A faulty oracle that caused a $9 million exploit over the weekend was patched on 11 chains in the days leading up to the attack, with the exploited Hedera deployment left vulnerable.

The affected protocol, Bonzo Lend, explained that the oracle accepted an extreme mispricing of the attacker’s collateral asset, which allowed them to borrow funds far in excess of the collateral’s true value.

A further $1 million was extracted by a white-hat hacker.

The vulnerable oracle was created by blockchain infrastructure developer Supra Network, which boasts oracles “live on 67 mainnets.”

Shortly after the exploit, Plasma’s Usmann Khan noted that Supra had upgraded many of its oracles in the days leading up to the exploit, but not the contract on Hedera, which Bonzo Lend used.

Read more: These crypto chains raised $500M but generate just $360 in daily fees

In an incident report published approximately 12 hours after the attack, Supra called the bug a “cryptographic edge case” and doesn’t mention having fixed deployments on other chains.

It simply states, “We have also reviewed every other Supra oracle deployment that shares this verifier pattern to confirm the same guards are in place.”

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Supra’s co-founder and CEO Josh Tobkin blamed “AI-assisted hacking” for discovering “what human eyes had missed” for two years.

Patching the bug

However, following Khan’s post, HSuite founder Tomachi Anura analysed Supra’s on-chain activity.

Everyone reported @SUPRA_Labs patched their @hedera contracts AFTER the $9M Bonzo hack.

The on-chain record shows @SUPRA_Labs shipped that exact fix to 11 chains days before Hedera was drained — and patched Hedera ~6h after.

I’ve been digging deep, and presenting pure facts as… https://t.co/n72jwQZdDl

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— Tomachi Anura (@TomachiAnura) July 14, 2026

Read more: Cap ‘stabledrop’ U-turn sees cUSD drop $23M, founder denies self dealing claims

Anura’s post details the firm’s “cross-chain fix rollout”, with proxy upgrades on 11 chains between June 29 (Base) and July 3 (Polygon), with a further two fixes (on Hedera and Fuse taking place post-exploit).

Anura insists that, while some upgrade addresses vary, “every one whose source is verified resolves to the same 17,354-char guarded SupraSValueFeedVerifier.”

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It remains unclear why the fixes stopped on July 3, leaving the Hedera deployment vulnerable.

Protos has reached out to Supra for clarification, and will update this article should we hear back.

Read more: Oracle error adds to turmoil at DeFi giant Aave

Oracles’ costly misfires

Third-party oracles are used by many DeFi projects’ smart contracts to price assets, or for other external data feeds.

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Oracle manipulation attacks are commonly used, like in this case, to inflate the value of a collateral asset and drain available borrow liquidity on DeFi lending platforms. 

Oracle exploits have led to a further $3.5 million in losses in recent months. In one incident, the critical change to Moonwell’s “vibe-coded” oracle was co-authored by Claude.

While not strictly an exploit, a timestamp mismatch error in Chaos Labs’ Correlated Asset Price Oracle led to a staggering $27 million worth of erroneous wstETH liquidations on Aave’s Ethereum markets in March.

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Bitcoin has slipped below $65,000 after Iran rejected renewed prospects for peace talks with the United States, adding fresh pressure to risk assets as military operations continue.

Iran’s Foreign Ministry said there are currently no plans for negotiations with the United States, with the country’s immediate priority remaining its defense efforts. The statement came after U.S. President Donald Trump claimed during a FOX interview that Iran had reached out earlier and wanted to make a deal, suggesting diplomatic contact could resume.

The conflicting messages have arrived as the U.S.-Iran conflict intensifies once again. Over recent days, both countries have continued exchanging strikes, while Trump has reinstated the Iranian blockade in the Strait of Hormuz and warned that Washington could expand military operations if Tehran does not return to negotiations.

According to data from crypto.news, Bitcoin (BTC) briefly gave up earlier gains and fell below the $65,000 level, changing hands at around $64,800, down less than 1% on the day. The decline interrupted a rally that had followed softer-than-expected U.S. Producer Price Index (PPI) data earlier in the session.

Fresh military operations keep risk appetite under pressure

While inflation data initially supported cryptocurrencies, renewed military developments shifted investors’ attention back to geopolitical risks.

Earlier in the day, the U.S. Central Command (CENTCOM) announced on X that it had completed a 90-minute wave of strikes targeting coastal defense systems and cruise missile storage and launch sites on Greater Tunb Island. According to CENTCOM, the operation was intended to reduce Iran’s ability to threaten commercial shipping through the Strait of Hormuz.

Hours later, CENTCOM announced another escalation. In a separate post on X, the command said U.S. forces launched a second wave of strikes at 3 p.m. ET, targeting Iranian military capabilities used to threaten vessels transiting the Strait of Hormuz. CENTCOM described the waterway as vital to global commerce and said the operation was carried out under the direction of the U.S. Commander in Chief.

At 3 p.m. ET, U.S. forces launched operations for a second wave of strikes today against Iran. The strikes are targeting Iranian military capabilities used to threaten vessels freely transiting through the Strait of Hormuz, an international waterway vital to global commerce. The…

— U.S. Central Command (@CENTCOM) July 15, 2026

CENTCOM stated that the strikes further reduced Iran’s capability to threaten commercial shipping passing through the Strait of Hormuz, one of the world’s most important energy trade routes. The latest operation follows several days of escalating military exchanges between Washington and Tehran, adding another layer of uncertainty for global financial markets.

crypto.news had earlier reported that cryptocurrencies strengthened after U.S. PPI inflation figures came in below economists’ expectations, reinforcing hopes that inflation pressures may continue easing. However, those gains faded as developments surrounding the U.S.-Iran conflict became the dominant market catalyst.

Prediction markets point to limited optimism for diplomacy

Beyond price action, prediction markets continue to indicate low expectations for a diplomatic breakthrough this month.

Data from crypto-based prediction platform Polymarket shows traders currently assign only a 25% probability that another round of U.S.-Iran peace talks will take place before the end of July. Although prediction markets do not guarantee future outcomes, they offer a real-time view of participant expectations based on active trading.

Attention is also turning toward Iran’s senior leadership for additional guidance on the country’s position. Mohammad Qalibaf, identified as Iran’s top negotiator in the referenced reports, is expected to issue a statement later today addressing the ongoing conflict and recent military developments.

For now, financial markets remain caught between improving U.S. inflation data and rising geopolitical uncertainty. While softer inflation initially supported demand for Bitcoin and other digital assets, Iran’s rejection of negotiations, continued U.S. military strikes, and uncertainty surrounding future diplomatic efforts have kept traders focused on geopolitical headlines as the next major driver of market sentiment.

UK-based financial company Revolut has received approval from the Virtual Assets Regulatory Authority (VARA) of Dubai to offer crypto-related services in the United Arab Emirates (UAE).

In a Wednesday notice, Revolut said that, following a green light from the Central Bank of the UAE for payment activities, VARA gave in-principle approval for the company to offer broker-dealer, management and investment, and exchange services in the UAE. The company said its services via the app and the Revolut X exchange would allow UAE-based users to buy, sell and hold digital assets.

“This approval lays the foundation for Revolut to introduce its trusted virtual asset services within a regulated environment,” said Revolut’s head of digital assets in the UAE free zone establishment, Joseph Khair.

The UAE regulatory approval followed Revolut receiving a UK banking license in March. The company still has similar applications pending for a US banking charter and licensing in Peru as part of its expansion plans.

Related: ECB picks 36 payment providers to test digital euro ahead of 2027 pilot

At the time of publication, VARA listed 51 companies licensed to offer crypto-related services in the UAE, with 22 entities granted in-principle approval. In May, the regulator preliminarily approved cryptocurrency exchange Kraken’s parent company, Payward. The company is expected to fully launch in the region soon.

Revolut to delist USDT next month amid regulatory concerns

Last week, a Revolut spokesperson told Cointelegraph that the company planned to delist the Tether USDt (USDT) stablecoin starting in August for the European Economic Area and Switzerland. The move followed a review of Revolut’s crypto services and risk considerations under the European Union’s Markets in Crypto-Assets (MiCA) framework, which required companies offering digital asset services to be licensed by July 1.

Magazine: Is Robinhood Chain’s success bullish or bearish for ETH the asset?

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.

Acting US Attorney General Todd Blanche faced backlash Wednesday over the Justice Department’s (DoJ) enforcement of crypto-related crimes and other actions as President Donald Trump’s former personal attorney appeared before a Senate hearing considering his nomination to lead the agency.

The ranking Democrat, Senator Dick Durbin, used part of his opening statement at the Senate Judiciary Committee hearing to criticize Trump’s AG pick for what he described as “dismantling DoJ’s enforcement team and shutting down ongoing criminal investigations of the crypto industry.”

Blanche was reportedly behind the disbanding of the Justice Department’s crypto enforcement unit in April 2025 as deputy attorney general.

Todd Blanche speaking at his confirmation hearing before the Senate Judiciary Committee on Wednesday. Source: Associated Press

The Illinois lawmaker said that Blanche’s order dismantling the DoJ’s crypto unit enable Trump to earn $1.4 billion from his ties to the industry, including his family’s business World Liberty Financial.

He also accused former Binance CEO Changpeng “CZ” Zhao of “broker[ing] a deal to channel $2 billion” into World Liberty, which led to a presidential pardon. The former CEO agreed in 2023 to plead guilty to one felony charge related to the Anti-Money Laundering (AML) regime at the exchange.

“Every smarmy, suspect deal in this administration has cryptocurrency behind the curtain,” said Durbin.

Senate Republicans need a simple majority of lawmakers present to confirm Blanche as AG should his nomination advance in the judiciary panel. With Senator Mitch McConnell still hospitalized after what his team described as a fall that led to pneumonia, the party has a slim 52-47 margin to confirm Blanche, who faces pushback over the DoJ’s actions on immigration and its crypto policies, claims that he would facilitate Trump’s attacks on perceived enemies and the handling of the Jeffrey Epstein files.

Related: Three US senators oppose CLARITY Act on ethics grounds with vote expected soon

Blanche also faced crypto-related questions from Republican Senator Thom Tillis who said he was “concerned that the Binance CEO got pardoned.” Blanche said that he would review the pardon process if confirmed.

Blanche signals DoJ shift on pursuing coders

The Trump AG pick was behind a 2025 memo “ending regulation by prosecution” in the crypto industry and previously held at least $159,000 worth of digital asset-related investments before divesting them to his children and grandchildren.

He has been serving as acting US Attorney General since Pamela Bondi’s firing in April, telling crypto holders shortly after his appointment that officials would not pursue cases into blockchain developers who were not responsible for illicit activity on platforms.  

”[I]f you are developing software, if you are a coder, if you are part of that process and you are not the third-party user, and you are not helping and knowing the third party is using what you developed to commit crimes, you are not going to be investigated and not going to be charged,” Blanche said at the Bitcoin 2026 conference.

The department still has ongoing cases against developers behind platforms allegedly used for illegal activities. Federal prosecutors are expected to retry Tornado Cash co-founder Roman Storm later this year after a jury failed to reach a verdict on two charges in 2025.

Magazine: Will the crypto lobby’s $189M campaign get CLARITY over the line?

Nasdaq has suspended trading in BNB Plus, a digital asset treasury (DAT) company that burned shareholders on the dream of making money on Binance’s blockchain.

The stock closed its final session at $0.16, down 99.99% on a split-adjusted basis in three years. 

Its reinvention from a biotech stock to a BNB-holding DAT lasted less than 10 months and cost common shareholders nearly everything.

Shares are now downlisted onto OTC Markets Group’s venture tier, under the same ticker symbol. It plans to appeal the delisting via Nasdaq’s Listing and Hearing Review Council, but the suspension is immediate while that appeal is underway.

Not embarrassed, BNB Plus’s delisting announcement stubbornly describes its continued intention to pursue “sophisticated DeFi yield generation with Binance-native opportunities, unlocking access to high-performance digital assets.”

The opportunities that its operations are excluded from now includes the Nasdaq stock exchange.

Read more: After crashing 99.9%, this BTC treasury stock crashed 99.9% — again

‘Innovation is in our DNA’

BNB Plus was formerly known as Applied DNA Sciences. It spent years selling DNA tags that authenticated textiles and other products in supply chains.

James Hayward, its chief executive of two decades, retired in June 2025 with a $450,000 separation payment. Days later, the company cut 27% of its workforce.

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By late September, the company announced $27 million in financing to amass a BNB treasury. Investors paid in cash, stablecoins, and trust units in exchange for new shares and warrants.

SkyBridge Capital founder Anthony Scaramucci signed on as an advisor. Multi-year service deals promised asset manager Cypress LLC fees on BNB Plus’s assets and a cut of its assets, while a second deal handed Cypress Management LLC stock warrants over nearly a tenth of the company.

New CEO Clay Shorrock said at the time, “We’re proud to integrate our digital asset treasury strategy with our best-in-class PCR-based nucleic acid production solutions to accelerate growth and deliver long-term shareholder value.”

Needless to say, those two businesses failed to complement one another. Surprising no one, BNB has almost nothing to do with DNA.

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The BNB treasury strategy was obviously an attempt to capitalize on a momentary fad for DATs that peaked in early summer 2025.

For a brief moment, investors were bullish about the bizarre pivot. Shares surged more than 50% the day before the formal announcement in late September 2025, then jumped another 70% once the press release landed.

Late to the party, its stock price soon settled back near where it started and then continued its downward slide.

Five reverse splits couldn’t prevent a Nasdaq delisting

After its BNB-focused financing placement closed in October, the company assembled about 15,500 BNB in tokens and trust units.

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It swapped its ticker from APDN to BNBX in October, putting BNB front and center. It renamed to BNB Plus Corp by November. By December, it deployed an additional $3 million into BNB.

The price drifted lower. By March, BNBX had spent weeks below $1, and Nasdaq issued a deficiency notice, per the company’s own disclosure.

The fall below $1 was in spite of years of efforts by the company to manufacture a share price above $1. In fact, Applied DNA has reverse split five times: 1:60 in 2014, 1:40 in 2019, 1:20 in 2024, 1:50 in March 2025, and 1:15 in June 2025.

Even after all those adjustments, it last traded below $0.15 anyway.

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BNB Plus’s mNAV: 0.09x

DAT companies grade themselves on a so-called multiple-to-Net Asset Value or “mNAV,” the ratio of their market capitalization to the value of their crypto holdings. 

At an mNAV above 1x, investors are paying a premium for the company relative to its treasury. Below 1x, they are bearish on the company’s ability to grow.

BNB Plus’s own dashboard shows roughly 18,700 BNB and $3.9 million in cash against a market cap near $814,000, grading itself an embarrassing mNAV of 0.09x.

In April 2026, its board launched a strategic review contemplating another pivot to AI. In May, the company secured commitments for $4.1 million of convertible preferred financing to keep the lights on while it decides.

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The company’s X account has been silent since January 5. Its bio still promises that “$BNBX is built to outperform simple BNB buy-and-hold strategies, delivering investors more BNB tokens over time.”

Got a tip? Send us an email securely via Protos Leaks. For more informed news and investigations, follow us on X, Bluesky, and Google News, or subscribe to our YouTube channel.

Ostium, a decentralized perpetual futures exchange, has been hacked on the Arbitrum network via a suspected private key compromise of its oracle signer.

A number of crypto security firms flagged suspicious outflows, with estimates loss estimates ranging from $18 to over $23 million.

Ostium’s official X account confirmed an “issue” with its OLP vault shortly thereafter.

We are aware of the issue with the OLP vault. We have paused all trading. The team is investigating.

— Ostium (@Ostium) July 15, 2026

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Read more: Supra patched oracle on 11 other chains before $9M Hedera exploit

Ostium allows for trading perpetual futures of stocks, commodities, and forex, and held approximately $63 million of assets, pre-hack, according to DeFiLlama data.

Its OLP vault acts as the protocol’s settlement layer, into which users deposit USDC to open trades on the platform.

Decurity, highlighting an example transaction, explained that “the attacker fed self-signed favorable prices to open and immediately close trades at a profit, draining ~11.86M USDC from the OstiumVault.”

Read more: Cap ‘stabledrop’ U-turn sees cUSD drop $23M, founder denies self dealing claims

DeFi dangers

The loss comes just four days after $9 million was lost from Bonzo Finance on the Hedera network, also due to an exposed price oracle.

Supra, the firm behind the vulnerable oracle had previously patched deployments on 11 other chains in the days leading up to the exploit.

Last week, Summer Finance was hacked, also via a price manipulation attack, losing $6 million. It’s announced today that it will not be able to recover from the incident and will be winding down.

After 7 amazing years building in DeFi, the recent exploit on the Lazy Summer Protocol has forced us into the very difficult decision to wind down https://t.co/ccpDrJSnsA and sunset the UI.

We want to thank all our users, the community and supporters – you made it worthwhile.

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— Summer.fi ☀ (@summerfinance_) July 15, 2026

Read more: DeFi platform Summer Finance loses $6M in vault exploit

In the first half of 2026, the DeFi sector has seen over $900 million lost in 87 incidents, with over 80% of the losses caused by compromised private keys or bridge hacks.

Of these, two incidents make up the majority, Drift Protocol and LayerZero/KelpDAO. Following the latter, the contagion threat led Arbitrum’s Security Council to step in and freeze over $70 million of stolen funds. 

It remains to be seen whether Ostium’s loss warrants a similar reaction.

Got a tip? Send us an email securely via Protos Leaks. For more informed news and investigations, follow us on X, Bluesky, and Google News, or subscribe to our YouTube channel.

Acting U.S. Attorney General Todd Blanche faced sharp criticism at a Senate Judiciary Committee hearing on Wednesday as lawmakers weighed his nomination to lead the Justice Department. The backlash centered on how the department has pursued— or deprioritized—crypto-related enforcement, particularly in cases involving the broader developer ecosystem.

Senator Dick Durbin, the ranking Democrat on the committee, used portions of his opening statement to accuse Blanche of weakening DOJ’s crypto enforcement capacity. Durbin referenced Blanche’s reported role in dismantling a DOJ crypto enforcement unit in April 2025 while he was deputy attorney general, arguing that the move left ongoing investigations effectively “shut down” during the Trump administration’s push toward different enforcement priorities.

Key takeaways

• Durbin’s criticism ties Blanche’s prior DOJ actions to a broader shift in crypto enforcement, including alleged “dismantling” of the department’s crypto unit.
• Questions from Republicans—including concerns about Changpeng “CZ” Zhao’s presidential pardon—highlight ongoing political scrutiny of crypto outcomes.
• Blanche signaled a framework that aims to avoid charging developers who are not implicated in third-party wrongdoing.
• The committee vote math remains tight, with the confirmation process dependent on the Senate session’s practical majority rules.

Durbin’s attack on Blanche’s crypto enforcement record

At Wednesday’s hearing, Durbin argued that Blanche’s decisions as deputy attorney general enabled President Donald Trump to benefit financially from ties to the crypto industry. Durbin referenced reports that Blanche helped disband DOJ’s crypto enforcement unit in April 2025, citing Fortune’s reporting on the restructuring.

Durbin also alleged that Trump’s business interests, including family-linked World Liberty Financial, were connected to deals involving cryptocurrency. He further accused Binance’s former CEO Changpeng “CZ” Zhao of “broker[ing] a deal to channel $2 billion” into World Liberty—an accusation Durbin tied to Zhao’s later presidential pardon. The hearing remarks referenced Zhao’s 2023 agreement to plead guilty to a felony charge related to the exchange’s Anti-Money Laundering (AML) compliance.

Blanche’s nomination comes as the political stakes around DOJ leadership and enforcement priorities remain high. In addition to crypto policy, Republicans and Democrats are also disputing DOJ’s broader approach to issues such as immigration enforcement and how the department is handling sensitive political matters.

Confirmation dynamics: narrow path in the Senate

Blanche’s path depends on committee progress and then a Senate confirmation vote if his nomination advances. As of the hearing, the Senate Republican leadership, including Senator Mitch McConnell, faced an operational challenge: McConnell was still hospitalized after a fall described by his team as resulting in pneumonia. That uncertainty contributes to a slim margin in the Senate—described as 52-47 in favor of Republicans—meaning procedural details about attendance could become decisive for confirmation.

While Republicans hold the majority needed for a confirmation if a simple majority of lawmakers present supports the nominee, the nomination also faces targeted scrutiny. The hearing record suggests that lawmakers are not only debating the technical enforcement posture toward crypto, but also broader concerns about whether DOJ leadership will align with the administration’s political goals.

Blanche’s response: avoiding cases against “coders” not tied to wrongdoing

In addition to the political debate, Blanche addressed how DOJ intends to treat crypto software developers. According to a DOJ memo referenced at the hearing and later described in related coverage, the administration’s approach was framed as moving away from enforcement that “regulates by prosecution,” with the memo focused on shifting how the DOJ engages with the crypto sector. The memo was published by DOJ (see this DOJ document).

Blanche told crypto holders shortly after taking the acting role that officials would not pursue cases into blockchain developers who were not responsible for illicit activity on platforms. In remarks carried during industry coverage—specifically at the Bitcoin 2026 conference—Blanche indicated that DOJ would not investigate software developers when the developer is not a third-party user and is not knowingly helping someone commit crimes.

As quoted in the underlying reporting, Blanche described the distinction as follows: if someone is developing software or coding as part of the process, and is neither a user nor knowingly enabling third parties who commit crimes, then DOJ would not investigate or charge them. That is a notable signpost for developers and open-source contributors, because it suggests DOJ’s enforcement posture may be more carefully calibrated around scienter and direct involvement rather than broader theories that could sweep in peripheral actors.

What remains uncertain: ongoing prosecutions and “platform” cases

Even with Blanche’s emphasis on limiting charges against uninvolved coders, the department is not abandoning crypto enforcement altogether. The reporting around the hearing notes that DOJ still has ongoing cases against developers tied to platforms allegedly used for illegal activities. In other words, the line Blanche drew in public comments appears designed to narrow where DOJ looks for culpability, rather than eliminate enforcement.

Federal prosecutors are also expected to retry Tornado Cash co-founder Roman Storm later this year after a 2025 jury failed to reach a verdict on two charges. That procedural detail matters because it indicates that core enforcement actions connected to sanctioned or laundering-linked services are continuing through the courts, even as lawmakers debate whether the DOJ’s approach to developers is shifting.

For readers, the next watchpoint is whether Blanche’s confirmation will lead to measurable changes in charging decisions—especially how prosecutors apply intent and involvement standards to developers. The hearing made clear that political conflict and enforcement strategy will run in parallel, but the real test will be in the cases that move forward and those that get narrowed or dismissed.