Category: crypto

Resolv Labs destroyed 36.73 million USR stablecoins from an attacker’s address after a minting exploit. The attacker created 80 million unbacked USR tokens and dumped 34 million for $24.48 million in ETH, causing a $34 million loss. The incident highlights DeFi key management failures and risks in the ecosystem.

Crypto lobbyists, banks, and the White House are close to reaching a compromise on stablecoin yields in the U.S. Talks under the Clarity Act could set rules for digital dollar rewards. If resolved, the focus will shift to DeFi, tokenization, and token classification. The outcome will impact the future of digital investments.

Korean super app Toss is considering creating its own blockchain network and cryptocurrency to support its stablecoin initiative called “Money 3.0.” The decision between a Layer 1 or Layer 2 solution is influenced by Seoul’s upcoming digital asset law. Toss aims to expand its financial services and may pursue overseas expansion.

Binance is facing turnover in its compliance department as staff overseeing financial crime and sanctions depart. Chief Compliance Officer Noah Perlman may also be leaving. This comes after Binance’s $4.3 billion US plea deal for violations of the Bank Secrecy Act and sanctions rules. Binance is under pressure to rebuild its compliance operation.

A federal appeals court ruled that New Jersey cannot regulate Kalshi’s CFTC-supervised sports contracts, declaring federal law takes precedence over state gambling rules. This decision strengthens federal preemption and affects how prediction markets compete with sportsbooks. Kalshi sees this as a major legal win, arguing their contracts are swaps, not traditional bets.

Tom Lee from Fundstrat says Ethereum is the second best-performing asset since the Middle East conflict started, surpassing Bitcoin and stocks. He estimates war spending at $30 billion per month, potentially rising to $100 billion, making crypto more attractive as liquidity and risk assets, boosting demand for Ethereum and Bitcoin.

Polymarket is planning its largest infrastructure upgrade in the next 2-3 weeks, rebuilding its core engine and introducing a hybrid CLOB model and a USDC-backed stablecoin on Polygon. The changes aim to reduce gas costs and make the platform more institution-friendly. The upgrade also includes support for EIP-1271 and multi-sig wallets.

Rwanda’s central bank reaffirmed the ban on cryptocurrency payments and trading with the local currency after Bybit introduced support for the Rwandan franc on its platform. Regulators warned of financial risks and prohibited licensed institutions from facilitating conversions between the franc and crypto assets. Bybit has not yet issued an official statement.

The Pentagon’s Project Maven, an AI program, has evolved to accelerate targeting and strike decisions in U.S. military operations, reaching a pace of 300-500 targets per day. Originally developed to analyze drone footage, Maven now integrates real-time data to guide battlefield decisions. Google’s withdrawal led to Palantir’s involvement in the project.

North Korean-linked developers have infiltrated over 40 DeFi projects over the past seven years, raising concerns about insider risks. Lazarus Group, tied to North Korea, has been involved in major crypto breaches. The recent $280 million exploit of Drift Protocol was linked to North Korean state-affiliated groups using social engineering tactics.