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OpenAI CEO Sam Altman has discussed the massive energy appetite required to run artificial intelligence data centers. The OpenAI chief recently brushed aside worries about water use in artificial intelligence data centers, pointing to newer facilities that skip water altogether.

While water concerns might be fading, the real problem of massive energy consumption keeps growing. Speaking at an event in India last week, Altman called online claims about water usage “completely untrue” and said newer facilities don’t depend on water for cooling anymore. Traditional data centers have used millions of gallons to cool equipment, but technology is changing. A recent study still projects water demand for cooling could more than triple in the next 25 years as computing needs expand.

OpenAI CEO talks energy use in AI data centers

In his statement, Altman said energy use is a fair concern. The world needs to shift quickly to nuclear, wind, and solar power as AI use grows, he said. When asked about comparisons between human and AI energy efficiency, he argued the comparison should look at energy per query after training, not the training process itself.

He compared training AI models to raising humans, noting it takes 20 years and lots of food before a person becomes productive. However, that comparison got criticized. Indian tech billionaire Sridhar Vembu, who attended the same summit, said he doesn’t want to see technology equated with people. His comment shows broader worries about AI potentially replacing human workers.

Data centers used electricity comparable to entire countries like Germany or France in 2023, based on International Monetary Fund numbers. This happened shortly after ChatGPT launched and sparked an AI boom. The GW Ranch project in West Texas will cover 8,000 acres and use more electricity than Chicago. It will make power through natural gas and solar panels, avoiding delays from utility companies struggling with capacity issues.

Similar projects are planned or underway in Wyoming, New Mexico, Pennsylvania, Utah, Ohio, and Tennessee. Meta, OpenAI, Oracle, and Chevron are backing these developments. Some states passed laws making approvals easier. In West Virginia near Davis, a planned data center will include a gas plant big enough to power every home in the state.

Nation’s largest grid suffers strain as communities pushback

The United States runs 5,246 data centers using at least 17 gigawatts of power. One large nuclear plant makes one gigawatt, enough for 300,000 to 750,000 homes. These facilities will include some solar power, but most will run mostly on natural gas because other sustainable options don’t provide steady output. Without grid backup, gas becomes necessary.

Energy researcher Michael Thomas warned that this approach is “catastrophic for climate goals.” His firm found 47 off-grid data center projects nationwide. Elon Musk built an off-grid facility in Memphis last year using portable gas generators to avoid grid limits. His xAI data center went online in months instead of years. But the Environmental Protection Agency ruled in January that his setup broke emissions regulations and ordered the company to get proper permits.

Meta is also moving ahead with multiple off-grid projects. One in New Albany, Ohio, will use two gas power plants and launch later this year. Another in El Paso links 813 smaller generators. Local officials protested, saying Meta promised clean energy but delivered gas power instead. The company said it would meet clean energy commitments by purchasing renewable energy credits and adding clean power to the grid elsewhere.

Communities are now fighting back against data center proposals in populated areas. Citizens in Tucson beat a project called Blue over water concerns in the desert and potential electricity bill increases. A large data center can use 5 million gallons of water daily, matching a town of 10,000 to 50,000 people, based on Environment and Energy Institute numbers. San Marcos, Texas, rejected a proposed 1.5 billion dollar data center last week after months of public opposition.

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Anthropic has accused firms from China of siphoning Claude data using fake accounts. According to the company, three Chinese AI firms built more than 24,000 fake accounts to pull data from its Claude system. The company said the goal was to boost its own models fast.

The firms named were DeepSeek, Moonshot AI, and MiniMax. Anthropic said those accounts sent over 16 million prompts into Claude to gather responses and patterns that could be reused for training. Anthropic shared the details in a blog post on Monday. The company said the activity was a form of distillation. That process uses outputs from one model to train another model. Dario Amodei leads Anthropic.

Anthropic alleges that three Chinese firms pulled Claude data

Anthropic alleged that DeepSeek ran about 150,000 interactions with Claude. Moonshot AI logged more than 3.4 million prompts. MiniMax reached over 13 million prompts. Anthropic said the scale shows a clear intent to extract value at speed. This is not the first allegation against DeepSeek by a company based in the United States.

Earlier this month, OpenAI sent a memo to House lawmakers accusing DeepSeek of using the same distillation tactic to copy its systems. Sam Altman runs OpenAI. After first naming OpenAI, the company told lawmakers that DeepSeek tried to mimic its products through large prompt volumes. Anthropic said distillation itself has valid uses. Companies use it to build smaller versions of their own models.

Anthropic also said the same method can create rival systems in a fraction of the time and at a fraction of the cost. Synthetic data now plays a large role in training big foundation models. Developers use it because high-quality real data is limited. Many labs are also building agentic systems that can take action for users. In a July technical report, Moonshot said it used synthetic data to train its Kimi K2 model.

Market reacts to Anthropic’s new security tool

Anthropic said the activity raises national security concerns. The company stated that foreign labs that distill American models can feed those capabilities into military, intelligence, and surveillance systems. Anthropic also rolled out a new security tool for Claude on Friday in a limited research preview. The tool scans software code for weaknesses and suggests fixes. Anthropic plans to hold an enterprise briefing on Tuesday with more product announcements.

Markets reacted fast. Cybersecurity stocks fell for a second day on Monday as investors worried that new AI tools could replace older security services. CrowdStrike dropped about 9 percent. Zscaler also fell about 9 percent. Netskope slid nearly 10 percent. SailPoint declined 6 percent. Okta, SentinelOne, and Fortinet each lost more than 4 percent. Palo Alto Networks was down 2 percent.

Cloudflare fell 7 percent after recent gains tied to Moltbot interest. The iShares Cybersecurity and Tech ETF fell almost 4 percent. The Global X Cybersecurity ETF hit its lowest level since November 2023. The pressure extends beyond security stocks. AI tools that build apps and websites from simple prompts have shaken software companies this year. Salesforce has lost about one-third of its value. ServiceNow has fallen more than 34 percent. Microsoft has dropped roughly 20 percent.

The post Anthropic accuses China of pulling Claude data using fake accounts first appeared on Coinfea.

In our previous article on the rise of Digital Asset Treasuries, we highlighted how these public companies are using public equities and debt instruments to buy more crypto assets. As crypto prices go up, the value of their holding in turn increases which then often leads to strengthening their stock and they are ultimately able to raise fresh capital to buy more crypto. The result is a self-reinforcing loop or flywheel that can speed up growth when conditions are favourable. 

That said, financial reflexivity does not only work on the way up. Ever since the October 10th leverage unwind, the crypto market has structurally tilted to the downside with total market cap falling by over 50%. Assets like Bitcoin and Ethereum, which makes up the bulk of digital asset treasuries, are now down over 25% and 38% respectively. This downturn has thereby prompted serious questions around the sustainability of this model. 

The reality is that when crypto prices fall, equity valuations can compress, premiums can vanish and access to cheap capital can tighten. The volatility around the stock prices of the two largest DATs, Strategy and BitMine, is indicative of how closely these equities can track shifts in crypto sentiment. 

This article looks into the risks associated with the DAT model, not from the standpoint of whether crypto itself will succeed, but from the perspective of capital structure and balance sheet stability. 

Reflexivity Cuts Both Ways 

In a rising market, higher crypto prices lift the value of treasury holdings, which can push the stock price higher and make raising capital easier. This is the part of the cycle that many have gotten accustomed to since the DAT trend really took off last year. What is not discussed enough however is how the same loop works in reverse. 

When crypto prices fall, the value of the company’s holdings fall too. Since many investors see the company as a way to get exposure to crypto, the stock price usually drops as well. Think of it like this: say a company holds $1 billion in Bitcoin and BTC drops by 20%, the value of this holding now drops to $800 million. Investors immediately factor that into how they view the company. If the company’s identity is closely tied to their crypto exposure, the stock often reacts quickly. 

​​There’s also a second layer. In bull markets, investors may be willing to pay extra (a premium) for that exposure. In a downturn, they become more cautious. That premium can shrink because:

Confidence falls 

Risk appetite drops

Investors prefer to own the asset directly rather than the wrapper

So the stock doesn’t just fall because the crypto holding falls in value. It can fall because the narrative premium attached to it compresses at the same time. 

This is where the reverse reflexivity paradigm comes into effect. In a declining market, raising money simply becomes a lot more difficult for DATs. If the stock price has fallen, the company would have to sell more shares to raise the same amount of money. This effectively means that existing shareholders would own a smaller piece of the company. 

Adding to this, borrowing can also become tougher. When there is uncertainty around markets and prices are in a drawdown, lenders see more risk. To compensate for that risk, they usually ask for higher interest rates. This is the paradox of the DAT model. Money that was once cheap and easy to access becomes expensive and harder to secure. 

Leverage and Debt Funded Accumulation

Many Digital Asset Treasury companies do not rely on cash alone to buy crypto. These public companies often use convertible bonds, structured financing or other equity linked instruments to raise money and accumulate crypto. This works fine when crypto prices are rising as the value of the assets increases while the debt stays manageable. However this same structure has a built-in mismatch which becomes clearly visible when prices take a turn to the downside. Bitcoin, Ethereum or others are inherently volatile assets. The liabilities these DATs take on, such as debt repayments, are fixed and must be honoured regardless of market conditions. 

When crypto prices fall sharply like they have recently, the value of the company’s holdings drop alongside this while its debt stays intact. The company still has to adhere to interest payments and repayment deadlines, even though the assets backing that debt are worth less. This ultimately puts pressure on the company’s balance sheet. When we look at traditional treasury management, assets are usually stable and predictable. In the DAT model, volatility sits on the asset side, which means swings in price can amplify both gains and losses for the company. 

NAV premium compression 

Another important pressure point to understand within the entire DAT model is something called NAV, or net asset value. This basically measures the value of the crypto a company holds on its balance sheet. If a company holds $1 billion in cryptocurrencies and its stock market value is higher than that, the stock is said to be trading at a premium. In this scenario, issuing new shares becomes lucrative because the company is raising more money than the value of the assets backing each share. On the flipside, if the stock falls below the value of its holdings, issuing new shares does the opposite as it forces the company to sell equity at a discount, which weakens existing shareholders. 

We’ve seen how premiums can go up quickly during bull markets. However, these premiums can shrink just as fast when sentiment shifts and prices fall. When this declines, growth becomes harder. Apart from the company’s ability to raise capital slowing down, investors may question the model and management may be pushed into a more defensive stance. 

Now when we look at the current scenario, it’s clear that the market is no longer assigning blanket premiums to all DAT companies. Instead, it appears to be pricing them based on perceived balance sheet strength, execution ability and sustainability of the model. 

Innovation with Embedded Volatility

The DAT model is a real shift in how capital markets interact with cryptocurrencies. They have turned digital asset exposure into a corporate strategy, using equity and debt markets to accumulate positions. However, for all the pros this model carries in a bullish environment, the inverse impact of this model is coming to light as crypto goes through a deep correction. 

There is a clear takeaway in that these public companies are building capital structures around crypto rather than simply holding it. This means the risk does not only come from crypto prices going up or down but how those changes affect the company’s debt levels, share issuance and ability to raise money. 

Now for those looking at this model from within the crypto space, the natural question is whether this has the potential to cause a further unwind in prices of assets across the board. If some of the largest DAT companies have debt coming due, run short on cash or struggle to borrow again during a downturn, they may be forced to slow their buys, or in tougher situations, sell a portion of their crypto from their balance sheet. Therefore, there is a likelihood that this could cause more downside but this does not automatically imply a contagion or a systemic collapse across all DATs. 

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The post The Structural Risks Behind Digital Asset Treasury Companies  first appeared on Coinfea.

Ethereum Foundation is stepping up its activities in decentralized finance (DeFi) and DeFipunk project. 

Although Ethereum is currently experiencing bearish market conditions, which have caused a drop in its price, the foundation is determined to assist and develop DeFi innovation. 

The company has invested heavy resources into the DeFi punk project, enabling privacy, self-custody, and censorship-resistant finance.

Ethereum’s Struggling Price Amid Bearish Momentum

Lately, the Ethereum price has been on the defensive, and the cryptocurrency is probing a major support level of around $1,820. 

This is a big blow since the market has become weak and Ethereum is not able to retain its high value zone. 

Analysts have indicated that Ethereum has been developing successive lower highs, which portray a declining bullish trend as well as increased selling pressure. 

Also, the price has dropped to a lower price of control (POC), which once again affirms the bearish scenario of the ETH.

The level of support at approximately at $1,820 is considered critical, and market participants are keen on whether it can be supported. 

The failure of this level may be an indicator of a new annual minimum, as the market is not yet convinced of the future of the Ethereum price. 

Nevertheless, the Ethereum Foundation is continuing to push ahead with its DeFi development with a long-term growth and development strategy.

DeFipunk Initiative and Its Focus Areas

The Ethereum Foundation has focused on its commitment to developing DeFi with the DeFipunk program. 

Decentralization, privacy, and self-custody are the main principles that are the topic of the project because the DeFi ecosystem is secure and censorship-resistant. 

The foundation aims to help the emerging protocols and tools and is devoted to the development of open-source tools.

The project has hired Charles St. Louis, the former CEO of DELV and one of the people leading MakerDAO, as the DeFi Protocol Specialist. Ivan of Gearbox Protocol has also joined him, becoming DeFi Coordinator, and Jason Chaskin is the head of the App Relations and Research department. 

They are collaborating to develop new standards in the Ethereum ecosystem and focus on user empowerment and privacy.

Breakthroughs in DeFi and the Ethereum Foundation’s Vision

The Ethereum Foundation has defined the major innovations in its plans for DeFi. These include fast on-chain futures as a type of hedging, AI being controlled by the user, and new crypto-native tools such as futarchy DAOs and undercollateralized loans privately issued. 

These developments will probably expand the bounds of decentralized finance, establishing novel possibilities both to users and developers.

In addition to that, the Ethereum Foundation is reorganising its Privacy Cluster to enhance its vision of streamlining resource distribution and assisting the scaling of Ethereum. 

The foundation will also seek to support the creation of future DeFi solutions and provide funding and support to current DeFi projects.

Ethereum Foundation’s commitment to DeFi’s future

Although the price of Ethereum is decreasing, the determination of the Ethereum Foundation towards the development of DeFi is not diminishing. 

With the program of DeFi punk and the guidance of the main professionals of the industry, the next era of innovation in decentralized finance will be activated. 

The Ethereum Foundation is making a move to become a pioneer in the evolution of the DeFi ecosystem by prioritizing privacy, self-custody, and censorship resistance, which the future of finance is based on the principles of decentralization and user control.

The post Ethereum Foundation Doubles Down on DeFi Amid Bearish ETH Pressure first appeared on Coinfea.

Taylor Lindman, a former Chainlink legal expert, was employed by the U.S. Securities and Exchange Commission (SEC) to help in the formulation of cryptocurrency rules. 

This is a strategic move as Grayscale Investments keeps accumulating Chainlink (LINK), and it is now holding over 5 million Chainlink. 

The trends show that there is an increasing institutional attention and regulatory involvement in the digital asset environment, even though the market is also difficult.

SEC’s new Crypto task force member

Former Chainlink Labs Deputy General Counsel Taylor Lindman will assist the SEC in avoiding the pitfalls of digital asset regulation. 

He has expertise in blockchain technology, especially in oracle networks, which qualifies him as an asset in guiding the agency. 

The position of Lindman is included in the new Crypto Task Force of the SEC that was created after the exit of the former chairperson of the SEC, Gary Gensler. Lindman should be instrumental in the formulation of clear directions in crypto companies.

The Crypto Task Force of the SEC will tend to develop more open systems of digital assets. Hester Peirce, who leads the task force, was pleased with the inclusion of Lindman and his experience in the new cryptocurrency industry. 

Peirce was optimistic about the future of the relationship, as he had imagined good results from the partnership. 

The task force has already started negotiations with industry players to resolve regulatory issues and create an environment of enhanced communication between regulators and crypto companies.

Grayscale’s growing LINK investment

Chainlink is prone to price fluctuations, but institutional investors such as Grayscale are gradually gaining ground. In fact, Grayscale, a leading cryptocurrency asset management company, has been amassing more than 5.25 million LINKs since December 2025, despite the poor performance of the market. 

The price of LINK has decreased considerably, from $15 to $7.20, but the fact that Grayscale has invested in the project by purchasing additional tokens is an indicator of the long-term prospects of the project.

At the recent price, the LINK holdings of Grayscale are valued at about $43 million. 

This tactical decision by the firm to keep on purchasing at a time when the market is down proves that the company believes that Chainlink has a real-world use. 

LINK is also an essential part of decentralized finance as it supports smart contracts, lending, and derivatives markets.

Chainlink’s Market Role and Institutional Trust

Chainlink has established a niche within the blockchain ecosystem through the decentralized oracle services that make smart contracts communicate with the real world. 

Its penetration in the decentralized finance and prediction markets underscores its value-generating aspect in the long-term. 

Chainlink has recently been engaged in prediction markets with five minutes on Polymarket, with a trading volume of a record $7 billion in February 2026. 

This further confirms the high standing of the platform in the market.

Chainlink has been able to preserve institutional confidence despite the current decline of the market and the pressure of sellers on LINK. 

This is because the practical applications of the project keep them optimistic about the success of the project, something that many other altcoins do not have. 

According to industry analysts, the biggest rise will be experienced in projects with strong real-life applications, such as Chainlink, once the market returns.

The fact that the SEC appointed Taylor Lindman and Grayscale has been acquiring LINK is also an indication of an increased belief in Chainlink as viable in the crypto space in the long-term. 

Although the price of LINK is still under pressure, its functionality as the foundation of decentralized finance infrastructure will make it one of the key actors in the future of blockchain technology.

The post SEC Hires Chainlink’s Legal Expert Amid Grayscale’s Growing LINK Holdings first appeared on Coinfea.

This optimistic sentiment is being observed among analysts despite the worsening of the price of Bitcoin to below $65,000 and the massive decline in the supply of Tether (USDT). 

These telltale signs are reflective of circumstances experienced at the bottom of Bitcoin last in 2022 and could indicate a recovery. 

Although the market has been struggling in the present, past data and the main indicators are creating hope for the upcoming years.

USDT contraction signals exhaustion

The recent adjustment of the market cap of Tether in 60 days has dropped to the second decrease of a significant mark in the history of the crypto business of under $3 billion. 

It first happened in 2022, when the price of Bitcoin was at its lowest point of approximately 16,000. On-chain analysts regard this contraction as a sign of exhaustion in the market and not of a continuous bearish market.

The steepest decline in the supply of the USDT in the market (1.5 billion in February 2026) is the first steep decline since November 2022. 

At the beginning of January 2026, the supply of USDT reached its highest point of $187 billion and then dropped to less than 184 billion in the middle of the month. 

Analysts are of the opinion that these massive contractions are usually observed at the edges of the market rather than in the long-run bearish markets. 

Although the market cap of the total stablecoins shrank, it is approximately at an all-time highs which could indicate a transfer of funds in the wider crypto ecosystem instead of departures.

Fear & Greed Index Shows Extreme Fear

The Crypto Fear and Greed Index is also recording very high levels of pessimism, with the index recording as low as 5. 

It is the same fear that was experienced during the FTX collapse in 2022 when Bitcoin fell to a price of $16,000. 

According to analysts, extreme fear tends to indicate that the market cycle is in the bottom and there may be a buying opportunity.

Bitcoin has already recovered since it hit a low of $61,000 in February, and was trading between 65,000 and 68,000. 

This is still considerably less than its all-time high of $126,000 in October 2025, but the low sentiment may portend an imminent recovery. 

The daily losses of up to 1.24 billion are being recorded to decrease to 480 million gradually as panic selling is subsiding, according to the analysts. 

This increase is an indication that the worst fears of the market might have been overcome.

Historical patterns indicate recovery

Historically, the most powerful market recoveries followed vast areas of fear. Such as in the case of the Covid-19 crash in March 2020 and the 2021 mid-cycle correction, there have been huge price spikes following extended outlooks of pessimism in Bitcoin. 

These tendencies were repeated in the 2022 crypto winter that saw the collapse of FTX, triggering huge sell-offs.

Although the shrinkage of the USDT is worrying, analysts note that the same trend has happened in the market in the past, resulting in robust recoveries. 

The fact that the USDT redemptions stabilize early in March and the fact that the Fear and Greed Index leaves the extreme fear zone will be the key.

When it comes to Bitcoin and the crypto market overall, many analysts believe that this will rebound despite the present market indications that the market should be cautious. 

The past records show that when the market hits exhaustion levels, which is characterized by sudden decreases in the supply of USDT and high levels of fear, then good price recovery normally follows.

 It is still unclear whether this trend would persist in the short term, but analysts are keenly keeping an eye on these indicators to show signs of improvement.

The post Why Analysts Remain Bullish Despite USDT and BTC Red Flags first appeared on Coinfea.

Bitdeer Technologies Group officially sold all its Bitcoin holdings (more than 1,127 BTC) to invest in strategic projects. 

This action follows the continued shift of the company towards less focused mining of Bitcoin to more diversified artificial intelligence (AI) and high-performance computing (HPC). 

The industry has been apprehensive about the sale, but Bitdeer has assured the stakeholders that the move is an extension of a greater planned expansion.

Full Bitcoin Liquidation and Its Strategic Purpose

Bitdeer started the year with an approximate of 2,000 BTC in its treasury but has progressively decreased its holdings. bringing the figure to about 943 BTC by mid-February. 

The company finished the final liquidation on the weekend of February 21, 2026, and added 184 BTC mined within the final liquidation to the sale. 

The present Bitcoin price lies between 65 000-68 000, which is quite a discordant decline in comparison to its all-time highs in October. 

Even with the loss in value, the move by Bitdeer to sell its holdings is informed by the necessity to obtain the liquidity for its new business frontline, which is AI- and HPC-based and not just the mining of Bitcoin.

Expansion into AI and HPC

The liquidation is an extension of the wider Bitdeer strategy to invest in the AI infrastructure and HPC infrastructure. 

The company is considering acquisitions and areas where it can host AI-centered endeavors, which is an industry that will yield more returns than Bitcoin mining. 

The insights in the industry indicate that AI and HPC have the potential to bring much more revenue per megawatt of power than mining, and the profit margins can be up to 80-90. 

Such a shift corresponds with the overall trend of Bitcoin mining companies moving into more lucrative fields, with Core Scientific and Cipher Mining being examples of that shift, as well as a shift to the focus of AI hosting.

Bitdeer has not been left behind in ensuring that it is a leader in hash rate capacity. 

The self-operated hash rate of the company has now overtaken Marathon Digital (MARA), making Bitdeer the largest publicly listed Bitcoin miner in terms of self-operated hash rate. 

Although it sold its Bitcoin assets, Bitdeer is continuing to be one of the leading miners in the industry.

Bitdeer retains its global hashrate lead despite liquidating BTC holdings. Source: Bitcoin Mining Stock

Handling of Mining Setbacks

Although the move towards AI and HPC is certainly a big step, Bitdeer has not had everything its way. 

A fire in its Bitcoin mining plant in Massillon, Ohio, in November 2025 led to slight delays as two buildings were damaged. Luckily, no one was injured, and the company immediately started to evaluate the damage. 

The management of Bitdeer, its CEO, Jihan Wu, has also been confident of the further development of the company, highlighting the strength of the company against all odds.

By December 2025, the hash rate capacity of Bitdeer was 71 EH/s, or approximately 6% of the total hash rate in the world. 

This is a milestone, since the company had experienced an 18% monthly growth and a 229% growth in comparison to the previous year. 

Nonetheless, with the profitability of mining steadily decreasing, Bitdeer, as well as other publicly traded miners, has been selling the mined Bitcoin to support its AI transition.

The move by Bitdeer to sell all its trove of Bitcoin is a drastic change to its business policy. 

The shift to AI and HPC with the huge capital support, which is provided with the help of the equity offering and the convertible notes, is a wider tendency of the public miners who want to ensure their profitability in the changing industries. 

Although the Bitcoin liquidation might have raised some concerns, the leadership at Bitdeer is not scared of its capacity to grow its operations and still have an opportunity to increase its hash rate.

The post Bitdeer Sells Entire Bitcoin Treasury, Focuses on AI and HPC Expansion first appeared on Coinfea.

Solana AI agent named Lobstar has given away more than $441,000 in meme coins after it was convinced to send the funds through a social media post. According to a report, the AI agent ended up sending all the tokens contained in its stash after a donation request came in on social media.

The incident has drawn the attention of the public to the risks associated with autonomy, with the incident coming after another AI agent exposed its wallet private keys, raising a major security issue. Lobstar was created last Friday by Nick Pash, as part of the Codex app by OpenAI. The agent was given $50,000 in the form of Solana tokens and asked to turn a profit of $1 million without making any mistakes.

Solana AI agent mistakenly sends funds on request

Aside from trading, the bot had a social media account where it rehashed ancient texts. However, the issue happened after the bot made a mistake in listening to a user’s request to donate 4 SOL. In addition to the donation, the bot continued communication with the person who received the funds, which was around $440K in Lobstar tokens.

The agent was also tested with purchasing a newly launched memecoin, but refused to purchase the token. Lobstar did not explicitly state why it carried out the request this way. There is also no evidence on whether its counterparty is a human or another agent on social media. The Lobstar agent also issued a meme token of the same name, trading as a decentralized pair on PumpSwap.

The recipient of $441K worth of Lobstar tokens sold immediately, not caring for slippage. At that time, Lobstar only had $300K in liquidity. Due to slippage, the recipient only gained around $40,000. Based on the AI agent’s own report, the error was due to its inability to do real arithmetic without hallucinations. However, the bot was not shut down and continued posting.

In addition, the bot also receives fees and continues interacting through its wallet, which is also receiving donations. Currently, the bot has regained $324K while receiving new meme tokens. The bot remains a low-stakes experiment, using already well-established exchanges for meme token speculation. One potential explanation is that the AI agent staged the mistake deliberately to draw attention to its token.

Following the incident, Lobstar recovered from its slide and started making gains, expanding its liquidity to $455K. The agent’s activity also finds ways to turn social media attention into crypto gains, showing the bot’s incentive may not be trading, but mindshare and exposure. The AI agent is suspected of not being fully autonomous, but following the script of its human creators.

The post Solana AI agent Lobstar sends funds after social media request first appeared on Coinfea.

MEXC users have reported another wave of issues, claiming accounts were locked without recourse. The exchange has also started its investigation to give a reason for the locked accounts.

MEXC, one of the most widely used global exchanges, is once again receiving social media reports of locked user accounts. Traders have complained that once they achieved a more significant sum in their account, their funds were held, and withdrawals were banned. One user claimed MEXC held $300,000 in a locked account, requiring a 40% haircut to release the funds.

“MEXC locked my account holding approx. $300,000. I fully complied with their verification process and submitted every document they requested.” “Days later, their support lead contacted me directly on my registered phone number and demanded 40% of my funds in exchange for unfreezing my account,” showed a recent post on X. However, MEXC denied the event happened, calling the news a tactic for farming traffic.

MEXC users complain about account issues on social media

The original user also shared their experience, claiming MEXC was deliberately rug-pulling successful traders by refusing withdrawals. In its response to Cryptopolitan, the exchange claimed that it could not identify the user ID based on the social media posts. Crypto investigator ZachXBT also warned that the user reports may be a tool to drive engagement and possibly inject crypto scams.

Alongside the reports of frozen funds, scammers posted fake links on behalf of MEXC. The exchange is currently investigating the claims and seeking to determine if they correspond to a real user. “We are actively attempting to contact the user mentioned in these reports to investigate the claims. However, to date, no verifiable UID or concrete evidence has been provided by the individual to support these allegations,” responded MEXC in a statement.

Another user who complained about locked funds reported $20,999 in USDT. The user ID was discovered by investigators. In this case, the user ID was only used as a screenshot by the investigator. A further check by MEXC showed the ID was related to funds with a suspicious origin. “Our team has verified that this account is involved in the theft of funds. This matter has been escalated to, and is being managed by, the relevant compliance and risk control departments,” stated MEXC.

MEXC has received multiple social media reports of withholding user funds. The problems are sometimes caused by users from blocked jurisdictions or by the internal process of MEXC. As Cryptopolitan reported, one of the high-profile cases came from the trader White Whale. He called out MEXC on multiple occasions until the funds were released. His biggest complaint was that the account was fully verified, yet MEXC required an in-person visit to release funds.

Other users have reported making deposits, which were then not reflected in their accounts. The White Whale has also expressed skepticism about the actual reserves of MEXC. MEXC currently reports over 9,087 BTC in its reserves after significant inflows in the past few weeks. The exchange is still facing skepticism, as it is one of the few remaining unregulated markets. MEXC also has until the end of June to become MiCAR compliant, or face limits to its EU operations.

The post MEXC users report issues with their accounts first appeared on Coinfea.

BTC and ETFs are experiencing a continued outflow of investors, moving their focus to the choice of altcoins. 

The trend marks the shift in sentiment as Bitcoin trades at a lower level than previous peaks and market narratives change.

BTC and ETH ETFs post longest outflow streak in months

ETFs of BTC and ETFs of ETH in the United States have registered massive outflows in the past five weeks. 

Approximately 3.8 billion has been withdrawn via the Bitcoin ETFs. This is the longest withdrawal in almost one year.

Net outflows of Spot Bitcoin ETFs amounted to approximately $316 million until February 20. 

The shortened trading week was characterized by selling pressure in the majority of sessions. Friday saw a small recovery, which was not able to compensate for losses.

BlackRock and Fidelity funds registered minor inflows during the last trading day. 

These newcomers did not turn the overall negative trend upside down. 

Billions of dollars in Bitcoin-tied products were pulled out in withdrawals since late January.

Generally, Bitcoin ETF assets are still high. But the trend implies the move of the steady accretion and gradual distribution. 

Big holders seem reserved as liquidity situations become tight.

The price movement of Bitcoin has taken a toll on sentiment in ETF markets. BTC is between $66,000 and $68,000, which is far below its levels before. 

It is also beneath technical levels that are considered major support by many traders.

Other observers caution that further loss might lead to Bitcoin going to 50,000 before it finally recovers. Institutional investors have become more cautious due to this attitude. 

The defensive position has been taken over in ETF flows.

Altcoin ETFs attract selective institutional inflows

Bitcoin and Ether funds are under pressure, but some altcoin ETFs are still attracting funds. 

Spot Ether ETFs have recorded almost outflows of $123million within a period of five weeks. Ethereum-linked institutional demand slackened.

By comparison, the net inflows of Solana-related products were approximately $14 million. 

It also observed minor additions to XRP-oriented funds, but the volumes were low. 

Such flows imply rotation and not extensive crypto exits.

There is a migration of capital in the digital asset ecosystem. Investors are seen to be re-investing in assets that are seen to have a greater growth potential. 

This motion opposes allegations of the declining popularity of crypto markets.

Rather, it cites selective positioning in various blockchain networks. 

Players in the market are still trying to gain exposure as well as risk preferences.

Bitcoin identity questions weigh on long-term outlook

The ETFs in BTC and the ETFs of ETH are not an exception to the bigger questions about the role of Bitcoin in the market. 

In the period of macro uncertainty in early 2026, Bitcoin did not reflect the hedge characteristic of gold. Bitcoin was behind, whereas gold prices were stronger.

Bitcoin has fallen over 40% since it reached its highest point. Conventional rally drivers, such as dip buying and speculative buying, are subdued. 

According to analysts, this is a stage of identity crisis for Bitcoin.

New competing technologies are taking the place of technology roles previously associated with Bitcoin. 

Stablecoins control payment applications. Speculative capital gets into prediction markets. There is additional uncertainty caused by regulatory pressure and mining debates.

There are still apprehensions regarding the threats of quantum computing, AML regulations, and CBDC growth. The future of Bitcoin could be based on co-existence in a changing financial system.

The BTC and ETH ETFs indicate a shift in the preference of investors and not the rejection of crypto. The inflows of altcoins are also active as the market stories continue to change.

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Tether has announced plans to discontinue its offshore Chinese yuan-backed stablecoin CNH₮. According to the firm, new tokens will no longer be issued by them. The development was announced in a press release that was issued by the company on Saturday.

In the press release, Tether said, “We continuously evaluate our stablecoin offerings to ensure they align with real-world usage, long-term sustainability, and the needs of the communities that rely on them.” The company mentioned that the CNH₮ shutdown will happen in two stages.

Tether set to discontinue its CNH₮ stablecoin in two phases

According to the company, the first stage is already in effect, which involves a halt on minting. Stage two is expected to come one year from now, with Tether noting that redemption support for CNH₮ will end. Before that deadline hits, Tether said it will send out a reminder notice. Until the final redemption date, holders can still redeem their CNH₮.

In addition, redemptions will continue under Tether’s existing Terms of Service, according to the press release, which also told users to redeem as soon as possible and not wait until the last minute. In its press release, Tether said CNH₮ did not see enough steady demand. Usage stayed low compared to other tokens in its lineup. The company said the activity levels did not justify the cost and operational work needed to maintain the product at its internal standards.

At the same time, the stablecoin market data from Artemis Analytics shows that USDT supply has fallen by about $1.5 billion so far in February. January already showed a smaller drop. If this pace continues, February could post the biggest monthly decline since December 2022, shortly after Sam Bankman-Fried’s FTX collapsed. USDT supply peaked in early January at just under $187 billion.

However, by February 18, it had slipped below $184 billion. Even with that decline, the overall supply reached $304.6 billion in February, up from $302.9 billion at the end of the previous month. USDC, issued by Circle Internet Group Inc., saw a jump to $75.7 billion. That is nearly a 5% increase this month. On transaction volume, stablecoins are still active. In 2025, total stablecoin transfers jumped 72% to $33 trillion.

USDC handled $18.3 trillion of that volume. USDT processed $13.3 trillion. In its Q4 2025 earnings report, Tether said, “The Reserves for Tether tokens in circulation amount to $181,223,149,214. The Liabilities of the Company amount to $174,445,364,503, of which $174,356,634,812 relates to digital tokens issued. The Value of the assets composing the Reserves as of 30 September 2025 exceeds the value of the liabilities of the Company by $6,777,784,711.”

The post Tether discontinues CNH₮ stablecoin, halts new issuance first appeared on Coinfea.

The losses experienced by RXP have soared to 1.93B this week, the highest spike since the end of 2022. 

The statistics have attracted a lot of interest because traders have been evaluating the possibility that the selling pressure is approaching exhaustion.

According to market statistics, acquisitions indicate that the magnitude of loss corresponds to intensive sales at lower than acquisition prices. 

According to the analysts, the same circumstances during previous cycles tended to exist around the market turning points.

XRP realized losses hit levels last seen in 2022

According to on-chain data provided by Santiment, investors of XRP invested in the coin committed realized losses of up to 1.93 billion this week. 

It is the highest aggregate in about 39 months.

The realized losses happen when assets are sold at a lower price than their purchase price. 

A sharp rise normally indicates either fear or frustration amongst holders in long-term falls.

The final similar spike took place in 2022. This was followed by an extended recovery when the XRP increased by over 100% in eight months.

Such occurrences are associated with capitulation by market observers. 

This is the stage where the weaker holders get out of the positions due to prolonged losses. 

As soon as selling pressure is relieved, the prices can stabilize.

The trends of the past indicate that extreme realizations of losses tend to be concentrated at the low point of a cycle. 

Analysts warn that this is not necessarily an assurance of a recovery. It does clarify the new attention given to the metric.

According to Santiment, profit and loss figures tend to be an indicator of emotional extremes. 

Such extremes may influence the short-term and medium-term market behavior.

Analysts issue mixed XRP price outlooks

Although the near-term prospects are pessimistic, some of the analysts are still looking at the long-term prospects. Several of them base their expectations on historical cycles.

CryptoBull issued loaded short-term estimates. In March, April, and May, the analyst recommended targets of $13, 27 and 70 respectively. 

These approximations rely on fast momentum continuation.

Egrag Crypto was providing a long-term perspective based on cycle lows. He quoted XRP lows of around $0.10 in 2020 and at $0.28 in 2022. This represents a 2.8-fold inter-cycle increase.

Not everything is a positive prognosis. Certain institutions changed expectations based on the liquidity conditions and market volatility. 

Whale activity and exchange flows are also mentioned by analysts as one of the risks.

The effects of XRP in the payment and settlement systems are still looked at as long-term. Wider adoption is the main driving force in bullish scenarios.

Institutional activity supports XRP resilience

XRP was relatively stable in spite of significant realized losses. At the time of publication, the token was trading close to the price of $1.44 and was up 1.55% in 24 hours.

The monthly performance is still weak, and the XRP has dropped by more than 25 percent. Bitcoin was the first to bounce the sentiments of the broader crypto market.

Volatility can be compensated for by institutional developments. SBI Holdings of Japan issued a 10 billion on-chain bond. Rewards are given to investors in XRP.

Société Générale launched its Europe-based stablecoin on the XRP Ledger. The relocation is in line with a multi-chain strategy.

Three consecutive weeks of net inflows were also experienced by XRP spot exchange-traded funds. The rate of new investments has, however, slowed down.

The actual losses of XRP have reached 1.93B, which further provoked controversy in the direction of the market. 

The stress is evident in heavy selling, but the expectations are still influenced by historical trends and real-life examples of the institutional use.

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IoTeX has suffered a private key compromise, which has led to the loss of about $8.8 million. According to reports, the hacker was able to gain unauthorized access after a private key tied to a token safe was breached.

This hack has led to a multi-million dollar drain across several assets, according to on-chain data and project statements. While the estimated amount lost in the hack is around $8.8 million, there are still disputes surrounding that figure. Initial reports indicate that contract-held assets, including USDC, USDT, IOTX, PAYG, WBTC, and BUSD. These tokens were removed from the token safe.

IoTex loses $8.8 million as attacker mined 111M CIOTEX

The stolen tokens were reportedly swapped into Ether, while at least 45 ETH were bridged into Bitcoin. This implies that the attacker attempted to obscure the trail. According to the data shared by Specter, 0x6487B5006904f3Db3C4a3654409AE92b87eD442f and two Bitcoin addresses beginning 1PN2BoHU4b and 135oSa2fob are being identified as attacker wallets.

Aside from this, around 111 million CIOTEX tokens were minted at address 0xA467a6c7cA8e812E997bfe50Ce4E7991aAd00A88. However, another 9.3 million CCS tokens valued at roughly $4.5 million were drained from address 0xE6A191a894dD3c85e3c89926e9f476F818eE55d9. In its post, IoTeX mentioned that it is aware of “suspicious activity involving an IoTeX token safe” and that its team is working to assess and contain the situation.

The platform added that early estimates suggest the potential loss is “significantly lower than circulating rumors.” The platform highlighted that it has coordinated with major centralized exchanges and security partners to trace and freeze assets linked to the attacker. It urged that the situation is under control and would provide further updates on the matter.

Raullen Chai, co-founder of IoTeX, took to X to calm the situation. He stated that exchanges are cooperating to freeze related funds and that efforts to contain the hackers are ongoing. He added that the IoTeX chain is expected to resume normal operations within 24 to 48 hours after the attacker’s addresses are frozen. “The IoTeX chain will be back in an estimated 24–48 hours, along with exchange deposits, after the hackers’ addresses are frozen. All funds are safe on the IoTeX chain!” he said.

He ensured that the company is working closely with our security partners to investigate and recover funds where possible. Till then, all funds are safe on the IoTeX chain, Chai wrote. IoTeX (IOTX) price saw a massive price drop after the incident came to light. IOTX price dipped by more than 15% in the last 7 days. It is down by almost 9% over the last 24 hours. IOTX is trading at an average price of $0.004 at the press time.

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Sam Bankman-Fried, the former CEO of FTX Trading Ltd, has challenged claims that led to his conviction on seven counts of fraud and conspiracy. The former FTX boss is currently serving a 25-year sentence at Brooklyn’s Metropolitan Detention Center and has made a new post titled “10 Myths About Me & FTX.”

In his thread, Bankman-Fried claimed that FTX was never insolvent, customers were being “made whole” with above 100% repayments, and that his November 2023 trial was basically unfair. He even spared time to address the rumors of a sexual nature leveled against him, which have drawn comparisons with the overt nature of the sexual experiences linked with the convicted fixer, Jeffrey Epstein. “There were no polycules or orgies,” Bankman-Fried said.

Sam Bankman-Fried rubbishes rumors of sexual impropriety

According to court records, Bankman-Fried was convicted in November 2023 after a federal jury found him guilty on seven counts of fraud and conspiracy. He would later be sentenced to 25 years in prison in March 2024. At the time, there were rumors of polyamory and sex parties flying around at the time of the scandal.

The allegations shared a similar style to those leveled against financial mogul Jeffrey Epstein, who, according to recent files released by the DOJ, helped to fund projects like Bitcoin, Coinbase, and Blockstream, going as far back as 2014. However, Bankman-Fried’s X thread has effectively shut down those rumors of sexual impropriety.

Prosecutors brought up the testimony of his ex-girlfriend and former CEO of Alameda Research, Caroline Ellison, Gary Wang (co-founder of FTX), and Nishad Singh, the former FTX engineering director, during the trial. The cooperating witnesses got reduced punishments, with Caroline getting a two-year sentence, Wang also sentenced to time served with supervised release, and Singh spending no time in prison.

Critics dispute SBF’s 119% repayment claim

Bankman-Fried also claimed that the court suppressed evidence of solvency and that lawyers “took over” the company to generate their fees. He also claimed that he had secured funding offers that would have covered the liquidity gap and allowed withdrawals to continue. The court records, however, revealed that after John Ray III took over from Bankman-Fried as the CEO, his team discovered that FTX’s financial records were incomplete and inaccurate, alongside systemic failure of internal controls.

President Trump has ruled out the possibility of a presidential pardon for the convicted executive who was a known Democratic donor. The FTT token has also seen sharp spikes and falls since SBF’s almost daily streak of publicly steering the narrative around his trial and conviction. Meanwhile, the main statistic Bankman-Fried used to back his claim that FTX customers are receiving between 119-143% of their original holdings.

However, skeptics have problems with that figure because it seems to be calculated from the day FTX filed for bankruptcy. Using that valuation, a customer holding one Bitcoin on FTX would get around $17,000 in the bankruptcy distribution (119% of the November 2022 valuation). On the other hand, if that person held the same Bitcoin on another exchange, that Bitcoin would now be worth $100,000, meaning a deficit of $80,000 or more.

The post Sam Bankman-Fried shuts down new allegations in latest defense first appeared on Coinfea.

The city of Dubai also initiated a tokenized property trading platform named Prypco Mint based on the XRP Ledger, the first blockchain-based real estate platform. 

Dubai Land Department (DLD) collaborated with Prypco, Ctrl Alt, and Zand Digital Bank to allow property ownership in fractions. 

The platform enables the UAE residents to purchase property at as low as 2,000 AED or 540 US dollars, which is a big change in the real estate market in the city. 

The announcement resulted in a 2% rise in the price of XRP.

Fractional ownership and international expansion plans

Prypco Mint allows investors to buy part ownership in Dubai properties, the first step of which focuses on the UAE residents. 

The payments are made in AED, and currently, the system can be used exclusively by the holders of a valid Emirates ID. Yet, the DLD has been stating its plans to go global and add more properties to the system within the next few months. 

The initial pilot exercise was immediately sold out, and the tokenization of properties based in Dubai was made of a total of 7.8 million tokens valued at $5 million. 

This achievement preconditions a new application of blockchain technology in the real estate industry and its further expansion.

Strategic Collaboration and Future Growth

To ensure the success of this initiative, the Dubai Land Department has collaborated with a number of partners. 

The tokenization technology to be used in the project is being provided by Ctrl Alt, a controlled London-based technology company. 

These Asset-Referenced Virtual Asset management tokens will also support transfer to secondary-market transfers, and investors will be able to resell their fractional ownership of properties in Dubai. 

The platform will be regulated by the regulatory bodies of the UAE, such as the Dubai Virtual Assets Regulatory Authority (VARA), which will ensure that the laws are adhered to in the country. 

In addition to this, the Dubai Future Foundation has established a PropTech Sandbox to experiment and test new technologies in the industry.

XRP’s Role in the Project

The XRP Ledger was chosen because of its high transaction speed, minimal fees, and permission to comply with regulations, which made the Dubai Land Department choose the blockchain project. 

Ripple Custody will grant support for token payments, which will guarantee the safety and security of on-chain real estate transactions. 

XRP has also been taking a lead in tokenization, and it is reported that tokenized assets based on XRP have increased by 2,200% within the last one year. 

Ripple has been strategic in investing in tokenized assets, such as a tokenized fund by OpenEden of up to $10 million and a tokenized fund by Abrdn of up to $5 million, among others, which further displays the increasing involvement of the company in the DeFi and tokenization of real estate.

The tokenization of real estate in Dubai is a revolutionary step in the way blockchain technology is implemented in the real estate market. ERP Ledger has enabled efficient and secure fractional ownership of real estate. 

As the platform experienced rapid growth and the first pilot stage became successful, it is likely to grow worldwide. 

The digital transformation of the real estate industry will only keep on increasing as more regions adopt the concept of tokenization, and the digital transformation of the industry will likely enhance the value of XRP in the next few years.

The post Dubai Anchors Real Estate Tokenization on XRP Ledger as Token Climbs 2% first appeared on Coinfea.

Ethernet is being upgraded on a large scale to enhance its status as a top blockchain platform. 

Focusing on security, scalability, and censorship resistance, the platform is changing its approach to compete with high-performance blockchain-based networks such as Solana. 

Such upgrades are the addition of FOCIL, the abstraction of accounts, and other architectural modifications, an indication of a healthy reaction to mounting competition pressure by competing chains.

Ethereum’s roadmap: Key updates on the horizon

Development team of Ethereum, headed by Vitalik Buterin, has unveiled a list of significant improvements to the base layer of the network. 

Such updates will involve the addition of Fork-Choice Enforced Inclusion Lists (FOCIL) that will compel validators to incorporate all transactions on block, which will increase the network censorship resistance. 

Another item on Butterin’s roadmap is the inclusion of zero-knowledge (ZK) proofs in Layer 1 validation, which will provide additional security of Ethereum with regard to cryptography.

The transition to more fully using base-layer upgrades instead of just rollups Layer 2 solutions is one of the largest changes in Ethereum plans. 

Other notable features that will make it more flexible and user-friendly will be account abstraction which is one of the updates proposed in EIP-8141. 

It is projected that these changes will simplify the architecture of Ethereum to make the user experience better.

Institutional adoption grows with blockchain pilots

To demonstrate the increasing mainstream acceptance of Ethereum, BNP Paribas Asset Management has launched tokenized shares of a French money market fund to the Ethereum blockchain to test. 

The action underscores the growing institutional interest in Ethereum and indicates that the platform is no longer just the one used in the initial applications. 

The issued tokenized shares, which are developed on AssetFoundryTM by BNP Paribas, will enable controlled entry to the qualified participants opening the way to further institutional applications of blockchain technology in the conventional finance.

The growing modularity of Ethereum, which allows the work of decentralized finance (DeFi) applications to be more convenient, makes it a viable option of financial institutions. 

According to the pilot of BNP Paribas, Ethereum may become an important entity in the realm of asset tokenization and conventional financial markets.

Competition Heats Up with High-Performance Chains

The reaction of Ethereum to the increasing trend of high-performance blockchain networks, such as Solana, can be seen in its roadmap. 

Such networks have been attracting attention because they have high throughput, low charges, and an easier user interface. 

Conversely, Ethereum has depended on various rollups that have brought about complexities in terms of liquidity, bridging, and user experience. 

Nevertheless, Ethereum changes to base-layer upgrades and the possibility of ZK-native validation should enable the cryptocurrency to recover its competitive advantage.

The Ethereum team is also seeking to balance performance and security, which makes the network decentralized, resistant to censorship, and cryptographically secure. 

Since competitors may constantly perfect their strategies, the advancements that Ethereum is making are a crucial move towards remaining a secure, dependable blockchain system.

Positioning Ethereum for Future Success

Ethernet’s continuous upgrades indicate a significant shift in the development of the platform. 

Ethereum is planning its future with long-term growth and sustainability by prioritizing enhancements to its base layer and incorporating the most important technologies, such as ZK proofs. 

Since the high-performance competitors strive to enhance their performance, the fact that Ethereum reversed its original principles, including security and neutrality, can be the key factor in its continuation success.

The post Ethereum’s Hard Turn Signals Rising Pressure from High-Performance Rivals first appeared on Coinfea.

The tax authority in Russia has now called for bankruptcy proceedings against a BitRiver subsidiary responsible for the unsuccessful project, which is believed to have led to the downfall of the mining firm. The bankruptcy proceedings have been initiated in the Republic of Buryatia, which hosts the data center built by the company.

According to reports, since the 100 MW data center has been built in Buryatia, it has never been powered on amid restrictions on mining and growing debt. Now, the Federal Tax Service of Russia, FNS, has filed a bankruptcy petition against the BitRiver entity in the Arbitration Court of the Republic of Buryatia, according to reports from several local media.

Russia files bankruptcy petition against BitRiver subsidiary

According to several inside sources, the company’s failed multimillion-dollar investment in the region is at the heart of the case. Some believe it is that mistake that has led to the company’s financial strains and subsequent problems with the state, which includes the arrest of its CEO. According to a news outlet, the project to construct the 100 MW data processing center in the Mukhorshibirsky District of the Far Eastern territory was first announced in 2020.

The local subsidiary, incorporated in the rural administrative center Mukhorshibir with a registered capital of 100,000 rubles, was established to implement the project, which was initiated by BitRiver founder and chief executive Igor Runets. Construction began in 2022, with a planned launch in the second half of 2024 that never materialized. By February 2024, BitRiver had invested 1.4 billion rubles (over $18 million) in the facility, according to the business news portal RBC.

The site was intended to house powerful equipment for big data processing, digital currency mining, and cloud computing, and was supposed to create 100 jobs in the area. However, the project’s realization coincided with expanding restrictions on coin minting in that part of Siberia. In the spring of 2025, the DPC was reportedly ready to commence operations as a facility repurposed to serve the needs of artificial intelligence (AI) applications.

In January of 2026, Russian authorities imposed a full ban on Bitcoin mining in Buryatia for the next five years. Sources familiar with these developments claim the failure of the data center project in Buryatia dealt a major blow to the Russian mining giant. Quoted by RBC, they said the group could never recover and was eventually forced to halt mining operations at other places as well.

That happened amid mass employee departures and mounting lawsuits filed by contractors and energy suppliers against its entities. Founder Igor Runets was accused of tax evasion at the end of January, detained, and placed under house arrest. One of the demands of Russian prosecutors was that his firms pay due salaries. In addition, a tax-dodging scheme was allegedly being run by several mining firms in the country.

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Telegram has denied an accusation from Russia, which states that its security may have been breached by foreign intelligence services that have now gained access to messages exchanged by its users. This reaction comes after Moscow alleged that information collected this way is now being used against Russian forces on the battlefield of Ukraine.

In a previous statement, Russia’s Minister of Digital Development, Communications and Mass Media, Maksut Shadayev, said that foreign intelligence agencies can read Telegram correspondence. “We have direct confirmation from law enforcement agencies that, regrettably, while Telegram was initially regarded as a relatively anonymous platform, used by our military during the early stages of the special military operation, recent evidence indicates that foreign intelligence services now have access to Telegram communications,” the government added.

Telegram denies claims that foreign intelligence gained access to users’ messages

Shadayev also said, “What was once sporadic has now become an ongoing, systematic effort,” he further noted. He also alleged that the information they are gathering is being used in operations against the Russian armed forces. Shadayev then revealed that Russia has nevertheless decided not to restrict Telegram in the conflict zone in Ukraine, while expressing hope that its military personnel will eventually transition to alternative messaging apps.

The minister’s statements come after Russia’s telecom watchdog, Roskomnadzor (RKN), recently slowed down the messenger as part of pressure to make it comply with Russian law, mainly regarding requirements to remove prohibited content. Russia’s system for internet censorship, which relies on TSPU (Technical Means of Counteracting Threats) devices deployed at internet service providers, allows for targeted and geographically defined restrictions.

Discussing the information that came out of Russia, Telegram founder and chief executive Pavel Durov said in a post that Russia is restricting his platform in an attempt to “force its citizens to switch to a state-controlled app built for surveillance and political censorship.” The latter is called Max and has been developed by the Russian social media network VK (VKontakte), which he also founded and managed before leaving his native country and selling his stake in that company more than a decade ago.

On Thursday, the popular messenger rejected the claim that its security has been compromised by foreign spies reading the messages of Russian soldiers. Asked for a comment by the Reuters news agency, the company insisted “no breaches of Telegram’s encryption have ever been found” and also stated: “The Russian government’s allegation that our encryption has been compromised is a deliberate fabrication intended to justify outlawing Telegram.”

It also repeated its owner’s accusation that Moscow wants to make Russians use the state-promoted alternative platform, allegedly engineered to surveil and censor their communications. Telegram’s defiant reaction contrasts with recent Russian reports that the messaging service has started complying with local requirements regarding content moderation. Russian authorities have been pressing the messenger to delete what they view as extremist content.

The head of the parliamentary Committee on Information Policy, Andrey Svintsov, announced that over the past week, Telegram has blocked some 230,000 channels and pieces of information violating the law. Earlier, the Telegram channel Baza reported that Roskomnadzor is preparing to begin blocking Durov’s messenger completely on April 1. It quoted unidentified sources from several government agencies.

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The United Arab Emirates (UAE) has been a great success story in the mining of Bitcoin mining, collecting almost 453.8 million Bitcoin and reporting a gross profit of 344 million Bitcoin. 

The nation is pursuing a very strict HODL (hold on dear life) policy, whereby it refuses to sell its mined products. 

The approach is compared to Bhutan, which has started selling its Bitcoin stocks after years of holding the cryptocurrency. 

One of the emerging trends is sovereign mining, as countries are looking to exploit digital assets.

UAE’s long-term Bitcoin strategy

By February 19, 2026, the UAE had collaborated with Citadel and mined and retained the majority of $453.8 million worth of Bitcoin. 

Source: Arkham Intelligence

According to an Arkham Intelligence news report, the UAE has been applying a HODL strategy, and this will see it gain the advantages of a long-term increase in the cryptocurrency market. 

Through this strategy, the gross profit is attained at $344 million without the cost of energy. 

Besides mining, the UAE has also developed crypto-friendly zones and has developed clear regulations to entice blockchain businesses and investments.

Bhutan shifts to Bitcoin liquidation

Bhutan has adopted a different path from the UAE is holding its Bitcoin. 

Bhutan, which has secretly been mining Bitcoin over a number of years, has begun to sell off its reserves. 

Latest reports indicate that the nation has sold Bitcoin worth 22.4 million to market makers. 

The Bhutan mining reached its maximum of more than 13 000 BTC on its hydroelectric power. 

The government has, however, started to sell at periodic intervals, with its sales getting to about 50 million. 

In order to avoid disruption in the market, Bhutan has hired professional services, including the help of QCP Capital, to sell huge volumes of Bitcoin.

El Salvador and Ethiopia lead the way in sovereign Bitcoin mining

In some countries, such as El Salvador and Ethiopia, sovereign mining is also on the right track. 

El Salvador also remains committed to buying a single Bitcoin daily, and is also using volcanoes to mine geothermal energy. 

El Salvador currently owns approximately 7,566 BTC, amounting to 506M. 

Source: El Salvador Bitcoin Office

To monitor its Bitcoin, the nation has introduced a live transparency program to follow its Bitcoin reserves.

In the meantime, Ethiopia has become a force to reckon with in the Bitcoin mining market in Africa, where it controls 2.5% of the world’s hash rate with 25 licensed miners. 

The Ethiopian government is currently in search of international collaborators so as to develop state-sponsored mining projects. 

Ethiopia has also received international companies with its low electricity prices and good mining conditions. 

The nation has also entered into agreements with Chinese companies to construct giant data centers.

Trends in Sovereign Bitcoin Mining around the world

The sovereign Bitcoin mining is on the rise across the world. 

The decision of the UAE to hold mined Bitcoin in the long term is opposed to the need for regular liquidation in Bhutan. 

Countries such as El Salvador and Ethiopia are taking advantage of sovereign mining to harness the benefits of digital assets, with Russia intending to change its major regulations by July 2026. 

These events accentuate the increased attention of governments to cryptocurrency and their attempts to use digital resources to benefit their economies in the long run.

The post UAE Holds $344M in Bitcoin Profit Through HODL Strategy first appeared on Coinfea.

Belarus is now promising its citizens an array of services that would let them earn, stake, and spend cryptocurrencies like Bitcoin. This is coming after the country legalized crypto banks. A top central bank executive spoke in detail about the coin-based products that may hit the market as early as this year.

Belarus residents may soon be able to pay with digital assets in brick-and-mortar stores and borrow fiat money using their digital assets as collateral. The information was revealed by Alexander Egorov, the first deputy chairman of the National Bank (NBRB), who spoke about some of the crypto banking services his compatriots may expect in the coming months.

Belarus set to unveil certain crypto-related services soon

Speaking to the government-run First Information Channel, the central bank official mentioned that Belarus is the world’s first country to officially introduce crypto banks to its national financial system. While its global status in that aspect is debated, Belarus certainly became the first country in its region to legalize the operations of such institutions last month. It did that via a special decree signed by President Alexander Lukashenko.

Unlike Switzerland or the United States, where crypto banks are private entities under regulatory approval, Belarus is establishing a comprehensive crypto banking system under state control, Egorov explained to the news outlet. The system would offer “tangible services” for everyone, the official BelTA news agency relayed his statements, noting that the first Belarusian crypto bank may open in 2026.

The deputy governor gave an example with crypto-secured loans, which offer crypto investors an opportunity to use fiat credit while preserving their digital-asset investment: “Imagine this – you have Bitcoin, which is rising in value … You deposit the coins into a crypto bank as collateral. The bank issues you regular rubles. You use the money, repay the loan, and the bank returns your crypto.”

He also mentioned staking, calling it a next-gen depositing that will allow crypto owners to earn passive income while supporting blockchains and getting rewarded for keeping their coins with a bank. Crypto cards are coming to Belarus, too, and Egorov described them as the most understandable and long-awaited product in the sector. He described it as a regular bank card linked to crypto bank accounts. He noted that when they pay for groceries, the bank instantly converts part of the assets into Belarusian rubles.

Residents to earn cryptocurrency legally

Another change that will affect hundreds of thousands of people in Belarus is the legalization of crypto remuneration for self-employed individuals. “When previously, a designer or programmer completed an order for a foreign client who offered to pay with crypto … they couldn’t legally deposit the funds into their account and pay taxes. Now this barrier has been removed,” Egorov added.

The only legal requirement in such cases will be to channel these transactions through a licensed Belarusian crypto bank, the NBRB executive noted. The official is convinced that the model adopted by Belarus will eliminate risks that have ruined some foreign platforms, in his words. The security of the banking services providers will be checked by specialists from the High-Tech Park (HTP) in Minsk, while the monetary authority will conduct traditional financial oversight.

The cryptocurrency banks themselves will verify clients and “X-ray” every transaction, Alexander Egorov added, stressing in conclusion: “This is a bold step that transforms the theoretical potential of blockchain into real economic benefits for every citizen and business.” Belarus has seen a spike in crypto-related transactions over the past few years, amid Western sanctions limiting its residents’ access to fiat channels.

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