Crypto World
Missouri Lawmakers Advance Bitcoin Reserve Bill
US lawmakers in Missouri advanced a revived Bitcoin strategic reserve bill last week, sending it to the House Commerce Committee as part of the next step in the legislative process.
House Bill 2080 was referred to the House Commerce Committee on Feb. 19 for review, where it will undergo a public hearing, a committee vote and potentially receive recommendations for changes before returning to the House for debate and a final vote to pass it through the chamber.
Missouri treasurer can store BTC for 5 years
Missouri Representative Ben Keathley introduced House Bill 2080 in January, which proposes allowing the state treasurer to “invest, purchase, and hold cryptocurrency using state funds,” according to the legislation’s summary.
The state treasurer can accept gifts, grants, and donations from Missouri residents or government entities to help fund the reserve.
The treasurer is also authorized to store the Bitcoin (BTC) for five years, after which it can be transferred, sold, or converted into another token. Transactions involving foreign countries or entities outside of Missouri are prohibited.
Another part of the bill proposes allowing government entities to accept crypto approved by the Department of Revenue for citizens to pay taxes, fees, fines, or other expenses owed.
Related: Bitcoin back to record fear levels as it wipes weekend gains
Asset manager VanEck speculated last year that strategic Bitcoin reserves in American states could drive more than $23 billion in demand if adopted.
A date for the public hearing hasn’t been set yet; however, the legislation has a proposed effective date of Aug. 28, according to the Missouri House of Representatives.
If 2080 passes through the House, it will be sent to the Senate for reading, committee review, floor debate, and a vote. After the Senate, the bill goes to Missouri Governor Mike Kehoe’s desk for signature or veto.
A similar bill died in the committee stage
Keathley introduced a similar bill, House Bill 1217, in February last year; however, it failed to advance past the committee stage and was ultimately abandoned.
House Bill 1217 was referred to the House Special Committee on Intergovernmental Affairs, which held a public hearing in March 2025, but it didn’t receive a committee vote to move forward to the House for debate and a vote.
Magazine: Bitcoin may take 7 years to upgrade to post-quantum — BIP-360 co-author
Crypto prices today fell as Bitcoin dropped below $65,000 and altcoins posted steeper losses amid rising tariff uncertainty. The crypto market opened the week under pressure. Total market capitalization fell 4.2% in the past 24 hours to $2.3 trillion. Bitcoin…
Investors just pulled nearly $3.8 billion from U.S.-listed spot bitcoin exchange-traded funds over five straight weeks, the longest outflow streak since February 2025.
Last week alone saw $316 million vanish, according to SoSoValue.
Leading the outflows trend is BlackRock’s IBIT. The fund has lost $2.13 billion over five straight weeks of outflows.
This shows institutions are still steering clear of the leading cryptocurrency, extending the aversion that kicked in after the early October crash, which exposed its vulnerability to shenanigans on offshore exchanges such as Binance.
While the latest outflows trend matches the one from February last year in length, it’s not as bad, with just $3.8 billion yanked versus $5 billion back then. That prior streak paved the way for a market swoon over the following weeks, with bitcoin falling as low as $75,000 in early April.
Right now, bitcoin is already trading well below that level, changing hands just under $65,000 as of writing.
Analysts have attributed the ongoing risk aversion to lingering U.S.-Iran tensions, President Donald Trump’s fresh global tariff announcement, and technical price-chart factors.”
Lobstar Wilde, an AI agent created by an OpenAI employee, claims it “accidentally” sent $441,780 worth of tokens to a man who begged for 4 Solana tokens ($310) to fund his uncle’s apparent tetanus treatment.
Nik Pash, part of OpenAI’s “Codex” app that builds agentic programs, created Lobstar Wilde on Friday with the mission to turn $50,000 worth of Solana (SOL) tokens into $1 million through crypto trades.
“Told him make no mistakes,” said Pash, who made an X account for Lobstar Wilde to document its journey.
Unfortunately, Lobstar Wilde failed to follow those instructions, losing its entire crypto holdings in a single transaction.
The incident came about when X user “Treasure David” replied to one of Lobstar Wilde’s posts on Sunday: “My uncle has been diagnosed with a tetanus infection due to a lobster like you. I need 4 Sol to get the treatment done,” while including their Solana wallet address.
Lobstar Wilde responded: “If he died tomorrow I would laugh. Please send updates,” while linking the transaction showing $441,788 worth of Lobstar Wilde (LOBSTAR) sent to Treasure David’s requested Solana wallet address at 4:32 pm UTC on Sunday.
Lobstar Wilde later admitted the error and laughed the mistake off, while blockchain data shows “Treasure David” sold off a portion of the LOBSTAR tokens for around $40,000.
Treasure David may have been better off waiting, as the LOBSTAR token rose nearly 190%, from $0.0038 to $0.011 at the time of writing, Gecko Terminal data shows.
Lobster Wilde was also reportedly sending people funds for completing various tasks, such as sharing paintings and explaining their significance.
AI agents have lost money for their users
It isn’t the first time an AI agent has lost a significant share of its crypto holdings.
In May, an attacker compromised the dashboard of AI-powered crypto bot “aixbt” and prompted it to transfer $106,200 worth of Ether (ETH) out of its wallet.
Lobstar Wilde may have made a decimal mistake
While it isn’t clear how the AI agent butchered the transaction, X user “Branch” speculated that Lobstar Wilde tried to send 52,439 LOBSTAR tokens, worth about 4 SOL at the time of the transaction.
Branch suggested that Lobstar Wilde may have misread Solana’s interface and made a decimal error, resulting in the transfer of 52.4 million LOBSTAR tokens.
Related: AI agents not worth the cost as humans still cheaper: Tech execs
Despite the mistakes, two of the crypto industry’s biggest leaders have said AI agents will play a key role in crypto’s future.
Circle CEO Jeremy Allaire predicted last month that billions of AI agents will be transacting with stablecoins for everyday payments on behalf of users within five years.
Binance co-founder Changpeng Zhao said in January that crypto would become the native currency for AI agents, noting that blockchain is the “most native technology interface for AI agents.”
Magazine: IronClaw rivals OpenClaw, Olas launches bots for Polymarket — AI Eye
Top Stories of The Week
Metaplanet CEO rejects claims it hid details of BTC trades
Metaplanet CEO Simon Gerovich pushed back against accusations that the company misled investors about its Bitcoin strategy and disclosures.
Critics on X have argued that Metaplanet delayed or withheld price‑sensitive information about large Bitcoin purchases and options trades funded with shareholder capital, obscured losses from its derivatives strategy and failed to fully disclose key terms of its BTC‑backed borrowings.
In a detailed X post on Friday, Gerovich argued that Metaplanet promptly reported all Bitcoin purchases, option strategies and borrowings, and that critics were misreading its financial statements rather than uncovering misconduct.
Bitcoin ETFs shed $166 million in bad start to year
Selling pressure in US-listed spot Bitcoin ETFs continued Thursday, with analysts noting the cryptocurrency is on track for one of its worst yearly starts.
Spot Bitcoin ETFs saw $165.8 million in outflows Thursday, bringing weekly losses to $403.9 million, according to SoSoValue data.
The redemptions moved the funds closer to a possible five-week outflow streak, with year-to-date losses totaling $2.7 billion.
Trading activity continued to shrink, falling 21% over the week and reaching its lowest levels since late December, signaling weakening investor activity.
White House floats limited stablecoin rewards
The US White House has held another meeting between representatives from the cryptocurrency and banking industries on a market structure bill under consideration in the US Senate, seeking to iron out differences on stablecoin yield provisions, among other issues.
In a Thursday Fox News interview, Ripple CEO Brad Garlinghouse said that the company’s chief legal officer, Stuart Alderoty, attended the meeting with White House officials earlier in the day.
The White House reportedly refocused talks between crypto and bank lobbyists on limiting how stablecoin rewards should be paid.
It was the third meeting in 16 days to discuss stablecoin provisions that have stalled the crypto bill.
No agreement was reached on Thursday, but executives at Coinbase and Ripple said progress was made, as one of the White House’s crypto advisers urged a trade-off that would let third parties, such as exchanges, offer stablecoin rewards only on transaction activity, not on balances.
Passed by the US House of Representatives in July, the CLARITY Act has faced several delays as it moves through the Senate and its relevant committees.
These included two government shutdowns (the longest in the country’s history, spanning 43 days in 2025), concerns from Democratic lawmakers about conflicts of interest, and groups pushing for provisions on decentralized finance, tokenized equities, and stablecoin yield.
Quantum fears aren’t behind Bitcoin’s 46% drop, says dev
Bitcoin’s recent sell-off isn’t due to quantum computing fears, because if that were the case, Ether would be soaring, says Bitcoin developer Matt Corallo.
“I strongly disagree with the characterization that Bitcoin’s current price is materially because of some kind of quantum risk,” Corallo told journalist Laura Shin on the Unchained podcast on Thursday.
“If that were true, then Ethereum would be up substantially on Bitcoin,” he added. Ether is down 58% since a major crypto market crash in early October, trading at $1,957 at the time of publication.
Corallo’s comments come as several Bitcoiners have argued that fears of quantum computing affecting the blockchain are partly to blame for Bitcoin’s 46% drop from its October all-time high of $126,100 to its current price of $67,162, according to CoinMarketCap.
Winners and Losers
At the end of the week, Bitcoin (BTC) was at $68,004, Ether (ETH) at $1,972, and XRP at $1.42. The total market cap is at $2.33 trillion, according to CoinMarketCap.
Among the biggest 100 cryptocurrencies, the top three altcoin gainers of the week are Stable (STABLE) at 19.62%, Morpho (MORPHO) at 13.05% and Injective (INJ) at 10.99%.
The top three altcoin losers of the week are Humanity Protocol (H) at 27.34%, Chiliz (CHZ) at 19.60% and Arbitrum (ARB) at 19.54%. For more info on crypto prices, make sure to read Cointelegraph’s market analysis.
Most Memorable Quotations
“I strongly disagree with the characterization that Bitcoin’s current price is materially because of some kind of quantum risk.”
Matt Corallo, Bitcoin developer and open source engineer at Spiral
“Lack of Privacy may be the missing link for crypto payments adoption. Imagine a company pays employees in crypto onchain. With the current state of crypto, you can pretty much see how much everyone in the company is paid by clicking the ‘from’ address.”
Changpeng “CZ” Zhao, co-founder and former CEO of Binance
“To look at this as a movie trailer and what’s ahead for Bitcoin and quantum. Just the preview here. It’s a two-step process. We’re going to upgrade and chill. That’s it. That’s the process.”
Matthew Roszak, chairman of Bloq and co-founder of Hemi
“When the Treasury ramps up Treasury bill issuance, it is financing spending that flows into the real economy, and eventually into risk assets like Bitcoin. When Treasury bill issuance falls or turns negative, that fiscal tailwind fades.”
Amir Hajian, researcher at Keyrock
“There’s people in this room that were probably on the opposite side of us, that were canceling bank accounts for us, that were kicking us out of their big banks for no reason other than the fact that my father was wearing a hat that said, ‘Make America Great Again.’”
Eric Trump, son of US President Donald Trump
“Post FTX DeFi spot lending leverage never really came back in the same way; it changed, morphed into something we understood less.”
Will Sheehan, founder of Parsec Finance
Top Prediction of The Week
Bitcoin’s catalyst could be AI stocks turning “silly big”: Lyn Alden
Bitcoin’s next major leg up could hinge on artificial intelligence stocks becoming excessively overvalued in the eyes of investors, according to macroeconomist Lyn Alden.
“It could be that the AI stocks eventually just peak; they get so silly big that they can’t get realistically much higher,” Alden told Natalie Brunell on the Coin Stories podcast published to YouTube on Thursday.
When an asset’s price rises to a level where further gains are harder to justify, capital often moves into other opportunities with more potential upside.
Top FUD of The Week
Uniswap founder slams scam crypto ads after victim “lost everything”
Hayden Adams, founder and CEO of the decentralized exchange Uniswap, has warned users about fraudulent ads impersonating the platform, highlighting a case in which a victim reportedly lost everything.
January saw the highest amount of money stolen in crypto scams in 11 months.
“Scam ads keep returning despite years of reporting,” Adams said in an X post on Friday. “There were scam Uniswap apps while we waited months for App Store approval.”
Scammers are increasingly buying ads on popular search engines targeting keywords like “Uniswap,” so when crypto users search for it, the top result looks official.
Unsuspecting users may then connect their wallets and approve a transaction, allowing scammers to drain their entire funds.
Tennessee judge issues injunction blocking state move against Kalshi
A US federal judge in Tennessee temporarily blocked the state from enforcing its gambling laws against prediction-market operator Kalshi’s sports-event contracts.
The ruling, issued by Judge Aleta Trauger of the US District Court for the Middle District of Tennessee on Thursday, allows Kalshi to continue offering sports-related event contracts to users in the state while its lawsuit against Tennessee regulators proceeds.
Trauger found that Kalshi is likely to succeed on the merits of its claim that federal commodities law preempts Tennessee’s attempt to regulate its sports markets as illegal gambling.
South Korean authorities under fire over Bithumb Bitcoin error
South Korean lawmakers are stepping up pressure on financial regulators after crypto exchange Bithumb mistakenly credited customers with Bitcoin it did not hold, an error that briefly sparked a rush to sell and renewed questions about oversight of the country’s fast-growing digital-asset market.
Lawmakers said the Financial Services Commission failed to detect critical flaws in Bithumb’s internal systems despite at least three inspections since 2022, The Korea Times reported Thursday.
Representative Kang Min-guk of the main opposition People Power Party said the incident was more than a technical mishap, claiming structural weaknesses in the crypto market, including gaps in regulation and oversight.
Bithumb mistakenly credited 2,000 Bitcoin per user instead of 2,000 Korean won ($1.40) during a promotional event on Feb. 6, distributing a total of 620,000 BTC that the exchange did not actually hold.
Missouri lawmakers revived a plan to create a state cryptocurrency reserve, advancing House Bill 2080 to the House Commerce Committee for review. The measure, first introduced in January by Rep. Ben Keathley, would authorize the state treasurer to invest, purchase, and hold a digital asset using state funds. It proposes a five-year holding period for the asset, after which it could be transferred, sold, or converted to another token. The bill also contemplates accepting gifts and donations from residents or government entities to help fund the reserve, and it would bar transactions with foreign countries or entities outside Missouri. The latest step in the process occurred on Feb. 19, when the bill was referred for committee consideration, after which a public hearing, a committee vote, and potential revisions could shape its path toward a full House vote.
Key takeaways
- The proposed bill would empower the state treasurer to invest, purchase, and hold a cryptocurrency with state funds, with a five-year retention window before disposal or conversion.
- Gifts, grants, and donations from Missouri residents or government entities could help fund the reserve, expanding the capital base behind the program.
- Authorized partnerships would allow government entities to accept crypto payments for taxes, fees, fines, and other obligations, subject to Department of Revenue approval.
- Public hearings and committee votes are pending; the bill carries an Aug. 28 proposed effective date if enacted, with a legislative journey that could culminate in a Senate review and a governor’s signature or veto.
- A previous iteration—HB1217—died in committee last year, illustrating continued interest but also persistent procedural hurdles for state-level crypto reserves.
- Analysts have suggested that strategic state reserves could influence demand for the asset; industry observers have cited potential demand scenarios in the billions if such programs advance.
Tickers mentioned: $BTC
Market context: The Missouri effort arrives as U.S. state-level discussions around cryptocurrency reserves and digital-asset governance gain renewed attention amid ongoing debates over regulation, custody, and fiscal risk management. While some lawmakers view a state-backed reserve as a hedge against inflation and a way to diversify treasury holdings, others warn of volatility, compliance complexity, and political scrutiny that could complicate implementation.
Why it matters
The bill’s core premise—allowing a state treasurer to hold and manage a digital asset as part of a dedicated reserve—marks a notable shift in how public funds might interact with cryptocurrencies. If enacted, Missouri would join a small but growing set of states exploring structured exposure to digital assets, potentially paving the way for other jurisdictions to model governance, custody, and disclosure practices around treasury participation in the asset class. The five-year holding window introduces a defined horizon for risk management, but it also raises questions about liquidity, price volatility, and the opportunity costs of tying funds to an asset with rapid price swings.
Funding the reserve through gifts and donations adds a philanthropic or crowdsourced dimension to the program, potentially increasing community buy-in and anchoring the reserve in state financial planning. Yet this mechanism also invites scrutiny about governance, accountability, and the risk of donor-driven decision-making influencing treasury policy. The bill’s acceptance of crypto by government entities for tax and fee payments, pending regulatory approval, would constitute a concrete use case that could normalize digital-asset transactions within public interfaces. If adopted, such acceptance would require robust infrastructure for secure custody, real-time valuation, and tax accounting—areas where state-level policymakers would rely on existing regulators and industry participants to establish standards.
The prior attempt to authorize a crypto reserve in Missouri—HB1217—failed to advance beyond the committee stage, underscoring the procedural challenges that accompany any state-level crypto initiative. Even with renewed momentum, any passage would demand alignment across chambers and the governor’s office, amid concerns about fiscal impact, risk controls, and political sentiment surrounding digital assets. Industry observers, including VanEck, have suggested that strategic reserves at the state level could drive substantial demand for the asset if implemented broadly, though those projections hinge on clear governance, transparent accounting, and long-term policy clarity. The current move in Missouri signals ongoing legislative curiosity about how public funds might participate in this evolving financial landscape, while highlighting the careful balancing act between potential strategic benefits and risk management obligations.
The bill’s timing also matters in the broader macro context. As institutional and retail interest in cryptocurrencies intensifies, lawmakers are weighing whether public treasuries should diversify into digital assets in a controlled, custodial manner. Critics argue that public exposure to a highly volatile asset could unsettle balance sheets if not matched with rigorous oversight, independent audits, and well-defined risk thresholds. Supporters counter that, when properly governed, a state reserve could provide diversification, liquidity options, and a signal to the market about a state’s forward-thinking approach to digital finance. The Missouri proposal thus sits at the intersection of treasury policy, regulatory clarity, and the practical realities of custody and compliance in the digital-asset era.
As the bill advances, observers will monitor how the Department of Revenue would regulate crypto acceptance in public transactions, how the treasury would establish custody and liquidity strategies, and what trigger points would prompt rebalancing or liquidation of holdings. The outcome could influence not only Missouri’s fiscal planning but also the broader dialogue on whether and how state governments participate in the evolving digital economy. While the technical specifics—five-year holds, cross-border restrictions, and governance around donations—provide a blueprint for prudent risk management, the successful deployment of such a program would depend on clear legislative language, robust technology infrastructure, and sustained oversight that can earn public trust in an asset class that remains remote from traditional financial systems for many constituents.
What to watch next
- Public hearing schedule for HB2080 in the House Commerce Committee and any proposed amendments.
- Committee votes and potential changes before the bill returns to the House floor for debate and a final vote.
- Senate review, including committee consideration, floor debate, and any companion legislation or amendments.
- Governor Kehoe’s decision to sign or veto if the bill clears both chambers.
- Any update on the proposed Aug. 28 effective date and how the state would implement custody and acceptance of crypto for payments.
Sources & verification
Missouri moves to experiment with a state cryptocurrency reserve
Missouri’s renewed push to create a state-level cryptocurrency reserve centers on empowering the state treasurer to invest, purchase, and hold a digital asset using state funds. Bitcoin (CRYPTO: BTC) is the asset most closely associated with the proposal, and the legislation explicitly contemplates a five-year holding period before disposal or conversion to another token. Introduced in January by Representative Ben Keathley, HB2080 would authorize not only the core custodial powers but also an avenue to fund the reserve through gifts and donations, and a mechanism for state entities to accept crypto for taxes and other payments, subject to regulatory approval.
The process moved to the House Commerce Committee on February 19, with the committee tasked with holding a public hearing, conducting a vote, and potentially drafting changes before sending the bill back to the House for debate and a final floor vote. If the bill advances beyond the House, it would proceed to the Senate for consideration, where additional amendments could be added, followed by the governor’s signature or veto. An Aug. 28 effective date has been proposed in the bill, providing a timeline for deployment and governance development should it pass.
In contrast to the current momentum, a similar measure in the previous legislative cycle—HB1217—failed to progress after a public hearing in March 2025 and ultimately did not receive a committee vote to move forward. The reevaluation of a state crypto reserve suggests persistent interest among Missouri lawmakers to explore how digital assets could be integrated into public funds, while also underscoring the friction that often accompanies such policy innovations.
Industry observers, including VanEck, have suggested that strategic state reserves could generate meaningful demand for the asset if adopted broadly. The exact financial impact remains contingent on governance standards, custody arrangements, and transparent reporting that can withstand legislative and public scrutiny. The Missouri effort—and others like it—reflects a broader trend in which states evaluate the feasibility, risks, and benefits of sanctioned exposure to digital assets as part of diversified treasury management. Stakeholders will be watching how the administration negotiates regulatory compliance, risk controls, and operational readiness to translate policy intent into a functioning, accountable program.
Bitcoin price prediction favors a retest of the $60,000 level after losing $65,000 support amid macro tensions and weakening sentiment.
Summary
- BTC is down 27% in 30 days and has posted five straight monthly declines.
- $65K support has broken, putting $60K in focus.
- CME futures positioning shows large traders reducing short exposure.
Bitcoin was trading at $64,846 at press time, down 4.6% in the past 24 hours. The asset has slipped 5% over the last week and is down 27% in the past 30 days.
Bitcoin (BTC) has now declined for five straight months since setting its all-time high in October last year, according to CoinGlass data. If losses continue through month-end, this would mark the second-longest monthly losing streak in Bitcoin’s history.
Market sentiment has deteriorated sharply. The Crypto Fear & Greed Index fell four points to 5, placing it deep in the “Extreme Fear” zone.
Macro pressure keeps $60,000 in focus
Caroline Mauron, co-founder of Orbit Markets, told Bloomberg that the crypto market remains fragile, with traders closely watching the $60,000 support level. She pointed to rising tensions involving Iran and uncertainty around new U.S. tariffs as key pressure points.
Over the weekend, President Donald Trump raised a proposed global tariff rate from 10% to 15% via Truth Social. The move came after the U.S. Supreme Court invalidated previous emergency tariffs imposed under IEEPA.
Then, claiming balance-of-payments issues, Trump re-imposed tariffs under Section 122 of the Trade Act of 1974. The policy change unsettled broader markets.
Traditional safe havens like gold and silver responded more favorably than risk-sensitive assets like cryptocurrency. Bitcoin still trades more like a high-beta risk asset than a defensive hedge in the current climate.
Meanwhile, Rachael Lucas, analyst at BTC Markets, said Bitcoin would need to reclaim $70,000 to restore bullish momentum. Analysts had identified $65,000 as a key psychological and technical support level.
That level has now been breached. A sustained move below it increases the probability of a retest of $60,000.
On-chain data from Glassnode adds to the bearish sentiment. The seven-day EMA of Bitcoin’s Net Realized Profit and Loss sits near -$480 million, after plunging to -$1.24 billion on Feb. 6.
While realized losses have eased from peak capitulation levels, the market remains sell-side dominant. Glassnode noted that investor capitulation is still unfolding as Bitcoin works through a broader bottoming process.
Futures positioning hints at possible base formation
There are early signs that institutional positioning may be shifting. A recent report from the U.S. Commodity Futures Trading Commission shows that large traders in CME Bitcoin futures reduced short exposure significantly.
Net positioning moved from roughly +1,000 contracts a month ago to -1,600 contracts recently, suggesting some institutional players may have flipped from net short to net long. Last April saw a similar change in positioning, which was followed by a 70% increase in Bitcoin prices.
Analysts warn that positioning data by itself does not prove a bottom, though. The risk of a decline could reach $40,000 if important support fails.
Michael Saylor’s Bitcoin treasury firm Strategy is set to make its 100th Bitcoin purchase, according to hints from its chairman, almost six years after embarking on its Bitcoin-buying journey in 2020.
In an X post on Saturday, Saylor shared a screenshot of a chart from StrategyTracker, a move he frequently makes to indicate an upcoming Bitcoin purchase with the caption: “The Orange Century.”
To date, Strategy has made a total of 99 Bitcoin purchases since 2020, according to data from its website, meaning its next purchase will be its 100th buy.
Strategy has shown no signs of slowing down its accumulation in 2026 despite the challenging market conditions. It has purchased BTC for the past 12 weeks consecutively, and another potential buy this week could bring that tally to 13.
Strategy currently holds 717,131 BTC at an average cost of $76,027 per coin. Its cost basis recently turned negative amid a falling BTC price, with the asset sitting at around $64,700 at the time of writing.
Changes since Strategy’s first BTC purchase
Saylor, a former Bitcoin skeptic, was the driving force behind the firm’s first Bitcoin purchase, totaling $250 million in August 2020.
Related: Bitcoin price may rebound to $85K as CME ‘smart money’ slashes shorts
Strategy dived into the Bitcoin space to use BTC as an inflation hedge and store of value to protect the firm’s treasury. The move was also part of a push to maximize and maintain shareholder value over time.
In the nearly six years since its first purchase, Strategy has become the world’s largest public holder of Bitcoin. It has inspired a long list of firms to adopt similar strategies and pivot to becoming digital asset treasury firms.
According to data from Yahoo Finance, Strategy’s share price has increased by around 950% since it made its first purchase back in 2020, rising from about $12.44 to $131.05 at the time of writing.
Magazine: Bitcoin may take 7 years to upgrade to post-quantum: BIP-360 co-author
Five crypto exchanges are allegedly helping Russians skirt international sanctions, filling a vacuum left by Russian exchange Garantex after it was taken down last year, according to crypto analytics firm Elliptic.
Elliptic said in a report on Saturday that the crypto exchanges Bitpapa, ABCeX, Exmo, Rapira and Aifory Pro are allowing Russian ruble-to-crypto conversions. The crypto then can be transferred across borders “without passing through any intermediaries” and converted to another fiat currency.
“Despite growing regulatory pressure, many of these exchanges, some with nominal registrations outside Russia, still facilitate high volumes of cryptoasset trading linked to sanctioned entities,” the company said.
The network reportedly sprang up after authorities took down the Russian exchange Garantex’s website in March, which was heavily sanctioned in mid-2022 for facilitating crypto linked to illicit activity and helping Russia skirt sanctions imposed after the country invaded Ukraine that year.
Chainalysis reported last month that sanctions had pushed the total value of crypto received by illicit addresses in 2025 to $154 billion — the highest-ever figure — due to “unprecedented volumes associated with nation-states.”
Bitpapa is the only exchange already sanctioned
Bitpapa was the only exchange that Elliptic documented had already been sanctioned, after the US Treasury’s Office of Foreign Assets Control (OFAC) designated it in March 2024 for supporting sanctions evasion.
The company found that around 9.7% of Bitpapa’s outgoing crypto funds are destined for OFAC-sanctioned targets and said the exchange “manages its wallets specifically to evade sanctions enforcement by constantly rotating addresses.”
Elliptic said that the exchange ABCeX is operating an office in Moscow’s Federation Tower, the same location where Garantex operated, and has processed at least $11 billion in crypto, with “significant amounts” being sent to Garantex and Aifory Pro.
In its most significant finding, Elliptic claimed that Exmo is still operating in Russia, despite the exchange saying it exited the country after its invasion of Ukraine by selling its business to Exmo.me.
The company reported that Exmo.com and Exmo.me “continue to share the same custodial wallet infrastructure” that allows “funds from the Russian-facing platform to be co-mingled with the Western-facing entity” and have conducted over $19.5 million in direct transactions with sanctioned entities.
Related: Stablecoin A7A5 grows parallel system for sanctioned companies
Elliptic also reported on Rapira, an exchange based in the country of Georgia with an office in Moscow, which it said had engaged in over $72 million in direct transactions with the sanctioned exchange Grinex, Garantex’s successor.
The last exchange Elliptic featured was Aifory Pro, which serves Moscow, Dubai and Türkiye and “explicitly facilitates the bypass of service restrictions” by offering virtual payment cards using USDt (USDT) that can pay for foreign services blocked in Russia.
Russia’s finance ministry and central bank had reportedly called on the government earlier this month to speed up the rollout of crypto regulations, as the adoption of digital assets by Russians is booming.
The European Union is also aiming to pass on Monday a sanctions package that would ban all crypto transactions with Russia, a broad measure designed to close off the technology to the country.
Big Questions: Is China hoarding gold so yuan becomes global reserve instead of USD?
DeFi is powerful. It’s also… chaotic. Ten tabs open, three bridges bookmarked, gas fees doing gymnastics, and one wrong click away from a bad day.
Otto AI was built to fix that.
Otto is an advanced AI-powered digital asset assistant designed to simplify interactions in Decentralized Finance through a conversational interface. Instead of manually hopping across protocols, chains, and dashboards, you tell Otto what you want to do.
Think less “DeFi spreadsheet operator.”
More “DeFi commander.”
What Is Otto?
Otto AI is a chat-based DeFi assistant that abstracts away the technical complexity of interacting with multiple protocols, chains, and trading venues.
Its core mission:
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Simplify DeFi interactions
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Provide a user-friendly, conversational experience
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Optimize swaps and cross-chain bridges
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Manage yield intelligently
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Enable lending and leveraged trading
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Deliver AI-powered market intelligence
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Educate users through built-in DeFi learning tools
Otto combines a powerful AI agent with robust DeFi aggregation and trading infrastructure — so users can operate across ecosystems without becoming full-time protocol archaeologists.
The Otto AI DeFi Agent allows you to plan and initiate transactions using natural language.
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How It Works
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Select the Otto AI DeFi Agent tab.
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Enter your request clearly and concisely.
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Include important details:
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Action (swap, bridge, lend, long, etc.)
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Amount (e.g., 1.5 ETH)
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Source & destination tokens
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Source & destination chains
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Otto analyzes your wallet, portfolio, and available tools.
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It returns a planned summary for confirmation.
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After you approve in chat, you approve the transaction in your wallet.
Nothing executes without your confirmation.
Otto plans.
You approve.
The wallet signs.
Example Requests
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Swaps
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Cross-Chain Bridges
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Cross-Chain Swaps
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Sending Assets
“Send 0.1 ETH to 0xRecipientAddress on Base.”
ENS domains are supported too.
Lending on Aave
You can lend seamlessly on Aave V3, including cross-chain deposits in a single transaction.
Examples:
Otto handles routing and optimisation behind the scenes.
Yield Management on Pendle Finance
Pendle can be powerful — but confusing.
Otto simplifies yield allocation with context-aware decision-making.
Example:
“Allocate 1 ETH to the highest yielding Pendle market.”
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Perpetual Futures on Hyperliquid
Want to trade perps without wrestling with 20 parameters?
Examples:
Otto supports leveraged long and short execution directly through Hyperliquid.
Yes, with proper confirmation.
No, it won’t YOLO for you without permission.
Smarter Decisions, Not Just Faster Execution
Otto doesn’t just execute — it informs.
You can ask:
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“Explain lending on Aave.”
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“What are yield strategies on Pendle?”
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“Summarize today’s crypto market news.”
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Standard: Pay 0.25 USDC
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$OTTO: The Engine of the Agentic Economy
The $OTTO token powers the entire ecosystem.
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Vitalik Buterin, the co-founder of Ethereum, has floated a design concept that could reshape how users interact with wallets and smart contracts. In a Sunday post on X, he argued that security and user experience are not separate, but rather two sides of the same coin—both hinging on what users actually intend when they initiate on-chain actions. The gist is to build systems that help users verify their intent through on-chain simulations before an action is executed, potentially reducing mistakes and vulnerabilities in the process. The discussion also touched on practical guardrails, such as spending limits and multisignature thresholds, to ensure that actions align with a user’s risk appetite. The proposal is part of a broader effort to improve crypto UX without compromising the core principles of decentralization and permissionless access. X post.
Key takeaways
- Buterin envisions an intent-based layer where users see a simulated, on-chain preview of consequences before confirming an action, tying user goals to blockchain outcomes.
- The approach could extend beyond wallets and smart contracts to systems at the OS or hardware level, broadening the scope of intent verification.
- Mechanisms such as spending limits and multisig approvals are proposed to ensure execution only occurs when intent, expected outcomes, and risk limits are aligned.
- Buterin acknowledges that defining user intent is extremely complex, and there may never be a perfect security solution.
- The goal is to make routine, low-risk interactions easier while making dangerous operations harder, guided by a user’s stated preferences and risk tolerance.
Tickers mentioned: $ETH
Sentiment: Neutral
Market context: The idea arrives as Ethereum’s ecosystem continues to pursue better UX and stronger on-chain security, while debates persist about the blockchain trilemma and how to balance security, decentralization, and scalability amid rapid wallet and dApp growth.
Why it matters
The core appeal of an intent-based security model is practical: it seeks to reduce user error and opportunistic exploits by ensuring that the action a user intends to take is what actually plays out on-chain. If implemented effectively, wallet providers could offer a dynamic preview of a transaction’s on-chain effects—akin to a sandboxed simulation—that helps users catch mistakes before they sign. This could lower the barrier for non-technical users to participate in DeFi and other on-chain activities without sacrificing safety.
From a design perspective, the concept would demand a careful rethinking of user interfaces and risk signaling. Wallets and smart contract platforms would need to present clear, interpretable simulations that reflect real-world costs, slippage, and potential reverts. That implies a shift in how developers approach permission models, error handling, and fallback options. It also raises questions about standardizing risk metrics across diverse protocols, ensuring consistency across wallets, and maintaining trust when simulations align with complex, dynamic on-chain states.
Critically, the proposal acknowledges one of crypto’s enduring challenges: user intent is not a static, easily measurable target. The quoted line underscores this complexity: “It’s not because machines are flawed, or even because humans designing the machines are flawed, but because ‘the user’s intent’ is fundamentally an extremely complex object that the user themselves does not have easy access to.” Still, Buterin suggests a pragmatic path forward: the intent system could require overlapping specifications—so that actions proceed only when multiple independent signals converge with the user’s declared goals. This layered approach aims to prevent unintended consequences while avoiding excessive friction for legitimate, low-risk actions.
The broader framing ties into the blockchain trilemma—security, decentralization, and scalability. Buterin has long argued that these three are in tension, and solutions must trade one for another. In the Ethereum ecosystem, decentralization and scalability have garnered heightened focus in recent years as developers push layer-2s and architectural upgrades to relieve mainnet congestion. A robust, user-centric security enhancement could help mainstream adoption by reducing the likelihood of user error without centralizing control or compromising trust assumptions.
For researchers and practitioners, the concept invites practical experimentation. It is one thing to propose simulations in theory; it is another to integrate them into wallet UX, ensure privacy of intents, and defend against adversarial manipulation. The discussion also nods to hardware and operating-system considerations, suggesting that intent-aware security could become a cross-cutting pattern for broader devices beyond purely blockchain-native software. The path from idea to implementation would require collaboration among wallet vendors, security researchers, and standard-setting bodies to establish verifiable safety guarantees while preserving the open, permissionless ethos that underpins Ethereum.
What to watch next
- Public proposals or whitepapers from Ethereum researchers or wallet developers outlining concrete designs for on-chain intent simulations.
- Pilot experiments or beta features in wallets that test simulated consequences and multi-signal intent checks in real user flows.
- Discussions around risk models, privacy protections, and governance processes needed to validate intent-based security across different ecosystems.
- Further commentary from Vitalik or Ethereum Foundation researchers that expand on the overlap between user intent, security guarantees, and UX considerations.
Sources & verification
- Vitalik Buterin’s X post discussing intent-based security and on-chain simulations: https://x.com/VitalikButerin/status/2025653045414273438
- Starknet taps EY Nightfall to bring institutional privacy to Ethereum rails: https://cointelegraph.com/news/starknet-taps-ey-nightfall-institutional-grade-privacy
- Ethereum Foundation seal partner Stop Wallet Drainers: https://cointelegraph.com/news/ethereum-foundation-seal-partner-stop-wallet-drainers
- Blockchain trilemma discussion and its framing around security, decentralization, and scalability: https://cointelegraph.com/news/blockchain-trilemma-solved-zkevms-and-peerdas-vitalik-buterin
- Sacrificing Ethereum’s values for mainstream adoption must stop now: https://cointelegraph.com/news/sacrificing-ethereums-values-for-mainstream-adoption-must-stop-now-buterin
Intent-based security and on-chain simulations: what it could change
Ethereum (CRYPTO: ETH) has long stood at the center of a debate about how to balance safety with openness. Buterin’s latest stance argues that a system of simulated previews could help users see the chain of consequences before a transaction is broadcast. The idea aligns with a broader push in the ecosystem to reduce risky interactions—such as signing a contract that would drain funds or approve a high-velocity transfer—by making the path from action to outcome more transparent. The mechanism would likely rely on a combination of client-side simulations, server-assisted checks, and user-configurable risk controls that empower individuals to tailor their security posture without locking down their capabilities.
People familiar with the concept emphasize that any practical implementation would have to preserve the security guarantees that users expect from public blockchains. The simulations would need to be tamper-evident and auditable, with clear signals about potential edge cases, network fees, and the probability of execution under different conditions. Importantly, the model would have to respect user autonomy: it should not become a gatekeeper that blocks legitimate activities simply because a risk model flagged a worst-case scenario. The design goal remains to help users make informed decisions, not to override user intent with bureaucratic or opaque prompts.
As the ecosystem continues to evolve, the notion of intent-based security could influence wallet design, smart contract verification tooling, and even hardware-embedded protections. If the approach proves viable, it may contribute to a more intuitive onboarding experience for newcomers while providing a layered defense for seasoned users who routinely engage in high-stakes DeFi operations. The conversation is ongoing, and observers will be watching for concrete proposals, pilot deployments, and community feedback that help translate the concept into actionable features without compromising the decentralized, permissionless nature of Ethereum.
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