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Could Pepeto Deliver the Best Crypto Presale to Buy as ETH and ARB Recover on Ceasefire News

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Could Pepeto Deliver the Best Crypto Presale to Buy as ETH and ARB Recover on Ceasefire News

A two week ceasefire between the U.S. and Iran just triggered $427 million in short liquidations, sending BTC back above $72,000 and ETH past $2,200 in a single session. Wallets positioned before the news printed gains overnight that took months of patience to build.

While the rally lifts large caps, Pepeto has crossed $8.87 million in presale capital while a Binance listing draws closer, making it what analysts call the best crypto presale to buy before the next wave of capital arrives.

The U.S. and Iran agreed to a two week ceasefire that includes reopening the Strait of Hormuz and suspending strikes, according to Yahoo Finance.

BTC jumped 4.5% to $71,926 and ETH climbed 6.3% to $2,239 within hours. The rally erased weeks of fear driven selling and pushed total crypto market cap above $2.4 trillion according to CoinMarketCap. Short sellers lost $427 million in forced closures overnight.

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How ETH, ARB, and Pepeto Stack Up After the Ceasefire Rally

Pepeto: Swap Tools and Pepe Legacy Creating the Entry Analysts Keep Flagging

Every cycle has a moment where one presale pulls capital while the rest of the market bleeds, and this time the signal is hard to miss. One name drawing serious money through the noise is Pepeto, a presale built for real returns rather than temporary hype, which is why analysts keep naming it the best crypto presale to buy this cycle.

The ecosystem rewards holders on multiple levels. Staking at 186% APY gives early wallets growing returns that compound ahead of the listing. The 420 trillion token supply keeps active traders and committed holders in balance.

The exchange system already runs and processes live trades. PepetoSwap handles token swaps across chains at zero cost, so holders protect the full size of every position. The risk scorer reviews each contract before a trade completes, catching red flags that cost unprepared wallets their capital every day.

Capital kept coming even when the Fear and Greed Index touched single digits, pushing total presale past $8.87 million. Pepeto at $0.0000001863 trades at a fraction of what listing projections show, and the distance between that entry and where trading opens is where wealth gets created for wallets that commit while the number exists.

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The presale locks out permanently when the Binance listing opens, and the current entry goes away forever. Market watchers target 100x or more, pointing to the cofounder’s history of building the original Pepe coin to billions without a single working product. Stages keep selling out ahead of schedule, and the wallets still searching are watching the entry they wanted get smaller with every hour that passes.

Ethereum: ETH Climbs on Ceasefire but Faces Familiar Ceiling

ETH trades near $2,217 according to CoinMarketCap after jumping 6.3% on the ceasefire. BlackRock’s staked ETH fund saw $15.5 million in first day volume.

Support holds at $2,000 with resistance near $2,400. Even reaching $5,000, the August 2025 all time high, delivers roughly 120% from here, strong for a large cap but far from what the best crypto presale to buy can produce in the same window.

Arbitrum: ARB Sits 96% Below Its Peak With Unlock Pressure Ahead

ARB trades near $0.10 according to CoinMarketCap, sitting 96% below its all time high of $2.40. An $8.72 million token unlock arrives April 16, releasing 92.65 million tokens that add selling pressure.

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Monthly unlocks keep dragging the price lower even as the Layer 2 network processes real DeFi volume. A recovery to $0.20 only doubles capital while dilution risk remains for holders waiting for the unlock schedule to end.

Conclusion:

The best crypto presale to buy becomes clearest when a rally reminds everyone that crypto rewards wallets already inside. ETH and ARB recovered on the ceasefire, but their ceilings pale against what presale entries produce when a listing arrives. Pepeto combines swap tools and contract protection with pricing that reshapes a portfolio after one event.

Pepe exploded from presale price and those early wallets collected life changing returns, and the same pattern is forming around Pepeto before the crowd confirms it. Capital flowing through Pepeto proves the signal is loud, and the presale price disappears permanently when the Binance listing opens. Every hour the presale stays open is an hour closer to the listing that turns this into the best crypto presale to buy someone else got instead of you.

Click To Visit Pepeto Website To Enter The Presale

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FAQs

What makes Pepeto the best crypto presale to buy right now?

Pepeto runs live swap tools with zero fees, a Pepe cofounder leads the project, and a confirmed Binance listing sits days away at $0.0000001863 entry. The presale pulled $8.87 million during extreme market fear.

Did the ceasefire rally change the crypto outlook?

The ceasefire triggered $427 million in short liquidations and sent BTC above $72,000 in hours. Fresh capital entering the market benefits presale entries like Pepeto that are priced before exchange listing.

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Disclaimer: This is a Press Release provided by a third party who is responsible for the content. Please conduct your own research before taking any action based on the content.

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Steakhouse Financial Confirms DNS Hijack, Says No User Funds Were Lost

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Brian Armstrong's Bold Prediction: AI Agents Will Soon Dominate Global Financial

TLDR:

  • Attackers socially engineered OVHcloud support to remove hardware 2FA, enabling full account access within an hour.
  • The phishing site used an Inferno Drainer kit and ran live for roughly four hours on March 30, 2026.
  • ICANN’s five-day domain transfer lock gave Steakhouse Financial time to cancel an outbound transfer filed by the attacker.
  • Steakhouse vaults on Morpho operated independently throughout; no depositor funds were at risk at any point.

A social engineering attack briefly redirected Steakhouse Financial’s website to a phishing page on March 30, 2026. 

Attackers manipulated the domain registrar’s support team to strip account security protections. The phishing site ran for roughly four hours before the team reclaimed control. No user funds were lost, and no onchain contracts were touched.

How Attackers Broke Into Steakhouse Financial’s Domain Registrar

The attacker called OVHcloud, the domain registrar used by Steakhouse Financial, and posed as the account owner. They provided enough personal information to pass OVH’s phone-based identity check. 

An OVH support agent then removed the hardware-based two-factor authentication on the account.

Within seconds of logging in, the attacker ran automated scripts. These deleted every second-factor device on the account and enrolled their own. The speed pointed to a pre-planned operation.

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The attacker then redirected the domain’s nameservers to servers under their control. 

They pointed the site’s A records to a cloned version of the Steakhouse website hosted on Hostinger. That cloned site carried a wallet drainer linked to Inferno Drainer, a known drainer-as-a-service operation.

Let’s Encrypt TLS certificates were obtained within minutes. This made the phishing site appear legitimate to standard browsers. Wallet extensions from Phantom, MetaMask, and Rabby flagged the site as malicious independently and quickly.

Steakhouse Financial Regained Control Within Hours, Funds Remained Safe

Steakhouse Financial’s team spotted the unauthorized email-change notification at 08:47 UTC and contacted OVH immediately. The phishing site went live around 09:59 UTC. 

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The team posted a public warning on X at 10:34 UTC, under 30 minutes after the site became operational.

The Security Alliance (SEAL) was brought in at 11:25 UTC while the attack was still active. The team worked across multiple parallel tracks. These included account recovery, DNS forensics, and transfer cancellation.

The attacker had filed an outbound domain transfer. ICANN’s five-day transfer timelock gave the team time to cancel it.

The team contacted Hostinger directly to reject the transfer on the receiving end. Hostinger later confirmed the offending account was frozen and closed.

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By 12:56 UTC, the team had reclaimed the OVH account. DNS was fully restored by approximately 13:55 UTC. Steakhouse Financial confirmed all domains were safe to use by April 1.

The company has since migrated to a registrar supporting hardware-key MFA and registrar-level locks. A continuous DNS monitoring system now watches all Steakhouse domains in real time. According to the post-mortem published by Steakhouse Financial on X, a full vendor security review process is now being established across all supply-chain vendors.

Adrian Cachinero Vasiljevic, the partner responsible for operations at Steakhouse Financial, issued a personal apology. He stated that identifying this attack vector was his responsibility and committed to driving the security hardening work going forward.

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WLFI drops to record low after token-backed loan draws scrutiny

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WLFI price chart | Source: CoinGecko

WLFI (WLFI) fell to a new all-time low on Saturday after onchain data showed wallets linked to World Liberty Financial used large token holdings to borrow stablecoins. 

Summary

  • WLFI fell to a record low after a self-backed loan raised fresh market risk questions.
  • Onchain data showed linked wallets used 5 billion WLFI tokens to borrow stablecoins on Dolomite.
  • World Liberty said its positions remain safe and framed the lending move as yield strategy.

The move added pressure to the Trump-linked project as traders weighed the risk tied to using its own token as collateral.

WLFI dropped to about $0.077, its lowest level on record, before trading near $0.079. The token is now down 76% from its peak of $0.33 reached in September, based on CoinGecko data.

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WLFI price chart | Source: CoinGecko
WLFI price chart | Source: CoinGecko

The decline followed reports that wallets tied to World Liberty Financial deposited about 5 billion WLFI tokens on Dolomite. The same position was then used to borrow $75 million in USD1 and USDC.\

Arkham data showed that more than $40 million of the borrowed funds later moved to Coinbase Prime. That transfer drew more attention to the project’s financing activity and the size of its exposure.

The market reaction was swift because WLFI is not viewed as a deeply liquid asset. A large collateral position tied to price swings can increase pressure if the token falls further.

DeFi users on X said the structure could create risk for lenders if WLFI moves closer to liquidation levels. Some pointed to the token’s high fully diluted valuation and limited trading depth as a weak point.

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“WLFI has almost a $10 billion FDV, but it is not an extremely liquid asset,” wrote one user. “So imagine what would happen if 5% of WLFI’s total supply would suddenly need to be sold to liquidate the position.”

Another user compared the setup to borrowing cash against self-created value. The user said,

“It’s the financial equivalent of printing casino chips, borrowing cash against them, and telling everyone else not to panic because the house still believes in the chips.”

Dolomite remains a smaller player in DeFi lending. DefiLlama ranks it 19th among lending platforms by total value locked, which added more focus to the size of the WLFI-linked position.

World Liberty defends the strategy

World Liberty Financial responded on social media and said its positions remain well above liquidation thresholds. The project described itself as an “anchor borrower” and said the strategy supports yield generation.

The team wrote, 

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“Everyday users are earning outsized stablecoin yields right now — at a time when traditional markets are offering very little.” It added, “That’s the whole point.”

The project also said it plans to introduce a governance proposal for early retail holders. The proposal would replace immediate token access with a phased vesting schedule, subject to a community vote.

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

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WLFI drops to record low after token-backed loan draws ccrutiny

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WLFI price chart | Source: CoinGecko

WLFI (WLFI) fell to a new all-time low on Saturday after onchain data showed wallets linked to World Liberty Financial used large token holdings to borrow stablecoins. 

Summary

  • WLFI fell to a record low after a self-backed loan raised fresh market risk questions.
  • Onchain data showed linked wallets used 5 billion WLFI tokens to borrow stablecoins on Dolomite.
  • World Liberty said its positions remain safe and framed the lending move as yield strategy.

The move added pressure to the Trump-linked project as traders weighed the risk tied to using its own token as collateral.

WLFI dropped to about $0.077, its lowest level on record, before trading near $0.079. The token is now down 76% from its peak of $0.33 reached in September, based on CoinGecko data.

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WLFI price chart | Source: CoinGecko
WLFI price chart | Source: CoinGecko

The decline followed reports that wallets tied to World Liberty Financial deposited about 5 billion WLFI tokens on Dolomite. The same position was then used to borrow $75 million in USD1 and USDC.\

Arkham data showed that more than $40 million of the borrowed funds later moved to Coinbase Prime. That transfer drew more attention to the project’s financing activity and the size of its exposure.

The market reaction was swift because WLFI is not viewed as a deeply liquid asset. A large collateral position tied to price swings can increase pressure if the token falls further.

DeFi users on X said the structure could create risk for lenders if WLFI moves closer to liquidation levels. Some pointed to the token’s high fully diluted valuation and limited trading depth as a weak point.

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“WLFI has almost a $10 billion FDV, but it is not an extremely liquid asset,” wrote one user. “So imagine what would happen if 5% of WLFI’s total supply would suddenly need to be sold to liquidate the position.”

Another user compared the setup to borrowing cash against self-created value. The user said,

“It’s the financial equivalent of printing casino chips, borrowing cash against them, and telling everyone else not to panic because the house still believes in the chips.”

Dolomite remains a smaller player in DeFi lending. DefiLlama ranks it 19th among lending platforms by total value locked, which added more focus to the size of the WLFI-linked position.

World Liberty defends the strategy

World Liberty Financial responded on social media and said its positions remain well above liquidation thresholds. The project described itself as an “anchor borrower” and said the strategy supports yield generation.

The team wrote, 

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“Everyday users are earning outsized stablecoin yields right now — at a time when traditional markets are offering very little.” It added, “That’s the whole point.”

The project also said it plans to introduce a governance proposal for early retail holders. The proposal would replace immediate token access with a phased vesting schedule, subject to a community vote.

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

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Aethir Contains Bridge Hack While Losses Stay Below $90K

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Crypto hacks drop to $37.7M, lowest since March 2025

Aethir said it remains fully operational after containing an attack on its ATH bridge contracts. 

Summary

  • Aethir said it contained the ATH bridge exploit quickly and kept total user losses below $90,000.
  • The company said Ethereum ATH supply stayed intact while affected contracts were disconnected to stop losses.
  • PeckShield first estimated higher losses, while Aethir said compensation details will arrive next week soon.

The company said the exploit did not affect the main ATH supply on Ethereum, while user losses stayed below $90,000.

Aethir said it detected a malicious attack targeting ATH bridge contracts that connect Ethereum with other chains. The company said it disconnected all affected contracts soon after finding the issue and stopped further damage.

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The team added that the ETH-ARB bridge on Squid was not affected during the incident. It also said the main ATH supply on Ethereum remains intact, which helped prevent wider disruption across the network.

Aethir said it will share a full compensation plan next week. The company also said it is working with authorities and exchange partners to trace the attacker and block related funds.

“A full attacker wallet list will be posted in Discord as we monitor the funds,” Aethir said, in its update.

It added that a detailed memo will explain what happened, which users were affected, and how compensation will work.

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Aethir credited several exchanges for acting quickly after the exploit. The company named Binance, Upbit, Bithumb, and HTX among the platforms that blacklisted identified wallets tied to the incident.

The project also thanked ZeroShadow for helping with analysis during the response. Aethir said that early action from partners helped limit the scope of the losses and support the ongoing investigation.

PeckShield had flagged the exploit a day earlier and initially estimated losses at about $400,000. The blockchain security firm also said the attacker moved funds from BNB Chain to Tron through several addresses.

That early estimate differed from Aethir’s latest figure of under $90,000 in user losses. The gap places more attention on fund tracing and the final accounting of the incident.

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Crypto attacks continue to pressure the market

The Aethir case comes as crypto security breaches keep hitting the market. PeckShield recently said losses from 20 security incidents reached about $52 million in March, nearly double the February total.

The firm also pointed to a growing pattern where one exploit can spread stress across linked DeFi platforms. Those events can weaken liquidity, create bad debt, and strain lending markets beyond the first target.

PeckShield cited ResolvLabs and Venus Protocol as recent examples of wider fallout after exploits. It also noted targeted attacks on individuals, including a multimillion-dollar theft tied to social engineering on Kraken. The trend has carried into April as other platforms deal with new attacks.

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Binance New Listing Calendar Heats Up as Strategy Holds 766,970 BTC and One Presale Fills Fast

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Binance New Listing Calendar Heats Up as Strategy Holds 766,970 BTC and One Presale Fills Fast

Strategy now holds 766,970 BTC worth over $54 billion after buying roughly 45,000 BTC in the past 30 days, proving the largest corporate holder is not slowing down even with BTC above $71,000.

The binance new listing calendar is where the next round of returns gets decided, and the presale filling fastest right now is the one with a confirmed spot on that calendar.

Pepeto is approaching its listing date with more than $8.87 million raised and the cofounder who built the original Pepe coin, and wallets are rushing to lock in the presale entry before stages close.

Strategy bought roughly 45,000 BTC over the past month, pushing its total to 766,970 BTC per CoinDesk. The company launched its STRC offering to fund more purchases, and the position now tops $54 billion.

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BTC cleared $72,700 after the ceasefire rally that wiped $600 million in shorts per Bloomberg, and the next confirmed binance new listing is where presale holders turn floor entries into returns that BTC at current prices cannot match.

How BNB, SOL, and the Next Binance New Listing Compare for Returns

Pepeto: What Happens When a Working Exchange Hits the Binance New Listing Calendar

Most tokens land on Binance with a whitepaper and a promise. Pepeto lands with a finished exchange that already runs live trades, and that difference is why the binance new listing for this token is getting more attention than any other presale this cycle.

Zero fee swaps keep positions whole. The bridge moves tokens across chains without charging a cent. The contract scanner catches rug pulls before a dollar goes in. All three tools are live, not coming soon, live.

The presale hit $8.87 million during extreme fear while the rest of the market froze, and the Pepe cofounder who took 420 trillion tokens to $11 billion with nothing behind it is building a real exchange this time. Every contract cleared a SolidProof audit, 186% APY staking grows every position, and analysts model 100x to 300x starting at the $0.0000001863 entry.

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The presale fills faster each round because the wallets inside know what listing day does, it replaces this price permanently and the return belongs only to the wallets that got in while the number still existed. The binance new listing date is the clock, and every hour closer is one hour less before the entry is gone.

BNB: Exchange Token Holds $605 but Upside Stays Measured

BNB holds near $605 with quarterly token burns and Binance volume keeping demand steady per CoinMarketCap.

New listings on Binance historically lift BNB as traders move capital onto the platform, and the upcoming Pepeto listing adds another event to the calendar.

BNB offers stability, but from $605 the path to $900 is roughly 50%, far from the kind of return a presale floor delivers when the binance new listing opens the gap between entry and market price.

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Solana: SOL Sits at $84 With Strong Fundamentals but Limited Ceiling

SOL trades near $84 after commodity classification cleared regulatory clouds per CoinGecko. Nine ETF filings and the Alpenglow upgrade add long term weight, and institutional ownership of SOL products sits at 48.8%, the highest of any crypto fund.

CME Group also plans SUI and AVAX futures for May, showing derivatives markets are expanding beyond BTC and ETH. SOL is strong, but from $84 even a move to $300 delivers 3.5x over months while presale entries hold the spread between presale and listing where the widest returns get built.

Conclusion

Strategy’s 766,970 BTC proves long term confidence in digital assets, but the wallets watching the binance new listing calendar are looking past large caps toward presale entries with real weight. Pepeto has the live exchange, the capital, and the confirmed listing to back it.

The last stage sold out ahead of schedule, and this one fills while these words load. The presale price stops existing the moment the binance new listing date arrives, and the returns belong only to the wallets that got in while the door was still open.

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Click To Visit Pepeto Website To Enter The Presale

FAQs

What is the most expected binance new listing in 2026?

Pepeto leads with $8.87 million raised, a live exchange with zero fee trading, and a confirmed listing date. The Pepe cofounder and SolidProof audit give it the strongest profile this cycle.

Can a binance new listing deliver bigger returns than holding BNB or SOL?

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BNB at $605 offers 50% to $900 and SOL at $84 targets 3.5x to $300. Presale entries at floor price carry the listing gap where the widest returns in every cycle get built.


Disclaimer: This is a Press Release provided by a third party who is responsible for the content. Please conduct your own research before taking any action based on the content.

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Bitcoin nears $73K again as ETH and HYPE push higher

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Source: CoinGecko

Bitcoin (BTC) extended its upward move over the past 24 hours and reached its highest level in three weeks. 

Summary

  • Bitcoin climbed above $73,000 as traders weighed cease-fire updates and stronger March CPI data yesterday.
  • Ethereum moved back above $2,200, while HYPE and DASH posted gains across the altcoin market.
  • RAVE surged 100% in one day and entered the top 100 tokens.

The broader crypto market also moved higher, with Ethereum (ETH), HYPE (HYPE), and RAVE among the tokens posting gains.

Bitcoin traded in a tight range between $66,000 and $67,000 over the weekend. That changed on Monday when the asset moved above $70,000 after reports said the United States and Iran had started talks.

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The price later slipped below $68,000 after follow-up reports challenged that claim. Bitcoin then turned higher again on Tuesday after both sides announced a “two-week cease-fire,” which supported market sentiment.

The asset kept climbing even after March CPI data showed stronger inflation. It reached $73,500 earlier today, its highest level since March 18, before easing slightly below $73,000.

Bitcoin’s market value rose to $1.455 trillion, according to CoinGecko data. Its share of the total crypto market also increased over the past week and now stands above 57%.

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Source: CoinGecko
Source: CoinGecko

Ethereum, HYPE, and RAVE lead altcoin gains

Ethereum moved back above the $2,200 mark after a 2.3% daily rise. BNB also traded higher and moved past $600, while HYPE climbed more than 5% and reclaimed $40.

Most large-cap altcoins followed the same direction, though gains remained moderate. A few tokens, including WLFI, XMR, and CC, posted small losses during the session.

RAVE recorded the strongest move among the top gainers. The token jumped 100% in one day and extended its weekly gain to about 700%, which pushed it into the top 100 assets by market value.

DASH also posted a sharp advance and moved above $45 after a 13% gain. SIREN added 10% and returned to the $0.80 level.

The total crypto market value increased by more than $100 billion from last week. It stood at $2.530 trillion at press time, showing broader strength across the sector.

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Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

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Iran Bitcoin toll report raises questions over oil ship payments

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UK shuts down crypto exchange Zedxion after sanctions probe ties platform to Iranian networks

Reports that Iran may accept crypto for oil tanker tolls in the Strait of Hormuz have sparked debate across the digital asset market. 

Summary

  • Reports on Iran’s possible crypto tolls for oil tankers have split opinion across Bitcoin and stablecoin circles.
  • Analysts said stablecoins face freeze risks, while Bitcoin supporters called BTC harder to block or control.
  • Galaxy’s Alex Thorn said tanker payments may use Bitcoin addresses, not Lightning, due to size limits.

The discussion followed a Financial Times report that linked the proposal to Iran’s efforts to reduce exposure to US sanctions.

Market participants have focused on one question: whether Bitcoin would play a real role in such payments. Conflicting claims have since pointed to stablecoins or Chinese yuan as other possible options.

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The latest debate started after reports said Iran was considering Bitcoin payments for ships crossing the Strait of Hormuz. The waterway remains one of the world’s busiest energy routes, which has pushed the topic beyond crypto circles and into wider market discussions.

Alex Thorn, head of firmwide research at Galaxy, said later reports did not fully support the original Bitcoin claim. He said some accounts suggested the tolls could instead be settled in stablecoins or Chinese yuan, which left the payment method unclear.

That uncertainty has driven much of the reaction from Bitcoin supporters and market analysts. With no confirmed payment framework in place, traders and industry figures have treated the story as a developing issue rather than a settled policy.

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The lack of an official and detailed public plan from Iranian authorities has also kept room for doubt. For now, the crypto market is responding more to reports and commentary than to a final rule.

Bitcoin and stablecoins draw different arguments

Bitcoin supporters argued that BTC would be harder for outside parties to freeze or block. Justin Bechler said, “USDT and USDC include built-in blacklist functions at the smart contract level,” adding that issuers can freeze funds when addresses are flagged.

He also said, “Bitcoin has no issuer, no compliance officer to pressure, and no freeze function.” That argument has pushed some market participants to present Bitcoin as a more resilient option for cross-border settlement under sanctions pressure.

Still, that view has not settled the debate. Stablecoins remain widely used in global crypto payments because they reduce price swings, and that may still matter for any large commercial transaction tied to oil shipping.

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The discussion also reflects the difference between theory and practice. A payment method may look strong on paper, but large state-linked payments depend on speed, scale, compliance risk, and operational ease.

Payment size and logistics remain key issues

Thorn estimated that tanker tolls could range from $200,000 to $2 million per ship. That size has raised doubts about whether the Lightning Network would be the main rail, even though some early reporting suggested a payment could be completed within seconds.

He said the more likely setup would involve Iran providing a QR code or a Bitcoin address after approving a ship’s passage. That method would avoid the limits that can affect very large Lightning payments.

Thorn also noted that the largest known Lightning transaction to date was about $1 million. That figure matters because some tanker tolls may sit above that level, which could make direct onchain settlement or pre-arranged transfers more practical.

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WLFI Drops to Record Low After Token-Backed Borrowing Raises Risk Concerns

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WLFI Drops to Record Low After Token-Backed Borrowing Raises Risk Concerns

WLFI, the native token of the Donald Trump–backed World Liberty Financial platform, sank to an all-time low on Saturday as crypto users expressed concerns after revelations that the project used a large amount of its own tokens to take out loans.

The token hit a new low of around $0.07714 on Saturday, down 83% from its peak of $0.46 reached last September, according to data from CoinMarketCap. WLFI is currently at $0.07879, down by 4.66% over the past day.

The downturn came after it was revealed that wallets linked to World Liberty Financial deployed substantial WLFI holdings as collateral on Dolomite, a decentralized lending platform co-founded by the project’s chief technology officer, Corey Caplan.

WLFI token down 65% over the past year. Source: CoinMarketCap

Onchain data from Arkham shows that a wallet linked to World Liberty Financial deposited around 5 billion WLFI tokens on Dolomite. The wallet then used the tokens as collateral to borrow $75 million in USD1 and USDC (USDC) stablecoins, later transferring more than $40 million to Coinbase Prime.

Related: CFTC unveils innovation task force members in crypto clarity push

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WLFI-backed loan position sparks concerns

The large collateral position has raised concerns among DeFi analysts, who warn it could create risks for lenders on Dolomite if WLFI’s price falls and approaches liquidation levels.

“WLFI has almost a $10 billion FDV, but it is not an extremely liquid asset,” one user wrote on X. “So imagine what would happen if 5% of WLFI’s total supply would suddenly need to be sold to liquidate the position,” he added.

Another X user argued that the setup resembles creating artificial “chips” and borrowing against them. “It’s the financial equivalent of printing casino chips, borrowing cash against them, and telling everyone else not to panic because the house still believes in the chips,” they claimed.

Source: Ethan DeFi

Dolomite has a relatively small footprint in decentralized finance, ranking 19th among lending platforms by total value locked, according to DefiLlama.

Related: White House warns staff as Iran bets add to growing insider trading concerns

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World Liberty defends WLFI lending

World Liberty Financial acknowledged the lending activity on social media, but sought to calm markets, stating that its positions remain well above liquidation thresholds. The project described itself as an “anchor borrower” for WLFI and argued that the strategy helps generate yield.

“Everyday users are earning outsized stablecoin yields right now — at a time when traditional markets are offering very little. That’s the whole point,” the project wrote on X.

On Friday, World Liberty said it will soon introduce a governance proposal to create a phased unlock schedule for WLFI tokens held by early retail buyers, replacing immediate access with a long-term vesting plan subject to community vote.

Magazine: Bitcoin may take 7 years to upgrade to post-quantum — BIP-360 co-author

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