Crypto World
Disgraced FTX claims broker is now soliciting Coldcard victims
Thousands of victims of the Coldcard bitcoin wallet hack have been approached to join a legal action against the device’s maker by an FTX claims broker who reportedly stole $1.9 million from another corporate receivership.
According to Galaxy Research, 1,596 BTC has been stolen from roughly 7,300 Coldcard addresses since July 30. That confirmed haul already exceeds $100 million, and a suspected fourth wave of hacks could push it past $130 million.
Thomas Braziel, who now runs distressed claims company 117 Partners, posted an appeal to Coldcard victims on social media which read, “If you were affected by the COLDCARD firmware vulnerability and lost bitcoin, please DM me.”
Two days later, he published a legal update, talking up plans for a legal action with 10-30 claimants. He also steered victims into a Telegram channel to keep communications private.
Read more: 15 attackers now draining vulnerable Coldcard wallets, report
No knight in shining armor for Coldcard victims
In 2016, the Delaware Court of Chancery appointed Braziel receiver of Fund.com after the court had entered a default judgment against that company.
The order tasked Braziel with liquidating Fund.com and distributing proceeds to its investors — a process that would take several years.
By 2024, however, the court determined that “Braziel manufactured alternative versions of the account statements” of Fund.com and “created falsified versions of the company’s bank records.”
The court also concluded that its special magistrate’s report “appropriately compared Braziel’s conduct to the elements of criminal offenses for the purpose of measuring whether Braziel’s actions were sufficiently egregious.”
In that memorandum opinion, a vice chancellor (the name for judges in this Delaware court) removed Braziel as a corporate receiver and ordered him to repay $1,945,063.
Braziel’s own lawyers told the court, “By and large, Braziel accepts the report’s extensive factual and legal findings. He further acknowledges and agrees to reimburse the company for the expense of the special [magistrate’s] investigation.”
Braziel asserted his Fifth Amendment privilege more than 500 times in deposition, though Vice Chancellor J. Travis Laster was careful to add, “Nor has the court purported to convict the receiver of any crimes.”
No prosecutor or securities regulator charged him with any crime, and Braziel paid his restitution.
There are many other lawyers and bankruptcy professionals trying to solicit Coldcard victims. Protos has already warned victims about unsolicited legal outreach.
Coldcard manufacturer Coinkite is a bootstrapped Toronto company and its terms of sale for hardware wallets route disputes into arbitration under Ontario’s Arbitration Act of 1991 — a structural problem for proposed lawsuits.
Attorney Ariel Givner observed on August 2 that those terms “heavily disclaim warranties, limit liability to the device purchase price, and exclude consequential damages” for victims of Coldcard hackers.
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Michigan State Representative Donavan McKinney won a Democratic primary against incumbent House Representative Shri Thanedar in a race that raised accusations of payback by the cryptocurrency industry.
McKinney won the primary for Michigan’s 13th Congressional District with 51.9% of the vote against Thanedar’s 48.1% as of Wednesday, the New York Times reported. The primary saw a cryptocurrency-backed political action committee (PAC) spending more than $2 million on media in an attempt to re-elect Thanedar, who has voted in favor of many bills favoring the industry while in Congress.
Election results for Democratic primary in Michigan’s 13th congressional district. Source: The New York Times
McKinney, considered by many to be a progressive challenger to two-term Thanedar, has already received support from the Democratic National Committee and the Democratic Socialists of America on his primary victory. During the campaign, he accused the crypto industry of “paying my opponent back for helping Trump make over $1 billion since taking office,” likely referring to Thanedar’s voting record.
Protect Progress, the super PAC responsible for funding the ads supporting Thanedar and opposing McKinney, is affiliated with Fairshake, a group backed primarily by crypto companies Coinbase and Ripple. After spending more than $170 million in the 2024 US election cycle on similar races involving pro- and anti-crypto candidates, Fairshake and its affiliates have poured additional millions of dollars into media for politicians in this year’s primaries in several US states ahead of the November general election.
Related: Nigel Farage to resign from UK Parliament amid crypto “gift” scandal, will stand in by-election
In addition to voting for bills like the GENIUS Act and CLARITY Act in the House of Representatives, Thanedar also reportedly lost more than $600,000 in the second quarter of 2026 after investing $3.7 million of campaign funds into crypto companies.
”Washington has spent too long serving billionaires and corporate interests,” said McKinney in a Wednesday X post. ”I will always only serve the people I represent.”
McKinney will face off against Republican candidate Taras Nykoriak in the November election. Cointelegraph sought a comment from McKinney’s campaign on Wednesday but did not receive an immediate response.
PAC-supported candidate wins Washington primary
In addition to Protect Progress’ efforts in Michigan, the Fairshake affiliate Defend American Jobs spent more than $65,000 on media to support Republican Amanda McKinney (no relation to the Michigan candidate) in Washington’s 4th congressional district. McKinney will face off against Democrat John Duresky in November, with both candidates securing more than 30% of the vote in Tuesday’s primary to advance to the general election.
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- World Chain launches streamed EIP-7928 on mainnet Aug. 17.
- New feature enables parallel block verification for validators.
- Upgrade targets higher throughput without more hardware.
World Chain said it will become the first production layer-2 blockchain to deploy streamed EIP-7928 block access lists, introducing the feature on its mainnet from Aug. 17 in a move aimed at improving transaction throughput without increasing validator hardware requirements.
The network said it will stream full block access lists inside every flashblock, allowing validators to begin verifying transactions while blocks are still being assembled.
The implementation is designed to address one of the blockchain industry’s key scaling challenges—boosting transaction capacity without compromising decentralization by forcing validators to use increasingly powerful hardware.
According to the company, the rollout marks the first production implementation of streamed EIP-7928 block access lists and contributes to Ethereum’s broader scaling roadmap.
Parallel verification targets higher throughput
On most blockchain networks, validators verify blocks by re-executing every transaction sequentially before confirming a block’s validity.
World Chain said full block access lists change that process by recording the blockchain state that each transaction reads and writes, enabling independent transactions to be verified simultaneously across multiple CPU cores.
The company said its implementation extends the EIP-7928 specification by streaming access list data every 200 milliseconds through its flashblock architecture.
Instead of waiting for an entire block to be completed, validators can begin verifying transactions immediately as the block is built.
World Chain said this approach reduces validation latency while distributing verification work throughout the block-building process.
The network said the technology allows it to target throughput of up to one gigagas per second while keeping validator hardware requirements effectively unchanged.
Deployment avoids hard fork requirement
Unlike Ethereum’s planned implementation of EIP-7928, which is expected to arrive as part of the future Glamsterdam upgrade, World Chain said it is deploying the feature through a runtime flag rather than a hard fork.
This approach allows client operators to upgrade software ahead of the Aug. 17 mainnet rollout without requiring a coordinated network-wide upgrade.
The company said internal benchmarking on World Chain test networks showed validation latency remained effectively stable even as throughput increased substantially, reaching up to one gigagas per second using standard cloud infrastructure.
According to the results, higher transaction throughput can be achieved without a corresponding increase in the computing resources required for independent chain verification.
Focus on scalability and decentralization
World Chain said the rollout is intended to demonstrate a practical approach to improving blockchain scalability while preserving accessibility for independent validators, which it described as an important requirement for maintaining decentralized networks.
The layer-2 network is built using the OP Stack, secured by Ethereum, and forms part of the Superchain ecosystem.
It is integrated with the World protocol and is designed to support applications including stablecoin payments, international remittances, commerce and other real-world use cases.
The network also incorporates World ID’s proof-of-human technology and can be accessed through compatible wallets, including World App.
Given El-Sayed’s narrow win, that push looks even more impactful, allowing the country’s largest Muslim civil rights groups to more firmly showcase its power in Michigan, as it finds itself targeted on multiple fronts in some red states.
LOSERS: Establishment Democrats
Stevens was the undisputed choice of the Democratic Establishment. She was a swing state Democrat who previously won on the same ballot as Trump. She had been through the vetting, could raise money, and seemed a practical choice to hold the seat of retiring Democratic Sen. Gary Peters.
But Washington insiders’ efforts to help Stevens actually worked against her in a year when Democratic voters were more aligned with El-Sayed’s contempt for the Establishment. That anger found a vessel in El-Sayed and a target in Stevens. Even though Democratic leaders didn’t get their way, that doesn’t mean they’re giving up on Michigan. Quickly after El-Sayed’s primary victory became clear, Senate Minority Leader Chuck Schumer and Sen. Kirsten Gillibrand, the Democratic Senatorial Campaign Committee Chair, released a statement of support. “We look forward to working with Abdul and Democrats across Michigan to win this seat in November,” they said.
As AI becomes more prevalent in our personal and professional lives, the more we’ll need a way to stand out. In fact, skills like empathy, influence, and the ability to read the room—things AI cannot yet do with accuracy and facility—are already becoming more valuable.
We are facing an insidious threat to our interpersonal skills, driven not just by AI’s growing capabilities, but by our own diminishing opportunities to actually practice communicating. The expansion of our digital lives has already caused a roughly 28% drop in the words we speak daily between 2005 and 2019, and leaning on AI shrinks those vital practice moments even further. Ultimately, when we offload too much to AI, we aren’t just taking a convenient shortcut; we are actively causing our fundamental capabilities to atrophy and increasing our communication anxiety because we know that if we are challenged, we might not have the depth of knowledge to respond.
With algorithms drafting our emails and smoothing out our speech, the baseline for communication has never been more flawless—or flat and disconnected. Because so many people are hiding behind this generated perfection, we gain a massive competitive edge when we do the exact opposite.
Communicating authentically, revealing our humanness, increases our value by serving as a real-time signal of trust and genuine effort. Because anyone can now generate flawlessly polished text, unscripted moments containing natural flaws and foibles demonstrate that we’re actually investing our own labor and personal touch into the exchange.
Striving for a hyper-polished veneer is no longer the winning strategy. Instead, the speakers who resonate most today are those who loosen up and embrace a more idiosyncratic, less perfect expressiveness. This means giving yourself grace when using “filler words” such as “uhm” and “like.” And it means emphasizing your unique perspective. To be sure, putting our unvarnished, authentic selves on display can feel intimidating, but audiences respond well to it, and this approach can allow for meaningful connection and influence.
I experienced this firsthand not long ago when I logged on to speak to 800 people at a live virtual event on best practices for classroom teaching of MBA students. I expected a standard Q&A, but upon arriving, I learned the organizers actually needed me to present solo for 30 minutes. Drawing on my knowledge of the material, I spoke completely impromptu. Did I occasionally veer into a non-sequitur or mangle a sentence? Yes. But the aftermath was a flood of emails from attendees praising the session. They were refreshed to have a speaker who wasn’t reciting a script or hiding behind slides. They appreciated my being me while communicating.
I wasn’t simply winging it, however. I was deliberately letting the audience see more of who I really was.
As humans evolve for the AI era, I created the TRUST framework to help my students at Stanford communicate effectively while embracing their authentic imperfections. Here is how you can use it to project your humanity and establish genuine connection.
Truthful foundation
AI struggles to convey authentic emotion and context, but you do it naturally. Ground your messages in your actual lived experiences, offering specific feelings and the emotions that accompany them. Speak your truth. If you are giving a toast at a wedding, don’t reach for generic platitudes; recount a hyper-specific memory chock-full of genuine emotion that only you would have noticed.
For instance, during a recent virtual presentation, I didn’t just share teaching theory; I admitted how I had struggled mightily to manage learners of different ability levels, sharing my own insecurity about boring expert students and how it led me to over-monitor their reactions.
Real-time processing
An AI engine delivers its final, polished output as a completed message. In order to communicate more authentically, you can verbalize what you are thinking in the moment, revealing your internal thought process, and proving to your audience that you are originating content on the spot. Using phrases like “My first inclination is…,” or “When I had a similar question prior,” brings listeners into the all-too-human workings of your mind.
When responding to a complex chat question regarding non-native speakers during my event, I simply paused and said, “Give me a moment to reflect on this important point.”
Utilize tailored, local evidence
While AI offers generic backing for its conclusions, you can offer the delightfully quirky. Use stories, data, or testimonials that speak exclusively to your unique background to support your logic. If you are pitching a new product, explain how the street signs in your rural Nebraska hometown inspired its visual design.
To illustrate the challenges of speaking a non-native language, I shared an embarrassing personal story about my own struggles teaching in Beijing.
Show your unique speaking style
For decades, communication coaches counseled clients to ruthlessly eliminate verbal tics and awkward pauses. In the age of AI, those exact imperfections add something vital: a sense of your humanness. You shouldn’t go overboard with “uhs” and “ums,” but you also shouldn’t strive to expunge them completely. My own tendency is to repeat phrases I have recently heard.
During my impromptu keynote, I found myself repeating “the reality is…” multiple times. Instead of freezing or over-correcting, I gave myself grace and let my unfiltered self come through.
Tip off the audience to your perspective
Information without a point of view is just data. When sharing an update, provide commentary through your unique thoughts and historical perspective. If you describe a new process you developed at work, cap it off with a genuine reflection like, “This was one of the most challenging, but fun solutions I’ve seen our team come up with.”
During my presentation, I shared that I love puzzles, and that I find the task of crafting unique activities for my students to be among the most fun puzzles to solve.
Throughout our education and experience, we have been conditioned to hide behind a veneer of perfection, but now that perfection is only a prompt away, people are incredibly ready to reward us when we let our authentic selves shine. In a landscape crowded with pixel-perfect output, projecting your humanity is the ultimate way to build trust, to connect, and ultimately to enhance your influence and impact.
A group of Ethereum contributors has proposed EIP-8361 as a way to reduce staking incentives to ensure that no more than 50% of the supply is locked up by validators.
That proposal has triggered a heated debate over whether Ethereum should prioritize lower issuance or maintain staking incentives for network participation and DeFi activity.
EIP-8361 Targets Rising Staking Levels
On August 4, Ethereum developer Jerome de Tychey announced the submission of EIP-8361, titled “Tapered Issuance Burn,” alongside contributors including Pintail, Dapplion, Pa7x1, Ladislaus0x, and Justin Drake.
In a series of posts on X, de Tychey argued that Ethereum’s current staking model has no point where incentives naturally slow down. He also noted that the staking ratio passed one-third of the ETH supply in April 2026 and continues to rise.
“The incentive to stake never switches off. Where does it stop? It doesn’t,” he wrote.
According to him, the current reward curve could lead to more than 70 million ETH being staked by January 2028, representing more than 55% of supply. He said the validator entry queue is already operating at maximum churn, adding around 1.75 million ETH per month under current conditions.
The proposal would change the situation by burning part of validator rewards as staking participation rises. The burn rate would gradually increase until it reaches 100% when around half of the ETH supply is staked. Under the proposal, staking yield would eventually fall to zero at a 50% staking ratio.
According to de Tychey, the goal is to eliminate the “artificial yield floor” and let the market decide on staking rewards depending on risk. In his view, staking that is too high may lead to security issues since it will push smaller validators out while concentrating ETH among large custodians and staking providers.
The proposal would not change validator duties or execution-layer income. De Tychey said the change requires only one new permanent constant and a consensus-layer adjustment, with Prysm already having a draft implementation of around 300 lines of code.
Community Reacts
The reaction from Ethereum users and builders has been divided. Lawyer Gabriel Shapiro criticized the proposal, calling it ‘a huge distraction” from efforts that could increase demand for ETH.
Aave founder Stani Kulechov stated that rather than decreasing staking rewards, Ethereum should concentrate on privacy, scaling, security, stablecoins, decentralized finance, and real-world assets. Ether.fi’s Mike Silagadze, on his part, opposed the proposal on the basis that lowering rewards could hurt solo stakers and reduce activity across DeFi applications that rely on staking-based strategies.
A CryptoQuant report from July pointed to record staking levels, with around 40 million ETH locked by validators. The firm noted that long-term holders were continuing to stake ETH even as market sentiment remained weak.
Supporters of EIP-8361 argue that reducing issuance could protect ETH holders from dilution and prevent liquid tokens from becoming the dominant form of ETH exposure. One of them, MilliΞ wrote that if everyone stakes, the effective yield approaches zero because everyone owns the same share of supply.
The post Ethereum Proposal Seeks to Cap ETH Staking at 50% of Supply appeared first on CryptoPotato.
Laser Digital, the digital assets arm of Japan’s Nomura Group, has taken a stake in ZIGChain’s ZIG token and agreed to structure and oversee risk on a pipeline of onchain private credit products built by ZIG Markets, the Layer 1’s product and access layer. The arrangement puts a Nomura subsidiary… Read the full story at The Defiant
Proof of Play, the studio behind the fully onchain game Pirate Nation, said on Tuesday that it is ceasing operations, telling players it "couldn't build a product and sustainable business that proved out this thesis at scale." The thesis, the studio said, was that "games using blockchain tech had… Read the full story at The Defiant
Crypto World
RippleX Is Bringing Back Two Features That Had Critical Security Flaws: Will Validators Trust Rewrite?
In the latest XRP news, RippleX expects to ship xrpld 3.3.0 the week of August 1, 2026, packaging five amendments for validator consideration, including rewritten versions of Batch and Permission Delegation, both of which were blocked before mainnet activation after security researchers discovered separate critical authorization flaws in their original implementations.
No funds were ever lost. The question now is whether the ecosystem extends enough trust for the rewrites to clear the 80% validator threshold.
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The original Batch amendment contained a signature-validation bug that allowed an attacker to execute inner transactions from arbitrary victim accounts without ever holding their private keys.
According to the official XRPL vulnerability disclosure, researcher Pranamya Keshkamat and Cantina AI’s autonomous audit tool Apex identified the flaw on February 19, 2026, while the amendment was still in its voting phase.
UNL validators were advised to vote against it the same evening; an emergency release, rippled 3.1.1, marked both Batch and the related fixBatchInnerSigs amendment as unsupported to prevent any activation path.
The root cause was a loop-exit error in the signer-validation logic: when the code encountered a new account whose signing key matched its own, it declared success and exited without checking the remaining signers, meaning a forged signer entry for any victim account would never be inspected.
The exploit path let an attacker drain a victim account down to its reserve through unauthorized Payment transactions. The replacement, BatchV1_1, redesigns that authorization logic and is now flagged in the 3.3 development registry as supported with a default No vote pending validator approval.
Permission Delegation exposed a different attack surface. A September 2025 disclosure documented how an invalid offline-signed transaction could still charge the delegated account a transaction fee before failing authorization, because the code checked permissions before verifying the signature, and tec-type errors carry a fee charge by design.
A malicious actor could repeatedly submit such transactions with elevated fees to silently bleed a victim account’s XRP balance. The fix reclassifies the relevant error from tec to ter and reorders checks so no fee can be deducted before signature verification.
The replacement, PermissionDelegationV1_1, carries the same default No designation in the 3.3.0 registry. This pattern of catching bugs before mainnet is consistent with the broader XRPL security maintenance cadence, which has seen multiple hotfix releases address protocol-level issues ahead of activation.
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Three New Amendments Target Institutional Tokenization
The remaining three amendments are new additions aimed at the institutional tokenization market. Confidential MPT uses elliptic-curve cryptography and zero-knowledge proofs for Multi-Purpose Token balances and transfer amounts, keeping them opaque on the public ledger while remaining auditable by designated entities, such as regulators.
It addresses the most consistent objection from financial institutions evaluating public blockchain infrastructure: that counterparty exposure is visible to everyone.
The feature targets tokenized government bonds, real estate, equities, and private credit, asset classes where confidentiality is a baseline operational requirement, not a preference. The broader XRPL push into this space is already underway, with active infrastructure development for capital markets tokenization on the XRP Ledger.
Sponsored Fees and Reserves allow a bank, issuer, or platform to cover transaction fees and reserve requirements on behalf of its users, removing the requirement for end users to hold XRP before transacting.
This substantially lowers onboarding friction for institutional deployments, though it also reopens the structural debate: if end-users no longer need XRP to interact with the ledger, demand dynamics shift toward institutional settlement volume rather than retail token utility. That outcome is neither confirmed nor refuted until the amendment activates and institutions actually deploy it.
Dynamic MPT closes the third gap, allowing token issuers to modify specified properties, fees, metadata, and predefined parameters after issuance without migrating to a new token entirely.
Jazzi Cooper, RippleX’s head of product, announced the five amendments on X, describing XRPL as having already demonstrated its capacity to support tokenized assets at scale and framing the new features as the infrastructure layer for global transfers, trading, collateralization, and settlement.
Cooper confirmed that all five require validator voting before activation.
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The post RippleX Is Bringing Back Two Features That Had Critical Security Flaws: Will Validators Trust Rewrite? appeared first on Cryptonews.
Crypto World
Wall Street Meets Web3: BlackRock, Visa, and Mastercard Back Circle’s New Arc Blockchain
USDC stablecoin issuer Circle has announced the founding validator cohort for Arc, its open blockchain network. It is currently in private mainnet with more than 100 ecosystem and institutional builders.
Circle said the network is on track for a public mainnet launch on September 16, 2026.
Behind Circle’s New Blockchain
According to the official post, the founding validator group includes BlackRock, The Depository Trust & Clearing Corporation (DTCC), Galaxy, Global Payments, ICE, Mastercard, MoneyGram, SBI Group, Standard Chartered, Sumitomo Corporation and Visa. Circle said the group represents a model in which institutions building on the network also help secure it.
The aim is to create a foundation of trusted and globally distributed operators that can support secure and scalable on-chain financial applications. BlackRock is also expected to deploy BUIDL, the BlackRock USD Institutional Digital Liquidity Fund, on Arc through the network’s native USDC integration.
The setup is intended to let institutional investors subscribe to, redeem, and deploy fund assets within one on-chain environment.
Circle is also working with DTCC to enable the tokenization of assets custodied by The Depository Trust Company on Arc beginning in the second half of 2027. The main objective is to let market participants use third-party applications on the blockchain for stablecoin-native settlement outside DTC against DTC-tokenized assets. DTCC said the integration supports its multi-chain strategy.
DTC-tokenized assets will continue to carry the same protections, rights, and safeguards available to investors holding assets traditionally.
Commenting on the latest development, Mastercard Chief Product Officer Jorn Lambert said,
“As stablecoins and other digital assets move into real-world payments, settlement, and treasury flows, Mastercard is focused on helping customers operate across an increasingly diverse payments ecosystem. Our participation as a founding validator on Arc reflects that commitment — supporting trusted, interoperable infrastructure that can help connect emerging blockchain networks with the broader financial systems businesses rely on every day.”
Arc Product Suite
Arc is also expected to have a range of applications and services available from day one. DeFi protocols and capital allocators including Aave, Aerodrome, FalconX, Galaxy, GSR, Keyrock, Morpho, Nonco, Uniswap and XFX will support borrowing, trading and on-chain capital deployment.
Meanwhile, payment providers Rain, Thunes and Wirex have been tasked with routing stablecoin payment and settlement flows. Binance Wallet, Chainlink, Fireblocks, Kraken, Ledger, MetaMask, Uniswap Labs and Upbit, on the other hand, will enable access to USDC on Arc, custody and cross-chain asset movement.
At launch, Circle plans to introduce a product suite around Arc, which includes tools for common on-chain workflows, AI-powered applications and smart contract development, tokenized real-world asset management and interfaces for developers, users and agents.
The post Wall Street Meets Web3: BlackRock, Visa, and Mastercard Back Circle’s New Arc Blockchain appeared first on CryptoPotato.
Crypto World
Yellow Card announces $40 million funding round to expand its stablecoin infrastructure
Maurice, a former Pokémon card seller, told CoinDesk in a 2024 podcast interview that he and Justin Poiroux, the firm’s chief technology officer, founded Yellow Card to take on big banks and Swift, the interbank service that processes over 53 million secure messaging instructions a day for nearly 11,500 financial institutions. Swift facilitates trillions of dollars in global bank transactions and said last month it was testing its first blockchain ledger.
Yellow Card, which focuses mostly on emerging markets, will use the new capital to expand Global USD Accounts, its dollar account product for businesses, and add stablecoin and local payment mechanisms in Latin America and Asia-Pacific.
The accounts allow businesses to hold dollars, hold and swap stablecoins, manage treasury operations and collect or disburse local currencies through domestic payment rails in more than 50 countries, Yellow Card said.
Maurice said the company’s flows have historically been split roughly evenly between corporates and large financial institutions using its treasury-management and payments infrastructure. Bank volumes are now growing faster as large institutions adopt the company’s system, he said.
Yellow Card kicked off its operations in Africa, said Maurice, where it built operations across fragmented country-by-country regulatory jurisdictions. The firm said that since its founding in 2016, it has facilitated more than $10 billion in transactions and holds licenses, authorizations or registrations in 22 jurisdictions.
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