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Crypto exchange Kraken targeted in extortion attempt; says no breach and no funds at risk

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Pi rallies more than 30% after Kraken announces listing

Crypto exchange Kraken is facing an extortion attempt by a criminal group that threatens to release videos purportedly showing access to internal systems containing client data, the company said Monday.

The Wyoming-based firm said it identified and shut down two instances of inappropriate access tied to individuals within its support team, each involving limited client data.

“Our systems were never breached; funds were never at risk; we will not pay these criminals; we will not ever negotiate with bad actors,” said Nick Percoco, chief security and information officer of Payward and Kraken, in a post on X.

The first incident came in February 2025, when Kraken received a tip about a video circulating on a criminal forum. An internal investigation identified the individual involved, revoked their access and led to additional security controls. A limited number of affected clients were notified.

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More recently, Kraken received another tip and a similar video. The company said it again identified the individual responsible, terminated their access and notified affected users.

Security incidents remain a persistent issue in crypto because the industry combines high-value, easily transferable assets with technical and human vulnerabilities. Digital assets can be moved instantly across borders and are often irreversible once lost, making them attractive targets for malicious actors. At the same time, weaknesses in smart contracts, private key management and exchange infrastructure can create exploitable entry points, while phishing and social engineering schemes continue to target users directly.

Recent crypto exploits have shown increasing sophistication, with attackers combining smart contract vulnerabilities, social engineering and rapid fund movement to maximize impact.

In cases like the Drift exploit, adversaries appear to have used a deep understanding of protocol mechanics and liquidity conditions to manipulate systems in ways that are difficult to detect in real time, underscoring how complex and fast-moving decentralized finance (DeFi) environments can create opportunities for advanced attacks.

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Kraken is a U.S.-based cryptocurrency exchange operated by Payward Inc., offering spot and derivatives trading, as well as custody and staking services for digital assets. Founded in 2011, the platform serves retail and institutional clients globally, providing access to cryptocurrencies such as bitcoin and ether (ETH), as well as fiat on- and off-ramps. The company is also known for its focus on security and regulatory compliance across multiple jurisdictions.

Across both incidents, approximately 2,000 client accounts were potentially viewed, according to the company. Kraken has millions of customers, and the security events affected only 0.02% of their client base, a person with knowledge of the matter told CoinDesk.

Kraken said it began receiving extortion demands shortly after the latest access was cut off, with the group threatening to distribute materials from both incidents to media outlets and on social media. The company said it will not comply.

The exchange added that it has been working with industry partners and law enforcement to investigate what it describes as broader insider recruitment efforts targeting crypto, gaming and telecommunications firms. It said it believes there is sufficient evidence to identify and arrest those responsible.

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“The security of our clients is our highest priority, and we remain fully committed to combating the growing global threat of insider recruitment and constantly enhancing our security practices to combat new threats,” Percoco added.

Galaxy Digital (GLXY), the digital asset financial services firm founded by Mike Novogratz, said it also recently contained a cybersecurity incident involving unauthorized access to an isolated development workspace. No client funds or account data were accessed or at risk.

Read more: Galaxy Digital’s testnet suffers hack but no client funds or information were compromised

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Criminals Blackmail Kraken With Alleged Client Data Leak

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Criminals Blackmail Kraken With Alleged Client Data Leak

Kraken is facing an extortion attempt after uncovering two insider incidents involving support staff access to limited client data.

The exchange’s Chief Security Officer, Nick Percoco, insists its systems and funds were never compromised.

Kraken Insider Extortion Case Exposes Growing Support Staff Security Risks

Crypto exchange Kraken disclosed two separate incidents of insider access involving support staff who viewed limited client data, which later prompted an extortion attempt by a criminal group.

The firm’s CSO says no systems were breached and funds remained secure after acting immediately on each alert. Support access was revoked quickly in both cases, according to the Kraken security update statement.

“We are currently being extorted by a criminal group threatening to release videos of our internal systems with client data shown if we do not comply with their demands,” Percoco wrote in a post.

According to the company, only about 2,000 client accounts, roughly 0.02% of its user base, may have been viewed during the incidents.

Notifications were sent to affected users. Kraken says the exposure was limited to support systems, not trading infrastructure, and no funds were affected.

Kraken Rejects Extortion Demand

The incidents escalated when a criminal group began demanding payment, threatening to release internal videos and data unless Kraken complied.

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Reportedly, Kraken refused, stating it would not negotiate with bad actors. The exchange confirmed it is working with law enforcement across jurisdictions and has gathered sufficient evidence for identification efforts.

“We are actively working with federal law enforcement across multiple jurisdictions to pursue all individuals involved and bring them to justice,” he added.

The case reflects a wider industry issue involving attempts to recruit or bribe customer support employees at crypto and tech firms.

It mirrors Coinbase’s 2025 case, where bribed overseas agents leaked customer information. In both, no systems were breached, client funds remained safe, and the exchanges refused extortion demands while cooperating with law enforcement.

Security teams across the sector have increased monitoring and access controls in response. Similar tactics have been observed in the gaming and telecom sectors, according to industry reports.

Notwithstanding, some users question offshore support hiring practices, arguing that geography influences security risk perception.

“Why don’t you hire people from developed countries? I won’t put my money on a platform that I have to hope for their third world support staff to not get bribed by criminals to expose my data. Banks don’t hire support staff in third world countries either,” one user expressed.

Kraken has not commented on those claims but emphasized access controls over location as the primary safeguard.

The post Criminals Blackmail Kraken With Alleged Client Data Leak appeared first on BeInCrypto.

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Coinbase VP of international policy leaves for OpenAI

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Coinbase VP of international policy leaves for OpenAI

Tom Duff Gordon, the vice president of international policy at U.S.-listed cryptocurrency platform Coinbase (COIN), has left the firm for pastures green.

Duff Gordon, who had been with Coinbase for close to 4 years, left the exchange to join OpenAI as head of EMEA Policy, a Coinbase spokesperson said via email.

Duff Gordon had previously spent 8.5 years working as a banker at Credit Suisse. He did not immediately respond to a request for comment.

An expert on crypto regulations, Duff Gordon recently pointed out that U.K. banks are blocking millions of customers from accessing legal and compliant services, by failing to distinguish between Financial Conduct Authority-registered firms with low fraud rates and higher-risk operators.

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Oil Price Slides Below $100 as China Defies US Hormuz Blockade

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Crude (WTI) Price Performance

US oil prices fell back below $100 per barrel on Monday after a volatile session, reversing gains that pushed crude above $104 earlier in the day.

The sharp pullback came as China’s Defense Minister Admiral Dong Jun signaled that Chinese vessels would continue transiting the Strait of Hormuz under existing agreements with Iran.

China Challenges US Naval Blockade

Admiral Dong Jun delivered a pointed message to the Trump administration and the US Navy. He confirmed that Chinese ships are actively moving through the Strait of Hormuz and that Beijing will honor its trade and energy agreements with Tehran.

“Iran controls the Strait of Hormuz and it is open for us,” the Hormuz Letter reported, citing Admiral Dong Jun.

The statement reframes the standoff. What began as a bilateral US-Iran confrontation now involves a direct challenge from the world’s second-largest economy.

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Analysts noted the repricing in oil markets reflects traders reassessing the blockade’s effectiveness now that China has entered the frame.

Notably, the US blockade of Iran affects China’s interests, as China is Iran’s largest oil export destination.

Trump Sets New April 27 Deadline

Speaking from the Oval Office, President Trump issued a fresh two-week ultimatum to Iran. He warned the situation “won’t be pleasant” if Tehran fails to reach a deal by April 27.

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The deadline follows the collapse of US-Iran talks in Islamabad on April 12, which prompted Washington to declare a full naval blockade of the strait.

Brent crude had jumped more than 8% to above $103 following that announcement before reversing.

Crude (WTI) Price Performance
Crude (WTI) Price Performance. Source: TradingView

Markets now face a new variable. China’s willingness to test the blockade could determine whether oil stabilizes or enters another leg higher as the April 27 deadline approaches.

However, reports suggest that a tanker bound for China forced to turn back under the U.S. blockade.

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“I believe the US intends to use this opportunity to pressure China to help urge Iran to reach an agreement, although this action is not specifically targeted at China,” one user commented.

The post Oil Price Slides Below $100 as China Defies US Hormuz Blockade appeared first on BeInCrypto.

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White House crypto adviser Witt says other Clarity Act hurdles being cleared

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White House crypto adviser Witt says other Clarity Act hurdles being cleared

The White House’s main crypto adviser, Patrick Witt, said that work is still being done to lock in the compromise that he thinks will move the Digital Asset Market Clarity Act forward in the U.S. Senate, though he said several other points are also being worked out behind the scenes.

In an interview on CoinDesk TV Monday, the executive director of the President’s Council of Advisors for Digital Assets suggested Monday that the common ground that key senators from both parties said they’d secured on stablecoin yield seems to be intact.”We’re hopeful that the compromise that has been reached will be durable and will hold,” Witt said. “Solving that was a must-have before we could get onto the other outstanding issues,” which he said he’s now pivoted to, though some of the issues have already been resolved.

Apart from the question of yield on stablecoins, over which bankers had successfully convinced some in the Senate that their deposit base could be in peril, the Clarity Act had a number of other potential hangups. Among those have been the illicit financial protections in the decentralized finance (DeFi) space, and a request from Democrats that senior government officials (most pointedly, President Donald Trump) be barred from profiting off of the crypto sector.

Though Witt wouldn’t identify the topics that have been settled in the ongoing talks, he said that the negotiations “made considerable progress in the background” while the yield argument between banks and crypto firms got most of the attention.

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“We’re very close to closing them out,” he said. “All of these issues felt intractable and unsolvable at one point in time. So the fact that we’ve been able to close out a lot of them gives me confidence that we can close out these other ones, too.”

The Clarity Act would need a markup hearing in the Senate Banking Committee before it can be advanced toward a final Senate vote. It had been close to such a hearing at the beginning of the year, but the bank lobbyists raised objections to stablecoin yield that delayed the process.

Last week, White House economists issued a report that downplayed the threats the banking sector contended are posed by giving stablecoin holders a return that resembles interest from a bank account. On Monday, the American Bankers Association answered back, saying the White House argument was flawed. Witt said the view of bankers is wide-ranging, depending on how close they are to the technology.

“They’re grappling with it,” he said. “These are all important issues to their members.

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And, you know, some of them are going to view stablecoins more positively. Some are going to be a little bit more threatened by them.”

Read More: Trump’s crypto adviser rejects Jamie Dimon on treating yield-bearing stablecoins like banks

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Bitcoin Price Prediction: BTC Needs All Year for $120,000 but $750 in This Presale Could Return $225,000 From One Listing

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Bitcoin Price Prediction: BTC Needs All Year for $120,000 but $750 in This Presale Could Return $225,000 From One Listing

The bitcoin price prediction just hit a turning point. BTC posted back to back quarterly losses for the first time since 2022, dropping 23% from its January price of $87,500, but April has closed green 9 out of 13 times since 2013 with a 69% win rate per 24/7 Wall St.

The pattern is clear: BTC falls hard then bounces harder. While that recovery builds over months from a $1.3 trillion cap, the wallets chasing the biggest return are not waiting on BTC.

They are filling Pepeto because a working exchange, a confirmed Binance listing, and $8.9 million in committed capital tell them the setup is already in place.

Bitcoin Price Prediction Shifts as April Win Rate Meets Quarterly Reset

BTC lost 23% in Q1 after falling from $87,500, and Q4 2025 also closed red, marking the first back to back quarterly losses since 2022 per 24/7 Wall St.

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But April’s 69% win rate is one of BTC’s strongest months on record, and CME FedWatch shows 98% expect the Fed to hold at the April 28 meeting per 24/7 Wall St.

When BTC falls to levels that historically trigger rebounds and the Fed removes the threat of more rate hikes, the bitcoin price prediction shifts from fear to timing.

BTC at $71,140 and Pepeto at $8.9M: Where the Pattern Repeats

Pepeto: The Same Pattern That Made Every Early Crypto Fortune

What if you could go back and buy BTC at $100? Or catch BNB at $0.15? Or enter Pepe before $11 billion? Every one of those followed the same pattern: a real product, early fear, and a crowd that showed up late. Pepeto is following that exact pattern right now, except this time you are not late.

The exchange is already live. PepetoSwap handles every trade at zero cost so your gains stay whole, the bridge sends your assets between ETH, BNB, and Solana chains for free, and the scanner catches dangerous contracts before your money goes anywhere near them.

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The mind behind the original Pepe, the meme token that hit $11 billion on nothing but hype and 420 trillion supply, built Pepeto with real tools and a Binance listing already confirmed. SolidProof audited every contract with results on chain for anyone to check. More than $8.9 million flowed in while the market sat in fear, and that is the tell. The people inside are not waiting and hoping. They already see where this goes. Staking pays 185% APY, growing your position every day before listing day arrives.

At $0.0000001862 per token, analysts project 100x to 300x once the Binance listing opens trading. Let those numbers sink in. $750 at 100x becomes $75,000. At 300x that same $750 becomes $225,000. How often does a setup like this land in front of you with a working exchange, a clean audit, and a confirmed listing all at less than a penny? The presale is filling fast and the listing will end this price for good.

Bitcoin Price Prediction: Levels, Targets, and What the Quarterly Reset Means

BTC trades near $71,140 with a $1.42 trillion cap, down 43% from its October 2025 all time high near $126,000 per CoinMarketCap.

The $75,000 level is the key resistance, and a clean break with volume opens the path toward $85,000 by summer.

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Standard Chartered targets $120,000 by year end, and the CLARITY Act markup in late April is the next catalyst. Even the bull case at $120,000 delivers 67% from current levels, strong for a $1.3 trillion asset but taking the rest of the year to play out.

Conclusion

BTC carries the store of value story and April’s 69% win rate says the bounce is likely coming. But here is what it comes down to. Do you want 67% over the rest of the year from a $1.3 trillion token? Or do you want to be the person who put $750 into a presale and watched it become $75,000 to $225,000 from one listing?

Every fortune built in crypto started with one moment where someone moved while everyone else was still reading about it. BTC at $100. BNB at $0.15. Pepe at zero. The same creator who built that last one is behind Pepeto, and the Binance listing is the event that turns this presale price into history. The wallets already inside are the ones who will tell this story next year. The only question left is whether your wallet is one of them.

Click To Visit Pepeto Website To Enter The Presale

FAQs

How do back to back quarterly losses change the bitcoin price prediction?

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BTC’s first back to back quarterly losses since 2022 pushed prices lower, but April’s 69% win rate signals a bounce, while Pepeto at presale pricing delivers returns one listing can produce.

Can a presale outperform the bitcoin price prediction this cycle?

BTC at $71,140 targeting $120,000 delivers 67% over months, but $750 inside Pepeto at 100x becomes $75,000 from one Binance listing, making the presale at the Pepeto official website the faster path.


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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The SEC Conditionalises DeFi Platforms to Be Avoided for Broker Registration

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Crypto Breaking News

Scope of Interfaces to Be Covered

The Commission outlined covered user interfaces as websites, browser extensions, or applications associated with crypto wallets. These applications assist users to plan and start transactions on blockchain platforms or smart contracts. Also in the guidelines, there are platforms that provide routing information, pricing and cost estimates of transactions. Such interfaces provide support to users that make use of self-custodial wallets to conduct crypto asset securities trades. They might also contain aggregators and swap platforms that show execution paths. As a result, the SEC acknowledges their functions in operations but does not differentiate them from the traditional intermediaries.

The SEC, however, added that it will not object to some platforms functioning without registration of a broker-dealer in some circumstances. The platforms should enable users to customise the parameters of transactions and offer educational aids to make informed choices. In addition, they should not give instructions to the users on certain securities transactions. The Commission highlighted that platforms should be neutral when offering trading options. The interface providers can provide default execution facilities, but they are not able to rank or favor specific trades. Therefore, it requires compliance by ensuring that the user is in control and restricting access to the results of transactions.

Section 15 of the Exchange Act that regulates the registration of brokers is referred to as the guidance. Though certain interfaces might fit the definition of brokers, the SEC made it clear that there are situations in which the enforcement might not be applicable. Moreover, such a strategy is an indication of a loose reading of the law on securities. The research head of Galaxy Digital Alex Thorn claimed that the SEC is moving forward with market structure without legislation. He observed that the agency is developing rules that resemble the ones suggested in the CLARITY Act. Furthermore, he emphasised the fact that the guidance provided to the staff might change with time.

Also, the guidance can facilitate future exemption of innovation covered by the SEC leadership. This may go as far as tokenised securities trading via automated systems and decentralised applications. The agency therefore keeps on demarcating operational limits of new crypto services. The crypto regulation debate in the U.S. Senate is set to be reintroduced in the near future. The legislators can proceed with official reviews and amendments of the suggested bill. The schedule indicates that there will be ongoing liaison between regulatory and legislative action.

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Risk & affiliate notice: Crypto assets are volatile and capital is at risk. This article may contain affiliate links. Read full disclosure

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U.S. SEC says software allowing crypto wallet transactions not considered broker

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U.S. SEC says software allowing crypto wallet transactions not considered broker

The U.S. Securities and Exchange Commission said that software that sets up user interfaces allowing crypto securities to be transacted through individuals’ wallets won’t need to be registered and regulated as a broker.

In the latest of the agency’s staff statements on crypto — now a wide-ranging list of views meant to allow the crypto industry to move forward in the absence of permanent rules — the SEC staff said on Monday that the websites or software used by people pursuing securities transactions with their self-hosted wallets won’t itself be considered as belonging to the broker-dealer category. That tracks with the agency’s recent stance that developers should be able to write software without triggering such regulations.

The agency provided a checklist of measures the creators of these interfaces can take to keep them out of the regulatory box, including that it “does not solicit investors to engage in any specific crypto asset securities transactions” and “does not provide commentary on any potential execution route(s) displayed to a user.”

If the interface offers financing, provides investment recommendations, handles user assets, takes orders or executes transactions, it’s no longer outside the agency’s regulatory reach.

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“The staff is providing its views as an interim step while the commission continues to consider various regulatory issues relating to crypto asset securities activities and the feedback it has received,” the document said.

Under the administration of President Donald Trump, who has demanded that his executive branch clear an easier path for the rise of friendly crypto regulation, the leadership of the SEC has reversed previous resistance and embraced the technology. Even before the arrival of SEC Chairman Paul Atkins, a series of pro-crypto statements began emerging, clarifying the regulator’s new view that various assets wouldn’t be considered securities or wouldn’t trigger oversight requirements. But these statements don’t carry the weight and greater permanence of full-fledged rules.

In the meantime, Atkins’ agency is working on such rules. Wide-ranging SEC rules are close to the proposal stage at the agency, he’s said. Even as the Senate continues to work on the Clarity Act that would cement crypto regulations into law, the agency is working on interim measures to give the agency great certainty.

Read More: SEC makes quiet shift to brokers’ stablecoin holdings that may pack big results

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Crypto-Aligned Super PAC Begins to Endorse Candidates for US Midterms

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Politics, Funding, Elections, Tether

Fellowship, a super political action committee (PAC) that claims to have $100 million in its war chest from crypto-aligned parties ahead of the 2026 US midterms, has begun reporting spending and endorsements for the next election.

According to a filing with the Federal Election Commission (FEC), the Fellowship PAC reported spending $300,000 on advertising for Clay Fuller, a Republican who won a special election for Georgia’s 14th Congressional District to replace resigning congresswoman Marjorie Taylor Greene. The spending, reported disbursed on Tuesday, comes about a month before Georgia’s Republican primary on May 19.

Politics, Funding, Elections, Tether
Source: Federal Election Commission

Fellowship is just one of several crypto-backed or aligned PACs expected to pour money to support or oppose candidates in another critical US election season. In 2024, the Fairshake PAC spent more than $130 million in media buys in congressional races, possibly influencing the outcomes in key battlegrounds like the US Senate seat for Ohio.

According to the FEC, super PACs may “receive unlimited contributions from individuals, corporations, labor unions and other PACs for the purpose of financing independent expenditures and other independent political activity.”

In addition to its only reported expenditure since the Fellowship PAC’s statement of organization filed in 2025, Fellowship posted endorsements for candidates to its X account on Thursday, signaling support for Republicans in races across five states. The candidates included Alan Wilson for South Carolina governor, Blake Miguez for Louisiana’s 5th Congressional District, Mike Collins for the US Senate in Georgia, Julia Letlow for the US Senate in Louisiana, Pete Ricketts for the US Senate in Nebraska and Nate Morris for the US Senate in Kentucky.

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Related: Chainlink and Anchorage Digital back launch of crypto-aligned PAC

Fellowship announced its launch in September, claiming to have “over $100 million” from undisclosed backers aligned with the crypto industry. On April 1, it said that Tether’s head of government affairs, Jesse Spiro, would chair the PAC, signaling support for candidates with pro-crypto views.

US lawmakers are still stalled on crypto market structure bill as midterms approach

The CLARITY Act, legislation passed by the US House of Representatives in July, has faced several delays in the Senate with no clear path forward on passing the legislation as of Monday.

Reports over the weekend signaled that the Senate Banking Committee, one of the two bodies needed to approve the bill in the chamber before a vote, was planning to hold a markup on the legislation, but the event was not on the committee’s calendar at the time of publication.

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The bill, expected to be one of the most comprehensive pieces of legislation affecting the crypto and banking industries, has faced pushback from lawmakers to address ethics, stablecoin yield, tokenized equities and other potential issues.

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