Tax Officials Target High-Value Crypto Traders Indian tax authorities are investigating more than 400 high-net-worth individuals who allegedly evaded taxes after trading on Binance in recent years, according to The Economic Times. The probe covers transactions between fiscal years 2022–23 and 2024–25, with India’s Central Board of Direct Taxes instructing regional offices to report progress by October 17. India taxes crypto profits at up to 42.7% for top-bracket individuals, including a 30% flat tax on gains, a surcharge, and a 4% cess. Each crypto transfer is also subject to a 1% withholding tax (TDS), credited against final liabilities. These rates are among the highest in the world, part of the government’s broader stance to deter speculative activity in non-sovereign digital assets. The current investigation focuses on whether traders used Binance’s global platform to avoid Indian tax reporting obligations. Authorities are said to be analyzing blockchain transaction data, peer-to-peer (P2P) records, and linked domestic payment accounts, according to the report. Investor Takeaway The probe highlights India’s tightening grip on crypto compliance and the growing use of exchange data to track tax evasion. High-volume users face potential scrutiny across multiple fiscal years. Binance’s Regulatory Return to India Binance and eight other offshore exchanges were blocked in India in late 2023 after the Financial Intelligence Unit (FIU) accused them of operating without registration under the Prevention of Money Laundering Act. The exchange re-entered the country in August 2024 after paying a $2.25 million penalty and registering as a “reporting entity” with the FIU. That registration gave Indian regulators greater access to trading and user data. According to The Economic Times, the arrangement “paved the way” for Binance to share details of suspected tax evaders with the government. Officials are now examining how users routed peer-to-peer transfers through Binance but settled them via domestic bank accounts, Google Pay, or cash—though the latter option was reportedly discontinued last year. Binance has not commented publicly on the investigation. The company continues to operate in India under its compliance framework, though trading activity has reportedly declined since new restrictions took effect. Policy Context and Government Stance India’s government has made clear that it intends to sustain its strict tax policy on cryptocurrencies. Union Minister Piyush Goyal said last month that authorities will “double down” on developing a central bank digital currency (CBDC) while keeping non-government-backed tokens under heavy taxation. The stance mirrors India’s effort to formalize oversight of digital assets while discouraging retail speculation. Since introducing the 30% tax in 2022, local trading volumes have fallen sharply, and many exchanges have shifted focus to compliance-driven services such as custody and remittances. The country’s anti-tax evasion drive reflects a broader trend of enforcement coordination between the FIU and the CBDT. Investor Takeaway For traders, the investigation serves as a warning that crypto transactions are no longer beyond the reach of local tax authorities. Exchange compliance data is increasingly being used for enforcement. Industry Response and Outlook The investigation comes at a time when Binance is facing challenges in several jurisdictions. The exchange recently pledged to compensate traders affected by stablecoin depegs in multiple markets, as global crypto volatility triggered record liquidations. For India, the case could set a precedent for how foreign platforms are held accountable for domestic users’ tax compliance.

Binance will compensate a subset of users who lost funds during Friday night’s wild crypto swings, after platform slowdowns coincided with sharp token depegs and one of the largest liquidation events in the industry’s history. In posts on X, Binance’s chief customer support officer and co-founder Yi He and CEO Richard Teng issued public apologies on Saturday, acknowledging the exchange’s technical issues during the surge in trading activity. He said users who suffered direct losses because of Binance’s performance could apply for compensation, though losses tied to market price changes or unrealized profits would not qualify. “If you have incurred losses attributable to Binance, please contact our customer service to register your case,” Yi He wrote. “We will review your account activity individually… When we fall short, we take responsibility—there are no excuses or justifications.” According to Binance’s follow-up announcement, compensation will cover Futures, Margin, and Loan users who held USDe, BNSOL, and WBETH as collateral and were impacted between 21:36 and 22:16 UTC on Oct. 10. The exchange said payouts would equal the difference between each asset’s liquidation price and its market price two hours later, at midnight UTC. All three assets — Ethena’s USDe, Binance’s Solana liquid staking token BNSOL, and Wrapped Beacon ETH (WBETH) — broke sharply from their intended pegs during the selloff. USDe, designed to remain near $1, briefly crashed to $0.66, prompting a wave of forced liquidations across leveraged positions. Teng, who succeeded Changpeng “CZ” Zhao as CEO in 2023, echoed He’s apology, saying the company “doesn’t make excuses” and would “learn from what happened.” Yi He later added that users who bought the depegged assets at discounted prices would keep their gains, while wealth management clients affected by the same tokens would be handled through a separate process. The meltdown capped a brutal 24 hours for traders. Data from Coinglass show that roughly 1.7 million positions were liquidated across the crypto market, erasing nearly $20 billion in open interest — a scale some traders described as “historic.” Binance ranked third among exchanges by liquidation volume, with about $1.4 billion in long positions and $981 million in shorts wiped out. Despite that scale, Binance’s share of long-side liquidations — around 59% — was smaller than that of rivals, which saw up to 85% of liquidations hit bullish traders. Amid the turmoil, Crypto.com CEO Kris Marszalek called for regulators to examine whether exchanges handled the episode fairly. “Regulators should look into the exchanges that had most liquidations in the last 24h and conduct a thorough review of fairness of practices,” Marszalek posted on X. “$20B in liquidations — a lot of users got hurt.” Binance’s own token, BNB, slid nearly 10% in the aftermath, trading around $545 early Saturday. Despite the drop, BNB recently overtook XRP to become the third-largest non-stablecoin cryptocurrency by market capitalization. The exchange has faced mounting scrutiny in recent years as it balances global regulatory pressure with efforts to maintain liquidity and reliability during high-volatility stretches. Friday’s disruptions mark the most serious technical setback since Teng took over the top role. For now, Binance says it will handle compensation case by case, hoping to calm the backlash from traders who saw positions vanish in minutes. Whether that will be enough to restore confidence after one of crypto’s biggest liquidation cascades remains an open question.  

Crypto.com chief executive Kris Marszalek has urged regulators to open an investigation into trading practices at crypto exchanges that suffered the steepest losses after a record $20 billion in liquidations swept through digital asset markets over the past day. In a Saturday post on X, Marszalek said watchdogs should “conduct a thorough review of fairness of practices,” raising questions about whether some platforms froze trading, mispriced assets, or failed to uphold anti-manipulation controls during the market collapse. “Regulators should look into the exchanges that had most liquidations in the last 24 hours,” Marszalek wrote. “Any of them slowing down to a halt, effectively not allowing people to trade? Were all trades priced correctly and in line with indexes?” Hyperliquid, Bybit, and Binance Lead Losses Data from CoinGlass shows that decentralized derivatives exchange Hyperliquid accounted for the bulk of losses, with $10.31 billion in liquidated positions. Bybit followed with $4.65 billion, while Binance recorded $2.41 billion. Other major venues, including OKX, HTX, and Gate.io, saw smaller totals between $264 million and $1.2 billion. The $19.3 billion wiped out in the rout dwarfed previous downturns in crypto markets, according to analyst Quinten François. The total liquidation figure was more than ten times the scale of the selloffs triggered by the COVID-19 crash ($1.2 billion) and the collapse of FTX in 2022 ($1.6 billion). Binance later acknowledged that a “price depeg” involving Ethena’s USDe stablecoin, BNSOL, and WBETH had caused forced liquidations for some traders. The exchange said it was reviewing affected accounts and evaluating “appropriate compensation measures.” Reports quickly surfaced from users alleging that technical issues compounded their losses. One trader claimed Binance closed their short position while leaving their long open, wiping out their balance. The user said the malfunction was unrelated to the exchange’s auto-deleveraging system and noted that similar trades on rival platforms remained intact. Binance co-founder Yi He issued a public apology, citing “significant market fluctuations and a substantial influx of users.” She said Binance would reimburse traders if confirmed platform errors caused their losses but clarified that “losses resulting from market movements or unrealized profits are not eligible.” Marszalek’s comments reflect growing tension between major exchanges as volatility again exposes weak points in crypto trading infrastructure. Regulators in the U.S., Europe, and Asia have intensified oversight of digital asset markets following repeated blowups tied to opaque leverage and illiquidity. While exchanges tout advanced risk systems, periods of extreme volatility have repeatedly tested their limits. Slowed order books, frozen withdrawals, and delayed liquidation engines have fueled user anger — and occasionally, class-action threats. Marszalek’s call for an independent review signals an attempt to distance Crypto.com from potential criticism as traders hunt for accountability after one of the largest single-day wipeouts in crypto history. Tariff Shock Sparks Market Rout The cascade of liquidations followed a sharp macro shock. Bitcoin and broader crypto assets plunged after U.S. President Donald Trump announced plans to impose 100% tariffs on all Chinese imports starting Nov. 1. The move came in response to Beijing’s new export restrictions on rare earth minerals — critical materials for electric vehicles and semiconductors. China, which produces around 70% of the world’s rare earths, said products containing more than 0.1% of the minerals would now require export licenses, effective Dec. 1. Trump denounced the policy as “a moral disgrace” and hinted at scrapping a planned meeting with President Xi Jinping at next month’s APEC summit. The tariff shock ricocheted through risk assets, with leveraged crypto positions unwinding en masse as funding rates flipped negative across major derivatives venues. Bitcoin dropped nearly 15% before clawing back some losses in late trading. The $20 billion liquidation wave stands as the largest ever recorded in the digital asset market — a reminder that even as crypto matures, its infrastructure remains vulnerable to sudden shocks and liquidity vacuums. As Marszalek’s post reverberated through the industry, one trader summed up the sentiment in a reply: “Exchanges made billions in fees while traders got nuked. Time for someone to check the books.”

Securitize Eyes Public Listing Via Cantor SPAC Securitize, the blockchain tokenization platform behind BlackRock’s tokenized U.S. Treasury fund, is in talks to go public through a merger with Cantor Equity Partners II Inc., a blank-check company backed by Cantor Fitzgerald, according to Bloomberg. The proposed deal could value Securitize at more than $1 billion, the report said, citing people familiar with the matter. Securitize has not commented publicly on the discussions. If completed, the merger would make the company one of the few tokenization firms to enter public markets through a Special Purpose Acquisition Company (SPAC) — a route increasingly favored by crypto and fintech startups seeking faster access to capital markets. SPACs are publicly listed shell companies created to acquire private firms and take them public without a traditional initial public offering. Once the merger closes, the target company’s shares begin trading on a stock exchange under its own name. The structure gained traction among digital asset firms during the last market cycle and is reemerging as sentiment improves in 2025. Investor Takeaway A SPAC listing would give Securitize a public-market profile and capital access ahead of broader tokenization adoption, marking another step in Wall Street’s push into onchain finance. SPAC Route Returns to Crypto Markets If the deal proceeds, Securitize would join a short list of crypto firms that went public through SPAC mergers. Bakkt listed via VPC Impact Acquisition Holdings, while Core Scientific went public through Power & Digital Infrastructure Acquisition Corp. before being acquired by CoreWeave for $9 billion. Circle, issuer of the USDC stablecoin, announced a similar plan with Concord Acquisition Corp in 2021, but that deal was later terminated. Circle eventually went public this year in one of the sector’s largest offerings. The talks come as digital asset firms regain access to equity markets. In 2025, several companies — including Circle, Figure Technologies, Gemini, and Bullish — have completed high-profile listings, reflecting a rebound in investor interest after two years of subdued activity. The potential merger with Cantor’s SPAC would also highlight Cantor Fitzgerald’s deepening involvement in the blockchain ecosystem. The firm has previously invested in tokenization and digital asset infrastructure projects as institutional demand for regulated crypto exposure continues to grow. BlackRock Ties and Tokenization Expansion Securitize has been a leading player in the fast-growing market for tokenized real-world assets (RWAs). In May 2024, the company raised $47 million in a funding round led by BlackRock, with participation from Paxos, Aptos Labs, and Circle. The capital supported the expansion of its regulated digital securities platform, which enables institutions to issue and trade tokenized versions of traditional assets on blockchain networks. BlackRock’s involvement drew attention after it launched the BUIDL fund on the Ethereum network, a tokenized U.S. Treasury fund that uses Securitize’s infrastructure for investor onboarding and secondary trading. The collaboration marked one of the first large-scale instances of tokenized Treasurys being distributed through a major asset manager’s fund vehicle. Data from RWA.xyz shows that more than $33 billion in traditional assets have now been tokenized across public and private blockchains, with U.S. Treasurys and private credit leading adoption. Securitize’s core technology underpins several of these projects, making it a central player in the sector’s institutional buildout. Investor Takeaway Securitize’s possible listing adds to a string of 2025 public debuts in digital finance, reinforcing tokenization as one of the most active frontiers in institutional blockchain adoption. Institutional Momentum Behind Onchain Finance Traditional financial institutions are stepping deeper into tokenization. BNY Mellon recently said it is exploring tokenized deposits to enable real-time settlement between clients. Earlier this year, it partnered with Goldman Sachs to pilot tokenized money market funds using blockchain to track ownership and transfers. Meanwhile, S&P Global this week introduced the Digital Markets 50 Index, designed to track 15 cryptocurrencies and 35 blockchain-linked equities, in collaboration with tokenization firm Dinari, which plans to issue a tokenized version of the index later this year.  

Private Investment Strengthens Galaxy’s Expansion Plans Galaxy Digital said Friday it secured a $460 million private investment from one of the world’s largest asset managers to fund its growing data center business and bolster corporate liquidity. The deal, priced at $36 per share, consists of roughly 9 million new Class A shares and 3.8 million sold by executives, including founder and CEO Mike Novogratz. The transaction is expected to close on or about October 17, pending approval from the Toronto Stock Exchange. The $36 offer price represents an 8.5% discount to Galaxy’s closing share price on Friday. The company said proceeds will go toward general corporate purposes and the buildout of its Helios data center in Texas. Galaxy shares rose 3% in post-market trading following the announcement. “Strengthening our balance sheet is essential to scaling Galaxy’s data center business efficiently while maintaining the financial flexibility to support future growth,” Novogratz said in the company’s release. “Having one of the world’s largest and most sophisticated institutional investors make such a substantial investment will support our strategic vision and our ability to build leading businesses across digital assets and data centers.” Investor Takeaway Galaxy’s move highlights how digital asset firms are turning toward AI and data infrastructure to diversify beyond crypto trading and mining revenue. From Mining to AI The funds will be used primarily to expand the Helios campus in Dickens County, Texas, which is slated to deliver 133 megawatts of IT load in its first phase by mid-2026. The facility, once one of North America’s largest bitcoin mines, is being transformed into a high-performance computing (HPC) and AI hosting center. Galaxy acquired Helios from Argo Blockchain in 2022 for $65 million, at a time when low bitcoin prices and rising energy costs were eroding mining margins. Since then, the company has secured a $1.4 billion financing package to fund its conversion to AI and HPC infrastructure. In July, Galaxy signed a 15-year lease with CoreWeave, an AI cloud provider that has committed to the site’s entire 800 megawatts of approved power capacity. The first phase of the facility is expected to power tens of thousands of high-end AI servers, with future expansions making Helios one of the largest data centers in the United States. Analysts estimate that the CoreWeave lease could generate over $1 billion in annual revenue once the project is fully operational. The investment follows a string of funding rounds by data infrastructure firms betting on the surge in demand for AI computing power. Galaxy’s pivot mirrors similar moves by former crypto miners such as Marathon Digital and Hive, which have retooled parts of their operations to host AI workloads. AI Shift Resonates With Investors Galaxy’s AI strategy has been well received by investors, who see the company’s diversification as a hedge against the volatility of digital asset markets. Its shares, which listed on Nasdaq in May, have climbed nearly 25% over the past quarter. The stock briefly hit an all-time high above $44 earlier this week before closing below $40 amid broader declines in crypto and tech equities following U.S. tariff comments from President Donald Trump. The company’s latest funding round adds to the $1.4 billion already committed to the Helios buildout and positions Galaxy as one of the few digital asset firms operating at the intersection of finance, infrastructure, and AI. The move aligns with a wider trend of blockchain-linked companies rebranding around computing and data services as capital shifts toward the artificial intelligence boom. Investor Takeaway Galaxy’s AI expansion could create a long-term revenue base independent of crypto cycles. The $460 million deal signals investor confidence in its transformation from miner to infrastructure provider. Outlook and Market Context With Helios expected to go live in 2026, Galaxy’s next challenge will be executing on scale, maintaining uptime, and integrating AI and HPC clients within its digital asset ecosystem. If successful, the Helios campus could establish Galaxy as one of the few publicly traded firms straddling both the crypto and AI infrastructure sectors—a positioning that may attract further institutional capital as the boundaries between finance, data, and computing continue to blur.  

When people conceive Bitcoin, they associate it with something entirely digital—invisible, yet valuable code on a blockchain. However, there is a less popular kind: Bitcoin in its physical form. These tactile coins blend the symbolic value of traditional money with the revolutionary concept of cryptocurrency. What exactly are they? And more importantly, how much are they truly worth? Physical Bitcoins may appear as collectibles, but they often contain genuine digital value. Understanding how they work and what determines their value can help you see why these coins have captivated crypto enthusiasts and collectors alike. Key Takeaways A physical Bitcoin is a commemorative coin that contains a hidden private key linking to the digital Bitcoin on the blockchain. Early-series coins (including Casascius) that are still “loaded” command a premium far above the market value of the Bitcoin they hold due to their rarity and collector demand. While production of funded coins has stopped due to regulatory concerns, unfunded versions remain popular as collectibles. What is a Physical Bitcoin? A physical Bitcoin is a tangible coin, bar, or token made of metal materials such as brass, silver, or gold that is designed to represent actual Bitcoin (BTC) stored on the blockchain. They exist in different denominations with varying BTC values. The iconic physical Bitcoin, the Casascius coins (minted by Mike Caldwell between 2011 and 2013), were designed to be “loaded. Others include Denarium, Satori, Ravenbit, and Alitin Mint. The key feature of an original, loaded physical Bitcoin is that it contains a private key concealed beneath a tamper-proof seal, hologram, or sticker. This private key is the secret code that provides access to a specific amount of digital Bitcoin on the blockchain. The original intent of the loaded coins was to create a way for people to hold and easily exchange the digital currency physically. Unfortunately, this model introduced security risks, as the private key being tied to a tangible object made it vulnerable to theft or damage. How Physical Bitcoins Work Physical Bitcoins are cold storage wallets in a visually appealing form. The private key concealed beneath the hologram represents the access token to the Bitcoin stored on the blockchain. As long as that hologram is intact, the digital currency remains secure and unspent. Essentially, a client who buys a physical Bitcoin receives both the coin itself and the encoded digital currency. What is the Worth of a Physical Bitcoin? In general, the following elements affect the value of a physical Bitcoin: 1. Value of the embedded Bitcoin: For a coin that is still loaded (unredeemed), its minimum base value is the market price of the Bitcoin it holds. For example, if an original, unredeemed 1 BTC Casascius coin exists, its value starts at the current market price of 1 BTC. 2. Value of the collectible: This is the value of the physical coin as an uncommon, historical artifact, which can be significantly higher than the digital Bitcoin it represents. 3. Condition and authenticity: A coin with an intact hologram is far more valuable because it proves that the Bitcoin is still unspent. Once peeled, its collectible value drops, though it might still hold historical or artistic interest. How to Verify the Authenticity of a Physical Bitcoin Before buying a physical Bitcoin, it is crucial to verify its authenticity: Check the hologram seal: A genuine coin should have a tamper-proof hologram with no sign of peeling or tampering. Verify the public address: You can check the Bitcoin address associated with the coin on the blockchain to confirm whether the funds are still unspent. Confirm the manufacturer: Stick to reputable sources like Casascius, Lealana, or Titan Bitcoin. Be cautious of counterfeit replicas circulating online. Research proof of ownership: If buying from a collector or auction, ask for proof of ownership and any certificates of authenticity. 4. Material and Design: Some physical Bitcoins are made of attractive metals such as silver or gold, which adds intrinsic value beyond the digital and collectible aspects. Limited editions or coins produced by reputable manufacturers tend to command higher prices. Market Value of Physical Bitcoins Original, loaded physical Bitcoins, including Casascius and Lealana, are highly sought after by collectors and fetch substantial premiums. Redeemed Coins: Even a “peeled” or redeemed Casascius coin, which holds no digital value, can sell for hundreds or even thousands of dollars due to its rarity and historical significance. Loaded Coins: Unredeemed, early-series physical Bitcoins command the largest premiums. Collectors often pay a price that is a multiple of the actual digital Bitcoin value. For instance, an early 1 BTC Casascius coin can trade for many times the current market price of 1 BTC. Similarly, a rare 1,000 BTC “Gold Cash” coin, originally purchased for a few thousand dollars in 2011, became the world’s most valuable numismatic item; it is worth a combination of the BTC value it holds and the enormous historical premium. Decorative Coins: The cheap, widely available coins (often gold-plated brass or plastic) that are sold as souvenirs have no digital value. Their worth is negligible, often just a few dollars, and is based only on their decorative appeal. Bottom Line A physical Bitcoin is an extinct concept that served as a cold storage wallet in the early days of crypto. Its worth today is complex: it is either the full market value of the digital Bitcoin it still holds (if loaded) plus an even higher collectible premium, or simply a high collectible value (if redeemed or sold). The majority of the metal coins up for sale are almost certainly keepsakes with no real value beyond their cheap production cost and decorative use.  For most crypto investors, storing digital assets in secure wallets makes more sense than buying physical coins. However, for collectors, enthusiasts, and historians, physical Bitcoins are an ageless representation of the first decentralized monetary system in the world—a reminder of where it all began.

KEY TAKEAWAYS Beginner crypto losses often come from emotional decisions, poor planning, and a lack of education. Having a trading plan helps control impulses and set realistic entry and exit points. Invest only what you can afford to lose. Avoid risking essential savings or emergency funds. Avoid FOMO and social media hype; focus on coins with real utility and credible teams. Use stop-loss orders and risk management tools to protect capital. Stay vigilant against scams, fake platforms, and phishing schemes.   Losing money in cryptocurrency is a common experience for many beginners entering the volatile and fast-moving crypto markets. While stories of overnight millionaires grab the headlines, the reality is that without the right knowledge and strategy, new investors often face losses that can be discouraging and costly.  Understanding the common mistakes that lead to loss is essential to improving outcomes and safeguarding investments. This article details the top 10 mistakes beginners make in crypto investing and trading, along with practical advice on how to avoid them. 1. Trading Without a Clear Plan One of the most critical errors beginners make is jumping into trades without a well-defined strategy. Many are influenced by social media hype, trending coins, or emotional impulses rather than research and analysis. Without clear goals, such as whether the intent is short-term profits or long-term growth, and specific entry and exit rules, traders often make rash decisions that result in losses. A trading plan acts as a guide, helping to minimise emotional responses and maintain discipline. How to avoid: Create a detailed trading plan that includes your investment goals, risk tolerance, and criteria for buying and selling. Stick to the plan rather than chasing sudden market movements or speculation. 2. Investing More Than You Can Afford to Lose Cryptocurrency is highly volatile and unpredictable. Beginners sometimes make the mistake of investing their entire savings or money they cannot afford to lose in the hope of quick gains. This can lead to panic selling during market dips or severe financial hardship. How to avoid: Only invest in disposable income funds you can afford to lose. Follow the rule of risking no more than 1-2% of your portfolio on any single trade. Spread your investments over time rather than making large lump-sum investments. 3. Chasing Hype and Popular Trends Many newcomers get drawn into buying tokens simply because they are trending on social platforms like TikTok or Twitter, or recommended by influencers. This often leads to buying at market tops just before prices crash. How to avoid: Always conduct thorough research on the project behind a coin. Understand its technology, team, purpose, and utility. Avoid purchasing tokens based solely on popularity or speculative hype. 4. Ignoring Risk Management Tools Like Stop Loss Crypto prices move rapidly and can experience sharp downturns. Beginners sometimes ignore stop-loss orders or other risk management tools, hoping the market will recover. This often results in larger losses than necessary. How to avoid: Use stop-loss orders to limit losses on every trade. Define acceptable loss levels beforehand and stick to them to protect your capital during downturns. 5. Falling for Scams and Fake Platforms The crypto ecosystem includes unscrupulous actors who create fake projects, scam exchanges, or phishing schemes to steal money from inexperienced users. Many beginners fall victim to these schemes by investing in unverified platforms or clicking suspicious links. How to avoid: Use only reputable and regulated exchanges. Verify the legitimacy of projects and platforms before investing. Beware of unrealistic profit promises, pressure tactics, and suspicious communications. 6. Emotional Trading: FOMO and Panic Selling Fear of missing out (FOMO) during price rallies leads many beginners to buy hastily at high prices. Conversely, panic during market dips causes rush selling at a loss. Emotional trading severely hampers profitability. How to avoid: Develop emotional discipline by following your trading plan. Avoid checking prices obsessively and let fear or greed dictate your decisions. Accept volatility as part of the crypto market. 7. Lack of Education and Research Diving into crypto without understanding blockchain technology, market dynamics, and trading principles is like gambling. Many losses stem from inadequate knowledge about how crypto works. How to avoid: Dedicate time to learning from trusted educational resources, tutorials, and analysis. Follow credible news sources and stay updated on industry developments. 8. Poor Portfolio Diversification Putting all funds into a single cryptocurrency or coin reduces exposure to growth opportunities and increases risk. Market downturns can wipe out concentrated investments quickly. How to avoid: Diversify your portfolio across multiple projects, sectors, and asset types to spread risk and improve potential returns. Balance between established coins and promising newer projects. 9. Overtrading and Excessive Leverage Some beginners trade too frequently, chasing short-term fluctuations without a sound strategy, leading to excessive transaction fees and substantial losses. Others use high leverage, amplifying both profits and risks, often resulting in devastating margin calls. How to avoid: Trade only when your strategy signals an opportunity. Avoid using leverage unless you fully understand the risks. Keep a calm, measured approach to trading frequency.​ 10. Neglecting Security and Wallet Management Losing access to crypto wallets through lost passwords or falling for hacks can mean permanent loss of funds. Beginners often underestimate the importance of securing private keys and using trustworthy wallets. How to avoid: Use hardware or well-reviewed software wallets with strong security practices. Backup private keys securely and never share them. Regularly update security settings and beware of phishing attempts. Practical Steps to Improve Crypto Outcomes To enhance your crypto experience and outcomes: Always do your own research carefully before investing in any cryptocurrency. Set realistic expectations, crypto is not a guaranteed way to get rich quickly. Develop and stick to a well-thought-out trading plan. Use risk management techniques such as stop-loss and position sizing. Choose reputable exchanges and wallets with strong security measures. Keep emotions out of trading decisions; avoid impulsive moves. Diversify your investments to reduce risk. Invest only what you can afford to lose to mitigate financial stress. Continuously educate yourself on crypto trends and market behaviour. Stay sceptical of hype, social media rumours, and unverified advice. Avoiding Costly Mistakes: Building Smarter, Safer Habits in Crypto Investing Losing money in crypto is a common but avoidable experience for beginners. Most losses result from unpreparedness and emotional decisions rather than luck. By recognising and avoiding the 10 common mistakes outlined, ranging from trading without a plan to neglecting security, new investors can significantly increase their chances of success.  Cryptocurrency markets offer exciting opportunities but require discipline, knowledge, and prudent risk management to navigate safely. Approach crypto investing with patience, education, and strategy for long-term growth rather than chasing quick profits. FAQ Why do most beginners lose money in cryptocurrency? Most beginners lose money because they trade without a plan, chase hype, invest emotionally, or neglect basic risk management and security measures. How can I stop losing money in crypto trading? Set a clear strategy, use stop-loss orders, invest only what you can afford to lose, and always research before buying any token or project. Is crypto investing just gambling? No, but it becomes gambling when investors rely on luck instead of analysis. Crypto trading requires research, discipline, and strong risk management, just like any financial market. What’s the biggest mistake new crypto traders make? Emotional trading, acting on fear or greed, causes most beginner losses. Buying during hype (FOMO) or panic-selling during dips both lead to poor results. How important is diversification in crypto investing? Extremely important. Spreading your investments across multiple cryptocurrencies and sectors reduces risk and protects against large single-asset losses. Are all crypto exchanges safe to use? No. Many fake or unregulated platforms exist. Always choose reputable, licensed exchanges with strong security and transparent operations. How can I secure my crypto assets? Use trusted hardware or software wallets, enable two-factor authentication, backup private keys, and never share seed phrases.

KEY TAKEAWAYS Crypto exchange bankruptcies occur when platforms can’t meet financial obligations, freezing user funds. Causes include hacks, fraud, poor risk management, or regulatory actions. Users often become unsecured creditors, facing limited chances of full asset recovery. Mt. Gox and FTX highlight the long-term challenges and legal complexities of crypto insolvencies. Lack of insurance and asset commingling worsen user vulnerability during bankruptcies. Legal outcomes vary globally; crypto classification in bankruptcy remains inconsistent. Investors can reduce risk by using regulated exchanges, diversifying assets, and maintaining self-custody.   Cryptocurrency exchanges have become fundamental hubs for buying, selling, and storing digital assets. However, the rapid growth of the crypto industry has been accompanied by notable exchange bankruptcies, causing significant investor losses and shaking market confidence.  Understanding what happens if a crypto exchange goes bankrupt, how it impacts users, the legal implications, and prospects of recovery is vital for anyone involved in cryptocurrency investment or trading. This article explores the bankruptcy process for crypto exchanges, the consequences for users, and strategies to protect digital assets. What Does Crypto Exchange Bankruptcy Mean? A crypto exchange bankruptcy occurs when the trading platform cannot meet its financial obligations, such as paying back customer deposits, debts, or operational costs. Causes can range from hacking attacks, fraud and mismanagement, to poor business decisions or regulatory crackdowns. Notable bankruptcies include Mt. Gox in 2014 and FTX in 2022, involving billions in lost funds. When a crypto exchange files for bankruptcy protection under court supervision, its assets and liabilities undergo legal scrutiny and restructuring or liquidation attempts. Bankruptcy does not refer to a simple shutdown but a legal process aimed at debt recovery and fair asset distribution. Immediate Impacts on Users For users holding cryptocurrencies on the exchange, bankruptcy triggers several immediate consequences: Inaccessible Funds: Withdrawals and trading typically freeze immediately when bankruptcy proceedings start, leaving users unable to access their crypto assets. Uncertain Ownership: User digital assets may be treated as part of the exchange’s bankruptcy estate, risking users’ claims to their own funds. Creditor Status: In insolvency proceedings, most users become unsecured creditors. Secured creditors (banks, investors) have priority in asset recovery, often leaving customers at the end of the repayment line. Potential Losses: Due to asset devaluation and legal complexities, users often recover only a fraction of their holdings, if anything. This uncertainty and potential loss cause panic, financial distress, and loss of trust in centralized crypto platforms. Legal and Bankruptcy Processes Involved The treatment of cryptocurrencies in bankruptcy proceedings is still evolving legally. Jurisdictions differ on how digital assets should be classified and recovered in insolvency cases. Below is a general overview of typical steps in US bankruptcy, which highlights common themes globally: Filing for Bankruptcy: The exchange formally files for bankruptcy (under Chapter 7 liquidation or Chapter 11 reorganization in the US). This initiates court-supervised asset management. Appointment of Trustee or Administrator: A trustee is appointed to manage the bankrupt estate, including exchange assets, liabilities, and user claims. Asset Assessment and Identification: The trustee evaluates and secures exchange assets, including cryptocurrencies, fiat reserves, and property. Complexities arise as exchanges often hold mixed assets, some user-owned and some company-owned. Automatic Stay: Bankruptcy imposes a legal “automatic stay” halting withdrawals, lawsuits, or creditor actions temporarily. Claims Submission by Creditors: Users and other creditors submit claims to prove their financial losses and seek repayment. Asset Liquidation or Restructuring: In liquidation, assets are sold to pay creditors. In reorganization, the exchange might negotiate to pay debts over time and attempt business continuity. Prioritization and Distribution: Secured creditors are paid first, followed by unsecured creditors; users generally fall into the latter category. Distribution depends on asset availability and court rulings. Litigation and Recovery Efforts: Bankruptcy courts may authorize investigations into mismanagement or fraud and pursue asset recovery through lawsuits against insiders or third parties. Case Studies: Mt. Gox and FTX Collapse The collapse of Mt. Gox and FTX are two of the most significant events in cryptocurrency history.  Mt. Gox (2014) Once handling 70% of the world’s Bitcoin transactions, Mt. Gox collapsed after losing approximately 850,000 bitcoins, partly due to hacks and internal irregularities. It filed for bankruptcy, entrapping users for years. Legal rehabilitation plans have been slowly compensating victims, but financial restitution remains incomplete, demonstrating long-term challenges for users in exchange for bankruptcies. FTX (2022) FTX’s bankruptcy shocked the crypto world. Allegations surfaced of misappropriating user funds and risky affiliated trading activities. The company filed for Chapter 11 bankruptcy with billions owed to creditors. Courts appointed trustees to recover assets, while prosecutors charged executives with fraud. Investors have filed lawsuits seeking compensation, but recovery is uncertain and prolonged. Why User Deposits Are At Risk in Exchange Bankruptcies Unlike traditional banks, crypto exchange holdings typically lack government-backed insurance such as FDIC protection. Users commonly do not hold tokens in segregated accounts but in pooled exchange wallets, legally owned by the exchange. This commingling risks user funds becoming part of the bankrupt estate, subject to creditor claims. While some courts recognize customer deposits as trust property, offering better protection, many exchanges do not clearly document this in their terms. The legal ambiguity leaves users vulnerable to losses if an exchange fails. How to Protect Yourself from Exchange Bankruptcy Risk To minimize potential losses, consider these strategies: Use Reputable, Regulated Exchanges: Experiment with exchanges with strong regulatory oversight, transparent auditing, and established security practices. Avoid Keeping Large Balances on Exchanges: Hold only necessary trading balances on exchanges. Store long-term assets in private wallets (hardware wallets or cold storage) where you control private keys. Diversify Exchange Usage: Spread assets across multiple platforms to mitigate risk exposure to a single exchange failure. Understand Exchange Terms & Custody Policies: Read user agreements and verify if the exchange holds client assets separately or commingles them. Stay Updated with News & Security Alerts: Watch for signs of financial trouble or security incidents at exchanges. Act quickly to withdraw funds if problems arise. What Can Users Do After an Exchange Bankruptcy? If an exchange goes bankrupt, users should: Submit Claims: Participate in bankruptcy proceedings by filing creditor claims promptly. Join Class Action Lawsuits: Coordinate legal action with other victims to improve chances of restitution. Seek Legal Assistance: Engage lawyers specializing in crypto bankruptcy and asset recovery for guidance. Use Blockchain Forensics: Use forensic tools to trace stolen or mishandled assets that courts may recover. Safeguarding Your Crypto: Lessons and Strategies from Exchange Bankruptcies The bankruptcy of a crypto exchange is a complex, often painful process with wide-ranging implications for users and the broader market. While bankruptcy proceedings aim to organize debt repayment and asset recovery, customers frequently face frozen funds, uncertain ownership, and partial losses. The evolving legal landscape provides some pathways for recovery but mandates careful navigation through claims and lawsuits. The best defense for crypto investors is prudent risk management, keeping control of assets, diversifying exchange usage, and using only trusted platforms. As the industry grows, efforts to clarify bankruptcy treatment and improve protections for crypto users continue to gain urgency. Staying informed and cautious remains critical in safeguarding digital investments from the risks of exchange insolvency. FAQ  What does it mean when a crypto exchange goes bankrupt? It means the exchange can no longer meet its financial obligations and enters a legal process to liquidate or restructure its assets under court supervision. Why do crypto exchanges go bankrupt? Common causes include hacks, fraud, poor management, regulatory action, and liquidity crises. Examples include Mt. Gox (2014) and FTX (2022). What happens to my crypto if an exchange files for bankruptcy? Your funds may become inaccessible during proceedings. Users are usually treated as unsecured creditors and may recover only part of their assets, if any. Are user deposits protected like in banks? No. Crypto exchanges generally don’t offer government-backed insurance like the FDIC, and funds are often commingled in exchange wallets. Can users recover their lost assets? Users can submit creditor claims, join class-action suits, or rely on trustees to recover assets. However, recovery is often partial and can take years. How are crypto assets treated legally in bankruptcy? Treatment varies by jurisdiction. Some courts view user assets as trust property (safer for users), while others consider them part of the exchange’s estate. How can I protect my crypto from exchange insolvency? Use reputable exchanges, avoid large balances on trading platforms, store assets in private wallets, diversify usage, and monitor news for red flags.

Hackers have tried to breach the Google account of Binance co-founder Changpeng “CZ” Zhao, triggering warnings of renewed state-backed cyberattacks linked to North Korea’s Lazarus Group. Zhao shared a Google security alert on Friday showing that “government-backed attackers” had attempted to steal his password. In a post on X, he wrote: “I get this warning from Google once in a while. Does anyone know what this is? North Korea Lazarus? Not that I have anything important on my account.” The Lazarus Group has long been blamed for some of the largest crypto heists on record, including the $1.4 billion theft from Bybit in February—the industry’s biggest hack to date. U.S. intelligence agencies say the group operates under Pyongyang’s direction, funneling stolen digital assets into the country’s weapons programs. Anndy Lian, an intergovernmental blockchain adviser, said that the attack on Zhao fits a wider pattern of North Korean cyber operations. “U.S. intelligence reports highlight a sophisticated network of agents posing as remote IT workers, which has funneled significant funds back to Pyongyang,” he said. “I personally know a government official who got a similar prompt as CZ, saying that his account is detected with government-backed hackers trying to steal his password.” Attempts to obtain more details from Google were unsuccessful, Lian added, as the company declined to release specifics for security reasons. The breach attempt follows a string of warnings from Zhao about the Lazarus Group’s expanding tactics. In a Sept. 18 post, he said North Korean operatives had been posing as job seekers to infiltrate crypto firms. “They pose as job candidates to try to get jobs in your company,” Zhao wrote. “This gives them a foot in the door, specifically for roles in development, security, and finance.” Cybersecurity group Security Alliance (SEAL) has since compiled profiles of more than 60 suspected North Korean agents operating under false identities to penetrate crypto firms, according to its online repository. Major exchanges have already taken hits. Coinbase confirmed a data breach in May that exposed sensitive information from fewer than 1% of its monthly transacting users. The incident could cost the company as much as $400 million in reimbursements. In June, four North Korean operatives posing as freelance developers allegedly stole $900,000 from multiple startups. North Korean groups stole an estimated $1.34 billion in digital assets across 47 incidents in 2024—a 102% jump from 2023—according to blockchain analytics firm Chainalysis. Experts say the attacks target exchanges, bridges, and DeFi platforms that lack strong compliance controls. Cybersecurity researchers warn that the Lazarus Group continues to evolve its methods, often combining phishing campaigns with social engineering and malware designed to drain wallets. Analysts recommend crypto companies adopt multi-signature wallet systems, strict access segregation, and real-time AI-driven monitoring to counter such threats.

Rising US-China tensions, fiscal fragility, and global debt fears drive investors toward Gold and Yen as safe-haven demand surges. Geopolitical Tensions and Trade Wars Driving Safe-Haven Flows Renewed trade tensions, primarily between the US and China, are a major driver of market volatility, prompting a shift toward safe-haven assets. US President Donald Trump threatened a “massive increase of tariffs” on Chinese imports and suggested he saw “no reason” to meet with Chinese President Xi Jinping. In retaliation, China implemented new limits on the trade of rare earth elements. These escalating conflicts triggered a risk-off movement, causing the US Dollar Index (DXY) to drop by 0.48% to around 98.90 and US equities to slide. Conversely, the demand for traditional safe havens surged, with Gold (XAU/USD) jumping to around 4,020 and the Japanese Yen (JPY) sticking to its recovery gains. The opposite effect was observed when geopolitical risks eased, such as the approval of the first phase of the Gaza peace deal, which resulted in WTI Crude Oil briefly dipping below 60 per barrel. Global Monetary Policy and Economic Indicators Influencing Currency Volatility Major currencies are highly sensitive to central bank policy signals and key economic data. The Euro (EUR) remains under pressure due to political uncertainty in France, marked by the resignation of Prime Minister Sébastien Lecornu, which fueled concerns over the government’s fiscal deficit. Despite this, cautious comments from European Central Bank (ECB) policymakers, such as Martins Kazaks affirming the key ECB rate should remain at 2%, provided some support. For the US Dollar (USD), a mixed outlook is driven by domestic data and policy expectations. The preliminary University of Michigan Consumer Sentiment Index for October came in at 55.0, slightly below September’s 55.1 reading, while the 1-year inflation outlook eased slightly to 4.6%. Coupled with the ongoing US government shutdown and a high market expectation (over 80%) of a 50-basis-point (bps) rate cut by December according to the CME FedWatch tool, the USD is experiencing downward pressure despite a persistent strength mentioned earlier. High Sovereign Debt and Fiscal Fragility as a Systemic Concern A core theme is the growing alarm over the substantial debt burdens and fiscal indiscipline in major economies. The text factually notes that the debt loads of four major economies—the US, the UK, France, and Japan—are all over 100% of their respective GDP. This is compounded by the observation that their fiscal profiles are “still worsening,” with virtually “no political appetite for fiscal consolidation.” This systemic instability is cited as the fundamental reason for the record-breaking rally in Gold, which signals increasing investor “distrust in the global fiscal and monetary order.” This distrust is supported by central banks, the biggest Gold holders, which added 1,136 tonnes of Gold to their reserves in 2022, marking the highest yearly purchase on record.   Top upcoming economic events: 1. RBA Meeting Minutes Date & Time: 10/14/2025 at 00:30:00 CDT Currency: AUD (Australian Dollar) Importance: HIGH. The minutes provide an in-depth look at the Reserve Bank of Australia (RBA) Board’s decision-making process for the latest interest rate decision. Investors analyze the document for clues regarding the future path of monetary policy, including potential rate changes and the bank’s economic outlook on inflation, growth, and employment. This is crucial for AUD traders. 2. Harmonized Index of Consumer Prices (YoY) Date & Time: 10/14/2025 at 06:00:00 CDT Currency: EUR (Euro) Importance: HIGH. This is the official measure of inflation for the Eurozone used by the European Central Bank (ECB). A year-over-year (YoY) change shows the inflation trend. Significant deviations from the ECB’s target (currently 2%) can strongly influence expectations for future interest rate decisions, making it a key driver for the Euro. 3. Claimant Count Change Date & Time: 10/14/2025 at 06:00:00 CDT Currency: GBP (British Pound) Importance: HIGH. This measures the change in the number of people claiming unemployment-related benefits in the UK. A large change indicates a sudden shift in the labor market. It’s a key early indicator of the health of the job market, which heavily influences the Bank of England’s (BoE) view on economic health and, consequently, its monetary policy stance. 4. ILO Unemployment Rate (3M) Date & Time: 10/14/2025 at 06:00:00 CDT Currency: GBP (British Pound) Importance: HIGH. The ILO Unemployment Rate is the official benchmark for joblessness in the UK. Low unemployment typically leads to higher wage growth and inflationary pressure, which is a major factor in the BoE’s interest rate decisions. A surprise reading can cause significant market volatility for the Pound. 5. Fed’s Chair Powell speech Date & Time: 10/14/2025 at 16:20:00 CDT Currency: USD (US Dollar) Importance: HIGH. The Chairman of the Federal Reserve (Fed) is the most influential voice on US monetary policy. Any speech from Chair Powell is heavily scrutinized for forward guidance on interest rates, the economy, and inflation. His comments can cause immediate and significant market shifts across all US Dollar pairs and global equity markets. 6. Consumer Price Index (YoY) Date & Time: 10/15/2025 at 01:30:00 CDT Currency: CNY (Chinese Yuan) Importance: HIGH. China’s Consumer Price Index (YoY) is the primary measure of inflation or deflation in the world’s second-largest economy. Persistent deflation can signal weak demand, while high inflation can prompt policy tightening. The reading is vital for understanding the health of the Chinese consumer and the need for policy action from the People’s Bank of China (PBOC). 7. Unemployment Rate s.a. Date & Time: 10/16/2025 at 00:30:00 CDT Currency: AUD (Australian Dollar) Importance: HIGH. Australia’s seasonally adjusted unemployment rate is a critical indicator for the RBA’s monetary policy decisions. A low unemployment rate suggests a tight labor market, potentially leading to wage inflation and interest rate hikes. This report, along with the RBA Minutes, sets the stage for AUD performance. 8. Retail Sales Control Group Date & Time: 10/16/2025 at 12:30:00 CDT Currency: USD (US Dollar) Importance: HIGH. This metric is a key component of the US retail sales report, excluding volatile components like food services, autos, building materials, and gasoline. It’s used to calculate the Gross Domestic Product (GDP) and is seen as the best gauge of underlying consumer spending strength. Strong consumer spending is a major inflationary driver and informs the Fed’s view on the economy. 9. BoC’s Governor Macklem speech Date & Time: 10/16/2025 at 17:30:00 CDT Currency: CAD (Canadian Dollar) Importance: HIGH. The Governor of the Bank of Canada (BoC) provides crucial insight into the central bank’s perspective on the Canadian economy, inflation, and future interest rate decisions. Since interest rates are a core driver of currency value, Macklem’s commentary is a significant market event for the Canadian Dollar. 10. ECB’s President Lagarde speech Date & Time: 10/18/2025 at 13:00:00 CDT Currency: EUR (Euro) Importance: HIGH. As President of the ECB, Christine Lagarde’s speeches offer the official view on Eurozone monetary policy. Traders look for signals on inflation control, economic growth, and the bank’s reaction to recent data. Her remarks often confirm or shift market expectations for future policy, leading to volatility for the Euro.    The subject matter and the content of this article are solely the views of the author. FinanceFeeds does not bear any legal responsibility for the content of this article and they do not reflect the viewpoint of FinanceFeeds or its editorial staff. The information does not constitute advice or a recommendation on any course of action and does not take into account your personal circumstances, financial situation, or individual needs. We strongly recommend you seek independent professional advice or conduct your own independent research before acting upon any information contained in this article.

Open-Source Defense Fund Gains Early Support The Ethereum Foundation and the Keyring network have launched a joint campaign to raise legal defense funds for Tornado Cash developers Roman Storm and Alexey Pertsev. The initiative, which began Thursday, has collected more than $22,000 as of Friday morning, according to its website. Funds will come from protocol fees generated by Keyring’s ZkVerified permissioned vaults over their first two months of operation. The Ethereum Foundation said the model “ensures that the first users of a vault directly support the legal protection of privacy-focused developers.” “By linking the growth of new financial tools with the protection of the people who build them, Keyring demonstrates that communities can strengthen resilience while driving innovation forward,” the Foundation added in its statement. Investor Takeaway The initiative marks one of the first coordinated efforts by major crypto organizations to fund open-source legal defense, a growing priority amid tightening global scrutiny on privacy tools. Legal Battles Continue for Tornado Cash Developers Roman Storm was convicted in the U.S. this summer on one charge of money transmission but avoided a verdict on separate money laundering and sanctions counts after a split jury. His co-developer, Alexey Pertsev, was sentenced to 64 months in prison by a Dutch court in 2023 for facilitating $1.2 billion in money laundering through Tornado Cash between 2019 and 2022. Both are appealing their convictions. Tornado Cash, an open-source privacy protocol built on Ethereum, was sanctioned by the U.S. Treasury’s Office of Foreign Assets Control (OFAC) in 2022 for allegedly helping to obscure illicit transactions linked to North Korea’s Lazarus Group. The case against its developers has become a flashpoint for debates over privacy, code authorship, and developer liability in decentralized finance. Crypto advocates and policy organizations have stepped up funding efforts since the convictions. The Solana Policy Institute donated $500,000 in August, while the Ethereum Foundation previously pledged another $500,000 to support Storm’s defense. The latest Keyring initiative aims to make legal defense funding self-sustaining through ongoing protocol activity. Changing U.S. Prosecutorial Stance The campaign comes amid signs of a softer tone from U.S. prosecutors toward software developers. Last week, Matthew J. Galeotti, acting assistant attorney general of the Justice Department’s Criminal Division, said that “writing code is not a crime.” The comment has been viewed within the industry as an acknowledgment of the distinction between building open-source tools and using them for illegal purposes. Privacy advocates hope the Justice Department’s shift in rhetoric will translate into fairer treatment for developers facing charges tied to decentralized software. “We still have a long way to go in this appeal as the court has decided that an additional investigation has to be done,” Pertsev wrote on X on Friday. “We keep working towards justice and your help is invaluable to #CodeWithoutFear.” Investor Takeaway The Tornado Cash trials have become a bellwether for crypto’s legal status in the U.S. and Europe, testing how far accountability for open-source development can extend. Building a Legal Defense Infrastructure The Keyring model seeks to establish a repeatable framework for funding legal defense within open-source ecosystems. By linking vault fees directly to developer legal protection, supporters say the initiative could serve as a precedent for future privacy-related cases. Observers note that the approach mirrors broader efforts to build decentralized funding mechanisms that operate outside of traditional donations or grants. While the sums raised so far are small compared to institutional pledges, the Ethereum Foundation’s involvement adds legitimacy to the concept. The organization has not disclosed whether the new model will be expanded beyond the Tornado Cash cases, but Keyring’s success in raising funds quickly suggests that crypto communities are willing to back initiatives that safeguard developer rights.

Shuffle, a well-known name in crypto betting, has revealed a data breach that put the private information of most of its users at risk. Fast Track, Shuffle’s customer relationship management (CRM) provider, was the source of the leak. It also had its own security vulnerability.  Noa Dummett, the founder, said that the intrusion mainly affected communication data, such as programmed emails and user addresses that were processed by the hacked server. The breach is serious because Shuffle is one of the most popular websites in the world for online gambling and crypto.  Shuffle management is currently investigating the matter to determine what data was compromised and where it may have been sent. In response, the company said it will look for other CRM providers and better ways to reduce risk for third-party systems. Risks Are Rising For Investors This most recent hack shows how much more dangerous it is for people who use cryptocurrency, even if the stolen data only includes contact information or customer service records. Attackers can exploit this kind of information to trick people into giving over their private keys or account credentials by pretending to be exchanges or wallet providers. Cryptocurrency transactions are irreversible, unlike traditional banking. This means that if you fall for a fraud, you could lose all of your money forever. Recent high-profile breaches at platforms like Discord, Bitcoin Depot, and outsourcing companies handling Coinbase’s data reveal that the sector still has significant security vulnerabilities. The $5 Wrench Attack: Real-Life Threats The effects of exposed data extend beyond digital thievery, potentially including physical threats. These attacks, which are sometimes called “$5 wrench attacks,” include threatening or forcing people who own crypto to do things, sometimes with violence or kidnapping. Reports indicate that such events are occurring increasingly around the world.  This has led to warnings from industry experts and a spike in demand for professional custody services. A well-known case recently convicted 14 people to life in jail for a crypto extortion operation in India. This highlights the real-world dangers of exposing Bitcoin users’ personal information. Need for Better Security Measures The Shuffle hack highlights a common issue in the Bitcoin world: the risk of centralised intermediaries holding significant amounts of sensitive customer data. Experts say that crypto firms need to do more thorough audits, be more open, and have complete risk management plans in place to fix these ongoing problems and win back users’ trust. The Shuffle event serves as a stark reminder of the importance of greater privacy and security regulations in the rapidly evolving crypto sector. This is because users and platforms continue to face threats from both digital and physical attacks.

Commentators say that the financial world is undergoing significant changes as old organizations start to use the “debasement trade” theory. This investment strategy bets on the continuous decrease in fiat money’s purchasing power, as central banks continue to issue money. Entrepreneur Anthony Pompliano says that “no one is ever going to stop printing money” is now widely accepted. This has led investors to seek assets that will better retain their value over time. This movement, previously associated with goldbugs and early Bitcoin supporters, has expanded as banks and asset managers reassess their portfolios. Jeff Park, the chief investment officer at ProCap BTC, notes that an increasing number of people are viewing Bitcoin as a viable investment, recognising that traditional assets such as the dollar and bonds are facing challenges. New Wave of Institutional Interest in Bitcoin and Gold Bitcoin and gold are now seen as the main winners in the debasement trade. Bitcoin continues to rise, while gold has increased by 50% this year. Both are viewed as safe places to deposit value. Institutions are becoming more comfortable with adding Bitcoin to their portfolios as a way to protect themselves from the risks of fiat currency. Matt Hougan, the chief investment officer at Bitwise, calls the debasement trade “the dark matter of finance,” a force that is always there but never seen, affecting how investors act. Growing government deficits, rising debt, and monetary policies that keep real yields low are all variables that are speeding up the acceptance of the debasement story. What Are Anti-Debasement Assets? People think of Bitcoin as more than simply “digital gold”; it was designed to be an “anti-debasement” asset. Enrique Ho, the CFO of Blink Wallet, says that Bitcoin’s limited quantity, clear issuance, and trustless verification make it the “purest expression of capital preservation” in a time when money is losing value. This view sees Bitcoin as a one-of-a-kind investment that protects capital when the value of traditional money changes. The Dollar Goes Down: Highlight The Trend The US Dollar Index (DXY) indicates that the dollar is weakening. It has declined almost 12% this year, from a peak of 110 in January to a three-year low of 96.3 in September, before rising slightly in October. As the dollar’s value declines relative to other global currencies, the reasons for the debasement trade become more popular with both individual and institutional investors. The Main Theme of the Next Ten Years Given the absence of debate over the “debasement trade,” institutional investors are likely to continue investing more in Bitcoin, gold, and other hard assets. As deficits grow and the money supply continues to expand, these anti-debasement assets are likely to shape portfolio strategies and capital flows over the next decade.

Bitcoin cryptocurrency can be expected to fall to the next support level 115000.00 (target price for the completion of the active short-term correction ii).   Bitcoin reversed from resistance zone Likely to fall to support level 115000.00 Bitcoin cryptocurrency recently reversed down sharply from the resistance zone between the key resistance level 125000.00 (which has been reversing the price from the start of July) and the upper daily Bollinger Band. The downward reversal from this resistance area started the active short-term corrective wave ii – which belongs to the minor impulse wave 3 of the intermediate impulse wave (3) from June. The downward reversal from the resistance level 125000.00 started the active short-term correction ii. Given the strength of the resistance level 125000.00 and the bearish sentiment seen across the crypto markets lately,  Bitcoin cryptocurrency can be expected to fall to the next support level 115000.00 (target price for the completion of the active short-term correction ii). Bitcoin Technical Analysis The subject matter and the content of this article are solely the views of the author. FinanceFeeds does not bear any legal responsibility for the content of this article and they do not reflect the viewpoint of FinanceFeeds or its editorial staff. The information does not constitute advice or a recommendation on any course of action and does not take into account your personal circumstances, financial situation, or individual needs. We strongly recommend you seek independent professional advice or conduct your own independent research before acting upon any information contained in this article.    

The Phala Network community has voted chiefly to move the AI-focused parachain from Polkadot to its own Ethereum Layer 2 (L2). This decision comes after months of discussion and thought among all parties involved. The change is expected to make the system more scalable, secure for businesses, and better suited to current market needs. Phala’s executives said that the move will start before November 20. This ensures that PHA tokenholders receive the same quantity of the new ERC-20 version on Ethereum at a 1:1 ratio. The new L2 environment will not affect essential network functions like staking, rewards, and governance. Why The Move Happened Phala’s proposal is based on its current integration with Ethereum. The project launched a live Ethereum L2 in January, generating business interest in confidential, GPU-powered computation workloads. The migration plan, led by ecosystem leader “doylegxd,” pointed out the problems with Polkadot’s infrastructure, including its inability to scale and the high operational costs of renewing parachain slots. By entirely shifting to Ethereum L2, Phala aims to leverage Ethereum’s liquidity, tools, and native compatibility with cutting-edge compute technologies. The new environment is the best place for its decentralised, private compute workloads, which include support for AI-powered Web3 apps and TDX deployments. Effect on Tokenholders and Governance The changeover procedure ensures that PHA tokenholders receive ERC-20 tokens, which they can utilise in Ethereum’s expanding DeFi and AI ecosystems. The move prioritises continuity, ensuring that key services such as governance and incentive distribution remain in place and are easily accessible during the migration phase. With a market worth of $80.6 million, Phala is the 11th largest AI-agent-related crypto asset and one of the top 50 AI tokens in the world. The strategic shift to Ethereum positions it for further growth and adoption by businesses in the burgeoning field of private AI computation. The Changing Multichain Dynamic of Polkadot Astar and KILT Protocol, on the other hand, have opted to grow on Ethereum while still being on Polkadot. Phala stands out for forcefully leaving Polkadot behind, focusing entirely on Ethereum to concentrate resources and exploit its particular technological opportunity. Phala’s move indicates that Ethereum Layer 2 has become a mature platform for advanced AI computing, with specialised Web3 projects shifting their focus to become more scalable and business-relevant.

A wallet linked to the decentralized trading platform Hyperliquid has been hacked, resulting in the loss of approximately $21 million in cryptocurrency after a private key leak. Blockchain security firm PeckShield confirmed that the attacker gained unauthorized access to the wallet by compromising its private key, rather than exploiting Hyperliquid’s protocol or smart contracts. #PeckShieldAlert A victim 0x0cdC…E955 lost ~$21M worth of cryptos on #Hyperliquid due to a private key leak. The hacker has bridged the stolen funds to #Ethereum, including 17.75M $DAI & 3.11M $MSYRUPUSDP. pic.twitter.com/yZUMM6xL5f — PeckShieldAlert (@PeckShieldAlert) October 10, 2025 On-chain data shows that the stolen funds included 17.75 million DAI and 3.11 million MSYRUPUSDP, which were swiftly transferred and bridged to Ethereum. The hacker then dispersed the assets across multiple wallet addresses in a bid to obscure the transaction trail — a tactic commonly used to evade detection and asset recovery. PeckShield’s analysis revealed that the compromised wallet had recently closed a significant trading position on Hyperliquid, suggesting that the attacker might have been monitoring its activity before the theft occurred. The firm noted that the incident was isolated to a single user and did not involve any breach of the Hyperliquid exchange infrastructure. Investor Takeaway The isolated nature of the hack protects Hyperliquid’s reputation but reignites broader concerns about user-side security in decentralized finance. User Security Practices Under Scrutiny While Hyperliquid itself remains secure, the incident highlights persistent vulnerabilities tied to private key management and self-custody risks. Experts warn that even highly secure decentralized exchanges cannot protect users from breaches caused by poor key storage practices or social engineering attacks. A stronger protective measures, such as hardware wallets, multi-signature setups, and the use of cold storage for large holdings. Users are also encouraged to remain cautious of phishing attempts and malware designed to capture private keys or seed phrases. As of press time, no official recovery efforts have been announced, though blockchain investigators continue to monitor the movement of the stolen funds across networks. Investor Takeaway The Hyperliquid wallet hack underscores that private key/user security remains the weakest link in crypto, even when trading platforms themselves are uncompromised. Hyperliquid Under Broader Market Pressure Hyperliquid is facing renewed competition as its market share in the DeFi derivatives sector drops to around 38%, with platforms like Aster and Lighter gaining traction. The decline comes amid growing rivalry in on-chain trading volumes, suggesting traders may be shifting toward competitors offering better liquidity and incentives. In response, Hyperliquid has introduced a permissionless spot-quote feature on its mainnet, allowing stable asset deployers to designate their tokens as quote assets without central approval. The upgrade aims to attract new projects and restore momentum by decentralizing listings and expanding trading pairs—a strategic move to counter market losses and reignite community participation.

Morgan Stanley will soon allow all clients — including those with retirement accounts — to invest in cryptocurrency funds, lifting the wealth and risk-profile barriers that had previously excluded most investors, CNBC reported Friday. Starting Oct. 15, financial advisors at the $8.2 trillion wealth manager will be able to recommend bitcoin and ether products from issuers such as BlackRock and Fidelity across its full client base. Until now, only customers with at least $1.5 million in assets and an “aggressive” risk rating could access crypto exposure, and only through taxable brokerage accounts. The decision marks a major broadening of access to digital assets within one of Wall Street’s most established advisory networks. It follows a flood of demand since U.S. regulators approved spot bitcoin and ether exchange-traded funds in 2024 — products that have attracted more than $77 billion in inflows, according to The Block ETF data. Looser Federal Stance Morgan Stanley’s move lands amid a shift in Washington toward friendlier treatment of alternative assets in retirement plans. In August, President Donald Trump signed an executive order instructing the Department of Labor and the Securities and Exchange Commission to ease restrictions on 401(k) investments in crypto, gold, and private equity. While the order itself didn’t alter existing law, it revoked previous guidance discouraging crypto holdings in retirement portfolios and gave regulators 180 days to propose new rules or safe harbors. Since then, the Labor Department has issued advisory opinions indicating it will reduce liability risks for plan sponsors that include such assets. Together, those signals have opened the door for major financial institutions to expand crypto options for mainstream savers — a move that would have been politically unthinkable two years ago when regulators were warning of “extreme volatility” and investor harm. Morgan Stanley’s Global Investment Committee has also laid out fresh guidelines for digital assets. In an Oct. 1 note circulated to advisors, the bank suggested crypto allocations of up to 4% in diversified portfolios, depending on client risk tolerance. Conservative accounts would hold none, while “opportunistic growth” models could include the maximum. The committee described cryptocurrencies as “speculative and increasingly popular,” warning that investors should rebalance regularly to prevent outsized exposure as prices swing. The firm’s willingness to open crypto to retirement clients signals growing comfort with the asset class’s maturation, particularly as bitcoin and ether ETFs trade on major exchanges under SEC oversight. It also positions Morgan Stanley ahead of peers still weighing how to integrate digital assets into fiduciary portfolios. For many investors, the new policy may be their first legitimate route to crypto exposure inside a retirement wrapper. It aligns with a broader trend of digital assets entering traditional finance — from ETFs and trust products to custody and advisory services. “It’s an acknowledgment that crypto has become part of the investable universe,” said one person familiar with the bank’s strategy. “Clients have been asking for this access for years.”

James Check, an expert, says that the price floor for Bitcoin has moved up, and that $110,000 is now a good starting point for the cryptocurrency. According to Check, this change in attitude indicates the growing strength of Bitcoin and its current market value, which is approximately $2.42 trillion. This increase in the floor price indicates that investors are more confident in Bitcoin’s long-term prospects and its potential for future gains. Check denotes an apparent reason why Bitcoin dropped back to $95,000. Most coins were bought above that price threshold, so that level is now more of a floor than a ceiling. Milestones In Market Capitalization Build Trust The expert emphasised that Bitcoin’s market cap has demonstrated resilience by surpassing key levels, increasing from $1 trillion in 2024 to $2 trillion in 2025. This growth lays a strong base that could sustain higher valuations in the future. James Check said that with these milestones, investors no longer have to ask if Bitcoin will go up, but how high it might go. These prices have established a solid foundation that supports hopes for further growth and paves the way for higher price targets. Bullseye $150,000 Next According to Check, Bitcoin’s next logical stop may be $150,000, which would put its market cap at about $3 trillion. Other industry analysts, such as Alex Thorn of Galaxy Digital, who predicted Bitcoin could reach between $150,000 and $185,000 in 2025, also concur with this forecast. This rise would mean a gain of almost 23.5% from Bitcoin’s current price of about $121,000. Charles Edwards, founder of Capriole Investments, believes that regaining key psychological levels, such as $120,000, could trigger a swift ascent towards new all-time highs. Bullish Control Stays James Check says that the bullish case for Bitcoin is still extreme, and that if it drops to lower levels like $95,000, it would show that bulls are weak. If Bitcoin can’t hold this new floor, the rally will stop for a long time. Currently, indicators suggest continued purchasing enthusiasm and increasing momentum. The new $110,000 floor is a good indicator for Bitcoin’s future in 2025. It prompts investors to raise their targets and anticipate further growth in the world’s largest cryptocurrency. James Check, an analyst, says that $110,000 is Bitcoin’s new price floor. This indicates that BTC’s price has a solid foundation, and investors should increase their expectations for 2025.

Global financial giant State Street has released new research with a projection that institutional exposure to digital assets will double by 2028. According to the report, this will be driven by the rapid rise of tokenization, real-world asset (RWA) integration, and evolving regulatory clarity. Our 2025 global research on #digitalassets and emerging technologies reveals a decisive shift in adoption and strategic commitment among institutional investors toward #tokenization and blockchain-enabled transformation. Read more: https://t.co/hzk1f3dZ1O pic.twitter.com/tULwI2Ke88 — State Street (@StateStreet) October 9, 2025 The survey, which polled more than 100 leading asset managers and institutional investors, found that over 70% of respondents plan to increase their crypto exposure in the next three years, with many identifying tokenized funds, stablecoins, and Bitcoin ETFs (exchange-traded funds) as the preferred investment vehicles.  Investor Takeaway State Street’s findings suggest growing institutional confidence in tokenized and regulated digital assets as mainstream adoption accelerates. Corporate Investors Are Doubling Down on Crypto Tokenization State Street’s report underscores how far traditional finance (TradFi) has come in embracing digital assets. What began as cautious experimentation has transformed into structured allocation strategies across banking, asset management, and pension fund portfolios. In other words, the findings reflect a growing institutional consensus that blockchain-based assets are transitioning from speculative tools to core components of portfolio diversification. Among those surveyed, over 50% already hold some form of digital asset exposure, either directly or through managed funds. This marks a substantial increase from the previous years.  Institutions cited inflation hedging, cross-border efficiency, and tokenization of traditional securities as primary motivators. However, real-world asset tokenization, the process of representing physical or financial assets like bonds, real estate, and commodities on blockchain networks, has emerged as the most anticipated growth driver.  State Street estimates that tokenized assets could account for $5 trillion in market value by 2030, transforming how capital markets operate. According to the report, “Tokenization is no longer a buzzword — it’s the bridge between legacy finance and the blockchain economy.”  The research also points to a steady migration of liquidity from traditional equities and bond markets toward regulated crypto investment vehicles, such as Bitcoin and Ethereum ETFs, which are now available in major jurisdictions like the U.S., Hong Kong, and Australia. So, institutions globally now consider crypto as a way to hedge their funds, radically reduce settlement times, and increase liquidity. Investor Takeaway Institutional investors are increasingly viewing tokenization as the next major frontier in digital finance, with real-world assets expected to drive over $5 trillion in market value by 2030. Regulatory Progress Remains Crucial to Institutional Investors State Street’s findings align with a broader macro shift observed across 2025: major institutions are moving from indirect crypto exposure —through equity in blockchain companies or mining firms — to direct digital asset holdings, including on-chain staking and tokenized fund shares. However, much of the optimism for institutional allocations to Bitcoin and Ethereum to grow by at least 200% by 2028 hinges on regulatory clarity progress. In the U.S., the Treasury’s recent clarification of tax rules and the SEC’s streamlining of ETF approvals have lowered entry barriers for institutional players.  Meanwhile, Europe’s Markets in Crypto-Assets (MiCA) framework and Asia’s growing adoption of stablecoin-friendly policies — as seen in Singapore and Hong Kong — are setting the stage for more compliant, transparent on-chain finance. For full-scale adoption to become a reality, fragmented regulation, counterparty risk in DeFi, and limited custody solutions must be turned around.

Exchange Operator Seeks Listing in Local Market HashKey Group, the owner of Hong Kong’s largest licensed cryptocurrency exchange, has filed for an initial public offering in the city, according to a Bloomberg report citing people familiar with the matter. The company could raise as much as $500 million through the offering, which may take place later this year. HashKey operates the city’s top regulated trading platform and is one of only two exchanges fully licensed by the Securities and Futures Commission (SFC). Data from CoinGecko show its 24-hour trading volume near $117 million, placing it among the most active digital asset venues in Asia. The firm has not commented publicly on the IPO plans. Cointelegraph said HashKey had not responded to a request for comment by the time of publication. Investor Takeaway A successful Hong Kong listing would make HashKey one of the first regulated Asian exchanges to tap public markets, highlighting investor demand for compliant crypto infrastructure. Regulatory Backdrop and Security Challenges HashKey’s rise has also drawn unwanted attention. In January, the SFC flagged 33 websites impersonating the exchange, bringing the total number of fraudulent domains to 45. The regulator warned investors about scams using HashKey’s name to solicit deposits, while the company confirmed that it had no ties to the sites. The exchange’s prominence has coincided with tighter rules in Hong Kong’s digital asset sector. In August, regulators introduced new custody requirements banning the use of smart contracts in cold wallets and enforcing stricter security standards. Days later, the SFC warned that the city’s stablecoin framework was heightening fraud risks, while DBS Hong Kong’s chief executive said the new regime would effectively block onchain derivatives trading. In September, local media reported that Chinese authorities were weighing restrictions on mainland state-owned enterprises and banks pursuing stablecoin or crypto initiatives in Hong Kong. The report was later removed, though it added to concerns that Beijing’s stance could slow the city’s crypto ambitions. Expansion and Fundraising Milestones HashKey has expanded rapidly beyond exchange services. In September, the company launched a $500 million Digital Asset Treasury Fund, with its CEO saying disciplined treasury management would help institutions endure market downturns. In April, the SFC approved HashKey to offer Ether staking services, clearing the way for future spot ETF-linked staking products. The group has also raised fresh capital this year. In February, it secured $30 million from Gaorong Ventures at a valuation of $1.5 billion. A month earlier, it became a crypto unicorn after raising almost $100 million at a pre-money valuation above $1.2 billion. These rounds underscore growing investor confidence in Hong Kong’s regulated exchanges even as the broader market remains volatile. Investor Takeaway HashKey’s IPO could test whether Hong Kong investors are ready to back regulated crypto firms. A strong debut may reinforce the city’s role as Asia’s digital asset capital. Hong Kong’s Push to Be a Crypto Hub Hong Kong has sought to rebuild its image as a global crypto hub since reopening to retail trading in 2023. The government has promoted licensing regimes and compliance-first exchanges as part of its strategy to attract digital finance businesses. Yet the city’s tightening oversight and mainland China’s influence have raised questions about how much autonomy local regulators truly have. HashKey’s listing could serve as a barometer for the policy’s success. If the IPO proceeds smoothly and attracts strong institutional demand, it could draw more crypto firms to consider public offerings in Hong Kong. Conversely, muted investor