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Balancer Labs Closes Operations Following Devastating $110M Hack

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

Key Takeaways

  • The corporate entity Balancer Labs is ceasing operations following a November 2025 security breach that cost $110 million
  • The protocol’s total value locked has plummeted 95% from its 2021 high of $3.5 billion to approximately $157 million
  • BAL token emissions will cease entirely under a comprehensive restructuring initiative
  • Protocol operations will transition to the Balancer Foundation and DAO, with all fees flowing to the treasury
  • Token holders will have access to a buyback program offering fair exit opportunities

The corporate force behind one of decentralized finance’s prominent trading platforms is calling it quits.

Balancer Labs co-founder Fernando Martinelli revealed this week that the company responsible for developing and supporting the Balancer decentralized exchange is discontinuing operations. This decision comes in the wake of a November 2025 security incident that resulted in approximately $110 million in stolen digital assets — marking the third major security compromise in the platform’s operational history.

According to Martinelli, the security breach “introduced significant and persistent legal risks,” rendering continued operations untenable. In a governance forum post, he stated that Balancer Labs had transformed into “more of a burden than a benefit to the protocol’s long-term viability.”

CEO Marcus Hardt explained that the organization’s expenditures to incentivize liquidity far exceeded generated revenues. This imbalanced spending model was simultaneously eroding value for Balancer token stakeholders.

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Balancer’s Dramatic Decline

During its zenith in late 2021, Balancer commanded nearly $3.5 billion in total value locked, positioning it as a foundational component of DeFi infrastructure alongside platforms like Aave, Uniswap, and Curve.

Today, that figure stands at just $157 million — representing a catastrophic 95% reduction. The project’s market capitalization has contracted to $10 million, with the token currently trading around $0.16, dramatically below its historical peak.

The November security incident accelerated this downward trajectory. Total value locked contracted by an additional $500 million during the two-week period immediately following the exploit.

Neverthstanding these setbacks, Martinelli noted the protocol continues generating over $1 million in fees across the most recent three-month period. While insufficient for current operational requirements, this revenue stream could sustain a more streamlined organization.

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Proposed Restructuring Framework

Balancer Labs leadership has outlined a comprehensive transformation plan. BAL token emissions would be eliminated entirely, dismantling what Martinelli characterized as a “self-perpetuating incentive system that depletes more value than it creates.”

The existing veBAL governance framework would also be discontinued. Martinelli argued it had been “dominated” by meta-governance entities, compromising representative decision-making.

Protocol fee distribution would be restructured to channel 100% of revenue to the DAO treasury, up from the current 17.5% allocation. The v3 protocol share would decrease to 25% to encourage more sustainable liquidity provision.

A BAL token buyback initiative would provide holders with exit liquidity at reasonable valuations.

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Key personnel from Balancer Labs would transition to a newly formed organization designated Balancer OpCo, contingent on governance approval. Martinelli plans to withdraw from any official capacity while remaining available for advisory support.

The product roadmap will consolidate around five core pool categories: reCLAMM pools, liquidity bootstrapping pools, stablecoin pools, weighted pools, and expansion to non-EVM blockchain networks.

The Balancer DAO has been presented with two governance proposals addressing the restructuring plan and tokenomics modifications.

BAL was trading at $0.72 on Tuesday morning.

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Cryptocurrency fraudsters gain ground as panic over the war fills social media

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Crypto Breaking News

Fraud networks work by using X accounts

ZachXBT determined that there was a group of X accounts on the network that shared updates related to war to gain some credibility and an audience. Most of these accounts would frequently post about the political happenings to become known to active users, and they also had the benefit of reposting similar content that would assist in increasing their reach as well as ensuring constant exposure.

The accounts later started to promote fraud involving crypto after gaining a following. They involved bogus giveaways and organized pump-and-dump operations on unsuspecting participants. As a result, the users, who interacted with content about the war, were exposed to false promises of easy returns with the help of digital assets.
The research revealed that operators used to switch usernames and account identities to minimize chances of detection. They also purchased older accounts that were already followed to sound more believable. In addition to that, the network employed the same message being sent repeatedly on a number of profiles, which enabled them to push scam campaigns within a short period and successfully.

Major Profits on Organized Plans

According to on-chain data, such synchronized operations brought a lot of money to the operators. One instance was the report by ZachXBT that a campaign generated six-figure profits during short-term token promotions. There was also one case where multiple accounts promoted the token known as ORAMAMA in a single day and then never promoted it again.

The emergence of the scams is a part of a bigger story with scammers exploiting major international events to target online audiences to trick them. The presence of fear and uncertainty in the current conflict has empowered purported scammers to integrate misinformation into financial frauds, although the social media platforms continue to be at the center of the operation plans. The results mention how scammers can use geopolitical tension to organize coordinated campaigns of financial frauds, whereas the social media platforms remain central to their operational strategies.

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Risk & affiliate notice: Crypto assets are volatile and capital is at risk. This article may contain affiliate links. Read full disclosure

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Bitcoin Price Prediction: War De-escalates, But Still Underperforming

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The broader crypto market has underperformed significantly this week despite a bullish Bitcoin price prediction. However,..

Bitcoin is experiencing a sharp sell-off, even as the U.S.-Iran war de-escalates, trading at the $71,000 level, and still is 4% lower than a week ago. The broader crypto market has underperformed significantly this week despite a bullish Bitcoin price prediction.

This retreat places BTC below its critical 20-day EMA of $70,515, signaling renewed bearish momentum in the short term. Amid the volatility, macro factors are heavily influencing price discovery, pushing the Fear & Greed Index down to a reading of 11, or extreme fear.

The broader crypto market has underperformed significantly this week despite a bullish Bitcoin price prediction. However,..
Fear and Greed Index, Alternative

While the immediate outlook appears grim, a major catalyst looms: the SEC decision on 91 crypto ETF applications due by March 27. Market participants are bracing for extreme volatility; an approval could trigger a swift rebound, while rejection may force a deeper capitulation.

Can Bitcoin Price Reclaim $73,000 Before the Weekly Close? Here’s Our Prediction.

Bitcoin’s failure to hold the $69,000–$71,000 consolidation zone has exposed lower support levels. Currently, BTC is struggling against resistance at $71,500, blocked by the falling 20-day and 50-day EMAs.

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The MACD histogram remains positive but is trading below the signal line, indicating that while selling pressure has eased slightly, bullish momentum is nonexistent. A critical defense line sits at $65,500; losing this level could validate a prolonged correction. Conversely, a successful breakout above immediate upper resistance at $73,600 could invalidate the bearish thesis.

The broader crypto market has underperformed significantly this week despite a bullish Bitcoin price prediction. However,..
BTC USD, TradingView

For now, we should watch the $73,600 level closely; a clean break here is required to shift the 14-day RSI from its neutral 50.20 stance into bullish territory. This cycle, Bitcoin price prediction focuses more on sentiment than chart structures.

Discover: The best pre-launch token sales

LiquidChain Targets Early Mover Upside as Bitcoin Consolidates

While Bitcoin struggles to maintain the $67,000 floor, capital is beginning to rotate into infrastructure plays that solve the market’s fragmentation issues. The current bearish sentiment provides a pivotal moment for “pick-and-shovel” assets, or projects that gain utility regardless of whether the market trends up or down. As BTC dominates headlines, smart money often hunts for asymmetric returns in presale markets.

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Enter LiquidChain ($LIQUID), a Layer 3 (L3) infrastructure project designed to fuse Bitcoin, Ethereum, and Solana liquidity into a single execution environment. The project has raised more than $600K in its ongoing presale, with tokens priced at $0.0143 at a very early stage.

LiquidChain’s “Deploy-Once Architecture” allows developers to write code once and access users across three major chains, eliminating the friction of bridging while giving more than 1700% APY on staking rewards.

It acts as “The Cross-Chain Liquidity Layer,” offering sub-second unified settlement. However, early-stage infrastructure carries development risk; the roadmap must be executed flawlessly to compete with established L2s. Investors looking for a hedge against BTC stagnation can research the presale below.

Visit LiquidChain Presale

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Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.

The post Bitcoin Price Prediction: War De-escalates, But Still Underperforming appeared first on Cryptonews.

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Alibaba (BABA) Stock Climbs Nearly 3% on Launch of XuanTie C950 Processor

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BABA Stock Card

Key Highlights

  • Alibaba introduced the XuanTie C950, a cutting-edge 5nm RISC-V processor developed by its DAMO Academy division
  • The processor operates at 3.2 GHz with performance exceeding its predecessor, the XuanTie C920, by over 300%
  • Target applications include cloud infrastructure, AI inference operations, and agentic AI systems
  • The company plans a separate public listing for T-Head, its semiconductor division
  • BABA shares gained 2.98%, finishing at $126.06 on March 23

Alibaba’s semiconductor ambitions took center stage this week. During an internal DAMO Academy conference held Tuesday, the tech giant revealed its XuanTie C950 processor, claiming it represents “the highest performing RISC-V CPU in the world.”

The processor features 5-nanometer manufacturing technology and operates at 3.2 GHz, utilizing the open-source RISC-V architecture. This open framework enables chip developers to adapt instruction sets for specialized AI applications without incurring licensing costs — a strategic benefit for organizations deploying AI agents across large-scale operations.


BABA Stock Card
Alibaba Group Holding Limited, BABA

Performance metrics show the C950 delivering over three times the speed of the earlier XuanTie C920 model. The company has not disclosed which manufacturing partner produced the silicon.

According to Alibaba’s announcement, the processor targets cloud computing environments and AI inference tasks. End users will have the flexibility to configure the chip for specialized inference requirements.

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Building a Complete AI Ecosystem

CEO Eddie Wu articulated his strategy last year: positioning Alibaba as an end-to-end AI technology company spanning both hardware and software layers. That vision is now materializing.

During last week’s quarterly earnings discussion, Wu confirmed that Alibaba’s custom AI accelerators have transitioned into volume production. The T-Head semiconductor division is now competing directly with Nvidia and Huawei in China’s domestic marketplace.

T-Head has already onboarded significant enterprise clients, and Alibaba continues advancing preparations for the unit’s independent stock market debut. That initiative remains in progress.

The company maintains two distinct chip product families. The Zhenwu 810E lineup focuses on AI model training and inference capabilities. Meanwhile, the XuanTie portfolio, now including the C950, targets high-performance cloud environments and agentic AI deployments.

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RISC-V Emerges as Strategic Architecture

RISC-V has gained substantial traction among Chinese technology firms as geopolitical friction restricts access to Western semiconductor intellectual property. Alibaba ranks among the architecture’s earliest and most committed advocates domestically.

The standard directly challenges offerings from Arm Holdings and Intel. When Arm encountered limitations conducting business with Huawei following US export restrictions, RISC-V partially addressed that market void.

The C950 debut caps an active period for Alibaba’s artificial intelligence product portfolio. Last week witnessed the introduction of Wukong, an enterprise-grade platform engineered for AI agent orchestration.

Monday brought the global launch of Accio Work, the international edition of that platform. Targeting small and mid-market enterprises, it promises autonomous execution of sophisticated operational workflows.

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Earlier this month, Alibaba consolidated certain AI development teams into a newly formed division called Alibaba Token Hub, concentrating on enterprise-focused AI workplace solutions.

The competitive landscape: Token pricing for Chinese AI models has plummeted amid intense domestic rivalry, compelling firms like Alibaba to pursue margin protection and competitive differentiation through hardware and infrastructure innovation.

BABA finished trading at $126.06 on March 23, advancing $3.65 or 2.98% for the session. Pre-market activity on March 24 showed shares retreating to $124.94, declining 0.90%.

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Nasdaq and Talos Aim to Tackle Tokenization Collateral Bottleneck

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Nasdaq and Talos Aim to Tackle Tokenization Collateral Bottleneck

Nasdaq will integrate its Calypso risk and collateral platform and trade surveillance system with digital asset infrastructure firm Talos’s institutional trading tools.

The integration announced Monday aims to offer institutional clients a “unified” workflow for managing tokenized collateral and monitoring crypto and traditional assets for market abuse. It aims to ease a bottleneck in institutional tokenization, with Nasdaq citing internal research that roughly $35 billion in collateral sits tied up in “corrective and non-interest-bearing measures.”​

Nasdaq’s integration of its trade surveillance tools means that Talos clients will be able to run alerts for opaque tactics such as wash trading, spoofing and layering across the venues they access. 

The companies said the partnership is intended to bring “institutional-grade” compliance standards to digital asset markets.

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