Connect with us
DAPA Banner

Crypto World

Best Crypto to Invest in for 2026 as SEC Classifies 16 Commodities While Pepeto Offers a Rare 220x Before Listing

Published

on

Best Crypto to Invest in for 2026 as SEC Classifies 16 Commodities While Pepeto Offers a Rare 220x Before Listing

There are so many entries in the crypto market now, making it hard to find the best crypto to invest in. The key is to look past the attention and focus on projects that actually solve real problems for everyday traders with tools that work today.

Pepeto has raised more than $8 million and is filling its latest stage, priced at $0.000000186. That kind of traction shows committed interest from wallets that did the math. With a potential return of 220x projected by analysts, Pepeto is outpacing large caps in terms of near term opportunity. For anyone looking for the best crypto to invest in for 2026, this one is worth moving on before the Binance listing closes the entry.

The SEC and CFTC issued a joint ruling on March 17 classifying 16 major cryptocurrencies as digital commodities including BTC, ETH, SOL, XRP, ADA, DOGE, SHIB, LINK, and AVAX, according to CoinDesk.

The decision ended over a decade of regulatory uncertainty and immediately triggered $4.5 billion in Bitcoin ETF inflows during March, according to The Block.

Advertisement

Finding the top entry for 2026 just got clearer because assets with commodity status now have institutional backing, and the presale with a Binance listing approaching sits ahead of all of them in return potential.

Where the Commodity Classification Meets Presale Returns Before Trading Opens

Pepeto

Think of Pepeto as having a personal verification layer for every contract your capital touches. The exchange reviews every smart contract before you interact with it, flagging anything dangerous in plain language. You can ask it any question about a token and the platform explains it in terms that do not require a technical background.

With a clean and fast platform, you do not need to be technical to use the exchange. That built in protection is a big reason why so many wallets are entering the presale as the best crypto to invest in right now. The risk scorer catches the traps before your money moves, PepetoSwap handles every trade at zero fees, and the cross chain bridge sends tokens between networks at zero cost.

Now look at what the numbers mean for your position. The market cap is small enough that 220x from the Binance listing is a rational target, with 193% APY staking building early positions while stages fill faster. The SolidProof audit verified every contract, and the developer who created the original Pepe coin reaching $11 billion with the same 420 trillion supply built the exchange alongside a former Binance expert.

Advertisement

The end of the presale is closer than most realize, with the Binance listing approaching. Pepeto is the best crypto to invest in because the exchange already works and the distance between presale pricing and listing is where 220x lives.

SUI

SUI trades near $0.91 as of March 27 still stuck below $1.00 despite adding hundreds of thousands of new users and receiving commodity classification from the SEC, according to CoinMarketCap.

Support at $0.80, resistance at $1.50. Growing chain, but the return from $0.91 is capped by weak retention and takes months to deliver what one listing delivers from presale pricing.

LINK

Chainlink trades near $8.87 as of March 27 with the CCIP cross chain protocol expanding and the SEC commodity classification confirmed, according to CoinMarketCap.

Advertisement

Support at $7.50, resistance at $10.00. Strong oracle infrastructure, but the path from $8.87 is a recovery measured in quarters, not the compressed timeline where the best crypto to invest in sits at presale pricing before one listing.

Best Crypto to Invest in Confirms the Presale Price Becomes the Return Everyone Talks About After Listing

Pepeto is offering you a chance to enter something that changes your entire cycle. The SEC just classified 16 assets as commodities, and the regulatory era that follows is exactly where an exchange with verified tools and a Binance listing delivers the kind of returns that make the early entry the story everyone references.

The last stage sold out ahead of schedule and this one fills while you read. The Pepeto official website is where getting in now means being on the side that collects when the listing opens trading and every wallet that entered at presale pricing becomes the return that late arrivals wish they had secured.

Click To Visit Pepeto Website To Enter The Presale

Advertisement

FAQs:

Finding the best crypto to invest in?

Many consider Pepeto the strongest option because the exchange runs verified tools today and the Binance listing is confirmed with analysts projecting 220x from presale pricing.

What is the best crypto to invest in for 2026?

Advertisement

Pepeto checks every requirement for traders who want compressed returns. The Pepeto official website is where the exchange is still at presale pricing before the listing opens to the broader market.

What are the top coins to invest in alongside the new commodity classification?

Getting in early at presale pricing means your position has the full distance to the listing ahead of it, and established coins that already cost more face a slower and harder path to deliver returns that change your cycle.


Disclaimer: This is a Press Release provided by a third party who is responsible for the content. Please conduct your own research before taking any action based on the content.

Advertisement

Source link

Continue Reading
Click to comment

You must be logged in to post a comment Login

Leave a Reply

Crypto World

NEAR Protocol DeFi Hub Rhea Finance Loses $7.6 Million in Oracle Exploit

Published

on

Rhea Finance on Near Protocol

NEAR Protocol’s largest Decentralized Finance (DeFi) hub, Rhea Finance, suffered a $7.6 million exploit after an attacker manipulated its oracle and validation layer.

Blockchain security firm CertiK flagged the incident, confirming that assets were drained across multiple tokens.

How the Rhea Finance Exploit Unfolded

The attacker deployed fake token contracts and created fresh liquidity pools on the protocol. These pools likely distorted price feeds, misleading the oracle into validating fraudulent transactions.

According to CertiK, at least $7.6 million was extracted from Rhea Finance. Stolen funds included USDC, USDT, Zcash (ZEC), and NEAR (NEAR).

Advertisement

Vadim Zacodil, an ex-NEAR core contributor, confirmed the figures and warned users to monitor the situation closely.

Withdrawals are currently halted as the team works to contain further damage.

“The attacker created fake token contracts and added liquidity in fresh pools, likely misleading the oracle and validation layer,” CertiK noted.

Why This Matters for NEAR DeFi

Rhea Finance holds a dominant position in the NEAR ecosystem. Formed in early 2025 through the merger of Ref Finance and Burrow Finance, it serves as the primary DEX and lending layer on the network.

Advertisement
Rhea Finance on Near Protocol
Rhea Finance on Near Protocol. Source: DefiLlama

The protocol previously held over 95% of NEAR’s DeFi total value locked, making this exploit significant for the entire chain’s DeFi infrastructure.

Oracle manipulation remains one of the most persistent vulnerabilities in DeFi, with attackers repeatedly exploiting untested price feeds and thin liquidity.

The coming days will reveal the full scope of losses and whether Rhea Finance can secure affected user funds.

The post NEAR Protocol DeFi Hub Rhea Finance Loses $7.6 Million in Oracle Exploit appeared first on BeInCrypto.

Advertisement

Source link

Continue Reading

Crypto World

Tempo Unveils ‘Zones’ for Private Enterprise Stablecoin Transactions

Published

on

Tempo Unveils 'Zones' for Private Enterprise Stablecoin Transactions

The Stripe-incubated blockchain is pitching privacy as the missing piece for institutional stablecoin adoption.

Tempo, the payments-focused Layer 1 blockchain, on Wednesday introduced Tempo Zones, a new feature that lets enterprises run private stablecoin transactions on parallel blockchains connected to Tempo’s mainnet.

The product targets a core friction point for institutions exploring stablecoin rails: public blockchains broadcast every transaction by default. A company processing payroll, for example, would expose individual salary data on-chain, while a payment processor would leak confidential merchant volume with every settlement.

“The parties to a transaction should see the details, the broad public should not, all while retaining the usability and interoperability of stablecoin rails,” the Tempo team wrote in a blog post.

Advertisement

Zones serve as private execution environments where participants can transact without publicly revealing information. Assets remain interoperable with Tempo’s mainnet, meaning users inside a Zone can still access on-ramps, off-ramps, and decentralized exchange liquidity on the base layer.

The Zone operator, which can be the enterprise itself or a third-party infrastructure provider, has visibility into all transactions within its Zone for compliance and reporting purposes, but does not have custody of funds. Assets are locked in a smart contract on Tempo’s mainnet and can only be withdrawn by the owning user.

Tempo said enterprises managing payroll are among the first users of Zones, with broader production deployments planned in phases. The company is currently working with design partners across payroll, treasury, settlement, and tokenized deposit use cases.

The launch adds another layer to Tempo’s pitch to institutional users. The blockchain, which Stripe and Paradigm first unveiled in September 2025, went live on mainnet in March alongside the Machine Payments Protocol, an open standard for AI agent-to-service payments co-authored with Stripe. It raised $500 million in a Series A at a $5 billion valuation in October 2025, and recently onboarded Visa, Stripe, and Zodia Custody as validators.

Advertisement

This article was written with the assistance of AI workflows. All our stories are curated, edited and fact-checked by a human.

Source link

Continue Reading

Crypto World

Zonda reports 4,500 BTC wallet inaccessible as withdrawals stall

Published

on

Crypto Breaking News

Polish crypto exchange Zonda disclosed that a cold wallet holding about 4,503 BTC is currently inaccessible as withdrawal requests spike and questions swirl around the platform’s governance. In a video posted on X, Zonda chief executive Przemysław Kral showed the wallet address and said the private keys were never handed over, arguing that the handover failed because founder and former chief executive Sylwester Suszek has been missing since 2022.

The disclosure arrives amid weeks of controversy linked to local media reports of a policing probe into Zonda, and a Recoveris analysis that warned the exchange could be insolvent given a sharp drop in the hot wallet balances. The address’s last on-chain activity dates back to November 2025, and the balance remains around 4,503 BTC, valued at roughly $334 million depending on the price at the time of measurement.

Previously, Kral had denied insolvency claims following Recoveris’ April 6 report, reiterating that Zonda remained solvent with more than 4,500 BTC in custody. In the latest video, he attributed the withdrawal pressure to an abnormal spike in requests, driven by negative media coverage. He noted that Zonda normally processes around 100,000 withdrawal requests per year, but more than 25,000 were filed within hours and days around early April. He also vowed to pursue legal action over what he described as false claims and to uphold customer obligations amid the withdrawal surge.

Polish lawmaker Tomasz Mentzen commented on X that Zonda may have lost access to its cold wallet following Suszek’s disappearance. While Kral did not say the funds were lost, he stressed that the private keys were never transferred during the handover. Suszek has been reported missing since March 2022, with coverage referencing alleged criminal ties among some of Zonda’s shareholders when the firm was known as BitBay.

Advertisement

Founded in Poland in 2014 and rebranded as Zonda in 2021, the exchange has been at the center of regulatory and political debate around crypto in the country. Kral told Cointelegraph in February that the company registered in Estonia amid regulatory uncertainty in Poland and delays implementing the European Union’s Markets in Crypto-Assets regime, known as MiCA. The broader context sees Poland balancing national policy with EU rules as regulators weigh stronger oversight of crypto firms and custody practices.

Key takeaways

  • The Zonda cold wallet address holds about 4,503 BTC, last active in November 2025, valued at roughly $334 million as markets moved. The private keys were reportedly never handed over to the founders, complicating any potential access recovery.
  • Kral attributed withdrawal pressure to an unusual spike around early April, with more than 25,000 withdrawal requests in a short period, far exceeding Zonda’s typical annual pace of around 100,000.
  • Recoveris’ analysis and local media reports have fueled insolvency concerns, while Kral has publicly denied such claims and pledged to meet customer obligations while pursuing legal action over what he calls false accusations.
  • The ongoing dispute intersects with regulatory dynamics in Poland and the EU, including MiCA-related uncertainties that prompted Zonda to register in Estonia and heightened scrutiny of the Polish crypto sector.

Disclosure of the inaccessible wallet and the stakes for users

The revelation that a sizable cold wallet could be out of reach raises immediate questions for customers relying on Zonda for funds custody and withdrawals. While Kral maintains that the private keys were never transferred, the situation underscores the fragility that can accompany custody arrangements when founders vanish or governance transitions stall. The wallet’s inactivity since late 2025 adds another layer of ambiguity about the future accessibility of those funds and how the exchange intends to honor withdrawal requests already in flight.

Market observers will be watching how Zonda navigates this impasse — whether through legal channels, potential third-party custodial interventions, or other mechanisms to restore confidence among users and counterparties. The balance between public assurances and on-chain realities is at the heart of investor and customer risk in a scenario where a substantial asset holdings appear to be stranded.

Regulatory scrutiny, solvency debates, and the Polish crypto frame

Media coverage of a possible Polish authorities probe has amplified a broader conversation about how crypto exchanges should be supervised in Poland and across the European Union. The Recoveris report, which suggested a potential insolvency risk based on on-chain balances, has interacted with local reporting to amplify investor concern, even as Zonda asserts solvency. The exchange’s leadership has argued that a sudden uptick in withdrawal demand, rather than balance mismanagement, explains the immediate stress around withdrawals.

The case sits at a crossroads of national policy and EU-wide rules. Zonda’s decision to register in Estonia, highlighted by Kral, reflects a strategic coping mechanism to navigate regulatory uncertainty within Poland and the slow rollout of MiCA. As policymakers debate stricter custody standards and clearer licensing pathways for crypto businesses, Zonda’s public custody incidents may sharpen the debate over how quickly and robustly regulators should intervene to protect consumers while fostering innovation.

Advertisement

The unfolding narrative also touches on the sensitive topic of Suszek’s disappearance and the historical governance of the company, which was previously BitBay before the rebrand. Reports of alleged ties between shareholders have added a criminal-justice dimension to the financial and regulatory questions surrounding Zonda. While there is no definitive public linkage announced between Suszek’s disappearance and the current liquidity concerns, the constellation of factors has intensified calls for stronger disclosure and more transparent governance in regional crypto ventures.

What to watch next for Zonda and the broader landscape

Moving forward, observers will scrutinize whether Zonda provides additional on-chain disclosures, updates on the status of the private keys, and any official statements clarifying the custody framework and customer guarantees. Regulators in Poland and across the EU will likely monitor how the exchange resolves withdrawal pressures, communicates with customers, and addresses governance questions stemming from Suszek’s absence and historical leadership changes. The Estonia registration and MiCA implications will be a recurring thread as the sector tests the balance between regulatory compliance and practical operations in a rapidly evolving policy environment.

Readers should stay tuned for any new statements from Zonda, any formal regulatory actions, and further analytical commentary from firms tracking custody risk and on-chain activity. The convergence of custody challenges, regulatory pressures, and a high-profile missing-founder case ensures that Zonda’s next moves will be read as a bellwether for governance standards and investor protection in Poland’s expanding crypto ecosystem.

Sources and context for this report include Zonda’s disclosed wallet narrative and Kral’s video statement, media reporting on the Polish probe, Recoveris’ analysis, on-chain data from Blockchain.com, and related regulatory discussions around MiCA and Poland’s crypto policy framework.

Advertisement

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

Source link

Advertisement
Continue Reading

Crypto World

Bitcoin Price Prediction: BTC Stalls at $75K

Published

on

46% of Bitcoin supply now in loss, near 2022 bear levels

Bitcoin price prediction turns cautious on Thursday as BTC hovers near $74,921, with profit-taking slowing a ceasefire-driven rally that pulled in $597.5 million in spot ETF inflows over two days.

Summary

  • Bitcoin traded at $74,921 on Thursday morning, up 1.7% in 24 hours and 5.5% over the week, as the US-Iran ceasefire rally stalled on profit-taking near the $75,000 zone.
  • Spot Bitcoin ETFs drew $597.5 million in net inflows over the past two days, reflecting sustained institutional demand even as price momentum softened.
  • IG analysts say a confirmed close above $76,100 is needed to signal bullish continuation, with $72,000 serving as the key support floor below.

Bitcoin (BTC) price prediction points to consolidation Thursday as BTC drifts near $74,921, held up by institutional demand but capped by profit-taking after a sharp week of gains tied to the US-Iran ceasefire. BTC is up 1.7% over the past 24 hours and 5.5% for the week, but the rally is losing steam at familiar resistance.

The S&P 500 set a record on Wednesday. Crypto did not follow at the same pace, underscoring a more cautious investor posture in digital assets relative to equities despite the improved geopolitical backdrop.

Advertisement

The $76,000 level has now rejected price three times. IG analysts wrote Wednesday that “a technical breakout above roughly $76,100 would signal bullish continuation but failure maintains range-bound trading.” The setup has not changed materially: positive macro sentiment from ceasefire hopes is being offset by intermittent profit-taking from traders who bought earlier in the week.

The SuperTrend indicator has flashed green on the daily chart and MACD lines crossed into positive territory, both pointing to underlying bullish structure. But BTC has failed to close above $75,000 on a sustained basis across multiple sessions.

ETF Inflows Provide the Floor

Twelve US spot Bitcoin ETF inflows totalled $597.5 million across the past two sessions, per SoSoValue data. Short liquidations added $152 million in forced buying pressure over the same window, providing mechanical support to the rally even as spot demand from retail traders remains subdued.

Advertisement

The combination keeps $72,000 as the structural floor. A break below that level would invalidate the current bullish thesis and expose BTC to a deeper correction, per the on-chart analysis.

What Moves the Price From Here

The path to $80,000 remains tied to geopolitics more than technicals. Trump told Fox News the Iran conflict is “close to over” and the White House said talks are “productive and ongoing.” Any confirmed ceasefire extension or positive development from resumed negotiations in Islamabad would likely trigger another ceasefire rally similar to last week’s 5% surge to $74,400.

Absent that catalyst, BTC looks likely to continue ranging between $72,000 and $76,000 until diplomatic clarity arrives or the FOMC meeting on April 28 provides fresh macro direction.

Advertisement

Source link

Continue Reading

Crypto World

Retail traders pile into Allbirds after odd AI pivot. History shows it won’t end well

Published

on

hide content

Sign on facade at shoe company Allbirds, Walnut Creek, California, August 25, 2025.

Smith Collection | Archive Photos | Getty Images

Retail traders stampeded into Allbirds after the troubled shoemaker slapped an artificial intelligence label on its business, a set-up that market history suggests rarely ends well once the initial hype fades.

Advertisement

Shares of the company skyrocketed as much as 582% on Wednesday after the firm detailed shocking plans to rebrand as NewBird AI and shift toward compute infrastructure. The surge added more than $100 million to its market value, which had been just $21 million a day earlier.

Retail investors were quick to embrace the new narrative, data from Vanda Research showed. Net purchases hit a record $5.2 million in a single day, surpassing even demand seen during the company’s 2021 IPO.

Stock Chart IconStock chart icon
hide content

Allbirds year to date

Advertisement

This surge of speculative buying reflects a broader return of animal spirits among small traders as the broader stock market rebounded violently from losses triggered by geopolitical risks. The S&P 500 has entirely erased its losses associated from the Iran war and hit a fresh all-time high Thursday.

“The market is not pricing risk. It is pricing narrative. It is pricing the word ‘AI’ the same way it once priced the word ‘blockchain’ and before that the suffix ‘.com,’” Mark Malek, CIO at Siebert Financial, said in a note. “This is not analysis. This is pattern-matching on a buzzword by investors who have watched AI-adjacent stocks go parabolic and do not want to miss the next leg. The signal is not subtle.”

The rise of zero-commission trading platforms helped usher in a new generation of retail investors, lowering the cost of speculation and accelerating the spread of so-called meme trades. That dynamic was on full display during the 2021 GameStop episode, when coordinated buying by individual traders sent the stock soaring and inflicted heavy losses on short sellers, cementing a playbook that continues to resurface in different forms.

From karaoke to AI

A recent example underscores how these episodes can veer into the surreal. Algorhythm Holdings — a little-known karaoke machine and niche consumer electronics maker — stunned markets when it announced a pivot to an AI-driven logistics and compute platform.

Advertisement

“That shift in narrative was enough to spark a sharp pickup in retail flows, with buying persisting beyond the initial headline and helping drive a second leg higher in the stock,” Vanda Research said in a note of Algorhythm.

However, the enthusiasm proved fleeting as the shares have since round-tripped and are now back to roughly $1, underscoring how quickly such narrative-driven gains can evaporate.

The rally in Allbirds has quickly shown signs of strain, with the stock tumbling more than 20% on Thursday as momentum cooled.

Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.

Source link

Advertisement
Continue Reading

Crypto World

Spartans Betting Platform Generates $40 Million GGR While Rollbit and BC.Game Cannot Keep Up

Published

on

Spartans Betting Platform Generates $40 Million GGR While Rollbit and BC.Game Cannot Keep Up

The digital wagering sector in April 2026 is witnessing a technical revolution where speed is the ultimate currency. While Rollbit and BC.Game have defined the previous era of crypto-native gambling, Spartans.com is rewriting the rules through sheer technical performance. During its record-breaking beta phase, Spartans processed $100,000,000 in total deposits, generating an impressive $40,000,000 in Gross Gaming Revenue (GGR).

Currently ranked 14th and climbing globally, the platform has established itself as the fastest withdrawal online casino by integrating proprietary “Degen Zone” technology, allowing for high-velocity wagering and instant payouts that legacy platforms simply cannot match.

Rollbit: The Crypto-Native Ecosystem

Rollbit has long been considered a pioneer in the crypto gambling space, successfully building a multifaceted ecosystem that blends traditional casino games with innovative features like NFT loans and a native token economy. In 2026, it remains a major destination for players who appreciate a broad range of crypto-integrated services.

However, the complexity of the Rollbit platform—designed to manage everything from a sportsbook to a token-burn mechanism—can sometimes lead to a slightly higher latency during peak wagering periods. While Rollbit offers a diverse experience, its core engine is not exclusively optimized for the ultra-high-frequency betting that modern “power users” demand.

Advertisement

Consequently, while it provides a reliable service, it faces stiff competition from specialized, high-velocity engines. For players prioritizing the absolute fastest execution and the most streamlined withdrawal process, the multifaceted nature of Rollbit can occasionally represent an operational trade-off in raw technical speed.

BC.Game: The Gamification Giant

BC.Game is the industry leader in social gamification, keeping its massive user base engaged through a continuous cycle of quests, daily spins, and community-focused incentives. Its platform is a masterclass in retention, offering a deep VIP hierarchy and a wide array of proprietary games. As of mid-April 2026, it continues to thrive by appealing to a broad demographic of social bettors.

However, this focus on gamification results in a “heavy” user interface that can struggle to provide the zero-latency experience required for high-frequency automated betting. BC.Game’s withdrawal infrastructure is robust, but it often involves multiple verification steps and native token conversions that can add time to the payout cycle.

For the elite tier of bettors who treat gambling as a high-performance activity, the social layers of BC.Game can feel like friction. While it remains a top-tier choice for entertainment, it lacks the specialized “Degen” focus found in newer, leaner platforms.

Advertisement

Spartans: High-Velocity GGR and the Degen Zone

Spartans.com has redefined what it means to be a high-performance gambling platform by focusing on the core essentials: speed, liquidity, and technical efficiency. Generating $40,000,000 in Gross Gaming Revenue (GGR) from $100,000,000 in total deposits during its beta phase is a testament to the platform’s unparalleled engagement. This massive revenue result is driven by the proprietary “Degen Zone”, a high-velocity wagering engine designed specifically for automated betting on original titles like Crash, Plinko, and Dice. The Degen Zone allows players to process thousands of wagers per hour with zero latency, making Spartans the definitive choice for the modern power user.

To complement this wagering speed, Spartans has established itself as the fastest withdrawal online casino by utilizing high-speed ADA (Cardano) and AVAX (Avalanche) multi-chain payment rails. These rails ensure that payouts are as instantaneous as the games themselves, bypassing the administrative delays common on other sites. Currently sitting at a 14th global ranking and climbing, Spartans has used its beta performance to prove that technical superiority leads to higher volume and better results.

While the platform offers over 5,900 games from 43+ providers, the “Degen Zone” remains its crown jewel, catering to a segment of the market that demands precision and pace. By stripping away the clutter of social gamification and focusing on raw performance, Spartans is successfully migrating high-stakes volume away from Rollbit and BC.Game, positioning itself as the elite standard for the August 1st global launch.

Conclusion

The technical gap between Rollbit, BC.Game, and Spartans.com is becoming the primary differentiator for the world’s most active bettors in 2026. While Rollbit offers a complex ecosystem and BC.Game excels in social engagement, Spartans.com has captured the high-performance market with its $40M GGR and specialized “Degen Zone.”

Advertisement

As the platform continues its ascent past the 14th global rank, it has firmly cemented its reputation as the fastest withdrawal online casino in the industry. For players who demand instant execution and liquid payouts, Spartans.com provides the ultimate technical edge in the modern crypto-gambling era.

Find Out More About Spartans:

Website: https://spartans.com/

Instagram: https://www.instagram.com/spartans/

Advertisement

Twitter/X: https://x.com/SpartansBet

YouTube: https://www.youtube.com/@SpartansBet


Disclaimer: This is a Press Release provided by a third party who is responsible for the content. Please conduct your own research before taking any action based on the content.

Advertisement

Source link

Continue Reading

Crypto World

Tether To Lead $150M Recovery Program for DeFi Platform Drift Protocol

Published

on

Tether To Lead $150M Recovery Program for DeFi Platform Drift Protocol

Stablecoin issuer Tether, the company behind USDt (USDT), said Thursday it will back a $150 million recovery program for the Drift Protocol decentralized exchange (DEX) following an exploit of the platform in April.

The recovery plan for the $280 million Drift Protocol exploit includes $127.5 million from Tether, with the rest coming from undisclosed partners, according to Tether’s announcement. Tether said:

“Rather than relying on upfront capital alone, the structure links funding and recovery to ongoing trading activity on the Drift platform, allowing user balances to be restored as the exchange returns to normal operations.”

The Drift Protocol platform will “contribute directly” to the ongoing recovery of user funds as the platform resumes normal trading activity. 

The top 10 crypto assets stolen from the Drift Protocol in the exploit. Source: Quill Audits

Drift will also transition its settlement asset from Circle’s USDC (USDC) dollar-pegged stablecoin to Tether’s USDt as part of the platform’s relaunch. 

Cointelegraph reached out to Tether but did not receive a response by the time of publication. 

Advertisement

The recovery program highlights a growing trend of crypto industry companies collaborating to restore user funds and help platforms resume normal operations after major hacks or cybersecurity attacks that cause hundreds of millions of dollars in losses.

Related: Drift sends onchain message to wallets tied to $280M exploit

Circle comes under fire for not freezing funds after Drift Protocol attack

Crypto industry executives, cybersecurity researchers and blockchain security firms criticized Circle for not freezing the USDC wallets linked to the Drift Protocol exploiter, despite having a window of several hours to intervene.

The exploiter used Circle’s Cross-Chain Transfer Protocol (CCTP), a native bridge that allows tokens to be transferred to other blockchain networks, to transfer over $232 million USDC from the Solana network to the Ethereum network, according to onchain sleuth ZachXBT.

Advertisement
Cybercrime, Tether, Hacks, Stablecoin, DeFi
Source: ZachXBT

The funds were transferred in more than 100 transactions, he said, adding, “Despite the attacker laundering funds over six consecutive hours across Circle’s own native bridge, no USDC was frozen. The attacker has been linked to North Korea by Elliptic.” 

Circle’s stock sank by about 10% on April 9, following criticism over the company’s failure to freeze the funds from the hack and downgraded forecasts from market analysts. The NYSE-traded shares have since clawed back that decline, increasing about 20% as of yesterday’s close, according to Yahoo Finance data.

Magazine: Are DeFi devs liable for the illegal activity of others on their platforms?