The Ethereum Foundation has reached several progress milestones on the next Ethereum upgrade called “Glamsterdam” and has named three new leads for its Protocol team.

The Ethereum Foundation said in a blog post on Monday that it had achieved a “credible post-Glamsterdam target,” establishing a 200 million gas limit floor, giving the network a major post-upgrade speed boost from its current gas limit of around 60 million.

“The immediate focus is shipping Glamsterdam,” the Ethereum Foundation said, which had originally scheduled the upgrade for June, but is now likely to be sometime in the third quarter of 2026.

Glamsterdam focuses on scaling the layer-1 chain by reorganizing how the network processes transactions and manages its growing database, “fundamentally updating how Ethereum creates and verifies blocks,” according to the Ethereum website. 

The Ethereum Foundation is also continuing preparations for Hegotà, the next major upgrade, and advancing the Strawmap, its quantum-ready roadmap.

“Glamsterdam devnets are now live, and scoping for Hegotà is well underway,” it stated during an interop event in Svalbard, Norway. 

Finalizing ePBS and smarter data storage

The EF also confirmed the stabilization of enshrined Proposer-Builder Separation (ePBS), a system that allows validators to outsource their block-building duties to a set of specialized builders.

The new enshrined version builds this separation directly into Ethereum’s rules with less reliance on outside relays, giving the network more time to handle bigger blocks safely.

Related: AI ‘vibe coding’ could put Ethereum roadmap ahead of schedule: Vitalik Buterin

EIP-8037 has also been finalized, which enables smarter pricing for storing data. The proposal increases the cost of state creation operations, avoiding excessive state growth under increased block gas limits. 

Glamsterdam is the first upgrade on Ethereum’s long-term roadmap. Source: Strawmap.org

Changes in EF Protocol leadership 

The Foundation also announced the “start of a leadership transition” for the Ethereum Foundation Protocol cluster with Will Corcoran, Kev Wedderburn, and Fredrik as the new leads. 

Ethereum developers Barnabé Monnot and Tim Beiko are moving on from the Foundation, while Alex Stokes will be on sabbatical, it said.

“There’s a new chapter starting for the Protocol cluster. We’re welcoming new leads and coordinators, and continuing our work toward Glamsterdam, Hegotà, and the Strawmap,” said Corcoran on X on Monday. 

“Making Ethereum’s unique features more available to users today is on my mind; so is participating in the plurality of ways that Ethereum gets built,” said Monnot.

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Former Goliath Ventures CEO Christopher Delgado has publicly apologized to investors while facing federal accusations that he operated a $328 million crypto Ponzi scheme tied to false investment promises and misuse of client funds.

According to an interview aired Monday by ABC-affiliated television station WFTV, Delgado said he returned to the U.S. voluntarily to answer fraud and money laundering charges filed by the Orlando U.S. Attorney’s Office on Feb. 20. 

“They put their trust in me, and I failed them,” Delgado told the outlet, adding that he wanted to explain what happened “from beginning to end” and express “how sorry I am.”

Federal prosecutors have accused Delgado of running Goliath Ventures as a Ponzi scheme between January 2023 and January 2026 by convincing investors to place large sums into crypto liquidity pool strategies that allegedly promised guaranteed monthly returns. If convicted on all charges, Delgado faces up to 30 years in federal prison.

WFTV reported that victims included nurses, teachers, firefighters, and retirees who were allegedly drawn in through promises that their funds could be withdrawn at any time. One investor reportedly lost nearly $720,000 after being assured that the investment carried guaranteed returns and redemption access.

Inside the alleged Goliath operation

During the television interview, Delgado admitted that Goliath had been paying people “an astronomical amount of money” when questioned about how investor capital was allegedly handled. Prosecutors said part of the money collected from investors went toward purchasing four Florida properties worth a combined $14.5 million.

Court filings from the U.S. Attorney’s Office also alleged that investor money financed luxury travel, large business events, and company Christmas parties linked to Goliath Ventures’ operations.

Meanwhile, WFTV reported that Delgado is currently out on bail under home confinement while wearing an ankle monitor at an 11,000 square foot estate that authorities claim was purchased using investor funds. Delgado told the station there was only about $160,000 left in Goliath Ventures’ bank account around the time of his arrest.

At the same time, Delgado claimed he was not acting alone and said he is cooperating with federal investigators regarding what he described as the involvement of former colleagues in the alleged scheme.

JPMorgan lawsuit

Separate legal action filed in March expanded scrutiny beyond Goliath Ventures itself after investors sued JPMorgan Chase over its alleged role in processing transactions tied to the operation.

According to the proposed class-action complaint filed in federal court in Northern California, investors alleged that roughly $253 million flowed into Chase accounts connected to Goliath Ventures between January 2023 and June 2025. The lawsuit further claimed that about $123 million was later transferred from those accounts to wallets at Coinbase and other crypto platforms.

Plaintiffs argued that JPMorgan should have identified suspicious activity linked to the investment operation through its Know Your Customer and anti-money laundering obligations. The complaint accused the bank of failing to act on large and repeated retail investor deposits that allegedly did not match Goliath’s stated business activity.

Investors behind the lawsuit are seeking damages while arguing that traditional financial institutions should also face liability when alleged crypto fraud operations move funds through regulated banking channels.

Last month, a federal judge in Florida extended the deadline for prosecutors to file an indictment against Delgado until June 26.

DeFi lender Aave and other stakeholders impacted by last month’s Kelp DAO hack have launched a binding Arbitrum governance vote to transfer $71 million in disputed ether into an Aave LLC-controlled address

A Constitutional Arbitrum Improvement Proposal, or AIP, is the DAO’s formal on-chain governance mechanism for approving binding protocol actions. This amended proposal implements Judge Margaret Garnett’s recent court order, which authorizes an on-chain Arbitrum DAO vote to transfer the frozen ETH from its current immobilized address to a wallet controlled by Aave LLC, provided that the restraining notice sought by North Korean terrorism judgment creditors is respected.

If approved, the proposal would move 30,765 ETH from the wallet where Arbitrum’s Security Council immobilized the funds to an Aave LLC-controlled address, as required by the court’s order. However, the assets would remain subject to strict legal restrictions and cannot be freely used, transferred, or deployed by Aave LLC unless permitted by the court.

The legal fight over the frozen assets took an unusual turn after blockchain forensics firms widely attributed the exploit to North Korea’s Lazarus Group. That attribution comes from blockchain analytics firms and external forensic research, and has not been established as a legal finding within either the Arbitrum governance process or the ongoing court proceedings.

Still, that attribution has been cited alongside broader legal arguments by lawyers representing families holding roughly $877 million in unpaid U.S. terrorism judgments against North Korea, who argue that if the assets are ultimately deemed linked to North Korea for enforcement purposes, they could potentially be used to satisfy those longstanding court awards.

Aave disputes that premise, arguing that the ether belongs to users harmed in the exploit, not to the attackers who briefly controlled it, turning the case into a fight over whether the funds should go to DeFi victims or to terrorism creditors.

In a separate lawsuit, many of the same terrorism judgment creditors sued privacy protocol Railgun DAO, alleging it allowed North Korean-linked funds to move through its infrastructure rather than freezing them, as part of a broader strategy to pursue allegedly Pyongyang-linked crypto across decentralized finance.

Voting on the AIP is scheduled to begin May 15.

TLDR

• Between Q1 2025 and Q1 2026, Binance’s artificial intelligence security infrastructure prevented $10.53 billion in potential cryptocurrency theft and user losses.
• The exchange intercepted 22.9 million phishing and scam operations in the first quarter of 2026, safeguarding $1.98 billion in customer assets.
• Artificial intelligence now manages 57% of Binance’s fraud prevention systems, achieving card fraud rates 60–70% lower than industry standards.
• The platform facilitated the recovery of $12.8 million across 48,000 fraud incidents, representing a 41% increase compared to the previous year.
• Industry-wide cryptocurrency fraud reached $17 billion in 2025, marking a 30% surge as AI technology makes malicious attacks more accessible and affordable.

The world’s leading cryptocurrency exchange by transaction volume, Binance, reports that its machine learning-powered security architecture prevented over $10.5 billion in potential customer losses during a 15-month span from early 2025 through March 2026.

According to a Monday blog post from the platform, these security measures successfully stopped 22.9 million phishing and fraudulent schemes during the first quarter of 2026 alone, preserving approximately $1.98 billion in user assets throughout that three-month window.

The cryptocurrency platform has implemented over 24 AI-driven security protocols alongside more than 100 specialized detection models. Machine learning now accounts for 57% of the exchange’s fraud prevention capabilities, resulting in card fraud incidents that fall 60–70% below standard industry rates.

Regarding user verification, Binance reports its customer identification protocols have advanced to identify deepfake technology and artificially generated identities. The platform asserts these improvements provide operational efficiency up to 100 times greater than conventional manual verification processes.

The exchange employs computer vision technology to identify fraudulent payment documentation. Simultaneous language processing algorithms monitor peer-to-peer transactions for suspicious behavior patterns. According to Binance, these integrated systems collaborate to intercept fraudulent activity before customers suffer financial damage.

What the Numbers Show About Crypto Fraud

Cryptocurrency-related fraud totaled $17 billion throughout 2025, representing a 30% escalation from the previous year, based on Binance’s internal data analysis. The exchange attributes this increase to AI technology reducing both the complexity and cost of launching attacks.

Smart contract exploitation now requires as little as $1.22 per targeted contract, reflecting a 22% monthly decline in cost. Sophisticated AI systems are now achieving 72.2% effectiveness rates in simulated attack environments. According to Binance, 76% of AI-powered fraudulent schemes currently fall into the highest classification for scope and severity.

Cybercriminals are deploying deepfake videos, synthetic voice technology, automated phishing operations, and impersonation tactics to compromise users across various communication channels.

Recovery initiatives have expanded in proportion to emerging threats. Binance reports assisting in the recovery of $12.8 million spanning 48,000 separate cases throughout 2025, reflecting a 41% annual growth rate. The platform also supported law enforcement agencies in seizing $131 million in illegally obtained funds and fulfilled over 71,000 information requests from authorities.

New Tools and Industry Comparisons

Binance launched a specialized product named Binance AI Pro, engineered to isolate risk at the fundamental infrastructure level. Within this framework, assets controlled by AI agents remain segregated from primary user accounts. Authorization parameters restrict activities exclusively to trading functions, eliminating withdrawal capabilities. The platform indicates that roughly 12% of external applications submitted to its marketplace have received flags for potential security concerns.

The exchange additionally deployed a withdrawal restriction mechanism designed to mitigate physical security threats against users, which blockchain security firm CertiK projects will surpass previous annual records.

By comparison, JPMorgan estimated in the prior year that its artificial intelligence security infrastructure contributed to preventing approximately $1.5 billion in fraudulent losses.

Binance maintains collaborative relationships with Tether and Tron through the T3 security coalition, which recently immobilized a record-breaking $344 million in USDT tokens connected to Iranian organizations. The exchange has additionally processed more than 71,000 official law enforcement inquiries to date.

Key Highlights

• A new $125M investment vehicle focused on generating returns from Ethereum through DeFi protocols is being launched by Galaxy Digital and Sharplink.
• The capital structure includes $100M in staked ETH from Sharplink and a $25M commitment from Galaxy, which will oversee fund operations.
• Sharplink disclosed a first-quarter 2026 net loss totaling $685.6M, primarily attributed to unrealized depreciation of its Ethereum portfolio.
• Ethereum’s price declined from approximately $3,354 in mid-January to $2,104 by quarter-end in March, with a modest rebound to $2,339 subsequently.
• Galaxy Digital shares have surged 118.5% year-over-year, with Compass Point analysts increasing their target price to $41.

Galaxy Digital and Sharplink have entered into a collaborative agreement to establish an investment fund designed to generate yield from Ethereum assets through decentralized finance mechanisms, despite Sharplink experiencing substantial quarterly losses linked to cryptocurrency market downturns.

The partnership involves a non-binding agreement to create the Galaxy Sharplink Onchain Yield Fund, anticipated to commence operations within the next several weeks with $125 million in committed capital. Sharplink’s contribution consists of $100 million sourced from its staked Ethereum reserves, while Galaxy Digital will inject $25 million and assume investment management responsibilities.

The fund’s strategy centers on allocating resources to DeFi liquidity mechanisms and various blockchain-based yield opportunities. This approach aims to generate supplementary income from Ethereum positions while maintaining long-term exposure to the underlying cryptocurrency.

Sharplink currently maintains a treasury position exceeding 868,000 ETH. During last October’s market highs, this holding approached a valuation of nearly $4 billion. The firm has systematically accumulated its Ethereum position starting in June 2025 and has generated approximately 18,800 ETH through staking rewards during this period.

Mike Novogratz, CEO of Galaxy, noted that institutional appetite for blockchain-based financial products has reached a maturity level where participants can now utilize sophisticated yield generation, liquidity provision, and risk mitigation instruments comparable to traditional financial markets.

Joseph Chalom, Sharplink’s chief executive, characterized the collaboration as a mechanism to enhance the company’s treasury performance while simultaneously supporting the development of the broader decentralized finance infrastructure. Matthew Sheffield, the firm’s Chief Investment Officer, emphasized that the fund structure preserves the company’s fundamental staked ETH position while creating additional value for equity holders.

Sharplink Reports $685.6M First Quarter Deficit

Despite the optimism surrounding the new fund initiative, Sharplink disclosed a net loss of $685.6 million for the first quarter of 2026, equivalent to $3.25 per diluted share.

Approximately $506.7 million of this deficit stemmed from mark-to-market losses on its Ether position. Ether’s value contracted from around $3,354 in mid-January to $2,104 by the conclusion of March, based on CoinMarketCap pricing data. At the time of the fund announcement, Ethereum was valued at approximately $2,339.

Quarterly revenue increased to $12.1 million from $700,000 in the comparable period last year, reflecting expansion in the company’s operational segments. Sharplink concluded the first quarter with $16.9 million in cash reserves.

Galaxy Digital Shows Resilience Despite Continued Losses

Galaxy Digital similarly released its first-quarter 2026 financial results. The firm recorded a GAAP net loss of $216 million, or $0.49 per share, predominantly due to unrealized depreciation on its digital asset portfolio.

Trading activity within Galaxy’s Global Markets division remained consistent on a sequential quarter basis, even as overall industry trading volumes contracted by more than 25%. Financial analysts from H.C. Wainwright and Rosenblatt maintained Buy recommendations on the equity following the earnings release. Compass Point elevated its price objective to $41 from $40, highlighting advancement in the company’s high-performance computing initiatives. Goldman Sachs maintained a Neutral stance with a $21 price target.

Galaxy’s stock has appreciated 118.5% over the trailing twelve months and traded at $29.01 when the fund announcement was made. The company maintains a current ratio of 1.7, indicating that liquid assets comfortably exceed near-term liabilities.

The fund partnership awaits finalization of definitive agreements before becoming legally binding.

MARA Holdings’ stock cooled after Tuesday’s session as the Bitcoin miner reported a sharply extended first-quarter loss and revenue that fell short of expectations. The results highlight the sector’s ongoing pressure from Bitcoin’s price moves and a challenging mining environment, even as MARA leans into a broader AI-focused growth strategy.

For the quarter ended March 31, MARA said revenue declined 18% year-over-year to $174.6 million, missing Wall Street estimates of about $192.7 million. The company swamped investors with a substantial net loss of $1.3 billion, compared with a $533.4 million loss in the prior-year quarter. Earnings per share came in at a negative $3.31, versus consensus expectations around a $2.20 per-share loss.

In after-hours trading, MARA shares slid about 3.4% to $12.93, erasing gains from the regular session, which finished up roughly 3.5% at $13.39. The stock has underperformed the broader year so far, with a roughly 16% drop over the past 12 months.

The quarterly loss was largely driven by unrealized losses on MARA’s Bitcoin treasury—38,689 BTC—amid a roughly 23% slide in the cryptocurrency over the period. MARA also disclosed that it sold more than 15,100 BTC worth about $1.1 billion in the final week of March, a move described as aimed at deleveraging by acquiring debt at a discount.

Despite the near-term pain, MARA reiterated its long-term strategy of anchoring operations in Bitcoin mining while expanding into artificial intelligence and high-performance computing (HPC) as new revenue streams. The company characterized Bitcoin mining as its “operational foundation,” even as it pursues AI-driven data center opportunities on the same sites or adjacent facilities.

Market conditions for Bitcoin mining remain tough. Bitcoin traded more than 35% below its all-time peak of $126,080, undermining miner revenue per block. At the same time, mining difficulty has risen by about 30% over the past year, heightening the hurdle for new and existing operations. Against this backdrop, MARA has slipped from being the largest Bitcoin miner by market capitalization to roughly seventh place as rivals push more aggressively into AI-related infrastructure.

MARA’s current AI strategy centers on a partnership with Starwood Capital to convert some Bitcoin mining sites into AI and HPC data centers, and the acquisition of Long Ridge Energy & Power—a gas-fired power plant and data center facility—for $1.5 billion in late April. The combination of these moves could reshape how the company monetizes its energy footprint over time. In its statements, MARA described a flexible operating model: it can continue generating revenue today from Bitcoin mining while preserving the option to redirect power toward AI and other IT workloads as opportunities mature on the same sites.

According to the company, the Long Ridge acquisition could ultimately support up to 600 megawatts of AI computing capacity, and about 90% of MARA’s non-hosted mining capacity could be redeployed for AI and IT compute. Notably, MARA also signaled it does not plan to purchase additional Bitcoin mining hardware in the near term, signaling that the near-term focus is on redeployable infrastructure and the AI/HPC push rather than expanding traditional mining capacity.

The evolving strategy comes as the broader market contends with a blend of macro headwinds and sector-specific pressures. The industry has been navigating tighter margins as price volatility and rising energy costs compress profits, even as some players look to diversify into data-center-enabled services. MARA’s pivot toward AI and HPC aligns with a wider trend among miners to monetize energy assets through adjacent digital infrastructure use cases when Bitcoin mining alone becomes less favorable.

Analysts who track the sector note that the transition from pure mining to AI-enabled data centers introduces new variables. Revenue visibility may improve if AI demand strengthens, but it also hinges on energy pricing, site uptime, and the pace of customer adoption for AI workloads. MARA’s disclosures suggest a careful, staged approach: keep Bitcoin mining running to generate cash flow today, while gradually repurposing sites for AI capacity as market conditions and technology maturity permit.

As the year unfolds, investors will be watching how effectively MARA can translate its physical assets into AI-ready capacity and how the company manages debt and liquidity in a capital-intensive deployment. With the LED of AI-driven compute on its sites, MARA faces a delicate balancing act between sustaining mining revenue and realizing the strategic upside from its data-center ambitions.

Readers should monitor the company’s quarterly updates for progress on Starwood Capital collaborations and the Long Ridge project’s development cadence, as well as any commentary on energy-price trends and Bitcoin’s price trajectory, which continue to be decisive for mining economics and the viability of the company’s dual-track strategy.

What’s next remains uncertain, but MARA’s emphasis on flexible infrastructure and multi-use sites could redefine how Bitcoin miners steward capital and resources if AI demand materializes alongside Bitcoin mining profitability.

SharpLink reported $12.1 million in first-quarter 2026 revenue, up from $742,000 in the same period last year. 

The company said the increase came mainly from its actively managed Ethereum treasury strategy, which began in June 2025.

The Nasdaq-listed firm now presents itself as an institutional Ethereum treasury platform. Its website says SharpLink is listed under the ticker SBET and gives investors a public-market vehicle tied to ETH exposure and yield.

ETH losses weigh on earnings

SharpLink still posted a net loss of $685.6 million in Q1, compared with a $1.0 million loss a year earlier. The company tied the loss mainly to non-cash ETH market losses and impairment charges during a weaker quarter for Ethereum.

The company reported $506.7 million in unrealized ETH losses and a $191.7 million LsETH impairment charge. It also said those accounting losses did not reduce the number of ETH held by the company.

Notably, SharpLink held about 870,821 ETH at the end of March. That figure rose to 872,984 ETH as of May 4, keeping the company among the largest public Ethereum treasury holders.

The company has also generated 18,800 ETH in staking rewards since June 2025 through native and liquid staking programs. Earlier comments to crypto.news showed that SharpLink had already planned to move beyond basic staking into restaking, lending, and other Ethereum-based yield tools.

Chief executive Joseph Chalom said, “We’re trying to hit singles and doubles.” He also said the company is not seeking VC-like returns, framing the plan as a lower-risk yield strategy rather than a hunt for aggressive gains.

Galaxy fund brings next test

SharpLink and Galaxy Digital plan to launch the Galaxy SharpLink Onchain Yield Fund with about $125 million in commitments. SharpLink said the fund will deploy capital into selected onchain opportunities and provide liquidity to emerging protocols.

Chalom said the Galaxy partnership will use institutional-grade strategies to provide liquidity to high-quality protocols while seeking returns for shareholders. The company also warned that the fund may not launch on schedule, commitments may not be funded, and strategies may produce losses.

Related market updates show that more public companies are building ETH treasury models. FG Nexus, for example, disclosed 47,331 ETH in holdings and said it planned to use staking, restaking, and DeFi markets to earn yield.