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How NFT games are revolutionizing the industry

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How NFT games are revolutionizing the industry

by Gonzalo Wangüemert Villalba

4 September 2025

Introduction The open-source AI ecosystem reached a turning point in August 2025 when Elon Musk’s company xAI released Grok 2.5 and, almost simultaneously, OpenAI launched two new models under the names GPT-OSS-20B and GPT-OSS-120B. While both announcements signalled a commitment to transparency and broader accessibility, the details of these releases highlight strikingly different approaches to what open AI should mean. This article explores the architecture, accessibility, performance benchmarks, regulatory compliance and wider industry impact of these three models. The aim is to clarify whether xAI’s Grok or OpenAI’s GPT-OSS family currently offers more value for developers, businesses and regulators in Europe and beyond. What Was Released Grok 2.5, described by xAI as a 270 billion parameter model, was made available through the release of its weights and tokenizer. These files amount to roughly half a terabyte and were published on Hugging Face. Yet the release lacks critical elements such as training code, detailed architectural notes or dataset documentation. Most importantly, Grok 2.5 comes with a bespoke licence drafted by xAI that has not yet been clearly scrutinised by legal or open-source communities. Analysts have noted that its terms could be revocable or carry restrictions that prevent the model from being considered genuinely open source. Elon Musk promised on social media that Grok 3 would be published in the same manner within six months, suggesting this is just the beginning of a broader strategy by xAI to join the open-source race. By contrast, OpenAI unveiled GPT-OSS-20B and GPT-OSS-120B on 5 August 2025 with a far more comprehensive package. The models were released under the widely recognised Apache 2.0 licence, which is permissive, business-friendly and in line with requirements of the European Union’s AI Act. OpenAI did not only share the weights but also architectural details, training methodology, evaluation benchmarks, code samples and usage guidelines. This represents one of the most transparent releases ever made by the company, which historically faced criticism for keeping its frontier models proprietary. Architectural Approach The architectural differences between these models reveal much about their intended use. Grok 2.5 is a dense transformer with all 270 billion parameters engaged in computation. Without detailed documentation, it is unclear how efficiently it handles scaling or what kinds of attention mechanisms are employed. Meanwhile, GPT-OSS-20B and GPT-OSS-120B make use of a Mixture-of-Experts design. In practice this means that although the models contain 21 and 117 billion parameters respectively, only a small subset of those parameters are activated for each token. GPT-OSS-20B activates 3.6 billion and GPT-OSS-120B activates just over 5 billion. This architecture leads to far greater efficiency, allowing the smaller of the two to run comfortably on devices with only 16 gigabytes of memory, including Snapdragon laptops and consumer-grade graphics cards. The larger model requires 80 gigabytes of GPU memory, placing it in the range of high-end professional hardware, yet still far more efficient than a dense model of similar size. This is a deliberate choice by OpenAI to ensure that open-weight models are not only theoretically available but practically usable. Documentation and Transparency The difference in documentation further separates the two releases. OpenAI’s GPT-OSS models include explanations of their sparse attention layers, grouped multi-query attention, and support for extended context lengths up to 128,000 tokens. These details allow independent researchers to understand, test and even modify the architecture. By contrast, Grok 2.5 offers little more than its weight files and tokenizer, making it effectively a black box. From a developer’s perspective this is crucial: having access to weights without knowing how the system was trained or structured limits reproducibility and hinders adaptation. Transparency also affects regulatory compliance and community trust, making OpenAI’s approach significantly more robust. Performance and Benchmarks Benchmark performance is another area where GPT-OSS models shine. According to OpenAI’s technical documentation and independent testing, GPT-OSS-120B rivals or exceeds the reasoning ability of the company’s o4-mini model, while GPT-OSS-20B achieves parity with the o3-mini. On benchmarks such as MMLU, Codeforces, HealthBench and the AIME mathematics tests from 2024 and 2025, the models perform strongly, especially considering their efficient architecture. GPT-OSS-20B in particular impressed researchers by outperforming much larger competitors such as Qwen3-32B on certain coding and reasoning tasks, despite using less energy and memory. Academic studies published on arXiv in August 2025 highlighted that the model achieved nearly 32 per cent higher throughput and more than 25 per cent lower energy consumption per 1,000 tokens than rival models. Interestingly, one paper noted that GPT-OSS-20B outperformed its larger sibling GPT-OSS-120B on some human evaluation benchmarks, suggesting that sparse scaling does not always correlate linearly with capability. In terms of safety and robustness, the GPT-OSS models again appear carefully designed. They perform comparably to o4-mini on jailbreak resistance and bias testing, though they display higher hallucination rates in simple factual question-answering tasks. This transparency allows researchers to target weaknesses directly, which is part of the value of an open-weight release. Grok 2.5, however, lacks publicly available benchmarks altogether. Without independent testing, its actual capabilities remain uncertain, leaving the community with only Musk’s promotional statements to go by. Regulatory Compliance Regulatory compliance is a particularly important issue for organisations in Europe under the EU AI Act. The legislation requires general-purpose AI models to be released under genuinely open licences, accompanied by detailed technical documentation, information on training and testing datasets, and usage reporting. For models that exceed systemic risk thresholds, such as those trained with more than 10²⁵ floating point operations, further obligations apply, including risk assessment and registration. Grok 2.5, by virtue of its vague licence and lack of documentation, appears non-compliant on several counts. Unless xAI publishes more details or adapts its licensing, European businesses may find it difficult or legally risky to adopt Grok in their workflows. GPT-OSS-20B and 120B, by contrast, seem carefully aligned with the requirements of the AI Act. Their Apache 2.0 licence is recognised under the Act, their documentation meets transparency demands, and OpenAI has signalled a commitment to provide usage reporting. From a regulatory standpoint, OpenAI’s releases are safer bets for integration within the UK and EU. Community Reception The reception from the AI community reflects these differences. Developers welcomed OpenAI’s move as a long-awaited recognition of the open-source movement, especially after years of criticism that the company had become overly protective of its models. Some users, however, expressed frustration with the mixture-of-experts design, reporting that it can lead to repetitive tool-calling behaviours and less engaging conversational output. Yet most acknowledged that for tasks requiring structured reasoning, coding or mathematical precision, the GPT-OSS family performs exceptionally well. Grok 2.5’s release was greeted with more scepticism. While some praised Musk for at least releasing weights, others argued that without a proper licence or documentation it was little more than a symbolic gesture designed to signal openness while avoiding true transparency. Strategic Implications The strategic motivations behind these releases are also worth considering. For xAI, releasing Grok 2.5 may be less about immediate usability and more about positioning in the competitive AI landscape, particularly against Chinese developers and American rivals. For OpenAI, the move appears to be a balancing act: maintaining leadership in proprietary frontier models like GPT-5 while offering credible open-weight alternatives that address regulatory scrutiny and community pressure. This dual strategy could prove effective, enabling the company to dominate both commercial and open-source markets. Conclusion Ultimately, the comparison between Grok 2.5 and GPT-OSS-20B and 120B is not merely technical but philosophical. xAI’s release demonstrates a willingness to participate in the open-source movement but stops short of true openness. OpenAI, on the other hand, has set a new standard for what open-weight releases should look like in 2025: efficient architectures, extensive documentation, clear licensing, strong benchmark performance and regulatory compliance. For European businesses and policymakers evaluating open-source AI options, GPT-OSS currently represents the more practical, compliant and capable choice.  In conclusion, while both xAI and OpenAI contributed to the momentum of open-source AI in August 2025, the details reveal that not all openness is created equal. Grok 2.5 stands as an important symbolic release, but OpenAI’s GPT-OSS family sets the benchmark for practical usability, compliance with the EU AI Act, and genuine transparency.

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Caitlyn Jenner Wins $JENNER Memecoin Lawsuit as Federal Court Rules Token Is Not a Security

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

TLDR:

  • A California federal court dismissed all Securities Act claims against Caitlyn Jenner over the $JENNER memecoin on April 16, 2026.
  • The court ruled the $JENNER Ethereum token failed the Howey test due to lack of horizontal and vertical commonality among investors.
  • Jenner’s 3% transaction tax gave her independent income regardless of investor losses, defeating vertical commonality claims in court.
  • State law claims for fraud and quasi contract were dismissed without prejudice, leaving Greenfield the option to refile in California state court.

Caitlyn Jenner wins lawsuit after a California federal court dismissed all securities claims tied to the $JENNER cryptocurrency token.

Lead plaintiff Lee Greenfield had sued Jenner and her manager Sophia Hutchins, alleging the token was an unregistered security.

The U.S. District Court for the Central District of California ruled on April 16, 2026, that the Ethereum-based token did not meet the legal definition of a security. Greenfield had lost over $40,000 in the investment.

Judge Rules $JENNER Token Fails the Howey Test for Securities

The court applied the longstanding Howey test to determine whether the $JENNER token qualified as an investment contract.

That test requires proof of a common enterprise and an expectation of profits from others’ efforts. Greenfield could not satisfy either requirement, and the court dismissed the Securities Act claim with prejudice.

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Greenfield argued that all token holders experienced identical percentage gains and losses, proving horizontal commonality.

The court disagreed, stating that parallel price movement does not substitute for pooling of investor funds. The SAC itself acknowledged that cryptocurrencies like the $JENNER token “lack utility other than as a store and transfer of value.”

Jenner and Hutchins made no development commitments behind the $JENNER token. Defendants described it plainly as “a memecoin on the Ethereum blockchain intended solely for entertainment purposes.” No funds were raised to build any product, software, or ecosystem connected to the token.

Jenner’s promotion included an AI-generated tweet image of her in a “JENNER ETH” T-shirt carrying an American flag.

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A crowd member in the image held a sign reading, “LETS MAKE EVERYONE RICH!” Hutchins further promoted the project by touting Jenner’s ability to “bring attention and investors into the project,” citing her awards, fame, and powerful connections.

The court ruled that promotional activity alone could not replace the pooling structure that securities law requires.

Jenner’s Transaction Tax Seals Vertical Commonality Argument Against Plaintiff

Greenfield also pursued vertical commonality, pointing to Jenner’s holdings of over 20 million $JENNER tokens. He argued her financial stake linked her fortunes directly to those of investors. The court found otherwise, citing her 3% transaction tax as a decisive factor working in Jenner’s favor.

During a Twitter Spaces chat, Jenner said tax proceeds would fund Trump campaign donations, buybacks, and marketing.

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When an X user pushed back, writing, “Use half of the taxes for buybacks. The community doesn’t like to just fund Trump. It would be fair to do half and half,” Jenner responded, “Not all taxes going for Trump.

The first distribution would be made when we hit 50m MC. And never said it would be ALL of them. Some have been used for buybacks, marketing, etc.” The court treated these statements as too vague to constitute meaningful managerial commitments.

Critically, the tax paid Jenner on every transaction whether investors profited or not. Under the Ninth Circuit’s ruling in Brodt v. Bache & Co., a promoter must share in investor losses for vertical commonality to exist.

The court noted that Jenner “kept hundreds of thousands of dollars in tax revenues for herself even as the investments of Greenfield and others became nearly worthless.” Because Jenner faced no downside risk tied to investor outcomes, the vertical commonality standard was not met.

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With no viable federal claim remaining, the court declined jurisdiction over Greenfield’s state law claims for fraud and quasi contract. Those claims were dismissed without prejudice, allowing him to refile in California state court.

The court also denied any further attempt to amend the Securities Act claim, finding such an amendment would be futile. Jenner’s legal victory draws a clear legal boundary between celebrity-promoted memecoins and regulated securities.

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Nomura survey shows rising institutional crypto adoption driven by regulation and diversification

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Nomura pushes back on crypto retreat concerns as it tightens risk controls

Institutional investors are warming to digital assets, with improving sentiment and broader use cases emerging as key drivers of adoption, according to a new survey from Tokyo-based bank Nomura and its crypto unit Laser Digital.

The study, based on responses from more than 500 investment professionals in Japan, found that 31% of respondents now hold a positive outlook on crypto over the next year, up from 25% in 2024. Meanwhile, negative sentiment has declined, pointing to a gradual shift in perception as the asset class matures.

A central theme is diversification. Some 65% of respondents said they view crypto as a portfolio diversifier, while 79% of those considering exposure plan to invest within three years. Most expect relatively modest allocations — typically between 2% and 5% — suggesting institutions are still in the early stages of adoption.

That shift is being supported by a changing regulatory and policy backdrop. In Japan, policymakers have spent the past year refining crypto frameworks, including discussions around classification, taxation and investor protections. Globally, clearer rules in major markets — alongside the approval and expansion of crypto investment products such as exchange-traded funds (ETFs) and tokenized assets — have reduced some of the uncertainty that previously kept institutions on the sidelines.

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As a result, interest is expanding beyond simple price exposure. More than 60% of respondents expressed interest in staking, lending, derivatives and tokenized assets, reflecting growing demand for yield-generating strategies and more sophisticated portfolio construction.

Stablecoins are also gaining traction, with 63% of respondents identifying potential use cases ranging from treasury management to cross-border payments and investment in tokenized securities.

Still, barriers remain. Concerns around volatility, counterparty risk and the lack of established valuation frameworks continue to weigh on adoption. Regulatory uncertainty, while improving, has not fully disappeared.

Even so, the survey suggests the conversation is shifting. Rather than debating whether to invest in crypto, institutions are increasingly focused on how to do so — a sign that digital assets are moving closer to becoming a standard component of institutional portfolios.

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Peter Schiff raises concerns over MicroStrategy’s Bitcoin funding strategy

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Goldbug Peter Schiff says the U.S. dollar is facing massive deleveraging as metals surge and crypto stalls

Peter Schiff, a well-known Bitcoin critic and gold advocate, has raised concerns about MicroStrategy’s ongoing Bitcoin acquisition strategy. 

Summary

  • Peter Schiff says MicroStrategy Bitcoin funding model may increase shareholder dilution through repeated share issuance.
  • Company shifts toward 11.5% yield preferred shares as earlier funding methods become less effective.
  • Debate continues as analysts disagree whether MicroStrategy faces risk or retains financial flexibility.

The company has continued to expand its holdings through a mix of debt and equity issuance.

Schiff stated that MicroStrategy’s approach is becoming harder to sustain under current market conditions. He said “the company is shifting toward more expensive capital” while referencing recent financing changes linked to preferred shares.

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He added that earlier funding methods, which included issuing shares at higher valuations, are becoming less effective in the present environment.

MicroStrategy has recently relied more on preferred share offerings with higher yield obligations. Schiff noted that the company is now issuing instruments with yields around 11.5 percent.

He said ”these obligations cannot be covered by software earnings alone” when describing the firm’s financial position. The company’s core software business has limited profit contribution compared to its Bitcoin exposure.

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Schiff stated that funding future purchases may require additional issuance of preferred shares, discounted equity, or Bitcoin sales. He argued this could increase pressure on shareholders through dilution over time.

Claims of structural risk and market reaction

Schiff described the company’s financing approach as vulnerable if market conditions weaken. He said the structure depends heavily on continued access to capital markets.

Canadian billionaire Frank Giustra also commented on the strategy, calling it ”a giant ponzi that will unravel when the next financial crisis hits” according to remarks cited in reports. He suggested that macroeconomic stress could expose weaknesses in the model.

The comments reflect ongoing debate over corporate treasury strategies that rely on digital assets as a primary reserve.

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Additionally, market research group BitMEX Research provided a different view on MicroStrategy’s approach. The firm stated that MicroStrategy is not under forced liquidation pressure and still has financial flexibility.

BitMEX Research said ”nobody is forcing MSTR to do this” and described the strategy as potentially beneficial under current conditions. It noted that the company can adjust financing terms, including coupon rates, instead of selling assets.

The discussion continues as MicroStrategy maintains one of the largest corporate Bitcoin holdings while using structured financial instruments to support its accumulation strategy.

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Bitcoin Halts Gains as US-Iran War, Hormuz Closure Make a Comeback

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Bitcoin Halts Gains as US-Iran War, Hormuz Closure Make a Comeback

Bitcoin foreshadows fresh market mayhem as it appears that the US-Iran war has returned, including the closure of the Strait of Hormuz oil route.

Bitcoin (BTC) sought to protect $75,000 into Sunday’s weekly close as crypto surfed fresh uncertainty over the US-Iran war.

Key points:

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  • Bitcoin price action sinks from ten-week highs amid fears that the US-Iran war has returned in full force.

  • Iran closes the Strait of Hormuz, bringing back the risk of an oil-price surge.

  • BTC price action faces ongoing resistance at a 21-week trend line into the weekly close.

Bitcoin abandons highs as US-Iran war fears return

Data from TradingView showed BTC price pressure reentering after a trip to ten-week highs of $78,400 on Friday.

BTC/USD one-hour chart. Source: Cointelegraph/TradingView

Mixed signals from US and Iranian sources characterized the weekend, with an assumed ceasefire and mutual agreements between the two sides now seemingly undone.

Among the latest developments was the repeat closure of the Strait of Hormuz, putting the focus on oil futures on the day. News of a ceasefire had sent WTI crude below $80 per barrel for the first time since March 10.

“We expect an eventful Sunday ahead,” trading resource The Kobeissi Letter summarized in ongoing analysis on X.

CFDs on WTI crude oil one-day chart. Source: Cointelegraph/TradingView

As BTC/USD circled local highs, and sentiment with it, market participants stayed cautious. Trading resource Material Indicators noted that the entire market mood could flip on relatively little input, such as a social media post.

“Sentiment is overwhelmingly bullish at the moment, but that could change with one Tweet in the coming days. Know your invalidations,” it told X followers.

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Data from CoinGlass showed long positions coming under fire during the BTC price retracement, with total crypto liquidations at $260 million over the past 24 hours.

Crypto seven-day liquidation history (screenshot). Source: CoinGlass

BTC price capped by resistance trend line

Continuing, trader Daan Crypto Trades eyed a potential gap in CME Group’s Bitcoin futures market opening as a result of the weekend comedown.

Related: Bitcoin can grow ‘probably a lot bigger’ than $30T+ gold market — Analysis

As Cointelegraph reported, such gaps often act as short-term price magnets when the new week begins.

“It’s going to be interesting to see the futures open today and how $OIL will react to the recent headlines regarding the strait,” he added.

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BTC/USDT 15-minute chart. Source: Daan Crypto Trades/X

Looking at the weekly close, trader and analyst Rekt Capital placed importance on Bitcoin’s 21-week exponential moving average (EMA) near $78,900.

“Bitcoin is rejecting from the 21-week EMA (green),” he observed alongside the weekly chart. 

“It is this rejection that could force a post-breakout retest of the top of the Double Bottom (~$73k) next week, provided Bitcoin Weekly Closes just like this.”

BTC/USD one-week chart. Source: Rekt Capital/X