Payward, the parent company of Kraken, announced it has completed its acquisition of crypto derivatives venue Bitnomial, giving it control of a fully CFTC-regulated derivatives stack in the United States.

The acquisition gives Payward a Futures Commission Merchant, Designated Contract Market and Derivatives Clearing Organization, infrastructure it plans to use to expand CFTC-regulated products across Kraken and NinjaTrader, starting with spot margin, with perpetuals and options expected to follow.

Payward said Bitnomial will continue operating within its existing regulatory structure, with the deal enabling partners, including fintechs, banks and brokerages, to access US-regulated derivatives through the company’s infrastructure platform.

The “definitive agreement” to acquire the company was first announced on April 17, when Payward said it would use Bitnomial’s Commodity Futures Trading Commission (CFTC) licenses to expand regulated crypto derivatives offerings in the US.

According to Payward’s initial announcement, Bitnomial is the first crypto-native company in the US to hold licenses for exchange, clearing and brokerage functions under the CFTC.

Related: Kraken bundles crypto and tokenized stocks to attract investors seeking exposure to multiple assets

Crypto derivatives markets expand as US platforms build offerings

Crypto derivatives, including futures and options tied to assets such as Bitcoin (BTC), account for a majority of digital asset trading volumes, with a significant share of activity taking place on offshore platforms.

US regulators have acknowledged this trend. In a joint statement in September 2025, the Securities and Exchange Commission and the CFTC said regulatory fragmentation has pushed some crypto trading activity offshore and noted that perpetual futures have been limited in the US under current frameworks. 

The agencies said they are exploring ways to bring derivatives activity onshore using existing authorities, including potential frameworks for products such as perpetual futures and efforts to align regulatory requirements across markets.

Against this backdrop, US platforms have begun expanding their crypto derivatives offerings. In April, CME Group, the largest derivatives exchange operator in the United States, said it plans to launch futures tied to Avalanche (AVAX) and Sui (SUI), pending regulatory approval, following a January plan to list contracts for Cardano (ADA), Chainlink (LINK) and Stellar (XLM).

About a month later, the company announced it would begin offering 24/7 trading for crypto futures and options at the end of May, pending regulatory approval.

Source: CME Group

Outside the US, crypto exchanges have been expanding derivatives offerings in other markets. In February, Kraken launched tokenized equity perpetual futures for non-US clients, offering 24/7 leveraged exposure to assets including US stock indexes, gold and equities, while in March, Coinbase expanded its derivatives offerings in Europe with new crypto and equity-index futures across 26 countries through its MiFID-regulated entity.

Other crypto exchanges, including One Trading, Gemini and Backpack have also launched regulated perpetual contracts in Europe.

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Publicly traded crypto mining companies are posting strong gains in 2026, even as the broader crypto market remains under pressure.

All ten of the largest publicly traded mining stocks are in positive territory year-to-date (YTD), with gains ranging from around 5% to more than 85%, according to data from Bitcoinminingstock.io.

Top Bitcoin mining stocks by market cap. Source: Bitcoinminingstock.io

TeraWulf, Inc. leads the group with gains of about 85%, followed by Hut 8 Corp. at roughly 67% and Riot Platforms, Inc. at around 46%.

Other major miners have also posted strong gains, including Core Scientific, Inc., up about 40%, and Applied Digital Corporation, which has risen roughly 37% year-to-date.

At the lower end, Bitdeer Technologies Group is up around 5%, making it the weakest performer among the top 10. Outside that group, American Bitcoin Corp., a Trump-linked Bitcoin mining and treasury company formed by Hut 8 and backed by Eric Trump and Donald Trump Jr., is down roughly 29%.

The move comes even as Bitcoin (BTC) remains down around 20% YTD, even after gaining about 17% in the past 30 days.

Source: CoinGecko

Related: Canaan, Tether deepen partnership on immersion-cooled mining systems

Top crypto miners move deeper into AI infrastructure

The gains come as many of the largest mining companies push deeper into artificial intelligence and high-performance computing (HPC).

On Thursday, Riot Platforms reported $167.2 million in revenue for the first quarter of 2026, with its data center business contributing $33.2 million, helping offset a decline in core mining revenue. CEO Jason Les described the quarter as an “inflection point,” as the company transitioned into a revenue-generating data center operator.

Core Scientific, Inc. is also scaling its infrastructure, with plans to develop a Texas site into an AI-focused data center campus with up to 1.5 gigawatts of capacity, including about 1 gigawatt available for leasing. The company said roughly 300 megawatts currently used for Bitcoin mining at the site will be repurposed for data center operations.

In February, HIVE Digital Technologies reported a 219% year-over-year jump in quarterly revenue as it built out its AI and high-performance computing business, as well as a $30 million contract to deploy Nvidia GPUs for enterprise AI cloud customers. That same month, MARA Holdings, Inc. acquired a 64% stake in French AI data center company Exaion.

A report from Bernstein last week said IREN Limited, the largest publicly traded miner by market cap, could eventually “sunset” its Bitcoin mining operations as it repurposes sites for GPU-based workloads.

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A newly discovered vulnerability could affect most open-source major Linux distributions released since 2017, according to security researchers. 

The flaw, titled “Copy Fail,” caught the attention of the US Cybersecurity and Infrastructure Agency (CISA), who added it to the Known Exploited Vulnerabilities (KEV) catalog on Saturday, warning it poses “significant risks to the federal enterprise.”

“10 lines of Python” may be all it takes: Researcher

The vulnerability can allow attackers to gain root access across a wide range of Linux systems using a 732-byte Python script, though it requires prior code execution on the system to escalate privileges.

Researcher Miguel Angel Duran said that it only requires “10 lines of Python” to access root permissions on any affected system.

“This Linux vulnerability is insane,” Duran said.

Linux is a widely used operating system by cryptocurrency exchanges, blockchain nodes and custodial services, due to its security and efficiency, meaning the vulnerability could potentially pose risks to the sector if attackers gain initial access.

Exploit was initially reported in March

Xint Code said in an X post on Saturday that the flaw “is a trivially exploitable logic bug in Linux, reachable on all major distros released in the last 9 years.”

“A small, portable python script gets root on all platforms,” Xint Code said. 

Cybersecurity firm Theori CEO Brian Pak said in an X post on Saturday that he reported the vulnerability “privately” to the Linux kernel security team on March 23. 

“We worked with them on patches, which landed in mainline on April 1. CVE assigned April 22. We disclosed publicly on April 29 with a full write-up and PoC,” Pak said. 

 

Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently.

Security researchers have highlighted a Linux vulnerability nicknamed Copy Fail that could impact a broad swath of open-source distributions released since 2017. The flaw has drawn the attention of U.S. authorities and was added to the Cybersecurity and Infrastructure Security Agency’s Known Exploited Vulnerabilities (KEV) catalog, signaling heightened risk to federal and enterprise systems, including cryptocurrency exchanges, node operators, and custodians that rely on Linux for reliability and performance.

At the heart of Copy Fail is a privilege-escalation flaw that, under the right conditions, can grant an attacker root access using a compact Python payload. Researchers emphasize that the exploit requires prior code execution on the target system, but what follows can be executed with astonishing brevity. “10 lines of Python may be all it takes to access root permissions on any affected system,” said one researcher, underscoring how a small foothold can escalate into full control.

Key takeaways

• Copy Fail enables root access via a short Python payload (reported as a 732-byte script) on Linux systems, provided the attacker already has code execution on the machine.
• The vulnerability potentially affects most major Linux distributions released over the past nine years, highlighting a broad attack surface for crypto infrastructure.
• CISA added Copy Fail to the Known Exploited Vulnerabilities catalog on May 1, 2026, marking the issue as a high-priority risk for federal and enterprise environments.
• Patch activity followed a rapid disclosure timeline: the vulnerability was privately reported on March 23, patches landed in mainline on April 1, CVE was assigned on April 22, and public disclosure with a proof-of-concept occurred on April 29.
• Industry observers warn that crypto exchanges, blockchain nodes, and custodial services—widely deployed on Linux—could face heightened risk if systems remain unpatched.

Exploitation mechanics and potential impact

The essence of Copy Fail lies in an error that can be exploited by a small, portable Python script to escalate privileges to root. While the prerequisite is initial code execution on the target host, the subsequent steps could be completed with minimal complexity, allowing an attacker to take full control of the machine. The prospect of such a compact, platform-agnostic payload has drawn particular attention from security researchers and operators of crypto infrastructure, where Linux is a common backbone for exchanges, validators, and custodial services.

As researchers have noted, the vulnerability’s discovery underscores how even widely used and well-audited systems can harbor exploit paths that emerge from seemingly small logic bugs. The fact that the attack can be so succinct—“10 lines of Python” in the words of one observer—amplifies the need for rigorous defense-in-depth, prompt patching, and routine credential hygiene across operations that interact with crypto networks.

Timeline of disclosure and patching

Details surrounding Copy Fail trace a fairly tight window of disclosure and remediation. A security firm and researchers privately reported the issue to the Linux kernel security team on March 23. In response, developers worked on patches that landed in the Linux mainline on April 1. The vulnerability was assigned a CVE on April 22, and a public write-up with a Proof of Concept (PoC) followed on April 29. The sequence of private disclosure, rapid patching, and public documentation reflects a concerted effort among kernel maintainers, researchers, and affected vendors to curb risk quickly.

Public commentary from researchers involved in the disclosure has highlighted the rapid collaboration between the security community and kernel developers as a model for handling high-severity issues. The early patching and subsequent CVE assignment helped standardize response workflows for organizations that rely on Linux in security-sensitive environments, including crypto-asset platforms and nodes that require minimal downtime and robust access controls.

Implications for crypto infrastructure

Linux remains a foundational element for crypto operations—from exchange platforms to validator nodes and custody services—primarily because of its security track record and performance characteristics. Copy Fail adds a realistic reminder that even mature ecosystems can harbor exploitable gaps that threaten the integrity of digital asset ecosystems if left unpatched.

Industry observers urge operators to treat the KEV listing as a high-priority signal and to accelerate remediation cycles where necessary. In practice, that means applying the Linux security patches promptly, validating configurations to minimize exposure, and ensuring that systems with privileged access are protected by strong authentication and least-privilege policies. The convergence of Kubernetes-orchestrated workloads, cloud-native deployments, and edge nodes in crypto networks makes a consistent, organization-wide patching strategy more critical than ever.

For investors and builders, Copy Fail reinforces a broader narrative: operational security and software supply-chain hygiene are as important as creative product design in sustaining long-term adoption. While crypto resilience depends on robust protocol innovations and liquidity dynamics, it increasingly hinges on the reliability of infrastructure underpinning trading, staking, and custody.

What remains uncertain is how quickly all affected distributions will complete universal patch deployment and how quickly threat actors will adapt to new mitigations. As the Linux ecosystem evolves in response to Copy Fail, observers will be watching whether crypto platforms accelerate modernization efforts, adopt more aggressive containment measures, and invest in proactive vulnerability management to prevent similar exposures in the future.

Readers should stay tuned for updates on patch adoption rates across major distributions and any follow-up analyses from researchers detailing real-world exploitation attempts or improved mitigations.

TLDR:

• The CLARITY Act classifies Bitcoin as a digital commodity, potentially ending years of Howey test uncertainty in the U.S.
  
• Senate disputes over stablecoin yields and DeFi liability continue to delay a landmark decision for the crypto industry.
  
• Coinbase Premium Index has stayed negative throughout 2025, revealing weak U.S. spot demand behind recent Bitcoin price rebounds.
  
• Improved custody rules under the CLARITY Act could remove institutional balance sheet barriers and shift Bitcoin toward anchored demand.

---

Regulatory fog has long shadowed Bitcoin’s path toward mainstream institutional adoption in the U.S. The Digital Asset Market Clarity Act of 2025 now stands at the center of that debate.

It passed the House and awaits a Senate decision that could reshape crypto oversight. The bill proposes designating Bitcoin and Ethereum as digital commodities under CFTC jurisdiction.

That single classification could remove the Howey test uncertainty that has constrained the market for years.

A Fork in the Road: Senate Battles Threaten to Extend the Fog

The CLARITY Act cleared the House, but the Senate remains a different challenge altogether. Disputes over stablecoin yield restrictions have created friction between lawmakers and the crypto industry.

DeFi developer liability has added another layer of disagreement that is difficult to resolve quickly. Together, these conflicts reflect a broader structural clash between legacy finance and digital asset markets.

Jurisdictional lines between the SEC and CFTC have not been firmly drawn yet. Both agencies continue negotiating the boundaries of their respective authority over digital assets.

That ongoing back-and-forth has delayed resolution for exchanges and institutional firms awaiting clear guidance. Until those lines are set, operational decisions remain constrained by uncertainty.

Compliance costs for brokers and exchanges are expected to rise once the bill takes effect. Firms will need to restructure operations to meet stricter regulatory standards.

In the short term, that creates financial pressure across the industry. Over time, however, clearer rules tend to attract the institutional capital that spot markets currently lack.

Bitcoin’s Inflection Point: Liquidity Returns, But Confidence Has Not

Coinbase Premium Index readings have remained persistently negative throughout 2025. That data points to weak U.S. spot demand even as prices have bounced from recent lows.

Source: Cryptoquant

Current rallies appear to be futures-driven rather than anchored in genuine spot accumulation. That distinction matters because futures activity does not reflect sustained institutional conviction.

This pattern directly explains why Bitcoin’s price action has remained range-bound and unstable. Market participants are watching closely, but they are not moving capital into spot positions at scale.

The regulatory fog is keeping larger players on the sidelines, waiting for structural certainty before committing. That hesitation has capped upside even during periods of improved global liquidity.

The CLARITY Act could serve as the turning point that shifts Bitcoin’s demand structure. Improved custody rules may lift balance sheet restrictions that currently prevent institutional spot participation.

As those barriers fall, the market could transition from speculative to structurally supported demand. That shift would mark Bitcoin’s true inflection point — not a price milestone, but a change in who is buying and why.

TLDR:

• Crypto card spending volume has surged 500% since September 2024, now reaching approximately $600M per month.
  
• TRON serves as the backend settlement layer for Visa-linked stablecoin cards due to its low cost and high throughput.
  
• Merchants receive fiat-equivalent value instantly while users pay in stablecoins, bridging crypto and traditional commerce.
  
• Sustained monthly growth signals a behavioral shift as consumers increasingly use crypto cards for everyday purchases.

---

Crypto card usage is accelerating sharply into 2026, with monthly spending volumes now approaching $600 million.

Since September 2024, transaction volume has climbed by 500%, reflecting a measurable shift in how consumers use digital assets daily. This growth is not driven by speculation.

Instead, it traces back to real merchant payments and everyday consumer transactions settling through Visa-linked stablecoin cards across global commerce.

TRON Emerges as a Core Settlement Layer for Consumer Payments

Visa-linked crypto cards are changing how stablecoin transactions move between consumers and merchants. Users pay with stablecoins such as USDT, and merchants receive the fiat-equivalent value almost instantly.

The backend settlement happens on TRON’s network, which handles high transaction throughput at low cost. This setup removes friction from crypto-to-fiat conversion at the point of sale.

TRON’s infrastructure is proving reliable enough to support this growing payment volume consistently. Its transaction speed and cost structure align well with what consumer-to-business, or C2B, payments demand at scale.

As Yaba (@yabarich) noted on X, “TRON provides high throughput, low transaction cost, and reliable settlement infrastructure,” making seamless crypto payments in everyday commerce possible.

The network’s role goes beyond processing speed. TRON already holds a strong position in stablecoin circulation, making it a natural fit for card-based payment flows.

As more consumers adopt crypto cards, the volume moving through TRON’s rails continues to grow steadily. This positions the chain at a functional intersection between decentralized finance and traditional payment networks.

What this reflects is a broader structural change in crypto utility. Digital assets are transitioning from being primarily held as stores of value toward active use as a medium of exchange. That shift is now showing up in monthly transaction data, not just in market commentary or forecasts.

Expanding Merchant Acceptance Drives Mainstream Payment Adoption

Growing merchant acceptance is one factor sustaining the 500% rise in crypto card spending volume. As more businesses accept stablecoin-settled payments, consumer confidence in using crypto cards for daily purchases also increases.

The two trends reinforce each other over time. This cycle is expanding the practical reach of crypto beyond exchanges and wallets.

The infrastructure alignment between stablecoin networks and global card payment systems is also supporting this momentum.

Visa’s involvement provides the connectivity layer that bridges crypto settlement with traditional point-of-sale systems.

This reduces the complexity for both merchants and cardholders. The result is a payment experience that functions similarly to conventional card transactions.

The data from the past 18 months shows that this is not a temporary spike. Sustained volume growth across consecutive months points to changing consumer behavior rather than short-term activity.

Users are returning repeatedly to crypto cards as a primary payment method. That behavioral pattern carries more weight than any single month’s figures.

As DeFi, payments, and real-world usage converge, the chains enabling that movement stand to gain lasting relevance.

TRON’s current positioning within stablecoin payments and card settlement infrastructure places it directly in that path. The next phase of crypto adoption may well be measured by where people spend, not just what they hold.

TLDR:

• 81,747 job cuts in Q1 2026 mark the highest quarterly total since Q1 2024
• March alone records 45,800 cuts, signaling accelerated workforce reduction across global tech companies
• Tech layoffs AI trend reflects shift from payroll spending toward AI chips, data centers, and infrastructure
• AI-linked restructuring rises as Meta and Microsoft adjust workforce to fund large-scale compute expansion

---

According to data in Q1 2026 alone, tech companies recorded 81,747 layoffs, the highest quarterly total since Q1 2024.

The figure more than doubled from the previous quarter, with March contributing 45,800 cuts as firms shifted budgets from payroll to AI infrastructure and data centers.

Big tech cuts accelerate as AI capital spending dominates strategy

Q1 2026 job cuts mark the highest quarterly reduction level recorded since early 2024, clearly signaling a rapid shift in workforce strategy.

The scale of cuts more than doubled compared to the previous quarter. It also surged significantly from late 2025 levels, reflecting coordinated restructuring across major technology players.

March alone accounted for 45,800 layoffs, making it the most aggressive month in over two years. The timing suggests synchronized decision-making across multiple corporate boards.

Meta emerged as a key driver of the adjustment cycle. The company confirmed roughly 8,000 job cuts while expanding its artificial intelligence investment strategy.

Its 2026 capital expenditure is projected between $125 billion and $145 billion. That figure nearly doubles prior-year spending and signals aggressive infrastructure expansion.

Alongside layoffs, Meta also canceled 6,000 open roles. This move indicates a long-term reset in hiring strategy rather than temporary cost control.

A market note circulating during the quarter stated: “Tech layoffs and AI reflects payroll conversion into AI infrastructure across global tech giants.”

Workforce restructuring signals a deep shift toward AI-driven operations

Tech layoffs and AI trends are increasingly tied to structural changes in how companies allocate capital. Payroll budgets are being redirected toward chips, servers, and data centers.

Microsoft followed a similar path with voluntary retirement offers impacting 8,750 employees. The program covers roughly 7% of its U.S. workforce base.

Company statements suggest that if participation falls short, additional layoffs could follow. This maintains flexibility while ensuring cost alignment with AI spending goals.

Across the sector, Tech layoffs and AI activity have been linked to 27,600 job cuts in 2026 alone. That represents about 13% of total layoffs reported so far this year.

This compares sharply with 2025, when AI-related cuts accounted for only about 5% of total reductions. The acceleration highlights growing automation influence.

Another industry update noted: “Tech layoffs AI shows firms shifting from human scale to compute scale as core growth model evolves.”

Nearly 96,000 workers have been impacted across 249 layoff events in 2026. The pace places the year close to prior major contraction cycles.

Unlike earlier downturns, current reductions appear structurally driven. Companies are reorganizing around AI infrastructure rather than responding to short-term demand shifts.

TLDR:

• Privacy tokens posted strong Q1 2026 gains as Horizen completed its Base L2 migration and relaunched ZEN staking.
• Decred’s treasury governance proposal triggered a 75% weekly price surge, pushing DCR to $29 in Q1.
• Pirate Chain surged 168% in seven days following Orchard protocol progress and AnonBazaar integration plans.
• Dash launched its Evolution upgrade in Q1, adding smart contracts and IBC protocol to its payment network.

---

Privacy tokens recorded notable progress in the first quarter of 2026, with projects across the sector completing major upgrades.

From network migrations to governance overhauls, several tokens delivered on long-standing roadmap commitments.

The quarter also saw sharp price movements tied to specific developments. Taken together, the results paint a picture of a sector moving from planning to execution across multiple fronts.

Network Upgrades and Protocol Advancements Drive Sector Activity

Horizen ($ZEN) completed its migration to Base, Ethereum’s Layer 2 network, during Q1. The move gave users access to lower transaction fees and broader DeFi opportunities.

The project also relaunched ZEN staking and activated its first Confidential Compute Environment for private on-chain application execution.

Zcash ($ZEC) pushed ahead with its “Tachyon” upgrade, targeting sub-second private transactions on mobile. The Zcash Foundation also published its 2026 strategy, and a $25 million ZODL raise brought in institutional interest. Meanwhile, work on retiring legacy consensus software continued as part of the broader 2026 roadmap.

Monero ($XMR) advanced development of FCMP++, a cryptographic upgrade replacing ring signatures. The change expands the anonymity set from 16 decoys to nearly the full blockchain. This is among the most technically ambitious privacy changes proposed in the sector this cycle.

Dash ($DASH) launched its “Evolution” platform upgrade, introducing a Smart Contracts Virtual Machine and the Inter-Blockchain Communication Protocol. The rollout extended Dash beyond payments into a full smart contract layer while retaining speed and privacy features.

Governance Outcomes and Market Reactions Reflect Growing Community Confidence

Decred ($DCR) passed a governance proposal in Q1 that restructured treasury management and raised spending to 4% for long-term growth.

The announcement triggered a 75% weekly price surge, pushing DCR to $29. A mandatory v2.1.4 release with security patches followed shortly after.

Pirate Chain ($ARRR) made progress on its Orchard protocol upgrade and continued development of a Unified Light Wallet.

The project also launched a fundraiser to integrate with the AnonBazaar private marketplace. Its token rose 168% over a single seven-day period during the quarter.

Secret Network ($SCRT) released a 2026 roadmap covering privacy upgrades and AI workload support. It began work on SGX decoupling to reduce hardware dependencies and partnered with AntSeedAI to offer secure, open AI inference through its network.

Dusk Network ($DUSK) executed a mainnet upgrade that improved transaction speeds and throughput for high-frequency institutional trading.

It also reported over €300 million in assets moving through its NPEX partnership, reinforcing its position in Europe’s real-world asset market.

TLDR:

• Sui object-based model allows transactions to run in parallel, removing the sequential bottleneck seen on Ethereum and Solana.
  
• Move, Sui’s native programming language, reduces smart contract vulnerabilities and offers a more secure environment for financial applications.
  
• Sui’s quantum-safe cryptographic architecture positions it ahead of older blockchains that would require significant updates to remain secure.
  
• The Hashi protocol allows Bitcoin holders to access Sui’s DeFi ecosystem without wrapping Bitcoin, reducing structural risk for conservative investors.

---

Sui blockchain is drawing renewed attention from developers and institutional players for its architecture, which rethinks how transactions are processed and secured.

Unlike conventional chains, Sui treats digital assets as independent objects rather than shared states, enabling parallel processing and faster finality.

As cryptographic threats evolve and AI reshapes data exposure risks, Sui’s technical foundation is being positioned as infrastructure for the cycles ahead.

Sui’s Object-Based Architecture Changes Transaction Processing

On networks like Ethereum and Solana, every transaction accesses a shared state, forcing sequential processing. Sui’s design removes that bottleneck entirely.

Kostas, co-founder and chief cryptographer of Mysten Labs, described the core shift plainly: “Sui turns assets into independent objects so transactions run in parallel with fast finality.”

This parallel processing model directly benefits decentralized finance. Larger and more complex transactions become feasible without congestion.

Combined with fast finality, Sui offers an execution environment suited for the performance demands of institutional-grade DeFi activity.

Sui also integrates native support for multi-signature wallets, zero-knowledge proofs, and large transaction sizes at the protocol level.

These features are not add-ons but are built into the chain’s core. This native support strengthens Sui’s case as a platform ready for privacy-focused and high-volume financial use.

The Move programming language, purpose-built for Sui, adds another layer of security. Its design reduces common smart contract vulnerabilities.

For developers building financial applications where security failure is costly, Move provides a more controlled and verifiable coding environment.

Quantum Safety, Privacy, and the Road to Institutional Adoption

Kostas highlighted Sui’s quantum-safe cryptographic architecture as a distinguishing feature. Post-quantum computing poses a real threat to older blockchain designs.

He pointed directly to the stakes: “quantum-safe cryptography would protect Satoshi’s addresses, unlike Bitcoin.” Sui has built flexibility for that transition into its protocol, positioning the chain ahead of networks that would need significant retrofitting.

Privacy is another area gaining urgency. As AI systems grow more capable of processing exposed data, the need for verifiable and private transactions increases.

Sui’s native zero-knowledge proof support provides the technical groundwork for private transaction systems that can scale. This matters both for individual users and for institutions managing sensitive financial data.

On the user experience front, Sui supports social logins through Google and Facebook, allowing new users to onboard without managing seed phrases.

This approach lowers the entry barrier for mainstream adoption considerably. It also signals that the platform is targeting a broader user base beyond existing crypto participants.

Kostas also pointed to the Hashi protocol as a path for Bitcoin holders to access Sui’s DeFi ecosystem without wrapping Bitcoin.

This preserves asset integrity while expanding utility. For conservative investors, it offers exposure to DeFi yields with reduced structural risk.

Payward, the parent company of Kraken, has completed its acquisition of Bitnomial, unlocking a fully CFTC-regulated derivatives stack in the United States. The deal gives Payward a complete onshore infrastructure for crypto derivatives, anchored by Bitnomial’s licenses for exchange, clearing, and brokerage services.

With the closing, Payward now controls a Futures Commission Merchant, a Designated Contract Market, and a Derivatives Clearing Organization. The plan is to leverage this stack to roll out CFTC-regulated products across Kraken and NinjaTrader, beginning with spot margin trading and followed by perpetual futures and options offerings.

Bitnomial will operate under its existing regulatory framework, but the acquisition enables Payward to connect fintechs, banks, and brokerages to US-regulated derivatives through its platform. The definitive agreement to acquire Bitnomial was announced on April 17, positioning Bitnomial as the first crypto-native company in the US to hold licenses across exchange, clearing, and brokerage functions under the CFTC.

Key takeaways

• Payward now holds a full US derivatives stack via Bitnomial—FCM, DCM, and DCO—paving the way for regulated crypto derivatives on Kraken and NinjaTrader.
• Initial product focus will be on spot margin, with perpetual futures and options expected to follow as the regulated framework expands.
• Bitnomial will continue operating within its regulatory structure, enabling partners such as fintechs, banks, and brokerages to access US-regulated derivatives through Payward’s platform.
• The move occurs amid growing momentum to bring crypto derivatives onshore in the US, where regulators have signaled an interest in aligning frameworks for perpetual futures and other products.
• Industry-wide developments include CME Group’s planned AVAX and SUI futures and broader push toward 24/7 crypto derivatives trading in the US, subject to regulatory approvals.

Regulatory momentum and US market dynamics

The acquisition lands Payward at a notable inflection point in US crypto regulation. Crypto derivatives—from futures to options—have long accounted for a substantial share of trading volumes, yet a sizable portion of activity has migrated to offshore venues. In a joint statement issued in September 2025, the Securities and Exchange Commission and the CFTC acknowledged that regulatory fragmentation has driven offshore activity and limited the US menu of perpetual futures. The agencies signaled an intent to explore onshore pathways using existing authorities, including potential perpetual futures frameworks and greater cross-market alignment.

Against this backdrop, US exchanges have begun expanding their derivatives offerings. CME Group, the country’s largest derivatives venue, signaled a stepped-up push into crypto futures, detailing plans to list contracts tied to assets such as Avalanche (AVAX) and Sui (SUI) after previously announcing products for Cardano (ADA), Chainlink (LINK), and Stellar (XLM). CME has also flagged a move toward 24/7 trading for crypto futures and options, contingent on regulatory approval.

These developments sit alongside broader offshore expansions aimed at non-US clients. For instance, Kraken rolled out tokenized equity perpetual futures for non-US traders in February, delivering 24/7 leveraged exposure to asset baskets that include US stock indices, gold, and equities. In Europe, Coinbase extended its derivatives footprint with new crypto and equity-index futures across 26 countries through its MiFID-regulated entity, while other venues such as One Trading, Gemini, and Backpack have launched regulated perpetual contracts for European traders.

Taken together, the regulatory conversation in the US and the competitive expansion abroad point to a converging dynamic: more crypto institutions seeking regulated onshore access while offshore venues continue to broaden their global reach. The Bitnomial acquisition fits within this broader trajectory, offering a regulated runway for traditional finance players and crypto-native firms to participate in US derivatives markets through Payward’s infrastructure.

What this means for traders and the ecosystem

For investors and institutions, a fully licensed US derivatives stack under one umbrella could lower barriers to risk management and custody of regulated crypto products. Connecting Kraken and NinjaTrader to a compliant framework could accelerate the availability of risk controls, clearing, and settlement under a familiar regulatory regime. It also positions Payward to partner with banks, brokerages, and fintechs seeking regulated access to crypto derivatives without navigating a mosaic of licenses and compliance regimes.

From a market structure perspective, the move reinforces the push toward standardization and oversight in a space that has historically been fragmented across jurisdictions. Regulators’ emphasis on onshore frameworks and cross-market alignment will continue to shape product design, trading hours, and margin treatment as new offerings roll out. Investors should watch how quickly spot-margin products launch, how perpetuals and options are structured, and how risk controls and capital requirements evolve under the Bitnomial-driven regime.

On the competitive front, the US landscape remains a mix of regulated incumbents and ambitious entrants. CME’s roadmap highlights one path for more formalized, institution-friendly crypto derivatives, while Payward’s Bitnomial-backed stack signals a credible onshore alternative rooted in crypto-native licensing. The next chapters will likely reveal timelines for product launches, regulatory approvals, and the degree to which these platforms harmonize with international offerings.

For readers tracking adoption, the key question is how quickly regulated products gain traction among traders who previously relied on offshore venues. If Payward can accelerate product readiness and maintain robust compliance, the combined Kraken/NinjaTrader pipeline could become a meaningful onramp for institutions seeking regulated exposure to crypto derivatives in the United States.

As the regulatory narrative evolves and product roadmaps unfold, market participants should monitor upcoming milestones: the integration timeline for Bitnomial’s licenses, the launch cadence for spot-margin and subsequent derivatives, and the regulatory decisions that will determine 24/7 trading feasibility and the scope of onshore perpetual futures in the near term.

In the meantime, the industry can expect continued emphasis on compliance-driven growth as more players push to normalize crypto derivatives within a US framework that regulators are actively refining. The Bitnomial acquisition marks a concrete step in that direction, with implications for traders, institutions, and the broader crypto economy.