Crypto World
Former FTX Engineer Nishad Singh Fined $3.7M in CFTC Fraud Case
Nishad Singh, the former head of engineering at FTX, will pay $3.7 million to resolve his case with the US commodities regulator over his alleged role in the collapse of the crypto exchange and the misappropriation of user funds.
As part of the supplemental consent order, Singh will be required to pay a disgorgement of $3.7 million and imposes a five-year ban on trading in markets and an eight-year registration ban, blocking him from obtaining a license to operate in the sector, the US Commodity Futures Trading Commission (CFTC) said in a statement on Wednesday.
“The initial consent order and supplemental consent order resolve the CFTC’s enforcement action against Singh,” it added.
FTX’s bankruptcy in November 2022 sent shock waves through the crypto industry, erasing billions in market liquidity, shattering user confidence and prompting authorities to accuse its leadership of fraud.
David Miller, the CFTC’s director of enforcement, ruled out additional restitution or civil monetary penalties for now and said the current penalties reflect Singh’s cooperation with authorities.
“The defendant engaged in, and aided, significant violations of the Act and CFTC regulations as the former FTX head of engineering, and the consent orders reflect the severity of these violations,” Miller said.
“But this resolution also reflects the Commission’s commitment to rewarding and incentivizing material assistance in Division investigations,” he added.
Singh charged by multiple agencies after FTX collapse
Attorneys for Singh said he was grateful this latest matter was at an end, and were “pleased that the CFTC recognized our client’s limited role in the underlying conduct and his extensive cooperation,” according to Bloomberg.
The CFTC accused Singh of personally misappropriating millions of dollars in assets and charged him in February 2023 with two counts: fraud by misappropriation and aiding and abetting fraud committed by former FTX CEO Sam Bankman-Fried.
Related: FTX Recovery Trust to distribute $2.2B to creditors in March
In April 2023, Singh entered into the consent order, was found liable for the charges and agreed to cooperate with the commission’s investigators. The regulator originally sought a range of penalties, including restitution, civil monetary penalties and permanent trading and registration bans.
In a separate case brought by the Securities and Exchange Commission in February 2023, Singh was accused of misusing customer funds and committing fraud by misappropriation, in violation of securities laws. The case was settled in December with Singh receiving an eight-year industry ban.
After FTX collapsed, US prosecutors also indicted Singh and four of his colleagues on charges including fraud and campaign finance violations. He faced decades in prison if found guilty, but after testifying against Bankman-Fried and cooperating with prosecutors, he received time served and three years of supervised release.
Magazine: Ripple joins Singapore sandbox, Bhutan’s big Bitcoin selloff: Asia Express
Most crypto users worry about price, narratives, and the next airdrop.
Very few think about who actually controls the flow of transactions.
Yet beneath the surface, a subtle shift is happening—one that could quietly reshape the foundations of DeFi:
Validator power is concentrating… and credible neutrality is starting to crack.
What Is “Credible Neutrality” Anyway?
At its core, credible neutrality means:
The network processes transactions fairly, without bias, manipulation, or favoritism.
It’s one of the invisible assumptions that makes DeFi work.
- Your trade gets executed without discrimination
- Your liquidation isn’t selectively delayed
- Your transaction isn’t censored based on identity or strategy
Without neutrality, DeFi stops being permissionless finance… and starts looking a lot like traditional finance with extra steps.
The New Power Stack: Restaking + MEV
Two major innovations—both powerful on their own—are now intersecting:
1. Restaking
Restaking allows validators to reuse their stake across multiple protocols to earn additional yield.
Sounds efficient, right?
But it creates a new dynamic:
- Validators now secure multiple systems simultaneously
- Risk and influence become interconnected
- Large validators gain disproportionate leverage
The result: a smaller group of actors ends up sitting at the center of multiple ecosystems.
2. MEV (Maximal Extractable Value)
MEV refers to profits that validators can extract by controlling transaction ordering.
Examples include:
- Front-running trades
- Back-running arbitrage
- Reordering transactions for profit
MEV has already turned block production into a highly competitive, profit-maximizing game.
When These Two Combine…
This is where things get uncomfortable.
Restaking + MEV creates:
- Cross-protocol coordination incentives
- Shared validator dependencies across systems
- Economic pressure to act strategically—not neutrally
Validators are no longer just passive participants.
They’re becoming multi-system profit optimizers.
The Real Risk: Coordinated Behavior
Here’s the part that’s rarely discussed outside deep dev circles:
Validators may begin coordinating behavior across systems.
Not necessarily through malicious intent—but through aligned incentives.
This could look like:
- Prioritizing certain transactions across multiple chains
- Delaying or censoring transactions that hurt their positions
- Coordinating MEV strategies across ecosystems
- Favoring protocols, they are economically exposed to
And the scary part?
None of this requires ideology or bad actors.
Incentives purely drive it.
From Ideological Censorship → Economic Censorship
Crypto has long feared censorship from governments or centralized entities.
But the emerging threat is different:
Censorship becomes economic, not political.
Validators don’t need to “believe” anything.
They just need to maximize profit.
If censoring or reordering transactions is more profitable…
It will happen.
Why DeFi Should Care (A Lot)
DeFi protocols are built on a fragile assumption:
The base layer behaves fairly.
But if validators gain the ability—and incentive—to act otherwise:
- Liquidations can be manipulated
- Trades can be selectively executed
- Arbitrage becomes gatekept
- Entire strategies stop working
This introduces:
- Hidden risk
- Uneven playing fields
- Reduced trust in protocol outcomes
In short:
DeFi becomes less predictable—and less fair.
The Illusion of Decentralization
From the outside, everything still looks decentralized:
- Thousands of validators
- Multiple chains
- Diverse ecosystems
But under the hood:
- The stake is concentrated
- Infrastructure is shared
- Incentives are aligned
This creates a soft form of centralization—not visible in governance, but very real in execution.
So, What Can Be Done?
There’s no easy fix, but awareness is the first step.
Some directions being explored:
- MEV mitigation (e.g., fair ordering, encrypted mempools)
- Decentralizing validator sets further
- Reducing reliance on shared validator infrastructure
- Designing protocols that are resilient to ordering manipulation
Still, these are evolving solutions to a rapidly evolving problem.
Final Thought
Crypto didn’t promise perfection.
But it did promise neutrality.
If validators become powerful enough to coordinate across systems…
We may not lose decentralization overnight.
But we might slowly lose something just as important:
The guarantee that the system treats everyone the same.
And once that’s gone, DeFi doesn’t break dramatically—
It just quietly stops being fair.
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Zcash price is trading around $248 after a +9% surge in the last 48 hours, and even with bullish prediction, there’s tension. The very upgrade that could redefine Zcash utility is still months from launch. The relief bounce is real, yet technicals suggest the ceiling may be closer than the bulls want to admit.
The catalyst drawing fresh attention to Zcash isn’t price action alone. The team behind the Bitcoin scaling solution Core has announced Z Protocol, an EVM-compatible Layer 1 blockchain designed to bring native smart contract capabilities to Zcash for the first time.
Kieran Dennis, co-founder of Z and an initial contributor to Core, called the competitive landscape “pretty much a white space,” pointing out that prior privacy-focused application layers failed precisely because they lacked EVM compatibility and developer familiarity.
Alongside Z Protocol itself, the team is building vertically integrated DeFi primitives: a private trading venue (Z Trade), a lending platform (Z Lend), and a private stablecoin (USDZ). Z is expected to launch in the second half of 2026.
That timeline matters for price. A 2026 mainnet makes Z Protocol a sentiment driver today, which brings everything back to the chart.
Discover: The best pre-launch token sales
Zcash Price Prediction: Can ZEC Snap Back to $300
ZEC is currently consolidating in the $200–$250 range after rebounding from a recent low of $218. The 9% move came amid broader crypto market relief following geopolitical de-escalation, with privacy coins outperforming as risk appetite returned. But technical analysts flag a rising wedge pattern, with momentum visibly fading near the $250 resistance band.
Three scenarios from here. Z Protocol hype + ZODL’s $25M Paradigm/a16z seed round sustain buying pressure; ZEC clears $250 and targets $280, with aggressive targets as high as $690. Or, it consolidates between $230–$250 through Q2 open.
However, bear is hoping a breakdown below $218; momentum collapses toward $200 and the Grayscale-driven euphoria fades ahead of Z Protocol’s still-distant launch.
For traders watching the privacy-and-scaling narrative playing out across multiple chains, ZEC sits at a genuine inflection point this week.
Discover: The best crypto to diversify your portfolio with
LiquidChain Eyes Early-Stage Upside While ZEC Tests Resistance
Zcash’s 7% pop is encouraging, but at $248 and with a rising wedge overhead, the asymmetric upside is structurally constrained for new entrants. That math is precisely what tends to push active traders toward early-stage infrastructure plays before they hit mainstream awareness.
LiquidChain is a Layer 3 infrastructure project positioning itself as the cross-chain liquidity layer, fusing Bitcoin, Ethereum, and Solana liquidity into a single execution environment. Where Z Protocol solves Zcash’s EVM gap, LiquidChain’s architecture addresses fragmentation across the three dominant ecosystems simultaneously, with a Deploy-Once model that lets developers access all three without rebuilding.
A new layer emerges. Only a few see it first. — LiquidChain (@getliquidchain) March 24, 2026
The future is LiquidChain 
⟁https://t.co/vqvBcdSj94 pic.twitter.com/R7ZeZ0NPGl
Its Unified Liquidity Layer and Single-Step Execution engine aim to make cross-chain settlement verifiable rather than probabilistic. The presale is currently priced at $0.0144, with $630K raised to date, plus 1700% APY staking rewards as a bonus.
Research LiquidChain here before the next pricing tier activates.
This article is not financial advice. Cryptocurrency investments are highly volatile. Always conduct your own research before making investment decisions.
The post Zcash Price Prediction: Satoshi Plus Consensus for Scaling Layer? appeared first on Cryptonews.
Crypto World
Drift Protocol Loses $280M as Attacker Uses Durable Nonce Accounts to Seize Admin Control
TLDR:
- The attacker used durable nonce accounts to pre-sign transactions weeks before executing the $280M drain on Drift Protocol.
- No smart contract bug was involved — the breach relied on social engineering to obtain 2/5 multisig approvals in advance.
- Even after a Security Council migration on March 27, the attacker regained access to required signers within a short period.
- All borrow/lend balances, vault deposits, and trading funds were affected, while DSOL and Insurance Fund assets remained safe.
The Drift Protocol exploit has rattled the decentralized finance space, with attackers draining approximately $280 million from the platform. The breach involved a coordinated admin takeover rather than any smart contract vulnerability.
How the Attacker Gained Control of Drift’s Security Council
The attacker secured access to Drift’s Security Council admin using pre-signed transactions via durable nonce accounts.
This approach allowed transactions to be signed in advance and executed at a later time. There was no evidence of compromised seed phrases linked to the breach. The attack was not the result of any smart contract bug or exploit.
As early as March 23, multiple durable nonce accounts were established across multisig members and attacker-controlled wallets. This pointed to weeks of advance planning and careful staged execution before the attack was carried out.
The attacker likely obtained 2/5 multisig approvals through sophisticated social engineering tactics. Misrepresented transaction approvals are also considered a likely method used to gain those approvals.
On March 27, Drift carried out a Security Council multisig migration, apparently to address the existing security concerns. Shortly after, the attacker regained effective access to the required signers.
This showed that the compromise was persistent and extended well beyond the migration event. The migration did not successfully block the attacker’s ability to proceed with the plan.
According to initial findings shared by SolanaFloor, the attack was highly coordinated and involved weeks of preparation. On April 1, a legitimate insurance fund test transaction took place on the platform.
Just minutes later, two pre-signed nonce transactions were executed in rapid succession. This enabled a near-instant takeover of the protocol’s admin controls.
Withdrawal of Funds and Drift’s Ongoing Response
With full admin control secured, the attacker introduced a malicious asset into the protocol. Withdrawal limits were then removed, and protocol permissions were exploited to drain funds from users.
The total amount withdrawn reached approximately $280 million across the platform. All funds held in borrow/lend, vault deposits, and trading balances were affected by the drain.
Funds not deposited into Drift, including DSOL, were unaffected by the exploit. Insurance Fund assets are currently being moved to safer locations for protection.
All protocol functions have since been frozen to limit further damage. The compromised multisig wallet has also been removed to prevent continued access.
Drift is now actively working with security firms, bridges, and exchanges to trace the stolen assets. Law enforcement agencies have also been brought into the investigation.
The team is coordinating across multiple channels to explore potential recovery options. A full postmortem report is expected to be published in the near future.
No timeline has been shared by Drift for when platform operations might resume. The team confirmed that recovery coordination remains the current priority at this time.
Drift is also working with law enforcement to identify the individuals behind the attack. Further updates are expected as the investigation continues to develop.
Chainlink price fell 6% to $8.55 on Thursday as crypto investors remained concerned over a potential escalation in the U.S.–Iran war.
Summary
- Chainlink price fell around 6% to near $8.5 as broader crypto markets declined amid escalating U.S.–Iran tensions.
- Whale accumulation intensified, with large holders withdrawing up to 26,000 LINK daily, reducing exchange supply and signaling long-term confidence.
- Technical indicators point to a potential rebound toward $10, though short-term downside risk to $8 remains amid macro uncertainty.
According to data from crypto.news, Chainlink (LINK) price fell 6% to $8.50 on Thursday as the crypto market fell, reacting to news of the U.S. preparing for a heavy attack on Iran over the next two to three weeks to secure a decisive victory.
Despite Chainlink’s price drop, a massive accumulation trend by whales suggests that large-scale investors remain bullish on the long-term prospects.
In an April 1 X post, CryptoQuant analysis of the top 10 outflow transactions showed that whales were withdrawing over 8,000 LINK tokens from Binance daily. Furthermore, the monthly average outflows for the asset have increased from 2,000 LINK to 2,600 LINK per day.
The whale withdrawals suggest that they could be moving these funds to cold storage with the intent of holding the tokens for longer periods. Commitment from large holders often sparks retail interest and thereby strengthens the price floor as it tends to reduce the total supply of LINK held on exchanges.
Notably, exchange supply ratio data from CryptoQuant has shown a consistent drop through February. At the time of writing, the Exchange Supply Ratio stood at 0.127, near monthly lows, a sign of sustained accumulation since mid-February.
Low exchange balances also help address concerns around sudden short-term selling pressure by limiting the liquid supply available to traders. Subsequently, it can pave the way for a rapid price rebound once macroeconomic tensions ease.
On the daily chart, Chainlink price has been forming a double-bottom pattern, a bullish reversal signal in technical analysis. It is in the process of completing the second trough of the double bottom.
Other technical indicators on the daily timeframe seem to favor the bulls. Notably, the Supertrend indicator has turned green. When this signal flips green, it typically suggests that the short-term momentum is shifting in favor of the buyers.
The Chaikin Money Flow Index has also recorded a positive reading, a sign that institutional capital is steadily entering the market.
Hence, Chainlink price will likely bounce back to its March 16 high of $10 next. However, it could face a potential drop to $8 amidst the broader market downturn before its next leg up.
Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.
Solana’s native token SOL faced a notable pullback after a rejection near the $93 level last Wednesday, slumping about 11% as traders assess the chain’s near-term support. With the price testing the $80 region on multiple occasions in recent days, market participants are watching whether SOL can defend a key floor or if a deeper retracement toward the mid-$70s could emerge.
Amid softer price action, Solana’s on-chain activity remains anchored by its ecosystem’s ongoing revenue generation. The latest data show that while Solana’s DEX volumes cooled, the network continues to support a higher concentration of high-revenue DApps than many rivals, underscoring continued developer interest in the chain. Over the past month, total value locked on Solana stood at roughly $6.3 billion, a fraction of Ethereum’s approximate $54.1 billion. At the same time, Solana’s on-chain fees totaled about $18.5 million in March, a roughly 42% decline from January’s level, driven primarily by softer DeFi activity on the network.
In a broader market context, Ethereum’s on-chain activity remained robust in a shifting landscape dominated by layer-2 solutions. March DEX volumes across Ethereum and its Layer-2 ecosystems reached about $41 billion, down 23% from two months prior. Importantly, when aggregating DEX activity across Ethereum’s layer-2 networks—Base, Arbitrum, Polygon, and Optimism—Ethereum’s DEX market share rose to 42% in March from 33% in January. This marks a clear shift in trading flow toward layer-2s and away from the base chain, reshaping the competitive dynamics between Solana and Ethereum’s expanding L2 ecosystem.
Key takeaways
- Solana remains a revenue leader among blockchains, with a cluster of DApps generating $1 million+ in monthly revenue, reinforcing fundamental ecosystem activity even as price declines persist.
- Ethereum’s L2 expansion is capturing a larger slice of the DEX market, contributing to a shift in trading activity away from Solana as L2 dominance grows.
- Solana’s TVL ($6.3B) lags far behind Ethereum’s ($54.1B), illustrating the ongoing capital gap despite Solana’s ongoing developer engagement.
- Solana’s March on-chain fees ($18.5M) fell sharply from January, reflecting softer DEX volumes; meanwhile, Ethereum’s L2s collectively accounted for a meaningful share of DEX activity (42% in March).
- Solana leads with 13 DApps reporting $1M+ in revenue over the last 30 days, surpassing Ethereum (11), with BNB Chain and Base at 4 each, highlighting a continued ecosystem strength that could support SOL’s longer-term narrative.
Solana’s price pressure vs. ecosystem resilience
Despite a near-term price retreat, Solana’s DApp revenue momentum stands out as a counterweight to the selling pressure. The fact that Solana hosts more DApps delivering $1 million-plus in monthly revenue than Ethereum suggests a vibrant, revenue-generating ecosystem that could underpin demand for SOL beyond speculative trading. Projects like Pump, Helium Network, and ORE Protocol exemplify the range of use cases attracting developers and users to Solana’s layer-1.
Developers and investors are also weighing strategic ecosystem activity beyond pure on-chain metrics. In recent coverage, Solana has highlighted collaborations and platform expansions that could widen adoption, including development platforms that attract financial services players and large brands seeking to experiment with Web3-enabled capabilities. The broader market context—where Solana’s on-chain activity competes against Ethereum’s expanding L2 footprint—remains a dynamic tension for SOL’s near-term trajectory.
Market structure and shifting dynamics
Solana’s total value locked remains a fraction of Ethereum’s, underscoring the persistent capital gap between the chains. However, Solana’s relative strength on DApp revenue signals an ongoing, qualitative advantage: developers continue to build and monetize on Solana, even as traders redirect some activity toward layer-2 networks on Ethereum. The rise of Ethereum’s L2 market share to 42% in March from 33% in January demonstrates how scaling layers are reshaping the competitive landscape, potentially offering lower costs and faster settlement that attract liquidity away from base-layer chains.
Moreover, Solana’s fee trajectory—$18.5 million in March versus $30 million in January—shows how activity patterns influence on-chain economics. While the fee base shrinks during quieter periods, the underlying ecosystem strength remains a critical factor for SOL’s longer-term health. The contrast with Ethereum’s L2-driven structure suggests that Solana’s path to upside hinges not just on transactional volume, but on sustainable DApp monetization and continued developer onboarding.
What to watch next
As SOL tests the $80 region, investors will be watching whether support holds or if the market revisits the $75 level. The evolving balance between base-chain activity and Ethereum’s expanding layer-2 footprint will be a key driver of SOL’s near-term risk-reward. On the ecosystem side, continued momentum in high-revenue DApps and strategic platform partnerships could reinforce NAV-like support for SOL, even amidst broader price volatility.
Readers should monitor upcoming data on DApp earnings, DEX volumes, and layer-2 adoption trends, which will collectively illuminate whether Solana can sustain its ecosystem-led resilience in a market increasingly driven by cross-chain and layer-2 dynamics.
Crypto World
Australia Cracks Down on Gambling Ads as Prediction Markets Like Polymarket Remain Blocked
Australian Prime Minister Anthony Albanese announced sweeping restrictions on gambling advertising across television, radio, online platforms, and sporting venues on April 2.
The new rules take effect from January 2027 and aim to reduce children’s exposure to betting promotions during live sports broadcasts and everyday media.
Australia’s Per-Capita Gambling Losses Drive Reform
Australia has the highest per capita gambling losses globally. In the 2022-2023 fiscal year, Australians lost $31.5 billion on gambling, averaging roughly $1,527 per person.
The country holds less than 0.5% of the world’s population, yet accounts for nearly 20% of its poker machines.
Under the new measures, gambling ads will be fully banned during live sport broadcasts on TV between 6 am and 8:30 pm.
Outside live sport, a cap of three ads per hour applies during the same window. Celebrities and athletes can no longer appear in gambling promotions.
Online gambling ads will only be permitted when users are logged in, verified as over 18 and given an opt-out option. Radio ads face bans during school drop-off and pick-up hours.
“We’re cutting gambling ads on TV, radio, online and on the field,” Albanese articulated.
However, the reforms fall short of the full phased ban recommended by the 2023 Murphy parliamentary inquiry.
Donation Scrutiny and Prediction Market Implications
Australian Electoral Commission filings show gambling companies continued donating to both major parties during reform delays.
Sportsbet gave $88,000 to Labor on June 26, 2024, weeks before the government shelved a proposed blanket ad ban.
Tabcorp contributed $60,500 and Responsible Wagering Australia added $66,000 to federal Labor that same financial year.
Meanwhile, crypto-based prediction platform Polymarket remains banned and ISP-blocked in Australia since August 2025.
The Australian Communications and Media Authority (ACMA) classified it as an unlicensed interactive gambling service.
This follows an investigation that found the platform had paid TikTok and Instagram influencers to target Australian bettors during the 2025 federal election.
US-regulated prediction exchange Kalshi has self-restricted Australian users from accessing its platform, citing compliance with local gambling laws.
Neither platform is directly affected by the new advertising rules, which target licensed domestic operators like Sportsbet and Tabcorp.
The advertising restrictions represent one piece of Australia’s broader gambling regulation puzzle. Prediction markets remain firmly in ACMA’s crosshairs under existing legislation.
Meanwhile, the new ad rules focus on reducing the visibility of traditional sports betting in mainstream media.
The post Australia Cracks Down on Gambling Ads as Prediction Markets Like Polymarket Remain Blocked appeared first on BeInCrypto.
Genius Group, an AI-powered Bitcoin treasury and education company, disclosed in its first-quarter 2026 results that it has sold the remainder of its Bitcoin holdings to pay down debt. The move marks a notable shift for a company that had branded itself with a “Bitcoin first” strategy just over a year earlier, and it arrives amid a broader wave of corporate liquidations in crypto treasuries.
The company said it would recommence building its Bitcoin Treasury when market conditions are more favorable, signaling a potential pivot back to crypto accumulation once the macro backdrop allows. Genius Group had been gradually reducing its holdings since mid-2025 after a period when it was temporarily barred by a U.S. court from expanding its Bitcoin budget. Although the firm had held 84 BTC as of March 2026, the latest liquidation effectively ends its current Bitcoin exposure, consistent with the phrasing that it “sold the remainder” in the first quarter.
The disclosure comes as Genius Group reported a strong start to 2026. First-quarter revenue climbed 171% year-over-year to $3.3 million, while gross profit rose 228% to $2 million. The company swung from a $500,000 operating loss in Q1 2025 to a net profit of $2.7 million in Q1 2026, underscoring improving fundamentals even as its crypto treasury strategy has shifted away from Bitcoin holding expansion.
Key takeaways
- Genius Group confirms the sale of its remaining Bitcoin holdings in Q1 2026 to reduce debt, with the implication that its Bitcoin treasury is no longer a current asset.
- The company had previously pledged a “Bitcoin first” approach in November 2024, aiming to keep 90% or more of reserves in Bitcoin; the Q1 move signals a strategic reversal in the near term.
- Other notable corporate moves reflect a broader trend: Mara.
Holdings liquidated a large chunk of its BTC to fund debt paydown, cutting its treasury to 38,689 BTC, while Bitdeer and several other firms also sold portions of their holdings in 2026.
- Despite the selloffs, Michael Saylor’s Strategy remains the standout counterpoint, with ongoing Bitcoin accumulation that has drawn significant attention from investors tracking corporate exposure to BTC.
Corporate treasuries in flux
Genius Group’s decision to liquidate its Bitcoin reserve underscores a growing divergence in how companies are approaching crypto treasuries during a bear-market environment. The Q1 2026 results show other parts of the business performing strongly even as the crypto allocation changes. Genius Group’s revenue growth and profitability improvement point to a broader trend: non-crypto operations are resonating with investors even as Bitcoin exposure is trimmed back for now.
The timing aligns with a string of high-profile sales across the corporate crypto space this year. Mara Holdings disclosed the sale of 15,133 BTC for roughly $1.1 billion in March, a move designed to repurchase convertible senior notes and allocate capital to other corporate needs. The liquidation reduced Mara’s BTC holdings to about 38,689 BTC, positioning the company among the largest corporate BTC treasuries behind Twenty One Capital. The proceeds were aimed at stabilizing the balance sheet and financing debt-related needs.
Other notable actions included Bitdeer liquidating its entire BTC stash of 943 coins and selling newly mined BTC, driving corporate holdings to zero in February. Cango Inc. also disclosed the sale of a portion of its 4,451 BTC treasury, while GD Culture Group authorized the sale of some of its 7,500 BTC reserve in February. Taken together, these moves illustrate a broader calendar in which several tech- and mining-adjacent firms have prioritized de-risking and liquidity over immediate BTC accumulation.
Two voices: the bear-market buyers and the bear-market sellers
Amid the wave of disposals, one voice remains conspicuously active in Bitcoin accumulation. Michael Saylor’s Strategy, often cited as the largest corporate Bitcoin treasury, has continued buying through 2026. Analysts and trackers note that the Strategy has purchased thousands of BTC this year, maintaining a steady rhythm of accumulation that stands in contrast to the broader corporate exodus from BTC holdings. The latest figures show a cumulative total in the vicinity of tens of thousands of BTC for the year, with the Saylor Tracker documenting ongoing purchases and the overall size of the Strategy’s treasury rising despite market volatility.
The divergence between the “buy, hold, repeat” posture of the Saylor Strategy and the liquidity-focused exits by other corporate holders highlights a central tension in the crypto ecosystem: a speculative, macro-driven bear market versus a long-horizon, treasury-focused narrative that sees bitcoin as a balance-sheet asset rather than a pure bet on price alone. Investors watching corporate behaviors should pay attention to whether these selling waves represent opportunistic balance-sheet management or a broader reallocation away from BTC as a reserve asset.
What this means for investors and builders
For investors, Genius Group’s latest move is a reminder that corporate crypto policies are fluid and highly contingent on debt levels, liquidity needs, and broader market conditions. A company that once championed Bitcoin as its primary treasury asset is now prioritizing debt reduction and operating profitability, signaling that crypto is increasingly treated as one instrument within a diversified capital-allocation framework rather than a guaranteed anchor for all reserves.
For users and builders in the crypto space, the pattern of asset reallocation among corporate treasuries could influence market liquidity and the availability of BTC on exchange networks. As sales from large holders continue, buyers at different risk tolerances may emerge, potentially affecting price dynamics. Yet, the ongoing accumulation by the Saylor Strategy serves as a counterweight, suggesting that long-term holders continue to see BTC as a strategic asset rather than a short-term liquidity sink.
Regulatory and macro developments will also color the next phase. If the operating environment supports continued debt management and profitability for technology-driven firms, we may see more measured rebalancing rather than outright liquidations. Conversely, a sustained downturn or tighter funding conditions could accelerate the retreat from BTC across more corporate treasuries.
Looking ahead, readers should watch how Genius Group communicates its Bitcoin strategy going forward and whether any new capital-raising or debt-structuring moves arise as it pivots toward a more conventional balance sheet posture. At the same time, the market will be watching Mara and others to gauge whether their liquidations were one-time debt-management steps or the start of a broader asset-reallocation cycle.
In the near term, analysts will likely assess how much of this activity reflects structural changes in corporate risk tolerance versus opportunistic balance-sheet management in response to market cycles. If market conditions improve or if macro liquidity returns, the door could reopen for new Bitcoin treasury accretions, potentially complemented by refined, risk-aware treasury strategies from other technology-focused firms.
For now, the narrative is clear: a notable tilt away from Bitcoin holdings by several high-profile corporate treasuries, counterpointed by continued, disciplined accumulation by leading long-term holders. The next few quarters will reveal whether this is a temporary season of balance-sheet retooling or a more enduring shift in how corporations view Bitcoin within their financial mix.
What to watch next: how Genius Group and its peers re-enter or defer Bitcoin treasury activity, the trajectory of their debt management needs, and the evolving appetite among investors for corporate BTC exposure as a strategic reserve.
Alabama has become the second state in the United States to grant legal status to decentralized autonomous organizations under the Decentralized Unincorporated Nonprofit Association Act.
Summary
- Alabama granted legal status to decentralized autonomous organizations under the DUNA Act, becoming the second US state after Wyoming to do so.
- The law provides DAOs with legal recognition and limited liability protections, allowing them to operate, contract, and hold assets within a defined legal framework.
The DUNA Act, introduced in February by Republican Senator Lance Bell, provides legal recognition and limited liability protections to DAOs after passing 82-7 with 16 abstentions on March 17.
According to data from CoinLaw, there are over 13,000 DAOs across the globe, with roughly $24.5 billion worth of assets under their control. The key goal behind this framework is to offer clarity on how DAOs exist and operate within the legal system.
Alabama Governor Kay Ivey has now signed the bill into law, according to a16z Crypto’s head of policy and general counsel, Miles Jennings.
In a recent X post, Jennings said, “Decentralized governance is essential to crypto’s future—it’s one of the core constructs in market structure legislation.”
The bill will give decentralized communities “the certainty to build, govern, contract, and scale in the real world,” Jennings explained.
However, there are certain requirements that organizations must meet to qualify as a DAO. First, a DAO must have at least 100 members for a common nonprofit purpose, such as governing a blockchain network or smart contract system.
These entities can operate through blockchain technology and smart contracts, and voting, proposals, and consensus mechanisms can all be stored on-chain. Such entities will have full legal entity status, which means they can own property, enter into contracts, and sue or be sued.
This will offer individual members protection from personal liability in cases of disputes arising from DAO operations.
“As federal crypto market structure legislation moves closer to becoming law, builders need effective domestic legal structures,” Jennings said.
Back in 2024, Wyoming became the first state to grant legal status to DAOs under the DUNA Act.
Earlier this month, a similar DUNA bill was introduced in West Virginia by Representative Tristan Leavitt in February and is now awaiting the governor’s signature.
Key Takeaways
- An isolated testnet environment at Galaxy Digital was compromised by unauthorized access
- No client assets, personal information, or account data were exposed or endangered
- The financial impact was minimal, with losses under $10,000 in test-only funds
- Galaxy’s response team identified and contained the breach swiftly
- Trading operations and all client-facing services continued without disruption
Mike Novogratz’s Galaxy Digital has publicly acknowledged a recent cybersecurity incident that compromised one of its development environments. The breach targeted an isolated research and development workspace designed exclusively for testing purposes.
The firm immediately clarified that customer assets and sensitive data remained completely protected throughout the incident. Every trading platform and client service continued operating normally without any interruption.
The compromised system was a testnet infrastructure — a segregated digital environment where engineers experiment with new code and functionality away from live networks. This testing space operated entirely separate from Galaxy’s production systems and core technology infrastructure.
A source familiar with the situation revealed that the monetary damage amounted to less than $10,000. Galaxy characterized this sum as negligible, emphasizing that these funds existed solely for internal development and testing activities.
Galaxy reported that its security team identified the unauthorized entry point and acted rapidly to isolate the breach. The organization locked down the affected workspace and implemented enhanced security protocols throughout its blockchain-based infrastructure.
Understanding Testnet Environments
A testnet functions as a standalone, quarantined space where software developers validate updates and experiment with new capabilities. It replicates the framework of production systems while operating completely independently from actual user assets and information.
Despite being separated from live operations, testnets can still appeal to cybercriminals seeking to identify security vulnerabilities. While compromising such environments doesn’t directly endanger users, it may expose potential weaknesses in system architecture.
Galaxy maintains a diverse range of services including digital asset trading, investment management, lending platforms, custody solutions, cryptocurrency mining operations, staking services, and data infrastructure. The company primarily serves institutional investors while functioning as a connector between conventional financial markets and the digital asset ecosystem.
Ongoing Security Challenges in Cryptocurrency
Cybersecurity incidents and exploits remain an endemic challenge throughout the cryptocurrency space. The combination of publicly available code, substantial on-chain capital, and inconsistent security standards creates attractive opportunities for malicious actors.
According to industry analysts, annual losses from cryptocurrency-related hacks have consistently ranged between $1 billion and $2 billion in recent years. These incidents span everything from centralized exchange compromises to decentralized protocol exploits and sophisticated phishing campaigns.
Galaxy indicated that investigation into the incident continues. The company committed to sharing additional information when appropriate.
The firm has not disclosed specific details regarding the method of unauthorized entry or the particular vulnerability that was exploited during the attack.
Beyond the immediate containment measures and workspace security enhancements, Galaxy Digital has not announced any structural changes to its security personnel or broader infrastructure.
As of its official statement, Galaxy Digital confirmed that all client-facing platforms and services maintain complete security and operational integrity.
Former FTX head of engineering Nishad Singh has agreed to pay a $3.7 million fine to resolve his case with the US commodities regulator.
Summary
- Nishad Singh agreed to pay $3.7 million in disgorgement to settle CFTC charges tied to FTX’s collapse and misuse of customer funds.
- The settlement includes a five-year trading ban and an eight-year registration ban, with regulators citing his cooperation in limiting further penalties.
Singh will pay a disgorgement of $3.7 million as part of a supplemental consent order for his role in the collapse of FTX and the misappropriation of user funds, according to an April 1 statement from the U.S. Commodity Futures Trading Commission.
As part of the supplemental consent order, he has also been handed a five-year ban on trading in markets and an eight-year registration ban that blocks him from obtaining a license to operate within the sector.
CFTC enforcement director David Miller ruled out additional restitution or civil monetary penalties for now and said the current resolution reflects Singh’s cooperation with authorities.
“The defendant engaged in, and aided, significant violations of the Act and CFTC regulations as the former FTX head of engineering, and the consent orders reflect the severity of these violations,” Miller said.
A Bloomberg report noted that attorneys representing Singh said he was grateful the matter had been resolved and added that the regulator recognized his limited role in the underlying conduct.
Singh was accused of personally misappropriating millions of dollars in assets as part of FTX’s collapse. The commission charged the former executive with two counts of fraud by misappropriation and aiding and abetting fraud.
Subsequently, he entered into the consent order and agreed to cooperate with the commission’s investigators.
As previously reported by crypto.news, Singh was also spared from prison and received three years of supervised release.
In the meantime, FTX founder and former CEO Sam Bankman-Fried has filed a pro se motion seeking a new trial in his federal fraud case.
Bankman-Fried is currently serving a 25-year sentence on seven counts of fraud and conspiracy but has argued that key witness testimony was missing from his 2023 trial.
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