UpGate

Tag: Negative

  • $18.5M ADA Heist: Even Wallet Creator Unaware of Thief

    $18.5M ADA Heist: Even Wallet Creator Unaware of Thief

    Hacker’s Identity Shrouded in Mystery as $18.5 Million in ADA Moves from Vulnerable Wallets

    Cardano – The identity of the “white hat” hacker who moved approximately $18.5 million worth of ADA from vulnerable SecondFi wallets remains unknown to Emurgo, the firm that developed the platform, according to Charles Hoskinson.

    Hoskinson, speaking on June 25 during his X Spaces session titled ‘The Bingo Hall,’ relayed information from a contributor named ‘Jer.’ Jer had attended a meeting between the Cardano governance body Intersect and SecondFi’s developers. “A member of the Emurgo team said the identity of the white hat hacker is not known to Emurgo… or at least [Emurgo] said it is not affiliated with Emurgo,” Hoskinson stated.

    This distinction is significant, leaving open the possibility that Emurgo may be unaware of the hacker’s identity or is strategically managing its public statements.

    The price of ADA has seen a notable decline, dropping 21% over the past two weeks and currently trading near $0.145. These levels represent multi-year lows, approximately 95% below the asset’s all-time high.

    While the recent crypto incident did not compromise the Cardano protocol itself – with both Intersect and Hoskinson emphasizing that the vulnerability was confined to the wallet application layer – the reputational impact on the ecosystem is tangible, and the market appears to be factoring this into ADA’s valuation.

    Recovery Efforts Underway for Affected Users

    The team managing the recovery process is reportedly on track with an estimated two-week timeline. Significant progress is being made as engineering teams explore multiple technical avenues concurrently to identify the most secure method for recovering funds for affected users.

    SecondFi, a prominent Cardano wallet provider formerly known as Yoroi Wallet, experienced a critical flaw in its key-generation software. This led to three external attackers draining an estimated 16 million ADA, valued at approximately $2.4 million, from 374 addresses across four separate incidents.

    The larger movement of 129 million ADA, which is at the heart of the identity dispute, was characterized by SecondFi as an emergency rescue operation. These funds were reportedly transferred to an “independent, qualified third-party custodian” for the benefit of the affected addresses. Cybersecurity firm SlowMist has estimated the total exposure could surpass $20 million.

    SecondFi conducted a final balance snapshot on June 26 and has stated its intention to return lost user assets within two weeks. However, the company has cautioned that this timeline is not guaranteed and has advised users against moving funds to new wallets in the interim, warning that “independent actions taken outside of official guidance create additional risks.”

    Technical Analysis of ADA Price Action

    ADA is currently trading near $0.145, marking a 21% decrease over the last two weeks. The cryptocurrency is trading well below its 50-day Exponential Moving Average (EMA) of $0.1904, its 100-day EMA of $0.2248, and its 200-day EMA of $0.3006.

    The Relative Strength Index (RSI) is hovering around 29, approaching oversold territory. The Moving Average Convergence Divergence (MACD) has turned marginally positive, suggesting a fading bearish momentum rather than a confirmed reversal.

    Key support is identified at the psychological level of $0.140, with a structural low near $0.1382. A daily close below $0.1451 could expose this zone directly.

    On the upside, initial resistance is observed in the $0.1726–$0.1737 range, which encompasses a broken descending trendline and the 23.6% Fibonacci level. Further resistance is expected at the 50-day EMA ($0.1904) and the 38.2% Fibonacci retracement level ($0.1957).

    The CoinGlass long-to-short ratio stands at 0.72, the lowest it has been in over a month. Funding rates are negative at -0.0055%, indicating that short positions are currently paying long positions, a mild contrarian signal.

  • Ansem Meme Coin Deployer Nets $5.5K, Ansem Claims $71M

    Ansem Meme Coin Deployer Nets $5.5K, Ansem Claims $71M

    Meme Coin Named After Influencer Skyrockets, Deployer Nets Minimal Profit

    A Solana-based meme coin bearing the name of prominent crypto influencer Ansem has surged to a fully diluted valuation exceeding $108 million. On-chain data reveals that Ansem’s own wallet holds over $71 million worth of the token. In stark contrast, the individual who initially launched the coin reportedly walked away with a profit of just $5,500.

    On June 29, on-chain analytics firm Lookonchain detailed the situation, stating that the deployer, identified by the wallet tag “yHCxHB,” invested $6,300 to launch The Black Bull (ANSEM). During the launch, the deployer acquired 792.45 million tokens. Of this amount, 650 million tokens were transferred directly to Ansem’s wallet without charge. The deployer subsequently sold the remaining 142.45 million tokens for $11,800, resulting in a net profit of $5,500. The meme coin has since achieved a market capitalization of over $43 million, according to CoinGecko.

    Hupzy, an analyst at Spot On Chain, offered a direct interpretation of the figures. “The deployer handed over 80%+ of his allocation to a single influencer for free, strongly suggesting a pre-arranged promotion deal,” Hupzy wrote. “Ansem’s incentive is to pump and dump. The deployer making only $5,500 confirms he was in it for the relationship, not the token.”

    Hupzy further noted that ANSEM’s supply structure is “highly concentrated” and “influencer-controlled,” cautioning that any price movements should be viewed as “potentially manipulated.” Rugcheck.xyz echoed this warning, flagging a risk of market manipulation due to the significant concentration of tokens in unidentified wallets.

    As of this report, ANSEM is trading around $0.108, marking a roughly 284% increase in the past 24 hours and a staggering over 19,000% rise over the past week. The token reached an all-time high of $0.1212 earlier today and recorded a 24-hour trading volume of approximately $87.8 million, a 245% jump from the previous day.

    A tracking account for the Pump.fun ecosystem has been documenting the meme token’s ascent in real-time. It noted that ANSEM was the top-traded token on Pump.fun by volume in the last 24 hours, with $60 million in trades, significantly outperforming tokens like Jotchua ($5.63 million) and Fartcoin ($3.77 million).

    The same account indicated that Ansem linked his X account to Pump.fun 12 days ago and announced he would share a portion of creator rewards with his followers. This announcement appears to have generated substantial early interest, with some traders profiting from early entry.

    Lookonchain highlighted one wallet, CxCTVj, which achieved a 261x return by converting $2,330 into $614,500 after purchasing 14.2 million ANSEM tokens near the coin’s inception. Another trader reportedly bought $3,370 worth of the asset when its market cap was around $4 million, later selling for $37,580, securing an 11x gain.

    Analyst Ash Crypto pointed out on X that ANSEM had experienced a dramatic surge, moving from a market capitalization of $173,000 to nearly $109 million in a single day, representing a move of approximately 63,000%.

    However, the broader meme coin sector has faced significant downturns. Data from CryptoRank indicates that the sector has lost over 84% of its collective value from a 2024 peak of $135 billion to the current $20.74 billion. The sharp, vertical ascent of ANSEM in such a declining market has drawn comparisons to other meme coins like SIREN, which experienced a 95% crash after its whales liquidated 92% of the circulating supply.

    Analytics platform Bubblemaps and on-chain investigator ZachXBT had previously warned about SIREN’s concentrated supply months before its collapse. It remains to be seen if ANSEM will face a similar fate, but current data indicates that a single wallet controls a substantial portion of the supply, while the coin’s deployer has realized minimal profits.

  • Pi Network Pioneers: Essential Pi2Day Guide

    Pi Network Pioneers: Essential Pi2Day Guide

    Pi2Day Arrives with Ecosystem Expansion, Token Price Dips

    June 28, celebrated by the Pi Network community as Pi2Day, a nod to the mathematical constant π, has historically been a period of heightened anticipation for potential token listings or significant feature rollouts. This year’s event, however, saw the native token’s value decline further following the team’s latest announcements.

    Leading up to Pi2Day, speculation ran high within both the community and among observers. Hopes ranged from the introduction of major new functionalities to rumors of listings on prominent exchanges, echoing the excitement that surrounded Pi Day on March 14, which saw discussions about a potential Kraken listing.

    The actual announcement detailed the launch of three new initiatives: SoloHost, Pi Sign-in, and PiVerify. These developments are designed to broaden the Pi Network’s reach beyond its core applications, extending into artificial intelligence, digital identity, and third-party services. The aim is to position Pi as a versatile platform supporting AI applications, decentralized computing, and digital identity, moving beyond its foundational blockchain capabilities.

    These three launches effectively extend Pi’s utility by allowing developers, businesses, and third-party applications to tap into the network’s computing infrastructure, user base, and Know Your Customer (KYC) capabilities.

    SoloHost appears to be the flagship release, designed to support AI applications running locally on user devices. This includes the new Homes AI assistant, which processes and stores data entirely on the user’s machine, eschewing cloud infrastructure. The Pi Network team stated this approach enhances user privacy and reduces reliance on centralized servers.

    The second major feature, Pi Sign-in, will enable users to authenticate into supported third-party websites and applications using their Pi credentials. This offers external developers access to Pi’s verified user base while streamlining the login process for existing Pi Pioneers.

    Rounding out the new offerings is PiVerify, a new identity verification service that opens Pi’s existing KYC infrastructure to external businesses. The team highlighted that Pi’s hybrid AI-and-human verification system has already processed over 18 million users across more than 200 countries and regions. PiVerify will integrate with this system, empowering fintech companies, exchanges, Web3 applications, and other businesses to utilize Pi’s identity infrastructure for customer onboarding, anti-money laundering (AML) screening, duplicate account detection, and compliance processes.

    Despite the introduction of these new features aimed at enhancing the overall user experience, the protocol’s native token has experienced a “buy the rumor, sell the news” reaction. PI has seen a decline of over 4% in the past 24 hours, a move that contrasts with a broader market rebound from weekend lows.

    PI briefly dipped below $0.12 but has managed to stay just above its all-time low of $0.1189. While currently trading above $0.12, the token remains down 10.5% for the week. Furthermore, it is still approximately 96% below its all-time high of $2.99, which was recorded in February 2025.

  • Loopring Shuts DEX, Citing Engineering Focus

    Loopring Shuts DEX, Citing Engineering Focus

    Loopring DEX to Cease Trading Services Amid Technical and Business Challenges

    Loopring, a pioneer in launching zero-knowledge rollups on Ethereum, has announced the immediate cessation of all trading services on its decentralized exchange. The platform’s relayer has already been taken offline.

    The decision, made with considerable regret after years of effort to maintain operations, stems from a confluence of factors, according to the team.

    A primary driver for the closure was the platform’s inherent technical limitations. Loopring’s initial zkRollup design lacked a virtual machine, which constrained its composability and restricted its potential for broader real-world applications, including payment solutions. These limitations hampered ecosystem growth and made it difficult for Loopring to remain competitive against emerging technologies.

    The team also acknowledged a disparity in their strengths, admitting to possessing stronger engineering acumen than business development expertise. They described themselves as “engineers at heart, not business operators.” Further compounding the challenges, the delisting of its native token, LRC, from major exchanges in 2026 added significant pressure to the project.

    “We poured countless late nights into building the very first zkRollup on the market. That achievement still fills us with pride,” the team stated. “But today, we must face reality and announce, with deep regret, that Loopring DEX will cease all trading services effective immediately.”

    Loopring explained that newer zkEVM solutions, which offer compatibility with Ethereum smart contracts and greater interoperability, have outpaced its specialized architecture. The team views its technology as now outdated and concluded that shutting down the service was preferable “rather than running a hollow service.”

    User Funds Secured, Distribution Process Underway

    The company assured users that their funds remain secure and outlined a distribution process for asset repatriation. Rather than requiring users to navigate the original self-custody withdrawal mechanism involving Merkle proofs, Loopring will manage the entire process and absorb all associated transaction fees. While acknowledging this approach is more centralized, the team characterized it as the most straightforward option for users.

    Loopring also plans to publish a comprehensive list of final account balances in the coming days. This will encompass spot holdings and liquidity pool positions, which will be converted into their underlying tokens. A two-week review period will be provided for users to verify their balances before distributions commence.

    In a separate incident in June 2024, attackers reportedly stole approximately $5 million from users of the Loopring wallet who relied exclusively on the platform’s Official Guardian service for account recovery. The breach was attributed to a vulnerability in the service’s two-factor authentication system, which enabled attackers to impersonate wallet owners and gain unauthorized access to their accounts.

  • GhostSwap Defies Delistings, Keeps Monero Accessible Without KYC

    GhostSwap Defies Delistings, Keeps Monero Accessible Without KYC

    Privacy Coins Face Delisting Wave, GhostSwap Offers Alternative

    The cryptocurrency landscape has seen a significant shift in recent years, with a growing number of centralized exchanges delisting privacy-focused coins. This trend, which began in earnest in 2024, is largely attributed to mounting compliance and regulatory pressures.

    Binance, for instance, announced the removal of Monero (XMR) trading in February 2024. Shortly thereafter, OKX delisted Monero, Zcash (ZEC), and Dash (DASH) within the same year. By mid-2026, the number of exchanges worldwide that had delisted privacy coins had surged to 73, a notable increase from 51 in 2023. Monero has been particularly affected, experiencing a six-fold increase in yearly delistings, followed by Dash.

    Regulatory scrutiny continues to intensify. Dubai’s financial regulator has prohibited privacy coins such as Monero and Zcash on licensed platforms within the Dubai International Financial Centre. Concurrently, the European Union’s Markets in Crypto-Assets (MiCA) regulation, which fully came into effect in late 2024, mandates a review by the European Commission by June 30, 2027. This review could lead to further legislative changes that might impose stricter restrictions on privacy-focused assets.

    GhostSwap’s Non-Custodial Approach

    In contrast to this trend, GhostSwap, a non-custodial and no-KYC crypto swap service, continues to support Monero, Zcash, Dash, and numerous other privacy tokens. The platform has recently launched a public swap-rate API that provides live Monero (XMR) rates, complete with minimum and maximum limits, without requiring an API key. This feature is designed to enable developers and price-display websites to instantly integrate privacy coin pricing.

    GhostSwap operates on a model where user funds are never held on the platform, allowing it to function outside the purview of traditional exchange controls. This fundamental difference is why privacy tokens remain swappable on GhostSwap even as custodial exchanges are compelled to delist them.

    A Different Model for Crypto Swaps

    GhostSwap distinguishes itself from centralized exchanges by functioning as a privacy-first, non-custodial swap platform. Users select their desired coins, send funds to a GhostSwap-provided address, and the service facilitates the swap by finding the optimal route and depositing the destination coin directly into the user’s wallet. Crucially, GhostSwap never takes custody of user funds. There are no accounts or logins required; all swaps are conducted on-chain, wallet-to-wallet, with no personal data collected.

    Effectively, GhostSwap acts as a smart liquidity router, connecting decentralized pools and centralized exchange liquidity behind the scenes. Unlike traditional exchanges, which must comply with regulatory demands to delist assets due to holding user funds and operating under specific licenses, GhostSwap merely routes users to available liquidity across various sources. As it does not custody assets, it avoids the same compliance ultimatums.

    This resilience extends to Zcash, Dash, and other privacy-focused assets. While major exchanges like Binance and OKX have removed these tokens from their order books, GhostSwap continues to support them as core trading pairs. Monero remains a primary asset, with pairs such as BTC to XMR and ETH to XMR listed among the platform’s most prominent offerings.

    Real-Time Pricing for Privacy Coins

    Integrators and users can now access real-time Monero pricing through GhostSwap’s public, no-key API. The endpoint is CORS-enabled and rate-limited to 60 requests per minute, returning GhostSwap’s aggregated best rates, including the required minimum and maximum swap sizes. This open model reduces barriers for wallets, trading bots, and dashboards looking to incorporate privacy coins.

    Each swap includes explicit minimum and maximum limits provided by the quote API. For example, a sample public API call indicated a minimum of 0.10 XMR and a maximum of approximately 2,337 XMR for Monero. These values fluctuate with liquidity, but their visibility via the API eliminates guesswork for integrators. Price-display and comparison sites can now dynamically showcase GhostSwap’s best privacy coin rates.

    The Privacy vs. Surveillance Debate

    Regulators, however, argue that such swaps create “blind spots” for surveillance. This highlights a clear tension: while privacy coins are becoming less accessible on traditional exchanges, platforms like GhostSwap are maintaining their liquidity and swappability. This dynamic is leading to an emerging clash between open-access cryptocurrency infrastructure and Anti-Money Laundering (AML) rules.

    Swapping Bitcoin to Monero on GhostSwap is presented as one of the most effective methods for converting cryptocurrency into a private, untraceable form without requiring KYC or account creation. Bitcoin transactions are transparent and publicly visible on the blockchain, allowing for the tracing of wallet balances and payment histories. By converting BTC to XMR, users can leverage Monero’s comprehensive privacy features.

    Monero’s privacy is achieved through technologies like ring signatures, stealth addresses, and RingCT, which render all transactions untraceable by default. This ensures that transaction details, balances, and payment histories remain invisible to external observers.

    While BTC holdings are traceable on the Bitcoin blockchain, once converted to XMR through a no-KYC exchange like GhostSwap, there is no account or identity linking the two. Furthermore, Monero transaction fees are exceptionally low, typically less than $0.01 per transaction, making XMR practical for regular private transactions, not just large transfers.

    GhostSwap processes BTC to XMR swaps without KYC, sign-ups, or personal data collection, ensuring that the swap remains as private as Monero itself.

    Seamless Bitcoin to Monero Swaps

    Exchanging Bitcoin for Monero on GhostSwap is described as an instant process, requiring no sign-up, identity verification, or limits. The Monero typically arrives in the user’s wallet within 2 to 10 minutes, corresponding to 10 block confirmations. Monero fees remain consistently low at approximately $0.01 per transaction.

    The process for swapping Bitcoin to Monero on GhostSwap is outlined as straightforward:

    1. Select Bitcoin in the “You Send” field, enter the amount, and choose Monero in the “You Get” field.
    2. Provide your Monero wallet address for receiving XMR.
    3. Send your BTC to the provided address to initiate the exchange.
    4. Upon completion, receive XMR in your wallet.

    The entire process is non-custodial, with GhostSwap never holding user funds, ensuring user control from start to finish.

    The Future of Privacy Coins

    The wave of delistings shows no signs of abating. With MiCA reviews on the horizon in 2027 and ongoing regulatory scrutiny in Asia and the Middle East, privacy coins face an uncertain future on traditional exchanges. However, platforms like GhostSwap are demonstrating that the infrastructure for private, permissionless crypto transactions remains resilient.

    GhostSwap’s ability to keep Monero swappable and make privacy coin pricing accessible to developers, wallets, and comparison sites globally may define the next phase of crypto infrastructure: one that is accessible, resilient, and caters to users who value both privacy and choice.

  • Crypto Investors: This Week’s Key Watchlist

    Crypto Investors: This Week’s Key Watchlist

    Crypto Markets Brace for Volatility Amid Geopolitical Tensions and Key Economic Data

    Cryptocurrency markets experienced a period of stagnation over the weekend, following a tumultuous week that saw approximately $140 billion drained from the digital asset space. The subdued sentiment comes as geopolitical tensions escalate in the Middle East, with the United States launching strikes against Iranian military targets in multiple locations in retaliation for Iran’s drone attack on a commercial vessel.

    TradFi Fear and Greed Index Hits Multi-Month Low

    The traditional finance (TradFi) fear and greed index has fallen to 24.8, its lowest point since early April, according to a report from The Kobeissi Letter. The coming week is poised to be significant for financial markets, laden with crucial labor market data that could heavily influence the Federal Reserve’s future monetary policy decisions.

    Bitcoin Struggles as Geopolitical Events Unfold

    Monday saw markets reacting to the renewed military actions, with cryptocurrencies already trading in negative territory. Bitcoin, the leading cryptocurrency, failed to maintain the $60,000 mark, signaling ongoing pressure.

    Key Economic Indicators on the Horizon

    Economic data releases are set to begin on Tuesday with the May JOLTs Job Openings report and the June CB Consumer Confidence survey. These will be followed on Wednesday by the June ISM Manufacturing PMI, a key indicator of the health of the industrial sector and broader business conditions.

    The week’s most anticipated report is the June Jobs report, scheduled for release on Thursday. This data is expected to significantly shape the direction of interest rates and market sentiment, potentially extending its influence through September, as it represents the sole employment report the Federal Reserve will review before its July meeting.

    Labor Market Weakness Fuels Stagflation Concerns

    Continued weakness in the labor market would lend credence to concerns about stagflation, a scenario where economic growth stagnates while inflation persists, according to BarChart. A robust jobs report, conversely, would likely lead to expectations of higher interest rates, creating a more challenging environment for risk assets like cryptocurrencies. However, current market pricing appears to anticipate a softer jobs number, meaning a surprise upside could pose a greater risk.

    Key Events This Week:

    • US Markets React to Strait of Hormuz Strikes – Monday
    • May JOLTs Job Openings data – Tuesday
    • June CB Consumer Confidence data – Tuesday
    • June ISM Manufacturing PMI data – Wednesday
    • June Jobs Report – Thursday
    • US Markets Closed for Independence Day – Thursday

    Overall Outlook Remains Bleak for Crypto

    The broader outlook for the cryptocurrency market remains challenging, with negative sentiment deepening amid what many are describing as a crypto winter. Total market capitalization has receded to its lowest level since September 2024, standing at $2.13 trillion. Bitcoin has been at the forefront of these losses, with capitulation appearing to continue.

    Bitcoin experienced a 1.5% decline on Monday, dipping to $59,000 during early Asian trading sessions before a slight recovery. The cryptocurrency is currently testing critical support levels; a breach of this threshold could precipitate a sharp decline towards the realized price of approximately $53,000, a level historically associated with bear market bottoms.

    Ethereum (ETH) is already trading near its multi-year bear market lows, struggling to break above the $1,570 mark and showing consistent weakness.

  • CoinEx: Iran’s Crypto Economy Gateway

    CoinEx: Iran’s Crypto Economy Gateway

    Billions in Crypto Transactions Linked to Sanctioned Iranian Entities via CoinEx

    More than $3.84 billion in blockchain transactions have been traced between cryptocurrency exchange CoinEx and sanctioned Iranian entities over a period exceeding seven years, according to a new report.

    The findings emerge shortly after the U.S. Treasury’s Office of Foreign Assets Control (OFAC) imposed sanctions on four Iranian exchanges—Nobitex, BitPin, Wallex, and Ramzinex—under Executive Orders 13224 and 13902. These four platforms accounted for approximately $7.7 billion, or 78%, of Iran’s estimated $10 billion in attributed crypto activity in 2025, the report by TRM Labs stated. Despite ongoing enforcement actions, Iran’s annual crypto volumes have remained substantial.

    CoinEx, founded in 2017, has processed over $79 billion in trading volume and has faced regulatory scrutiny in multiple countries. TRM Labs’ analysis indicates that CoinEx is the largest external counterparty for Nobitex, Iran’s biggest crypto exchange. Since late 2018, over $2.7 billion has moved between the two platforms through approximately 6.2 million blockchain transfers, averaging about $1 million daily. Nobitex has sent roughly $360 million more to CoinEx than it received, suggesting a consistent flow of funds from Iran to international markets via CoinEx.

    Activity between CoinEx and Nobitex surged from around $13 million in 2020 to $575 million in 2021. Following a dip in 2022 and 2023, volumes rebounded to $714 million in 2024 and $763 million in 2025. CoinEx was responsible for over 16% of Nobitex’s annual transaction volume.

    TRM Labs also identified direct connections between CoinEx and more than 60 Iranian crypto businesses, including Wallex, Ramzinex, BitPin, Aban Tether, Excoino, Bit24, Ompfinex, Sarmayex, and Exir. The report suggests that a similar proportion of transaction volumes was routed through CoinEx across multiple Iranian exchanges, coupled with the gradual onboarding of platforms over several years. This pattern points to an organized relationship rather than independent market behavior.

    The blockchain intelligence firm further discovered that approximately $67 million originating from the Central Bank of Iran reached CoinEx through a complex laundering structure between June 2025 and June 2026. Funds reportedly traversed multiple blockchains, cross-chain bridges, Gnosis Safe contracts, and Aave tokens before arriving at CoinEx. The exchange allegedly provided transaction fees that facilitated these transfers.

    ViaBTC, a mining pool operated by CoinEx’s parent company, also showed close ties to Iran. TRM traced over $154 million between ViaBTC and Nobitex-linked wallets, with most transfers flowing from the mining pool to Iranian wallets. Following a cyberattack on Nobitex in 2025, previously inactive mining wallets transferred about $2.7 million to a new Nobitex wallet. ViaBTC also appeared in the transaction chain, indicating that mining reserves may have been used to restore liquidity.

    TRM also found CoinEx’s exposure to wallets linked to the IRGC, Palestinian Islamic Jihad, Hezbollah, Garantex, Bitzlato, the CoinEx hack, BlackSuit ransomware, and the Wasabi mixing service. Transaction patterns shifted after the intensification of the U.S.-Iran-Israel conflict in early 2026, with average transfer sizes and the frequency of larger transactions increasing sharply.

    Following OFAC’s sanctions on several Iranian exchanges earlier this month, transaction volumes between CoinEx and Iranian entities have significantly decreased. However, the firm cautioned that private exchange accounts could still enable activity outside of public blockchain visibility.

    CoinEx has denied any relationship with the Iranian government or sanctioned entities, stating it has never provided them with funding or support. The exchange also asserted that blockchain transactions do not inherently prove involvement in illegal activities.

  • Q2 2026: Crypto Hacks Hit Record High

    Q2 2026: Crypto Hacks Hit Record High

    Q2 2026 Sees Record High in Crypto Hacks, Losses Mount

    Decentralized finance (DeFi) platforms have been hit by 121 hacks this year, resulting in approximately $942 million in losses, according to a report released this week by crypto market tracker CryptoRank.

    The second quarter of 2026 proved to be the most volatile period on record for the crypto sector, with 85 incidents and an estimated $775 million stolen. This surge in attacks coincides with a broader struggle in the cryptocurrency market, marked by declining investor confidence. The total value locked (TVL) in DeFi protocols has seen a consistent monthly decrease throughout the year, falling from around $115 billion in January to $70 billion by late June.

    CryptoRank’s data indicates that the 85 incidents in Q2 2026 represent a significant increase, exceeding the second-highest frequency of exploits—which occurred in Q1 2026—by 49. However, the total dollar value of losses in the second quarter did not reach previous peaks. The data provider noted that two major attacks in April accounted for the majority of the quarter’s losses.

    Major Heists Fuel Q2 Losses

    Drift Protocol and KelpDAO collectively lost $590 million, a sum that represents more than half of all DeFi losses recorded in 2026. Drift Protocol reported that attackers made off with approximately $285 million in user assets. Investigations by blockchain intelligence firm TRM Labs have linked this operation to hacking groups with ties to North Korea.

    According to TRM, the preparatory stages of the attack began on-chain as early as March 11 with a 10 ETH withdrawal from Tornado Cash. This transaction followed months of in-person meetings between proxies of the Pyongyang regime and Drift employees. TRM Labs stated in a report published April 30 that “the attacker used social engineering to induce Drift Security Council multisig signers into pre-signing transactions that appeared routine but carried hidden authorizations for critical admin actions.”

    Just over two weeks later, North Korea’s Lazarus Group targeted KelpDAO, a liquid restaking protocol, exploiting its LayerZero bridge infrastructure and stealing roughly $290 million worth of rsETH. Chainalysis reported at the time that the attackers forged a cross-chain message on April 18 after compromising two remote procedure call nodes utilized by LayerZero’s Decentralized Verifier Network. Concurrently, the criminals launched a distributed denial-of-service attack on a third node, manipulating the system to rely on compromised verifiers. This compromised verification process allowed for the creation of rsETH tokens on Ethereum without the corresponding assets being burned on Unichain.

    Broader Market Impact and Shifting Landscape

    In the immediate aftermath of these attacks, the lending protocol Aave experienced a sharp decline in its TVL, dropping from $26.4 billion to $14.3 billion, with $12 billion in funds withdrawn, representing a decrease of approximately 46%.

    This significant dip in Aave’s TVL was not an isolated incident. CryptoRank’s data confirms that the value locked across all of DeFi declined every month in 2026, falling from $115.3 billion in January to just over $70 billion in June. While hacks were not the sole driver of this decline, the firm suggested that the increased frequency of such incidents likely eroded user confidence, leading to a broader shift away from the sector.

    However, the current downturn is less severe than the one experienced during the 2021-2022 cycle, when DeFi TVL plummeted by more than 70% in seven months. CryptoQuant notes that the current decline has been more gradual, and the market structure has evolved. The stablecoin supply has grown to approximately $300 billion, real-world asset tokenization is expanding, and capital is now more dispersed across various sectors, including derivatives, infrastructure, and lending, rather than being concentrated in a few automated market makers (AMMs) and yield farms.

    Among the largest ecosystems by TVL, only Tron and Hyperliquid have shown growth this year, with Tron gaining 5% and Hyperliquid adding nearly 7%, solidifying its position as a dominant venue for on-chain perpetuals. The remaining top 10 chains have experienced significant declines, with Plasma and Arbitrum being the hardest hit, seeing their TVL plunge by 74.6% and 55%, respectively.

  • XRP’s July Plunge Risk: ChatGPT Warns of Sub-$1 Drop

    XRP’s July Plunge Risk: ChatGPT Warns of Sub-$1 Drop

    Bears Tighten Grip as XRP Nears Psychological $1.00 Mark

    The cryptocurrency market, once a beacon of optimism, now appears firmly in the grip of bearish sentiment, with the psychological $1.00 level for XRP coming into sharp focus. What seemed improbable just months ago, or even weeks, has become a distinct possibility in the current landscape.

    Just eleven months ago, XRP commanded a price of $3.65. Even subsequent corrections that pushed it below $3.00 and then $2.00 felt significant at the time. However, a sustained breakdown below the $1.00 threshold was largely considered unthinkable. Now, with Bitcoin struggling to maintain its $60,000 support, such a scenario for XRP is highly anticipated.

    On Thursday, as the broader market experienced a significant downturn, XRP plummeted to $1.01. This raises a critical question: how low could the token fall if this crucial support level falters? To explore this, we turned to ChatGPT for its insights.

    The popular AI model cautioned that a clean break below $1.00, particularly by the end of June or in July, might not see the price stabilize at $0.99. Instead, a decisive daily close beneath this round-numbered support could transform it into a resistance level. In such a scenario, the initial downside target is projected to be between $0.96 and $0.94. While this could signal the “first wave of damage,” it may not necessarily mark the ultimate bottom.

    The true danger, according to ChatGPT’s analysis, emerges if XRP loses the $0.94 level. This would reportedly open a clear path for the asset to descend towards $0.90. Should panic accelerate, further downside targets are identified at $0.87, $0.82, and $0.78, levels that align with projections from several prominent analysts regarding XRP’s potential floor.

    In a worst-case scenario for XRP in July, ChatGPT predicted a potential crash to $0.65. The AI explained that this level is significant because it lies sufficiently below immediate support to shake out late buyers, liquidate leveraged long positions, and fundamentally reset market sentiment. Such a drop would represent a 35% decline from $1.00 and a nearly 40% fall from the current approximate price of $1.05.

    However, OpenAI’s solution also outlined an alternative scenario. If XRP bulls manage to defend the $1.00 support and the overall market environment improves or at least ceases to deteriorate, Ripple’s token could see a recovery. To achieve this, XRP would need to reclaim key resistance levels at $1.08 and $1.10. A sustained move beyond $1.10 would invalidate the bearish thesis of a plunge below $1.00.

    Nevertheless, until XRP decisively breaks above $1.10 and maintains that position, any upward movements are likely to be viewed with skepticism. Instead of signaling a genuine recovery, these bounces may be perceived as opportunities for sellers to re-enter the market and push the price back below the critical $1.00 territory.

  • Assets Plummet: Where’s the Capital Flowing?

    Assets Plummet: Where’s the Capital Flowing?

    Bitcoin’s Downturn Continues, Investors Shift Billions from Crypto and Gold to Semiconductors

    Bitcoin has experienced a significant decline since the beginning of the year, falling below the $60,000 mark for the first time since late 2024. The largest funds tracking its performance have collectively shed over $8 billion in recent weeks.

    Gold, which started the year with a positive surge to a new all-time high, has also seen its trajectory reverse and is now trading in negative territory. This raises the question of where investors are reallocating their capital.

    ETF Outflows and Inflows

    The exodus from Bitcoin Exchange Traded Funds (ETFs) began in November, following a substantial market correction in October. Investors withdrew $3.5 billion in November, with billions more pulled out in December and January. The trend showed a brief recovery in March and April, with net inflows of $1.32 billion and $1.97 billion, respectively.

    However, May marked a renewed downturn, with $2.43 billion withdrawn. June is currently on pace to set a record for the highest net outflows, with over $4 billion already withdrawn. The cumulative net inflows for Bitcoin ETFs have decreased from a peak of $61.19 billion in October to $51.61 billion as of last week, representing a reduction of nearly $10 billion. In the past seven weeks alone, these funds have seen approximately $8 billion in outflows.

    The performance of gold ETFs mirrors this trend. While these funds initially attracted significant capital at the start of the year, coinciding with gold’s record high, recent data indicates a shift. According to The Kobeissi Letter, ETFs tracking both Bitcoin and gold have experienced a combined $12 billion in cumulative outflows since April.

    “The largest US gold-backed ETF, $GLD, is down -13% since the start of April, while the largest Bitcoin ETF, $IBIT, is down -12%,” the analysis noted.

    A Broader Market Perspective

    This pattern of withdrawals is not universal across all investment assets. Data from the same analysts reveals that US-listed ETFs, in general, have attracted over $1 trillion in net inflows in 2026, positioning them to set a new annual record.

    The significant capital leaving Bitcoin and gold appears to be flowing into US semiconductor ETFs. The Kobeissi Letter reported that these semiconductor-focused ETFs have attracted $20 billion in cumulative inflows within the same timeframe that gold and Bitcoin funds lost $12 billion. This trend reportedly accelerated in mid-May and has continued into June.

    Analysts concluded that semiconductor ETFs, such as $SOXX and $SMH, have seen substantial gains of 81% and 60%, respectively, over the period during which $GLD and $IBIT have declined by 13% and 12%. This suggests a rotation by retail investors out of gold and Bitcoin and into semiconductor stocks.

    The data highlights a clear divergence:

    • Since April, US gold and Bitcoin ETFs have recorded cumulative outflows totaling -$12 billion.
    • Concurrently, US semiconductor ETFs have attracted cumulative inflows of +$20 billion.