OKX has added BlackRock’s BUIDL tokenized U.S. Treasury fund to its institutional collateral framework with Standard Chartered. The move allows eligible institutional and VIP clients to use BUIDL as trading margin.

Clients can hold the asset off-exchange with Standard Chartered while trading on OKX Middle East. They can also deposit BUIDL directly on the exchange, depending on their setup.

The companies described the arrangement as a G-SIB bank-backed off-exchange tokenized collateral framework. It builds on OKX’s existing collateral mirroring program with Standard Chartered.

Rifad Mahasneh, CEO of OKX Middle East, North Africa and CIS, said the update shows how tokenized assets can support active trading instead of staying idle.

He said BUIDL will be treated as fungible with USD, USDC and other dollar-based stablecoins inside OKX’s margin system. Clients will keep ownership of the fund and its yield.

Standard Chartered holds client collateral

Standard Chartered will act as the off-exchange custodian. The bank will hold client collateral separately from OKX’s own assets.

OKX will manage real-time margining and liquidation through its internal risk systems. Mahasneh said the structure follows traditional finance standards, though details on stress-period margin calls were not provided.

Tokenized Treasury competition grows

BlackRock’s BUIDL fund is tokenized by Securitize. It invests in cash, U.S. Treasury bills and repurchase agreements, with yield distributed onchain.

The launch adds to growing use of tokenized real-world assets in crypto market infrastructure. Binance has also added tokenized Treasury products, including BUIDL and Franklin Templeton’s BENJI fund, to collateral frameworks.

OKX said the service is live for eligible institutional and VIP clients through OKX Middle East. The company plans to expand access based on jurisdiction and client demand.

The Blockchain Association has publicly supported the Federal Reserve’s proposal to formalize the removal of “reputation risk” from its bank supervision framework. In a comment letter submitted in response to the Fed’s request for input, Ashok Pinto, the association’s executive vice president of legal and government relations, argued that reputation risk should be codified as a permanent rule. The group notes that reputation risk was already removed as a component of examination programs in June 2025 and urged the Fed to finalize the change promptly. According to Cointelegraph, the move would anchor supervisory standards in objective criteria rather than political considerations.

The association’s position emphasizes that regulation should protect the integrity of the financial system without privileging particular industries or business models. Pinto stated that regulated entities deserve consistent, predictable standards, and that reputation risk has offered neither.

Source: Blockchain Association

Reputation risk has historically been cited in justifications for revoking banking access for crypto firms, a phenomenon some observers have linked to what critics described as “Operation Chokepoint 2.0.”

Key takeaways

• The Federal Reserve is considering codifying the removal of reputation risk from its supervisory programs, following prior iterations where the concept was de-emphasized in examination frameworks.
• The Blockchain Association argues that formal codification would deliver administration-neutral, objective standards for regulated entities, reducing politically influenced enforcement.
• Regulatory harmonization is a central theme, with the OCC and FDIC having already finalized rules to remove reputation risk from their supervision, creating a potential model for the Fed to align with.
• Analysts note that reputation risk has been used in the past to justify debanking actions against crypto firms, underscoring the importance of clear, neutral criteria in supervision.
• There is an ongoing policy context surrounding banking access for digital-asset businesses, with implications for compliance regimes, licensing, and cross-agency oversight.

Regulatory alignment and policy rationale

The Federal Reserve’s request for comment centers on codifying the removal of reputation risk from its supervisory framework. The aim is to establish durable, administration-neutral standards that would apply to all entities operating within the U.S. financial system. The proposal follows recent moves by other federal agencies that have similarly codified the exclusion of reputation risk from supervisory programs, signaling a broader federal push toward standardized, objective criteria in oversight. The Blockchain Association’s Ashok Pinto urged the Fed to move quickly to finalize and codify the change, arguing that regulation should safeguard the integrity of the financial system without entrenching winners or losers based on shifting political climates.

“Codifying its removal is a durable, administration-neutral protection for any American business operating lawfully within our financial system.”

The push for formalization aligns with a larger regulatory trend toward harmonization across agencies. The Office of the Comptroller of the Currency (OCC) and the Federal Deposit Insurance Corporation (FDIC) recently issued a final rule to codify the removal of reputation risk from their supervisory programs. Proponents argue that a consistent standard across federal agencies would provide regulated entities with greater clarity and predictability, thereby supporting safer and more stable financial intermediation.

“As supervision is grounded in objective, measurable standards, the public’s confidence in the impartiality and integrity of the regulatory process is strengthened,” Pinto wrote. A unified framework—across the Fed, OCC, and FDIC—could help ensure that enforcement remains anchored to verifiable criteria rather than discretionary political considerations.

Historical context and practical implications

Debanking concerns have long surrounded the crypto sector in the United States. Critics point to cases where firms contend that government pressure, rather than risk-adjusted banking policies, influenced access to banking services. The Cato Institute, in its analysis from January, suggested that the majority of debanking cases stem from governmental influence rather than private-bank policy alone, underscoring the need for a neutral, codified standard widely applicable across agencies.

In the current policy milieu, a harmonized approach to reputation risk could influence several practical domains. For banks and payment providers, it would mean applying a consistent risk framework to decisions about onboarding and continuing relationships with crypto firms. For crypto firms, it could translate into more predictable licensing processes and fewer abrupt interruptions to access banking rails. For regulators and supervisors, it could reduce the room for ad-hoc penalties or bans that stem from politically charged interpretations of risk.

Regulators have emphasized that any framework must support financial-system safety and soundness while maintaining confidence in impartial supervision. The push for alignment across the Fed, OCC, and FDIC reflects a broader policy objective: to create a stable, compliant environment for digital-asset activities that can withstand changes in political leadership and administration.

Implications for institutions, licensing, and oversight

For financial institutions, the codification of reputation risk removal could simplify compliance architectures. Institutions would rely on a unified, objective standard when assessing crypto-related risk, potentially reducing the incidence of sudden debanking actions that disrupt legitimate activities. For crypto firms, clearer rules governing supervisory practices could translate into more predictable licensing and ongoing regulatory interaction, aiding risk management, AML/KYC procedures, and cross-border operations. For regulators, a consistent standard supports more transparent supervision and enables comparability across agencies and jurisdictions.

Looking ahead, the Fed’s final rule—when issued—may be positioned to mirror the OCC and FDIC approach, creating a coherent national framework. Such alignment would be particularly relevant for banks seeking to balance crypto exposure with prudent risk controls, as well as for policymakers assessing the resilience of the U.S. financial system amid evolving digital-asset developments.

In sum, the Blockchain Association’s stance reinforces a growing consensus around administration-neutral, rules-based supervision. If adopted, the codified removal of reputation risk could become a cornerstone of a more stable, predictable regulatory environment for crypto enterprises and their banking interfaces.

Closing perspective: The consolidation of reputation-risk governance across federal regulators remains a live regulatory question, with outcomes likely shaping the trajectory of institutional compliance, banking access for crypto firms, and cross-border policy alignment in the near term.

The crypto market fell 1.3% to $2.64 trillion on Tuesday as concerns over stalled U.S.-Iran peace negotiations and rising oil prices eroded investor appetite for risk assets.

Bitcoin (BTC) price crashed 2.2% from Monday’s high of $78,225 to $76,480 earlier today before settling around $76,900 at press time. Ethereum (ETH) was down 1%, trading near $2,300, while other major altcoins such as XRP (XRP), BNB (BNB), Solana (SOL), and Tron (TRX) were also in the red with losses between 1-2%. Some of the top laggards of the day were MemeCore, Zcash, and Hyperliquid, which were some of the best gainers last week.

Per CoinGlass data, over $266 million was liquidated from the total market, with $210 million resulting specifically from long liquidations. Long liquidations occur when prices drop sharply and force the closure of leveraged buy positions, and tend to create a cascade of selling that further depresses prices.

The Crypto Fear and Greed Index kept slipping away from the neutral reading towards fearful sentiment, a sign that investors are growing more cautious about the short-term outlook. 

Crypto market fell amid delayed peace negotiations in the U.S.-Iran war

The crypto market tanked today as investors remain on the sidelines awaiting more concrete evidence of a peace deal between the U.S. and Iran to permanently end their conflict.

In their most recent proposal, the Iranian government had proposed that they would comply with the U.S. to end their war if the U.S. lift their naval blockade on Iranian ports and delays nuclear talks to a later phase of the diplomatic process. 

While U.S. President Donald Trump and his national security team are reportedly reviewing the Iranian peace plan to halt the war and reopen the Strait of Hormuz, the offer has so far not yet advanced, with Trump canceling plans recently to send envoys to Pakistan for talks with the Iranian side.

The lack of diplomatic progress has led crude oil prices to climb back towards $100 per barrel on Tuesday. Notably, WTI crude oil was trading up 3% at $99 while Brent crude oil was up 2.3% at over $110. 

Global economic pressure

Rising oil prices tend to pressure the global economy by stoking runaway inflation and thus lead investors to scale away from investing in speculative assets like cryptocurrencies.

Investors have also backed away from safe-haven assets such as gold and precious metals. Notably, gold prices fell 1.1% over the past 24 hours, while silver was down 2%. 

Asian tech stocks such as the Nikkei 225, Hang Seng, and the Shanghai Composite were also trading lower on Tuesday afternoon.

Crypto-related stocks followed the downward trend. Coinbase shares fell 1.5%, Circle lost 3.5%, and Galaxy Digital dropped close to 6%. In the U.S., the Nasdaq slipped 0.3% in early trading, while the S&P 500 held flat as investors looked ahead to a busy earnings calendar featuring Alphabet, Meta, Microsoft, and Apple.

BTC cloud mining gains momentum in 2026 as AJC Mining expands access to remote mining contracts.

As the cryptocurrency market continues to develop in 2026, institutionalization, compliance, and diversification of trading tools are driving increased industry attention. Leading platforms such as Coinbase continue to improve their derivatives features, while the Ripple and XRP ecosystems are also making continuous progress in payments, compliance, and on-chain applications. Against this backdrop, Bitcoin remains one of the core digital assets that global investors are focusing on, and BTC cloud mining has once again become a hot trend.

For users who want to participate in Bitcoin mining but don’t want to buy mining machines, bear the electricity costs, or learn complex technologies, cloud mining offers a lighter and more flexible way to participate. AJC Mining provides remote cloud computing power contract services to users worldwide in response to this market demand.

What is AJC Mining?

AJC Mining is a UK-based cryptocurrency cloud mining platform. Its services span over 170 countries and regions worldwide, serving a user base of more than 6 million — primarily ordinary users looking to participate in BTC mining through cloud computing power.

Unlike traditional mining, users do not need to purchase mining machines, build mining farms, or maintain equipment themselves. They can simply select a suitable cloud mining contract online and view the contract status, daily earnings, and withdrawal options through their account backend. The platform supports deposits in a wide range of digital assets — including BTC, USDT, ETH, USDC, XRP, DOGE, SOL, LTC, BNB, BCH, and ADA — making it convenient for users across different regions to participate based on their individual asset holdings.

AJC Mining’s key advantages

1. Lower the barrier to entry for mining and reduce initial investment.

Traditional BTC mining typically involves mining machine procurement, electricity costs, site management, heat dissipation maintenance, and technical operation and maintenance, making it a high barrier to entry for ordinary users. AJC Mining employs a cloud hash rate contract model, allowing users to engage without the need to directly handle hardware equipment or contend with issues such as rig malfunctions, noise, energy consumption, and maintenance. This approach makes it an ideal entry point for those seeking to familiarize themselves with the cloud mining process.

2. Flexible contract options facilitate phased experience.

The platform offers a selection of contracts featuring varying price points, durations, and yield structures. New users can start with short-term contracts to familiarize themselves with the registration, deposit, contract purchase, earnings viewing, and withdrawal processes; experienced users can choose cloud mining contracts that better suit their needs based on their budget, mining goals, and long-term asset allocation plans.

3. Clear earnings records enhance account transparency.

After the contract is activated, users can view their daily mining earnings, contract progress, account balance, and withdrawal status in the background. Clear records help users continuously track contract performance, promptly verify changes in returns, and adjust subsequent participation strategies based on actual performance.

4. Supports multiple currencies for top-ups, offering more flexible payment options.

AJC Mining supports deposits of major digital assets—including BTC, ETH, USDT, USDC, XRP, SOL, DOGE, LTC, BNB, BCH, and ADA—thereby lowering the barrier to entry for holders of various assets. This multi-currency support also offers users across different regions greater flexibility in their payment options.

5. Web and mobile management — ideal for remote operation

Users can log in to their accounts via web or mobile devices to view contract status, earnings details, and withdrawal options. For users who lack the time to manage physical mining rigs, remote account management significantly streamlines operational processes and enhances user convenience.

6. The process is clear and easy for beginners to understand.

From account registration, contract selection, and computing power activation to viewing earnings and applying for withdrawal, the platform’s process is relatively intuitive. For newcomers to BTC cloud mining, the standardized contract pages and backend data displays facilitate a quicker understanding of the fundamental logic behind cloud mining.

How do I get started with AJC Mining cloud mining?

Step 1: Register an Account

Users can visit the official AJC Mining website to register an account. Upon registration, new users receive a $15 welcome bonus (which allows them to experience a free cloud mining contract; purchasing a $15 cloud mining contract yields a daily return of $0.60, and members may withdraw funds at any time once their account balance reaches $100). 

Click to register now.

Step 2: Select a Cloud Mining Contract

Upon registration, users can select a cloud mining contract that suits their needs based on their budget, contract duration, and expected returns.

Step 3: Check earnings and apply for withdrawal

Once the contract is activated, users can view their daily earnings within their account dashboard. When the account balance meets the platform’s withdrawal requirements, users may request a withdrawal using any of the methods supported by the platform.

AJC Mining Cloud Mining Contract Example

The following are selected contract examples displayed on the platform; please refer to the real-time information on the platform’s official website for specific details regarding prices, durations, returns, and withdrawal rules.

The following are some cloud mining contract examples provided by AJC Mining:

Before selecting a contract, users should conduct a comprehensive assessment based on their own financial situation, cryptocurrency market volatility, and platform rules. 

Click here to view more contracts.

Why is AJC Mining worth watching?

AJC Mining’s core value lies in transforming the complex process of BTC mining into a more accessible, remotely manageable cloud-based computing power service. Users can participate in cloud mining through online contracts without purchasing mining machines or bearing the burden of operation and maintenance, and can continuously view account data through the backend.

From an investor’s perspective, the platform’s contract periods, earnings records, multi-currency deposits, and remote management features help improve visibility and convenience during the participation process. Before choosing a contract, users should carefully review the platform rules, fee structure, withdrawal conditions, and risk warnings to ensure that their decisions are based on a thorough understanding.

Who is it suitable for?

• Users who wish to participate in BTC mining but prefer not to purchase or maintain physical mining hardware
• Novice users seeking to explore cryptocurrency earning opportunities through cloud mining
• Users holding digital assets — such as BTC, USDT, ETH, and XRP — who wish to discover additional use cases for their holdings
• Users who prefer to manage their mining contracts remotely via web browsers or mobile devices
• Users interested in the trends of Bitcoin cloud mining and digital asset allocation strategies for 2026.

Conclusion

As the cryptocurrency market continues to heat up in 2026, cloud mining is increasingly becoming a focal point of interest for a wide range of users. With its BTC cloud mining contracts, multi-currency deposit options, daily earnings tracking, and remote account management features, AJC Mining offers users interested in exploring cloud computing power services a simpler and more flexible way to participate.

For those looking to gain a deeper understanding of BTC mining, cloud computing services, or cryptocurrency mining platforms, AJC Mining is undoubtedly a high-quality option well worth serious consideration.

For more information, visit the official website and download the mobile app.

U.S. President Donald Trump has edged his position on prediction markets closer to cautious acceptance after a period of public skepticism, signaling that political and regulatory dynamics abroad are influencing his stance. Speaking to reporters in Florida, Trump acknowledged that while some critics remain unconvinced, “a lot of people who are very smart” support these markets, and he suggested the United States risks being left out if it doesn’t participate as other countries move forward.

That shift comes after a separate set of remarks in which Trump said he was not happy with prediction markets overall, describing the global landscape as increasingly “a casino” and noting the proliferation of betting platforms across the world. The remarks underscore a tension between domestic regulatory scrutiny and a rapidly expanding, data-driven sector that has drawn significant user and investor interest in recent months.

Key takeaways

• Prediction markets surged in popularity, with Polymarket and Kalshi reporting record activity; combined trading volumes reached $23.6 billion in March, per Token Terminal.
• Top political figures’ families and businesses are entwined with these platforms, complicating public perception and regulatory considerations.
• Trump’s anticipated involvement in tech-enabled markets extends to his business interests, including a planned Truth Social partnership with Crypto.com for prediction markets, and his family’s advisory roles in related ventures.
• The regulatory backdrop remains unsettled, with ongoing enforcement and legal debates about how gambling and prediction markets should be treated in the U.S. and abroad.

Prediction markets in the spotlight as usage climbs

Two of the most prominent prediction-market platforms—Polymarket and Kalshi—have together captured rising demand, attracting a broad user base seeking to hedge or speculate on real-world events. According to data cited by Token Terminal, the combined trading volume across these sites reached a record level in March, underscoring a sustained appetite for on-chain- or web-based event markets despite ongoing policy debates across jurisdictions.

The growth in activity arrives amid ongoing regulatory scrutiny in the United States and abroad. A recent wave of attention has focused on whether prediction markets should be treated as gambling or as legitimate information markets with potential applications for policymaking, risk assessment, and civic discourse. This tension is not new, but the pace and breadth of participation have intensified, driving investors and users to weigh both risk and opportunity in these platforms.

Family ties and corporate ambitions complicate the picture

The involvement of high-profile political figures and their families adds a layer of complexity to the trajectory of prediction markets. Donald Trump Jr. has been associated with Polymarket since August, joining the company’s advisory board. He also serves as an adviser to Kalshi, a role he took on in January 2025, highlighting how personal affiliations intersect with a rapidly evolving market landscape.

Beyond personal ties, Trump’s business ventures have signaled intended participation in the prediction-market space. In October, Trump Media announced plans to roll out prediction-market functionality on Truth Social, in partnership with Crypto.com. The arrangement would place market-tracking and betting capabilities on the platform, potentially broadening exposure to a U.S. audience for event-based markets. It’s worth noting that Trump divested his stake in Trump Media upon assuming office, transferring shares to a trust for which Trump Jr. is the sole trustee, a move that continues to shape the governance around any future initiatives tied to the brand.

These developments come against a backdrop of independent reporting and industry analysis that emphasize how the lines between technology platforms, political discourse, and regulatory oversight are increasingly intertwined. While executives and high-profile figures may help drive adoption, policymakers have signaled a readiness to scrutinize these markets more closely, particularly where foreign competition and cross-border liquidity intersect with U.S. consumer protection standards.

Regulatory context and what could come next

The broader regulatory environment remains unsettled. Earlier this year, concerns about applying traditional gambling laws to prediction markets drew attention from U.S. regulators, along with enforcement actions in other jurisdictions. In coverage linked to Cointelegraph, regulatory authorities have signaled a willingness to challenge or constrain certain market structures and operators, underscoring that user safety and compliance are likely to shape the pace of growth going forward.

Analysts note that the surge in volume and the involvement of prominent political figures could accelerate calls for clearer rules and standardized practices. This could include more explicit definitions of what constitutes a permissible prediction market, how customer funds are safeguarded, and what disclosures are required for operators and participants. In the near term, observers will be watching for how the U.S. approach evolves under current agencies and how international counterparts—where some countries have already embraced these markets—compare in terms of consumer protections, liquidity, and market integrity.

Recent coverage also points to ongoing discussions about the role these platforms might play in informing public policy or market risk assessment. Proponents argue that well-designed prediction markets aggregate information efficiently and can serve as useful tools for forecasting and governance. Critics, however, caution about moral hazard, manipulation risks, and the potential for inappropriate betting on sensitive or risky events.

For investors and builders, the main takeaway is that the sector’s momentum is unlikely to fade soon, but the road ahead hinges on regulatory clarity and credible risk controls. The next chapters will likely reveal how traditional financial oversight and innovative market design can converge to create sustainable ecosystems that are both compliant and genuinely useful to participants seeking to express hedges or opinions on real-world developments.

Meanwhile, observers should monitor both the policy discourse in Washington and the actions of foreign jurisdictions where prediction markets are already more mature. If the U.S. broadens access or introduces clearer guidelines, it could unlock a wave of new participants and capital. Conversely, tighter restrictions could reallocate activity to overseas platforms or compel operators to rethink product design to align with strict regulatory expectations.

As markets watch for signals from regulators and industry players, the coming quarters may reveal whether the recent rhetoric shift among political figures translates into practical policy or remains a cautious, interest-driven stance. The evolving dialogue between lawmakers, platform operators, and users will likely shape the pace of innovation in public-interest forecasting and its broader implications for governance and markets.

Readers should keep an eye on any formal regulatory updates from U.S. authorities, as well as announcements from platform operators about product changes, liquidity shifts, or new geographies of access. The balance between opportunity and oversight will determine how quickly prediction markets mature from fringe tools into mainstream, widely adopted instruments in the crypto and broader financial ecosystems.

Core Scientific plans to turn its Pecos, Texas site into a large artificial intelligence data center campus. 

The Bitcoin miner said the project could reach up to 1.5 gigawatts of gross power capacity. The company said about 1 gigawatt of that capacity is expected to be available for leasing. The site will support high-density colocation services as demand for AI computing power continues to rise.

Core Scientific said it will repurpose about 300 megawatts currently used for Bitcoin mining at the Pecos site. That power will now support data center operations for AI workloads.

The company said the first data hall has completed foundation work. Vertical construction is now starting, with early capacity expected in 2027.

CEO Adam Sullivan said the company is using its internal experience to support the buildout.

“We continue to leverage our deep in-house expertise to differentiate how we build and scale next generation artificial intelligence infrastructure,” Sullivan said.

Power contracts and land support expansion

Core Scientific has secured another 300 megawatts of power under contract with its utility provider. The company also plans to expand through a behind-the-meter power solution.

To support the project, Core Scientific said it acquired more than 200 acres of land near the Pecos site. The added land gives the company more room for the planned data center campus.

The company also announced plans last week to raise $3.3 billion through senior secured notes due in 2031. It plans to use the funds for data center expansion in Georgia, Texas, North Carolina, and Oklahoma.

Bitcoin miners seek AI revenue streams

Core Scientific has earned most of its revenue from digital asset mining in the past. However, it has increased its focus on infrastructure services as miners search for new income sources.

Mining companies have faced tighter margins after rising energy costs and changing market conditions. As a result, several firms have moved some mining sites toward AI and high-performance computing.

MARA Holdings bought a 64% stake in French infrastructure firm Exaion in February to expand into AI services. Hive, Hut 8, TeraWulf, and Iren have also worked on converting mining facilities into data centers.

Other energy-heavy sites are also being repurposed. Alcoa is close to selling its idle Massena East smelter in New York to Bitcoin mining firm NYDIG. TeraWulf also bought Century Aluminum’s Hawesville smelter in Kentucky for $200 million, with plans to turn it into a high-performance computing and AI facility.

Key Takeaways

• ChatGPT failed to reach OpenAI’s ambitious target of one billion weekly active users by year-end 2024
• The artificial intelligence firm fell short of numerous monthly revenue benchmarks during the current year
• Chief Financial Officer Sarah Friar has expressed concerns internally about financing future infrastructure agreements
• Oracle and CoreWeave shares declined 3.5% during premarket hours; AMD slipped 2.7%
• Competitors Anthropic and Google Gemini have captured market share from OpenAI in recent months

OpenAI’s inability to achieve critical expansion milestones is creating turbulence in the AI infrastructure sector.

A Tuesday report from the Wall Street Journal revealed that OpenAI failed to meet its ambitious internal benchmark of attracting one billion weekly ChatGPT users before 2024 concluded. Additionally, the artificial intelligence powerhouse missed its yearly revenue projection along with multiple monthly financial targets throughout the year.

The publication indicates that Google’s Gemini platform experienced significant traction in late 2024, capturing valuable market share from OpenAI. Meanwhile, Anthropic has established dominance in the coding tools segment and enterprise sector, further challenging OpenAI’s expansion trajectory.

During Tuesday’s premarket session, Oracle and CoreWeave experienced 3.5% declines in share value. Advanced Micro Devices saw a 2.7% drop. These corporations have anchored substantial portions of their expansion strategies around anticipated AI infrastructure requirements.

Oracle Corporation, ORCL

Earlier this year, Oracle unveiled intentions to secure $45 to $50 billion in funding to broaden its cloud infrastructure capabilities. The company referenced committed demand from major clients such as OpenAI, Meta, and Nvidia as rationale for this massive investment. CoreWeave has projected capital expenditures between $30 and $35 billion for 2026, representing more than double its 2025 spending levels.

Uncertainties Surrounding Public Offering Timeline

OpenAI CFO Sarah Friar has reportedly cautioned internal leadership that the organization may face challenges securing funding for upcoming computing agreements if revenue expansion doesn’t accelerate, according to the Journal’s reporting. Board members have also intensified their scrutiny of data center transactions and questioned CEO Sam Altman’s aggressive push for expanded computing capacity.

Friar has allegedly raised doubts about whether OpenAI currently possesses the infrastructure and processes necessary to satisfy the rigorous disclosure requirements mandated for publicly traded enterprises. Altman has publicly stated his intention to transition OpenAI to public markets before the end of 2026.

Altman and Friar jointly disputed the Journal’s characterization. In a unified response, they dismissed any notion of internal friction or scaling back on computing investments as “ridiculous.” The executives emphasized their complete agreement on “buying as much compute as we can.”

Financial Runway and Burn Rate Concerns

OpenAI recently completed its most substantial financing round to date, securing $122 billion in capital. Despite this massive influx, the organization anticipates depleting these funds within a three-year timeframe, even under optimistic revenue growth scenarios. Portions of this financing also carry contingencies tied to particular partnership arrangements.

The company has experienced elevated subscriber churn rates, introducing additional uncertainty for stakeholders and leadership as they contemplate a potential public market debut.

According to the report, Friar alongside other senior executives have advocated for enhanced fiscal responsibility and tighter cost management, occasionally creating tension with Altman’s aggressive growth ambitions.

OpenAI’s primary AI infrastructure collaborators, notably Oracle and CoreWeave, have both pledged substantial spending increases throughout 2026, with projections partially based on anticipated demand originating from OpenAI.