Hyperliquid’s (CRYPTO: HYPE) token has emerged as a flashpoint for traders watching how decentralized derivatives platforms can redraw liquidity away from traditional venues. In a post published on Monday on Cryptohayes Substack, BitMEX co-founder Arthur Hayes laid out a bull case in which the project could reach as high as $150 by August, contingent on a sustained rotation of derivatives volume from centralized exchanges to crypto-native venues and a broader expansion of Hyperliquid’s product lineup. The core premise rests on a rapid lift in the platform’s 30-day annualized revenue run rate—from about $843 million in March to $1.40 billion by August—fueled in part by the company reinvesting a large share of its earnings into HYPE token buybacks. This framework sits at the intersection of macro asset demand and crypto-native execution, with HIP-3 mechanics and new listings shaping the potential trajectory.

Key takeaways

• The CEX-to-DEX rotation is central to the bull case: Hyperliquid has already absorbed roughly 6% of centralized-exchange derivatives volume as of March, and Hayes estimates a further gain of about 3.96 percentage points if growth continues.
• Revenue momentum matters: the target rise from $843 million in March to $1.40 billion by August is the lynchpin for the projected upside toward $150 per HYPE.
• Tokenomics as a price driver: about 97% of Hyperliquid’s revenue is used to repurchase HYPE on the open market, creating a feedback loop where rising activity supports the token’s price strength.
• HIP-3 expands the product map: the mechanism enables permissionless perpetual markets by staking HYPE, with new listings tied to oil, gold, silver, and major US indices gaining traction and contributing to revenue growth (nearly 10% of total revenue).
• Oil and macro assets as catalysts: oil-linked perpetuals have become top-traded pairs, indicating traders are diversifying beyond crypto into macro assets via the platform.

Tickers mentioned: $HYPE, $ETH

Sentiment: Bullish

Price impact: Positive. The thesis hinges on sustained liquidity growth and ongoing macro-asset demand, which could lift HYPE if the revenue-and-volume trajectory proves durable.

Trading idea (Not Financial Advice): Hold. The scenario depends on continued platform expansion and macro liquidity, which are not guaranteed, but the structure suggests potential upside if momentum persists.

Market context: The analysis sits within a broader pattern of crypto-native venues absorbing traditional-asset trading activity, as liquidity seeks alternative venues amid macro volatility and evolving regulatory considerations affecting derivatives and tokenomics.

Why it matters

Hyperliquid’s bull case rests on a deliberate strategy: move more derivatives activity away from centralized exchanges to a DEX-like platform, and reinvest most revenue into the native token to reinforce upside incentives. If the platform sustains its growth trajectory, the implications extend beyond a single token. It would signal a shifting landscape where specialized crypto-native marketplaces become primary venues for macro-trading strategies—expanding liquidity pools, attracting institutional-like flows, and intensifying price discovery for digital assets linked to traditional markets. The emphasis on HIP-3, which enables permissionless perpetual markets by staking HYPE, could diversify the platform’s revenue streams and reduce reliance on pure crypto volatility, aligning more with real-world assets such as oil and precious metals.

The oil-and-commodity angle underscores a broader narrative: as geopolitical tensions affect traditional markets, traders increasingly view crypto-native venues as hedges or proxies for macro exposures. In Hyperliquid’s case, the CL-USDC perpetual pair has spiked to the top of the platform’s volume rankings, signaling a meaningful tilt toward macro-asset liquidity within a crypto framework. This shift could alter correlation dynamics across digital and traditional markets, inviting investors to reevaluate risk budgets and correlation assumptions. Yet the track record of outsized calls by Hayes—some of which did not materialize—serves as a sober reminder that macro-driven theses can unravel quickly if liquidity conditions relax or if platform execution stalls.

The takeaway for users and builders is quantitative rather than rhetorical: a successful CEX-to-DEX migration and stronger macro-asset liquidity on a platform like Hyperliquid could redefine the risk-reward calculus for derivatives activity in crypto. On the other hand, token unlocks and shifts in market sentiment remain meaningful headwinds that investors must monitor alongside regulatory developments and macro policy shifts. The evolving HIP-3 ecosystem will be a critical barometer of whether Hyperliquid can translate trading activity into durable revenue growth and, ultimately, into sustained token demand.

What to watch next

• Track whether the 30-day annualized revenue run rate reaches the $1.40 billion target by August, and assess how any deviations affect HYPE’s price trajectory.
• Monitor HIP-3 expansions and new listings tied to macro assets like oil, gold, silver, and major US indices, plus their contribution to quarterly revenue numbers.
• Watch liquidity metrics on CL-USDC and ETH-USDC to gauge macro-asset demand on Hyperliquid and any shifts in trading preferences between crypto and traditional markets.
• Observe HYPE’s price action around the neckline near $35.50 and the potential breakout toward $50, with attention to how the 50-day moving average interacts with price development.
• Check for further commentary from Hayes or Hyperliquid about product expansion, tokenomics changes, or new risk-management features that could influence user adoption and liquidity.

Sources & verification

• Hayes, Arthur. Post on Cryptohayes Substack outlining a fivefold potential move for HYPE and the CEX-to-DEX rotation. https://cryptohayes.substack.com/p/hype-man
• Hyperliquid price index overview and discussion of HYPE’s price dynamics. https://cointelegraph.com/hyperliquid-price-index
• HIP-3 revenue impact and market activity data, including commodity listings. https://cointelegraph.com/news/hyperliquid-hip-3-open-interest-hits-793m-on-commodities-surge
• Oil-linked trading volume context and related macro considerations. https://cointelegraph.com/news/oil-pulls-back-g7-emergency-reserve-hyperliquid-volume
• Maelstrom’s analysis on HIP-3 revenue contributions and token dynamics. https://cointelegraph.com/news/maelstrom-warns-hype-token-pressure-11-9b-unlocks

Market reaction and key details

Hyperliquid’s bull thesis anchors on shifting derivatives liquidity and a disciplined reinvestment approach. Hayes argues that if the platform can sustain the migration of derivatives volume from centralized exchanges and broaden its product suite, HYPE could traverse a multifold path—from roughly $30 toward targets near $150 by August. The revenue math is explicit: a move from $843 million in March to $1.40 billion in the 30-day window would imply a meaningful acceleration in platform activity, which in turn would support continued token-buyback pressure in the open market. Importantly, Hyperliquid directs the majority of its earnings back into HYPE; about 97% of revenue is used to purchase more of the token. This design creates a price-supporting dynamic that could amplify gains if demand remains resilient and trading volumes hold steady or rise.

The HIP-3 mechanism adds another layer. By staking HYPE, users can launch perpetual markets permissionlessly, and the project has already seen interest in oil, gold, silver, and major US indices. The latest data suggests HIP-3 accounts for roughly 10% of Hyperliquid’s revenue, with proponents expecting revenue growth to accelerate as onboarding of macro assets intensifies. If the macro environment remains conducive and Hyperliquid continues to add tokens and assets to its catalog, the combination of higher volumes and ongoing token buybacks could support a sustained move higher in HYPE. However, the path is not guaranteed; token unlocks from previous periods have historically weighed on price, and investors should factor in the potential for volatility amid shifting liquidity and risk sentiment.

The oil-linked trading—exemplified by CL-USDC—illustrates how macro exposure is translating into crypto-native activity. As the platform reports sustained volumes on commodity pairs, traders appear to be using Hyperliquid as a bridge between traditional markets and crypto risk assets. This trend is reinforced by the growing volume of ETH-USDC pairs, which demonstrates continued appetite for Ethereum-denominated exposure within Hyperliquid’s ecosystem. All told, the story emphasizes a broader trend: the market is increasingly pricing macro dynamics within crypto-native venues as liquidity moves away from conventional order books and toward more specialized, asset-diversified platforms.

U.S. exchange-traded funds tied to Solana (SOL) and XRP (XRP) are attracting investors despite falling crypto prices, though the two products are drawing very different types of buyers.

Solana ETFs are seeing stronger participation from institutional crypto investors, while XRP funds appear to rely more heavily on retail demand, according to a new report from Bloomberg Intelligence analysts James Seyffart and Sharoon Francis.

“Early Solana ETF demand is being driven largely by industry-native capital rather than broader institutional adoption,” the analysts wrote about Solana ETFs.

About 49% of assets in U.S. spot Solana ETFs were identifiable through 13F filings as of Dec. 31, a regulatory disclosure required for large institutional investment managers. Investment advisers accounted for the largest share of reported holdings, with roughly $270 million in exposure. Hedge funds followed with about $186 million.

“The early holder base remains top-heavy and skewed toward crypto-focused investment firms and market makers, suggesting broader institutional participation is still building,” the analysts wrote. The largest known holders include Electric Capital, Goldman Sachs and Elequin Capital.

Solana is a blockchain network designed to support decentralized applications such as trading platforms, lending services and NFT marketplaces. The network aims to process transactions quickly and cheaply, making it a popular platform for crypto trading and decentralized finance.

Some of the initial capital likely reflects investors shifting existing Solana exposure into the ETF structure rather than entirely new buying. Still, the data suggests that does not explain the full picture. Because about half of the ETF assets are disclosed through 13F filings, even assuming those positions represented swapped exposure would leave a significant share of inflows coming from new buyers.

Solana ETFs have attracted $173 million in net inflows so far in 2026, even as the token has fallen sharply. The report notes that cumulative inflows into the funds have reached about $1.45 billion since launch. That is about 2.5% of the amount that spot bitcoin BTC$70,043.59 ETFs have amassed, but it is still a relatively strong figure for such young products.

The products debuted during a difficult market environment. Solana has dropped more than 50% since October, when new spot ETFs launched under the Securities Act of 1933.

Some common ETF trading strategies also appear limited. Futures basis yields — often used by hedge funds to run arbitrage trades — have compressed, leaving fewer incentives for those positions. “With basis yields now compressed, hedge funds and market makers have little incentive to enter new positions in spot Solana ETFs,” the analysts wrote.

XRP ETFs present a different ownership pattern.

Only about 16% of XRP ETF assets were identifiable through 13F filings at the end of December, suggesting a smaller institutional footprint. Advisers again led among disclosed holders with about $165 million in exposure, while hedge funds accounted for around $37 million.

The remaining shares are likely held by investors who do not file 13Fs, including retail buyers.

“We believe a large portion are held by retail investors, who aren’t required to file 13Fs,” according to the report.

XRP is the native token used on the XRP Ledger, a blockchain focused on payments and cross-border money transfers. The network is designed to help financial institutions move funds between countries quickly and at a lower cost than traditional banking rails.

Despite that retail tilt, XRP ETFs have gathered significant assets. The funds attracted more than $1.4 billion in the six weeks after launching in November and have largely held those gains into 2026, even with XRP down about 26% this year.

The analysts said the stability in assets despite weaker futures activity suggests demand may reflect direct market views rather than derivatives-driven arbitrage.

“ETF assets have largely held their gains, suggesting demand may become increasingly directional rather than mechanical,” they wrote.

Together, the findings show how newer crypto ETFs are still developing their investor bases.

While bitcoin funds have drawn broad institutional adoption, Solana and XRP products appear to be carving out different paths as the market matures, with Solana attracting more crypto-native institutional capital and XRP drawing a larger share of retail investors.

Sonic price forms bullish RSI divergence near the value area low. Holding $0.03 support could trigger a corrective rally toward $0.04 resistance.

Sonic (S) is currently trading at a critical technical level where early signs of a potential trend reversal are beginning to emerge. After an extended period of downside pressure, the token is now showing bullish RSI divergence around the value area low, a level that has historically attracted buying interest.

This divergence suggests that while price has been printing lower lows, the Relative Strength Index (RSI) has started to form higher lows. In technical analysis, this type of momentum shift often signals that bearish pressure may be weakening and that the market could be preparing for a potential corrective rally.

Sonic price key technical points

• Bullish Divergence: RSI forming higher lows while price prints lower lows.
• Key Support: Sonic holding critical support near $0.03.
• Upside Target: Holding support could open a move toward $0.04 resistance.

Sonic’s recent price action highlights a potential shift in momentum as the market attempts to stabilize after a prolonged decline. The most notable signal on the chart is the presence of a bullish RSI divergence, which has developed near the value area low. This technical formation occurs when price continues to move lower while momentum indicators begin trending higher, suggesting that selling pressure may be gradually fading.

Bullish divergences are commonly observed during the late stages of a downtrend. As the market approaches key support levels, sellers begin to lose momentum while buyers start stepping in at discounted prices. This gradual shift in control between sellers and buyers can often lead to a reversal or, at the very least, a corrective bounce.

In Sonic’s case, the $0.03 level has now emerged as a critical support zone. This level represents an area where buyers have begun defending price, preventing further downside expansion in the immediate short term. The market’s ability to hold above this level will likely determine whether the current bullish divergence develops into a sustained rally or simply results in a temporary relief bounce. 

Meanwhile, Sonic Labs has launched USSD, a USD-pegged stablecoin backed by tokenized U.S. Treasury assets, adding a new source of stable liquidity to the Sonic blockchain ecosystem.

Another key technical factor supporting the potential for a reversal is the 0.618 Fibonacci retracement, which aligns closely with the current support structure. The 0.618 Fibonacci level is widely recognized in technical analysis as an important retracement level where markets frequently experience reversals or strong reactions.

When Fibonacci levels align with other technical indicators, such as value areas or support zones, they often create strong areas of technical confluence. In this case, the combination of the value area low, Fibonacci support, and bullish RSI divergence strengthens the probability that the market could attempt a corrective move higher. 

Meanwhile, Sonic Labs is entering a new phase under CEO Michael Demeter, who has outlined a long-term roadmap aimed at reshaping how the layer-1 blockchain generates and sustains value.

However, confirmation of this reversal will depend heavily on price behavior in the coming sessions. If Sonic continues to hold above the $0.03 support, it would reinforce the bullish divergence and increase the probability of a structural shift in market behavior.

A successful defense of this support could allow price to rotate higher toward the next major technical barrier, which sits near the $0.04 high-timeframe resistance. This level represents the next area where sellers may attempt to regain control of the market.

From a market structure perspective, a rally toward $0.04 would represent the first meaningful higher high following the recent downtrend. Such a move could signal the early stages of a broader recovery phase if buying momentum continues to strengthen.

What to expect in the coming price action

Sonic is currently positioned at a key technical inflection point as bullish RSI divergence develops near the value area low. As long as price holds above the $0.03 support and respects the 0.618 Fibonacci retracement, the probability increases for a corrective rally toward $0.04 resistance.

A break below $0.03, however, would invalidate the bullish setup and suggest that bearish momentum remains dominant.

Societe Generale-FORGE, the crypto arm of the French lender, has completed a multichain expansion of its euro-denominated stablecoin, EUR CoinVertible (EURCV), by deploying it on the Stellar network. The move closes a circuit in a rollout the firm began outlining in 2025 and signals a broader push to normalize euro-backed digital assets across major blockchains. EURCV is designed to be MiCA-compliant and fully collateralized on a one-to-one basis with reserves comprised of bank deposits and high-quality liquid assets. The Stellar deployment aims to unlock new on-chain uses for tokenized assets and digital markets, leveraging Stellar’s fast settlement, low fees, and built-in support for tokenized assets. The euro-stablecoin’s on-chain footprint now spans Ethereum, Solana, and the XRP Ledger, with Stellar added to the roster and multiple deployments planned to expand liquidity and interoperability. DefiLlama places EURCV’s market cap at around $452 million, reflecting steady interest in euro-denominated liquidity tools in a market still dominated by dollar-pegged assets.

Key takeaways

• SG-FORGE’s EURCV is now live on the Stellar network, adding a fourth major chain to a multichain rollout that began with Ethereum and Solana and included the XRP Ledger previously.
• Stellar’s on-chain DEX and low transaction costs are highlighted as features that could improve the accessibility and efficiency of euro-denominated tokenized assets.
• EURCV remains fully backed 1:1 by reserves of bank deposits and high-quality liquid assets, aligning with MiCA requirements in the European Union.
• A January SWIFT pilot demonstrated the exchange and settlement of tokenized bonds using both fiat and digital currencies, underscoring cross-border interoperability for euro-denominated instruments.
• The euro-stablecoin push in Europe continues amid MiCA and licensing debates, while the broader stablecoin market in the United States has gained regulatory clarity after recent legislative developments; US dollar-backed tokens still dominate market share.

Tickers mentioned: $ETH, $SOL, $XRP, $USDT, $USDC, $EURT

Market context: European policymakers are pursuing MiCA compliance as a framework for issuers, with a regulatory emphasis on licensing and oversight that contrasts with the more permissive or evolving regimes in other regions. In the United States, regulatory clarity for stablecoins gained momentum after supporting legislation, while the sector remains heavily weighted toward dollar-backed assets, a dynamic underscored by the ongoing growth of USDT and USDC in global markets.

Why it matters

The expansion of EUR CoinVertible onto Stellar matters because it demonstrates a deliberate effort to diversify the on-ramp and liquidity options for euro-denominated digital assets beyond the dominant Ethereum ecosystem. By placing EURCV on Stellar, SG-FORGE taps into an infrastructure designed for speed and scale, including a built-in decentralized exchange component that can facilitate on-chain trading of tokenized assets without requiring users to leave the network. The move also signals confidence that MiCA-compliant euro stablecoins can operate effectively across multiple rails, potentially reducing fragmentation in European digital asset markets while preserving the ability to settle tokenized instruments in a regulated framework.

From a risk and liquidity perspective, EURCV’s 1:1 backing by bank deposits and high-quality liquid assets anchors its value and aligns with European regulators’ expectations for reserve quality. The euro-stablecoin ecosystem in Europe has lagged behind the US dollar-centered stablecoin crowd, but the EU’s regulatory regime—emphasizing licensing, consumer protections, and capital requirements—aims to create a more stable operating environment for issuers and users. The DefiLlama data cited in the broader narrative shows EURCV as a meaningful, if still niche, component of the euro-denominated segment, contributing to greater diversification within a market that has grown from roughly $260 billion in July 2025 to over $314 billion in more recent readings. In parallel, the U.S. landscape has benefited from regulatory clarity around stablecoins, even as competition remains intense among USDT and USDC, underscoring a global race to build trusted, compliant euro- and dollar-pegged assets on-chain.

Another layer of significance is the cross-border interoperability demonstrated by the SWIFT tokenized-bonds pilot. By bridging fiat and digital currencies in a tokenized-bonds context, the pilot points to a potential path for faster settlement and greater liquidity for euro-denominated debt instruments. While the technical and regulatory hurdles are nontrivial, the episode illustrates how traditional financial infrastructure can converge with blockchain rails to create more efficient capital markets. Taken together, the Stellar deployment, the SWIFT pilot, and MiCA’s evolving requirements underscore a broader shift: euro-denominated stablecoins are moving from proof-of-concept experiments to practical tools for everyday settlement, collateralization, and liquidity provisioning in regulated markets.

The trajectory also highlights a fundamental tension in the crypto ecosystem: regulatory clarity versus market opportunity. European authorities aim to codify safeguards and licensing, while market participants seek speed and utility across diverse networks. EURCV’s emergence on Stellar illustrates how institutions can align with regulatory expectations while exploring value-adding features such as native on-chain trading, faster settlement, and broader access for tokenized assets. The ongoing dialogue between policymakers, banks, and crypto-native issuers will influence how quickly such euro-stablecoins achieve scale, and which networks emerge as the most effective rails for cross-border, on-chain euro settlements.

What to watch next

• Adoption metrics for EURCV on Stellar: transaction volume, on-chain liquidity, and any new issuer partnerships.
• Additional network deployments: any further moves to other blockchains beyond Stellar, and the timeline for potential integrations with major on/off-ramp providers.
• MiCA regulatory developments: licensing decisions and any updates to capital requirements or disclosure standards that could influence future euro-stablecoin issuance.
• Cross-border use cases: uptake in tokenized euro-denominated assets and further SWIFT-like interoperability experiments beyond bonds.

Sources & verification

• Official page: SG-FORGE — Stellar network stablecoin launch details (https://www.sgforge.com/stellar-network-stablecoin/)
• EURCV on Ethereum: historical launch information (https://cointelegraph.com/news/societe-generale-launches-euro-pegged-stablecoin-on-ethereum)
• DefiLlama: EURC stablecoin data and market cap (https://defillama.com/stablecoin/eurc)
• EURCV on XRP Ledger deployment reference (https://cointelegraph.com/news/societe-generale-forge-expands-euro-stablecoin-to-xrp-ledger-in-multi-chain-push)
• MiCA framework and European stablecoin regulation discussion (https://cointelegraph.com/learn/articles/markets-in-crypto-assets-regulation-mica)

Market reaction and key details

Societe Generale-FORGE’s multi-chain approach to EURCV reflects a broader push to de-risk and diversify euro-denominated liquidity in a crypto market that has been historically dominated by U.S. dollar-backed tokens. The Stellar deployment aims to enhance throughput and reduce friction for on-chain settlements and tokenized asset services, aspects that could become important as European issuers seek regulated, interoperable rails for cross-border activity. The ongoing regulatory backdrop—MiCA’s licensing requirements and the EU’s caution around euro-denominated assets—frames the pace and scale of adoption, even as the U.S. market advances new regulatory clarity around stablecoins. With EURCV now live on Stellar, the door opens to additional use cases such as tokenized bonds, on-chain collateralization, and more efficient settlement flows in a regulated European context.

Looking ahead, investors and builders will watch not only the rate of EURCV’s on-chain activity but also how Stellar’s ecosystem, DeFi integrations, and stablecoin usage converge with MiCA’s licensing standards. The cross-chain momentum—moving from Ethereum to Solana, XRP Ledger, and now Stellar—suggests a potential template for other euro-denominated assets seeking regulated, scalable rails. As with all stablecoins, the ultimate test will be resilience under stress: reserve quality, transparency, and the ability to maintain 1:1 parity in diverse market conditions. If EURCV maintains robust backing and gains practical traction on Stellar, it could become a more visible, trusted option for institutions and decentralized markets seeking regulated euro exposure within a crypto-enabled settlement infrastructure.

The U.S. banking industry had effectively lobbied to halt the crypto industry’s market structure bill, the Digital Asset Market Clarity Act, over a dispute about the proper role for stablecoin rewards. But lawmakers continue to negotiate a compromise to move that legislation forward.

One of the lawmakers at the center of those talks, Senator Angela Alsobrooks, told an audience at an American Bankers Association summit in Washington on Tuesday, that both sides of the negotiation — bankers trying to limit most stablecoin rewards as a threat to traditional deposits and the crypto industry that argues they’re an important consumer incentive — are going to be “just a little bit unhappy.” The Maryland Democrat has been working with Senator Thom Tillis, a North Carolina Republican, to hash out a way to get a long-delayed Senate Banking Committee hearing on the legislation.

“The compromise that myself and Senator Tillis have been working on is one that we believe will allow us to have the guardrails in place that will help us to prevent — in all the ways we can — the deposit flight that we do not want to see happen, and to allow the innovation to grow at the same time,” Alsobrooks said, referencing the banks’ insistence that rewards on stablecoin holdings are so similar to bank deposits that people will take their money out of the banks.

“We absolutely have to have these protections to prevent the deposit flight, but we’re going to probably have to make some compromises,” the senator said.

So far, the compromise seems to focus on the possibility that some narrower area of stablecoin activity be eligible for customer rewards paid by crypto platforms.

Last year’s stablecoin law, the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act, “barred payment stablecoin issuers from paying interest to attract customers,” noted ABA President Rob Nichols. He argued that “unless crypto exchanges and other affiliated companies are bound by the same common-sense restrictions, the result is a clear effort to evade congressional intent.”

Senator Mike Rounds, a South Dakota Republican who — like Alsobrooks and Tillis — is a member of the Senate Banking Committee, told the banks on Tuesday that he’s “not sure” how to properly approach stablecoin rewards, yet. He said that handing out rewards to customers can’t be about how much money is held in an account, but it might be tied to how active the account is.

“We’re trying to reflect that in the discussions,” he said.

The bankers, who were preparing Tuesday to disperse to meetings across Capitol Hill to make their points with lawmakers and staffs, have pushed for a very narrow allowance for rewards. But JPMorgan Chase & Co. CEO Jamie Dimon, the leader of the biggest U.S. institution, suggested in a recent interview that his industry could accept transaction-based rewards — a position that’s been offered by the crypto industry in meetings at the White House.

The U.S. Office of the Comptroller of the Currency recently proposed a rule to adopt much of the GENIUS Act, though its position on stablecoin rewards was seen as murky by the crypto industry. The agency had said that it wouldn’t allow evasions of the yield ban for stablecoin issuers. But industry insiders have expressed comfort that they’ll be able to set up rewards programs that won’t run afoul of the OCC’s proposal, which the digital assets advocates say allows considerable room for rewards programs designed as customer incentives.

Despite the bankers further underlining the dangers of the yield loophole on their business model this week, the legislation could still advance if Alsobrooks, Tillis and others on the Senate Banking Committee are satisfied with new compromise language. The next step would be a markup hearing, like the one delayed earlier this year. If the bill passes that, it would be combined with a version that already cleared the Senate Agriculture Committee.

A final version would then be put before the entire Senate for a vote, which would require a considerable number of Democrats to pass.

That may remain a concern because other debates beyond stablecoin yield have gone unresolved. Senate Democrats have raised concerns about the decentralized finance (DeFi) sector posing vulnerabilities to bad actors, and they’ve also argued that Democrats be appointed to vacant roles at the CFTC and SEC. But possibly the most contentious of their requests is to ban senior government officials from profiting on personal crypto business ties — most pointedly, President Donald Trump.

There are procedural headwinds, too. Senate floor time is always at a premium, and other matters could still get in the way, such as the war in Iran and Trump’s threats that he won’t sign any approved bills until Congress sends him a voter-ID package he can sign into law before the midterm congressional elections.

Read More: Market structure state of play: State of Crypto

Nigel Farage aide George Cottrell is betting $41,000 that the US war with Iran will last for another four months, despite Reform UK calling for an end to the conflict. 

When Israel and the US attacked Iran in February, Farage criticised UK Prime Minister Keir Starmer for not allowing the US access to its military bases.   

Reform maintained its position that the US-led war should be backed by the UK before the party u-turned this week. 

Indeed, Reform politician Robert Jenrick called for the war to end “as soon as possible” because of its potential negative impact on the UK economy. 

Farage added today that the UK should stay out of the war, but only because of perceived shortcomings in the country’s defensive capabilities following a drone attack in Cyprus. 

However, despite this change in direction from the party, Cottrell was betting between March 7 and 9 that a ceasefire between the US and Iran wouldn’t happen before June 30, 2026. 

Read more: Reform UK insider George Cottrell tied to Trump Polymarket bets worth millions

The Polymarket bet stands to win $123,000 if the US keeps up its war against Iran for another four months. The bet’s market, however, doesn’t seem to agree, and his wager faces a current unrealised loss of -$6,240.

Nigel Farage says Cottrell ‘is like a son to me’

Cottrell, who has reportedly been Farage’s “right-hand man” for years, was convicted of wire fraud in March 2017 after he was caught agreeing to launder drug trafficking proceeds. 

The financier lived in Montenegro, where he was accused of illegal political financing and was investigated over a crypto ATM’s usage. An avid gambler, he reportedly lost €20 million ($23 million) in a single poker game while in the country.

However, Cottrell’s recent Polymarket bets, including on Starmer’s departure, US strikes against Iran, and the vote share of New York’s newly elected mayor, Zohran Mamdani, have lost over $800,000.

For much of crypto’s history, the primary use case has been simple: buying tokens and trading them.

Now, some investors and builders believe the industry may be moving toward a different model altogether: earning crypto instead of buying it.

One version of that idea is what venture firm Multicoin Capital calls Internet Labor Markets (ILM) — networks in which users receive tokens by contributing work, resources or expertise.

“The reason people get their first crypto in the future won’t be because they bought it,” Sengupta said in an interview with CoinDesk. “It’ll be because they earned it.”

The concept has begun gaining attention, particularly in ecosystems like Solana, where a growing number of projects are experimenting with networks that reward users for performing verifiable tasks.

That shift — from speculation to earning — is at the heart of Internet Labor Markets, where users contribute work, resources or judgment to decentralized networks and receive tokens in return. If the model takes hold, Sengupta believes crypto could evolve into something closer to a global labor marketplace.

For most of crypto’s existence, participation meant converting traditional money into digital assets such as bitcoin, ether or solana before interacting with the ecosystem. ILMs flip that dynamic: instead of buying tokens first, users complete tasks and receive crypto as payment.

“The idea is simple,” Sengupta said. “There are two ways people enter crypto — they either buy in or they earn in.”

Over the past decade, most users followed the first route. But Sengupta believes the next wave will come from the second.

“If you have a system where you can issue new assets and move them around at super low cost,” he said, “you can coordinate labor globally.”

In practice, that labor can take many forms — contributing bandwidth, labeling data, reducing energy consumption or performing physical tasks tied to decentralized infrastructure.

“Someone starts a company to source something the market needs, and 50,000 people around the world can get paid for producing that labor,” Sengupta said.

The concept builds on earlier crypto experiments, such as decentralized physical infrastructure networks (DePIN) — a category of projects that has largely emerged from the Solana ecosystem — which reward participants for contributing resources, such as wireless coverage or mapping data.

But Sengupta believes the next phase goes beyond hardware.

“The system moves from just plugging in hardware to people doing more active work — contributing judgment, effort and time,” he said.

Instead of passive contributions, many ILM systems focus on discrete tasks that can be verified and paid for instantly. A network might reward users for labeling data, reporting local information, identifying bugs in code or completing real-world assignments.

The blockchain advantage

Blockchain infrastructure makes those systems possible because work can be verified and settled automatically.

In traditional employment systems, payments often require invoices, approvals and delays. ILMs replace that process with deterministic verification — confirming work was completed and paying contributors instantly through crypto rails.

Much of that work may ultimately intersect with artificial intelligence.

One example Sengupta points to is Grass, a network that allows users to share unused internet bandwidth through software installed on their devices. The bandwidth can then be used for data-scraping tasks to help train AI models.

Multicoin Capital is a crypto investment firm that manages a multi-billion-dollar token hedge fund. In January 2022, the firm said it raised $422 million for a venture fund backing early-stage blockchain startups.

“People around the world download the software, contribute spare bandwidth, and earn tokens for participating in the network,” he said.

But the model could evolve further.

“The next phase is not just scraping data, but humans applying discretion — labeling data, judging quality — in ways that only humans can,” he said.

In other words, the internet’s next generation of labor markets may involve humans collaborating with AI systems rather than competing against them.

Sengupta argues that AI could actually increase demand for distributed human contributors. As companies become smaller and more automated, they still depend on people for tasks that require judgment, verification or real-world execution.

AI may shrink core teams, he said, but it also increases the need for on-demand contributors — creating demand for systems that can source, verify, and pay those contributions globally.

If this vision materializes, crypto’s next users may not arrive through speculation at all — but through work.

Read more: Multicoin Capital co-founder Kyle Samani steps down after nearly a decade to pursue other areas of tech

Crypto-related hacks declined sharply in February, but attackers are increasingly targeting users through phishing campaigns and malicious wallet approvals — a shift suggesting they are focusing more on exploiting human behavior than on vulnerabilities in smart contracts.

According to Nominis’ monthly report, roughly $49 million was lost to crypto-related exploits in February.

A single breach involving Step Finance, a portfolio dashboard and analytics platform built on the Solana blockchain, accounted for the bulk of the losses, with attackers draining approximately $30 million.

The February figure marks a steep decline from the $385 million stolen in January. While one month of data does not necessarily indicate a sustained trend, the drop suggests that large-scale protocol exploits were less prevalent during the period.

Social engineering attacks caused more cumulative damage than traditional smart contract exploits, Nominis said, with phishing campaigns increasing sharply during the month. These attacks typically trick users into interacting with malicious links or signing fraudulent transactions.

Private individuals were the most common victims, rather than centralized exchanges or decentralized finance protocols.

The most prevalent attack method was authorization abuse, in which victims unknowingly granted wallet permissions that allowed attackers to move funds from their accounts.

The figures broadly align with separate reporting from blockchain security company PeckShield, which estimated that February crypto exploits totaled $26.5 million, the lowest monthly losses since March 2025. PeckShield attributed the decline partly to stronger risk controls and improved security practices across the industry.

Related: South Korea sells $21.5M in recovered Bitcoin after custody breach

Crypto security improving, but major exploits persist

Hacks and scams have been a persistent feature of the cryptocurrency industry since its early days, though exchanges and security firms say defenses are gradually improving.

Crypto exchange Bybit recently reported that its fraud-prevention system blocked more than $300 million in unauthorized withdrawals during the final quarter of last year. The company said it flagged roughly 350 high-risk fraud addresses and prevented around 8,000 users from falling victim to potential scams.

Despite improvements in detection systems, large-scale attacks remain a major risk for the industry. According to Chainalysis, crypto hacks resulted in $3.4 billion in cumulative losses last year, underscoring the scale of the threat.

Related: Google uncovers iOS exploit kit used in crypto phishing attacks