Crypto Breaking

New findings from TRM Labs indicate that Monero activity has remained resilient even as major exchanges pulled back on the privacy-focused token. The research shows that transaction usage in 2024 and 2025 stayed above pre-2022 levels, suggesting demand persisted despite delistings and increased compliance pressure. The Dubai International Financial Centre’s (DIFC) regulatory stance this year, which banned privacy coins on licensed platforms, underscored a widening regulatory arc around anonymity tools. Against this backdrop, the broader market has shown a complex mix of risk appetite and regulatory scrutiny as observers watch how privacy-oriented assets navigate liquidity and enforcement forces.

Key takeaways

TRM Labs reports persistent Monero activity in 2024–2025, with on-chain usage higher than pre-2022 benchmarks despite exchange constraints.

Major platforms like Binance and Kraken moved to delist or phase out Monero over compliance concerns, while Dubai’s DIFC tightened rules on privacy coins such as Monero and Zcash.

Bitcoin (CRYPTO: BTC) remains the dominant currency for real-world ransom payments, even though operators sometimes request Monero (CRYPTO: XMR) and offer discounts for it.

Darknet markets showed a notable shift in 2025, with 48% of newly launched markets reportedly supporting only Monero, a marked increase from previous years.

Monero’s Fluorine Fermi update (v0.18.4.3), released in October 2025, aims to bolster privacy and network security by refining peer selection and steering wallets toward safer nodes.

Researchers found that roughly 14–15% of Monero nodes exhibited timing and connectivity patterns that could reveal how transactions propagate, signaling network-level privacy considerations beyond on-chain cryptography.

Tickers mentioned: $BTC, $XMR, $ZEC

Market context: The privacy-coin narrative remains shaped by regulatory pushback and shifting liquidity. While on-chain privacy protocols continue to operate, platform-level delistings and country-level prohibitions are pressuring the ecosystem to adapt, even as users and operators push for greater operational privacy and alternative exchange pathways.

Why it matters

Monero’s continuing activity highlights a tension in crypto between cryptographic privacy and the realities of regulatory compliance. Even as exchanges reduce access to privacy coins, real-world demand persists among users who prize anonymity, financial sovereignty, and resilience against surveillance. The divergence between on-chain privacy guarantees and network-level visibility underlines a nuanced risk for users: even when a transaction is cryptographically shielded, the manner in which it travels through the network can still leak clues about origin and routing if nodes observe traffic patterns.

The October 2025 Fluorine Fermi upgrade signals ongoing development within the Monero ecosystem to mitigate such risks. By improving peer selection and steering wallets away from potentially compromised segments of the network, the update aims to reduce exposure to “spy nodes” that could correlate IP addresses with transaction activity. This move illustrates a proactive stance from developers to harden anonymity without compromising the protocol’s foundational cryptography.

Beyond technical improvements, the trend in darknet markets—where a growing share launched in 2025 with Monero-only support—highlights a continued demand for privacy-centric channels in illicit or quasi-illicit activity. While this fact fuels ongoing debates about the societal costs and benefits of privacy coins, it also underscores the pragmatic realities of how these tools are used in the wild. The broader policy implications are evolving as regulators balance enforcement with the need for legitimate use cases and user protections.

What to watch next

Follow any updates to the Fluorine Fermi roadmap and subsequent privacy-focused enhancements from the Monero project, including potential changes to node behavior and network-monitoring defenses.

Track regulatory developments in the Dubai DIFC and other jurisdictions, particularly any clarifications or expansions of rules governing privacy coins on licensed platforms.

Monitor darknet market dynamics for shifts in Monero-centric usage and the resilience of privacy-centric marketplaces amid enforcement pressures.

Look for independent research from analytics firms on network-layer privacy and transaction propagation to gauge evolving anonymity assumptions.

Sources & verification

TRM Labs research on Monero activity in 2024–2025, with insights into persistent usage and network-layer observations.

News coverage documenting delisting and phase-outs of Monero by major exchanges, including actions taken by Binance and Kraken.

Reports on Dubai’s DIFC ban on privacy coins such as Monero and Zcash (ZEC).

Monero’s Fluorine Fermi update (v0.18.4.3) released in October 2025, focusing on privacy and anti-spy-node measures.

Research noting that 48% of newly launched darknet markets in 2025 supported Monero-only usage.

Monero’s privacy and the evolving network landscape

Bitcoin (CRYPTO: BTC) continues to be the predominant on-ramp for ransom payments in the criminal-leaning segments of the ecosystem, even as operators occasionally request Monero (CRYPTO: XMR) and offer discounts for it. The usage data from 2024 and 2025, which stayed above pre-2022 levels, suggests that demand for privacy-preserving tools has not receded in the face of platform restrictions. Several exchanges that previously hosted Monero—such as Binance and Kraken—took steps to delist or phase out the coin, reflecting a tightening regulatory regime and a preference for compliance-driven asset lists. In parallel, Dubai’s DIFC moved to ban privacy coins on licensed platforms, reinforcing the cross-border complexity of privacy technologies’ compliance landscape. Zcash (CRYPTO: ZEC), another privacy-oriented coin, faced similar regulatory scrutiny in the same environment.

On the supply and usage side, the darknet ecosystem appears to be reinforcing the monetization of privacy tools. Data shows that nearly half of the darknet markets launched in 2025 supported only Monero, suggesting that privacy-centric rails remain attractive for dark market operators and participants despite broader enforcement actions elsewhere. This trend occurs even as the on-chain cryptography of Monero remains robust; observers warn that network-level observations—how transactions propagate across nodes—can still expose information about origin, timing, and routing paths. About 14%–15% of Monero nodes exhibited atypical timing and connectivity patterns, a signal that some participants may run numerous connected nodes to map propagation paths. While this does not imply a breach of Monero’s cryptography, it raises questions about how much anonymity can be preserved in practice when network visibility is visible to watchful observers.

The response from the Monero project has been to bolster defenses at the network level. The Fluorine Fermi release introduced a more selective peer-management approach, steering wallets away from suspicious nodes and toward safer parts of the network. This update is part of a broader effort to reduce the feasibility of linking transactions to IP addresses via node observation, an area that has grown more salient since reports of surveillance-capable nodes circulated in 2024. Taken together, the developments signal a pragmatic approach: maintain strong cryptographic privacy while acknowledging and addressing potential leaks at the network layer. The ongoing dialogue among researchers, practitioners, and policymakers will shape how privacy-focused assets like Monero navigate compliance, user protections, and market demand in the coming years.

This article was originally published as Monero Use Persists Despite Delistings as Darknet Markets Move to XMR on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

SBI Holdings, the Tokyo-listed financial group, is intensifying its crypto play by pursuing a controlling stake in Singapore-based Coinhako. Through its wholly owned subsidiary SBI Ventures Asset, SBI signed a nonbinding letter of intent with Holdbuild, Coinhako’s parent company, to inject capital and acquire shares from existing investors. If the deal moves forward, SBI would secure a majority stake and Coinhako would become a consolidated subsidiary, subject to regulatory approvals. Financial terms were not disclosed, and the investment structure remains under discussion. The proposal signals SBI’s broader ambition to build international digital-asset infrastructure beyond a single trading platform, including ventures in tokenized securities and stablecoins.

Chairman and CEO Yoshitaka Kitao framed the development as part of a larger strategy rather than a mere acquisition. He underscored Coinhako as a building block in SBI’s plan to create cross-border rails for digital assets, aligning with efforts to expand tokenized securities, settlement networks, and regulated stablecoins across Asia-Pacific. The Singapore base would offer a licensed footprint in one of the region’s most regulated crypto hubs, potentially smoothing the path for SBI’s foreign-market expansion.

Coinhako, founded in Singapore, operates a regional digital-asset trading platform and related services through Hako Technology, which is licensed by the Monetary Authority of Singapore as a Major Payment Institution. The group also runs Alpha Hako, a virtual asset service provider registered with the British Virgin Islands Financial Services Commission. The exchange’s trajectory has included SBI’s involvement in 2021 via the SBI-Sygnum-Azimut Digital Asset Opportunity Fund, a vehicle that signaled SBI’s willingness to co-invest with established crypto and traditional-finance partners.

Yusho Liu, Coinhako’s co-founder and CEO, framed the alliance as a pathway to scale institutional-grade systems. He emphasized that the partnership would address rising demand for tokenized assets and stablecoins while reinforcing Singapore’s role as a linchpin of the world’s next-generation financial system. The collaboration is seen as a catalyst for deeper liquidity, more robust custody tools, and scalable settlement workflows that could attract regulated participants seeking compliant, cross-border rails.

For SBI, the potential consolidation of Coinhako dovetails with a long-running strategy to broaden its blockchain footprint. The group has pursued tokenization initiatives, payment networks, and other crypto-related businesses for several years. In December 2025, SBI partnered with Startale Group to develop a fully regulated Japanese yen-denominated stablecoin aimed at tokenized asset markets and cross-border settlement, with issuance and redemption handled by Shinsei Trust & Banking and circulation supported by SBI VC Trade, SBI’s own crypto exchange. Earlier in 2025, SBI Group joined forces with Chainlink to build digital-asset tools for financial institutions in Japan and across the Asia-Pacific region. Taken together, these moves illustrate SBI’s intent to connect traditional finance with crypto-native capabilities—spanning custody, liquidity, and programmable settlement rails.

The announcement comes at a time when Singapore’s regulatory framework continues to attract and shape institutional crypto activity. By seeking a licensed base in Singapore, SBI would align with a jurisdiction that has sought to balance innovation with consumer protections and market integrity. The nonbinding nature of the LOI means terms could evolve, and the ultimate path to a definitive agreement will hinge on regulatory scrutiny and the willingness of both sides to align on governance, integration, and capital deployment. The Coinhako deal, if consummated, would place a notable cross-border asset under SBI’s umbrella, potentially accelerating the bank’s ability to service institutional clients seeking regulated access to tokenized assets and stablecoins in Asia’s evolving ecosystem.

Industry observers will watch closely how the transaction might influence Coinhako’s roadmap. A successful consolidation could enable deeper institutional onboarding, more rigorous risk-management protocols, and a broader product set that leverages SBI’s capital, technology, and network—potentially including enhanced liquidity provisioning, custody enhancements, and more formalized cross-border settlement rails. Yet the deal also poses questions about regulatory approvals, competition in Singapore’s exchange landscape, and how a larger SBI-backed entity would interact with local incumbents and market entrants. As with many cross-border crypto ventures, execution risk centers on navigating a complex regulatory matrix and aligning strategic priorities across jurisdictions.

Beyond Coinhako, SBI’s broader blockchain push signals a continuing appetite among major financial groups to blend traditional finance with crypto-native capabilities. The yen-stablecoin initiative with Startale, the Chainlink collaboration, and other partnerships indicate a deliberate roadmap toward tokenized markets, regulated stablecoins, and interoperable networks that can support tokenized securities, digital cash equivalents, and cross-border settlement. If the Coinhako talks crystallize into a binding deal, SBI could gain a foothold in Singapore’s regulated crypto infrastructure, potentially serving as a gateway for further collaborations, licenses, and product launches across the region. The coming months are likely to reveal whether these strategic threads converge into a cohesive, long-term platform strategy or remain a portfolio of exploratory projects that complement SBI’s core banking and payments businesses.

Key takeaways

SBI Holdings’ subsidiary SBI Ventures Asset signed a nonbinding letter of intent to inject capital into Coinhako and acquire shares from existing investors, potentially giving SBI a majority stake and making Coinhako a consolidated subsidiary pending approvals.

The terms of the arrangement were not disclosed, and the deal structure remains under discussion, subject to regulatory clearance.

Coinhako operates a MAS-licensed trading platform in Singapore, with additional services via Alpha Hako in the British Virgin Islands; the exchange has previously attracted SBI investment.

CEO Yusho Liu described the partnership as a path to scale institutional-grade systems to meet demand for tokenized assets and stablecoins, reinforcing Singapore’s role in the future financial system.

SBI’s broader blockchain initiatives—yen-stablecoin development with Startale and digital-asset tools with Chainlink—underscore the group’s aim to build cross-border, regulated rails for digital assets in Asia-Pacific.

Market context: The move reflects ongoing consolidation and institutionalization of crypto activities in regulated Asia markets, with Singapore acting as a focal point for cross-border infrastructure and compliant product suites. Regulatory approvals will shape the timeline and scope of any definitive agreement, while the broader market trend toward tokenized assets and stablecoins provides a backdrop for SBI’s expansion strategy.

Why it matters

The potential consolidation of Coinhako under SBI would extend SBI’s footprint beyond traditional financial services into a regulated, cross-border crypto platform. If completed, the transaction could accelerate Coinhako’s ability to scale institutional-grade operations, offering more robust custody, liquidity, and integration with SBI’s broader payments and tokenization programs. The arrangement also signals how large financial groups view regulated hubs like Singapore as launchpads for cross-border crypto activity, not just as regional trading venues but as gateways to tokenized markets across Asia-Pacific.

For Coinhako, the deal could bring additional capital, governance expertise, and access to a global network of financial partners, potentially speeding up product development and regulatory compliance improvements. For Singapore, the move reinforces the city-state’s standing as a regulated center for digital assets, encouraging more collaboration between traditional financial institutions and crypto-native platforms while maintaining stringent oversight to protect market integrity.

From a broader market perspective, SBI’s actions—coupled with its yen-stablecoin initiative and Chainlink collaboration—illustrate a trend among traditional financiers to build multi-faceted ecosystems that blend tokenized assets with regulated stablecoins and cross-border settlement workflows. This could influence how other regional players structure partnerships, custody solutions, and liquidity access as demand for regulated, scalable crypto infrastructure continues to rise.

What to watch next

Definitive agreement: Sign-off on a binding agreement and disclosure of terms, subject to regulatory approvals.

Regulatory review: MAS scrutiny and any conditions placed on a potential consolidation and cross-border activities.

Structural details: Governance, board representation, and integration plans for Coinhako within SBI’s corporate umbrella.

Product roadmap: Any announced additions to Coinhako’s platform, including tokenized assets or stablecoin-related services linked to SBI’s ecosystem.

Follow-up disclosures: Additional statements from SBI, Holdbuild, or Coinhako regarding timelines, milestones, or financing rounds.

Sources & verification

SBI Holdings announces a nonbinding LOI to acquire Coinhako via a press release (pdf): https://www.sbigroup.co.jp/english/news/pdf/2026/0213_a_en.pdf

Coinhako’s previous SBI investment described in a Cointelegraph article: https://cointelegraph.com/news/sbi-holdings-invests-in-singapore-crypto-exchange-coinhako

Startale and SBI yen-stablecoin collaboration mentioned in Cointelegraph: https://cointelegraph.com/news/japan-sbi-and-startale-plan-regulated-yen-stablecoin-in-2026-under-new-framework

SBI Group’s Chainlink partnership to build digital asset tools for APAC: https://cointelegraph.com/news/sbi-group-partners-chainlink-crypto-asia-finance-market

Background discussion on Asia-Middle East corridor and permissioned-scale approaches: https://cointelegraph.com/news/future-crypto-asia-middle-east-corridor-lies-in-permissioned-scale

SBI bid to anchor Coinhako: implications and next steps

This article was originally published as SBI Holdings Eyes Majority Stake in Singapore-based Coinhako on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

A cross-border snapshot from BVNK and YouGov shows stablecoins moving from niche crypto wallets into mainstream payroll and everyday spend. The online survey, conducted in September and October 2025 among 4,658 adults who currently hold or plan to acquire cryptocurrency across 15 countries, reveals a broad willingness to use dollar- and euro-pegged coins for earnings, remittances, and purchases. Key findings include that 39% already receive income in stablecoins, 27% use them for daily payments, and average holdings sit around $200 globally, rising to roughly $1,000 in higher-income economies. The data also suggests strong demand for wallet access via banks or fintechs and for linked debit card usage.

Key takeaways

39% of survey respondents report earning income in stablecoins, with 27% using stablecoins for everyday transactions, highlighting a shift from speculative trading to functional payroll utilities.

Respondents hold an average of about $200 in stablecoins worldwide, while holdings in high-income economies average near $1,000, indicating material savings potential for more affluent users.

77% would consider opening a stablecoin wallet with their primary bank or fintech provider, and 71% express interest in a linked debit card to spend stablecoins, signaling traditional financial institutions’ potential pivotal role.

People receiving stablecoin income report that stablecoins constitute roughly 35% of their annual earnings on average; cross-border transfers with stablecoins save about 40% in fees compared with traditional remittance methods.

Ownership is highest in lower- and middle-income economies, with Africa showing the strongest uptake at 79%, underscoring a regional tilt toward cost-effective digital payments.

Market context: The findings arrive during a wave of regulatory attention and enterprise adoption around stablecoins. In the United States, the GENIUS Act is shaping the policy debate on stablecoins and embedded finance, while Europe’s Markets in Crypto-Assets Regulation (MiCA) is catalyzing compliance-driven use cases for wages and cross-border settlements. Meanwhile, the stablecoin market has surged to roughly $307.8 billion in total value, up from around $260.4 billion in mid-2024, underscoring growing scale and willingness to use digital currencies for non-speculative purposes.

A BVNK spokesperson emphasized that the study was designed to illuminate usage patterns among current and prospective crypto users rather than measure broad population adoption. The respondents tend to diversify across multiple dollar- and euro-pegged stablecoins rather than relying on a single issuer, suggesting a preference for multi-token liquidity management. When it comes to where to manage these assets, exchanges are favored by 46% of respondents, followed by crypto-enabled payment apps (like PayPal or Venmo) at 40% and mobile wallet apps at 39%. Only a minority—13%—prefer hardware wallets for custody.

BVNK, a London-headquartered company founded in 2021, built its business around stablecoin-enabled payments infrastructure for enterprises. In June, it partnered with San Francisco-based Highnote to introduce stablecoin-based funding for embedded-finance card programs, signaling a broader push to integrate digital assets into everyday financial services. The collaboration aims to streamline funding flows for card programs that rely on stablecoins as a settlement medium, reducing friction for merchants and employers alike.

An ecosystem narrative is emerging around payroll and cross-border payments. In the United States, the GENIUS Act has accelerated discussions about how payrolls can be paid with digital assets within a regulated framework, while Europe’s MiCA framework pushes providers toward transparent disclosures and robust consumer protections. The combination of regulatory clarity and corporate experimentation is accelerating the adoption of stablecoins in payroll workflows and cross-border settlements, as businesses seek faster settlement cycles and lower costs. The underlying stability of pegged coins makes them more reliable for wage payouts and reimbursements than traditional crypto assets with heightened volatility.

Beyond payroll, the market is advancing toward regulated, enterprise-grade integrations. For instance, Deel announced on Feb. 11 that it would begin offering stablecoin salary payouts through a collaboration with MoonPay, starting with workers in the United Kingdom and European Union and later expanding to the United States. Under the arrangement, employees can opt to receive part or all of their wages in stablecoins to non-custodial wallets, with MoonPay handling conversion and on-chain settlement while Deel continues to manage payroll and compliance. MoonPay has been positioned as the on-ramp for gateway conversions in this setup.

On the enterprise side, the pace of consolidation continues. Paystand recently acquired Bitwage, a platform focused on cross-border stablecoin payouts, a move that broadens Paystand’s B2B payments network for digital-asset settlements and foreign exchange capabilities. Paystand notes that its network has already processed more than $20 billion in payment volume, reflecting growing demand from businesses for stablecoin-enabled settlement and liquidity management. The deal signals that corporate back offices are increasingly viewing stablecoins as a legitimate, scalable settlement layer rather than a speculative vehicle.

While the strict price stability of stablecoins—tied 1:1 to fiat currencies such as the U.S. dollar or euro—addresses volatility concerns for payments, the research also hints at ongoing diversification. Respondents indicated a tendency to hold multiple stablecoins rather than relying on a single issuer, a pattern that could complicate compliance and liquidity management for institutions that serve as on/off ramps for ordinary users. DefiLlama’s data reinforces the point: the stablecoin sector has grown rapidly to hundreds of billions in market capitalization, underscoring that stablecoins are no longer peripheral to crypto markets but are becoming central to payment rails and cross-border transfer ecosystems.

As this secular shift unfolds, questions remain about the pace of mainstream adoption and the regulatory guardrails that will shape long-term viability. The GENIUS Act and MiCA are not just about consumer protection; they are about enabling compliant, bankable use cases for digital assets in payroll, benefits, and enterprise settlement. The rise of payroll-focused stablecoins, in particular, could help workers in regions with limited banking access and high remittance costs participate more fully in the digital economy, while offering employers a more cost-efficient and auditable method of payroll settlement.

What to watch next

Regulatory developments around the GENIUS Act and the US approach to stablecoins as payroll instruments (timeline updates and potential amendments).

Progress of Europe’s MiCA implementation and how financial institutions integrate stablecoin-based payroll and cross-border payments within the regime.

Deel’s rollout of stablecoin payroll in the UK/EU and subsequent US rollout timelines, along with adoption metrics and employee uptake.

Paystand’s continued integration of Bitwage and the broader adoption of enterprise-grade stablecoin settlement across global B2B networks.

Regional variations in stablecoin ownership, particularly in Africa and other emerging markets, and how these dynamics influence merchant acceptance and wallet adoption.

Sources & verification

BVNK-YouGov survey methodology: online fielded in September–October 2025 across 15 countries with 4,658 respondents who currently hold or plan to acquire cryptocurrency.

Survey findings on income in stablecoins, everyday use, and average holdings, including the 39%/27% figures and the $200 global average (rising to ~$1,000 in high-income economies).

Banking/fintech adoption metrics: 77% would open a stablecoin wallet with their primary bank or fintech provider; 71% interested in a linked debit card.

Enterprise movements: Deel’s stablecoin payroll pilots with MoonPay; Paystand’s acquisition of Bitwage and its impact on cross-border settlements.

Regulatory context and market size: GENIUS Act references and MiCA, along with DefiLlama’s stablecoin market capitalization data.

Stablecoins move from wallets to payroll: how a global survey maps the shift

The report’s narrative centers on a pragmatic shift in how people interact with digital assets. Stablecoins are increasingly viewed not as a speculative instrument but as a practical tool for earning, paying, and moving money across borders. In the 4,658-person sample, a substantial portion already earns in stablecoins, and a growing share uses them for routine payments. The implication for merchants is equally striking: more than half of crypto holders have made purchases specifically because a merchant accepts stablecoins, and the propensity to spend stablecoins rises to 60% in emerging markets. This suggests a feedback loop where consumer demand for stablecoin-enabled checkout can spur broader merchant adoption and, in turn, drive demand for compliant, scalable on-ramps and off-ramps.

From a banking and fintech perspective, the data hints at a possible reorientation of product design. If 77% of respondents would consider opening a stablecoin wallet with a bank or fintech and 71% want a linked debit card, incumbents may respond with regulated wallets, insured custodianship, and seamless settlement rails that reduce friction for wages and cross-border payroll. The fact that a meaningful share of earnings already comes in stablecoins points to a future where payroll providers, payroll tech platforms, and banks co-create wage ecosystems that can operate inside regulatory constraints while offering on-chain settlement where appropriate. The partnership of BVNK with Highnote to embed stablecoin funding into card programs signals how the industry is pursuing this convergence, aligning corporate cards with stablecoin liquidity as a basic building block of embedded finance.

Beyond payroll, the story touches on regulatory readiness. The GENIUS Act and MiCA collectively push the market toward standardized disclosures, consumer protections, and clear tax and accounting treatments for stablecoins used in wages and cross-border payments. In this environment, the operational and technological investments—such as Deel’s stablecoin payroll via MoonPay and Paystand’s acquisition of Bitwage—reflect a broader trend of enterprises rethinking how digital assets can underpin scalable, compliant financial operations. The data also underscores a geographic dimension: ownership and usage skew higher in Africa and other lower- and middle-income economies, suggesting that stablecoins could play a critical role in expanding financial access where traditional rails are costly or fragile.

As the market grows, so does the importance of robust, verifiable data. The DefiLlama figure placing the stablecoin market around $307.8 billion reinforces that stablecoins have transcended their early-stage, speculative perception. They are increasingly intertwined with the actual plumbing of payments—settlement, remittance, and payroll—where speed, cost, and regulatory compliance are essential. While the path to full mainstream adoption remains uneven across regions and assets, the convergence of consumer demand, enterprise infrastructure, and regulatory clarity paints a credible trajectory for stablecoins to become an integral part of everyday financial life. For stakeholders—whether individuals earning in the digital currency economy, merchants seeking lower-payment friction, or institutions building the next generation of compliant digital finance—this survey provides a map of where trust, convenience, and policy align to unlock real-world value.

This article was originally published as Stablecoins Gain Ground for Paychecks and Daily Spending, BVNK Report on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Kraken has joined a growing roster of crypto firms aligning with a White House-backed savings concept for American children, signaling how policy-friendly states can shape industry participation. The exchange is the latest to back the Trump Accounts program for children under 18, a pilot initiative that pairs public seed funding with private sector engagement. The move was publicly framed by Wyoming lawmakers as part of the state’s broader effort to cultivate a crypto-friendly climate from its governance to its regulatory environment. Kraken’s leadership said the decision reflects a broader philosophy: that early financial opportunity should be accessible and affordable, a sentiment echoed by Wyoming officials who tout a regulatory framework they deem thoughtful and responsible.

Key takeaways

Wyoming Senator Cynthia Lummis publicly announced Kraken’s commitment to fund Trump Accounts created for newborns in Wyoming, highlighting the state’s role in the program.

Kraken’s co-CEO Dave Ripley pointed to Wyoming’s “thoughtful, responsible crypto policy” as a key reason for establishing the firm’s global headquarters there.

The Wyoming government’s support is linked to Kraken becoming the US’s first Special Purpose Depository Institution (SPDI) and its involvement with Frontier Stable Token.

Trump Accounts represent a new type of retirement vehicle for minors, with a federal pilot seed of $1,000 per eligible newborn born between 2025 and 2028.

Traditional banks such as JPMorgan, Bank of America, and Wells Fargo have publicly supported the Trump Accounts program, reflecting broad financial-system engagement beyond crypto-native firms.

Sentiment: Neutral

Market context: The development sits at the intersection of evolving crypto policy, state-level regulatory experimentation, and a broader push from traditional financial institutions to participate in innovative savings tools tied to the digital asset ecosystem. The Trump Accounts program, paired with Wyoming’s SPDI designation and Frontier Stable Token efforts, underscores how policy and geography can influence where crypto-related financial products take root.

Why it matters

The disclosure underscores Wyoming’s continuing appeal as a hub for crypto business. By positioning Kraken’s headquarters in a state that touts a long-running stance toward cryptocurrency policy, the firm signals that regulatory predictability is a meaningful competitive advantage in an industry prone to policy shifts. The combination of SPDI status and Frontier Stable Token development frames Wyoming as more than a duty-bound regulatory sandbox; it’s a launchpad for projects seeking stable, regulated rails for crypto-based savings and custody solutions.

From a consumer perspective, the Trump Accounts program could broaden access to long-term savings for families. If the federal seeds of $1,000 per newborn are distributed through a controlled, retirement-style vehicle, early access and compounding effects could have tangible effects on education and financial security for the next generation. However, the exact scope and funding mechanics of Kraken’s pledges—and how they will be allocated across eligible newborns—remain to be disclosed, leaving room for questions about total funding and administrative overhead.

Beyond crypto-native players, the involvement of major banks in supporting Trump Accounts suggests a broader commitment to integrating innovative savings vehicles into the mainstream financial system. The collaboration between public programs and private institutions could help normalize crypto-adjacent products in everyday financial planning, while also drawing scrutiny over governance, disclosure, and consumer protections. For observers, the evolving narrative raises questions about how such programs will balance public incentives with private sector risk, especially in markets that remain volatile and highly regulated.

The broader ecosystem has already seen crypto-adjacent firms extending benefits back to their home markets. In a related thread, Polymarket opened a free grocery store in New York City and pledged to donate millions of meals across the five boroughs, demonstrating a philanthropic approach to public-facing crypto initiatives. The move followed Kalshi’s fruitfully timed outreach, including a $50 grocery giveaway to residents in Manhattan, illustrating how prediction markets and related platforms are leveraging on-the-ground community support to build familiarity with their products.

Kraken’s blog post emphasizes the state’s role in enabling Silicon Valley–style innovation at a regional scale, with the Frontier Stable Token mentioned as a case study in Wyoming’s effort to expand stable, on-chain financial offerings. The combination of SPDI capabilities and state-backed support signals a model where government policy can align with corporate investment to create a more accessible crypto-enabled financial future, at least for a segment of the population.

As the sector weighs these developments, observers will be watching how the Trump Accounts pilot unfolds in practice, including how much funding is ultimately allocated by Kraken and other participants, how custodial arrangements are handled, and what guardrails are put in place to protect minors’ savings. The stakes extend beyond Wyoming’s borders: the outcome could influence how other states approach crypto policy, how Wall Street and fintechs collaborate on new savings vehicles, and how regulators assess the balance between innovation and consumer protection in youth-focused financial instruments.

Moreover, the narrative around corporate giving is evolving alongside regulatory signaling. The Trump Accounts initiative, backed by high-profile financial names, frames a broader movement where the private sector collaborates with federal and state programs to seed opportunities for younger generations. In this environment, Wyoming’s policy environment and Kraken’s leadership may serve as a proving ground for what a coordinated public-private approach to crypto savings can look like in the United States.

What to watch next

Disclosure of Kraken’s per-child funding commitments and total pledged amount for Trump Accounts in Wyoming.

Clarification of how Trump Accounts will be seeded by the federal program (Jan 1, 2025 to Dec 31, 2028 window) and the mechanics of ongoing contributions.

Progress updates on Frontier Stable Token, including regulatory milestones and adoption by Wyoming residents or institutions.

Additional corporate participants revealing commitments to Trump Accounts or similar state-led crypto savings initiatives.

Regulatory developments in Wyoming and other states that could influence SPDI operations, crypto custody, and youth-focused financial products.

Sources & verification

Kraken blog post Sponsoring Wyoming Trump Accounts detailing SPDI status and Frontier Stable Token context.

Senator Cynthia Lummis X status announcing Kraken’s funding for newborn Trump Accounts in Wyoming.

Dave Ripley’s X status confirming Kraken’s Wyoming HQ rationale and policy stance.

Polymarket X status announces a free grocery store in New York City and a plan to donate 3 million meals across the five boroughs.

Kraken backs Trump Accounts in Wyoming as state-friendly policy draws crypto firms

Kraken has become the latest crypto company to align with a Trump administration initiative aimed at expanding savings opportunities for American children. The exchange joined a growing list of supporters after Wyoming’s senator Cynthia Lummis first flagged the development, stating that Kraken would fund all Trump Accounts created for Wyoming newborns as part of the pilot program. The public note from Lummis highlighted the state’s commitment to fostering a robust, future-oriented financial landscape for the next generation.

Kraken’s leadership framed the move within a broader strategic preference for Wyoming, emphasizing the state’s regulatory climate as the primary driver behind establishing the firm’s global headquarters there. Co-CEO Dave Ripley underscored that Wyoming’s policies are deliberate and responsible, aligning the company’s long-term ambitions with a governance framework designed to support innovation while protecting consumers. “We picked Wyoming as our global HQ because it leads with thoughtful, responsible crypto policy. We want to keep investing back in the community we call home. Starting early matters, and innovation should make long-term financial opportunity more accessible and affordable,” Ripley said in a post attributed to him on X.

Kraken’s published remarks also drew attention to the state’s role in enabling institutional frameworks such as the Special Purpose Depository Institution (SPDI) charter and the Frontier Stable Token. In a separate blog post, the exchange credited Wyoming officials with enabling its SPDI status and praised the state for helping advance frontier initiatives that blend traditional financial rails with digital assets. This alignment with SPDI and Frontier Stable Token signals a broader strategy to anchor crypto services in a jurisdiction perceived as stable and policy-forward.

Under the Trump Accounts framework, these vehicles are a novel form of retirement account designed for minors, financed in part by a federal seed of $1,000 for each child born between January 1, 2025, and December 31, 2028. The idea seeks to pair public funding with private-sector participation to create a foundation for long-term, tax-advantaged savings. While Kraken did not disclose the amount it intends to contribute per eligible newborn, the company confirmed its commitment to participate and noted that discussions with policymakers and state authorities are ongoing.

The broader financial ecosystem has shown varied enthusiasm for Trump Accounts. Prominent banks, including JPMorgan Chase, Bank of America, and Wells Fargo, have publicly supported the initiative to a degree, signaling a warming relationship between traditional finance and crypto-enabled savings products. The convergence of these players around a program meant to seed children’s savings illustrates a cross-industry willingness to experiment with governance structures, while raising questions about oversight, transparency, and the long-term performance of such accounts.

Beyond Kraken’s pledge, the broader crypto philanthropy wave has gained visibility in other corners of the market. Polymarket, a blockchain-powered prediction market, opened a temporary free grocery store in New York City, pledging to donate millions of meals across the five boroughs. The restaurant-like store operated for a few days before a coordinated food-donation event on a subsequent Monday, inviting residents to contribute to redistribution efforts. The move, paired with Kalshi’s $50 grocery giveaways to residents in Manhattan, underscores the industry’s willingness to blend community outreach with product education—a strategy aimed at normalizing crypto-enabled services in everyday life.

As Wyoming stands at the center of these developments, Kraken’s public involvement offers a concrete signal to the market: policy clarity, coupled with corporate participation, can accelerate the adoption of crypto-enabled savings tools. The SPDI framework and Frontier Stable Token provide a tangible context for how a state can serve as a testing ground for crypto custody, stability mechanisms, and youth-focused financial products. Investors and participants will be watching not only for the pledged funding totals but for how these initiatives translate into accessible financial opportunities for families across the region and beyond.

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

This article was originally published as Kraken backs Trump accounts in Wyoming over crypto alignment on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Ether began the week trading beneath the psychological $2,000 level, extending February losses to roughly a fifth of the month’s value. Yet on-chain indicators point to a strengthening undercurrent: long-term holders continue to accumulate, while network activity trends higher. With price pressure easing, analysts are assessing whether ETH’s technical footprint and the shape of derivatives data can align with a renewed demand narrative that could sustain a rally above the $2,000 mark.

Key takeaways

Accumulation addresses added more than 2.5 million ETH in February, lifting total holdings to 26.7 million ETH for 2026.

Ethereum’s weekly transaction count climbed to 17.3 million, while median fees slipped to $0.008, a difference of several thousand-fold from peaks in 2021.

Approximately 30% of circulating ETH is staked, shrinking the liquid supply and potentially supporting prices over time.

Open interest dipped to about $11.2 billion from a late‑2025 peak, yet leverage remains elevated, signaling sustained risk-taking in the derivatives market.

Derivatives and liquidity analytics point to stacked short-liquidation zones above $2,200 and a relatively large concentration near $1,909, underscoring the potential for a liquidity-driven move if a breakout occurs.

Tickers mentioned: $ETH

Market context: The combination of rising on-chain activity and persistent leverage suggests traders are positioning for larger moves even as spot liquidity remains cautious. A break above key levels could hinge on continued accumulation signals and the evolution of open interest across major futures markets.

Why it matters

From a network fundamentals perspective, the Ethernet ecosystem is showing a paradox: price weakness coexists with strengthening usage and capital inflows. Ether (CRYPTO: ETH) as a modular asset remains central to longer-term narrative themes — digital assets that host decentralized applications, staking, and layer-2 activity — even as macro uncertainty and rate expectations shape near-term price action. The latest on-chain data implies that the supply outlook has shifted decisively through staking and active addresses, which can influence price dynamics after problematic months for risk assets overall.

On the supply side, the blockchain’s staking dynamic reduces the amount of ETH readily available for trading. CryptoQuant data indicate that a substantial portion of circulating ETH is currently staked, which tightens the floating supply and could amplify price sensitivity to demand shifts. This trend dovetails with a broad interest in ETH as a proxy for continued growth in decentralized finance and layer-2 scaling, where throughput, efficiency, and transaction costs are under scrutiny by developers and capital allocators alike.

In terms of user activity, the February surge in accumulation activity reflects a deliberate stance by long-hold participants to increase exposure in anticipation of future price catalysts. While price remains under the $2,000 ceiling, the balance of on-chain metrics — including rising transaction volumes and a growing share of ETH held by non-exchange addresses — paints a portrait of a market that is slowly recalibrating risk premia rather than capitulating to selling pressure. This dynamic matters for market participants who rely on a combination of price action and fundamental signals to gauge the sustainability of any new leg higher.

From a trading-ecosystem lens, the four-hour chart interpretation has attracted attention: the Adam and Eve bottom pattern, commonly cited as a bullish reversal framework, suggests an initial sharp decline followed by a broad base forming at lower prices. If Ether can clear the neckline around $2,150, traders anticipate a measured move that could carry prices toward the $2,473–$2,634 range, with the caveat that invalidation would come from ongoing weakness below recent swing lows near $1,909. Open interest trends and leverage levels reinforce the need for careful risk management, as a high degree of speculative activity can magnify abrupt moves if momentum shifts.

The risk-reward dynamics are further colored by liquidity maps that highlight where stress could materialize. Data-driven views show sizable short liquidation clusters above $2,200, totaling more than $2 billion in potential pressure, while long liquidations cluster around $1,800, approaching a potential liquidity magnet around that price. In such conditions, traders monitor not just price levels but the distribution of leverage across key tiers, as a squeeze in one region can accelerate a move in another. The current mix of elevated leverage with a broad base of accumulation signals implies that a decisive move could be fast, but the direction will depend on macro tone and fresh demand cues rather than pure technical momentum alone.

What to watch next

Watch for a convincing breakout above the $2,150 neckline on ETH’s four-hour chart, which would validate the Adam and Eve bottom pattern and open a path toward the upper target zone.

Monitor open interest changes, as renewed accumulation in derivatives markets could accompany a fresh price leg higher or, alternatively, a rapid unwinding if liquidity conditions deteriorate.

Track liquidity hotspots around $1,909 to assess whether this level acts as a temporary magnet that sustains a bounce or a new basing point for higher prices.

Observe shifts in the proportion of ETH staked versus liquid supply, since sustained staking inflows can influence price sensitivity to demand surges.

Keep an eye on long/short liquidation dynamics in the $2,200–$2,400 region, which could serve as a pressure valve or accelerant depending on the prevailing market sentiment.

Sources & verification

CryptoQuant dashboards tracking accumulation addresses and total ETH staked

Hyblock data indicating the share of global ETH accounts currently long

CoinGlass liquidation heatmaps showing clusters of long and short liquidations

TradingView ETH/USDT chart illustrating the four-hour pattern and neckline levels

Ether price action and on-chain signals in focus

Ether (CRYPTO: ETH) is navigating a delicate balance between price weakness and on-chain strength. The February acceleration of accumulation addresses, with the total rising to 26.7 million ETH, points to a durable base of holders adding exposure even as spot prices traded below $2,000. The circulating supply, of which more than 30% is staked, underscores a structural shift in supply dynamics that could temper abrupt selling pressure during muscular market moves. Meanwhile, daily and weekly activity levels — ETH’s weekly transaction count cresting at 17.3 million — indicate persistent activity, even as average fees compress to a fraction of earlier cycles. This combination of rising on-chain demand and a tightening liquid supply sets the stage for a potential rebound should macro catalysts align with technical breakouts.

From a risk-management perspective, the derivatives market remains a critical barometer. Open interest has contracted from its previous cycle peak, echoing a shift in risk appetite, yet leverage metrics hold at elevated levels. The implication for traders is straightforward: while a break above key resistance could unleash a rapid move higher, a downturn could trigger rapid liquidations given the clustering around pivotal price points like $1,909 and $2,200. The balance of signals — a rising active address base, meaningful staking, and a finite liquidity pool — suggests that further price discovery is likely to be data-driven, with on-chain metrics offering a more durable cross-check for price action than short-term sentiment alone.

This article was originally published as ETH Chart Pattern Signals Rally to $2.5K If Key Conditions Align on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

The head of Germany’s central bank signaled a deliberate shift in Europe’s approach to digital money, endorsing euro-denominated instruments as a path to greater autonomy in payments. Joachim Nagel, president of the Deutsche Bundesbank, used remarks at the New Year’s Reception of the American Chamber of Commerce in Frankfurt to outline support for both a euro-denominated central bank digital currency (CBDC) and euro-stablecoins for everyday transactions. He noted that EU officials are actively pursuing a retail CBDC and argued that stablecoins pegged to the euro could help Europe “become more independent in terms of payment systems and solutions.” The comments underscore a broader, ongoing debate about how Europe should compete with dollar-based rails in a rapidly evolving digital money landscape.

Key takeaways

Europe is actively weighing a retail CBDC alongside euro-denominated stablecoins as tools to improve payment efficiency and sovereignty.

European officials view euro-stablecoins as a potential means to reduce cross-border settlement costs for businesses and individuals.

The discussion sits against the backdrop of a US framework for payment stablecoins, with the GENIUS Act cited as a benchmark for regulatory direction.

Nagel warned that European monetary policy could be impaired if USD-denominated stablecoins grow too large a share of the market.

In parallel, a wholesale CBDC could enable programmable payments in central bank money, signaling a possible shift in how banks settle transactions.

Market context: The dialogue arrives as Washington accelerates work on a broader regulatory framework for digital assets, including stablecoins, with White House discussions and Senate consideration surrounding the CLARITY Act. The GENIUS Act, referenced in policy discussions, would shape how payment-focused stablecoins are governed in the United States, potentially influencing cross-border competition and global liquidity channels.

Why it matters

At the core of Nagel’s remarks is a recognition that Europe cannot rely solely on US-dominated payment rails if it wants to preserve sovereignty over its monetary infrastructure. The Bundesbank chief’s emphasis on euro-denominated stablecoins points to a belief that European coins could complement, rather than replace, traditional fiat money by enabling near-instant cross-border transactions at a lower cost. In practical terms, euro-stablecoins could streamline settlement for trade, remittances, and business-to-business payments across the single market and beyond, potentially reducing frictions tied to currency conversion and correspondent banking networks.

Yet the path forward is not without risk. Nagel highlighted that a wholesale CBDC could unlock programmable payments in central bank money, a feature that could transform how financial institutions manage liquidity, settlement risk, and monetary policy transmission. Still, he warned that if USD-denominated stablecoins were to gain outsized market share, European monetary sovereignty could be compromised. Those tensions mirror broader global debates about who controls the rails for a digital, borderless payments landscape and how to balance innovation with financial stability.

The remarks come amid broader regulatory activity in the United States. Lawmakers and White House officials have been meeting with banking and crypto industry representatives ahead of potential votes on legislation such as the CLARITY Act, which seeks to establish a comprehensive framework for digital assets. The GENIUS Act, referenced in various policy discussions, would establish a structured approach to stablecoins and their use in everyday payments. The legislative process is ongoing, with timelines cited for implementation once enacted or once related regulations are finalized. These developments signal a convergence of policy considerations in the United States and Europe as both blocs weigh how best to foster innovation while protecting financial stability.

Against this regulatory backdrop, European institutions have continued to explore practical pilots and market offerings that could align with a euro-centric digital money strategy. The intersection of central bank digital currency planning and private sector stablecoins could yield a spectrum of options for users—from instant, low-cost cross-border transfers to programmable payments anchored in central bank money. The evolution of these ideas will likely depend on how policymakers assess risk, privacy, interoperability, and compatibility with existing monetary policy frameworks.

What to watch next

Progress on the European Central Bank’s retail CBDC framework and any concrete milestones for a euro-denominated digital currency in 2024–2025.

Regulatory developments in the United States around the GENIUS Act and the CLARITY Act, including any votes or regulatory proposals that could shape cross-border stablecoin flows.

Policy debates within the Eurogroup and European Parliament on how euro-stablecoins should be treated for consumer protection, taxation, and financial stability.

Implementation timelines for the US framework and how retail and wholesale digital assets might interact with euro-denominated instruments in a global settlement landscape.

Industry actions, including testing and deployment of euro-stablecoins in cross-border corridors and any notable pilot programs among European banks and fintechs.

Sources & verification

Bundesbank speech: “priorities and challenges for Europe in a changing world,” link to the official Bundesbank page detailing Nagel’s prepared remarks.

GENIUS Act context: coverage of the bill’s status and its implications for stablecoins and payment systems in the United States.

White House discussions on stablecoin yields and regulatory approaches as referenced in public reporting on CLARITY Act proceedings.

ING Germany’s crypto ETP/ETN offerings in the market and related commentary on how financial institutions are adapting to crypto products.

Sources & verification

Bundesbank speech – Nagel’s remarks on digital money and euro-denominated instruments.

GENIUS Act – policy framework referenced in the US context for stablecoins.

White House meetings on stablecoin yields – policy discussions ahead of potential CLARITY Act votes.

ING Germany crypto ETP/ETN – industry adoption and product offerings related to crypto assets.

Euro-denominated stablecoins and a European CBDC: implications for payments

Europe is rapidly outlining a digital money strategy that blends central bank-issued digital currencies with privately issued, euro-pegged stablecoins. Nagel’s remarks reflect a strategic shift: rather than purely adapting existing fiat rails, Europe appears to be exploring digital instruments designed to operate alongside traditional money while offering new capabilities for payments and settlement. The emphasis on euro-denominated stablecoins as a vehicle for cross-border transactions aligns with a broader push to reduce frictions in regional commerce and to avoid overreliance on dollar-based settlement networks. By framing these instruments as potential levers for European sovereignty, Nagel signals that digital money policy is moving from abstract theory to concrete policy design and market testing.

The discussion also underscores the complexity of implementing these tools in a way that preserves financial stability and consumer protections. A wholesale CBDC, with its programmable-money feature set, could enable central banks to automate and tailor payments at scale. Yet such capabilities raise questions about privacy, data governance, and the potential impact on bank balance sheets as settlement rails evolve. While euro-stablecoins could offer efficiency gains for cross-border flows and domestic payments, policymakers will need to weigh currency sovereignty against integration with global markets, ensuring interoperability with existing payment ecosystems and compliance with anti-money-laundering standards.

On the policy front, the United States is actively shaping its own framework for digital assets, and lawmakers have signaled a willingness to adopt a comprehensive regime. The GENIUS Act and related measures aim to provide a clear regulatory pathway, while ongoing White House discussions with financial institutions and crypto firms illustrate the complexity of balancing innovation with risk controls. The timing of these regulatory moves is critical, given the speed at which digital payment technologies are evolving and the possibility that stablecoins could become a dominant cross-border supplier of liquidity if left unregulated or underregulated. In Europe, the path forward will be shaped by the European Central Bank’s decisions, national implementations, and the region’s ability to coordinate with international standards to ensure compatibility and resilience across the payment ecosystem.

Ultimately, Nagel’s comments framing euro-denominated tools as a means to strengthen European autonomy in payments reflect a broader trend: governments are increasingly looking to digital money not merely as a fintech curiosity but as a strategic pillar of monetary sovereignty, financial stability, and competitive positioning in a rapidly digitizing global economy.

This article was originally published as Germany’s central bank president touts stablecoins, CBDCs for EU on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

A surge in AI data-center activity has rekindled a long-running energy debate, pitting grid operators and policymakers against critics who warn that massive computing operations threaten power reliability and push up electricity costs in parts of the United States. In this backdrop, a February 2026 research note from Paradigm reframes Bitcoin mining within electricity markets, arguing that it behaves as a flexible demand source rather than a static drain on energy resources. The note, which surveys grid conditions and market signals, estimates Bitcoin’s current share of global energy use at about 0.23% and its global carbon emissions at roughly 0.08%. It emphasizes that the network’s issuance schedule and periodic reward reductions inherently cap long-run energy growth, shaping how miners respond to price signals and competing generators. The analysis by Paradigm’s Justin Slaughter and Veronica Irwin, anchored by a public discussion of energy modeling assumptions, invites a more nuanced view of mining’s role in modern electricity systems, beyond broad environmental comparisons.

Key takeaways

Paradigm argues that Bitcoin mining is best viewed as flexible grid demand, adjusting consumption in response to real-time electricity prices and grid stress rather than remaining a fixed, unresponsive load.

The note quantifies mining’s slice of the energy pie—about 0.23% of global energy use and roughly 0.08% of global carbon emissions—while noting the long-run growth is economically constrained by the fixed issuance schedule and periodic halving of rewards.

Critiques of mining energy use that rely on per-transaction measurements are highlighted as misleading, since energy consumption is tied to network security and miner competition, not transaction volume alone.

With increasing AI data-center deployments, several miners are partially pivoting to AI workloads to capture higher margins, reshaping the industry’s profile and demand patterns for power.

The policy implication is a shift from alarmist energy comparisons to evaluating mining within the broader electricity market—raising questions about how regulators should model and price flexible demand in grid planning.

Tickers mentioned: $BTC

Sentiment: Neutral

Market context: The conversation sits at the intersection of expanding AI infrastructure, grid reliability concerns, and a broader shift toward demand-side flexibility in electricity markets as crypto miners and traditional energy users alike react to price signals and regulatory frameworks.

Why it matters

The framing offered by Paradigm has the potential to recalibrate how policymakers and market participants think about crypto mining. If mining is treated as a responsive load that can scale up or down with grid conditions, it could be integrated more deliberately into demand-response programs and ancillary-services markets. This view challenges simplistic comparisons that measure energy use in isolation or rely on per-transaction efficiency metrics, which may obscure how miners contribute to grid resilience during periods of surplus or shortage.

The discussion also taps into a broader industry trend: the repurposing of crypto-era infrastructure to artificial intelligence workloads. As margins in traditional mining shift and data-center economics evolve, several players have begun to reallocate hardware and capacity toward AI processing. The shift has been noted across industry reporting and is reflected in the pathways taken by some miners to pursue higher-margin opportunities while continuing mining activities where economics permit. For example, coverage of the AI-data-center wave highlights how existing facilities and equipment can be adapted to meet surging demand for AI workloads, potentially altering regional power usage profiles and pricing dynamics.

At the core of Paradigm’s argument is the idea that energy modeling should reflect the realities of competitive electricity markets rather than rely on static benchmarks. By foregrounding grid conditions, price signals, and the possibility of demand response, the authors argue that Bitcoin mining’s energy footprint can be contextualized within the wider ecosystem of grid economics. This does not absolve miners of responsibility for energy use, but it suggests a framework in which policy decisions are informed by how mining interacts with supply and demand in real time, including its capacity to absorb excess generation or reduce demand during stress events.

The note also emphasizes that energy use and emissions are not the only metrics at play. Understanding where mining sits on the supply curve—where electricity is produced or curtailed—can illuminate why certain regions attract mining operations at particular times and how these operations might contribute to stabilizing grids during peak periods. In this sense, the narrative shifts from a binary “drain vs. benefit” debate to one about how energy users of all kinds can participate in a more dynamic, price-responsive market environment.

As AI infrastructure expands, the mining ecosystem’s response matters for both regional policy and investor sentiment. The industry’s evolving footprint—toward AI workloads in some cases—could influence where and how power is allocated, how utilities price peak versus off-peak energy, and how regulators design frameworks that accommodate flexible demand. While Paradigm’s conclusions are not universal prescriptions, they provide a structured lens for evaluating mining within electricity markets rather than through narrow environmental comparisons alone. The broader takeaway is a push for more sophisticated, market-responsive energy modeling that accounts for price signals, grid constraints, and the real-world behavior of miners under variable conditions.

What to watch next

Publication and discussion of Paradigm’s February 2026 note and any ensuing responses from policymakers or industry groups.

New analyses or grid studies examining the elasticity of mining demand in response to real-time pricing and transient grid conditions.

Regulatory activity at state or federal levels addressing crypto-mining energy use, permitting, and integration with demand-response programs.

Updates on the mining-to-AI workload transition, including pilot projects and capital reallocation by major miners such as those that have publicly discussed strategic shifts.

Sources & verification

Paradigm, “Clarifying misconceptions about Bitcoin mining” (February 2026) – note the energy-use and emissions figures and the discussion of market signals. https://www.paradigm.xyz/2026/02/clarifying-misconceptions-about-bitcoin-mining

Discussion of AI data centers and Bitcoin mining’s local resistance in the U.S. referencing grid- and energy-demand concerns. https://cointelegraph.com/news/ai-data-centers-local-resistance-bitcoin-mining

Bitcoin mining outlook and profitability shifts in the context of AI-driven infrastructure changes. https://cointelegraph.com/news/bitcoin-mining-outlook-2026-ai-profitability-consolidation

Bitcoin miner production data illustrating the scale of winter-storm disruption in the U.S. https://cointelegraph.com/news/bitcoin-miner-output-us-winter-storm-latest-data

Bitcoin mining as flexible grid demand in the AI era

Bitcoin (CRYPTO: BTC) mining is increasingly described as a dynamic, price-driven participant in electricity markets rather than a fixed-energy burden. The February 2026 Paradigm note insists that miners act as flexible loads, changing consumption in response to grid stress or surplus supply. This reframing rests on the premise that energy use is not merely a function of transaction volume; it is tied to network security, miner competition, and how power markets price electricity in real time. In practical terms, mining operations tend to gravitate toward the lowest-cost energy sources, often leveraging off-peak generation or surplus capacity, which enables them to scale demand up or down as conditions warrant. The ability to modulate consumption makes mining responsive to price signals, a characteristic that can be valuable to grid operators seeking to balance supply and demand without relying solely on traditional capacity additions.

AI data centers have accelerated this discussion, as industry coverage highlights shifts in crypto-era infrastructure toward AI workloads in some cases. While Bitcoin mining remains a core use case for many facilities, the broader trend underscores how high-density computing can be repurposed to align with profitability drivers and grid economics. Several traditional mining operators, including Hut 8, HIVE Digital, MARA Holdings, TeraWulf, and IREN, have begun exploring partial transitions toward AI processing, highlighting how portfolio strategy can adapt to evolving margins and demand profiles. The implications for energy policy are meaningful: rather than treating all high-energy activities as equivalent, regulators may consider how to integrate flexible-demand resources into reliability and pricing frameworks while maintaining environmental safeguards.

Paradigm’s argument also emphasizes that energy models should reflect the realities of constrained energy systems. If mining adapts to price signals and grid conditions, its contribution to energy demand may be more volatile but potentially more compatible with markets seeking to absorb intermittent generation or reduce peak demand. The authors point to a broader energy-economics logic: when miners respond to scarcity or surplus, they participate in price formation and help balance the system—an argument that invites policymakers to evaluate mining within the rightsized context of electricity markets and grid resilience rather than through simplistic energy-versus-environment comparisons. The discussion aligns with recent coverage of AI infrastructure’s supercycle, suggesting that the real opportunity lies not in static energy tallies but in understanding how demand shapes and responds to evolving grid dynamics.

This article was originally published as Paradigm reframes Bitcoin mining as a grid asset, not energy drain on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Bitcoin (CRYPTO: BTC) briefly surged toward the $70,000 level on a U.S. bank holiday before retreating, underscoring how thin liquidity can amplify price moves in markets with limited participants. The session featured swift reversals as major venues saw shallow order books, allowing large players to push the price in sharp, short-lived bursts and then pull back just as quickly. Traders described a day of both dramatic squeezes and measured pauses, with liquidity gaps creating a backdrop where price action could swing without a clear directional trend. While the move rekindled talk of potential bottoming signals, observers cautioned that a single holiday-driven spike is not a proof point for a durable trend, particularly given the broader context of a market accustomed to volatile cross-currents.

Key takeaways

Holiday-thinned liquidity on a U.S. trading day amplified both upside and downside moves, with BTC briefly touching $70,000 before a pullback.

Price action occurred in a tight range, described by analysts as a pattern of “breakouts and shakeouts” that failed to establish a decisive breakout.

CoinGlass tracked roughly $120 million in crypto liquidations across four hours, highlighting the reflexive nature of order-book dynamics during low-volume sessions.

Weekly RSI readings dipped to 27.8, the lowest since June 2022, fueling discussions about potential cycle lows and macro bottoming patterns.

Market commentary emphasized ongoing liquidity-driven reversals, with notable divergence in activity on different exchanges and persistent bullish-bias signals outside of a handful of venues.

A sequence of social posts from traders highlighted mixed sentiment, with some noting net buying pressure overall while exceptions persisted on certain platforms such as OKX.

Tickers mentioned: $BTC

Price impact: Neutral. The episode demonstrated how thin liquidity can drive rapid intraday reversals without signaling a sustained directional shift.

Trading idea (Not Financial Advice): Hold. Given the absence of a clear breakout and the sensitivity to depth on holiday sessions, traders may prefer to wait for a more decisive move backed by stronger liquidity and higher-volume participation.

Market context: The latest price activity reflects a broader pattern in crypto markets where liquidity constraints during holidays or low-volume sessions can magnify swings. It also sits amid ongoing debates about macro risk sentiment, ETF-related flows, and the persistence of risk-on versus risk-off dynamics that shape digital-asset price formation.

Why it matters

The episode matters because it exercises a fundamental risk for traders: price discovery in environments where liquidity is not consistently deep. Thin order books can magnify both hopeful breakouts and fear-driven reversals, making risk management and position sizing more critical than in normal trading conditions. For market participants, the contrast between a swift move to the multi-year high vicinity and a rapid retracement underscores how much of Bitcoin’s price action still depends on the availability of buyers and sellers at key price levels rather than on a sustained flow of capital. The event also provides a practical test bed for risk controls, as exchanges and liquidity providers calibrate their resilience to sudden, liquidity-driven shocks.

From a technical perspective, weekly RSI readings toward oversold territory suggest potential patience is warranted before drawing conclusions about a longer-term bottom. Yet the narrative is not binary: the same chart readings were cited in past cycles as precursors to stalled consolidations or gradual basing patterns rather than immediate recoveries. Analysts emphasized that while the current RSI dip resembles patterns seen in previous bear markets, it does not guarantee a repeat of those outcomes. The broader takeaway is a need to monitor how price, momentum, and volume evolve together in the weeks ahead, particularly as markets digest macro inputs and any incremental developments in crypto regulation or product approvals that could influence risk appetite.

On-chain and on-exchange observations further enrich the story. Market participants noted blocks of liquidity getting reconfigured as bids and offers were removed and re-placed at new levels, reinforcing the sense that order-book dynamics played a leading role in the day’s action. The interplay between short-term liquidations, bid-ask wall reformation, and whale activity suggested a tug-of-war between buyers aiming for a breakout and sellers defending certain price zones. In this context, a minority of observers highlighted a pattern that echoes the bear-market conditions of 2022, while others warned that a single holiday-driven session is not the best proxy for broader market health or a definitive trend reversal.

Social signals added texture to the narrative. One prominent trader noted that net buying pressure remained robust across most venues, with OKX standing out as an exception where the balance shifted toward selling pressure. The dialogue around the differing dynamics across exchanges highlighted how venue-specific liquidity can shape price trajectories in real time, contributing to a landscape where market participants must weigh cross-exchange liquidity, funding conditions, and cross-venue order flow as part of a single, evolving story.

Beyond Bitcoin itself, observers highlighted ongoing patterns in price response to liquidity shocks across the crypto market. The day’s action fed into a broader conversation about how investors seasonally recalibrate risk, particularly during holiday windows when traditional liquidity pools are thinner and risk sentiment can swing on a coin flip. While the event did not trigger any explicit new catalysts, its implications for short-term trading strategies—particularly those relying on liquidity-driven breakouts—remain a focal point for traders who seek to understand how much of BTC’s price movement is driven by depth versus fundamental shifts in demand.

What’s different about $BTC from yesterday is that net buying is maintained except for OKX. pic.twitter.com/x3Y1OegrsI

— CW (@CW8900) February 16, 2026

What to watch next

Follow BTC price action in the next several sessions to determine if a sustained move beyond the current range emerges on higher liquidity.

Monitor the weekly RSI to see whether momentum stabilizes above oversold territory or slides deeper, which could influence near-term bias.

Track liquidation flows and changes in order-book depth across major venues to assess whether the market is rebalancing its risk tolerance.

Observe cross-exchange buy/sell pressure differences, particularly after the holiday period, to gauge whether a broader consolidation or a fresh breakout is forming.

Keep an eye on macro catalysts and regulatory developments that could shift appetite for risk assets in the coming weeks.

Sources & verification

TradingView BTCUSD price action within the holiday session showing moves toward and away from $70,000 (BTCUSD chart).

CoinGlass liquidity and liquidation data indicating roughly $120 million in liquidations over four hours.

Material Indicators’ analysis of BTC/USDT liquidity and whale activity on major exchanges.

Social posts from Daan Crypto Trades and Keith Alan discussing RSI patterns and bear-market similarities.

Public social post from CW highlighting net buying dynamics and exchange-specific commentary.

Rewritten Article Body: Liquidity squeezes and RSI signals shape BTC price action on a holiday

Bitcoin, trading as Bitcoin (CRYPTO: BTC), confronted a unique set of conditions on a U.S. bank holiday: liquidity was thin, and that scarcity amplified even modest market forces into notable intraday moves. The price briefly tested the $70,000 mark before retreating, a pattern consistent with the kind of rapid, liquidity-driven reversals that have become familiar in low-volume sessions. Rather than a clean breakout, the action unfolded in a narrow corridor, with bids and asks repeatedly clearing and reforming at new levels as traders recalibrated risk exposure in the absence of the usual institutional floor.

Market observers described a day of “breakouts and shakeouts”—moments when prices appeared ready to run but were quickly checked by the lack of robust order-book depth. The dynamic is a reminder that, on days when major markets are closed, a handful of large participants can move prices meaningfully without the broader market’s participation. The net effect was a series of swift moves that left many participants unsure of the prevailing directional bias, reinforcing a common refrain: liquidity is the prime mover in such environments, more so than fresh macro catalysts or new fundamental data.

Data from CoinGlass illustrated the scale of activity during the session: approximately $120 million in liquidations occurred across a four-hour window. This is a hallmark of a market where thin liquidity can produce outsized volatility, as participants face sudden sifts in supply and demand balance. In practical terms, those who believed the momentum favored a sustained tilt toward the upside found themselves facing rapid opposition as new walls formed above and below the current price to absorb incoming bids or offers. The absence of deep liquidity magnifies the impact of individual large trades, making every order a potential flash point for the next move.

On the technical front, a closer look at momentum indicators painted a nuanced picture. Weekly RSI readings dipped toward oversold territory, with the metric landing at 27.8 on one trading day—its lowest reading since June 2022. Some analysts pointed to this as a potential bottoming signal, drawing parallels to prior bear-market cycles where oversold conditions laid the groundwork for a period of consolidation and eventual macro recovery. Others cautioned that history does not guarantee a repeat outcome and that the present pattern could diverge from 2022 depending on subsequent liquidity and macro dynamics. The discussion underscored how traders weigh technical signals in conjunction with the underlying liquidity environment, rather than relying on any single indicator in isolation.

Beyond the numbers, the day’s narrative included qualitative observations about exchange-specific activity. Traders noted that buying pressure remained more robust than on the previous session, with the exception of OKX, where selling pressure appeared to dominate. This divergence highlighted how different venues can diverge in real time, driven by liquidity distributions, funding conditions, and the behavior of large players who shuttle capital across platforms. A prominent market participant summarized the sentiment on social media, noting that net buying was generally positive across most venues, but the OKX discrepancy reminded the market that liquidity fragmentation persists and can influence short-term outcomes in unpredictable ways.

In a broader context, the episode fed into ongoing discussions about how crypto markets navigate cycles of risk appetite and liquidity stress. While the price action did not deliver a definitive directional signal, it reinforced a familiar pattern: during periods of limited depth, price discovery is a two-way process propelled by cautious, incremental moves rather than a single decisive breakout. The presence of “breakouts and shakeouts” as a recurring motif highlights how traders are adapting to a market structure where depth can evaporate quickly, forcing participants to reprice their expectations with each new order that clears the book.

Looking forward, the market will likely want to see a more explicit signal of conviction—whether it be a sustained move above a key level with robust volume or a decisive breakdown that confirms a shift in risk sentiment. For now, the data suggests that the landscape remains dominated by short-term liquidity dynamics rather than a clear, long-term directional thesis. The ongoing debate about potential bottoming signals versus continued consolidation is a reminder that, in crypto markets, the path of least resistance is often determined by how much liquidity remains available to absorb the next wave of orders.

//platform.twitter.com/widgets.js

This article was originally published as Bitcoin Weekly RSI Echoes Mid-2022 Bear Market as BTC Plays Liquidity on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Key insights

MiCA + PSD2 licensing lets OKX legally offer EU-wide stablecoin payments and merchant settlement services.

Mastercard partnership enables self-custody spending, auto conversion at checkout, and fiat payouts to merchants.

Investment in tokenized RWA stablecoins signals shift from trading platform to full financial infrastructure provider.

Can Stablecoins Finally Be Used Like Everyday Money

Cryptocurrency exchange OKX has received a Payment Institution (PI) license in Malta, clearing the way to offer regulated stablecoin payment services across the European Economic Area (EEA). The approval aligns the company with both the Markets in Crypto-Assets (MiCA) regulation and the Second Payment Services Directive (PSD2), which take full effect in March 2026.

OKX EXPANDS CRYPTO PAYMENTS IN EUROPE

OKX just secured a European payments license to expand stablecoin payments and its crypto card business. pic.twitter.com/yZnQSkKWyh

— Coin Bureau (@coinbureau) February 16, 2026

Payment systems handling payments in stablecoins (treated as electronic money tokens) under PSD2 require either a payment institution or electronic money authorization. With the new license, OKX can legally process stablecoin payments while operating under a recognized European regulatory framework.

The exchange says the authorization strengthens its compliance structure and allows its payment products to function across multiple EU countries through passporting rights.

How Does the OKX Card Actually Work at Checkout?

The license supports the rollout of OKX Pay and the OKX Card, launched in partnership with Mastercard. The card enables users to use the stablecoins at merchants all over the world that accept Mastercard.

Funds remain in self-custody until the moment of purchase. At checkout, the stablecoins automatically convert to euros with a 0.4% market spread. Merchants get paid with fiat, whereas users will pay off their crypto account balances without manual conversion.

The card also supports Apple Pay and Google Pay and has up to 20% promotional rewards in crypto on eligible purchases. Transactions operate through a licensed European payments partner and follow strict AML and KYC requirements.

OKX Building More Than a Payment Card

The licensing move coincides with OKX’s broader investment in stablecoin infrastructure. Its venture arm recently backed STBL, a project developing a real-world-asset-backed stablecoin on the company’s X Layer blockchain. The initiative involves Hamilton Lane and Securitize and will provide tokenized exposure to a private credit fund.

By combining its earlier MiCA CASP authorization with the new PI license, OKX now operates a fully regulated crypto payments framework in Europe. The plan is to bridge traditional finance and blockchain settlement systems-enabling crypto to be not only tradable, but spendable in life.

With this move, OKX positions itself as a compliant, payment-ready crypto platform built for Europe’s next regulatory era.

This article was originally published as OKX Secures Malta License to Launch Regulated Stablecoin Payments Across Europe on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

South Korea is accelerating its crypto market supervision by shifting from manual investigations to AI-powered surveillance. The Financial Supervisory Service (FSS) is upgrading its Virtual Assets Intelligence System for Trading Analysis (VISTA) to automate the initial detection of suspicious activity, a move aimed at coping with the speed and scale of modern digital-asset trading. The upgrade, supported by funding through 2026, enables sliding-window analysis across overlapping time frames to flag abnormal patterns such as sudden volume spikes or atypical price movements. In tandem, regulators are planning to extend AI capabilities to identify networks of coordinated trading accounts and trace the sources of funds used in manipulation. Officials also explore proactive interventions, including potential temporary suspensions of transactions or payments, to curb illicit gains before they can be withdrawn.

Key takeaways

The Financial Supervisory Service’s upgraded VISTA now performs the initial detection of suspicious trading using automated algorithms rather than relying solely on human investigators.

A sliding-window grid search method segments trading data into overlapping time frames to identify abnormal patterns, such as unusual volume surges or abrupt price moves.

Through 2026, the FSS plans to add AI tools capable of detecting networks of coordinated trading accounts and tracing the funding sources behind manipulation schemes.

Regulators are weighing proactive interventions, including temporary suspensions of transactions or payments, to block illicit gains before withdrawal or laundering.

The move signals a broader shift toward continuous, AI-assisted oversight in digital-asset markets to align crypto supervision with evolving market dynamics.

Market context: Link the story to broader crypto conditions (liquidity, risk sentiment, regulation, ETF flows, macro, or sector trends) WITHOUT inventing facts.

Why it matters

The shift to automated surveillance reflects regulators’ need to keep pace with the sheer volume and velocity of crypto trading. In markets where a single exchange can process thousands of trades in minutes, manual review struggles to keep up, creating gaps that manipulators may exploit. By automating the detection of irregular activity, authorities can flag suspect intervals with far greater speed and consistency, reducing the window during which illicit actors can operate unchecked. Yet, automation also raises questions about the balance between vigilance and overreach. As algorithms flag patterns that resemble manipulation, there is a risk of false positives that could disrupt legitimate trading activity if not carefully managed.

For market participants, the move toward AI-driven oversight could raise the bar for compliance. Exchanges and custodians will need to ensure data quality and interoperability so that automated systems can access comprehensive, timely information. Regulators’ increased reliance on machine learning models may also spur new governance practices around model validation, transparency, and accountability. The net effect could be a more resilient market environment where manipulative tactics are detected earlier, but with continued diligence to avoid unintended penalties on innocent actors.

Beyond crypto-specific implications, the initiative signals regulators’ intent to harmonize digital-asset oversight with traditional financial markets. Korea’s exploration of proactive intervention intersects with broader debates on supervisory tools, due-process safeguards, and the threshold for action in fast-moving markets. If Korea proves effective, other jurisdictions may adopt similar AI-enabled approaches, extending the reach of automated risk detection across asset classes and trading venues.

What to watch next

Milestones in the AI upgrade rollout through 2026, including when specific detection modules for coordinated accounts and funding tracing become operation-ready.

Details of the proposed proactive intervention mechanism, such as criteria, governance, and safeguards for temporary transaction suspensions.

Results from internal tests demonstrating the accuracy and coverage of automated detection, including any externally verified validation.

Regulatory guidance on cross-venue data sharing and the integration of AI surveillance with existing market surveillance frameworks.

Any expansion of AI-based monitoring to other asset classes or to cross-border coordinated trading investigations.

Sources & verification

Official statements or documentation from the Financial Supervisory Service detailing the VISTA upgrade and its automated detection capabilities.

Technical briefings or regulator notes describing the sliding-window grid search approach used to scan trading data.

Public announcements about funding or timelines for AI enhancements through 2026.

Regulatory notices or policy discussions about a potential payment-suspension mechanism to curb illicit gains.

Industry coverage on pump-and-dump groups and spoofing in crypto markets for context on monitoring challenges.

South Korea deploys AI-powered surveillance to tighten crypto market oversight

The Financial Supervisory Service’s upgrade to VISTA represents a deliberate shift from reactionary, case-by-case probes to proactive, continuous monitoring of digital-asset markets. The upgraded system can autonomously identify likely manipulation windows across the entire data set, a capability regulators say was not feasible with earlier, manually driven methods. In internal testing, the AI detected all known manipulation periods from completed investigations and also highlighted additional intervals that human analysts had previously missed. This progress is framed as a necessary response to the extraordinary pace and complexity of today’s crypto markets, where millions of transactions occur across dozens of tokens every hour.

Central to the upgrade is a sliding-window grid search, a methodological choice that allows the model to examine overlapping time segments of varying durations. Rather than requiring investigators to guess where misconduct might lie, the algorithm evaluates every potential sub-period for telltale signs—such as sudden price spikes followed by rapid reversals or unusual bursts in trading volume. By prioritizing high-risk windows, the system helps analysts focus on the most suspicious intervals, enabling faster, more targeted inquiries. One striking insight from industry observers is that in crypto markets, some manipulation can unfold in under five minutes, a time frame that challenges human monitoring but is well within the reach of automated systems.

The upgrade is more than a technical upgrade; it signals regulators’ intent to extend AI capabilities beyond detection to prevention and enforcement. Through 2026, the FSS plans to implement tools that map networks of trading accounts that operate in coordination—an important step in dismantling capital flows that underpin manipulation schemes. The regulator also aims to perform large-scale analyses of trading-related text across thousands of crypto assets, seeking to correlate promotional narratives with price movements and to understand how attention shocks translate into market risk. And by tracing the origin of funds used in manipulation, authorities hope to build stronger enforcement cases and curb the ability of bad actors to launder proceeds.

As with any AI-driven regime, the initiative faces practical and philosophical challenges. Regulators acknowledge that automated surveillance must be complemented by human oversight to address issues such as cross-venue manipulation and off-platform coordination, which may elude any single venue’s view. Regular evaluation is required to mitigate bias or drift in models and to avoid flagging legitimate activity. The plan explicitly states that AI tools are intended to support, not replace, investigators, reinforcing the role of experienced analysts in interpreting and acting on automated signals.

Beyond the Korean context, the effort echoes a broader transition in financial markets toward real-time surveillance that blends traditional risk controls with modern data science. The Korea Financial Services Commission has even discussed a broader governance framework for algorithmic trading that would apply across asset classes, coupling market surveillance with behavioral signals and automated risk scoring. The overarching objective is a more resilient system capable of identifying irregularities promptly, while maintaining due-process protections and avoiding overreach that could disrupt legitimate market activity.

As policymakers weigh the regulatory levers, observers will look for concrete demonstrations of how these AI tools perform in live markets. The integration of automated detection with proactive interventions—such as potential temporary suspensions of transactions tied to suspected manipulation—could reshape how traders approach liquidity, risk, and compliance. The evolving framework may also influence how other jurisdictions craft AI-enhanced surveillance, potentially accelerating a global shift toward more transparent and accountable crypto markets.

For readers seeking deeper context, related analyses on pump-and-dump groups and the use of spoofing in crypto trading are available here: pump-and-dump groups: are they legal? and how scammers use fake transaction simulation sites to steal crypto.

This article was originally published as South Korea Uses AI to Detect Crypto Market Manipulation on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Editor’s note: The collaboration between Binance and Franklin Templeton highlights a pivotal step toward institutional-grade efficiency in digital markets. By enabling tokenized real-world assets to function as off-exchange collateral, the partnership aims to combine regulated custody with flexible yield opportunities, reducing counterparty risk for traders and asset managers. As institutions seek safer, more scalable models for on-chain activity, this program demonstrates how traditional finance instruments can operate within crypto rails while preserving safeguards. Crypto Breaking News will monitor the rollout and its implications for liquidity, risk management, and custody standards.

Key points

Tokenized Benji fund shares used as off-exchange collateral on Binance.

Assets stay off-exchange in regulated custody; value mirrored in Binance.

Reduces counterparty risk while enabling yield for institutional participants.

Custody and settlement backed by Ceffu.

Why this matters

By enabling tokenized real-world assets to settle on-chain with off-exchange collateral, the program strengthens risk controls and liquidity for institutions, illustrating a practical path to integrate traditional instruments into digital markets while preserving custody protections.

What to watch next

More institutions participate in off-exchange collateral programs.

Expansion of tokenized real-world assets available on Binance for collateral settlement.

Ongoing collaboration between Franklin Templeton and Binance expands the network of program partners.

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

Binance and Franklin Templeton Advance Strategic Collaboration with Institutional Collateral Program

JOHANNESBURG, South Africa, February 16, 2026/ — Franklin Templeton, a global investment leader and Binance (www.Binance.com), the world’s leading cryptocurrency exchange by trading volume and users, announced a new institutional off-exchange collateral program, making digital markets more secure and capital-efficient. Now live, eligible clients can use tokenized money market fund shares issued through Franklin Templeton’s Benji Technology Platform as off-exchange collateral when trading on Binance.

The program alleviates a long-standing pain point for institutional traders by allowing them to use traditional regulated, yield-bearing money market fund assets in digital markets without parking those assets on an exchange. Instead, the value of Benji-issued fund shares is mirrored within Binance’s trading environment, while the tokenized assets themselves remain securely held off-exchange in regulated custody. This reduces counterparty risk, letting institutional participants earn yield and support their trading activity without hedging on custody, liquidity, or regulatory protections.

“Since partnering in 2025, our work with Binance has focused on making digital finance actually work for institutions,” said Roger Bayston, Head of Digital Assets at Franklin Templeton. “Our off-exchange collateral program is just that: letting clients easily put their assets to work in regulated custody while safely earning yield in new ways. That’s the future Benji was designed for, and working with partners like Binance allows us to deliver it at scale.”

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

Assets participating in the program remain held off-exchange in a regulated custody environment, with tokenized money market fund shares pledged as collateral for trading on Binance. Custody and settlement infrastructure is supported by Ceffu, Binance’s institutional crypto-native custody partner.

“Institutions increasingly require trading models that prioritize risk management without sacrificing capital efficiency,” said Ian Loh, CEO of Ceffu. “This program demonstrates how off-exchange collateral can support institutional participation in digital markets while maintaining strong custody and control.”

Launching the institutional off-exchange collateral program expands on both Franklin Templeton’s and Binance’s growing networks of off-exchange program partners and represents another effort since announcing Franklin Templeton and Binance’s strategic collaboration in September 2025.

By using Benji to bridge tokenized money market funds, Franklin Templeton is taking trusted investment products and making them work in modern markets—allowing institutions to trade, manage risk, and move capital more efficiently as digital finance becomes an everyday part of the financial system.

Offering more tokenized real-world assets on Binance meets the increasing institutional demand for stable, yield-bearing collateral that can settle 24/7. This gives investors greater choice and enhances their trading experience on the world’s largest regulated digital asset exchange.

Franklin Templeton is a pioneer in digital asset investing and blockchain innovation, combining tokenomics research, data science, and technical expertise to deliver cutting-edge solutions since 2018. Learn more at Franklin Templeton Digital Assets.

About Binance

Binance is a leading global blockchain ecosystem behind the world’s largest cryptocurrency exchange by trading volume and registered users. Binance is trusted by more than 300 million people in 100+ countries for its industry-leading security, transparency, trading engine speed, protections for investors, and unmatched portfolio of digital asset products and offerings from trading and finance to education, research, social good, payments, institutional services, and Web3 features. Binance is devoted to building an inclusive crypto ecosystem to increase the freedom of money and financial access for people around the world with crypto as the fundamental means. For more information, visit: http://www.Binance.com

About Ceffu

Ceffu is an institutional-grade custody platform offering custody and liquidity solutions that are ISO 27001 & 27701 certified and SOC2 Type 2 attested. Our multi-party computation (MPC) technology, combined with a customizable multi-approval scheme, provides bespoke solutions allowing institutional clients to safely store and manage their virtual assets.

For the purposes of this program, custody services for Benji-issued tokenized money market fund shares are provided by Ceffu Custody FZE, a virtual asset custodian licensed and supervised in Dubai.

About Franklin Templeton

Franklin Templeton is a trusted investment partner, delivering tailored solutions that align with clients’ strategic goals. With deep portfolio management expertise across public and private markets, we combine investment excellence with cutting-edge technology. Since our founding in 1947, we have empowered clients through strategic partnerships, forward-looking insights, and continuous innovations – providing the tools and resources to navigate change and capture opportunity.

With more than $1.7 trillion in assets under management as of January 31, 2026, Franklin Templeton operates globally in more than 35 countries.

To learn more, visit http://www.FranklinTempleton.com

Franklin Resources, Inc. [NYSE:BEN]

All investments, including money funds, involve risk, including loss of principal. There are risks associated with the issuance, redemption, transfer, custody, and record keeping of shares maintained and recorded primarily on a blockchain. For example, shares that are issued using blockchain technology would be subject to risks, including the following: blockchain is a rapidly-evolving regulatory landscape, which might result in security, privacy or other regulatory concerns that could require changes to the way transactions in the shares are recorded.

This article was originally published as Binance, Franklin Templeton Launch Off-Exchange Collateral Program on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Let’s be honest: if your Web3 project isn’t on social media, do you even exist? The days of Discord-only communities and airdrop farming as a marketing strategy are numbered. In 2026, social media is where the real alpha is and the platforms are evolving faster than Layer 2 gas fees after a memecoin pump.

After analyzing trends across tens of thousands of global brands, here are six predictions that will shape social media strategy in 2026, with a crypto-native lens on what it means for our industry.

1. Short-Form Video + UGC Will Dominate (Yes, Even for DeFi)

Research shows 73% of marketers are prioritizing short-form video heading into 2026, with 47% specifically focusing on UGC video content. Translation: your community’s unboxing videos and tutorial clips are worth more than your polished explainer animations.

The crypto angle: Stop making 20-minute tokenomics deep-dives nobody watches. Start amplifying the 30-second clips of community members showing their first successful swap, their hardware wallet setup, or their reaction to actually understanding what a rollup is. Authenticity beats production value always has, but now the algorithms are enforcing it.

2. Paid Media Shifts to Video and AI Conversations

Budgets are moving to Instagram, YouTube, and TikTok platforms where video storytelling and social commerce thrive. But here’s the interesting part: conversational commerce is emerging as a new frontier.

Walmart’s ChatGPT integration lets users make purchases directly in chat. Think about that for a second: AI-powered shopping, inside a conversation.

The crypto angle: This is where it gets spicy. Imagine AI agents that don’t just recommend products they execute on-chain transactions. We’re not far from “Ask Claude to swap your ETH for that NFT you’ve been eyeing.” The ad format of the future might be a persuasive AI conversation, not a banner. Crypto-native brands should be experimenting with AI-commerce integrations now.

3. AI Moves From Experimentation to Infrastructure

By 2026, generative AI won’t be a “nice to have”; it’ll be embedded in the operating layer of marketing stacks. Agentic AI systems will draft copy, test creatives, and adjust ad spend mid-campaign, all in real-time.

Direct-to-consumer businesses already post six times more content than traditional retailers. The only way to compete is AI-augmented content creation.

The crypto angle: Web3 projects are uniquely positioned here. Many crypto teams are already AI-native in their workflows. The question is whether you’re using AI agents just for content, or building them into your entire community management stack from sentiment analysis to automated governance summaries to personalized engagement. Soon, teams won’t talk about using AI. They’ll just run on it.

4. Virtual Influencers Rise (With a Reality Check)

Earlier in 2025, nearly 60% of marketers planned to increase virtual influencer collaborations. Fast forward a few months, and partnerships with AI-only influencers dropped; audience fatigue and underperformance hit hard.

The crypto angle: We’ve been here before. Remember when every NFT project had a fictional founder? The lesson: virtual creators work as hybrid collaborators, not replacements for real voices. Use AI-generated characters for scalable storytelling and visual experimentation, but anchor campaigns in authentic community members. Transparency about AI’s role isn’t optional, it’s survival.

5. Burnout Prevention Becomes Survival Strategy

Most social teams have fewer than six people managing global brand presence. Nearly half report frequent burnout. With content demands rising and budgets tightening, automation isn’t a luxury; it’s triage.

The crypto angle: Crypto social managers have it worse. You’re running 24/7 Discord servers, managing global communities across multiple timezones, and expected to respond to FUD at 3am. In 2026, the projects that retain talent will be the ones treating automation as a force multiplier—AI handles scheduling, reporting, and routine engagement while humans focus on actual community building and creative strategy. Your community manager shouldn’t be burnt out; they should be empowered.

6. Social, Commerce, and Care Fully Converge

Two-thirds of marketers now collaborate closely with commerce and care teams. The lines between customer touchpoints are blurring into a seamless experience: a TikTok ad opens into a shopping cart, a DM uncovers an upsell opportunity, a chatbot drives recurring purchases.

The crypto angle: This is Web3’s moment to shine. Social tokens, wallet-connected experiences, on-chain loyalty programs—these aren’t future concepts, they’re here. Imagine a Discord message that triggers a token-gated discount, or a Twitter Space that unlocks exclusive NFT access. The brands that connect social engagement with on-chain commerce (without the friction) will transform community from a cost center into a revenue engine.

The future of social media is AI-powered, authenticity-driven, and increasingly commerce-enabled. For crypto-native brands, this isn’t about keeping pace, it’s about leading the charge.

The projects that treat AI as infrastructure, authenticity as strategy, and community as commerce will define the new standard in Web3 engagement.

The rest will be building on Solana and posting threads about it to 47 followers.

This article was originally published as The Next Social Wave: 6 Predictions Reshaping Social Media on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Nexo is set to relaunch its digital asset services and crypto exchange platform in the United States on Monday, reviving a business footprint it abandoned more than three years ago amid a regulatory climate that proved inhospitable for crypto firms. The reboot is framed around clearer rules for digital assets in the U.S. and relies on a partnership-driven model designed to meet licensing and compliance benchmarks while offering a mix of yield programs, a spot trading venue, crypto-backed credit facilities, and a loyalty program for U.S. customers, according to Eleonor Genova, Nexo’s head of communications.

Key takeaways

Nexo plans a U.S. relaunch anchored in Florida, with a management team to be announced, and a trading backbone provided by Bakkt to serve institutional-grade trading needs.

The new structure includes services delivered through licensed U.S. partners, with certain activities supported by a third-party SEC-registered investment adviser to ensure compliance under U.S. securities laws.

The move marks a notable reversal after Nexo exited the U.S. market in December 2022 due to what it described as a hostile regulatory posture toward blockchain firms during the Gary Gensler era.

Regulatory dynamics in Washington—framing a potential pathway for crypto clarity—have evolved, with debates over framework bills like the CLARITY Act and ongoing White House-brokered discussions on stablecoins and market structure.

The U.S. relaunch follows high-profile political events and promises to reintroduce crypto offerings into a market where policy signals have gradually tilted toward clearer, if still evolving, compliance standards. An April 2025 event featuring Donald Trump Jr. highlighted the strategic attention around crypto in U.S. political discourse.

Tickers mentioned: N/A

Sentiment: Neutral

Market context: The re-entry arrives as Washington weighs a regulatory framework for crypto markets, with the CLARITY Act gaining traction but facing political hurdles. A White House-facilitated meeting between crypto and banking representatives aimed at aligning stablecoin provisions underscores a broader push for market clarity that could shape how platforms operate going forward.

Why it matters

The renewal of Nexo’s U.S. footprint underscores a broader industry trend: companies that paused or scaled back operations a few years ago are testing the waters again as policymakers signal a willingness to formalize crypto rules. Florida’s selection as the operational base aligns with state-friendly licensing environments and a growing focus on local compliance infrastructure, a shift that could influence other platforms evaluating U.S. re-entry.

Crucially, Nexo’s architecture emphasizes regulated partnerships rather than a single, fully in-house regime. The company has articulated that certain services will be conducted through licensed U.S. providers and that advisory services will be furnished by an SEC-registered adviser in accordance with applicable securities laws. This approach signals a deliberate effort to align crypto offerings with traditional financial-market standards while preserving access to yield programs and crypto-backed credit tools that drew users to its platform in the first place. The move also reflects a broader industry trend toward asset custody, insurance considerations, and compliance-led product design as firms seek to reassure investors and regulators alike.

The regulatory backdrop remains nuanced. While Washington has advanced discussions around crypto market structure and clarity, the Senate has yet to assemble what it regards as sufficient bipartisan support to move ahead with major legislation. In the meantime, industry participants point to ongoing regulatory dialogues and evolving enforcement expectations as critical signals for strategic planning. The White House has described the need for compromise on crypto policy and has supported efforts to pass a comprehensive framework before midterm elections, arguing that stable and well-defined rules are essential for investor protection and market integrity. In parallel, a productive but unresolved dialogue between crypto and banking stakeholders on stablecoins highlights the complexity of reconciling innovation with consumer safeguards.

Nexo’s earlier exit in 2022 was framed by the firm as a response to an environment where “the U.S. refuses to provide a path forward for enabling blockchain businesses,” despite assurances from industry participants that constructs could be built to satisfy regulatory expectations. The company subsequently faced legal and regulatory actions tied to its Crypto Earn product, including a $45 million settlement with the SEC over unregistered interest-bearing crypto rewards and an additional $22.5 million multi-state securities settlement related to the earn program. These actions culminated in the shuttering of Crypto Earn for U.S. users shortly after the settlements were announced, illustrating the kind of enforcement risk that the new U.S. launch seeks to mitigate through governance, licensing, and robust advisory relationships.

The newly announced U.S. relaunch, with its emphasis on compliant, licensed pathways and a curated ecosystem of services, reflects both a reputational recalibration and a pragmatic strategy to re-enter a market that remains vital for global retail and institutional participants alike. The narrative around Nexo’s return is also part of a broader conversation about how crypto firms can navigate federal and state regimes in a way that balances innovation with accountability, a topic that has shaped many of the industry’s recent regulatory dialogues and enforcement actions.

“Nexo’s US offering is structured through partnerships with appropriately licensed US service providers. Certain services are made available via a third-party Securities and Exchange Commission-registered (SEC) investment adviser, which provides advisory services under applicable US securities laws.”

The Florida-based relaunch underscores a strategic intent to localize operations while leveraging external compliance rails. Bakkt’s involvement as the trading infrastructure provider will bring institutional-grade liquidity and risk controls to a platform that seeks to appeal to both retail enthusiasts and professional traders. The arrangement with a registered adviser is designed to ensure that advisory services align with U.S. securities rules, potentially expanding the scope of products that can be offered without triggering unregistered security concerns. These elements collectively indicate a cautious but purpose-driven path back into a market that remains critical to the broader crypto ecosystem’s growth curve.

What to watch next

The timing and terms of the Florida-based management team’s appointment and whether any licenses or registrations are filed or announced publicly.

The go-live timeline for the Bakkt-powered trading interface and the rollout of yield, lending, and loyalty products in a compliant framework.

Formalization of the SEC-registered adviser relationship and the exact product mix that will be offered to U.S. customers.

Regulatory milestones tied to U.S. crypto policy, including any movement on the CLARITY Act or related market-structure discussions.

Sources & verification

Nexo’s official communications on its gradual departure from the United States and the rationale cited for exiting in 2022.

Information on the 2023 SEC settlement and related multi-state securities settlements tied to the Crypto Earn program.

California Department of Financial Protection & Innovation (DFPI) fine related to the firm’s lending activities.

Ongoing policy discussions in Washington around crypto market structure, including the CLARITY Act and White House–brokered talks on stablecoins.

The April 2025 exclusive event featuring Donald Trump Jr. announcing or signaling the U.S. re-entry, as reported in accompanying coverage of Nexo’s re-entry plan.

Nexo’s U.S. relaunch signals a new phase for compliant crypto services

The relaunch marks a deliberate pivot toward a compliance-first model designed to align with U.S. securities laws and state licensing requirements while preserving access to services that attracted users in previous years. By anchoring operations in Florida and building a framework around licensed partners and a registered adviser, Nexo aims to reduce the kind of regulatory friction that curtailed its U.S. ambitions in the past. The arrangement with Bakkt signals a preference for institutional-grade infrastructure, which may help the platform weather a market characterized by heightened scrutiny and cautious capital deployment.

In the broader context, the resumption of U.S. activities by Nexo sits at the intersection of regulatory caution and market demand. The sector continues to push for clarity on what constitutes a security versus a commodity, how custody should be structured, and which products can be offered to everyday investors without triggering sweeping enforcement actions. As policymakers weigh policy options, the crypto industry remains compelled to demonstrate that it can operate within a well-defined regulatory perimeter while continuing to innovate—whether through yield-based programs, lending products, or a diversified trading environment.

This article was originally published as Nexo Relaunches in the U.S. as a Crypto Services Platform on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Metaplanet, a publicly listed Japanese company, has unveiled a sharp strategic pivot that centers Bitcoin income as the primary growth engine. In its fiscal year 2025 earnings release, the group disclosed revenue of 8.9 billion yen ($58 million), up 738% from 1.06 billion yen a year earlier, a surge driven by the launch of Bitcoin income operations in Q4 2024. The report also shows a dramatic shift in the business mix, with roughly 95% of total income now generated from BTC-related activities, largely through premium income from BTC options. By year-end 2025, the company reported holding 35,102 BTC, cementing its position as Japan’s largest corporate holder of Bitcoin. The transition, however, has introduced volatility into profits due to BTC price movements.

Key takeaways

Revenue for FY2025 reached 8.9 billion yen (~$58 million), up 738% year over year from 1.06 billion yen.

Bitcoin-related income accounted for about 95% of total revenue, with the BTC options premium driving a large portion of earnings.

End-2025 Bitcoin holdings stood at 35,102 BTC, making Metaplanet the largest corporate Bitcoin holder in Japan.

Operating profit was about $40 million, but the company posted a net loss of roughly $619 million due to impairment tied to Bitcoin valuation swings.

The company plans to continue its Bitcoin treasury strategy, with a forecast for 2026 revenue around $104 million and operating profit near $74 million; overseas financing of up to $137 million was approved to grow holdings and reduce debt.

Tickers mentioned: $BTC

Sentiment: Neutral

Market context: The report highlights a broader shift in corporate crypto strategies, where firms increasingly bundle treasury management with revenue from BTC-related activities. In a volatile BTC market, cash flow and profit reporting can hinge on mark-to-market valuations, prompting caution about earnings quality even as long-term holders pursue balance-sheet diversification.

Why it matters

Metaplanet’s pivot illustrates how traditional corporate structures can adapt to a changing crypto landscape. By treating Bitcoin (CRYPTO: BTC) as both a cash-flow engine and a treasury reserve, the company aims to hedge against fiat currency dilution while pursuing upside from long-term price appreciation. The 35,102 BTC position signals a deliberate shift toward crypto-native income streams and positions Metaplanet among Japan’s most visible crypto adopters in the corporate sector.

Investors should note the contrast between revenue growth and regulatory or accounting headwinds. While the BTC revenue line expanded dramatically, the year ended with a substantial impairment charge that wiped out operating income on a mark-to-market basis. That dynamic underscores how crypto volatility can impact reported profitability, even for firms pursuing a clear, long-term treasury thesis.

Leadership commentary reinforces the strategic orientation. In a post on X, CEO Simon Gerovich reaffirmed the commitment to a Bitcoin-focused approach, signaling that recent market volatility would not derail the plan. The capital-raising move, approved to raise as much as $137 million overseas, is aimed at expanding BTC holdings and reducing debt, reinforcing the scalability of Metaplanet’s treasury strategy across cycles.

What to watch next

How the overseas capital raise of up to $137 million is deployed to expand BTC holdings and reduce leverage.

Whether 2026 revenue and operating profit targets—roughly $104 million and $74 million—hold under shifting BTC prices and impairment dynamics.

Any updates on impairment management or valuation adjustments tied to Bitcoin holdings in quarterly filings.

Potential changes in the income mix or expansion of BTC-based income streams beyond options-related revenue.

Sources & verification

Metaplanet FY2025 earnings report (PDF): https://contents.xj-storage.jp/xcontents/33500/950d7031/221a/4a55/a35b/03d8d22182fb/140120260216563315.pdf

Bitcoin income strategy and treasury approach (earnings release notes).

End-2025 BTC holdings figure (35,102 BTC) and related disclosures in the earnings report.

Overseas capital raise approval (up to $137 million) to expand holdings and reduce debt (coverage referenced).

2026 revenue outlook and impairment context (coverage of the forecast and impairment). See: Metaplanet lifts 2026 revenue outlook despite $680M Bitcoin impairment.

Metaplanet’s market-facing narrative

Metaplanet’s 2025 results underscore a broader narrative about corporate experimentation with cryptocurrency as a core business driver rather than a mere balance-sheet asset. The company’s decision to anchor growth in Bitcoin-related income, especially via BTC options premium, signals a willingness to embrace sophisticated crypto-financial instruments as a standout revenue source. Yet the same assets that power growth also expose the company to the volatility that has redefined crypto markets in recent years. The impairment charge that accompanied the year’s performance is a concrete reminder that accounting marks tied to BTC valuations can overshadow operational success, particularly for firms with sizable holdings.

From a strategic perspective, Metaplanet’s ascent as Japan’s largest corporate Bitcoin holder is noteworthy. The 35,102 BTC tally reflects a deliberate long-horizon stance, described by management as a consolidation of a Bitcoin treasury strategy intended to hedge against fiat dilution and capture potential long-term appreciation. This is not merely a speculative play; it is a treasury management approach that seeks to align a company’s asset mix with a secular crypto thesis. The leadership’s insistence on maintaining and expanding this strategy, even as BTC prices have seen meaningful cycles, suggests confidence in the resilience of the underlying business model and a belief that the revenue stream will normalize as Bitcoin markets stabilize.

Looking ahead, the company’s forecast for 2026 signals ambition: a revenue run-rate of around $104 million with an operating profit near $74 million. If realized, this would mark a significant step up from the 2025 baseline, but it will require careful navigation of price volatility and the ongoing accounting implications of a large Bitcoin reserve. The overseas capital raise, approved to bolster the balance sheet and push the diversification of holdings, adds a layer of strategic financing that could help mitigate downside scenarios while supporting expansion in the BTC income category. In public statements, CEO Gerovich reiterated the commitment to a Bitcoin-centric path, arguing that short-term volatility should not override a long-run thesis that envisions BTC as a sustainable revenue and hedging instrument.

What to watch next

Progress and deployment of the overseas capital raise (up to $137 million) and the impact on balance sheet strength and BTC acquisition capacity.

Actual 2026 results versus forecast, with attention to how BTC price movements influence impairment and reported earnings.

Any divergence in the BTC income mix, including potential expansion beyond BTC options into other Bitcoin-related revenue channels.

Regulatory developments affecting corporate crypto treasury strategies and reporting standards in Japan and globally.

This article was originally published as Metaplanet Revenue Surges 738% as Bitcoin Drives 95% of Sales on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Bitcoin (CRYPTO: BTC) enters a new week at a critical crossroads as traders weigh the possibility of a fresh short squeeze. The weekly close edged above a key long-term trend line, reinforcing arguments for a potential upside breakout, with the price hovering near the $68,800 mark on Bitstamp. Liquidity conditions remained unsettled, as liquidations stayed elevated and long positions anchored around the current spot, raising the stakes for any sustained move. On the macro front, a slate of U.S. data—most notably the Personal Consumption Expenditures index and fourth-quarter gross domestic product—could inject volatility later in the week. On-chain metrics, meanwhile, painted a cautious picture: the net unrealized profit and loss ratio surged toward multi-year highs, and a chorus of loss-making UTXOs suggested risk of a renewed downside regime if sellers re-enter the market.

At roughly $68,343, the 200-week exponential moving average (EMA) remains a pivotal line in the sand for market participants, closely tied to the prior all-time highs at just over $69,000. The pairing of the 200-week EMA and the old peak forms a duo that traders watch as the market negotiates whether to break free from a multi-month range. In recent days, observers noted that Bitcoin had re-entered an area it previously spent seven months defending, fueling conversations about whether the range would persist or give way to a decisive move higher. The sense of an impending decision was reinforced by analyst commentary that highlighted the previous extended range around $69,000 and the tendency for Bitcoin to react to sentiment contrarian to broader market moves.

Prominent traders pointed to a possible path to $75,000 as a potential trigger for a “surprise recovery.” CrypNuevo, a well-known voice in on-chain and chart analysis, referenced the extended range around $69,000 that has dominated price action in 2024. He observed that the price has retraced much of its wick from February’s dip to 15-month lows, suggesting the market could test the range lows before any sustained breakout. The analyst warned that a test of the 50% wick-fill level—interpreted as a signal for further wick fills—could imperil the bull case if acceptance fails near the range’s midpoint. Yet he also underscored a contrary sentiment: Bitcoin often moves counter to prevailing market mood, implying a potential for a bullish reversal should risk appetite improve.

On the liquidity front, the picture remained delicate. CoinGlass data showed total crypto-wide liquidations exceeding $250 million in the 24 hours through the reading, even as BTC/USD traded within a relatively tight window of less than $3,000. Longs remained concentrated just below $68,000, according to the same data source, a setup that some traders view as a potential target for whales seeking to seize liquidity. A trader known on X as CW noted that, despite liquidations, longs still held the upper hand overall, maintaining a bullish tilt in the current structure. The market also saw spikes in short liquidations when BTC briefly pressed above $70,000 around the Wall Street open, with futures liquidations hitting levels not seen since late 2024. Bitfinex’s social reaction highlighted a perception that a demand-following rally could throttle the trend’s downside momentum if spot buying intensifies.

Macro calendars added another dimension of potential volatility. The U.S. market holiday on Monday—the Presidents’ Day observance—could suppress liquidity at the outset of the week, with volatility expected to pick up as the data calendar fills in. The release of the PCE Index, widely regarded as the Fed’s preferred inflation gauge, is scheduled alongside Q4 GDP data on the same Friday. CME Group’s FedWatch Tool showed odds of the Fed keeping policy rates unchanged at its next meeting hovering above 90%, reinforcing a fragile macro backdrop where even small surprises could reverberate through risk assets. The Kobeissi Letter underscored the likelihood of heightened volatility as macro signals accumulate and geopolitical tensions persist.

Market researchers and on-chain analysts also weighed in on the longer-term trajectory. CryptoQuant’s mid-February Quicktakes signaled that the next leg of BTC’s price action would depend on investor resilience as the market navigates sub-$60,000 support zones. The analysis highlighted the confluence of the 200-week moving average and the realized price, around $55,800, as a potential accumulation area should the regime shift toward weakness persist. In contrast, other metrics suggested a more precarious picture: the net unrealized profit/loss (NUPL) indicator hovered near values that imply widespread realized losses, a sign that holders could be capitulating or preparing for a regime shift rather than a routine pullback. CryptoQuant’s aSOPR metric also registered readings near breakeven, a signal historically associated with stress in the market’s cycle and potential reset conditions rather than a simple correction.

The evolving on-chain picture has left some analysts cautious about declaring a definitive bottom. While the current price range has produced a visible bounce from February’s lows, the same signals that previously warned of a potential bear market—constant losses realized by long-term holders and elevated spend activity at lower price levels—have not yet abated. One veteran aggregator noted that a sustained reclaim of the 1.0 level on aSOPR would be a meaningful sign of renewed strength; in its absence, the risk of a more extended consolidation or a deeper correction remains on the table. The broader consensus remains split, emphasizing that macro catalysts, on-chain dynamics, and liquidity conditions will be the primary drivers of the near-term trajectory.

Why it matters

The significance of the current juncture lies in how Bitcoin navigates the intersection of on-chain signals and macro liquidity. A weekly close above the 200-week EMA has historically been a meaningful indicator of durability, potentially inviting fresh risk-taking and a revaluation of risk assets across the market. Yet the same data that points to a potential upside also reveals fragility: NUPL’s elevated readings imply a concentration of unrealized losses, while aSOPR’s proximity to the breakeven line suggests that coins changing hands are not decisively profitable, a factor that could curb momentum if sellers re-emerge. These dynamics matter for both long-term holders considering accumulation and traders seeking tactical entries in a range-bound market.

For market participants, the looming PCE data and GDP figures, coupled with Fed policy expectations, will shape risk sentiment. If the data disappoints, risk assets could experience renewed volatility as traders reassess the trajectory of monetary policy. Conversely, a resilient inflation print or softer GDP print could reinforce the sense that the environment remains conducive to risk assets’ re-pricing, potentially fueling a renewed flush of liquidity into Bitcoin and the broader crypto sector. In this context, the market’s behavior around $69,000 becomes more than a technical milestone – it functions as a psychological fulcrum for bulls and bears alike.

From an investment perspective, the evolving on-chain health metrics emphasize the importance of risk management and scenario planning. The narrative around a potential regime shift—where a bear-market-like phase could assert itself even without a classic downturn—highlights the value of diversified exposure and adaptive strategies that respond to changes in liquidity, macro surprises, and the cadence of market momentum. While the short-term impulse may hinge on a volatile data calendar and liquidity dynamics, the longer arc remains contingent on whether on-chain fundamentals align with price action, reinforcing the idea that traders should stay nimble as the week unfolds.

What to watch next

Watch BTC’s reaction around the 200-week EMA near $68,343 and the prior ATH just above $69,000 for any sustained breakout or rejection.

Monitor the upcoming PCE index and Q4 GDP releases for volatility spikes and potential shifts in Fed rate expectations.

Track on-chain metrics like NUPL and aSOPR for signs of capitulation pressure or renewed accumulation.

Observe liquidation dynamics on CoinGlass, especially around the $70,000 level and the above-$68,000 zone where longs have concentrated.

Assess market sentiment around long-term holders and whether a move toward the $75,000 target could materialize if a short squeeze gains momentum.

Sources & verification

BTC price and level around $68,800 on Bitstamp, with reference to TradingView data

BTC/USD proximity to the 200-week EMA (~$68,343) and the $69,000 ATH reference

Liquidation data from CoinGlass showing totals over $250 million in the examined 24-hour period

Fed rate expectations from CME Group’s FedWatch Tool

On-chain indicators from CryptoQuant (NUPL and aSOPR) and associated Quicktakes

Bitcoin at a crossroads as market signals converge

The ongoing convergence of price behavior, liquidity dynamics, and macro catalysts underscores a Bitcoin narrative defined by range-aware uncertainty rather than a clear, directional breakout. As traders calibrate their positions ahead of key inflation and growth indicators, the market remains sensitive to even modest shifts in risk appetite. Whether the week culminates in a renewed squeeze toward higher ground or a renewed test of support depends on a complex mix of on-chain health, price action within the established range, and the trajectory of macro policy signals that continue to influence sentiment across crypto markets.

This article was originally published as $75K or Bearish Regime Shift? 5 Bitcoin Insights This Week on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Editor’s note: As the 2026 Winter Olympics attract millions of fans worldwide, cyber crooks look to exploit hype and distraction. This editorial spotlights practical, action‑or‑action guidance from Kaspersky to recognize and avoid scam attempts around tickets, merchandise and streaming. The aim is to empower readers to verify sources, keep personal data secure, and rely on official channels during the events. The content below complements the press release by summarizing key takeaways and security best practices for attending, watching or engaging with the Games online.

Key points

Buy tickets only from official channels and confirm via the official Olympics platform.

Stick to legitimate streaming services and trusted broadcasters; verify HTTPS and avoid unverified sites.

Avoid counterfeit merchandise by purchasing only from official stores or partner retailers.

Don’t click unsolicited emails, posts, texts, or ads offering free tickets or cheap streams.

Rely on a trusted security tool such as Kaspersky Premium to block dangerous sites and card-skimming scripts.

Why this matters

During a global event that unites fans from around the world, the risk of cyber fraud rises in tandem. This guidance helps fans protect personal and payment information, avoid losing money on fake tickets, fake merch, and bogus streams, and enjoy the Games with greater confidence. By sticking to official sources and trusted channels, readers reduce exposure to fraud and support a safer online fan experience.

What to watch next

Monitor official Olympics channels for ticket availability and official merchandise.

Verify streaming sources and ensure secure payments on trusted platforms.

Be cautious of unknown shops; buy only from confirmed official stores or partner retailers.

Stay alert for phishing attempts and rely on security advisories from trusted providers.

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

How to spot and avoid cyber scams during the 2026 Winter Competitions

The 2026 Winter Olympic Games are in full swing, captivating sports fans worldwide. However, the Games also serve as an opportunity for scammers to strike with different kinds of cyber fraud. Kaspersky has identified some of the key scams targeting fans right now – these are centered on fake tickets, merchandise and streaming access.

Ticket fraud

Fake ticket schemes rank among the most damaging scams hitting sports fans. With sports venues drawing huge crowds, attackers push bogus “tickets” through phishing sites that mimic official sellers to harvest payment info. Official sources stress that tickets are sold exclusively through the authorized Olympics platform, and third-party brokers or resale sites (outside any official resale channel) are fraudulent.

A fake ticket website

Bogus merchandise traps

Fans rushing to buy authentic sports competition items – clothes, souvenirs or event-specific collectibles – are prime targets. Attackers launch multiple counterfeit online shops that may use official logos, post convincing photos and fabricate glowing reviews to appear legitimate. Victims pay, then get nothing – or have their card details stolen for later fraud.

Fake streaming offers

Attackers create deceptive websites imitating broadcasters, promising “cheap,” “exclusive,” or even “free” ways to catch winter competition events live – from snowboard cross to curling finals. Users pay input card details expecting instant access, only to lose their money and expose financial data for theft or redirects to more scams when they hit “play.”

Scam page of “free” streaming service

“While global competitions bring together people from different countries for the ultimate sports festival, they also draw fraudsters eager to cash in on the hype. Whether through phony ticket portals, imitation merchandise sites or bogus streaming links, these schemes are designed to look completely genuine. The best defense for sports fans is to pause, double-check every source and stick strictly to official, trusted channels before entering any personal or payment information,” notes Anton Yatsenko, web content expert at Kaspersky.

Here are the key ways to protect yourself during sports competitions:

Purchase tickets exclusively from official channels. Skip any third-party sellers and always confirm via the official competition website.

Stick to legitimate streaming services and trusted broadcasters. Verify HTTPS security, check reviews and never submit payment info on unverified or pop-up sites.

Be cautious with merchandise vendors, avoid deals on “exclusive” or heavily discounted competition-branded items from unknown shops – they often deliver fakes, nothing at all or steal your details. Buy only from confirmed official stores or partner retailers.

Don’t click on unsolicited emails, social media posts, texts or ads offering free tickets, cheap streams, special giveaways, or “urgent” competition updates.

Rely on a trusted security tool like Kaspersky Premium, which actively blocks dangerous websites, phishing attempts, malicious ads and card-skimming scripts in real time to safeguard your information.

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 How to Spot and Avoid Cyber Scams During the 2026 Winter Games on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Animoca Brands has secured a Virtual Asset Service Provider (VASP) license from Dubai’s Virtual Assets Regulatory Authority (VARA), enabling a broader, regulated footprint for crypto activities within the emirate. The license authorizes broker-dealer services and investment management related to virtual assets in Dubai, excluding the Dubai International Financial Centre, and targets institutional and qualified investors. The public record shows the license was issued on Feb. 5, reinforcing Dubai’s ongoing push to formalize digital-asset operations under a clear governance framework. Animoca says the license strengthens its ability to engage with Web3 foundations and global institutions within a well-defined regulatory environment. The move comes as Dubai continues to position itself as a regional hub for regulated crypto activity.

Key takeaways

Animoca Brands obtains a VARA VASP license to offer broker-dealer services and asset-management activities related to virtual assets in Dubai, focused on institutional and qualified investors.

The license excludes the Dubai International Financial Centre, signaling a mainland-and-free-zone approach to oversight under VARA.

The development aligns with Animoca’s broader strategy in Web3, including support for projects such as The Sandbox, Open Campus, and Moca Network, while expanding its investor access in the region.

Dubai has a growing roster of licensed crypto operators, underscoring a deliberate shift toward a regulated, institution-friendly crypto ecosystem in the emirate.

Animoca’s recent activity includes the January acquisition of Somo, integrating playable and tradable digital collectibles into its portfolio.

Market context: Dubai’s VARA framework is part of a broader regional trend toward regulated digital-asset markets within the UAE, with enforcement actions signaling a clear stance against unlicensed activity and marketing breaches. The emirate’s approach contrasts with looser regimes elsewhere, drawing institutional participants seeking compliant environments and predictable governance.

Why it matters

The VARA license marks a meaningful expansion point for Animoca Brands in a market that has openly courted Web3 and blockchain-driven enterprise. By enabling broker-dealer functions and asset-management capabilities under VARA’s oversight, Animoca gains a regulated on-ramp for institutional and qualified investors, potentially accelerating large-scale partnerships and liquidity channels for its portfolio companies. This is particularly relevant as the company maintains a diversified portfolio—encompassing The Sandbox, Open Campus, and Moca Network—while continuing to back early-stage projects that align with its long-term strategy in decentralized ecosystems.

For Dubai, the approval reinforces a deliberate effort to attract structured capital and sophisticated investment strategies into digital-asset ventures. The license depiction in VARA’s public register confirms a formal recognition of Animoca’s operations within the emirate and suggests a framework under which the company can collaborate with Web3 foundations and other international players—an important signal for both developers and financiers looking for regulated access to Dubai’s growing crypto infrastructure.

On the corporate side, the move dovetails with Animoca’s ongoing efforts to broaden its influence in the blockchain space. The company has been expanding its reach through portfolio expansion, strategic acquisitions, and partnerships that blend gaming, digital collectibles, and interoperable ecosystems. The Somo acquisition in January, which added playable and tradable digital collectibles to Animoca’s repertoire, underscores a strategy to combine asset-backed experiences with a regulated, institution-facing platform. This combination could help the firm monetize digital assets through more formalized channels while maintaining its emphasis on creator economies and user-owned ecosystems.

Altogether, the Dubai license positions Animoca at the intersection of regulated finance and Web3 innovation—a space that investors and builders have increasingly prioritized as crypto markets mature. The licensing choice also aligns with a broader UAE narrative of modernization and regulatory clarity, where oversight is paired with a deliberate openness to institutional participation in digital-asset markets.

What to watch next

VARA’s ongoing oversight of licensed entities: continued monitoring of market conduct and compliance expectations for broker-dealer activities in the emirate.

Expansion of Animoca’s regional activities: potential collaborations with Dubai-based institutions and Web3 foundations, and integration of Somo and other assets into regulated product offerings.

Further licensing activity in Dubai: follow-on approvals for additional asset classes or service models, signaling the pace of institutional crypto adoption in the region.

Regulatory alignment within the UAE: broader moves to harmonize crypto frameworks across Dubai and Abu Dhabi, and among allied Gulf markets.

Sources & verification

VARA public register entry for Animoca Brands Middle East Advisory FZCO (license issued Feb. 5)

Animoca Brands announcement: Animoca Brands secures VASP licence from Dubai’s VARA

Animoca Brands expands portfolio with Somo acquisition

BitGo awarded VARA broker-dealer license for its Middle East and North Africa unit

Dubai license expands Animoca’s Web3 footprint

Dubai’s VARA granted Animoca Brands a virtual-asset service provider license that unlocks broker-dealer and investment-management capabilities for virtual assets within the emirate, excluding the Dubai International Financial Centre. The license, officially issued on Feb. 5 and logged in VARA’s public register, opens the door for Animoca to serve institutional and qualified investors under VARA’s supervision. The registry entry confirms the formal scope of permitted activities and marks a notable milestone for a company whose portfolio spans The Sandbox, Open Campus, and Moca Network, along with a broad set of early-stage projects in the blockchain and gaming landscape. In comments accompanying the license, Omar Elassar, Animoca’s managing director for the Middle East and head of global strategic partnerships, described the move as a way to deepen partnerships with Web3 foundations and global institutions within a well-regulated framework.

The Dubai license is part of a broader pattern in which the emirate has actively cultivated regulated pathways for digital assets to foster institutional participation while maintaining oversight. VARA, established in 2022 to regulate asset issuance, trading, and related services across Dubai’s mainland and its free zones, has signaled a firm stance against unregistered activity. The regulator has also been active in enforcement, including financial penalties assessed against entities for unlicensed operations and marketing violations, underscoring the balance Dubai seeks between encouraging innovation and ensuring consumer protection and market integrity.

Animoca Brands’ footprint in the region extends beyond licenses. The company has built a diversified Web3 platform ecosystem that includes The Sandbox, a leading virtual world, along with Open Campus and the Moca Network. These projects are designed to integrate user-generated content, creator economies, and interoperable assets across multiple experiences. The company has also been expanding its investment thesis in digital collectibles and blockchain-based entertainment, backing a wide array of initiatives across the ecosystem.

In January, Animoca expanded its strategic capabilities by acquiring Somo, a gaming and digital-collectibles company, which brought playable and tradable collectibles into Animoca’s asset mix. The acquisition aligns with Animoca’s broader strategy of combining interactive experiences with a regulated, institution-facing platform, potentially enabling new revenue models and liquidity channels for Web3 projects within Dubai’s regulatory framework. While Somo’s integration is ongoing, the deal illustrates how Animoca intends to leverage regulatory access in Dubai to accelerate growth and broaden its reach in the Middle East’s burgeoning crypto market.

As Dubai continues to refine its regulatory approach and attract more institutional players, Animoca’s VARA license stands as a tangible signal of the emirate’s commitment to structured, compliant innovation in digital assets. For industry observers, the development highlights how major Web3 builders are moving toward regulated environments that can support scalable, investor-grade activity while preserving the decentralized and creator-centric ethos at the core of the sector.

This article was originally published as Animoca Brands Wins Dubai Crypto License Expands Middle East Services on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Bitcoin (CRYPTO: BTC) started 2026 with a steep slide and is on track for a challenging first quarter, echoing patterns seen in prior bear markets. The largest cryptocurrency by market cap has fallen about 22% since January, slipping from roughly $87,700 to the mid-$60k range, with recent prints near $68,000. If that pace holds, Q1 could mark the worst start to a year since the 2018 bear market, when BTC tumbled almost 50%, according to data tracked by CoinGlass. Ether (CRYPTO: ETH), the second-largest asset, has also pushed lower in the year’s early weeks, though its losses have been comparatively milder, aligning with a broader risk-off mood across crypto markets.

Key takeaways

Bitcoin is down roughly 22% year-to-date, trading around $68.6k after opening near $87.7k, signaling entrenched near-term softness.

The first quarter could become the worst since 2018 for BTC, with 2018 data showing a 49.7% quarterly decline according to CoinGlass.

Ether has fared similarly in its own context, with about 34.3% losses in the current Q1—the third-worst start among nine observed first quarters historically.

BTC has posted five straight weeks of losses, including a January drop of around 10.2% and a February trend that remains negative, needing a reversal above $80k to avert further red printing in February.

Analysts describe the move as a routine correction within a longer-term backdrop of rising institutional interest and halving-cycle dynamics, rather than a structural breakdown.

Tickers mentioned: $BTC, $ETH

Sentiment: Bearish

Price impact: Negative. The price has declined to about $68,670, indicating ongoing downside pressure in the near term.

Market context: The sector remains sensitive to macro headwinds and liquidity conditions, with a focus on how institutional adoption and supply-side cycles could shape a potential rebound later in the year.

Why it matters

From a market structure perspective, the current pullback highlights how crypto assets are trading in a risk-off environment even as macro narratives evolve. Bitcoin’s retreat from the high-70s and into the 60k territory reflects a mix of profit-taking, cautious positioning by retail participants, and a broader test of support levels after a period of elevated volatility. The context matters because BTC’s price level often informs broader risk appetite in the sector, influencing altcoins and the trajectory of liquidity in the ecosystem.

Historically, the first quarter has displayed pronounced volatility for crypto. In 2018, during a brutal bear market, BTC shed almost half of its value within three months, a benchmark often cited by traders and analysts when assessing risk. In 2025 and 2020, Q1 saw notable declines as well, though the magnitude varied. The current quarter’s descent—paired with ETH’s sharp, yet comparatively less severe, slide—appears to align with a broader pattern: macro uncertainties tend to weigh on risk assets early in the year, even as final-year catalysts or structural developments remain in view.

One factor driving the current mood is the perpetual tug-of-war between risk-off sentiment and the long-run thesis for crypto assets. On one hand, institutions have continued to explore exposure and on-chain activity has shown resilience in certain metrics. On the other hand, macro headwinds—rising rates expectations, liquidity considerations, and geopolitical dynamics—can confine upside moves in the near term. In this context, market participants are watching crucial levels to gauge whether the pullback is a temporary correction or the onset of a more protracted downturn.

Within the price action, BTC’s five-week losing streak underscores a persistent near-term weakness. A slide of around 2.3% in the preceding 24 hours, with prices hovering around $68,670 at press time, suggests a market that remains sensitive to any fresh negative catalysts. CoinGecko tracks Bitcoin’s price and confirms the current trading range, reinforcing the view that a meaningful rebound would require catalysts beyond mere technical bounce—potentially including improved macro clarity or a renewed wave of institutional buying interest.

What to watch next

Price level to watch: Whether BTC can reclaim the $80,000 threshold to halt or reverse the February red trend.

Near-term performance: The next weekly closes to determine if the five-week streak of losses ends or extends.

ETH trajectory: Whether Ether’s decline moderates alongside BTC or diverges due to sector-specific catalysts.

Macro and on-chain signals: Monitoring shifts in liquidity conditions, risk sentiment, and any halving-cycle-related dynamics that could bolster a longer-term recovery.

Institutional flow indicators: Any uptick in demand from well-funded participants that could support a sustained move higher once macro conditions stabilize.

Sources & verification

CoinGlass data on Bitcoin’s quarterly performance and historical comparisons to 2018 (bear market) data.

CoinGecko price data confirming BTC around $68k–$69k and daily movement metrics.

LVRG Research commentary from Nick Ruck on BTC’s correctional phase and long-term resilience.

Twitter/X reference to DaanCrypto’s assessment of Q1 volatility and its historical context.

Bitcoin’s Q1 trajectory amid macro headwinds and halving dynamics

Bitcoin (CRYPTO: BTC) is navigating a challenging start to 2026, with a renewed sense of caution across markets. After opening the year near $87,700, the benchmark asset has ceded roughly a quarter of its value, slipping into the mid-60k zone as headlines about liquidity and policy remain in focus. The decline mirrors patterns seen at the outset of prior downturns, where quarterly losses in the double-digit range have not always translated into a permanent downturn but instead have persisted until a new phase of accumulation takes hold. CoinGlass data help frame the severity: the first quarter of 2018, for example, remains the gold standard for a severe quarterly drawdown in the BTC bear era. The current slide has revived debates about whether the market is entering a longer-term correction or simply testing support before a potential resumption of upside.

Ether (CRYPTO: ETH) is not immune to the broader risk-off tone, though its drawdown has followed a somewhat different cadence. The leading altcoin has faced substantial selling pressure in Q1, with losses that stand at roughly 34% so far this quarter. Historically, ETH has shown red in a minority of its first quarters, but the current figure places it among its harsher starts. The divergence between BTC and ETH’s path underscores the nuanced dynamics within the crypto market, where Bitcoin often drives overall market psychology while the altcoin complex trails in response to sector-specific catalysts and cross-asset risk metrics.

Market observers have pointed to a recurring theme: the first quarter has a reputation for volatility in crypto markets, a fact that traders reference when calibrating risk and exposure. Daan Trades Crypto, an analyst cited in recent commentary, notes that quarterly fluctuations tend to be self-contained at the outset of a given year, and that early-year losses do not always predict how the rest of the year will unfold. Such commentary is supported by a broader body of historical data indicating that while Q1 performance can be harsh, it does not invariably preface a structural market decline, particularly when halving cycles and institutional adoption offer longer-term catalysts.

Current price action places BTC at a crossroads. When prices last crossed into the $70k range, buyers often argued for a swift rebound on improved macro sentiment or renewed liquidity. That level has since yielded to selling pressure, and a sustained breach of price levels around $68k–$69k raises the question of whether the market is undergoing a deeper retracement or simply pausing before the next leg up. For traders and investors, the key remains whether macro signals align with on-chain activity and whether the next set of data points—be it inflation prints, rate expectations, or regulatory developments—could tilt the balance in favor of buyers or sellers over the coming weeks.

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

This article was originally published as Bitcoin Drops 22%: Could Q1 Be the Worst Since 2018? on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Strategy founder Michael Saylor unveiled a plan to convert roughly $6 billion of convertible debt into equity, a move designed to ease balance‑sheet pressure while preserving the firm’s Bitcoin holdings. The company maintains a Bitcoin treasury of about 714,644 BTC, valued at roughly $49 billion at current prices, a substantial cushion for its leverage profile. Equitizing the debt—converting bonds into equity rather than repaying cash—would turn bondholders into shareholders and reduce near‑term debt obligations. The announcement, prompted by a Sunday post on X, followed a public assertion that the plan could withstand a dramatic BTC price drop and still fully cover the debt, a claim the firm made in a message linked to a Saylor post. The news comes as the market contends with sharp volatility and a price environment that has kept BTC trading in a wide range around the high 60,000s.

Key takeaways

Strategy plans to convert about $6 billion of convertible debt into equity, reducing debt exposure without a cash repayment.

The firm’s Bitcoin treasury stands at approximately 714,644 BTC, underpinning the balance sheet with a sizeable asset base worth tens of billions of dollars at current prices.

Bond-to-equity conversion hinges on BTC price sensitivity; the firm argues that BTC would need to fall about 88% for the debt and equity to be equivalent on a value basis.

Equitization could dilute existing shareholders by issuing new stock, though it also eases pressure on cash flow and debt servicing.

The company has continued accumulating BTC, signaling a persistent long‑term thesis even as market prices dip.

Strategy’s stock has fallen roughly 70% from its all‑time high, reflecting broader declines in crypto markets and investor sentiment as BTC fluctuates near $68,000–$70,000.

Tickers mentioned: $BTC, $MSTR

Sentiment: Neutral

Price impact: Neutral. The described debt conversion is a balance‑sheet adjustment rather than a direct price move.

Trading idea (Not Financial Advice): Hold. The company is pursuing structural relief through equity issuance while continuing to accumulate BTC, which could support downside protection if BTC stabilizes or recovers.

Market context: The strategy reflects a broader approach among BTC‑heavy firms to balance debt with control over equity issuance, as crypto markets experience episodic volatility and shifting investor risk appetite.

Why it matters

The move to convert debt into equity spotlights a pragmatic path for crypto‑native companies seeking to de‑risk their balance sheets without selling large BTC holdings into a volatile market. If successful, the conversion could limit cash obligations and preserve a strategic BTC reserve that could support future liquidity needs. For investors, the key question is how the equity dilution will affect existing shareholders and whether the new capital structure will provide a clearer path to profitability as BTC remains a cornerstone of Strategy’s balance sheet.

From a market perspective, Strategy’s strategy tests how far a BTC‑backed business can lean on its crypto reserves while weathering price swings and volatility in both digital assets and traditional equity markets. The company contends its BTC hoard provides a robust cushion, even if the price of BTC experiences extended drawdowns. The dynamic between debt relief and equity dilution will be watched closely by investors and analysts, particularly as BTC prices hover in a historically elevated but highly cyclical band and as the broader market evaluates the durability of corporate treasury strategies tied to crypto assets.

What to watch next

Details on the final terms of the debt‑to‑equity conversion, including any changes to voting rights, dilution thresholds, and timing of the issuance.

Any updates to the BTC accumulation program, including changes to the size of the reserve and the cadence of purchases.

Regulatory developments around convertible notes and crypto treasuries that could influence balance‑sheet choices for BTC‑heavy companies.

Further commentary from Michael Saylor or Strategy on future buy signals or treasury strategy, including additional posts on X.

Sources & verification

Strategy’s official posts and remarks on X detailing the debt conversion and BTC holdings.

Historical data on Strategy’s stock price (MSTR) and Bitcoin price data from referenced sources (Google Finance, CoinGecko).

Previously published articles referenced in the original piece about Saylor’s buy signals and prior accumulation episodes.

Strategy’s balance sheet reshaped by a debt-to-equity plan

Strategy’s planned move to convert about $6 billion of convertible debt into equity reflects a deliberate effort to pare back leverage while preserving governance and the strategic advantage of its bitcoin reserves. Bitcoin (CRYPTO: BTC) is central to this approach, and the company publicly states that its 714,644 BTC stack creates a substantial cushion that could sustain debt obligations even as market prices swing. The conversion turns creditors into shareholders, realigning incentives with long‑horizon investors who expect the BTC treasury to underpin future growth and liquidity.

From a structural standpoint, the strategy has a double effect. On the one hand, it reduces the near‑term debt load on the balance sheet and eliminates cash interest obligations tied to the convertible notes. On the other hand, it introduces equity dilution, which can dilute existing owners’ ownership and shareholder earnings per share if the new stock issuance expands the float. The firm emphasizes that the conversion would be fully backed by BTC reserves; in other words, the risk on debt coverage remains anchored by the crypto asset base, even if BTC experiences a meaningful price correction.

The financial calculus is anchored to a striking data point: the conversion would effectively require an 88% drop in BTC price for the debt and the resulting equity to be value‑balanced. The math underscores how much the reserve acts as a backstop and also highlights the sensitivity of the plan to BTC’s price trajectory. The firm’s public statements to date suggest that even under severe stress scenarios, the strategy could sustain debt coverage while giving bondholders an ownership stake rather than a cash repayment at maturity, thereby avoiding forced sales in a downturn.

Meanwhile, Strategy has continued to accumulate BTC, a pattern that has persisted through recent market turbulence. The company’s average entry price for Bitcoin sits around $76,000, implying that even with current prices near $68,400, the overall position remains underwater on a cost basis. The ongoing accumulation is part of a broader narrative wherein the company uses its treasury not simply as a reserve but as a cornerstone of its equity‑backed financial stance. The public posts and related coverage indicate a steady cadence of purchases, including mentions of multiple weeks of continued accumulation as BTC price action fluctuates.

Beyond the internal balance‑sheet mechanics, the market response to Strategy’s leadership has been a mix of caution and curiosity. Strategy’s stock (MSTR) has endured a significant drawdown from its all‑time high, illustrating how crypto equities can decouple from the performance of BTC during periods of broad risk aversion. The latest trading, with shares near a fraction of the peak, showcases the tension between a potentially stabilizing balance‑sheet strategy and the market’s perception of dilution risk and growth prospects. As BTC attempted to reattain key levels in late trading and again faced pressure, investors weighed whether the new equity issuance would unlock a clearer path to profitability or simply reset the capital structure without delivering immediate earnings momentum.

The ongoing narrative also intersects with broader market sentiment about crypto treasuries and convertible debt, a topic covered in prior industry discussions. The company’s approach, while tailored to its own assets and obligations, mirrors a broader trend in which BTC‑centric businesses seek structural options to weather cycles of drawdown without sacrificing long‑term exposure to the asset that forms the core of their strategic thesis.

This article was originally published as Saylor’s 3-6 Year Strategy to Equitize Convertible Debt on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.

Grayscale has filed with the U.S. Securities and Exchange Commission to convert its Aave-tracking trust into an exchange-traded fund, signaling a continuing push to bring decentralized-finance exposure to mainstream investors. The filing, disclosed via a Form S-1 on February 13, 2026, envisions renaming the vehicle the Grayscale Aave Trust ETF and listing on NYSE Arca under the ticker GAVE, with Coinbase serving as custodian and prime broker. If approved, the product would hold AAVE tokens directly, rather than using a mix of securities and assets. Aave, a cornerstone of DeFi, currently dominates borrowing and lending activity across multiple chains and has drawn sustained investor interest despite broader market softness.

Key takeaways

Grayscale aims to convert its Aave Trust into an NYSE Arca-listed ETF (GAVE) with a 2.5% management fee, and Coinbase would act as custodian and prime broker.

The filing makes Grayscale the second U.S. firm to seek regulatory approval for an ETF tied to AAVE, joining Bitwise in a growing field of altcoin ETFs.

Grayscale would hold AAVE tokens directly in the fund, contrasting with Bitwise’s approach that blends a substantial token stake with traditional securities to track AAVE exposure.

AAVE remains the largest DeFi protocol by total value locked, a lens through which the ETF product could unlock liquidity for users and risk-managed investors alike.

EU-listed products, including 21Shares’ AAVE ETP in Nasdaq Stockholm, illustrate a global appetite for regulated crypto access even as the U.S. market weighs its own framework.

Tickers mentioned: $AAVE

Sentiment: Neutral

Market context: The push for crypto ETFs persists even as risk sentiment remains cautious in the broader markets. Regulators are scrutinizing novel structures that blend regulated investment vehicles with direct token holdings, a trend that continues to shape the way institutions access DeFi assets.

Why it matters

The Grayscale filing underscores a sustained appetite among traditional market participants to provide regulated access to key crypto rails, particularly in decentralized finance. By proposing to hold AAVE tokens directly, the Grayscale Aave Trust ETF would deliver a relatively simple, token-centric exposure that mirrors the underlying protocol’s on-chain activity. This structure could appeal to investors seeking a transparent, single-asset vehicle that tracks a well-established DeFi protocol without the complexities of a blended equity-and-token approach.

From a market-theory perspective, a direct-token ETF has the potential to increase liquidity and price discovery for AAVE, a token that sits at the core of a multi-chain lending and borrowing ecosystem. AAVE (CRYPTO: AAVE) powers collateralized lending across different networks, and its token economics include staking opportunities that reward participants for securing the platform’s stability. If the fund gains approval, it would provide a familiar, U.S.-listed conduit for macro investors to gain leverage to DeFi yields and protocol growth while mitigating some idiosyncratic risk through ETF mechanics. The decision could also influence how other altcoins are packaged into ETFs, potentially accelerating similar filings across the sector.

The competition landscape is notable. Grayscale is not entering a vacuum; Bitwise currently seeks regulatory clearance for the Bitwise AAVE Strategy ETF, a plan that would allocate up to a majority of assets to AAVE tokens and place a substantial portion in securities linked to the token’s performance. The contrast between Grayscale’s direct-token approach and Bitwise’s mixed-asset strategy highlights a broader debate about how best to structure crypto exposure for institutional portfolios. As the two filings advance, regulators will weigh issues such as custody, liquidity, and investor protection in the context of a market where on-chain activity can diverge from traditional equity markets.

Beyond the United States, the appetite for regulated Aave exposure is evident. In Europe, 21Shares launched an Aave exchange-traded product on Nasdaq Stockholm in November, joining earlier European efforts by Global X in Germany. These products reflect a broader trend of creating accessible, regulated pathways for investors to participate in the DeFi economy without directly managing private keys or navigating on-chain custody. The cross-border momentum matters because it signals that crypto-native products can find distribution channels outside the U.S., even as policymakers refine the domestic framework for crypto-asset ETFs.

From a price perspective, the market has not fully priced in the regulatory drama and potential upside from a US-listed AAVE ETF. The AAVE token has hovered around the mid-$100s, with price swings often reflecting broader crypto market sentiment as well as protocol-specific developments, such as staking mechanics and governance changes. Market data show that the token’s trajectory remains sensitive to both macro risk appetite and the evolving regulatory landscape for crypto funds and custodians.

As this story unfolds, the sector’s growth narrative continues to hinge on clarity from regulators, custody capabilities, and the ability of managers to deliver transparent, liquid products that align with investor expectations. The Grayscale filing does not guarantee approval or listing, but it does reinforce that, even in a downturn, there is continued demand among asset managers to bridge the gap between DeFi innovation and traditional market access.

What to watch next

Regulatory decision on Grayscale’s Form S-1 for the Grayscale Aave Trust ETF, including potential timing for a decision.

NYSE Arca listing logistics and the official launch timeline for GAVE, if approved.

Regulatory progress on Bitwise’s AAVE Strategy ETF and any subsequent outcomes for U.S.-listed altcoin ETFs.

Developments in European AAVE-linked ETFs/ETPs, including any new products or regime changes that affect cross-border distribution.

Market reaction in AAVE pricing and liquidity as ETF chatter intensifies and custody arrangements mature.

Sources & verification

Grayscale’s Form S-1 registration for the Grayscale Aave Trust ETF filed with the SEC (aave-20260213.htm).

Bitwise’s SEC filing for the Bitwise AAVE Strategy ETF.

DefiLlama data confirming Aave’s market position as a leading DeFi protocol with significant TVL.

21Shares’ Aave ETP on Nasdaq Stockholm as an example of Europe’s regulated exposure to the token.

CoinGecko price data for the AAVE token and on-chain activity references used to illustrate the current market context.

Grayscale targets Aave ETF, expanding US access to DeFi exposure

AAVE (CRYPTO: AAVE) has become a focal point in a growing wave of regulated products designed to mirror the performance of decentralized finance assets. Grayscale’s filing with the SEC outlines a structure in which the Grayscale Aave Trust ETF could hold the token directly on its balance sheet. The move—should it clear regulatory hurdles—would place a U.S.-listed, token-backed vehicle alongside existing crypto ETFs and ETPs, potentially broadening the investor base for Aave and the DeFi ecosystem more broadly.

In the current filing framework, the Grayscale vehicle would be listed on NYSE Arca under the symbol GAVE, with a management fee of 2.5% and a custody arrangement described as handled by Coinbase. The direct-token approach contrasts with other ETF strategies that blend token holdings with traditional securities or derivatives to achieve exposure. The difference may matter to fund sponsors and investors alike, particularly around liquidity profiles, redemption mechanics, and custody risk management in a landscape where on-chain activity can precede off-chain valuations.

The regulatory backdrop for a token-backed ETF remains nuanced. While the SEC has shown openness to crypto investment products, it has also emphasized investor protection, disclosure, and custody standards. Grayscale’s S-1 indicates a careful alignment with those expectations, aiming to provide transparent access while maintaining robust safeguards around token custody and exchange mechanisms. The broader market context—where Bitwise is pursuing a similar filing and European issuers have already brought Aave-linked products to market—suggests a multi-regional competition to offer the most liquid and compliant versions of DeFi exposure.

From a product design standpoint, the choice between direct token ownership and a blended allocation represents more than a stylistic preference. Direct token holdings could simplify the fund’s tracking error relative to the underlying asset but require sophisticated custody and liquidity planning. In contrast, a partially token-weighted ETF can diversify risk by incorporating securities linked to the token’s performance, potentially smoothing volatility but introducing tracking complexities. As both Grayscale and Bitwise move through the regulatory process, the evaluation of these trade-offs will inform not just AAVE ETFs, but the future shape of DeFi-focused investment products in the United States.

The evolving narrative around Aave ETFs also intersects with activity on other fronts. Europe’s active ETP pipelines and ongoing discussions about crypto product approvals in the U.S. highlight a broader market interest in regulated crypto access. The Aave ecosystem—where users lend, borrow, and earn yield across multiple blockchains—remains a compelling case study for what “regulated DeFi exposure” could look like in practice. Investors watching the Grayscale filing should consider how direct token exposure compares to more traditional ETF constructs, and what this implies for the future of institutional participation in the DeFi economy.

What to watch next

The SEC’s decision timeline for Grayscale’s Aave Trust ETF filing and any subsequent amendments to the Form S-1.

Timing and logistics for an NYSE Arca listing if the ETF receives regulatory approval.

Regulatory and market updates on Bitwise’s AAVE Strategy ETF and any related product developments.

Regulatory developments in Europe and other regions, where Aave-linked ETPs have already gained traction.

Market reactions to the potential launch, including AAVE price dynamics and liquidity indicators on major exchanges.

This article was originally published as Grayscale to Turn AAVE Trust into ETF on NYSE Arca on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.