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  • Hyperliquid Emerges as Key Crypto Finance Infrastructure

    Hyperliquid Emerges as Key Crypto Finance Infrastructure

    Hyperliquid: From Trading Platform to Crypto Infrastructure

    Hyperliquid is transforming from a high-performance trading platform into a fundamental component of the cryptocurrency financial infrastructure. Initially launched as a decentralized perpetual futures exchange, it has expanded into a broader ecosystem, attracting traders, liquidity providers, developers, and capital at an increasing rate. As activity on the platform grows, market participants are recognizing Hyperliquid as a central venue for a significant portion of on-chain financial activity.

    Hyperliquid’s Evolution Beyond a Trading Platform

    Hyperliquid is steadily evolving beyond a trading platform, becoming a comprehensive financial hub within the crypto economy. According to a post on X by Delphi Digital, the protocol is increasingly consolidating functions traditionally separated in finance (TradFi) among brokers, exchanges, and custodians into a single on-chain venue.

    At the core of this evolution is HIP-4, a feature introducing outcome-based trading, allowing users to express views that perpetual futures cannot capture. For example, a trader betting on Bitcoin in the Consumer Price Index (CPI) can be correct about the number but still lose based on the price reaction. Outcome-based trading offers binary payouts based on the outcome.

    The direct fees generated by HIP-4 represent a small portion compared to the overall trading volume on Hyperliquid. At the expected volumes, HIP-4 contributes approximately $25 million against Hyperliquid’s $636 million run rate. Delphi Digital argues that capital that would typically move to other platforms for event-driven trading now remains within Hyperliquid, reinforcing its liquidity. Circle’s USDC held on the platform is currently generating treasury yield, with 90% of it being used for HYPE buybacks.

    Furthermore, HIP-4 has also changed the types of vaults that can operate. On-chain vaults have been limited to two linear instruments. However, outcome contracts introduce a third instrument that pays directly on event outcomes while netting against traditional directional positions. This added flexibility allows vault creators to build more sophisticated, event-driven strategies that hedge, and every trade that remains on the platform fuels its growth.

    New All-Time High Reinforces Hyperliquid’s Market Leadership

    Hyperliquid is being viewed as a leading indicator for broader altcoin momentum. Michaël van de Poppe, CIO and founder of MNFund and MNCapital_vc, noted that HYPE has consistently demonstrated an ability to move ahead of the rest of the market, often signaling a return of risk appetite in digital assets.

    In previous market cycles, strong momentum in HYPE has frequently been followed by broader strength across altcoins, making the asset a key indicator that many traders now closely monitor. With HYPE recently reaching a new all-time high in one of the strongest market moves seen in a long time, it indicates a strong appetite for altcoins.

  • XRP Hits 6-Week Low Amid Diminishing Whale Activity

    XRP Hits 6-Week Low Amid Diminishing Whale Activity

    It was less than ten days ago that the popular cross-border token XRP challenged the $1.55 resistance level. However, the subsequent rejection was swift and significant.

    The past 24 hours have exacerbated the retracement. While the broader market is down today, with Bitcoin (BTC) falling to $75,000 for the first time in three weeks, XRP’s decline has been more pronounced.

    Currently trading at $1.33, XRP has experienced a 14% drop from its recent peak, according to the 10-day chart. Furthermore, XRP has reached its lowest price since April 13, marking a six-week low. Its market capitalization has decreased to approximately $82 billion, widening the gap with Binance Coin (BNB) to over $5 billion as of the time of this report.

    Whale Activity Declines

    Of greater concern is the decrease in whale activity on the XRP network. According to analyst Ali Martinez, large transactions exceeding $1 million have fallen from 157 a few months ago to 67 today, a 57.3% decrease. This suggests that the underlying asset could be entering a “compression phase.”

    Whales appear to have reduced their activity, allowing “the current price range to settle, which naturally reduces immediate volatility and allows the order books to mature.”

    Mixed Signals

    On a more positive note, XRP saw a surge of 4,300 new wallet creations in a single day earlier this week, the fourth-largest spike in network activity in 2026. According to Santiment, such network growth is a strong indicator of potential market reversals.

    Bearish Outlook

    Analyzing XRP’s recent price movements, analyst CRYPTOWZRD warned of a bearish close for the token, predicting further declines, particularly if BTC continues to fall.

    CRYPTOWZRD also noted an “increasing trend in short positions” for XRP and cautioned that there are “no reversal signals in the futures market yet.” In a separate post, the analyst suggested that the cross-border altcoin could fall further to $1.30.

  • Dogecoin Price Hits Monthly Lows as Whales Buy

    Dogecoin Price Hits Monthly Lows as Whales Buy

    The cryptocurrency market has experienced significant losses over the past few days, with many leading assets declining in value.

    Dogecoin Price Slips

    Dogecoin, the largest and oldest meme coin, has not been immune to the downturn, falling to just over $0.10, a level not seen since April 30th. The coin’s momentum stalled after nearing $0.12 last week, resulting in a 10% weekly decline, the most significant among larger-cap altcoins.

    Whale Accumulation Continues

    Despite the recent price drop, overall investor behavior has been positive. Reports emerged in early May indicating that Dogecoin whales had been quietly accumulating the cryptocurrency. The total holdings of wallets containing at least 100 million DOGE reached an all-time high of over 108.5 billion DOGE.

    Further data revealed that these large investors acquired 470,000,000 DOGE within three days. These purchases coincided with the asset’s price recovery to $0.118. Even after the subsequent price retracement, whales have continued accumulating, according to data shared by analyst Ali Martinez.

    Martinez noted that large investors purchased over 525,000,000 DOGE in just four days. Such accumulations can reduce immediate selling pressure and potentially encourage smaller investors to follow suit.

    Analysts Remain Optimistic

    Despite the current market conditions, several crypto analysts on X remain optimistic about a potential rally for Dogecoin.

    Analyst Nehal noted that DOGE is currently mirroring the moves following the August 2024 bottom, where it saw four consecutive “strong green weekly candles, followed by two red consolidation weeks before a major breakout rally.” Nehal added that Dogecoin had already marked four consecutive green weekly candles after the February 2026 bottom and is currently in its second consolidation week. If history repeats, DOGE could either close the week near the open before continuing higher or immediately turn green and accelerate “faster than expected.”

    Trader Tardigrade also commented on the meme coin’s historical performance, noting that the current price decline is the third similar pattern the asset has exhibited over the years. The two previous instances led to substantial rallies, with gains of up to 29,000%. “The pattern is identical. Support has been reclaimed,” they concluded.

  • Apparel Store Tied to Kash Patel Shuts Down After Malware Incident

    Apparel Store Tied to Kash Patel Shuts Down After Malware Incident

    Based Apparel Website Goes Offline Amid Malware Concerns

    An apparel store with ties to FBI Director Kash Patel reportedly went offline on Friday following warnings that its website was distributing wallet-draining malware.

    Malware Warning

    Before the website’s apparent shutdown, visitors using macOS were prompted to install “ClickFix” malware. This involved copying and pasting a command into their system’s terminal, which exposed session tokens, browser data, and cryptocurrency wallets to an infostealer, according to a user on X.

    The website was flagged as “potentially deceptive” for users of MetaMask, a self-custodial wallet. When attempting to visit the site, MetaMask users received a warning about potential risks, including “malicious transactions resulting in stolen assets.”

    PCMag was able to reproduce the attack. However, Decrypt was unable to do so, as Based Apparel now states that “the store will be back online shortly—bolder than ever.”

    Infostealer malware is designed to secretly extract sensitive data from users’ devices. Such malware has been around since at least 2006. Two months ago, the FBI announced it was investigating several PC games on the Steam platform that installed the malicious software.

    Website Traffic and Ownership

    It remains unclear whether the apparent compromise of Based Apparel resulted in significant losses. According to Ahrefs, the website typically receives an estimated 33,600 visits monthly. One of its top pages features a camouflage hoodie.

    The venture is owned by Patel and Andrew Ollis, who serves as CEO on the board of the Kash Foundation, according to The Guardian. Visitors to the Kash Foundation are directed to Based Apparel through one of the nonprofit’s primary menus.

    Patel’s Affiliations

    While Patel founded the nonprofit, he is no longer affiliated with it in any capacity, according to the organization’s website. A disclosure also clarifies that the Kash Foundation is not associated with government agencies, including the FBI.

    The FBI director, who has emphasized the bureau’s increasing use of artificial intelligence to combat malicious actors, has previously been targeted by cryptocurrency-related schemes. Following the leak of his personal email and burner username by Iranian hackers, a series of Patel-themed meme coins emerged.

  • Chainlink Could Triple in Value Within Five Years

    Chainlink Could Triple in Value Within Five Years

    Chainlink (LINK) has largely stagnated over the past year, remaining around the 18th-largest cryptocurrency by market capitalization and experiencing a year-to-date decline of approximately 43%. However, looking at the longer-term performance of LINK, the oracle network’s native token remains significantly below its peak. Trading at roughly $9.509 at the time of writing, LINK is approximately 82% below its all-time high of $52. Despite the weak price action, Leo Sun of The Motley Fool has published a report suggesting that LINK could see substantial gains over the next five years.

    How LINK’s Circulation Could Drive Big Gains

    Sun’s outlook centers on the potential for the token’s trajectory to benefit from changes in supply dynamics and real-world adoption, particularly as the Chainlink ecosystem continues to expand. He highlights token circulation as a key factor in the long-term picture. When LINK reached its record high in 2021, its circulating supply was about 410 million tokens. Since then, the circulating supply has increased to approximately 727 million, as of the report’s publication.

    Sun argues that this growth in circulation could bring LINK closer to its supply limit within the next five years. If demand continues to rise while the supply of newly available tokens tightens, the token price could experience significant upward movement, especially if new demand outpaces supply expansion.

    Another major element of Sun’s thesis is Chainlink’s growing role in regulated finance and payments infrastructure. Over the past year, Chainlink has partnered with approximately two dozen major financial institutions, including organizations such as UBS, Euroclear, and the SWIFT network. According to Sun, these partnerships aim to accelerate money transfers, automate transaction workflows, and support the tokenization of real-world assets. The report suggests that if Chainlink becomes a core infrastructure component for tokenized finance, LINK’s value could rise further as the ecosystem’s usage expands.

    What Needs To Change For Chainlink?

    At the core of the argument is how LINK is positioned within the crypto market. Sun notes that LINK cannot be valued using a “scarcity model” in the same way Bitcoin (BTC) is often approached, due to differing token distribution and market structure mechanics. Instead, Chainlink is described more as a developer-driven asset, similar to how investors view Ethereum (ETH) rather than a pure scarcity narrative.

    In this framework, LINK’s long-term prospects depend less on fixed scarcity alone and more on continued relevance to developers, integration into real financial systems, and the degree to which market interest returns.

    Finally, the report connects the potential for a $20 billion market cap to broader macro conditions. If the overall cryptocurrency market improves over the next five years, as Sun suggests could happen when the macro environment becomes more favorable, Chainlink’s market cap could increase significantly.

  • FET Exchange Supply Shrinks, Drawing Trader Attention

    FET Exchange Supply Shrinks, Drawing Trader Attention

    FET has been trading sideways above $0.20 for several weeks, awaiting a catalyst to drive a decisive price movement. While the price has been holding steady, it has not advanced. An analysis by CryptoOnchain, tracking Binance-specific flow metrics, has identified a structural development in the exchange data that recontextualizes the current consolidation phase.

    Binance Exchange Activity

    Over the past week, metrics governing FET’s exchange activity on Binance have contracted significantly. The number of inflow addresses has plummeted by 92%, indicating a near-disappearance of wallets sending FET to Binance compared to the previous period. Total exchange inflows dropped by 71% during the same timeframe. This combined effect pushed Binance’s netflow down by 557%, resulting in deeply negative exchange flows.

    These figures describe a specific structural condition. The simultaneous collapse in both the volume of FET arriving on Binance and the number of participants depositing is unambiguous, representing what CryptoOnchain identifies as an inflow drought. Fewer market participants are moving assets to the exchange, and those still active are moving considerably less than before. In exchange flow analysis, this combination implies a direct supply implication, which changes how FET’s current consolidation above $0.20 should be interpreted.

    Reserve Depletion

    The CryptoOnchain analysis extends the timeframe to reveal the pattern that gives the current inflow drought its full structural weight. The recent collapse in Binance deposits is not an isolated event. It is the latest development in a 90-day trend that has already depleted FET’s Binance reserve by 20%, a sustained reduction in exchange supply that has been building throughout the consolidation period.

    The combination of these dynamics creates a more significant supply imbalance than either would produce independently. Declining exchange reserves over 90 days indicate a market where more FET is leaving Binance than arriving on a sustained basis. The sudden halt in inflow deposits means the mechanism that would normally replenish that declining supply has effectively stopped functioning. Historically, the transition from stable exchange reserves to an inflow drought has created conditions that preceded structural supply-side tightness, where the available FET for immediate sale on the exchange continues declining without fresh deposits to restore sell-side inventory.

    This tightness does not immediately trigger price movements. However, it creates an environment where demand, when it arrives, encounters a thinner order book, amplifying the price response to any emerging buying pressure.

    Technical Analysis

    FET continues to consolidate near the $0.20 region after months of sustained downward pressure that erased most of the gains from its 2024 rally. The weekly chart shows the asset attempting to stabilize following an extended decline that accelerated after losing the key $0.55–$0.60 support zone earlier this year. Since then, price action has compressed into a relatively tight range between roughly $0.15 and $0.25, reflecting a market that remains cautious but less aggressive on the sell side.

    Technically, FET is still trading below the 50-week, 100-week, and 200-week moving averages, confirming the broader macro structure remains bearish despite the recent rebound attempt. However, the intensity of the decline has clearly slowed. Recent candles show reduced volatility and lower selling momentum compared to the distribution phases seen throughout late 2025.

    The most important feature on the chart is the developing base structure around current levels. Buyers have repeatedly defended the $0.15–$0.18 region, while volume spikes during downside moves suggest periods of absorption rather than panic liquidation. This aligns with the Binance flow data showing severe inflow contraction and persistent reserve depletion. For bulls, reclaiming the 50-week moving average near the $0.35 region would be the first major structural signal that accumulation is transitioning into trend recovery. Until then, FET remains in a prolonged rebuilding phase.

  • Warsh’s Fed Tenure Could Reshape Bitcoin: Key Indicator to Watch

    Warsh’s Fed Tenure Could Reshape Bitcoin: Key Indicator to Watch

    Bitcoin is trading below $80,000 as market uncertainty persists, extending beyond typical price fluctuations. The decline from key levels has coincided with a broader reassessment of the macroeconomic environment. XWIN Research Japan has identified a structural shift in global monetary policy that could significantly influence Bitcoin’s performance in the foreseeable future.

    The Federal Reserve’s New Era

    The Federal Reserve is entering a new era under the leadership of Kevin Warsh. Market attention has shifted from immediate concerns about interest rate cuts to a more fundamental question: whether the Fed’s operational philosophy has changed. This distinction is more critical for risk assets than any single rate decision.

    Warsh, a long-standing critic of excessive quantitative easing and central bank intervention to support financial markets, is not a conventional Fed Chair. The market perceives the regime he inherits, and is expected to reshape, as a transition from a market-rescuing Fed to a discipline-focused one, according to XWIN Research Japan.

    For previous generations of Bitcoin investors, the Fed’s philosophy was a secondary consideration. However, with the advent of ETFs, institutional allocations, hedge fund positioning, and the maturation of Bitcoin’s derivatives infrastructure, BTC has transformed into a global liquidity-sensitive asset. It now responds to shifts in financial conditions with a directness not previously seen.

    Signals for Bitcoin’s Response

    The XWIN Research Japan report identifies specific on-chain indicators that are likely to reflect the impact of the Warsh Fed before price action confirms anything.

    The first indicator is the Coinbase Premium, which is the price difference between Bitcoin on Coinbase and offshore exchanges like Binance. A positive premium typically indicates strong US institutional spot demand. A negative premium could signal a decline in institutional buying appetite due to concerns about prolonged high rates or continued quantitative tightening.

    The second indicator is Bitcoin Exchange Netflow. Increased inflows to exchanges often precede selling pressure or defensive repositioning. A risk-off environment, triggered by a discipline-focused Fed, could lead to higher exchange inflows and increased short-term holder selling.

    The third indicator is the leverage structure, which the report identifies as a dominant feature of Bitcoin’s current market. Rallies driven by short-covering rather than genuine spot accumulation are inherently fragile. A Fed environment that does not rescue markets removes the implicit backstop that has historically encouraged re-leveraging after corrections.

    The report suggests that a stricter central bank could pressure Bitcoin in the short term through tighter financial conditions and reduced institutional appetite. However, in the medium term, this same strictness could strengthen Bitcoin’s fundamental appeal as a politically neutral store of value operating outside the fiat system. The on-chain signals will reveal which dynamic emerges first.

    Bitcoin’s Technical Outlook

    Bitcoin is currently consolidating near the $77,000 region after failing to sustain momentum above the recent local high of $82,000. The daily chart indicates a critical decision phase, with price compressing between overhead resistance and a major support zone that has defined the recovery structure since April.

    The $73,000–$74,000 range remains the most important technical area. This zone previously acted as resistance in March before becoming support during the April breakout. Bitcoin is now retesting this region from above, with the 50-day moving average rising directly underneath it. Bulls must defend this confluence area to preserve the medium-term recovery structure.

    At the same time, the 200-day moving average near $82,000 continues to act as macro resistance. Recent rejection from that level confirms that sellers remain active when BTC approaches the upper boundary of the current range. The sequence of lower highs since mid-May suggests that momentum has weakened following the rally from the February lows.

    Volume conditions have normalized after the extreme volatility seen during the February capitulation event, indicating the market is transitioning from panic-driven movement into a slower consolidation phase. Technically, Bitcoin remains constructive while trading above $74,000. Holding support could allow another attempt toward the $80,000–$82,000 region, while losing it would likely expose the broader $65,000 demand zone below.

  • Ethereum’s Macro Outlook: What’s Ahead

    Ethereum’s Macro Outlook: What’s Ahead

    A crypto market analyst has issued a warning about Ethereum (ETH), predicting a significant price correction that could see the cryptocurrency fall to as low as $800, or even $400 per coin. While such a drop would represent a substantial decline from ETH’s current price, the analyst argues that it is necessary for a market reset, allowing prices to reflect genuine demand and establish sustainable support levels.

    Analyst Says Ethereum Crash Is Critical For A Market Reset

    Rafaela Rigo, a crypto market analyst, shared an Ethereum price analysis on X that has garnered attention from traders and investors. Rigo presented a chart analysis from 2024 in which she accurately forecast a price drop to $1,900 after Ethereum reached a bull run peak. That same analysis also predicted a decline to $800, a level the analyst identified as a “great buying opportunity.”

    Rigo has updated her 2024 chart analysis to predict Ethereum’s next move. She forecasts that ETH’s price could crash to $800 during the ongoing bear market. With the cryptocurrency currently trading above $2,100, a drop to that level would represent a loss of over 61%.

    Taking a more bearish view, Rigo stated that a further price drop to $400 is possible for Ethereum, particularly if the cryptocurrency cannot halt its bearish momentum. If ETH falls to this level, it would reach a historic low, returning the second-largest cryptocurrency to levels not seen since 2019.

    Rigo noted that she previously described the 2024 cycle as catabolic and expects the current cycle to follow a similar pattern. She added that while a drop to $800 would be painful, it is necessary for a proper market reset. The analyst emphasized that the crypto market urgently needs this reset to eliminate the problematic projects entering the space. She also noted that many of these new crypto projects are pump-and-dump schemes that have negatively impacted sentiment and caused many investors to leave the market.

    Rigo described her forecast as a “macro price prediction,” clarifying that the predicted events will take time to unfold. She urges investors and traders to remain vigilant, monitor market movements carefully, and avoid emotional trading.

    Analyst Predicts Ugly Price Crash For ETH Soon

    Market expert Ted Pillows has also shared an Ethereum price analysis, expressing caution about the cryptocurrency’s recent price action and a Bear Flag formation. Pillows warned that this Bear Flag could have significant negative consequences for ETH’s price.

    At the time of writing, the cryptocurrency is trading above $2,100 following weeks of bearish pressure and volatility. Despite this resilience, Pillows cautioned that if ETH fails to hold above $2,100, “things could get ugly.” He predicted a potential price crash down to $1,960, representing a decline of more than 6% from current levels.

  • Ethereum Sentiment Plummets as Price Tests $2,100

    Ethereum Sentiment Plummets as Price Tests $2,100

    Ethereum Sentiment Plummets Amidst Price Stagnation

    As Ethereum (ETH) struggles to break through key resistance levels, the altcoin appears to be experiencing a significant shift in investor sentiment, with recent data indicating a transition from patience to frustration among traders.

    Sentiment Takes a Hit

    According to data from the analytics firm Santiment, Ethereum has suffered a decline not only in market value but also in the number of “patient holders” over the past few months. The cryptocurrency’s sentiment has plummeted as its price remains under pressure. Since early April, ETH has been trading between $2,200 and $2,400, repeatedly attempting to break out of this range. Following another failed breakout earlier this month, ETH has declined by 11.5%, potentially risking a drop below $2,000 for the first time since March.

    Amidst this decline, Ethereum’s social dominance has continued to climb, raising concerns about trader sentiment. Santiment noted that while rising social dominance is typically a positive sign during periods of strong bullish momentum, ETH’s social discussion volume surged after the April 17 local top and continued as the altcoin’s price fell. “This is often what happens when traders become emotionally locked onto an asset for negative reasons rather than optimistic ones. Instead of excitement about new highs, the conversation shifted toward frustration, disappointment, and fear of further downside,” the firm stated.

    Furthermore, the ratio between bullish and bearish comments on Ethereum has collapsed since April, falling from a relatively healthy 2:1 ratio, where bullish comments outnumbered bearish ones, to roughly 1:1. This indicates that positive sentiment has largely faded, and negative views now match positive ones. Santiment stated that this deterioration has historically occurred when traders lose confidence in short-term direction. In Ethereum’s case, the sentiment collapse wasn’t triggered by a single catastrophic event but rather by “several negative narratives piling up simultaneously over a relatively short period of time.”

    Factors Driving Negative Sentiment

    Santiment identified several factors contributing to the negative sentiment surrounding Ethereum, starting with the cryptocurrency’s performance. ETH has struggled to regain its leading role from previous cycles, with more traders viewing it as “dead money” compared to assets with stronger momentum this year.

    The performance of Ethereum ETFs has also intensified concerns, as retail traders often interpret large withdrawals as evidence that institutions are “abandoning” the asset. “That creates a psychological feedback loop where falling prices generate fear, fear causes outflows, and then those outflows generate even more fear. Ethereum’s bearish sentiment has increasingly reflected this cycle throughout the month,” the firm explained.

    Moreover, reports of multiple departures from the Ethereum Foundation, prominent ETH advocates distancing themselves from the ecosystem, and major ETH figures allegedly reducing or exiting their holdings have amplified the negativity. At the same time, Ethereum has faced criticism related to competition from faster-growing ecosystems, with retail traders focusing less on developer strength and more on short-term price acceleration. On-chain activity has also weakened compared to previous ETH rallies, with fewer new wallets interacting with the network and overall participation slowing alongside price momentum.

    Potential for a Contrarian Reversal

    Despite the growing bearishness, Santiment suggested that ETH’s negative sentiment “may eventually become constructive from a contrarian perspective” as markets historically punish the crowd “when consensus becomes too one-sided.” The firm concluded that Ethereum is reaching a point where social media discussion has become overwhelmingly negative, which, from a behavioral standpoint, is “often what forms near major turning points.”

  • Men Face Federal Charges for AI-Generated Deepfake Porn

    Men Face Federal Charges for AI-Generated Deepfake Porn

    Federal prosecutors this week charged two men with using artificial intelligence to generate and distribute non-consensual, sexually explicit images of women, representing a significant early enforcement action under the Take It Down Act.

    Charges Filed

    On Thursday, federal prosecutors in the Eastern District of New York filed charges against Arturo Hernandez of Texas and Cornelius Shannon of New Jersey in separate cases involving alleged AI-generated deepfake pornography.

    “The defendants used cutting-edge digital technology to create images that degraded and violated victims across the United States,” stated U.S. Attorney for the Eastern District of New York Joseph Nocella. “This case makes clear that posting deepfake pornography is not a victimless crime.”

    Prosecutors allege that Shannon and Hernandez posted thousands of AI-generated images and videos depicting real people—including actresses, singers, political figures, and recent high school graduates—engaged in sexual acts. The men allegedly uploaded more than 470 albums depicting over 140 women to websites, where the AI-generated images and videos received millions of views.

    Court filings indicate that the images appeared to use real, non-explicit photographs that were altered with AI software to create sexually explicit content. The men face up to two years in prison.

    Take It Down Act

    President Donald Trump signed the Take It Down Act into law in May 2025. The legislation makes it a federal crime to knowingly publish or threaten to publish non-consensual intimate imagery, whether authentic or AI-generated. It also mandates that online platforms remove reported content within 48 hours.

    The Take It Down Act garnered bipartisan support in Washington and comes as courts grapple with a rising number of lawsuits related to AI-generated deepfakes, including cases accusing Elon Musk’s xAI and its Grok chatbot of creating and distributing non-consensual sexualized images, including images depicting minors.

    Several states, including California, Texas, Florida, and Pennsylvania, have enacted similar laws targeting non-consensual intimate imagery and AI-generated deepfakes.

    In April, James Strahler, of Columbus, Ohio, became the first person convicted under the law after pleading guilty to federal charges involving over 700 AI-generated sexually explicit images of adults and children.

    “This predatory conduct represents a disturbing abuse of technology that inflicts emotional harm on victims, violating their privacy, dignity, and security,” said FBI Assistant Director in Charge James Barnacle Jr. in a statement. “The use of this emerging technology to victimize individuals is not innovative—it is criminal and will be pursued with the full force of the law.”