Buy Crypto Markets Spot FuturesGOLD Earn Event Center

CryptoNews

CryptoNews is a premier global portal for cryptocurrency intelligence, dedicated to driving mainstream adoption. As a multilingual media hub, it delivers breaking news and comprehensive educational guides, serving as a trusted bridge for global investors entering the Web3 ecosystem.

CryptoNews's Articles

Texas Siblings Charged in Violent $8M Crypto Theft After 9-Hour Family Kidnapping

Two Texas brothers face federal kidnapping charges after holding a Minnesota family at gunpoint for nine hours while stealing $8 million in crypto, forcing local schools to cancel their homecoming football game. According to the DOJ, Raymond Christian Garcia, 23, and Isiah Angelo Garcia, 24, used an AR-15 and a shotgun to terrorize victims in their Grant, Minnesota, home on September 19. A Well-Executed Crypto Heist The violent heist began at 7:45 am when the brothers ambushed the primary victim while taking garbage to the street. They zip-tied the man’s hands, forced him inside, and awakened his wife and adult son at gunpoint before binding them as well. Isiah Garcia forced the father to log into crypto accounts while Raymond held the family hostage for the entire nine-hour ordeal. The brothers frequently called an unknown third party who provided information about the victim’s crypto holdings and transfer procedures. When the accomplice revealed additional funds stored at a family cabin three hours away, Isiah drove the victim there while Raymond continued guarding the wife and son. The victim was forced to transfer all remaining crypto before returning home. Nine-Hour Terror Campaign Nets Record Crypto Theft The Garcia brothers executed their plan with military-style precision, using zip ties and assault weapons to maintain control over their victims throughout the extended ordeal. Raymond Garcia remained armed with the AR-15 rifle during the entire nine hours, only briefly leaving to hide the weapon before police arrival. Washington County Sheriff’s deputies responded after the son called 911 during a brief moment when Raymond left the house. Officers found the wife and son still zip-tied inside while spotting Raymond fleeing through the back door toward nearby tree lines. Authorities discovered a suitcase containing the disassembled AR-15, ammunition, clothing, and beverages hidden in the woods behind the home. A Wendy’s receipt in the suitcase helped investigators trace Isiah’s rental of a white Chevrolet three days before the kidnapping near Houston. Video surveillance captured Raymond renting a Motel 6 room in Roseville, Minnesota, shortly before the attack. The white Malibu returned to the motel after law enforcement responded, then appeared on Oklahoma cameras the next day before reaching the brothers’ home in Waller, Texas. The elaborate crime forced Mahtomedi Public Schools to cancel their homecoming football game due to ongoing law enforcement activity near campus. Multiple police units had unknowingly passed Isiah and the victim returning from the cabin, with the pair pulling over to allow emergency vehicles to pass. Global Crypto Violence Epidemic Reaches Record Levels The Texas case joins an alarming surge in crypto-related kidnappings worldwide, with blockchain analytics firm Chainalysis reporting 35 wrench attacks globally in July 2025, surpassing nearly all previous years. The spike correlates directly with Bitcoin’s rise to over $122,000 in early July.Source: Jameson Lopp GitHub France leads the global crisis with ten crypto kidnappings since January, including the brutal attack on Ledger co-founder David Balland, whose finger was severed by ransom-seeking attackers. Criminal networks are increasingly using sophisticated tactics, disguising themselves as delivery workers by using stolen, branded vans. Recent international incidents include Belgian authorities sentencing three men to 12 years for kidnapping crypto investor Stephane Winkel’s wife, while Australian billionaire Tim Heath narrowly escaped kidnapping in Estonia. US cases span from Florida teenagers forcing a Las Vegas event host to transfer $4 million in the Arizona desert to NYPD officers facing charges in a 17-day Manhattan torture case. India also recently sentenced 14 men to life imprisonment for kidnapping businessman Shailesh Bhatt and forcing him to sell 34 Bitcoins worth $150,000 in 2018. The convictions included 11 serving and former police officers, as well as one former legislator. Due to this massive surge in crypto violence, Security firm Infinite Risks International reports a rise in demand for 24/7 protection services from crypto executives, specifically citing fears of kidnapping. The visible nature of on-chain wealth combined with poor custody practices creates what experts describe as “prime hunting grounds for criminals.” Looking forward, the Garcia brothers confessed after their September 22 arrest in Texas, with both facing federal kidnapping charges carrying severe penalties yet to be determined

2025/09/26

Crypto Treasury Stocks at Risk of 50% Crash After PIPE Deals — CryptoQuant Warns

Crypto treasury companies that raised capital through private investment in public equity (PIPE) deals face a growing risk of their stock prices crashing by as much as 50%, according to a new market report from analytics platform CryptoQuant. The firm said PIPE-backed companies have already suffered steep declines, with share prices often gravitating toward their PIPE issuance levels. Researchers noted that when lock-up periods expire, investors frequently exit positions to secure profits, creating heavy selling pressure. PIPE Issuances Create Overhang Across Crypto Treasury Sector, Analysts Warn PIPE deals allow private investors to buy new shares below market price, offering companies fast access to liquidity in a competitive sector. While effective for raising cash, CryptoQuant warned that these arrangements dilute existing shareholders and leave an overhang of shares that weighs on stock performance. One of the starkest examples is Kindly MD (NAKA), a medical company that pivoted into Bitcoin treasury holdings earlier this year. Its stock surged from $1.80 in late April to nearly $35 by late May after announcing a PIPE raise. However, once PIPE shares unlocked, the stock collapsed 97%, falling to $1.16, almost identical to its PIPE offering price of $1.12. CryptoQuant described the retracement as a case of “PIPE price gravity.”Source: CryptoQuant Other crypto treasury firms may now be following the same path. Strive Inc. (ASST) peaked at $13 in May but has since dropped 78% to $2.75. CryptoQuant said its PIPE was priced at $1.35, implying the stock could face another 55% decline as investors prepare to sell when the lock-up ends next month. Cantor Equity Partners (CEP), a special purpose acquisition company merging with Twenty One Capital, also conducted a PIPE priced at $10. CEP’s shares have already slipped nearly 70% from their highs to below $20. CryptoQuant suggested the stock could fall another 50% from current levels once PIPE investors begin to sell. The report noted that even well-established crypto treasuries are under pressure as the value of their digital asset holdings approaches parity with their overall company valuations. This dynamic could further accelerate sell-offs if investors perceive limited upside in stock performance compared to direct crypto exposure. CryptoQuant concluded that only a strong and sustained Bitcoin rally is likely to counteract the downward pressure facing treasury stocks tied to PIPE deals. Without such a rebound, it warned that many companies are likely to continue trending toward or below their PIPE issuance levels. At present, the trend has already left PIPE-funded crypto treasury stocks exposed to sharp losses, with investors closely watching how upcoming unlocks will impact market sentiment in the weeks ahead. Small-Cap Firms Turn to Borrowing as Crypto Treasury Strategy Falters On the other hand, the crypto treasury strategy that surged across small-cap firms in 2024 is showing signs of strain as companies turn to debt-funded share buybacks to support collapsing valuations. According to a CryptoNews report, at least seven firms, including gaming, biotech, and electric vehicle companies, have launched repurchase programs despite trading below the value of their crypto holdings. Analysts say the trend reflects investor skepticism and undermines the premise that digital assets alone can boost stock performance. One high-profile case is ETHZilla, formerly 180 Life Sciences, which rebranded after buying ether. Its stock has fallen 76% since August. The company recently secured $80 million in debt from Cumberland DRW to finance a $250 million buyback. Critics argue the move signals distress. “They’re borrowing money to buy time, not tokens,” said Kaiko analyst Adam Morgan McCarthy. Similar tactics are emerging elsewhere. Empery Digital, once Volcon, expanded its debt facility to $85 million despite holding $476 million in Bitcoin, more than its $378 million market value. SharpLink Gaming, Ton Strategy, and CEA Industries are pursuing comparable measures. Research from K33 shows one in four public Bitcoin treasuries now trade below their net asset value, with the average NAV multiple falling to 2.8 from 3.76 in April. Smaller firms such as NAKA and Semler Scientific face mounting pressure, while larger players like MicroStrategy continue to command premiums. The slowdown in BTC accumulation suggests the once-celebrated crypto treasury playbook may be nearing its limits

2025/09/26

Korean Crypto Market Loses $24B in Six Months as Trading Volume Collapses – What’s Going on?

South Korean crypto market has shed approximately $24 billion in six months, with domestic crypto holdings plummeting from KRW 121.8 trillion to KRW 89.2 trillion between January and June 2025, according to the Bank of Korea’s latest Financial Stability Report. The massive outflow coincided with a dramatic collapse in trading activity, as daily volumes crashed from KRW 17.1 trillion in December 2024 to just KRW 3.2 trillion by June.Source: BOK Active Withdrawal Despite Bitcoin Price Gains The decline occurred despite Bitcoin’s price appreciation during the same period, indicating retail investors were actively withdrawing from crypto markets rather than experiencing passive losses. Exchange deposits fell from KRW 10.7 trillion to KRW 6.2 trillion, confirming widespread fund outflows. Korean retail investors shifted focus from crypto to domestic equities, which outperformed overseas markets amid a strengthening won currency. The pivot was particularly pronounced in U.S. tech stocks, with monthly purchases dropping from $1.68 billion between January and April to just $260 million by July. However, South Korean authorities are simultaneously accelerating pro-crypto policies, with President Lee Jae-myung designating digital asset ecosystem development as a “key national task.” The Democratic Party also launched a crypto policy task force this month, promising legislation before the end of the year to foster industry growth. Mass Exodus From Crypto to Traditional Assets The Bank of Korea attributed the decline in the crypto market partly to Korean investors’ strategic pivot toward domestic equities during a period of relative outperformance. Local stock markets provided attractive alternatives as global uncertainty around U.S. tariff policies created volatility in overseas investments. Korean retail investors demonstrated particular disillusionment with Tesla, selling a net $657 million in August alone as the electric vehicle maker lost its compelling narrative. Instead, crypto-related stocks, such as Bitmine Immersion Technologies, attracted $253 million in net inflows. Daily trading volumes on domestic crypto exchanges experienced an unprecedented decline of over 80% from their peak levels. The decline affected stablecoin trading growth, which had been expanding steadily before slowing during the withdrawal period. Despite the domestic downturn, global crypto markets reached a total capitalization of $4.2 trillion by September, representing 3.2% of the worldwide stock market value.Source: CoinGecko Institutional adoption and legislative progress, including the passage of the U.S. GENIUS Act, supported the growth of the international crypto market. Korean crypto investors maintained significant positions despite the outflows, with over 10,000 residents holding assets exceeding 1 billion won ($750,000). The nation’s 10.86 million active trading accounts represent roughly 20% of the total population.Source: YNA In fact, survey data revealed that 51% of South Koreans aged 20-59 have experience with crypto trading, with 27% currently holding digital assets, averaging 13 million won ($9,547) per investor. Early adopters typically began with Bitcoin before diversifying into altcoins and stablecoins, with 60% starting during the 2020 bull run. Government Pushes Pro-Crypto Agenda Despite Market Decline President Lee Jae-myung’s administration has launched comprehensive crypto-friendly reforms, reclassifying trading firms as “venture companies” to grant them access to tax incentives and state-backed financing that was previously denied since 2018. The Ministry of SMEs and Startups proposed amendments to include Virtual Asset Service Providers under the category of venture companies. Financial regulators lifted restrictions on institutional crypto investments while preparing approval frameworks for Korea’s first spot crypto ETFs. The Financial Services Commission also presented implementation measures scheduled for late 2025, alongside regulatory frameworks for won-based stablecoins. Major banks established dedicated crypto teams in anticipation of legislative approval. Woori Bank launched a nine-member Digital Asset Team, while Kookmin Bank created a Digital Asset Response Council covering KB Financial Group affiliates. Similarly, Shinhan Bank formed a 20-employee crypto task force as institutions prepare rapid market entry strategies. Local governments simultaneously intensified crypto tax collection efforts. According to a recent Cryptonews report, Cheongju City has seized tokens from 203 residents since 2021 for unpaid taxes and has opened its own trading account to directly liquidate confiscated assets. The city collected 1.5 billion won ($1.1 million) from 161 tax evaders through crypto seizures. The Democratic Party’s crypto policy task force pledged to streamline regulations away from operator restrictions toward industry fostering. Task force leaders plan consultations with regulators, the Bank of Korea, and private sector experts to develop comprehensive digital asset legislation

2025/09/26

Trump-Backed WLFI Plunges 58% – Buyback Plan Announced to Halt Freefall

World Liberty Financial (WLFI), the Trump-linked DeFi project, is scrambling to stop a market collapse after its token lost over 50% of its value in September. On Friday, the project unveiled a full buyback-and-burn program, directing all treasury liquidity fees to absorb selling pressure. According to a governance post on X, the community approved the plan overwhelmingly, with WLFI pledging full transparency for every burn. The urgency of the move reflects WLFI’s steep losses in recent weeks. WLFI is trading Friday at $0.19, down from its September 1 peak of $0.46, according to CoinMarketCap, a 58% drop in less than a month. Weekly losses stand at 12.85%, with a 15.45% decline for the month. This isn’t the project’s first attempt at intervention. Just days after launch, WLFI burned 47 million tokens on September 3 to counter a 31% sell-off, sending the supply to a verified burn address. For World Liberty Financial, the buyback-and-burn program represents both a damage-control measure and a test of community faith. While tokenomics adjustments can provide short-term relief, the project will need to convince investors that WLFI has staying power beyond interventions. WLFI Launches Buyback-and-Burn Plan, Linking Token Scarcity to Platform Growth According to the governance proposal, WLFI will use fees generated from its protocol-owned liquidity (POL) pools on Ethereum, BNB Chain, and Solana to repurchase tokens from the open market. Once bought back, the tokens will be sent to a burn address, permanently removing them from circulation.WLFI Proposal Source: WLFI The project stressed that this system ties supply reduction directly to platform growth. As trading activity rises, more liquidity fees are generated, fueling larger buybacks and burns. This seeks to create a feedback loop where adoption drives scarcity, and scarcity strengthens token value. Importantly, the plan applies only to WLFI’s protocol-controlled liquidity pools. Community and third-party liquidity pools remain unaffected, ensuring the mechanism doesn’t interfere with external ecosystem contributions. In its proposal, the WLFI team argued that the strategy aligns long-term holders with the project’s future by systematically reducing supply and discouraging short-term speculation. Each burn increases the relative stake of committed investors, reinforcing confidence in WLFI’s tokenomics. To bolster credibility, WLFI has pledged full transparency: every buyback and burn will be verifiable on-chain and reported to the community in real time. WLFI Joins Hyperliquid, Jupiter, and Sky as Buyback Craze Spills Into Wall Street WLFI’s decision to adopt a full buyback-and-burn strategy places it among the most ambitious tokenomic models in crypto. While partly a response to its sharp September price decline, the move also reflects a trend of DeFi protocols leveraging revenue streams to cut supply, align incentives, and strengthen token value. Hyperliquid illustrates the model at scale. Nearly all of its platform fees are funneled into automated $HYPE buybacks via its Assistance Fund, creating sustained demand. By mid-2025, more than 20 million tokens had been repurchased, with nearly 30 million held by Q3, worth over $1.5 billion. This consistency both increased scarcity and cemented Hyperliquid’s dominance in decentralized derivatives. Other protocols have adopted variations. Jupiter directs half its fees into $JUP repurchases, locking tokens for three years. Raydium earmarks 12% of fees for $RAY buybacks, already removing 71 million tokens, roughly a quarter of the circulating supply. Burn-based models push further, as seen with Sky, which has spent $75 million since February 2025 to permanently erase $SKY tokens, boosting scarcity and governance influence. But the buyback phenomenon isn’t limited to DeFi. Increasingly, listed companies with crypto treasuries are adopting aggressive repurchase programs, sometimes to offset losses as their digital assets decline. According to a report, at least seven firms, ranging from gaming to biotech, have turned to buybacks, often funded by debt, to prop up falling stock prices. One of the latest is Thumzup Media, a digital advertising company with a growing Web3 footprint. On Thursday, it launched a $10 million share repurchase plan, extending its capital return strategy through 2026, after completing a $1 million program that saw 212,432 shares bought at an average of $4.71. DeFi Development Corp, the first public company built around a Solana-based treasury strategy, also recently expanded its buyback program to $100 million, up from $1 million, making it one of the largest stock repurchase initiatives in the digital asset sector. Together, these cases show how buybacks, whether in tokenomics or equities, are emerging as a key mechanism for stabilizing value and signaling confidence, even as motivations and execution vary widely

2025/09/26

Hyperliquid’s HyperVault Project Rugged for $3.6M, Devs Disappear

HyperVault developers have executed a rug pull on their Hyperliquid-based DeFi platform, draining approximately $3.6 million in user funds before disappearing and deleting all social media accounts. PeckShieldAlert first detected abnormal withdrawals from the yield protocol, with funds being bridged from Hyperliquid to Ethereum and converted to ETH. Tornado Cash Conceals $3.6M Trail as Social Accounts Vanish The stolen funds followed a familiar pattern, with 752 ETH deposited into Tornado Cash to obscure transaction trails. HyperVault’s official Twitter account now displays “this account doesn’t exist,” while their Discord server has also vanished.Source: X Unfortunately, early alerts were raised on September 4 when community member HypingBull shared on X concerns about the project’s claimed security audits, but were ignored. When HyperVault developers stated that audits were “pending via Spearbit, Pashov, and Code4rena,” an investigation revealed that none of these firms had been involved in the project. The scam adds pressure to Hyperliquid’s ecosystem as HYPE token faces intense competition from ASTER DEX, which recently processed over $13 billion in daily perpetual futures volume. Arthur Hayes previously exited his entire HYPE position for $823,000 profit, citing upcoming token unlocks worth $11.9 billion starting November 29. He is now considering getting back in. Red Flags Ignored Despite Community Warnings HypingBull’s September 4 alert warned users about HyperVault’s suspicious audit claims, urging immediate withdrawals of funds from the protocol, which had a total value of $700,000 locked at the time. The investigator contacted Pashov directly via Telegram, receiving confirmation that they had “never heard of the project with this name.” Code4rena’s website also showed no pending audits for HyperVault, contradicting the developers’ public statements about comprehensive security reviews. Despite these revelations, many users continued to deposit funds, attracted by the platform’s advertised 90% APR yields on HYPE tokens. HYPE Maxis, such as HYPEconomist, actively promoted the protocol until the final days, posting “cooking! use the money and put it into a hypervault” on September 23. The endorsement came just three days before the rug pull execution. Now that they’ve successfully executed the scam, the forensic aftermath has discovered early warning signs, including the project’s lack of transparency about team identities and the suspicious absence of any legitimate audit documentation. The high-yield promises should have also raised additional concerns given the DeFi market standards. HyperVault’s disappearance follows a pattern of DeFi projects using attractive returns to lure victims before executing exit scams. Just last month, CrediX Finance also executed a $4.5 million exit scam on August 8 after promising to recover stolen funds within two days. The protocol’s team vanished after attackers, suspected to be them, gained administrative control of their multisig wallet, with all official accounts deleted and the website remaining offline since the exploit occurred. Ecosystem Faces Growing Security and Competition Challenges The HyperVault rug pull compounds existing pressure on Hyperliquid as ASTER DEX gained significant ground in perpetual trading volume. ASTER’s Trust Wallet integration provides 100 million users with direct access to perpetual contracts, challenging Hyperliquid’s market dominance. Previous exploits have tested Hyperliquid’s infrastructure, including the March JELLY token manipulation that cost the platform’s vault $13.5 million. A trader used leveraged positions and artificial price pumping to exploit the automated market maker system. Similar incidents involved traders earning profits while causing vault losses, including “ETH 50x Big Guy,” who netted $1.8 million profit while the vault lost $4 million. These exploits led to reduced maximum leverage limits from 40x to 25x for major cryptocurrencies. Technical issues have also plagued the platform, including a 37-minute trading outage in July due to an API server overload caused by a surge in traffic. The downtime caused price divergences as traders were unable to close positions during the halt. For now, it is uncertain how HYPE’s price will react to this; however, with Arthur Hayes now polling followers about re-entering HYPE after the token dropped 23% weekly to $35.50. He has restored optimism after being one of the factors that contributed to its downtrend when he sold all his position, citing massive upcoming token unlocks that could create $500 million monthly sell pressure

2025/09/26

Shanghai Digital Yuan Center Propels China’s Ambition in Global Payment Systems – Here’s How

The People’s Bank of China (PBOC) has established a new digital yuan operations center in the nation’s financial hub, Shanghai, in a move to foster the internationalisation of the yuan. State-run media Xinhua News Agency said Thursday that the establishment is among the eight new initiatives announced by the PBOC. As reported earlier, the central bank Governor Pan Gongsheng laid out an ambitious plan to create a multi-polar monetary system, where multiple currencies support the global economy. He also stressed the importance of advancing the yuan’s internationalization at the time. Digital Yuan Hub to Focus on Cross-Border Payment, Blockchain Service Per the local news report, the Shanghai establishment aims to promote fintech developments and support innovation in digital finance. Alongside, the center will focus on three major platforms, including a cross-border payment rail, blockchain services and a crypto platform. The cross-border digital payment will explore the use of the digital yuan, dubbed e-CNY, in international transactions. Additionally, the blockchain and the digital asset platform will enable on-chain payments and near-instant crypto transfers. “It contributes to enhancing China’s influence in the global financial system and provides an open, inclusive and innovative Chinese solution for improving the global cross-border payment system,” said Tian Xuan, president of the National Institute of Financial Research of Tsinghua University. The launch of the hub marks an important step in the development of central bank digital currency (CBDC), he added. President Xi Jinping’s Vision to Elevate China’s Influence in Global Finance China has spent years trying to internationalise the yuan, already testing the digital yuan through domestic pilot programs. During the trials, e-CNY was used for small everyday retail payments, government disbursements, salary transfers and public transport fares. Though Beijing has been wary of crypto and mining, it has embraced blockchain tech for its traceability and transparency. The digital yuan hub comes amid growing tensions with the US trade and tech issues. The move looks to reduce reliance on a US dollar-dominated financial system. “Looking ahead, the PBOC will continue to support the steady and sustained development of the digital yuan international operations centre, providing robust support for the facilitation of cross-border trade, investment and financing,” central bank deputy governor Lu Lei told a news conference on Wednesday

2025/09/26

Cloudflare CEO Announces NET Dollar Stablecoin for AI Agent Micropayments

Cloudflare CEO Matthew Prince announced the launch of NET Dollar, a U.S. dollar-backed stablecoin designed for AI agent micropayments on Thursday. The connectivity cloud company plans to deploy NET Dollar as the payment backbone for autonomous AI systems that book flights, order groceries, and manage calendars without human intervention. “For decades, the business model of the Internet ran on ad platforms and bank transfers,” Prince stated, adding that “The Internet’s next business model will be powered by pay-per-use, fractional payments, and microtransactions.” The stablecoin will leverage Cloudflare’s global network to process payments at internet speed, targeting fundamental limitations in current financial systems designed for human-initiated transactions. AI Agents Drive New Payment Infrastructure Requirements NET Dollar emerges as AI agents increasingly require payment systems capable of handling millions of automated transactions without human oversight. Traditional payment rails, such as wire transfers and credit cards, cannot accommodate the instant settlements and micropayments that autonomous systems demand. The company’s stablecoin will allow global payments across different currencies and time zones, facilitate instant programmatic transactions for time-sensitive purchases, and provide compensation for content creators and API developers. Personal AI agents could automatically purchase the cheapest available flight tickets or buy items the moment they go on sale, while business agents might pay suppliers immediately upon delivery confirmation. Cloudflare is simultaneously contributing to open standards, including the Agent Payments Protocol and x402, which simplify payment processing across the internet infrastructure. The x402 protocol, developed with Coinbase, converts the HTTP “402 Payment Required” error code into a functional payment system, allowing machines to purchase data and services directly. Amazon Web Services is already exploring x402 integration for cloud computing payments, potentially transforming the $1.9 trillion cloud market expected by 2030.x402 Playground / Source: Cloudflare Regulatory Framework Shapes Stablecoin Infrastructure Development The NET Dollar announcement comes amid unprecedented regulatory clarity for stablecoins, with the U.S. GENIUS Act providing comprehensive federal guidelines that have reshaped industry strategy. The U.S. Commodity Futures Trading Commission has launched an initiative allowing stablecoins to serve as tokenized collateral in derivatives markets, with CFTC acting chair Caroline Pham calling it the “killer app” for modernizing financial infrastructure. European markets are simultaneously positioning themselves for competition, with nine major euro banks backing a MiCA-regulated stablecoin set to launch in the second half of 2026, seeking to challenge U.S. dollar dominance. Meanwhile, the regulatory momentum has allowed tech giants to embrace stablecoin integration, with Google adding stablecoin support to its new AI payment framework through partnerships with Coinbase and the Ethereum Foundation. Google’s James Tromans called stablecoins “probably one of the most important payment upgrades since the SWIFT network,” with a network effect that has triggered a growing consensus among tech giants regarding the role of programmable money in autonomous systems. Within the same interval, the broader stablecoin market has expanded from $4 billion in 2020 to over $280 billion today, with bots already accounting for 70% of stablecoin transfer volume, according to industry data. In fact, recent industry projections from Citigroup have shown that the stablecoin sector could reach over $2 trillion in market capitalization by 2030. Major stablecoin issuers now rank 17th globally in U.S. Treasury holdings, surpassing countries such as South Korea and Germany in their influence on government debt markets. Additionally, Cloudflare is not the first to implement an AI-powered payment system. Circle co-founder Sean Neville recently launched Catena Labs with $18 million in funding to create the first fully regulated AI-native financial institution, positioning stablecoins as essential infrastructure for autonomous economic activity. While stablecoins are growing and being adopted across various verticals, banking industry groups are pushing back against the growth, warning that regulatory gaps could trigger $6.6 trillion in deposit outflows from traditional banks. However, Coinbase research suggests that most stablecoin activity occurs internationally, does not pose a threat to banks, and could instead strengthen dollar dominance without materially impacting domestic banking deposits

2025/09/26

India Cracks Down on ‘Alarming’ Digital Payments Fraud With Strict New Rules

The Reserve Bank of India (RBI) has issued sweeping new rules to tighten authentication standards for digital payments, in a bid to curb rising fraud in the sector. The guidelines, released on September 25, 2025, under the Authentication Mechanisms for Digital Payment Transactions Directions, 2025, mandate stronger security protocols across all domestic digital transactions. RBI Mandates Dynamic Authentication for All Digital Payments by April 2026 All payment system providers, including banks and non-bank entities, are required to comply with the rules by April 1, 2026. The measures build on the long-standing two-factor authentication norm but go further by requiring at least one dynamic factor of authentication for all digital transactions, excluding card-present payments. This means that credentials such as SMS-based one-time passwords (OTPs), biometric data, or hardware tokens must be unique to each transaction, preventing reuse or compromise. The RBI said the framework is designed to help the payments ecosystem adapt to new technologies while maintaining consumer protection and market integrity. The directions also extend safeguards to cross-border transactions using cards issued in India. From October 1, 2026, card issuers will be required to validate non-recurring cross-border “card-not-present” transactions and introduce risk-based checks for all such payments, in line with anti-fraud standards. Issuers will bear direct responsibility for ensuring the robustness of authentication systems. In cases where losses occur due to non-compliance, issuers must fully compensate affected customers. The RBI also instructed that all authentication mechanisms must adhere to the provisions of the Digital Personal Data Protection Act, 2023. The framework emphasizes interoperability, requiring system providers to ensure that tokenization and authentication services are accessible across devices, applications, and storage mechanisms. This open-access approach is expected to standardize security across the fast-expanding payments market. In addition, the RBI has encouraged issuers to adopt a risk-based approach to authentication. Transactions may be assessed against behavioral and contextual parameters such as user location, device attributes, and historical spending patterns. High-risk transactions could face additional layers of verification, with DigiLocker proposed as a platform for customer notification and confirmation. While the new directions primarily cover domestic payments, they also establish a timeline for cross-border compliance, requiring issuers to register their Bank Identification Numbers (BINs) with global card networks by October 2026. The RBI described the rules as a milestone in its effort to address growing risks in digital transactions, noting that fraud and unauthorized access have become a major concern as digital payment adoption continues to surge in India. With digital transactions now accounting for the majority of retail payments in the country, the central bank’s latest crackdown shows the increasing priority regulators are placing on securing the financial system against cyber threats. India Tops Global Crypto Adoption Index but Faces Rising Fraud Cases India now leads the world in cryptocurrency adoption, topping the 2025 Chainalysis Global Crypto Adoption Index across all four sub-indices. Yet the surge in grassroots use and financial integration has been accompanied by a wave of fraud cases and enforcement actions. On August 6, the Enforcement Directorate (ED) raided 11 locations in Delhi and other cities in connection with a $29 million Bitcoin fraud. Investigators say scammers posed as police, government agents, and even tech support staff from Microsoft and Amazon to extort money from victims at home and abroad. Illicit funds were allegedly laundered through USDT and hawala networks in the UAE. The raids came just a day after the ED began probing a $4.7 million scam involving a spoofed Coinbase website. India’s crypto-related crime has also reached the courts. On August 31, an anti-corruption court sentenced 14 men, including 11 current and former police officers and one ex-legislator, to life in prison over the 2018 abduction of businessman Shailesh Bhatt. The group forced him to transfer Bitcoin and cash, with prosecutors calling it one of the most high-profile crypto extortion cases in the country. Despite adoption, regulatory caution remains. A government document dated September 10 indicated India will not pursue a comprehensive crypto law but will maintain partial oversight through taxation and compliance. Authorities noted risks tied to speculative trading and stablecoins, warning their growth could disrupt India’s payments system. India’s approach has dampened exchange volumes through a 30% tax on gains and a 1% levy on transactions, though global platforms continue to operate under Financial Intelligence Unit registration. Officials estimate Indians hold around $4.5 billion in digital assets, showing the paradox: world-leading adoption alongside systemic skepticism and recurring fraud

2025/09/26

Bitcoin ETFs Surge Back With Record $241M Inflows – ETH ETFs Still Bleed

Bitcoin exchange-traded funds (ETFs) bounced back sharply on September 24, recording $241 million in net inflows after two straight days of investor withdrawals, according to data from SoSoValue. The turnaround comes after a combined $244 million in outflows on September 23 and a larger $439 million exit the day before, as markets adjusted to the Federal Reserve’s recent rate cut and awaited fresh U.S. inflation data. Bitcoin ETF Holdings Near $150B After Strong Daily Inflows BlackRock’s iShares Bitcoin Trust (IBIT) led yesterday’s inflows with $128.9 million, bringing its cumulative net inflows to $60.78 billion and total net assets to $87.2 billion. Ark Invest and 21Shares’ ARKB followed with $37.7 million in net inflows, raising its historical total to $2.18 billion. Fidelity’s FBTC also attracted $29.7 million, while Bitwise’s BITB added $24.7 million.Bitcoin ETFs Record. September 24 Source: SoSoValue Smaller inflows were recorded by VanEck’s HODL at $6.4 million and Grayscale’s BTC fund at $13.5 million. In total, Bitcoin spot ETFs now hold $149.7 billion in assets, equal to 6.62% of Bitcoin’s total market capitalization. Cumulative inflows have reached $57.49 billion, while daily trading volume on September 24 came in at $2.58 billion. The renewed demand highlights the resilience of Bitcoin products following heavy redemptions earlier in the week. On September 23, Bitcoin ETFs lost $103.6 million, led by Fidelity’s FBTC with $75.6 million in outflows and ARKB with $27.9 million. That followed an even steeper session on September 22, when Bitcoin funds shed $363 million, including $276.7 million from Fidelity’s FBTC alone. Ethereum ETFs, however, continued to see outflows. On September 24, ETH products recorded $79.4 million in net redemptions, extending a trend of sustained investor withdrawals.Ethereum ETFs Record. September 24. Source: SoSoValue Fidelity’s FETH saw the largest daily outflow at $33.2 million, followed by BlackRock’s ETHA with $26.5 million and Grayscale’s ETHE with $8.9 million. Bitwise’s ETHW lost $4.5 million, while VanEck’s ETHV and Grayscale’s ETH fund reported no significant flows. The redemptions build on heavy losses earlier in the week. On September 23, Ethereum ETFs saw $140.7 million in outflows, with Fidelity’s FETH leading at $63.4 million, followed by $36.4 million from Grayscale’s ETH product and $23.9 million from Bitwise’s ETHW. A day earlier, on September 22, ETH funds posted $76 million in outflows, again led by Fidelity. As of September 24, Ethereum spot ETFs hold $27.4 billion in assets, representing 5.45% of ETH’s total market value. Cumulative inflows now stand at $13.6 billion, despite the recent wave of redemptions. Institutional Pause Weighs on Bitcoin—Armstrong Still Predicts $1M BTC Institutional demand for Bitcoin has cooled after a strong start to September, with spot ETF inflows falling sharply. According to Glassnode, net inflows dropped 54% last week to $931.4 million from $2.03 billion the week before. Analysts said the slowdown points to a pause in institutional buying, even as overall accumulation remains intact. Earlier this month, Bitcoin’s climb toward $118,000 was matched by heavy ETF inflows, including $741 million in a single day. But momentum has faded as retail traders continue selling. CryptoQuant’s spot taker CVD indicator has remained sell-dominant since mid-August, raising concerns of a deeper correction into October if flows do not recover.Source: CryptoQuant Bitcoin is currently trading below $110,600, down 6.9% in 24 hours. Ethereum has also faced heavy pressure. Ether fell below $4,000 on Thursday, triggering a $36.4 million liquidation of one large position and contributing to a $331 million long squeeze in the past day, CoinGlass data shows.Source: CoinGlass Over the week, ETH traders have seen $718 million in long liquidations versus $79.6 million in shorts. The token is trading at $3,882, down 7.3% in 24 hours and 15% over the week. Despite short-term weakness, optimism persists. Coinbase CEO Brian Armstrong said Bitcoin could reach $1 million by 2030, citing progress on U.S. legislation, potential government adoption, and rising institutional interest. With ETF custody already concentrated in Coinbase, he argued that long-term fundamentals remain strong as supply tightens and sovereign demand potentially emerges

2025/09/26

PayPal and Spark Forge $1B Liquidity Reserve Deal to Boost Stablecoin Access

PayPal and Spark, an on-chain asset allocator launched by Sky (formerly MakerDAO), have announced a partnership to expand liquidity for PayPal USD (PYUSD), the U.S. dollar-backed stablecoin. In a press release shared with CryptoNews, the firm explains that since PYUSD was integrated into SparkLend, deposits have surpassed $100 million, with expectations of scaling to $1 billion. “Predictable access to deep liquidity is what allows stablecoins like PYUSD to scale quickly,” said Sam MacPherson, co-founder and CEO of Phoenix Labs, a core contributor to Spark. “Spark’s framework proves how DeFi can provide the reliable market foundations that global companies need to bring stablecoins into the mainstream economy.” Spark’s Liquidity Blueprint Spark claims its bootstrapping strategy has created a model for stablecoin growth. Tokens listed on SparkLend undergo rigorous risk assessments before gaining access to institutional-grade markets for supply and borrowing. Capital from Spark’s $8 billion-plus stablecoin reserves is then deployed into the market through the Spark Liquidity Layer (SLL), creating depth and efficient capital allocation. Borrowing rates are calibrated to be supportive in the early stages, encouraging adoption and driving organic demand. Stablecoins Cement Their Role in Finance The collaboration comes at a major time for the industry. Stablecoin supply has surged from $235 billion to $263 billion in just three months, with daily transaction volumes now regularly exceeding $100 billion. Spark explains that it has already demonstrated its ability to manage large-scale liquidity demands, having deployed $630 million in on-chain Bitcoin-backed loans to Coinbase. With total DeFi value now approaching $150 billion, Spark said it is positioning itself as a key player in building liquidity infrastructure for fintech adoption. “With total DeFi value approaching $150 billion, platforms like Spark are crucial to advancing PYUSD as a cornerstone for DeFi with deep liquidity,” said David Weber, Head of PYUSD Ecosystem at PayPal. “By working together, PYUSD can reach new markets faster while maintaining full compliance and composability from day one.” Building the Next Chapter of DeFi Liquidity PYUSD, issued by Paxos Trust Company, is fully backed by U.S. dollar deposits and short-term Treasuries. The stablecoin is live on the Ethereum mainnet with cross-chain expansion on the roadmap. PayPal USD Goes Live on Stellar PayPal USD (PYUSD) is also now live on the Stellar network, announced on Thursday. The launch marks a milestone for both PayPal and Stellar, extending PYUSD’s reach into new wallets, platforms, and business use cases across global payments. The announcement was made at the Stellar Meridian event in Copacabana, Rio de Janeiro, on September 18, a flagship annual gathering of blockchain leaders, investors, and policymakers

2025/09/26