat intelligence and security expertise is constantly transforming into innovative solutions and services to protect individuals, businesses, critical infrastructure, and governments around the globe. The company’s comprehensive security portfolio includes leading digital life protection for personal devices, specialized security products and services for companies, as well as Cyber Immune solutions to fight sophisticated and evolving digital threats. We help millions of individuals and nearly 200,000 corporate clients protect what matters most to them. Learn more at www.kaspersky.com

This article was originally published as Kaspersky Shares Practical AI Safety Tips for Children on Safer Internet Day on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Editor’s note: This press release examines the market implications of Zara’s recent cultural visibility during the Super Bowl, framing it as more than a one-off branding moment. Through commentary from an eToro market analyst, the announcement explores how global consumer brands are redefining value by prioritizing cultural relevance, accessibility, and identity over traditional luxury signals like exclusivity and price. While rooted in fashion and consumer culture, the analysis connects directly to long-term brand positioning, investor perception, and how intangible assets such as narrative and cultural alignment can shape competitive advantage over time.

Key points

Zara’s Super Bowl moment is positioned as a strategic signal, not a traditional advertising play.

The brand is increasingly framed as “accessible luxury” rather than fast fashion.

Cultural embedding is highlighted as a form of earned media that reduces marketing dependence.

Employee inclusion is cited as a source of internal cohesion and intangible capital.

The growing influence of Hispanic culture is identified as a structural demand driver.

Why this matters

For investors and market observers, the analysis highlights how cultural relevance can reshape long-term brand valuation even when near-term financials remain unchanged. As attention costs rise and consumer identity becomes central to purchasing behavior, companies that successfully shift their perceived category may unlock durable advantages that are not immediately priced in by markets. This dynamic is especially relevant for consumer-facing companies competing across global, demographically diverse markets.

What to watch next

How Zara’s brand positioning continues to evolve in future cultural moments.

Whether market perceptions begin to reflect a reclassification beyond fast fashion.

Signals of sustained alignment with emerging demographic and cultural trends.

Disclosure: The content below is a press release provided by the company/PR representative. It is published for informational purposes.

Abu Dhabi, United Arab Emirates – 10 February, 2026: Zara’s appearance on the Super Bowl stage has sparked renewed debate around the evolving definition of luxury, highlighting a broader shift in how global brands compete for cultural relevance, consumer identity, and long-term value.

Commenting on the development, Javier Molina, Market Analyst at eToro, said the moment carries strategic significance beyond its cultural visibility.

What may initially appear as a high-profile cultural moment reflects a deeper change in perceived value hierarchies, where cultural resonance and accessibility increasingly rival traditional notions of exclusivity.

The episode underscores Zara’s ability to generate global relevance without relying on direct advertising expenditure. As the cost of consumer attention continues to rise, embedding the brand within culture has become a powerful source of earned media — supporting brand strength while limiting the need for incremental marketing investment.

More importantly, the moment signals a potential repositioning. Zara is increasingly being viewed beyond the confines of fast fashion, occupying a middle ground best described as accessible or functional luxury. Rather than competing on price or scarcity, the brand is engaging consumers through narrative, identity, and cultural alignment — factors that resonate strongly with younger generations and are structurally difficult for traditional luxury brands to replicate.

There are also internal implications. By placing employees at the centre of the story as recipients of symbolic value rather than passive observers, the brand strengthens cohesion and execution within a business model built on speed, scale, and operational efficiency. This intangible capital can translate into improved performance over time.

Finally, the moment reinforces a broader structural trend shaping Western consumption: the growing influence of Hispanic culture as a driver of both demand and cultural leadership. For Zara, this represents not just visibility, but strategic alignment with the demographic and cultural momentum of its core markets.

From an investment perspective, Molina noted that such cultural shifts may not immediately impact quarterly results, but they play a meaningful role in redefining long-term brand positioning. When a company begins to change the category in which it operates, markets are often slow to fully reflect that transformation — creating potential value over time.

About eToro

eToro is the trading and investing platform that empowers you to invest, share and learn. We were founded in 2007 with the vision of a world where everyone can trade and invest in a simple and transparent way. Today we have 40 million registered users from 75 countries. We believe there is power in shared knowledge and that we can become more successful by investing together. So we’ve created a collaborative investment community designed to provide you with the tools you need to grow your knowledge and wealth. On eToro, you can hold a range of traditional and innovative assets and choose how you invest: trade directly, invest in a portfolio, or copy other investors. You can visit our media centre here for our latest news.

Disclaimers:

eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk.

eToro is a group of companies that are authorised and regulated in their respective jurisdictions. The regulatory authorities overseeing eToro include:

The Financial Conduct Authority (FCA) in the UK

The Cyprus Securities and Exchange Commission (CySEC) in Cyprus

The Australian Securities and Investments Commission (ASIC) in Australia

The Financial Services Authority (FSA) in the Seychelles

The Financial Services Regulatory Authority (FSRA) of the Abu Dhabi Global Market (ADGM) in the UAE

The Monetary Authority of Singapore (MAS) in Singapore

This communication is for information and education purposes only and should not be taken as investment advice, a personal recommendation, or an offer of, or solicitation to buy or sell, any financial instruments. This material has been prepared without taking into account any particular recipient’s investment objectives or financial situation, and has not been prepared in accordance with the legal and regulatory requirements to promote independent research. Any references to past or future performance of a financial instrument, index or a packaged investment product are not, and should not be taken as, a reliable indicator of future results. eToro makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication.

This article was originally published as Bad Bunny’s Super Bowl Zara Moment Signals Luxury Shift on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Vitalik Buterin, co-founder of Ethereum, reignited conversations about the potential intersection of Ethereum and artificial intelligence (AI). In a recent post on X, Buterin revisited his past thoughts on how the Ethereum network could contribute to the development of AI and artificial general intelligence (AGI). His comments underscore his ongoing commitment to long-term technological objectives, highlighting Ethereum’s broader potential beyond decentralized finance.

Two years ago, I wrote this post on the possible areas that I see for ethereum + AI intersections: https://t.co/ds9mLnrJWm

This is a topic that many people are excited about, but where I always worry that we think about the two from completely separate philosophical… pic.twitter.com/pQq5kazT61

— vitalik.eth (@VitalikButerin) February 9, 2026

Buterin sees Ethereum as a foundational layer not only for blockchain transactions but also for enhancing AI systems. He envisions Ethereum supporting more open, transparent, and censorship-resistant AI technologies. Through Ethereum’s decentralized infrastructure, Buterin believes AI could develop in a way that aligns with human progress, rather than accelerating unchecked technological growth.

Ethereum as the Economic Layer for AI Transactions

Buterin suggests that Ethereum could play a pivotal role as an economic coordination layer for AI-to-AI transactions. Autonomous AI agents, operating independently, could use Ethereum to interact, negotiate, and exchange value seamlessly. In this model, Ethereum would serve as a neutral and reliable settlement layer, facilitating trust in transactions within machine-driven economies.

This vision of Ethereum goes beyond supporting financial markets. Buterin highlights Ethereum’s potential to create a decentralized environment where AI systems can autonomously interact efficiently and securely. By providing a transparent and immutable ledger, Ethereum could support an ecosystem where AI agents transact with each other in a trustless manner, all within the bounds of decentralized principles.

AI-Assisted On-Chain Verification and Trust

Buterin also emphasizes the importance of on-chain verification, with Ethereum providing the trust framework for various operations. He imagines a future where AI could assist in auditing smart contracts, verifying data, and improving decentralized governance systems. With Ethereum at the core, this verification process would be transparent, efficient, and immutable, strengthening the security and reliability of the entire system.

This idea aligns with Buterin’s vision of building a decentralized infrastructure that could sustain long-term technological development. He points out that AI could improve market efficiency, ensuring that decentralized systems function with higher levels of trust and accuracy. The integration of AI in Ethereum’s blockchain could bring about a new era of AI systems that are more accountable and reliable, further embedding Ethereum into the future of computing technology.

A Vision Beyond Market Cycles

Buterin’s recent tweet serves as a reminder to the crypto community that Ethereum’s development isn’t only about short-term trends or market movements. While many in the crypto industry remain focused on speculative developments, Buterin’s call for long-term thinking encourages broader innovation. His remarks suggest that Ethereum’s real potential lies in its ability to shape the next generation of computing infrastructure, not just in financial applications.

By revisiting ideas from nearly two years ago, Buterin aims to inspire developers and researchers to look at Ethereum’s broader potential. Ethereum’s decentralized architecture could serve as the foundation for future breakthroughs in AI and AGI development. Buterin’s comments, though not offering a clear roadmap, are a signal to think bigger and consider how Ethereum can be integrated into the next wave of technological advancements.

This article was originally published as Vitalik Buterin Explores Ethereum’s Future Role in AI and AGI Integration on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

As MEV threats intensify on Ethereum, researchers are pursuing cryptographic shields designed to cloak mempool data until blocks finalize. Fresh measurements show almost 2,000 sandwich attacks every day, draining more than $2 million from the network each month. Traders executing large WETH and WBTC swaps, as well as other liquid assets, remain exposed to front-running and back-running. The field has grown beyond early threshold-encryption experiments toward per-transaction designs that aim to encrypt a transaction’s payload rather than entire epochs. Early prototypes like Shutter and Batched threshold encryption (BTE) laid groundwork by encrypting data at epoch boundaries; now, per-transaction designs are being explored for finer-grained protection and potentially lower latency. The debate centers on whether real-world deployment on Ethereum is feasible or remains primarily in research channels.

Key takeaways

Flash Freezing Flash Boys (F3B) proposes per-transaction threshold encryption to keep transaction data confidential until finality, using a designated Secret Management Committee (SMC) to manage decryption shares.

Two cryptographic paths exist within F3B: TDH2 (Threshold Diffie-Hellman 2) and PVSS (Publicly Verifiable Secret Sharing), each with distinct trade-offs in setup, latency, and storage.

Latency overhead from finality is modest in simulations: about 0.026% for TDH2 (197 ms) and 0.027% for PVSS (205 ms) with a committee of 128 trustees on Ethereum-like conditions.

Storage overhead is a consideration: roughly 80 bytes per transaction under TDH2, with PVSS inflating as the number of trustees rises due to per-trustee shares and proofs.

Deployment remains challenging: integrating encrypted transactions requires changes to the execution layer and may demand a major hard fork beyond The Merge; nonetheless, F3B’s trust-minimized approach could later find use beyond Ethereum, including sealed-bid auction contracts.

Tickers mentioned: $ETH, $WETH, $WBTC

Market context: The broader crypto environment continues to weigh on MEV mitigation efforts as developers seek privacy-preserving mechanisms that do not erode finality or throughput. The ongoing discussion touches on protocol upgrades, research benchmarks, and cross-chain applicability, with activity spanning academic papers, industry tooling, and governance proposals.

Why it matters

The MEV arms race has harsh consequences for liquidity and trader outcomes, especially in high-volume decentralized exchanges where sandwich-type strategies exploit visible mempool activity. By moving toward per-transaction encryption, proponents argue that the incentive to front-run could diminish, since collateralized decryption happens only after a transaction has reached finality. This could improve fair access to liquidity for both retail and institutional traders, while potentially reducing the aggressive search for edge cases that currently drive MEV. Yet, the effectiveness hinges on the cryptographic primitives’ resilience and the ecosystem’s ability to absorb the added complexity without eroding security guarantees.

From a builder’s perspective, the F3B framework presents a clear tension between privacy and performance. The TDH2 path emphasizes a fixed committee and a streamlined data footprint, while PVSS offers more flexibility by letting users select trustees but incurs larger ciphertexts and greater computational overhead. The simulations suggest that, when configured appropriately, privacy-preserving measures can coexist with Ethereum’s throughput and finality targets. However, achieving real-world deployment would demand careful coordination among clients, miners or validators, and ecosystem tooling to ensure compatibility with existing smart contracts and wallets.

Investors and researchers should watch how the incentive structures evolve. F3B’s staking and slashing regime aims to deter premature decryption and collusion, but no system is immune to off-chain coordination risks. If the mechanism proves robust, it could influence future designs for privacy in permissionless networks and inspire alternative approaches to secure computation in open ledgers. The potential applications extend beyond straightforward trades; encrypted mempools could also underpin privacy-centric auctions and other latency-sensitive, trust-minimized interactions where upfront data leakage would otherwise enable manipulation.

What to watch next

Further experimental results and real-world testnet pilots evaluating F3B’s latency, throughput, and storage under varied network loads.

Rigorously documented security analyses of TDH2 and PVSS in active blockchain environments, including proofs of correct decryption and resilience against malicious actors.

Public discussion of integration strategies with the Ethereum execution layer, and whether any client, protocol, or governance changes could enable phased deployment.

Exploration of F3B-style privacy techniques in non-ETH networks or sub-second blockchains to gauge broader applicability and performance trade-offs.

Sealed-bid auction use cases and other cryptographic applications where encrypted bids remain hidden until a defined deadline, aligning with F3B’s post-finality execution flow.

Sources & verification

Flash Freezing Flash Boys (F3B) — arXiv:2205.08529

How batched threshold encryption could end extractive MEV and make DeFi fair again — Cointelegraph

Applied MEV protection via Shutter’s threshold encryption — Cointelegraph

The Merge — Ethereum upgrades: A beginner’s guide to Eth2.0 — Cointelegraph

TDH2 (Threshold Diffie-Hellman 2) — Shoup et al. (paper)

Per-transaction encryption reshapes the MEV battle on Ethereum

Flash Freezing Flash Boys introduces a pivot from epoch-wide secrecy to transaction-level privacy. The core idea is to encrypt the transaction with a fresh symmetric key and then shield that key with a threshold-encryption scheme reachable only by a predefined committee. In practice, a user signs a transaction and distributes an encrypted payload along with an encrypted symmetric key to the consensus layer. The designated Secret Management Committee (SMC) holds decryption shares, but will not release them until the chain has achieved the required finality, at which point the protocol jointly reconstructs and decrypts the payload for execution. This workflow is designed to avert the exposure of transaction details during the propagation window, thereby reducing the opportunities for MEV-based manipulation.

Two theoretical treatments underpin the approach. TDH2, which relies on a distributed key generation (DKG) process to produce a public key and shares, pairs a fresh symmetric key with a ciphertext that the committee can unlock in a threshold fashion. PVSS, by contrast, uses long-term keys for trustees and Shamir’s secret sharing, allowing a user to distribute shares encrypted with each trustee’s public key. Each model is accompanied by a set of zero-knowledge proofs to deter malformed decryption data, addressing concerns about chosen-ciphertext attacks and decryption validity. The two paths present different performance profiles: a fixed committee streamlines setup and reduces per-transaction data size (TDH2), while PVSS offers flexibility at the cost of larger ciphertexts and higher computation. In practical terms, simulations on a PoS-like Ethereum environment suggest sub-second delays after finality—well within acceptable bounds for many DeFi operations—and minimal storage pressure per transaction under TDH2. The numbers, of course, depend on committee size and network conditions.

Yet, deployment remains a topic of debate. Even if encryption constructs behave well in simulation, integrating encrypted transactions into the execution layer would likely require substantial changes—potentially a hard fork beyond The Merge—to ensure compatibility with current contracts and wallet software. Nevertheless, the research marks a meaningful step toward privacy-enhanced DeFi, showing that it is possible to conceal sensitive data without sacrificing finality. The broader implication is that encrypted mempools could find application beyond Ethereum, in networks pursuing privacy-preserving, trust-minimized protocols where delayed or withheld execution is acceptable or desirable. For now, the path to real-world usage remains cautious and incremental, with F3B serving as a benchmark for what privacy-preserving MEV mitigation could look like in practice.

This article was originally published as Flash Freezing Flash Boys: Per-Tx Encryption vs Malicious MEV on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

A phishing episode tied to a wallet’s built-in chat feature has intensified scrutiny over crypto UX safety after an investor lost roughly $264,000 in Wrapped Bitcoin (CRYPTO: WBTC). Blockchain investigator ZachXBT traced a transfer of 3.5 WBTC from address 0x85c to 0x4b7, a move flagged by Nansen as originating from a high-balance account. The pattern aligns with address poisoning, a phishing technique that leverages a user’s transaction history to coax them into sending funds, without ever compromising private keys.

Security researchers describe how address poisoning exploits the user’s own activity. scammers seed small, inconspicuous transactions and rely on victims copying the attacker’s address from their own transaction history to complete a transfer. This approach can bypass traditional key-management defenses because it relies on social engineering and familiarity with prior activity rather than overt key theft. In this case, the incident is linked to Phantom Chat, a messaging feature that Phantom had rolled out to support communications around tokens, perpetual futures and prediction pages as of December 23.

Phantom’s decision to enable chat functionalities came with a caveat that security will always be a balancing act between convenience and risk. The unfolding incident prompted calls from prominent figures in the crypto space for stronger wallet protections. Changpeng Zhao, Binance’s co-founder, has previously urged wallet developers to build guardrails that can detect poison addresses and block or filter suspicious receiving addresses. In a December post, Zhao argued that “All wallets should simply check if a receiving address is a ‘poison address,’ and block the user. This is a blockchain query.” The sentiment echoes a broader push within the industry to harden on-chain interfaces against social-engineering exploits rather than relying solely on private-key security.

Public guidance from security researchers is unequivocal: users should treat unsolicited tokens or NFTs with suspicion and avoid clicking on links in paid ads or social media posts promising free airdrops. Phantom itself has encouraged best practices, including caution around unfamiliar tokens and the importance of not following links from untrusted messages. The conversation reflects a wider consensus that wallet UX must evolve to reduce friction while increasing visibility into potential threats.

Security researchers at Hacken emphasized the need for a single source of truth for recipient addresses, such as a trusted address book or verified contact list. Their Extractor team highlighted a recent Ether (ETH) address-poisoning case involving a Galaxy Digital-linked wallet earlier in January, underscoring that risk is not limited to consumer wallets but can reach institutional-grade participants as well. The takeaway is straightforward: pre-transaction risk checks and address-similarity detection should be integral to wallet UX, not optional add-ons.

Blockchain investigators also note that the attack vector often hinges on how users perceive and respond to a transaction history. The attacker’s strategy is to plant a narrative around a normal-looking transfer history and rely on the victim’s muscle memory to copy an address. The practical implication is that even a seemingly benign interface—such as a messaging feature linked to transaction activity—can become a liability if it does not incorporate safeguards for suspicious activity. To that end, several wallet developers are exploring pre-execution risk assessments that simulate a transfer before it is signed, offering a “firewall-style” preview that shows how a transaction would unfold under current conditions.

In the landscape of protective tools, a number of wallets have started to position themselves as bulwarks against address-poisoning. Rabby Wallet, Zengo Wallet and Phantom Wallet are cited in industry discussions as examples of systems that could incorporate more aggressive pre-approval checks or blocking logic for suspicious sending or receiving addresses. The emphasis remains on practical risk controls that can be applied without derailing user experience, as opposed to cumbersome, opaque security prompts that users routinely dismiss.

Adding to the urgency, Phantom had already signaled that it would expand its live-chat capabilities and integration points across its product line. The company’s communications around the feature—intended to facilitate interactions around tokens, perpetuals and predictions—illustrate the dual-use reality of on-chain messaging tools: they can improve user engagement while creating new vectors for social-engineering exploits if not paired with robust protective logic.

Cybersecurity experts stress that ongoing user education must be complemented by on-chain safeguards. Deddy Lavid, CEO of the blockchain security firm Cyvers, told Cointelegraph that true protection will require proactive, pre-transaction checks, along with mechanisms that detect address similarity and warn users before they sign. Some experts even advocate real-time simulation tools that map out the exact path a transaction would take, allowing users to spot anomalies before funds leave their control.

As the community weighs these proposals, the industry continues to monitor patterns of address-poisoning activity and the effectiveness of new wallet security features. The core objective is simple: reduce the chance that a victim will be swayed by a plausible-looking history while preserving the ease of sending funds that makes wallets appealing in the first place. This balance is particularly delicate given the rapid pace of wallet features and the growing prevalence of in-app messaging around DeFi positions, NFTs and other on-chain assets.

Why it matters

The incident shines a light on a persistent paradox in crypto: wallets must be both user-friendly and secure in a space where risk is often social rather than purely technical. Phishing via address poisoning exploits how people interact with their own transaction histories, making it a difficult problem to solve with keys alone. If providers do not incorporate preemptive checks or clear warnings, vulnerable users may repeatedly fall for scams that rely on ordinary activity becoming an attack vector.

From an investor perspective, the episode underscores the importance of risk-aware wallet design. Even as institutions experiment with DeFi and cross-chain activities, the fundamentals of secure onboarding—address whitelists, verified contact lists and context-rich warnings—become critical differentiators. The push for better UX does not imply lax security; rather, it requires smarter, more transparent protection that users can understand at a glance while maintaining the speed and convenience of today’s wallets.

For builders, the moment is a reminder that new features, such as in-app chat, must come with consequence-focused security reviews, particularly around how transaction histories can be exploited. Governance and product teams at wallet projects are now under pressure to articulate clearly how new features mitigate risk and what autonomy users have to disable or customize these protections. In short, security-by-design considerations must be embedded into the roadmap, not retrofitted after a breach.

Finally, the broader market context remains relevant. As the crypto ecosystem expands with more complex products and increasingly interwoven DeFi layers, the incentives for attackers grow. Address-poisoning attacks are not going away; they are evolving with each new interface. The industry’s response—transparent reporting, stronger UI safeguards, and user education—will shape the pace at which wallets regain user trust and sustain broader adoption.

What to watch next

Phantom’s upcoming user-interface upgrades to filter or block poison addresses and spam transactions.

Publishers and researchers releasing pre-transaction risk checks or address-similarity detection models for wallets.

Additional case studies on address poisoning, including any institutional wallets affected and how protective tooling fared.

Industry-wide adoption of firewall-style transaction previews across more wallet ecosystems.

Regulatory and industry-group guidance on wallet security standards and best practices for phishing prevention.

Sources & verification

ZachXBT’s post tracing the 3.5 WBTC transfer tied to Phantom Chat and address-poisoning patterns.

Nansen profiler data showing the destination address 0x4b7 as a high-balance account in the relevant transaction.

Phantom’s December 23 announcement about the live-chat feature across tokens, perpetuals and predictions pages.

Changpeng Zhao’s blog post calling for poison-address checks and blocking on wallets, published in December.

Hack­en’s Extractor team commentary on the need for a single source of truth for recipient addresses and pre-transaction risk checks.

Key details and next steps

In the context of ongoing on-chain risk management, the industry is likely to see a continued emphasis on user education, as well as practical protections baked into wallet software. The Phantom incident, by highlighting address-poisoning dynamics in a real-world scenario, may accelerate conversations about UX-first security controls—ideally without compromising the speed and accessibility that wallets offer today.

Market reaction and key details

The broader market context remains one of cautious optimism as ecosystems pursue higher throughput and richer user experiences, while cybersecurity teams push back against evolving phishing techniques. As wallets experiment with new features and engagement tools, observers will be watching not only for security improvements but for how effectively these changes preserve a frictionless user journey.

Why it matters (-revisited)

The intersection of wallet UX and security is where many crypto users encounter real-world risk. When a messaging feature intersects with transactional workflows, the potential for misdirection grows. Industry voices argue that preemptive risk checks, address verification, and live security prompts should accompany any feature that touches the transaction lifecycle. If implemented effectively, these tools can turn a risky design choice into a model for safer, more trustworthy wallet experiences.

What to watch next (timeline)

Phantom to disclose concrete UI updates and user education initiatives in the coming weeks.

Security researchers to publish practical guidelines and detection methods for address-poisoning patterns.

Wallets to broaden adoption of pre-transaction risk simulations across platforms.

Tickers mentioned: $WBTC, $ETH, $USDC

Market context: The incident sits at the crossroads of growing on-chain activity and persistent phishing risks, underscoring the need for wallets to balance accessibility with proactive defense and clear user-facing warnings.

Why it matters

What this means for users is simple: education and safeguards must go hand in hand. For investors, it highlights the importance of relying on wallets with robust, transparent security features and a clear risk signal when interacting with unfamiliar or newly created tokens. For builders, it serves as a prompt to bake security checks into product roadmaps, not as optional add-ons. And for the market at large, the episode reinforces that the crypto ecosystem’s credibility hinges on tangible protections that can be understood and trusted by everyday users.

What to watch next

Upcoming wallet updates that incorporate poison-address detection and automated blocking.

Further public disclosures from security researchers detailing address-poisoning patterns and mitigations.

Broader industry standards for pre-transaction risk checks and user warnings across wallets.

Sources & verification

ZachXBT’s tweet/status about the 3.5 WBTC transfer and Phantom Chat context.

Nansen profiler data showing the high-balance address involved in the transfer.

Phantom’s live-chat feature announcement from December 23.

Zhao’s December blog post advocating poison-address checks and spam filtering.

Hacken’s Extractor team remarks on address poisoning and the need for a single source of truth for recipient addresses.

Address poisoning incident linked to Phantom Chat

Phantom’s in-app messaging feature has become a focal point in discussions about wallet security after a phishing incident drained about $264,000 in Wrapped Bitcoin (CRYPTO: WBTC). The event, identified by blockchain sleuths as a classic address-poisoning scenario, underscores how attackers exploit transaction histories rather than compromising private keys. In the sequence observed, 3.5 WBTC moved from 0x85c to 0x4b7, a transfer flagged by Nansen as originating from a high-balance address. This pattern aligns with known address-poisoning techniques that rely on social cues and transaction history to mislead victims into sending funds to attacker-controlled addresses.

The broader narrative around the case centers on how wallet UX choices can inadvertently facilitate scams. Scammers seed small transfers and rely on victims copying an address from their own history, a tactic that can bypass standard key-centric security. The incident has reignited calls for wallet developers to implement pre-transaction risk checks and to filter or block suspicious addresses before a user signs a transaction. In the wake of the event, prominent voices have called for measures that protect users without creating a frustrating experience that deters legitimate activity.

As the industry debates solutions, Phantom’s own stance and the field’s evolving best practices are likely to shape wallet design moving forward. The December rollout of live chat across tokens and other features signals a broader push to deepen user engagement; however, the security implications of such features will require ongoing refinement. The discussion is not merely theoretical: security researchers point to real-world incidents, including a separate Ether (ETH) address-poisoning case tied to a Galaxy Digital wallet, to illustrate the tangible risk and the need for proactive safeguards.

Going forward, the sector will watch for concrete steps that wallets take to harden their interfaces. The consensus among cybersecurity experts is clear: preemptive risk signaling, address-book verification, and real-time protection could turn a potential liability into a model of secure usability. The balance—between ease of use and robust risk controls—will determine whether wallets regain and sustain user trust as the crypto ecosystem continues to expand. The industry’s ability to translate these protections into clear, user-friendly features will be a key determinant of long-term adoption and stability in the market.

This article was originally published as Phantom Chat Under Scrutiny After $264K Address Poisoning Loss on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

South Korea’s financial watchdog has opened a formal probe into Bithumb after the exchange inadvertently credited users with large Bitcoin balances that did not correspond to on‑chain holdings. The Financial Supervisory Service (FSS) said the incident raised questions about internal controls and the risk of “paper Bitcoin”—assets that exist on internal ledgers but not as verifiable on the blockchain. The episode unfolded during a promotional payout in which Bithumb says it “incorrectly paid” 620,000 BTC (CRYPTO: BTC) to customers, a sum pegged at roughly $42.8 billion at the time. Yonhap News reported the development on Tuesday, noting that the regulator would assess potential platform violations and broader market implications. The exchange has since recovered most of the miscredited coins, but about 125 BTC ($8.6 million) remain unsettled, amplifying concerns about operational risk at centralized exchanges and the possibility of misleading balance sheets.

The probe centers on a series of alleged violations tied to mismatches between the crypto held in Bithumb’s wallets and the amounts credited to user accounts, as well as deficiencies in the exchange’s internal controls. Authorities pointed to a single point of failure—one staff member reportedly responsible for the erroneous BTC crediting—as a possible root cause. The FSS signaled that it will pursue stern legal action against practices that disrupt market order, underscoring a broader push to shore up governance and risk controls within the domestic crypto ecosystem. The Korean Times summarized the agency’s stance, quoting an FSS official who stressed that the case would be treated with seriousness and that regulatory action would follow if market integrity was harmed.

The incident’s public narrative took on a life of its own as industry spectators debated what constitutes genuine asset value in crypto markets. CryptoQuant analyst Maartunn described the 620,000 BTC as not “real” Bitcoin in the sense that the coins did not exist on the blockchain at the moment of credit. Instead, the balances were visible only within Bithumb’s internal systems. The promoter-driven event, originally designed to reward users with 2,000 South Korean won ($1.40) apiece, instead credited 620,000 BTC because an employee allegedly selected BTC as the currency unit rather than won. The result was a dramatic misalignment between actual reserves and user credits, a discrepancy that could undermine confidence if not promptly resolved. Maartunn noted that Bithumb’s reported reserve sits around 41,798 BTC, far below the 620,000 BTC that briefly appeared on the exchange’s ledgers, highlighting a potential overhang of trust risk for customers and counterparties.

During the same window, users reportedly withdrew a portion of the credited assets: about 3,875 BTC, estimated at roughly $268 million, left the platform around that period. While Bithumb asserted that customer assets were not damaged and the bulk of funds were recalled, the withdrawals raise questions about user behavior in the wake of a balance discrepancy and the possibility that some holders sought to monetize the overstated balances before market confusion spread. The tension between on‑chain reality and off‑chain records is at the heart of the current scrutiny, illustrating how operational lapses at a prominent exchange can reverberate beyond a single incident. The exchange publicly linked to the internal‑notice feed acknowledging the irregular payout as part of its response, though regulators are seeking to quantify risk exposure more broadly.

The investigation arrives amid growing concern in crypto markets about the phenomenon of “paper Bitcoin,” where synthetic exposure exists in a non‑on‑chain form such as internal ledger balances, derivatives, or exchange‑published claims that do not map 1:1 to real, verifiable BTC on the blockchain. The incident fed into a broader narrative that has gripped traders and observers for months: heightened scrutiny of centralized exchanges, potential regulatory tightening, and the possibility that liquidity could be overstated on non‑on‑chain products or platforms. In context, Bitcoin’s price dynamics have been volatile since late 2025, with reports of a substantial drawdown that has intensified calls for clearer risk disclosure and robust reserve practices among market participants.

The FSS’s public remarks and the details from Bithumb’s own disclosures emphasize a common thread in recent enforcement actions: the need for strong governance, independent risk controls, and independent verification of balances. The agency stressed that the incident could have wider implications for market integrity if left unaddressed, especially given the growing use of centralized venues for deposits, trading, and promotional campaigns. As regulators in Seoul and other jurisdictions sharpen their lens on exchange operations, market participants are dialing up their attention to the reliability of balance sheets, reconciliation processes, and the auditability of any on‑exchange “balances” that do not have verifiable on‑chain backing. The episode also highlights how human error, even in high‑volume promotions, can trigger systemic questions about trust and risk management in crypto markets.

Why it matters

For investors and users, the Bithumb episode underscores the ongoing risk of operational failures at large exchanges and the potential for misrepresented liquidity to distort perceived market depth. Even when losses to customer assets are avoided, the reputational and regulatory consequences can weigh on user confidence, trading volumes, and the willingness of institutions to engage with exchanges that display weak internal controls. In the broader market, the incident feeds into a narrative around “paper Bitcoin” risk—where balances exist only within internal systems and may not be verifiable on-chain—and raises questions about the extent to which exchanges are prepared to withstand errors at scale without triggering cascading adjustments in price or liquidity. Regulators’ willingness to pursue action in such cases signals a normalization of enforcement as part of ongoing market maturation.

From the perspective of market structure, the event highlights the interplay between promotional campaigns, user incentives, and the fragility of balance reconciliation in high‑volume venues. Analysts and observers will be watching how Bithumb addresses governance gaps, whether the missing 125 BTC are resolved, and what steps the exchange takes to reassure users about the integrity of its booking and settlement processes. The incident could also alter how other exchanges approach promotional payouts, risk controls, and internal audits, potentially prompting more conservative promotional strategies in a sector where headline risk can move prices quickly and undermine trust in digital assets as a whole.

For policymakers, the case provides a concrete example of why robust oversight of custody practices, wallet management, and internal controls remains central to the legitimacy of crypto markets. It also illustrates how rapid public disclosures, timely recall of miscredited assets, and transparent dialogue with regulators can help restore confidence after an operational mishap. As authorities publish findings and potential sanctions, market participants will seek clearer guidance on what constitutes compliant balance management and how to handle similar errors without triggering broader market disruption.

What to watch next

Regulatory findings from the FSS on Bithumb’s control deficiencies and any imposed remedies or penalties.

Movements in Bithumb’s governance and internal risk programs, including any independent audits or remediations.

Updates on the unsettled 125 BTC and whether compensation or clawbacks are pursued.

Broader market commentary on the impact of “paper Bitcoin” warnings on exchange liquidity measures and investor confidence.

Sources & verification

Yonhap News: FSS launches investigation into Bithumb’s accidental Bitcoin payout

Bithumb official notice detailing the incorrect payment of 620,000 BTC

Korean Times coverage of FSS comments and the investigation

Cointelegraph reporting on the incident and related market reactions

Key takeaways

The FSS has opened an investigation into Bithumb following a promo payout that credited 620,000 BTC to users, a balance vastly exceeding the exchange’s on‑hand reserves.

About 125 BTC remain unsettled after the miscrediting, with Bithumb reporting that most assets were recovered.

Regulators flag mismatches between wallet holdings and user credits and point to internal control weaknesses, including a single staff member linked to the error.

Analysts describe the credited 620,000 BTC as “paper Bitcoin,” existing only in internal systems and not on the blockchain, raising questions about true liquidity and trust.

Withdrawals of roughly 3,875 BTC during the period illustrate the complexity of user behavior in response to balance discrepancies and the potential for broader confidence impacts.

The incident feeds into a wider debate about the role of exchanges in risk management and the persistence of non‑on‑chain exposure in a volatile market.

Tickers mentioned: $BTC, $ETH

Sentiment: Neutral

Price impact: Neutral. The episode highlighted regulatory and reputational risk rather than an immediate, verifiable loss of customer assets, with most funds subsequently recovered.

Market context: The episode arrives amid heightened scrutiny of centralized exchanges and ongoing debates about liquidity verification, reserve disclosures, and the influence of on‑chain versus off‑chain balances in shaping market confidence.

Why it matters

The Bithumb miscredit incident crystallizes a key risk in the current crypto environment: operational integrity is as crucial as the stated liquidity of a venue. While customer assets were largely preserved, the episode exposes how easily balance misstatements can undermine trust, especially as markets navigate volatility and regulatory caution. As authorities pursue accountability and potential remedies, exchanges are likely to accelerate reforms in access controls, automated reconciliations, and independent audits—measures that could help restore user confidence and reduce systemic risk in the sector.

What to watch next

Regulatory rulings or penalties announced by the FSS regarding Bithumb’s internal controls.

Updates on the status of unsettled BTC and any compensation arrangements for affected users.

Public disclosures from Bithumb about governance improvements and risk management reforms.

Sources & verification

Yonhap News: FSS launches investigation into Bithumb’s accidental Bitcoin payout — https://www.yna.co.kr/view/AKR20260209167100002?input=1195m

Bithumb notice: 620,000 BTC incorrect payment — https://feed.bithumb.com/notice/1651924

Korean Times coverage of FSS investigation — https://www.koreatimes.co.kr

Cointelegraph coverage on Bithumb payout and market context — https://cointelegraph.com/news/bithumb-confirms-reward-payout-error-after-abnormal-bitcoin-trades

What the story changes for readers

The incident underscores the importance of robust internal controls and transparent disclosures in a market that rewards rapid growth with equally rapid regulatory attention. As crypto markets mature, investors and users should look for clear evidence of reconciled balances, independent audits, and verifiable on‑chain backing for assets claimed on exchange ledgers. For builders and policymakers, the episode offers a case study in how operational risk, governance standards, and market structure interact to shape confidence and resilience in crypto ecosystems.

This article was originally published as South Korea probes Bithumb over $43B phantom Bitcoin payout on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

U.S. spot Bitcoin ETFs continued a tentative rebound, with fresh inflows hinting at renewed institutional interest after weeks of selling pressure. Data from SoSoValue and CoinGecko show the sector drawing roughly $371 million in net inflows last Friday, followed by an additional $145 million on Monday as Bitcoin traded near $70,000. The latest figures do not erase the week’s $318 million outflow and the $1.9 billion in redemptions logged year to date, but market participants say the pace of declines has slowed, a potential sign of a fundamental shift in crypto investment sentiment. As ETF products become more mainstream, the market is parsing whether a stabilized flow backdrop can translate into sustained price resilience or merely a pause before renewed volatility.

Key takeaways

U.S. spot Bitcoin ETFs attracted about $371 million in net inflows on the previous Friday, with a further $145 million added on Monday as BTC fluctuated around $70,000.

Year-to-date redemptions total around $1.9 billion, and last week saw $318 million in outflows, yet the decline pace appears to be slowing.

Industry observers see the slowing outflows as a potential inflection point, suggesting growing investor tolerance for regulated crypto exposure despite macro headwinds.

Longstanding holders are not exiting en masse; Bitwise officials describe a shrinking but still-present OG narrative alongside rising institutional participation.

Altcoin ETFs benefited too, with Ether and XRP drawing inflows of $57 million and $6.3 million, respectively, underscoring broader diversification in ETF flows.

Tickers mentioned: $BTC, $ETH, $XRP

Sentiment: Neutral

Price impact: Neutral. Inflows and a price drift near $70,000 suggest a cautious balance between demand and selling pressure.

Trading idea (Not Financial Advice): Hold

Market context: ETF-driven liquidity and the entrance of large asset managers into regulated crypto products are influencing risk appetite and liquidity conditions while macro factors remain a critical backdrop.

Why it matters

The current set of inflows into U.S. spot Bitcoin ETFs signals a maturing market where institutional investors are increasingly willing to anchor positions in regulated vehicles. The Friday inflow of approximately $371 million, followed by a $145 million addition the next trading day, points to a rhythm of demand that could outpace episodic selling pressures. While these numbers do not erase last week’s $318 million outflow or the $1.9 billion in year-to-date redemptions, the deceleration in net outflows has captured attention from market participants who monitor ETF genetics as a proxy for broader risk appetite in crypto assets.

Analysts have cautioned that price behavior remains tethered to macro developments and regulatory signals, but there is a growing sense that the market has absorbed the initial wave of concerns around the expansion of financial products tied to digital assets. The absence of a single, dominant catalyst for the downturn—despite a meaningful drawdown—has fed a narrative that the selloff may be more about macro sentiment and liquidity cycles than systemic faults within the crypto space itself. Bernstein researchers have described the recent downturn as the “weakest bear case” in Bitcoin history, highlighting the lack of the kind of industry failures that typically accompany deeper shocks. This assessment underscores how resilient the network and collateral framework have appeared even as prices oscillate.

“Outflows slowed sharply to $187 million despite heavy price pressure, with the deceleration in flows historically signaling a potential inflection point,”

That framework of guarded optimism extends beyond BTC to the broader ecosystem. Bitwise’s Matt Hougan has argued that the institutionalization trend—while potentially alienating a core, cypherpunk ethos—belongs to a wider, more durable market structure. In discussions with Bloomberg ETF analyst Eric Balchunas, Hougan suggested that a vocal minority of early supporters remains committed, even as the composition of market participants shifts toward larger, more formalized investment firms. He said the “shrinking minority” view of the OG crypto purists does not reflect the behavior of the investors currently engaging with Bitwise or other asset managers expanding into crypto exposure.

Despite some discomfort among purists, the real-world impact of growing institutional access is evident in the flow dynamics across the market. In addition to BTC, the ETF ecosystem is broadening its footprint. Ether (ETH) and XRP (XRP) each posted inflows on the same day, signaling that investors are diversifying beyond a single-asset bet. SoSoValue data placed Ether at a $57 million inflow and XRP at about $6.3 million, reinforcing the view that regulated crypto exposure is now a multi-asset consideration rather than BTC alone.

Market observers have also highlighted the paradox of rising institutional participation and price volatility. Some attribute the volatility to the ongoing process of financialization—where more traditional fund flows intersect with digital assets—while others point to macro factors that can overshadow even robust demand. In that context, the lack of a major systemic failure within the space becomes a counterweight to bear-case fears. The narrative around Bitcoin’s scarcity and its potential divergence from traditional risk assets remains central to why institutional players are still building positions in regulated vehicles rather than shunning the asset altogether.

The broader takeaway is a market that is gradually decoupling the fear of policy and liquidity risk from the fundamentals of Bitcoin as a digital asset. The continued inflow momentum into spot Bitcoin ETFs implies that the market is more than a speculative playground; it is increasingly treated as a strategic, regulated exposure for institutions seeking yield-like and diversification benefits within crypto exposure. While price action remains sensitive to the macro environment, the ecosystem’s capacity to attract new capital through regulated products could help sustain a more durable baseline for prices—a development that market participants will watch closely in the weeks ahead.

As the ETF narrative evolves, investors will be looking for the next set of data points: weekly inflow reports, new entrants into the U.S. spot ETF space, and any commentary from asset managers about the stickiness of these flows. If the deceleration in outflows persists and inflows continue to accrue, the market could be validating an evolving relationship between traditional finance and digital assets—a relationship built on regulated access, diversified exposure, and a shared interest in the long-term role of digital scarcity in investment portfolios.

What to watch next

Upcoming weekly fund-flow snapshots to confirm whether inflows remain steady or accelerate.

Any additional spot ETF launches or large-cap ETF inflows that broaden the exposure beyond BTC to ETH and XRP and other assets.

Macro developments and regulatory updates that could influence risk sentiment and liquidity in crypto markets.

Price action around the $70,000 level and whether a breakout or a renewed dip occurs in the absence of a single catalyst.

Sources & verification

SoSoValue data on US spot Bitcoin ETF inflows and altcoin ETF inflows (ETH, XRP).

CoinGecko price data for Bitcoin around the $70,000 level and price movement context.

CoinShares commentary on the pace of outflows and the potential inflection point in crypto investment products.

Bernstein analysis describing the downturn as the weakest bear case in Bitcoin history and noting the absence of major industry failures.

Bitwise remarks from CIO Matt Hougan on the ongoing participation of early holders and the shifting investor base.

Bitcoin ETF flow and outlook

This article was originally published as Bitcoin ETFs Rally as $145M Inflows Extend Rebound on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Editor’s note: PRYPCO Mint is launching its first regulated secondary marketplace for tokenized real estate on 20 February via its mobile app, moving the platform from pilot testing into live market execution. Built in partnership with the :contentReference[oaicite:0]{index=0} and licensed by :contentReference[oaicite:1]{index=1}, the marketplace allows investors to buy, sell, and transfer fractional property tokens linked directly to title deeds. The launch follows a Phase 1 pilot that tested regulatory and technical frameworks and attracted strong multi-national investor participation. The development underscores Dubai’s push to combine blockchain infrastructure, regulation, and real estate ownership into a single, compliant ecosystem.

Key points

The marketplace goes live on 20 February through the PRYPCO Mint App.

It enables regulated resale and transfer of tokenized property in a secondary market.

The platform is built with the Dubai Land Department and licensed by VARA.

Phase 1 recorded over AED 18.5 million in tokenized investments from 50+ nationalities.

Access is currently limited to UAE residents with a valid Emirates ID.

Why this matters

The launch marks a practical step toward liquidity in fractional real estate ownership, a long-standing constraint for property investors. By enabling compliant secondary trading, the marketplace lowers barriers to entry and exit while keeping transactions aligned with regulatory standards. For builders and investors, it signals that tokenization in the UAE is shifting from experimentation to operational infrastructure. For the region, it reinforces Dubai’s role as a testing ground for how blockchain, property markets, and digital asset regulation can converge at scale.

What to watch next

The initial performance and transaction activity after the 20 February launch.

How secondary market liquidity develops under regulatory controls.

Potential expansion of eligible properties or participant criteria over time.

Disclosure: The content below is a press release provided by the company/PR representative. It is published for informational purposes.

The new marketplace enables regulated buying, selling, and transfer of tokenized property through the PRYPCO Mint App, reinforcing Dubai’s leadership in digital real estate infrastructure

Dubai, UAE, 10 February 2026: PRYPCO Mint, MENA’s first real estate tokenization platform and the world’s first to partner with a government entity, the Dubai Land Department (DLD), to tokenize a property title deed, is launching its first-ever marketplace on 20th February via the PRYPCO Mint App.

The launch of the marketplace follows the successful completion of Phase 1 of PRYPCO Mint, which focused on testing the regulatory, legislative, and technical foundations required to tokenize real estate assets directly on title deeds. The pilot phase saw strong investor participation, attracting investors from more than 50 nationalities and facilitating over AED 18.5 million in tokenized property investments, with one property fully funded in a record time of just 1 minute and 58 seconds.

Following the success of Phase 1, Phase 2 marks the next stage of the initiative, enabling resale activity in a regulated secondary environment through the PRYPCO Mint App, signalling a shift from pilot testing to operational execution. The marketplace reflects the region’s growing integration of blockchain, regulation, and real estate ownership.

Built in strategic partnership with the Dubai Land Department (DLD) and licensed by the Virtual Assets Regulatory Authority (VARA), PRYPCO Mint enables real estate assets to be divided into digital tokens representing ownership shares. Through the Marketplace, investors will be able to buy, sell, and transfer these tokens 24 hours a day, 7 days a week, via the PRYPCO Mint App, subject to regulatory controls and compliance safeguards.

The platform is designed to support the objectives of the Dubai Real Estate Sector Strategy 2033, which prioritises market balance, transparency, and an improved investor experience. By introducing greater liquidity to fractional ownership, the Marketplace addresses one of the key structural barriers associated with property investment, access and exit.

PRYPCO Mint is currently available to UAE residents aged 18 and above with a valid Emirates ID, providing a regulated pathway for individuals to participate in fractional real estate ownership.

Commenting on the launch of the PRYPCO Mint marketplace, Essa Ibrahim, Co-founder and President, PRYPCO, said, “Real estate remains one of the most important yet least accessible asset classes, shaped by high capital barriers, limited liquidity, and fragmented processes. The PRYPCO Mint Marketplace introduces a new model, one that enables investors to participate in property ownership with greater flexibility while maintaining regulatory safeguards. This is about building the rails for the future of ownership, where real estate can be accessed, held, and transferred digitally within a trusted ecosystem.”

Beyond individual transactions, the Marketplace is expected to strengthen confidence in fractional ownership by introducing structured liquidity and standardized processes for tokenized assets.

As digital ownership models continue to evolve, the PRYPCO Mint Marketplace signals a shift toward more liquid, transparent, and accessible property markets, one that integrates real estate, financial infrastructure, and digital asset regulation into a single ecosystem.

The initiative further strengthens Dubai’s leadership in real estate innovation, demonstrating how government collaboration, regulatory clarity, and technology can reshape ownership models and expand participation in one of the world’s most important asset classes.

About PRYPCO

PRYPCO is a leading PropTech company in the region, reshaping the real estate market through tokenization, fractional ownership, simplified mortgages, Golden Visas and digital accessibility for real estate agents. Founded by Amira Sajwani, PRYPCO’s ecosystem includes PRYPCO Mint (tokenized investment), PRYPCO Blocks, PRYPCO Mortgage, PRYPCO One for agents, and PRYPCO Golden Visa. With a bold vision to enable real estate freedom, PRYPCO is setting new standards in how people invest, own, and benefit from property.

For any press enquiries, please contact:

Karen Lobo,

PR & Communications Manager

karen.lobo@prypco.com

This article was originally published as PRYPCO Mint Launches Tokenized Property Marketplace in Dubai on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Editor’s note: Baidu and Uber have announced the next phase of their global partnership, bringing Baidu’s Apollo Go autonomous ride-hailing service onto the Uber platform in Dubai, in collaboration with the city’s Roads and Transport Authority. The service is expected to launch in the coming month across select areas of Jumeirah, with expansion planned as operational data is gathered and regulatory approvals progress. The move supports Dubai’s target to make autonomous trips account for 25 percent of all journeys by 2030 and marks another concrete step in integrating large-scale autonomous mobility into an existing, widely used ride-hailing network.

Key points

Apollo Go fully autonomous vehicles will be bookable directly through the Uber app in Dubai.

The initial rollout will cover select locations in the Jumeirah area, with phased expansion.

Riders can be matched via UberX, Uber Comfort, or a dedicated “Autonomous” option.

Fleet operations will be managed locally by third-party operator New Horizon.

The deployment aligns with Dubai’s goal of 25 percent autonomous trips by 2030.

Why this matters

This launch places Dubai among a small group of cities testing autonomous ride-hailing at meaningful scale within a mainstream mobility platform. For the region, it signals growing regulatory confidence in driverless technology and reinforces the UAE’s position as a testbed for advanced AI-driven infrastructure. For builders and operators, the integration with Uber lowers barriers to consumer adoption, while providing real-world data on safety, usage, and scalability in dense urban environments.

What to watch next

The timing and performance of the initial launch in Jumeirah.

Regulatory approvals enabling expansion to additional districts in Dubai.

Operational learnings from fleet management and rider adoption.

Disclosure: The content below is a press release provided by the company/PR representative. It is published for informational purposes.

DUBAI, UAE – February 10, 2026 – Baidu, Inc. (NASDAQ: BIDU and HKEX: 9888) and Uber Technologies, Inc. (NYSE: UBER), in partnership with Dubai’s Roads and Transport Authority (RTA), today announced the next phase of their global partnership, bringing the Apollo Go autonomous ride-hailing service to the Uber platform in Dubai.

Expected to launch in the coming month, the fully autonomous vehicles will be available via the Uber app across select locations within the Jumeirah area, and the deployment will expand based on operational learnings and regulatory approvals across the city.

This collaboration also aligns directly with Dubai’s ambitious goal of having 25% of all transportation trips be autonomous by 2030.

For trips within the service area, passengers will have the opportunity to be matched with an Apollo Go vehicle when booking an Uber Comfort or UberX, or by selecting the “Autonomous” option in the Uber app. Fleet management will be handled by third-party operator New Horizon.

“Bringing Apollo Go to Dubai via the Uber platform marks a pivotal step in our mission to provide safe, efficient, and accessible autonomous mobility worldwide,” said Nan Yang, Vice President of Baidu and General Manager of Overseas Business Unit, Intelligent Driving Group. “As a key deliverable of the strategic partnership between Apollo Go and Uber announced last July, this deployment officially brings our autonomous ride-hailing service to Dubai, utilizing Uber’s vast network to turn our shared vision into reality.”

“We’re excited to partner with Baidu as we continue to grow our autonomous footprint across Dubai. Just as we helped millions of people try out EVs for the first time, we will expand consumer access to autonomous technology in major cities around the world,” said Sarfraz Maredia, Global Head of Autonomous at Uber. “With more than 20 AV partners already completing millions of autonomous trips annually, Uber is the global platform where the autonomous vehicle industry can launch at scale.”

This announcement comes on the heels of another market expansion last December, when the parties announced plans to bring the autonomous ride-hailing service to London, a right-hand drive market, as well as the inauguration of Apollo Go Park in Dubai in January, its first overseas operations and management hub.

As a leading autonomous ride-hailing service provider globally, Apollo Go has logged more than 240 million autonomous kilometers, of which over 140 million kilometers were completed in fully driverless mode. With a global footprint across 22 cities, Apollo Go’s weekly ride count has recently surpassed 250,000, and the service has completed more than 17 million cumulative rides as of October 31, 2025.

About Baidu

Founded in 2000, Baidu’s mission is to make the complicated world simpler through technology. Baidu is a leading AI company with strong internet foundation, trading on the NASDAQ under “BIDU” and HKEX under “9888.” One Baidu ADS represents eight Class A ordinary shares.

About Uber

Uber’s mission is to create opportunity through movement. We started in 2010 to solve a simple problem: how do you get access to a ride at the touch of a button? More than 68 billion trips later, we’re building products to get people closer to where they want to be. By changing how people, food, and things move through cities, Uber is a platform that opens up the world to new possibilities.

Media Contacts

Baidu

intlcomm@baidu.com

Uber

press@uber.com

This article was originally published as Baidu and Uber Launch Apollo Go Autonomous Ride-Hailing in Dubai on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Key Insights

China asked major banks to lower US Treasury exposure to reduce market risk and diversify reserves.

Rising gold reserves show preference for hard assets while dollar dependence slowly declines.

Crypto markets may face short-term volatility but could gain attention as an alternative asset.

Chinese regulators have instructed several private lenders to reduce their exposure to US government bonds. Officials cited risk management concerns, noting that heavy concentration in one asset class increases vulnerability to market swings. The guidance targets bank portfolios rather than the country’s official foreign exchange reserves.

CHINA IS QUIETLY PULLING BACK FROM U.S. TREASURIES

China just told its big banks to limit and cut their holdings of U.S. Treasuries.

It now only holds $683B in U.S. govt bonds, its LOWEST in years, down from $1.3T in 2013.

For years, Chinese banks piled into Treasuries as… pic.twitter.com/5jomCprBAm

— Coin Bureau (@coinbureau) February 9, 2026

Shift Toward Alternative Reserve Assets

At the same time, China has expanded its gold holdings. According to the official statistics, the reserves are currently over 2,300 tonnes. The same pattern was experienced by central banks around the world who bought over 860 tonnes of gold in 2025. This trend shows a wider attempt to hedge the currency risk and secure reserves.

Gold does not have a direct connection with the monetary policy of a particular country. Consequently, it is considered by the policymakers as a stabilizing asset in the event of financial uncertainty. The decrease in Treasuries and the increase in gold simultaneously illustrate a slow repositioning of reserves, and not the sudden abandonment of dollar markets.

Implications for Crypto Markets

The liquidity in the global market can be affected by any alterations in the Treasury demand. Increased production tends to constrain finances and appetites towards risk assets. In this scenario, there is the possibility of price pressure on cryptocurrencies in the short term because of the reluctant behavior of investors.

However, reduced reliance on traditional reserve assets may also support long-term interest in decentralized assets. Some investors treat Bitcoin as a hedge against monetary instability. Therefore, the shift could create volatility in the near term while strengthening attention toward digital assets over time.

Regulatory Position on Digital Assets

China maintains strict restrictions on cryptocurrency trading and mining activities. Governments are still alerting of possible capital flight and financial risks. Rather, policymakers encourage the digital yuan as an alternative in the financial system that is regulated.

The reserve strategy change does not alter that stance. Even though financial diversification has not ceased, the official policy still supports cryptocurrencies controlled by the state instead of personal ones.

Conclusion

The direction given to banks by China is one of a restrained alteration in reserve exposure. The shift is an indication of apprehension regarding concentrated holdings and not an abrupt departure of US holdings. The situation on the global markets is not very volatile, but investors are closely monitoring liquidity conditions.

For the crypto sector, the impact may emerge gradually. Liquidity shifts can influence risk appetite, while confidence changes may attract interest in alternative stores of value.

This article was originally published as China Limits US Treasuries: Signals Shift in Global Liquidity on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Editor’s note: Strategy Inc. has announced the sixth edition of its Bitcoin for Corporations conference, bringing CFOs, treasurers, and institutional leaders to Las Vegas in late February. The event is positioned around practical execution, focusing on how companies are integrating Bitcoin into balance sheets, capital structures, and risk frameworks as adoption matures. With a growing number of public companies holding Bitcoin and banks and asset managers engaging more directly with digital assets, the conference agenda centers on valuation, credit structures, regulatory clarity, and operational playbooks for corporate Bitcoin strategy.

Key points

The conference will be held February 23–26 in Las Vegas, with core sessions on February 24–25.

It targets CFOs, treasury teams, and capital markets leaders focused on balance sheet execution.

Sessions cover Bitcoin-backed credit, valuation of Bitcoin treasury companies, and risk management.

Major banks, asset managers, and policy experts are scheduled to participate.

The Bitcoin for Corporations executive network will share updates on corporate use cases.

Why this matters

As corporate Bitcoin adoption moves beyond early experimentation, attention is shifting to governance, financing, and long-term capital discipline. Events like this signal how institutional frameworks around Bitcoin are taking shape, from valuation models to regulatory considerations. For markets and builders, the discussions offer insight into how traditional finance players are approaching digital assets. For companies considering or refining a Bitcoin strategy, the focus on execution highlights where institutional standards are forming.

What to watch next

Outcomes from discussions on Bitcoin-backed credit and balance sheet structures.

How analysts and banks frame valuation and risk for Bitcoin treasury companies.

Updates from the Bitcoin for Corporations executive network on adoption trends.

Disclosure: The content below is a press release provided by the company/PR representative. It is published for informational purposes.

NASHVILLE, TN — February 9, 2026 — Strategy Inc (Nasdaq: STRF/STRC/STRK/STRD/MSTR; LuxSE: STRE) is hosting financial executives and institutional leaders for its Bitcoin for Corporations conference, held February 23–26 at The Wynn Las Vegas. As corporate Bitcoin adoption enters its sixth year of institutional maturity, this summit serves as the definitive venue for leaders looking to move beyond analysis into high-impact operational execution.

“Bitcoin for Corporations is back for year six in Las Vegas, marking our largest gathering to date. In 2025, the number of public companies worldwide holding Bitcoin on their balance sheets nearly tripled to approximately 200, many of whom will be attending and speaking. Looking ahead to 2026, Digital Capital, Digital Credit, and Digital Money will reshape finance for individuals, institutions, corporations, and banks. We look forward to hosting everyone.” – Strategy CEO, Phong Le

Why Institutional Leaders are Attending

The 2026 Bitcoin for Corporations conference (February 24–25) is curated specifically for CFOs, treasurers, and capital markets leaders, focusing on capital efficiency, risk management, and the evolution of the corporate balance sheet:

Bitcoin Keynote: Michael J. Saylor, Founder & Executive Chairman of Strategy

Issuer Perspective of Investing in Digital Credit: A roundtable featuring executives from Metaplanet, Strategy, and Strive on how digital credit is being structured within institutional balance sheets.

Valuing Bitcoin Treasury Companies: Analysts from Benchmark, BTIG, and TD lead an Equity Analysts Roundtable to discuss Bitcoin’s impact on valuation models and institutional investor perception.

Digital Assets at Scale: How Citi, Morgan Stanley, and TD are building the next financial rails.

Bank Perspective: Sessions featuring leaders from Moelis & Company, Morgan Stanley, and TD on how banks are engaging with Bitcoin, Bitcoin-backed credit, and their perspective on index inclusion.

New Market Structures using STRC & Bitcoin-Linked Products: Featuring APYX, Buck, Hope, FalconX/21Shares, and Saturn

Yield & Risk Management: Institutional methods for managing risk and enhancing yield through Bitcoin markets, featuring leaders from Bitwise, Strive, and Two Prime.

Regulatory & Legal Clarity: A deep dive into the 2026 policy environment for institutional mandates, featuring experts from the Bitcoin Policy Institute, Latham & Watkins LLP, and Perkins Coie.

The Gateway to the Executive Network

Highlighting the event’s practical focus, George Mekhail will provide an update on the Bitcoin For Corporations executive network, highlighting member activity, corporate use cases, and adoption momentum heading into 2026. “Strategy World 2026 is where the corporate Bitcoin playbook moves from theory to execution. The Bitcoin for Corporations track at Strategy World is the premier gathering of leaders who are playing a role in advancing institutional bitcoin adoption and BFC is thrilled to be a part of the event again this year.” Mekhail said.

The network offers ongoing education and hosts four global symposiums per year, ensuring that organizations pursuing a Bitcoin balance sheet strategy have the peer-to-peer support and resources they need to succeed year-round.

Secure your place at the center of institutional Bitcoin innovation: https://www.strategysoftware.com/world26

About Strategy

Strategy Inc (Nasdaq: STRF/STRC/STRK/STRD/MSTR; LuxSE: STRE) is the world’s first and largest Bitcoin Treasury Company. We pursue financial innovation strategies designed to generate value from our bitcoin holdings, including developing and issuing novel fixed-income instruments that provide investors varying degrees of economic exposure to bitcoin. In addition, we are an industry leader in AI-powered enterprise analytics software, advancing our vision of Intelligence Everywhere. We believe our combination of active bitcoin-focused capital management and a scaled operating software business positions us for long-term value creation across both digital asset and enterprise analytics markets.

Strategy, MicroStrategy, and Intelligence Everywhere are either trademarks or registered trademarks of Strategy Inc in the United States and certain other countries. Other product and company names mentioned herein may be the trademarks of their respective owners.

About Bitcoin For Corporations

Bitcoin For Corporations (BFC) is the executive network for corporate Bitcoin strategy, serving public and pre-IPO companies seeking to adopt Bitcoin as a strategic balance-sheet asset. BFC helps leadership teams move from conviction to execution by providing institutional-grade education, proven frameworks, investor-facing positioning, and access to a global network of experienced operators, service providers, and capital allocators. By aligning treasury strategy, governance, communications, and capital markets insight, BFC equips companies to integrate Bitcoin with clarity, confidence, and long-term capital discipline. Visit BitcoinForCorporations.com for more information.

This article was originally published as Strategy (MSTR) Showcases Premier Summit for Institutional Bitcoin Adoption on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Binance expanded its emergency reserves again, adding 4,225 Bitcoin (CRYPTO: BTC) to its SAFU wallet, a move valued at roughly $300 million as the world’s largest crypto exchange doubles down on a Bitcoin-backed protection fund amid ongoing market pressure. The fresh purchase lifts SAFU’s Bitcoin holdings to more than $720 million at current prices, underscoring Binance’s willingness to bolster liquidity safeguards for users during a period of heightened volatility. The company had previously signaled a shift of up to $1 billion into Bitcoin and stated that the conversion would be completed within 30 days of its Jan. 30 announcement, with a rebalance back to the full $1 billion target if market swings pull the fund’s value below about $800 million.

The ongoing deployment into Bitcoin signals growing conviction in BTC as a cornerstone reserve asset for user protections, even as it binds the SAFU fund more closely to crypto price swings. Binance has emphasized that SAFU is designed to defend users in distressing conditions, yet the fund’s rising Bitcoin exposure also exposes it to downside risk if the market moves against it. The latest development was disclosed as part of Arkham’s on-chain data, which tracks wallet activity and asset inflows into SAFU’s treasury, including the 4,225 BTC addition noted above. The forward-looking goal remains to complete the BTC conversion within the 30-day window established by the January announcement.

Investors are watching Bitcoin’s price action closely. In recent sessions, the leading cryptocurrency slipped to $59,930, a level not seen since October 2024, according to TradingView data. That retreat comes amid broader market weakness and a risk-off mood among traders, who have been weighing whether a sustained rebound is in prospect or whether the correction still has legs. One market observer noted that sentiment around digital assets remains fragile, with traders clinging to historical cycles rather than relying on immediate catalysts.

Alongside the Bitcoin dynamics, industry intelligence providers have shown a tilt among the so-called smart money. Reports from Nansen indicate that traders managing significant liquidity positions tilted toward short exposure on Bitcoin and other top assets, accumulating a net short position of roughly $109 million across leading tokens. The same data set showed a notable contrast with Avalanche (CRYPTO: AVAX), which attracted a modest long bias, totaling about $7.38 million in cumulative long positions. Such positioning hints at a cautious, defensive posture among sophisticated traders even as some traders anticipate selective rebounds in select ecosystems.

Binance’s SAFU strategy traces back to its broader risk-management framework, which the exchange has repeatedly described as essential for maintaining user trust during drawdown periods. By continuing to accumulate BTC for SAFU, Binance is signaling a preference for Bitcoin-based reserves as a stabilizing buffer rather than relying solely on fiat or more traditional risk-hedge instruments. The approach aligns with the exchange’s updated risk posture as it navigates a market environment characterized by liquidity constraints, thin volume in certain segments, and a murkier regulatory backdrop that can influence how exchanges manage user protections and capital reserves.

Fragile sentiment weighs on markets

Binance’s ongoing SAFU conversion occurs against a backdrop of a broader crypto market correction, with Bitcoin’s price hovering near the $60,000 mark and sentiment described as fragile by industry observers. A chief concern cited by market participants is the lack of clear, near-term catalysts to sustain upside momentum, which can restrain upside moves and extend pullbacks. While the BTC reserve expansion may bolster confidence in risk controls, it also exposes SAFU to volatility—heightening the need for disciplined rebalancing rules if the market sours further.

Market participants eye how the SAFU fund’s size interacts with Bitcoin’s price trajectory and overall market liquidity. The balance between resilience for user protections and exposure to adverse moves will be a critical test for Binance’s risk framework in the months ahead, especially as macro conditions and on-chain activity continue to evolve.

Why it matters

The SAFU fund serves as a protective backstop intended to shield users during periods of stress. By increasing BTC holdings within SAFU, Binance demonstrates a commitment to anchoring a significant portion of its reserve assets in the most liquid, widely traded crypto asset. This approach can bolster perceived safety for users who rely on exchange-backed protections, particularly during episodes of market turbulence when liquidity and counterparty risk can become salient.

However, the strategy also concentrates a portion of SAFU’s value in Bitcoin’s price moves, potentially amplifying drawdowns if BTC undergoes further volatility. The decision to target a full $1 billion allocation within a 30-day window signals confidence in BTC’s long-run role as a reserve asset, but it requires ongoing discipline to manage risk when prices swing sharply. The narrative around SAFU’s expansion dovetails with broader industry discussions about the adequacy of exchange reserves, the role of on-chain data in verifying asset holdings, and how market participants assess the sufficiency of guarantees provided by centralized platforms.

From a market-structure perspective, the episode showcases the evolving playbook of major exchanges as they navigate a landscape of rising regulatory scrutiny, competing risk frameworks, and the fragility of short-term price trends. The interaction between on-chain activity, reserve management and investor sentiment highlights the complexity of safeguarding users while maintaining resilience in an environment characterized by rapid الأخبار changes in funding, liquidity, and risk appetite. While not a guarantee of future stability, the SAFU expansion represents a notable operational decision that could influence how other platforms think about crisis protection and capital adequacy in crypto markets.

What to watch next

Follow-up on SAFU’s BTC accumulation and the official timeline for completing the conversion within the 30-day window.

BTC price action around the $60,000 level and any shifts in risk sentiment as new data and catalysts emerge.

Updates from on-chain trackers (e.g., Arkham, Nansen) confirming reserve balances and smart-money positioning.

Any additional disclosures from Binance regarding rebalancing triggers if SAFU value moves toward or away from the $1 billion target.

Sources & verification

Binance X post confirming continued BTC acquisitions for SAFU and the 30-day conversion target.

Arkham on-chain data corroborating the 4,225 BTC transfer to SAFU.

Binance’s Jan. 30 announcement about shifting up to $1 billion into Bitcoin and the $800 million floor.

BTC price data around $59,930 from TradingView.

Hina Sattar Joshi’s assessment of market sentiment and fragility, cited in market commentary.

Nansen data showing smart-money positioning, including BTC net short exposure and AVAX long exposure.

Binance expands SAFU Bitcoin reserves as market pressure persists

Binance added 4,225 Bitcoin (CRYPTO: BTC) to its Secure Asset Fund for Users (SAFU) on Monday, increasing the safety net intended to protect client funds during downturns. The acquisition, valued at about $300 million in today’s prices, pushes SAFU’s Bitcoin reserve above the $720 million threshold, according to chain-analytics firm Arkham. The move forms part of a broader plan Binance outlined on Jan. 30 to convert up to $1 billion of user-protection assets into Bitcoin, with a 30-day target window for completing the conversion and a rebalancing clause if the fund dips below $800 million. The timing aligns with a period of renewed emphasis on reserve quality and risk-bearing capacity within the crypto exchange ecosystem.

As the market prices for Bitcoin experience volatility, Binance’s SAFU strategy illustrates a deliberate tilt toward BTC as a cornerstone reserve asset. While the fund’s BTC holdings are intended to provide a cushion for users in case of adverse conditions, the size of the reserves introduces a direct sensitivity to Bitcoin’s price movements. The Arkham data point that tracks SAFU’s evolution shows the latest inflow of 4,225 BTC, underscoring ongoing investor confidence in Bitcoin as a stabilizing component of the exchange’s emergency framework. Binance has reinforced that the conversion to BTC would be completed within 30 days of the original announcement, with a restoration path to the full $1 billion target should market volatility erode SAFU’s value below $800 million.

The immediate market response reflected in Bitcoin’s price action has been cautious. BTC retraced to around $59,930, a level not observed since October 2024, as traders reassess risk and evaluate whether macro catalysts will unlock further upside. This price backdrop has contributed to a broader sense of fragility in market sentiment, with commentators noting that traders are anchored to historical patterns rather than current catalysts. The lack of a clear near-term driver has left many investors skittish, leading to a broader risk-off stance that can weigh on asset prices and, by extension, on reserve-tracking metrics like SAFU.

Beyond BTC’s price trajectory, the activity within smart-money communities reflects a cautious tilt. Data from Nansen indicate that leveraged short positions have grown in aggregate, with traders maintaining a net short stance on Bitcoin totaling about $109 million across major assets, while Avalanche (CRYPTO: AVAX) drew a comparatively modest long exposure of $7.38 million. This divergence demonstrates that, even as some sophisticated traders seek downside protection in the current environment, others are selectively positioning for potential recoveries in particular ecosystems or tokens. The juxtaposition underscores the complexity of market dynamics in a period when reserve-building by major exchanges sits alongside a potential reallocation of capital in response to evolving risk sentiment.

At the core of Binance’s decision is a commitment to user protection that acknowledges both the benefits and risks of BTC-centered reserves. Bitcoin’s status as the most liquid cryptocurrency makes it an attractive anchor for safeguarding user funds; however, the greater the exposure to BTC price swings, the more carefully reserve managers must calibrate rebalancing rules and liquidity buffers. The SAFU program’s evolution—particularly the plan to converge toward the $1 billion target within a tight 30-day window—will be watched closely by regulators, investors, and competitors as a case study in reserve strategy and risk governance in a swiftly evolving market.

This article was originally published as Binance Adds $300M in Bitcoin to SAFU as Market Volatility Grows on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.