Crypto World
Chaos Labs Exits as Aave Crypto Risk Manager Amid Governance Dispute
Aave $50 billion crypto TVL now operates without a dedicated risk manager – the direct consequence of Chaos Labs’ exit, which strips the protocol of the firm responsible for pricing every loan on the platform since 2022 and managing liquidation thresholds, collateral factors, and interest rate parameters across all V2 and V3 markets.
The departure follows the earlier exits of BGD Labs and Aave Chan Initiative, leaving Aave with no remaining technical contributors from its V3 build team at precisely the moment V4 demands dual-stack oversight.
The mechanism is a governance dispute over compensation structure and risk philosophy – but the structural exposure is a protocol-risk vacuum landing on a $50 billion balance sheet mid-migration.
- What Happened: Chaos Labs, Aave’s primary risk manager since November 2022, announced its exit citing unprofitability, contributor attrition, and a fundamental disagreement with Aave Labs over risk methodology for the V4 migration.
- Protocol Risk: Chaos managed collateral factors, liquidation thresholds, and interest rate models across all Aave V2 and V3 markets – functions that now lack an assigned owner on a platform holding over $50 billion in TVL and processing nearly $1 trillion in cumulative loans.
- Compensation Dispute: Aave Labs proposed raising Chaos Labs’ budget to $5 million annually – roughly 3.5% of Aave’s $142 million in 2025 revenue – but Chaos deemed it insufficient given three years of operating losses and the expanded V4 workload. Banks typically allocate 6–10% of revenue to risk and compliance functions.
- V4 Complexity: Aave V4, which launched one week before the exit announcement, introduces a hub-and-spoke liquidity architecture requiring entirely new infrastructure, tooling, and simulation models – while V3 simultaneously requires active support until full migration, a process Chaos Labs founder Omer Goldberg said historically takes years, not months.
- Contributor Attrition: Chaos Labs is the third major Aave contributor to exit in 2025, following BGD Labs and Aave Chan Initiative – a sequence that compresses the remaining institutional knowledge base inside the DAO at a critical transition point.
- What to Watch: The DAO’s governance forum vote on interim risk mandate appointments – specifically whether a credentialed replacement is named before Aave’s first V4 parameter adjustment is required. Any V4 liquidation event without a designated risk manager in place would represent a measurable failure of the transition framework.
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What Chaos Labs Actually Did at Aave Crypto – and Why Its Exit Creates a Structural Gap
The real story isn’t that a vendor relationship ended. It’s that Aave’s core risk infrastructure, the system that determined which assets could be used as collateral, at what ratios, with what liquidation buffers – was built and maintained by a single external firm now walking out during the most complex protocol upgrade in Aave’s history.
Chaos Labs priced every loan initiated on Aave from November 2022 through the present, managing risk parameters across V2 and V3 deployments spanning more than a dozen networks.
That scope includes liquidation threshold calibration, interest rate curve configuration, and collateral factor adjustments – the parameters that determine whether a $50 billion lending platform absorbs volatility or generates cascading bad debt.
Goldberg stated on X that Chaos achieved zero material bad debt during this tenure, a claim that carries weight given the scale of assets under management.
The governance dispute crystallized around three compounding pressures. First, Aave Labs’ proposed $5 million annual budget – approximately 3.5% of Aave’s $142 million in 2025 protocol revenue – fell short of what Chaos calculated as cost recovery after three years of operational losses.
Risk and compliance functions at traditional financial institutions absorb 6–10% of revenue; Chaos was being asked to operate at roughly half that floor while taking on materially greater complexity.
Second, V4’s hub-and-spoke architecture requires building from scratch: new infrastructure, new liquidation simulations, and new oracle integrations for asset classes Aave has not previously managed. Goldberg described it plainly – “going from zero to one again on a codebase that has not yet been battle-tested.”
Third, and structurally most significant: the legal liability question for DeFi risk managers remains entirely unresolved.
A March 2026 oracle misconfiguration – a Chaos Labs CAPO risk agent feeding an inaccurate price ratio for staked Ether – triggered $26.9 million in erroneous liquidations. No regulatory safe harbor exists for DeFi risk managers operating at this scale.
As DeFi governance disputes increasingly surface legal and ethical liability questions, the undefined exposure attached to managing $50 billion in lending parameters is no longer theoretical – it is priced into the decision to walk away.
Aave Labs CEO Stani Kulechov pushed back on the urgency framing, stating that V4 is additive and V3 migration carries no forced deadline. That may be true at the protocol level. It does not resolve who manages V3 risk parameters while the replacement search runs – or who sets V4’s initial collateral factors when the first major markets go live.
The post Chaos Labs Exits as Aave Crypto Risk Manager Amid Governance Dispute appeared first on Cryptonews.
The bitcoin price prediction latest crypto news Iran deadline today tells a familiar story: BTC briefly reclaimed $70,000 on Monday ceasefire hopes before retreating to the $68,000 range on Tuesday as Iran rejected the deal and Trump’s 8 PM ET deadline drew closer, with ETH, SOL, and XRP all posting losses of 2% to 4%.
Summary
- Bitcoin touched $70,200 on Monday on ceasefire optimism, then pulled back to around $68,200 on Tuesday as Iran rejected the 45-day proposal and geopolitical risk overwhelmed bullish sentiment
- Spot Bitcoin ETFs recorded $471 million in inflows on April 6, the sixth-largest single-day total of 2026 and the highest since late February, signaling sustained institutional demand even as price action weakened
- Analysts say a confirmed deal tonight could push BTC toward $75,000, while a major escalation risks breaking the $66,500 support level and opening a path toward $60,000
The bitcoin (BTC) price prediction latest crypto news Iran deadline today is being driven entirely by geopolitics. Bitcoin pulled back to around $68,228 on Tuesday morning after Monday’s brief touch of $70,200, as Iran formally rejected the US-backed 45-day ceasefire proposal and Trump confirmed his 8 PM ET strike deadline remained in force. The crypto market cap fell roughly 2% to $2.42 trillion as traders positioned defensively heading into the evening.
Ethereum dropped 2.9% to $2,090. Solana fell 3.8% to $79.44. XRP slid 3.3% to $1.31. The pattern is the same one that has played out across six weeks of this conflict: a de-escalation headline sparks a rally, Iran rejects the terms, and the gains get erased within hours.
The one data point bucking the bearish narrative is spot Bitcoin ETF flows. Monday’s $471 million in inflows marked the sixth-largest single-day total of 2026 and the highest since late February, according to Bloomberg. Binance Research found this month that Bitcoin’s correlation with its Global Easing Breadth Index, which tracks 41 central banks, turned strongly negative after the launch of spot ETFs, suggesting institutional investors are treating dips as accumulation opportunities regardless of short-term price moves.
As crypto.news reported, a confirmed agreement tonight could open the door to a move toward $75,000, as easing tensions would support risk appetite across financial markets. Failure to reach a deal points in the other direction, with $66,500 identified as the key support zone and, below that, a Glassnode-flagged negative gamma setup that leaves BTC exposed to a faster move toward $60,000.
The Two Scenarios Traders Are Pricing
“This move looks less like a shift in fundamentals and more like positioning getting caught offsides,” said Diana Pires, chief business officer at sFOX. “Heading into the weekend, sentiment was heavily skewed bearish and short interest had built up across the market. Once ceasefire headlines hit, that positioning had to unwind.”
The six-week trading range of $65,000 to $73,000 that has defined Bitcoin during the Iran war remains intact. Breaking above it requires either a genuine ceasefire or a significant improvement in the macro backdrop — neither of which looks imminent at press time.
What the Fed Overlay Adds
Oil above $111 per barrel means inflation expectations remain elevated, which reduces the Federal Reserve’s room to cut rates. The market currently prices in little near-term Fed movement. Bitcoin, which performs best in easing liquidity environments, is caught between institutional accumulation demand and a macro backdrop that keeps capital defensive. That tension is precisely why BTC has held its war range rather than breaking either way.
As crypto.news noted, the Strait of Hormuz situation is the single most important variable. Tonight’s 8 PM ET deadline is the clearest binary event Bitcoin has faced in the six weeks since the war began.
Iran’s hashrate has plummeted over the past quarter amid an ongoing conflict with the US and Israel, though the war itself has not dragged down global hashrate, according to a new report from Hashrate Index.
Iran has lost roughly 7 exahashes per second (EH/s) quarter-over-quarter, said Ian Philpot, marketing director at Luxor Technology, in a report published Monday. The country’s hashrate now sits at about 2 EH/s according to the Hashrate Index heatmap.
Philpot noted that while the regional conflict clearly impacted Iran, it could have triggered a ripple effect for neighboring countries such as the United Arab Emirates and Oman, yet so far, neither has been affected.
“The impact was contained to Iran; neighboring UAE and Oman remained stable. The global hashrate at ~1,000 EH/s persists because no single region has enough capacity to threaten network continuity. Regional disruptions redistribute hashrate rather than destroy it,” he said.
The Middle East conflict escalated in February after the US and Israel launched strikes against Iran, which has led to retaliatory strikes from both sides. A deal for a two-week ceasefire between the US and Iran was reached on Tuesday. Iran is estimated to have 427,000 active Bitcoin (BTC) mining rigs.
Miners are the backbone of the Bitcoin network. They validate and record all Bitcoin transactions into new blocks. The more miners participate, the higher the hashrate, which helps secure the network.
Global hashrate down due to Bitcoin price slump
The 30-day simple moving average network global hashrate declined from 1,066 EH/s in Q1 to around 1,004 EH/s in Q2, a 5.8% quarter-over-quarter decline that Philpot attributed to a slump in Bitcoin prices.
Miners earn Bitcoin for each block they solve, but with prices down, those rewards do not always cover the cost of running their rigs.
Meanwhile, Bitcoin has fallen more than 45% from its all-time high of $126,000, set in October, pushing hash prices to record lows. Philpot said mining profitability, not energy costs or regulatory policy, is the primary driver of today’s geographic shifts in hashrate.
“At these levels, older-generation equipment, 25+ J/TH efficiency, operates at negative gross margins, forcing shutdown. We estimate 252 EH/s of marginal capacity sits offline—most legacy hardware already retired,” he added.
Related: Solo Bitcoin miner bags $210K Bitcoin block reward
“This pattern is cyclical. Mining profitability drives machine deployment and retirement more than energy costs or regulatory frameworks. Geographic shifts observed in Q1 and Q2 reflect operators testing which regions can sustain operations once the down-cycle ends and hashprice normalizes.”
Top three countries control 65.6% of the global hashrate
The US holds the largest share of global hashrate at over 37%, followed by Russia at around 17% and China at 12%, according to the Hashrate Index heatmap.
Philpot said the hashrate among the largest players is roughly flat, however the composition is changing, with legacy equipment forced offline and modern hardware deployed selectively to regions where it can remain profitable long term.
“Growth is characterized by deployment of modern hardware alongside retirement of legacy equipment. Canada shows similar dynamics: slight quarter-over-quarter pullback but positive year-over-year growth, reflecting optimization rather than exodus,” he added.
Magazine: Bitcoin may take 7 years to upgrade to post-quantum — BIP-360 co-author
TLDR
- Binance.US is focused on diversifying its offerings by expanding into derivatives and prediction markets.
- Under CEO Stephen Gregory, Binance.US aims to regain market share lost to competitors like Coinbase and Kraken.
- The platform is committed to rebuilding trust with regulators and users through a strengthened compliance framework.
- Binance.US seeks to offer event-based markets and products tied to real-world outcomes as part of its new strategy.
- The company hopes that restoring trust and improving liquidity will help increase trading volumes and assets on the platform.
Binance.US is working to regain its footing in the U.S. crypto market by introducing new offerings. The company aims to move beyond basic crypto trading by exploring new product areas like derivatives and prediction markets. Under the leadership of Stephen Gregory, who became CEO in March, Binance.US seeks to rebuild its reputation and market share.
Expanding Beyond Spot Trading
Binance.US is setting its sights on product diversification as it attempts to make a comeback in the competitive U.S. market. The platform, once holding about 20% of the U.S. crypto market share, now operates at near-zero levels. Gregory’s leadership marks a shift as he pushes for offerings like retail derivatives and prediction markets. “Prediction markets are super hot. Everybody’s talking about that,” Gregory shared, highlighting the company’s interest in emerging market trends.
In addition to spot trading, the company plans to offer event-based markets and products linked to real-world outcomes. Binance.US sees these moves as essential in differentiating itself from other platforms such as Coinbase and Kraken. As trading fees compress, platforms are forced to explore new ways to generate revenue, and Binance.US is positioning itself at the forefront of this change.
Binance.US Focuses on Compliance to Rebuild Trust
One of the primary goals of Gregory’s plan is to rebuild trust with regulators and users. Binance.US has faced regulatory challenges, especially due to its association with Binance’s global brand. Gregory, however, emphasizes that the U.S. entity now operates independently with its own governance and a stronger compliance framework.
“We’ve really built a very, very strong compliance program,” Gregory stated, signaling the company’s commitment to adhering to U.S. regulations.
Gregory believes that restoring trust is crucial to regaining market share. He suggests that trust could help attract assets back to the platform, boosting liquidity and trading volumes. As Binance.US works to re-establish itself, it remains focused on offering a more diverse set of products while reinforcing its commitment to compliance and transparency.
Competitive Landscape and Market Challenges
Despite the potential product expansion, Binance.US faces a challenging environment. Regulatory clarity in the U.S. remains uncertain, which creates difficulties in its efforts to attract new customers and grow its market share. Competitors like Coinbase have strengthened their positions while Binance.US retrenched, making it harder for the platform to reclaim its former standing.
Nevertheless, Binance.US is betting on its broader product offerings and regulatory focus to drive future growth. With these strategic shifts, the company is looking to re-enter the conversation in the U.S. crypto market, hoping to return to its former prominence.
The new tool from the Solana-based DEX aggregator lets DEXs, launchpads, and AI agents build verification into their token creation flows.
Jupiter, the largest decentralized exchange aggregator by trading volume, today announced a new developer tool, the Express Verification API by Jupiter VRFD.
The verification API allows launchpads, DEXs, and AI agents to integrate verification into their token creation flows, so that tokens can be verified programmatically.
The three-step API flow involves a developer creating and signing a Solana transaction burning 1,000 JUP, then submitting the verification request alongside any token metadata updates in a single call. As Jupiter’s documentation explains, verification and metadata updates are reviewed independently, meaning a metadata change can go through even if a verification request is declined. Submissions can also be repeated as needed.
The API call transaction doesn’t required gas, meaning devs don’t need SOL to pay transaction fees, just a wallet holding at least 1,000 JUP to submit a request, the documentation notes.
Jupiter is positioning VRFD as standard plumbing for any project launching on Solana — a timely move given growing scrutiny over the role of private, closed-source AMMs routing an ever-larger share of Jupiter’s volume.
The launch extends Jupiter’s infrastructure play beyond pure trading. The Solana-based protocol is the world’s largest DEX aggregator by both weekly (~$2 billion) and 30-day (~$12 billion) volumes, according to DefiLlama. KyberSwap, which operates across 23 chains, is currently beating Jupiter on the daily timeframe, with nearly $444 million in the past 24 hours.
Jupiter currently carries a combined total value locked of $1.7 billion. In August, Jupiter Lend attracted $500 million in TVL within a single day of its beta debut, and that number has almost doubled to about $934 million by press time.
JUP is currently trading near $0.16, down over 90% from its all-time high in early 2024.
This article was written with the assistance of AI workflows. All our stories are curated, edited and fact-checked by a human.
This release summarizes new findings from SAS and IDC regarding how banks deploy AI. It notes that rising AI spend has not yet translated into robust governance or guardrails, undermining trust in AI systems. The study finds that only 11% of banks achieve both high internal confidence in AI and demonstrable trust, while 47% sit in a trust dilemma between underuse and overreliance. With regional digital transformation advancing in the UAE and beyond, the report underscores the need for governance, transparency, and solid data foundations as banks scale AI. The rest of this article highlights key takeaways and near-term watchpoints.
Key points
- Only 11% of banks achieve both high internal confidence in AI and demonstrably trustworthy AI.
- 47% fall into the trust dilemma between underusing reliable AI and overrelying on unvalidated AI.
- 19% operate with siloed data infrastructure, the worst rate among the study’s focus industries.
- 45% lack effective data governance and 41% lack centralized or optimized data infrastructure.
- 60% expect AI spending growth between 4% and 20%.
Why it matters
These findings have practical implications for banks, regulators, and technology teams. Without strong data foundations, governance, and explainability, AI investments may fail to deliver reliable results or earn customer and regulator trust. The emphasis on responsible innovation indicates that meaningful ROI depends on aligning AI ambition with governance and transparent decision-making before scaling. For readers, the report signals where weaknesses exist and what foundational work should be prioritized as AI initiatives move from pilots to production.
What to watch
- 52% plan to expand their AI architecture; 43% plan to form or grow dedicated AI teams.
- 31% plan to focus on developing and tuning AI models themselves.
- Nearly one-third plan increases in trustworthy AI investment to support more autonomous systems.
- 60% expect AI spending growth between 4% and 20%.
Disclosure: The content below is a press release provided by the company or its PR representative. It is published for informational purposes.
Study: Only 11% of banks have cracked the code on trustworthy AI
Even as AI spending surges, few banks have established the necessary governance and guardrails – and nearly half misjudge their own AI readiness
Dubai, United Arab Emirates, 7 April 2026 – In banking, trust isn’t optional – it’s everything. Yet, even as banks accelerate AI investment faster than other sectors, most are deploying AI without the oversight and infrastructure needed to earn that trust. That’s the central tension revealed in new banking insights from SAS’ Data and AI Impact Report: The Trust Imperative, with research insights by IDC.
Among the four sectors examined in the study, banking outpaces government, insurance and life sciences both in AI spending and adoption of trustworthy AI practices. In fact, about one-quarter (23%) of banks operate at the highest level of IDC’s Trustworthy AI Index. But even with these advantages, most banking institutions fall far short of the report’s “ideal state,” which combines high trust with high trustworthiness. According to the report:
- Only 11% of banks have achieved both high internal confidence in AI and AI systems that are demonstrably trustworthy.
- Nearly half (47%) fall into what IDC calls the “trust dilemma” – either underusing reliable AI because they don’t sufficiently trust it or overrelying on AI systems that haven’t been adequately validated.
“On trustworthy AI, banking leads every sector in this study – and even so, most banks’ foundational readiness is nowhere near where it needs to be,” said Stu Bradley, Senior Vice President of Risk, Fraud and Compliance Solutions at SAS. “Roughly nine in 10 banks have yet to fully align trust with proof, and about one in five are still running on siloed data. Closing the gap between AI ambition and AI readiness should be a top-down priority for all banks.”
As the UAE’s Vision 2031 and wider digital transformation efforts continue to gain momentum, banks across the Middle East are increasingly adopting advanced technologies to improve efficiency, strengthen resilience, and deliver better customer experiences.
Michel Ghorayeb, Managing Director at SAS UAE, said: “Banks in the Middle East are well-positioned to build on strong foundations, with robust data, clear governance, and effective oversight enabling AI investments to scale and deliver reliable results. At the same time, prioritizing transparency and making AI decisions easier to understand will play a key role in strengthening confidence. Banks that place responsible AI at the heart of their strategy will be best positioned to drive innovation, earn trust, and create sustainable long-term value.”
Investment is rising, but foundations remain fragile
The report, based on a global, cross-industry survey of 2,375 IT and business leaders, reveals a troubling pattern: Investment in AI capabilities is not being matched by investment in the responsible innovation pillars that make AI dependable. In an industry where a single model failure can trigger regulatory penalties or erode consumer confidence overnight, that’s a dangerous disconnect.
And the problem isn’t a lack of investment: Banks’ AI spending trajectory exceeds all other sectors in the study, with most banks (60%) expecting growth between 4% and 20%. A smaller subset (12%) anticipates even steeper increases. Despite this momentum, the study found significant foundational weaknesses remain, including:
- Data silos. Nearly one in five banks (19%) still operate with a siloed data infrastructure – the worst rate among the study’s focus industries.
- Insufficient data foundations. A significant portion of banks lack effective data governance (45%) and/or a centralized or optimized data infrastructure (41%).
- Talent gaps. Many banks (42%) also face shortages of specialized AI skills.
To address these issues, more than half (52%) of banks plan to expand their AI architecture; another 43% plan to form or grow dedicated AI teams. But fewer than one-third (31%) plan to focus on developing and tuning AI models themselves. The takeaway: These aren’t abstract or theoretical barriers; they’re structural.
“The banking sector clearly understands AI’s potential, but understanding and execution are not the same,” said Kathy Lange, Research Director of the AI and Automation Practice at IDC. “Without strong data architectures, governance frameworks and talent pipelines, banks risk pouring money into AI initiatives that can’t deliver ROI – or worse, that undermine the very trust they depend on.”
Responsible innovation, not cost savings, drives AI ROI
The report also challenges the assumption that AI’s primary value in banking is cost cutting. To the contrary, banking stands alone in ranking product and service innovation above process efficiency as the leading source of AI-driven value.
Cross-industry ROI figures show banks are onto something. Organizations using AI to improve customer experience reported the highest return – $1.83 for every dollar invested – followed closely by those centered on expanding market share ($1.74). Those focused on cost savings reported the lowest – $1.54 per dollar. Moreover, organizations that prioritized trustworthy AI were 60% more likely to report doubling overall return on their AI initiatives. That’s solid proof that responsible innovation is a growth accelerator that more than pays for itself.
Banks are also moving more decisively than other sectors toward agentic AI, with nearly one-third planning increases in trustworthy AI investment to support more autonomous systems. But as AI systems gain greater decision-making authority, the consequences of weak governance grow more significant.
“Regulators are watching. Customers are watching. And right now, nearly half of banks are using unproven AI – or hesitating to tap AI they’ve validated,” said Alex Kwiatkowski, Director of Global Financial Services at SAS. “No bank wants to become an ‘also-ran’ in this highly competitive race, and cost savings alone won’t keep them in it.
“The banks that win will be ones that invest in governance, explainability, transparency and strong data foundations before they scale, not after something breaks.”
To learn more and access the full Data and AI Impact Report, published in September 2025, visit SAS.com/ai-impact.
SAS is a global leader in data and AI. With SAS software and industry-specific solutions, organizations transform data into trusted decisions. SAS gives you THE POWER TO KNOW®.
The US Federal Deposit Insurance Corporation (FDIC) has proposed new rules to regulate FDIC-supervised stablecoin issuers in accordance with the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act, which was signed into law nine months ago.
In a statement on Tuesday, the FDIC said its board of directors voted to issue a proposal that would set reserve, redemption, capital, risk management and custody standards for stablecoin issuers and insured depository institutions under its supervision.
The FDIC insures deposits at more than 4,000 financial institutions and supervises over 2,700 banks and savings associations to maintain stability in the US financial system.
The GENIUS Act granted the FDIC authority to oversee stablecoin activity within the banks and institutions that it supervises when it was signed into law in July, though it is scheduled to take effect on Jan. 18, 2027, if not earlier.
FDIC insurance won’t directly protect token holders
While reserve deposits backing a payment stablecoin would be insured under the FDIC’s proposed rules, that protection won’t extend to stablecoin holders, the FDIC said.
The FDIC argued that treating stablecoin holders as the insured depositors “seems inconsistent” with the GENIUS Act’s prohibition on payment stablecoins being subject to Federal deposit insurance.
Related: Stablecoins flip automated clearing house volume in February
However, the FDIC said its rules would still provide a more “secure environment” for stablecoin holders by offering them “increased assurance that their payment stablecoins are subject to elevated regulatory and supervisory standards.”
FDIC welcomes feedback
The FDIC invited the public to offer feedback on 144 questions related to how it should regulate stablecoin issuers. Comments will be accepted for the next 60 days.
It marks the FDIC’s second proposal for implementing the GENIUS Act, following a Dec. 19 plan to establish an application procedure for IDIs seeking approval to issue payment stablecoins through subsidiaries.
The Office of the Comptroller is also working to implement the GENIUS Act. The OCC would cover a broader scope of stablecoin activity than the FDIC, as it oversees national bank subsidiaries and certain nonbank issuers.
Magazine: Would Bitcoin really be at $200K if not for Jane Street? Trade Secrets
The crypto market update oil prices Iran war bitcoin impact news today is being written by an energy market in freefall: US crude surged above $115 per barrel and Brent crossed $111 after Tuesday’s Kharg Island strikes, the IEA’s head declared the Hormuz oil shock worse than the crises of 1973, 1979, and 2022 combined, and the chain connecting oil prices to Bitcoin has never been tighter or more punishing.
Summary
- US crude oil surged above $115 per barrel following Tuesday’s Kharg Island strikes, with Brent crude above $111; gas prices in Los Angeles crossed $6 per gallon, and the national US average has reached $4.14, up from $2.98 before the war began
- IEA Executive Director Fatih Birol told French newspaper Le Figaro: “The world has never experienced a disruption to energy supply of such magnitude,” calling the current crisis “more serious than the ones in 1973, 1979 and 2022 together” — and warned that April would be worse than March because the last pre-war cargo ships are now clearing ports
- The oil-to-crypto transmission mechanism is mechanical: higher oil drives inflation, inflation keeps the Federal Reserve from cutting rates, higher rates suppress liquidity, and tighter liquidity is the dominant headwind for risk assets including Bitcoin and Ethereum
The crypto market update oil prices Iran war bitcoin impact news today is as direct as it gets. US crude surged above $115 per barrel within minutes of the first Kharg Island strike reports on Tuesday, with Brent crude crossing $111. Gas prices in Los Angeles have already crossed $6 per gallon. The national average stands at $4.14, up from $2.98 the day before the war began on February 28.
This is the price of a closed strait. The Hormuz chokepoint normally handles roughly 20% of global oil and gas flows. Since Iran imposed its de facto blockade, global supply has lost approximately 12 million barrels per day, more than the combined shortfalls of 1973 and 1979, according to IEA data. “When you look at the 1973 and 1979 crises, in both of them we lost each about 5 million barrels per day. These oil crises led to global recession in many countries,” IEA Executive Director Fatih Birol told the Norges Bank Investment Management podcast. “Today, we lost 12 million barrels per day — more than two of these oil crises put together.”
Birol also warned specifically about the month ahead. March was partially buffered by cargo ships that had entered the strait before the war began and were still arriving at port. “In April, there is nothing,” he said in the same interview. The full impact of the supply disruption is only now reaching energy markets in real terms.
His conclusion to Le Figaro was unambiguous: the current crisis is “more serious than the ones in 1973, 1979 and 2022 together” — combining the oil shocks of both 1970s energy crises with the gas market dislocation that followed Russia’s 2022 invasion of Ukraine.
How This Reaches Bitcoin
The mechanism is not subtle. As crypto.news reported, the Federal Reserve has no room to cut rates while oil is pricing in a prolonged supply shock. The market currently prices in minimal near-term Fed movement. Bitcoin performs best in easing liquidity conditions — rate cuts, falling dollar, growing money supply. It performs worst in exactly the conditions the Iran war has created: oil-driven inflation, a Fed on hold, and investors rotating into traditional safe-haven assets.
As crypto.news noted, $65,000 has been identified as Bitcoin’s key near-term support. A sustained oil price above $115 keeps the macro headwind in place and leaves BTC vulnerable to a break below that level if tonight’s escalation materializes.
“The single most important solution to this problem is opening up the Hormuz Strait,” Birol said. Until that happens, crypto investors are effectively long on diplomacy whether they intend to be or not.
TLDR
- The Solana Foundation launched the STRIDE program to enhance security for DeFi protocols after the $285 million Drift hack.
- STRIDE provides 24/7 threat monitoring for protocols with over $10 million in total value locked and formal verification for those over $100 million.
- The program aims to protect DeFi protocols by using mathematical proofs to ensure the correctness of smart contracts.
- Solana partnered with cybersecurity firms to form the Solana Incident Response Network, which will provide rapid ecosystem defense.
- The Drift Protocol hack highlighted the need for stronger security measures as North Korean hackers infiltrated the system for months before executing the attack.
The Solana Foundation has announced a new initiative to enhance the security of decentralized finance (DeFi) protocols following the high-profile $285 million hack of Drift Protocol. The hack, which occurred on April 1, 2026, was attributed to North Korean hackers who infiltrated the platform over several months. This breach highlights the increasing threats facing Solana-based DeFi protocols, prompting the foundation to act swiftly to prevent similar incidents in the future.
STRIDE Program Launched for Enhanced Protection
In response to the growing concerns, the Solana Foundation has launched a new security initiative called STRIDE. STRIDE stands for Solana Trust, Resilience, and Infrastructure for DeFi Enterprises, and it aims to offer comprehensive protection to the network’s largest DeFi protocols. This program targets protocols with a total value locked (TVL) of over $10 million and includes round-the-clock threat monitoring services. For larger protocols with over $100 million TVL, the foundation will offer advanced “formal verification” services.
Formal verification uses mathematical proofs to check the correctness of smart contracts by exhaustively evaluating all possible states and execution paths. This method guarantees the reliability of the smart contracts, providing a higher level of security for protocols dealing with substantial funds. The initiative aims to ensure that DeFi protocols on Solana are protected against potential exploits and vulnerabilities, especially as the platform’s financial ecosystem continues to expand.
Solana Foundation Teams Up with Security Firms
To bolster the STRIDE program, the Solana Foundation has also partnered with a group of cybersecurity firms. This collaboration led to the formation of the Solana Incident Response Network (SIRN), a collective focused on swift ecosystem defense. Among the founding members of SIRN are OtterSec, Neodyme, Squads, and ZeroShadow, who will provide rapid response capabilities in the event of a security breach.
SIRN aims to offer a unified defense system for the entire Solana ecosystem, addressing vulnerabilities before they are exploited. As part of the program, these firms will help improve the resilience of the network’s infrastructure and contribute to the evolving security standards of STRIDE. This collective effort underscores the importance of proactive, collaborative defense mechanisms to safeguard against increasingly sophisticated threats targeting DeFi protocols.
Drift Protocol Exploit Triggers Urgency for Stronger Security
The urgency of this security push was made clear after the exploit of Drift Protocol. The attack, which drained $285 million in under 12 minutes, was one of the largest and fastest attacks in DeFi history. Drift confirmed that the attackers had been infiltrating their system for six months before executing the hack. This methodical infiltration process highlighted how vulnerable DeFi protocols can be to advanced persistent threats.
With the launch of STRIDE, the Solana Foundation is taking a more hands-on approach to securing its DeFi ecosystem. The foundation’s focus on high-value protocols reflects an understanding that different protocols face varying levels of risk depending on their TVL. As Solana’s DeFi ecosystem grows, ensuring robust security measures will be essential to preventing future attacks and maintaining user confidence.
TLDR
- Morgan Stanley’s Bitcoin ETF, MSBT, is set to begin trading tomorrow on NYSE Arca.
- The trust will track the CoinDesk Bitcoin Benchmark 4 PM NY Settlement Rate.
- MSBT will hold Bitcoin directly and will not use leverage or active trading.
- The ETF has an annual sponsor fee of 0.14%, which is lower than most competitors.
- Coinbase and BNY will serve as the trusted custodians for the Bitcoin holdings.
Morgan Stanley’s Bitcoin ETF is set to begin trading tomorrow on the NYSE Arca under the ticker MSBT. The U.S. Securities and Exchange Commission (SEC) declared the Morgan Stanley Bitcoin Trust effective after the bank filed its final prospectus. This launch marks Morgan Stanley’s entrance into the competitive U.S. spot Bitcoin ETF market.
MSBT ETF Structure and Trading Details
The Morgan Stanley Bitcoin Trust is designed as a physical Bitcoin product, meaning it will hold Bitcoin directly. The trust will track the CoinDesk Bitcoin Benchmark 4 PM NY Settlement Rate, reflecting the value of Bitcoin in the market. The trust will not engage in any active trading, leverage, or derivatives, ensuring it mirrors Bitcoin’s performance without attempting to outperform it.
With this approach, the ETF offers a straightforward product for investors seeking exposure to Bitcoin. The trust’s low-cost structure includes an annual delegated sponsor fee of just 0.14%. This fee is lower than the 0.25% fee charged by other major Bitcoin ETFs, such as BlackRock’s IBIT.
Custody and Seed Creation Details
Morgan Stanley’s Bitcoin ETF will rely on BNY and Coinbase Custody Trust Company for the safe storage of Bitcoin. These trusted custodians are responsible for holding the Bitcoin assets in the trust, ensuring security and transparency for investors. The initial creation baskets for the trust are expected to total $1 million, with 50,000 shares to be issued ahead of the listing.
This structure and the pricing model demonstrate Morgan Stanley’s competitive positioning in the growing Bitcoin ETF market. As the first major U.S. bank to file for spot Bitcoin ETFs, the firm has made a clear commitment to expanding its crypto offerings. It continues to explore further opportunities, including offering Bitcoin, Ether, and Solana trading through E*Trade by 2026.
The launch of MSBT underlines Morgan Stanley’s confidence in the future of crypto investments, providing retail and institutional investors an additional option in the evolving Bitcoin ETF space.
Iran’s Supreme National Security Council on Wednesday accepted a two-week ceasefire in its war against the US, but emphasized this did not mean an end to the war.
The price of Bitcoin pushed past $72,000 for the first time in 20 days after the US and Iran agreed to a two-week ceasefire.
“I agree to suspend the bombing and attack of Iran for a period of two weeks,” Trump said in a Truth Social post on Tuesday, hours before his deadline for Iran to reopen the Strait of Hormuz or face military attacks on key infrastructure.
Iran’s Supreme National Security Council also said it accepted the ceasefire.
Bitcoin (BTC) climbed 2.6% in the hour following the announcement, reaching $72,339 at the time of publication, according to CoinMarketCap.
Crypto traders have historically seen geopolitical tensions as a headwind for prices, with any hints of easing often triggering quick relief rallies.
The deal also came hours after Trump renewed threats against Iran.
“A whole civilization will die tonight, never to be brought back again. I don’t want that to happen, but it probably will,” Trump said in a post on Monday.
Related: Bitcoin wallets absorb 4.37M BTC as network activity flips to ‘bull phase’
The last time Bitcoin traded above $72,000 was March 18, as sentiment continues to drag in the crypto market.
The Crypto Fear & Greed Index, which measures overall crypto market sentiment, posted an “Extreme Fear” score of 11 on Tuesday, signaling that investors are taking a cautious approach to the crypto market.
On April 1, Trump said the US could wrap up its military campaign in Iran within weeks, claiming the goal of eliminating Iran’s nuclear capabilities had been achieved.
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