Crypto World
what it means for crypto
CME FedWatch odds for a September rate hike have surged past 66% after Fed Chair Kevin Warsh’s hawkish Jackson Hole speech and oil prices driven above $90 by the Iran conflict. Bitcoin is holding $78,000 after a 25% August rally, but the structural question remains unanswered: does ETF demand change what a rate hike does to crypto, or does it just delay the pain?
Summary
- CME FedWatch pricing shows a 66% probability of a 25 basis point rate hike at the September 15-16 FOMC meeting, up from 35% before Fed Chair Kevin Warsh’s Jackson Hole address.
- Barclays now forecasts two rate hikes in 2026, in September and December, reversing its earlier hold call and raising the terminal rate outlook.
- Bitcoin gained 25% in August, its best month since November 2024, while spot Bitcoin ETFs pulled in $3.52 billion in net inflows across 16 of 21 trading days.
- The federal funds rate sits at 3.50% to 3.75% after three cuts in 2025; a September hike would be the first increase since July 2023, ending the longest pause since before the pandemic tightening.
- Brent crude surged above $91 per barrel after renewed U.S.-Iran strikes near the Strait of Hormuz, with the PCE inflation index running at 3.7% over 12 months and 4.1% over six, well above the 2% target.
Bitcoin just had its best August since 2017. It gained 25%, spot ETFs attracted $3.52 billion, and the price reclaimed $78,000 from a May low near $63,000. By any normal measure, the trend is up.
The problem is that normal stopped applying when the Fed’s new chair told Jackson Hole that inflation was “concerning” and the market immediately repriced September from a hold to a probable hike. Oil is above $90 because Iran is not a hypothetical risk anymore. Inflation is running at nearly double the target. And the instrument the Fed uses to fight inflation, higher interest rates, has historically been the single most reliable killer of crypto rallies.
The last time the Fed hiked aggressively, Bitcoin fell 77%. This time is supposed to be different because ETFs exist. Whether that is true depends on what exactly is buying bitcoin and whether it will keep buying when yields rise.
What the Fed is looking at
The numbers that will sit in front of the FOMC on September 15 are not ambiguous.
The Personal Consumption Expenditures price index, the Fed’s preferred inflation gauge, is running at 3.7% over 12 months and 4.1% over six months. Both are roughly double the 2% target. Core PCE, which strips out food and energy, is more contained but still elevated. The direction is wrong.
Energy is the proximate cause. Brent crude hit $91.25 per barrel on Sept. 1 after renewed fighting between the U.S. and Iran near the Strait of Hormuz revived fears about shipping through the world’s most important oil chokepoint. WTI reached $86.36. Gasoline prices have followed. Inflation hit 4.2% in May, a three-year high driven by a 23.5% surge in energy costs.
The July jobs report briefly pushed hike odds down to about 30% after a significant miss in non-farm payrolls. But Warsh’s Jackson Hole speech on Aug. 28 overrode that signal. He called the inflation picture “concerning,” cited the PCE readings explicitly, and made clear that the Fed was prepared to act. Markets repriced within hours.
Fed Governor Michael Barr then reinforced the message, saying he backed a “decisive” increase if inflation failed to ease. Polymarket traders pushed hike probability to 72% after his statement. The CME’s FedWatch tool, which reflects actual fed funds futures positioning, settled at 66%.
The market is not guessing. It is pricing the hike as a base case.
BNP Paribas went further, revising its forecast to project three rate hikes starting in December 2026 that would effectively reverse the three cuts delivered during 2025. If that path materializes, the federal funds rate would return to 4.25% to 4.50% by mid-2027, the same level that produced the deepest bitcoin drawdown in the asset’s history.
Even one hike changes the narrative. The market spent most of 2025 and early 2026 expecting rate cuts. The shift from “when does the Fed cut” to “how many times does the Fed hike” is a regime change in expectations, and regime changes produce larger price moves than individual rate decisions.
The transmission: rates up, risk assets down
The mechanics of how a rate hike reaches crypto are straightforward, even if the market sometimes pretends otherwise.
When the Fed raises the federal funds rate, the risk-free return on Treasury bills and money market funds increases. Every asset in the economy is priced relative to that benchmark. A higher risk-free rate means that risky assets need to offer a higher expected return to justify their volatility, or their prices fall until the implied return rises to meet the new bar.
In 2022, the Fed raised rates from 0.25% to 4.50%, the fastest tightening cycle in four decades. Bitcoin fell 77%, from roughly $48,000 in March to $15,500 by November. The S&P 500 fell 25%. The Nasdaq fell 33%. Bitcoin was not a hedge against inflation. It was not a hedge against anything. It was the most rate-sensitive large-cap asset in the market.
The correlation between Bitcoin and the Nasdaq reached historic highs during that cycle, demolishing the “uncorrelated asset” thesis that had been a pillar of institutional bitcoin allocation models. Bitcoin tracked risk appetite, and rate hikes destroyed risk appetite.
A single 25 basis point hike from 3.50% to 3.75% is not the same as 425 basis points in nine months. The magnitude matters. But the direction is what markets price first, and the direction here is unmistakable: the cost of capital is going up, not down. Every asset on the planet gets repriced when that direction reverses, and bitcoin’s history shows it reprices harder than most.
Why this time is supposed to be different
The bull case for bitcoin surviving a rate hike rests on one structural change: spot ETFs.
U.S. spot Bitcoin ETFs launched in January 2024 and have since accumulated over $99 billion in net assets. In August 2026 alone, they pulled in $3.52 billion, their strongest month of the year. The funds recorded net inflows on 16 of 21 trading days, including nine consecutive positive sessions from Aug. 17 through 27. The number of large-scale asset managers holding Bitcoin ETF positions has increased by 150% over the past year.
The argument is that ETF flows represent a new kind of buyer: institutional allocators running model portfolios where bitcoin has a 1% to 5% weighting. These buyers do not trade on macro fear. They rebalance on a schedule. When bitcoin falls, their allocation drops below target and they buy automatically. When bitcoin rises, they trim. The buying is mechanical, and it creates a structural bid that did not exist during the 2022 wipeout.
August’s data supports this reading. Bitcoin rallied 25% while oil surged, Iran tensions escalated, and hike odds doubled. The old playbook said bitcoin should have sold off. Instead, ETF inflows accelerated. Institutional demand appeared to absorb the selling pressure that geopolitics and macro fear would normally create. The counterargument is simpler: the hike has not happened yet.
The case that ETF demand breaks under a hike
ETF inflows are not unconditional. They respond to the same forces as every other investment flow, just with a lag.
In the first half of 2026, bitcoin ETFs experienced cumulative net outflows of $5.29 billion as the price fell from $94,000 in January to $63,000 in May. The institutional bid did not prevent the drawdown. It participated in it. Citadel Securities warned that the Fed could resume hikes as early as September, adding direct pressure on risk assets including bitcoin.
If the Fed hikes on September 16, the immediate effect is a stronger dollar, higher Treasury yields, and a repricing of risk premiums across every asset class. Model portfolios that include bitcoin as a risk asset would see their expected return threshold rise. Some allocators would reduce exposure. Others would pause new inflows until the rate trajectory becomes clearer.
The August rally makes the math worse, not better. Bitcoin at $78,000 after a 25% run offers less upside than bitcoin at $63,000. A rate hike at the top of a momentum-driven rally is the setup that produces the sharpest corrections, because leveraged longs and momentum traders exit simultaneously.
The $3.52 billion in August ETF inflows is impressive. It is also less than 4% of the $99 billion in total net assets. A reversal of sentiment could produce outflows that exceed a single month’s inflows, as happened in February and March 2026 when $2.1 billion left in consecutive weeks.
The composition of ETF buyers matters too. A significant portion of ETF inflows comes from hedge funds running basis trades: buying spot bitcoin through the ETF while shorting CME futures to capture the premium. These positions are rate-sensitive. When Treasury yields rise, the opportunity cost of tying up capital in a basis trade increases. The premium narrows. The trade becomes less attractive, and the positions unwind. This is not panic selling. It is rational reallocation, and it shows up in ETF outflow data without any change in directional conviction about bitcoin’s price.
The 150% increase in large-scale asset managers holding bitcoin ETF positions sounds like unstoppable institutional adoption. But position size matters more than position count. A pension fund with 0.5% allocated to bitcoin will not increase that allocation because bitcoin had a good August. It will rebalance mechanically, and if bitcoin rises enough, it will sell to stay at target weight. The same structural force that creates the floor also creates a ceiling.
The “digital gold” thesis gets another test
Every cycle produces the same claim: bitcoin is digital gold, a hedge against inflation and monetary debasement. Every rate hike cycle tests the claim. It has failed every time so far.
In 2022, inflation ran above 8% and bitcoin fell 77%. Gold fell 3% over the same period. The correlation between bitcoin and gold was negative for most of the tightening cycle. Bitcoin behaved like a tech stock, not a commodity.
In 2026, the test is different because inflation is being driven partly by a shooting war. Oil prices are not rising because of demand. They are rising because supply routes through the Strait of Hormuz are under military threat. Gold has outperformed bitcoin and equities since the conflict began. If bitcoin were truly digital gold, it would be rallying alongside physical gold during a supply-side energy crisis.
It is not. Bitcoin is up 25% in August, but gold is also up 9%, and gold did not fall 40% from its peak first. The risk-adjusted comparison does not favor bitcoin’s store-of-value narrative when the volatility is this much higher.
The honest assessment: bitcoin is a risk asset with an inflation narrative attached to it. When liquidity is abundant and rates are falling, the narrative is easy to sell. When rates rise and liquidity tightens, bitcoin trades like what it functionally is: leveraged exposure to global risk appetite.
What a hike does to altcoins and DeFi
If bitcoin is leveraged exposure to risk appetite, altcoins are leveraged exposure to bitcoin. The amplification runs in both directions.
During the 2022 tightening cycle, Ethereum fell 82%, Solana fell 96%, and the total altcoin market capitalization excluding bitcoin fell roughly 80%. The selloffs were sharper, faster, and more complete than bitcoin’s own 77% decline. Altcoins do not have ETF structural bids. Most do not have model portfolio allocations. They trade on speculation, narrative, and momentum, all of which evaporate when rates rise.
A September hike would hit altcoins harder for a specific reason beyond general risk aversion: many altcoin projects depend on venture capital funding that is priced against the risk-free rate. When Treasury yields rise, the hurdle rate for venture investments rises with them. Capital that might flow into a Series A for a DeFi protocol flows into T-bills instead. The funding pipeline dries up, development slows, and tokens that derive value from ecosystem growth lose the growth.
Ethereum is a partial exception because of its own spot ETF flows. U.S. spot Ethereum ETFs pulled in $697 million in the last week of August, with BlackRock’s ETHA taking 72% of the total. That creates a similar structural bid to bitcoin, though at a much smaller scale. Total Ethereum ETF assets remain a fraction of bitcoin ETF assets, and the institutional allocation to ETH is narrower.
DeFi lending rates would also respond to a hike. On-chain borrowing costs track off-chain rates loosely but persistently. When the risk-free rate rises, DeFi yields need to rise to remain competitive, which means either higher borrowing costs or narrower spreads for liquidity providers. Both outcomes reduce DeFi activity. TVL across major protocols fell roughly 60% during the 2022 cycle and has not fully recovered. Aave’s variable borrow rates already sit above 5% for stablecoins. Another 25 basis points on the federal funds rate would push those rates higher and shrink the pool of borrowers willing to pay them.
The September token unlock calendar adds another layer of pressure. ENA, EIGEN, GUN, and GPS all unlock this week, adding supply to tokens that would face weakened demand in a post-hike environment. SUI is consolidating around $0.70 with its own unlock approaching. Scheduled supply increases during a tightening cycle are the worst-case timing for token holders.
Warsh is not Powell, and that matters
Kevin Warsh replaced Jerome Powell as Fed Chair in February 2026 after being nominated by President Trump in late 2025. The change matters for how markets should interpret the September decision.
Powell was cautious by nature. He telegraphed moves months in advance, agonized publicly over the dual mandate, and showed visible discomfort with surprising markets. His rate hike cycles were preceded by extensive forward guidance.
Warsh is different. His Jackson Hole speech was direct. He cited specific inflation readings, called them “concerning,” and did not offer the customary caveats about waiting for more data. The market repriced September within hours because Warsh meant what he said and everyone knew it.
Warsh’s willingness to move without extended telegraphing means that the September decision could go either way until the last minute. Under Powell, a 66% probability of a hike two weeks before the meeting would have been near certainty. Under Warsh, there is less forward guidance to decode, and the CPI and claims data on September 10-11 could genuinely swing the decision.
For crypto traders, this uncertainty is worse than certainty in either direction. A confirmed hike can be priced. A confirmed hold can be priced. A coin flip two weeks out produces positioning churn, leverage liquidations on both sides, and the kind of choppy price action that rewards nobody.
The FOMC’s updated dot plot, which shows individual member projections for the rate path, will matter as much as the decision itself. If the median dot shifts upward to show two or more hikes expected through mid-2027, the market will price a tightening cycle even if September’s decision is a hold. The dots killed rallies in 2022 and they could do it again.
The two-week window
The FOMC meets on September 15-16. That gives markets exactly two weeks to position.
Two data points will matter more than anything else before the meeting. The August Consumer Price Index, due September 10, will show whether energy-driven inflation has accelerated further. And weekly jobless claims on September 11 will indicate whether the labor market is cooling enough to give the Fed an excuse to wait.
If CPI comes in hot and claims stay low, the hike is nearly certain. If CPI surprises to the downside, the 66% probability could drop back toward a coin flip, and bitcoin would likely rally on the relief.
Key price levels for bitcoin heading into the meeting sit at $75,000 on the downside, where buyers stepped in during July, and $82,000 to $86,000 on the upside, a resistance zone that has rejected rallies twice this year. A confirmed break above $86,000 on a dovish CPI surprise would open the path to $94,000. A post-hike selloff that breaks $75,000 would target the May low near $63,000.
The leverage picture adds risk in both directions. Open interest in bitcoin perpetual futures has climbed throughout August alongside the price rally. Funding rates are positive, meaning longs are paying shorts, which indicates bullish positioning. A rate hike that triggers even a modest correction could cascade through leveraged longs, producing the kind of wick that takes prices well below fair value before recovering. The February 28 Iran airstrikes produced exactly this pattern: bitcoin dropped to $63,000, triggering over $300 million in liquidations, then recovered within days.
The honest answer to whether ETF demand changes the playbook is: partially, but not enough to eliminate drawdown risk. ETFs create a floor. They do not eliminate gravity. And the Fed controls gravity.
What to watch
- August CPI release on September 10. This is the last major inflation reading before the FOMC decision. A print above 4.5% would remove nearly all doubt about a September hike. Below 4% would reopen the debate.
- Weekly jobless claims on September 11. Rising claims would give the Fed cover to hold. Flat or declining claims would support the case for tightening.
- Bitcoin ETF flow data for the first two weeks of September. If inflows continue at August’s pace despite rising hike odds, the structural demand thesis is real. If flows reverse, the August rally was momentum-driven and vulnerable.
- Oil prices and Strait of Hormuz developments. Energy costs are the primary inflation driver. Any de-escalation between the U.S. and Iran would lower oil prices and reduce the urgency of a rate hike. Escalation does the opposite.
- Bitcoin’s reaction to the $82,000-$86,000 resistance zone. Two rejections at this level in 2026 suggest meaningful selling pressure. A third rejection before the FOMC meeting would confirm a range-bound market heading into the decision.
When is the next FOMC meeting?
The Federal Open Market Committee meets on September 15-16, 2026. The rate decision and updated economic projections will be released on Sept. 16 at 2:00 p.m. Eastern, followed by Fed Chair Kevin Warsh’s press conference.
What is the current federal funds rate?
The federal funds rate is 3.50% to 3.75% as of June 17, 2026. The Fed delivered three 25 basis point cuts during 2025, bringing rates down from 4.25% to 4.50%. A September 2026 hike would be the first increase since July 2023.
How likely is a September rate hike?
The CME FedWatch tool shows a 66% probability of a 25 basis point increase. Kalshi prices the hike at 59%. Polymarket traders have pushed odds as high as 72% after Fed Governor Barr backed a “decisive” response to inflation. Barclays now forecasts hikes in both September and December.
How did bitcoin perform during the last rate hike cycle?
Bitcoin fell 77% between March and November 2022 as the Fed raised rates from 0.25% to 4.50%. The correlation between bitcoin and the Nasdaq reached record highs during that period, undermining the thesis that bitcoin acts as an uncorrelated portfolio diversifier.
Do bitcoin ETFs protect against rate hike selloffs?
Not entirely. In the first half of 2026, bitcoin ETFs experienced $5.29 billion in cumulative net outflows as bitcoin fell from $94,000 to $63,000. ETFs create a structural bid through model portfolio rebalancing, but they do not prevent drawdowns when the broader risk environment deteriorates.
Why is oil relevant to the Fed’s rate decision?
Oil prices have surged above $90 per barrel due to the ongoing U.S.-Iran conflict near the Strait of Hormuz. Higher energy costs feed directly into inflation readings, particularly the PCE index that the Fed targets. The PCE is running at 3.7% over 12 months, nearly double the 2% target, driven primarily by energy.
What bitcoin price levels matter heading into the FOMC?
Support sits at $75,000, where buyers defended the price in July. Resistance runs from $82,000 to $86,000, a zone that has rejected rallies twice this year. A break below $75,000 on a post-hike selloff would target the May low near $63,000.
Will a rate hike crash bitcoin?
This is educational analysis, not investment advice. A single 25 basis point hike is unlikely to produce a 2022-style crash, but it could trigger a 10% to 15% correction from current levels if combined with hot CPI data and ETF outflows. The structural change from ETFs provides a partial floor, but history shows that floor is permeable during sustained tightening.
Disclaimer: This article is for informational purposes only and does not constitute investment or financial advice. All figures cited were accurate as of Sept. 2, 2026. The information presented here reflects publicly available data and attributed statements. Readers should conduct their own research before making any financial decisions.
The United States and United Kingdom have formed a joint law enforcement alliance targeting scam centers involved in crypto and cyber-enabled investment fraud.
On Thursday, the US Department of Justice announced that the US Attorney’s Office for the District of Columbia, the Crown Prosecution Service of England and Wales and the UK National Crime Agency signed a memorandum of understanding. The DOJ described it as the “first-of-its-kind” international cooperation agreement aimed at disabling such scam centers.
Under the agreement, the agencies will conduct parallel investigations into common targets, share information on organized crime syndicates and discuss which jurisdictions should prosecute specific cases. The DOJ said the authorities have already identified overlapping cases and plan an in-person disruption operation with private-sector partners in London in early October.
The cross-border pact comes as reported US losses from crypto investment fraud continue to climb. Losses reported to the FBI’s Internet Crime Complaint Center rose 89% from $4.57 billion in 2023 to $8.65 billion in 2025, according to the DOJ.
International efforts target crypto scam compounds
The agreement expands the Scam Center Strike Force, which US Attorney Jeanine Ferris Pirro launched in November 2025 to target Chinese organized crime networks operating scam centers primarily in Southeast Asia. Their schemes include crypto investment fraud and are often linked to human trafficking and money laundering, according to the DOJ.
The task force includes the FBI, US Secret Service, Internal Revenue Service Criminal Investigation, Homeland Security Investigations and Justice Department offices. It also works with the US Treasury and State departments and private companies to disrupt scam operations and recover victims’ funds.
Related: Chinese newspaper warns of Bitcoin extortion scam using its name
International authorities have coordinated raids against similar operations. On April 29, the DOJ reported a Dubai police-led operation involving the FBI and China’s Ministry of Public Security, which resulted in 276 arrests and the closure of at least nine crypto scam centers. Six people were charged over schemes that allegedly used fake crypto investment platforms to solicit deposits from victims.
Governments in Southeast Asia have also pursued tougher domestic measures. On May 15, Myanmar’s military government had released draft legislation proposing sentences ranging from 10 years to life in prison for digital currency fraud, with the death penalty possible when people coerced into working at scam centers were killed.
On July 28, Parliament approved the bill, though presidential assent had not been confirmed.
Magazine: Recovery specialists crack $1B crypto wallet… but find just $10
Every major token gained on Friday as traders cut bets on a September Federal Reserve rate increase to a coin flip, though most of the majors are barely changed on the week.
Remixpoint made ¥117.8 million ($746,800) from selling its altcoin holdings, and the gain is slated for recognition as business-segment revenue in the second quarter of fiscal 2027.
The company said its decision to dispose of all its altcoins and become a Bitcoin-only treasury was based on market conditions, the assets’ risk-return profiles, and its financial strategy.
Dogecoin Sale Ends in Loss
According to the official document shared by Remixpoint, Ethereum generated the largest profit at ¥60.2 million ($381,000), followed by Solana at ¥49.3 million ($312,000) and XRP at ¥11.5 million ($72,900). Dogecoin was the only outlier as the meme coin produced a ¥3.3 million ($21,000) loss.
Remixpoint still holds roughly 1,506 BTC, worth more than $115 million. Its Bitcoin strategy has also produced additional income through lending. The company reportedly earned 14.92 BTC in fees between February 24 and August 31. Those fees were valued at ¥164.2 million ($1 million) using the relevant month-end exchange rates.
The funds generated from this sale are being considered to expand assets in growth areas, including grid-scale battery storage, strengthen its financial foundation, and pursue other measures that contribute to increasing corporate value and shareholder value.
The Japanese energy consulting firm secured around ¥31.5 billion in financing back in July 2025, the proceeds of which were earmarked entirely for BTC purchases. Remixpoint had set an initial target of reaching 3,000 BTC.
During the same period, Remixpoint had also announced that its President and CEO would receive his full executive compensation in Bitcoin. The move made it the first listed company in Japan to adopt BTC-only compensation for its top executive. The company linked the decision to its goal of “shareholder-oriented management.” By paying the CEO in Bitcoin, Remixpoint said management would share economic risks and rewards with shareholders.
Fresh Pressure
Bitcoin has struggled to break above $79,000 over the past few days. The crypto asset briefly fell to around $76,500 earlier this week, its lowest level since August 23. It has since recovered and was trading near $77,700 on Thursday. Ethereum also faced pressure, falling 3.5% over the past week to around $2,400.
Meanwhile, Solana recovered slightly and was trading just above $100. Dogecoin also saw a small rebound. The meme coin gained 1.13% over the past 24 hours, which pushed its price to $0.083.
The post Remixpoint Cuts ETH, XRP Exposure After Market Review, Keeps 1,506 BTC in Treasury appeared first on CryptoPotato.
The Office of the Comptroller of the Currency granted a provisional charter to the new full-service bank, adding it to the growing mix of crypto-native institutions.
Adobe (ADBE) named Anil Chakravarthy as its next president and CEO on Thursday. He replaces Shantanu Narayen, who is stepping down after 18 years as AI concerns weigh on Adobe’s stock.
Narayen will become executive chair and support Chakravarthy through the handover, which takes effect Dec. 1. Chakravarthy will also join Adobe’s board at that time.
The Leadership Handoff
Chakravarthy most recently led Adobe’s customer experience orchestration unit and its worldwide field operations. He joined Adobe nearly seven years ago after serving as chief executive of Informatica, an enterprise data management company. That company had partnered with Adobe under Narayen.
“Adobe’s opportunity ahead is limitless with our track record in creating new market categories and world-class products. Anil is an experienced transformational leader who leads with values, integrity and a deep knowledge of our business.”
Shantanu Narayen, Adobe’s outgoing CEO, in a statement
“A lot of the reason I came was the opportunity to work with him and work with the leadership team at Adobe.”
Anil Chakravarthy, Adobe’s incoming CEO, in a 2021 interview with CNBC
In contrast, David Wadhwani announced he will leave Adobe after leading its creativity and productivity business for nearly five years.
Observers once viewed him as a top CEO contender for his role in Adobe’s bid to acquire design firm Figma. Regulators forced the companies to scrap that deal in 2023.
Why Adobe Stock Keeps Falling
The CEO change comes as Adobe shares remain under pressure. The stock fell 25% in 2024 and another 21% in 2025, and it is down 18% so far in 2026. Shares slipped roughly 2% in extended trading following Thursday’s announcement.
Meanwhile, the decline mirrors a wider retreat among software stocks slumping on AI fears. Investors worry generative AI tools could erode demand for subscription software.
Software peers have faced similar pressure as free or low-cost AI tools threaten legacy subscription models.
However, whether Chakravarthy can reverse the trend depends on Adobe’s own AI tools. He will need to show they can outpace cheaper rivals starting in December.
The post Adobe Names Anil Chakravarthy CEO But AI Fears Are Impacting the Stock appeared first on BeInCrypto.
Adam Aron said AMC has no connection to Robinhood’s tokenized shares, reviving questions around how stocks are brought onchain.
Meta CEO Mark Zuckerberg and Senator Bernie Sanders staked out opposite ends of US AI regulation on Thursday. Zuckerberg called a national regulator flawed, while Sanders moved to ban advanced AI.
Those two positions now bracket the fight in Washington. One camp wants industry to police itself while the other wants the government to stop building.
Zuckerberg Says AI Regulation Would Hand China the Lead
Trump called Zuckerberg the week of August 17, POLITICO reported Thursday. Zuckerberg opposed a proposed watchdog modeled on the Financial Industry Regulatory Authority (FINRA).
FINRA polices US brokerages and is funded by the firms it oversees. The AI version would test frontier models for risk before release. Google DeepMind chief Demis Hassabis popularized the idea in July.
Zuckerberg had already argued that superintelligence should reach everyone rather than a few labs.
“Any policy that slows American model releases … could add significant risk to American leadership while letting foreign models race ahead,” Zuckerberg said in August.
Sanders Sets the Bar at Human Level
Sanders and Representative Greg Casar announced the Ban Artificial Superintelligence Act on Thursday. It would outlaw systems that match or exceed human cognitive performance.
That bar sits lower than the name suggests. Matching human performance would trigger the ban.
The bill would also freeze advanced AI work until a new federal regulator writes rules. Violators face up to 20 years in prison.
Sanders has pressed Congress on AI before without moving legislation.
“The future of humanity cannot be left in the hands of a handful of Big Tech oligarchs,” Sanders said in a statement.
Zuckerberg did not kill the proposal. Officials are still weighing the FINRA-style body against a voluntary industry group. Adviser David Sacks favors the lighter option and has dismissed AI safety fears as storytelling.
Both camps now accept some kind of referee. The fight is over whether anyone stops building while it gets built.
The post AI Regulation Showdown: Zuckerberg Wants Speed, Sanders Calls for a Pause appeared first on BeInCrypto.
Nasdaq-listed Lululemon Athletica (LULU) stock dropped 18% in after-hours trading on September 3. Shares fell to under $100 after the company’s third guidance cut of 2026 overshadowed a profit beat.
The decline pushed shares to their lowest level in roughly eight years, below the 52-week low. LULU now trades about 80% under its all-time high of $511.29, set in December 2023.
Lululemon’s Third Guidance Cut of the Year
Lululemon has trimmed its full-year outlook three times since March. Each cut followed a quarter that beat earnings estimates but missed on sales.
March guidance called for $11.35 billion to $11.50 billion in revenue. June guidance was cut to $11.00 billion to $11.15 billion. September guidance now stands at $10.35 billion to $10.50 billion.
Second-quarter revenue fell 4% year over year to $2.42 billion, missing forecasts. Comparable sales dropped 10% globally and 12% in North America.
Lululemon Under Pressure
The repeated cuts have coincided with a turbulent year for the brand. Founder Chip Wilson waged a proxy fight against the board, and former chief executive Calvin McDonald departed in January.
In May, a Great Wall of China event featured a drum mistaken for a Japanese instrument, sparking backlash. Rivals Alo Yoga and Vuori have continued to take share in North America.
Interim co-chief executive and chief financial officer Meghan Frank pointed to reputational damage as a factor behind the latest slowdown.
“We faced negative commentary in the media and social channels, which impacted traffic and softer than planned response to some new product launches.”
(Meghan Frank, interim co-CEO and CFO, Lululemon Athletica)
Incoming chief executive Heidi O’Neill starts next week and inherits a turnaround plan that has yet to show results. Lululemon guided third-quarter revenue down 10% to 11% year over year.
The post Lululemon Stock Drops 18% to 8-Year Low After Third Guidance Cut appeared first on BeInCrypto.
South Korea’s Kospi jumped 1.14 percent at Friday’s open. The rally tracked a broad Wall Street advance after Fed Governor Christopher Waller signaled a rate hold this month.
The benchmark index rose 74.88 points to 6,650. It extended a rebound after a sharp slide earlier this week tied to Middle East tensions.
Waller Comments Cool Rate Hike Worries
Waller made the remarks Thursday, saying he would be inclined to support a hold. He backed keeping rates in the current 3.5 percent to 3.75 percent range at the Fed’s Sept. 15-16 meeting.
Treasury yields eased on the remarks, feeding into falling rate hike odds tracked on prediction markets this week.
Japan’s Nikkei 225 and Hong Kong’s Hang Seng also opened higher. South Korea’s small-cap Kosdaq index advanced even more sharply.
Thursday’s rally set the tone across US markets. The Dow Jones Industrial Average gained 1.18 percent. It was the index’s best day since Aug. 4.
The S&P 500 added 1.06 percent, while the Nasdaq Composite rose 1.4 percent. All three indexes are on pace for a positive week.
Jobs Report Looms as Next Catalyst
Traders are now watching Friday’s August nonfarm payrolls report, the same data point that has repeatedly moved risk assets after recent monthly releases.
Economists polled by Dow Jones expect 53,000 jobs added. That compares with a loss of 23,000 jobs in July. Unemployment is expected to hold at 4.1 percent.
José Torres, senior economist at Interactive Brokers, said labor weakness should push the Fed toward easier policy.
Ongoing decreases in employment should be enough for the central bank to start considering the labor side of its mandate when prescribing policy.
— José Torres, Interactive Brokers, CNBC
Torres is also watching next week’s inflation reports. He flagged the consumer price index and producer price index.
The session rounded out a broadly positive day across the region. Friday’s jobs data could reinforce the dovish case or revive rate hike concerns. Either way, it will help set the tone heading into the Fed’s September meeting.
The post Kospi Jumps, Following Wall Street, as Fed's Waller Signals Rate Hold appeared first on BeInCrypto.
The crypto industry today is almost unrecognizable from 7 years ago, both in size and scale. Just for decentralized exchanges (DEX), trading volume grew roughly 9,260x from 2019 to a record $4.7 trillion in 2025. In 2026, however, activity moderated to $1.63 trillion year-to-date.
It’s not down to one chain or sector. Liquidity is now distributed across more blockchains, venue types, protocols, and execution environments, without one clearly replacing the others.
SwapSpace recently published its State of Crypto Swaps 2026 report, which shows the massive extent of this growth. One of the clearest findings comes from its own platform data. Over 90.12% of its users interacted with more than one blockchain network in 2026.
At the same time, survey respondents did not identify DEXs, CEXs, or aggregators as universally offering the best rates.
The findings clearly show that the market today offers more execution options, and no single venue, network, or liquidity source dominates every transaction.
90% of SwapSpace Users Are Multichain
SwapSpace is a crypto exchange aggregator that lets users compare rates across different swap services and exchange different crypto through a single interface. So, the platform has a notable vantage point of how users today interact across different chains.
Among SwapSpace users, multichain activity is not marginal. Between 2022 and 2026, the share of users interacting with more than one network ranged from 72.50% to 93.66%.
It reached its lowest point at 72.50% in 2024, before rising to 90.12% in 2026. Even at the low point of the observed period, nearly three-quarters of users interacted with more than one blockchain.
These figures provide a platform-level view of how users operate in a market where assets and liquidity are spread across multiple networks.
The broader DEX market shows a similar redistribution of activity. According to DeFiLlama data cited in the SwapSpace report, Ethereum accounted for 46.2% of global DEX volume in 2021, while BNB Chain represented another 39.6%.
By 2025, Ethereum’s share was 19.3% and BNB Chain’s 15.3%, while Solana accounted for 33.3% and other chains collectively represented 32.1%.
SwapSpace’s internal activity data shows a similar lack of a permanent leader. Ethereum led platform activity from 2020 through 2024, Solana moved into first place in 2025, and BNB Chain led in 2026.
Taken together, the data shows that multichain activity is taking place in a market where liquidity leadership continues to shift between ecosystems.
Fragmentation Does Not Stop at the Blockchain Level
The multichain picture captures only one layer of fragmentation. Liquidity is also distributed within individual blockchain ecosystems. The report cites DeFiLlama tracking of around 1,950 protocols on Ethereum, more than 1,200 on BNB Chain, and more than 1,000 each on Arbitrum and Base.
Those protocols can contain different pools, assets, and execution mechanisms. A user operating on Ethereum, for example, is not necessarily accessing one unified liquidity environment.
That creates two layers of complexity: liquidity is distributed between blockchain ecosystems and again between protocols and pools within them.
The distinction matters because the number of possible execution paths can expand even without adding another network. A transaction may involve not only choosing a chain, but also navigating several potential sources of liquidity within that chain.
In that sense, describing the market as simply “multichain” understates how fragmented the execution layer itself has become.
DEX Growth Has Produced a Hybrid Market
DEX trading has grown sharply, but it has not replaced centralized exchanges.
After reaching a record $4.7 trillion in 2025, DEX activity remains significant in 2026, even as the broader crypto market has cooled. Centralized exchanges still handle most spot trading, while DEXs are gaining ground in areas such as perpetual futures.
The result is a more hybrid market. Traders now move between centralized and decentralized venues depending on liquidity, asset availability, transaction size, and market conditions. Crypto trading is becoming more fragmented rather than shifting toward one dominant model.
Best Rate Still Matters — But It Is Not the Only Variable
Price remains central to how users evaluate swaps. Based on the report’s latent class analysis, SwapSpace estimates that 61.86% of survey respondents valued best rate, compared with 52.51% for multichain access and 39.91% for support for rare tokens.
The differences become clearer across user segments. Among crypto-native power users, 97% valued multichain access, 91% best rate, and 87% rare-token support. Traders and business users placed the greatest emphasis on best rate at 88%, while 61% valued multichain access and 52% rare-token support. Mainstream generalists were more balanced, with 76% valuing both best rate and multichain access.
The figures suggest that price remains important, but users can evaluate a transaction through several variables at once. The quoted rate may matter alongside access to a particular network or asset.
The same ambiguity appears when respondents are asked which venue type offers the best rates in their experience. Answers were distributed across DEXs, CEXs, aggregators, and “depends on the situation,” with no single category emerging as an overwhelming choice.
SwapSpace’s provider data adds another layer of context. Among users who completed at least two exchanges, 70% selected a different liquidity provider for their next transaction, while 30% returned to the same one.
The findings suggest that “best” can be transaction-specific rather than a permanent property of one venue or provider.
Swaps are Serving More Than Trading
The survey also shows that crypto swaps take place in different contexts.
Receiving funds and personal payments were the most common reported crypto use cases among respondents, followed by short-term and long-term trading, while business payments ranked lower.
When respondents were asked which additional platform capabilities they valued, payments for goods and services ranked highest, followed by cashback and automatic swaps. Fiat withdrawal, Telegram functionality, and lending and borrowing ranked lower.
Transaction triggers were similarly varied. Sudden price movements and portfolio rebalancing were the leading triggers for swaps, while news and emergency needs also appeared and influencer signals ranked last.
These findings mean that the same exchange infrastructure can support different objectives, from responding to price movements and managing a portfolio to receiving funds or making payments.
That also means execution requirements are not necessarily identical across transactions. A trader reacting to a sudden market move may prioritize different conditions from someone exchanging assets as part of a payment.
Intent-Based Execution Moves Complexity Behind the Interface
One emerging response to this fragmented environment is intent-based execution.
Instead of choosing an exchange, blockchain, or trading route, users simply state what they want to achieve. Competing systems then find a way to complete the trade.
Platforms such as UniswapX, 1inch Fusion, and NEAR Intents already use versions of this model. As crypto liquidity spreads across more venues and networks, this approach could make trading easier by moving routing decisions into the background.
The market can stay fragmented while the user experience becomes much simpler. But that means more of the complexity has to be handled behind the scenes.
How platforms handle that complexity may differ. Intent-based execution is one approach, but not the only one. Ultimately, what matters is whether users can access the networks and liquidity they need without having to navigate the underlying complexity themselves.
The post DEX Volume Exploded Over 9,000x. Now Crypto Has a New Problem appeared first on BeInCrypto.
US, UK Launch Joint Crypto Scam Center Alliance
Cram Session: Yahoo fantasy experts share final pieces of draft advice
Teen says ‘demon’ made him fatally stab his girlfriend
-
Fashion6 days agoWeekend Open Thread: Maeve – Corporette.com
-
Crypto World1 day agoCLARITY Act could advance within weeks, Atkins says
-
Business6 days agoOnto Innovation Stock: AI’s Next Bottleneck Is Yield (NYSE:ONTO)
-
Crypto World6 days agoBitcoin price tests $82K resistance as Brandt stays long
-
Tech5 days agoHugging Face built a $4.5 billion empire on free AI models. Now Nvidia is buying it for $12.9 billion
-
Business7 days agoiPhone 18 Pro Pre-Orders Could Shift to Saturday as Apple Reportedly Avoids September 11 Anniversary
-
Crypto World2 days agoElon Musk Says Grok 4.7 Lands in 10 Days and Will Beat Every Model
-
Entertainment7 days ago‘Adults’ Creators Break Down Season 2’s Most Shocking Moments and Tease a Potential Season 3
-
News Videos5 days agoCharlie Munger on Robinhood: No one should believe that Robinhood’s trades are free
-
Tech6 days agoPaperCut releases second emergency patch for exploited flaws
-
Crypto World2 days agoBitcoin slips below $77.5K as macro pressure offsets ETF inflows
-
Crypto World24 hours agoKalshi seeks CFTC approval for WTI perpetual
-
Tech5 days agoAs the influencer economy drives retail sales, Seattle startup raises $22M to play matchmaker
-
Tech5 days agoTamagotchi Ring Takes the 30-Year Digital Pet and Places it on Your Finger
-
News Videos5 days agoNews kii Crypto ugu danbeeyey & Suuqa oo dhaqaaqey
-
Entertainment4 days agoTaylor Swift Reportedly ‘Frustrated’ With Travis Kelce After ‘Short’ Honeymoon
-
Business2 days agoOil Price Today (September 2): Crude oil nears $97 as war tensions escalate. Will it hit $100 again?
-
Business6 days agoApple Confirms September 9 iPhone Launch Event as Tim Cook Prepares to Hand CEO Reins to John Ternus
-
NewsBeat5 days agoTrump posts AI video of ‘Lake America’ being protected by an army of bequiffed ‘Donald Ducks’
-
Entertainment6 days agoKendall Jenner’s Circle Concerned About Jacob Elordi Romance
You must be logged in to post a comment Login