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Bitcoin fell sharply on Friday as a surge in government bond yields triggered broad-based selling across equities, commodities, and crypto, with traders rapidly repricing Federal Reserve expectations from rate cuts to potential rate hikes in a matter of days. The selloff extended well beyond digital assets, with stocks, gold, and crypto-linked equities all declining simultaneously as markets grappled with the prospect of central banks returning to tightening mode.
Bitcoin drops to $78,600 before stabilizing
Bitcoin fell as low as $78,600 during Friday's US session — down roughly 4% from Thursday's high of $82,000 — before stabilizing slightly above $79,000, still lower by approximately 2.2% over the prior 24 hours. The drop erased the gains that had followed the Senate Banking Committee's advancement of the CLARITY Act on Thursday, a development that had briefly pushed Bitcoin back toward the critical $82,000 resistance zone before the bond market reaction overwhelmed the legislative tailwind.
The catalyst: a global bond market rout
The trigger for Friday's selloff was a sharp rise in government bond yields across major economies. The US 10-year Treasury yield climbed to 4.58% — its highest level in more than a year — as investors priced in a more aggressive Federal Reserve path in response to resurgent inflation. UK 10-year gilt yields surged to 5.2%, their highest level since 2008, signaling that the tightening concern is not confined to the United States but reflects a broader repricing of global rate expectations.
Oil added further inflationary pressure. WTI crude oil front-end futures jumped 3% to cross $100 per barrel, reinforcing the view that energy-driven price pressures are not abating — a dynamic that makes it increasingly difficult for central banks to justify holding rates steady, let alone cutting them.
Fed expectations flip dramatically: rate hikes now on the table
The most significant market development of Friday's session was the speed at which Fed rate expectations shifted. According to CME FedWatch data, market participants now see nearly 50% odds of at least one rate hike by year-end — with virtually zero probability assigned to any rate cuts. That represents a dramatic reversal from just one week ago, when traders were pricing a 28% chance of a cut and only 1% odds of a hike. The complete inversion of those probabilities in less than seven days reflects how rapidly this week's inflation data — hot CPI on Tuesday, elevated PPI on Wednesday, and oil above $100 on Friday — has reshaped the macro narrative.
Stocks and gold sell off alongside crypto
The selloff was broad and simultaneous across asset classes. The Nasdaq 100 opened Friday's session with a 1.7% decline and the S&P 500 fell 1.2%, as rising yields compressed equity valuations and risk appetite contracted sharply. Gold fell 2.5% to near $4,500 per ounce — an unusual move for an asset typically treated as an inflation hedge, suggesting the selloff reflected forced deleveraging and liquidity needs rather than a pure macro rotation.
Crypto stocks take the hardest hits
Crypto-linked equities declined more sharply than the broader market, reflecting their higher beta to risk sentiment. Coinbase fell nearly 6% and Robinhood dropped more than 3%. Digital asset investment firm Galaxy slid 5.4%. Stablecoin issuer Circle declined 7.4%, giving back a significant portion of this week's gains that had been tied to CLARITY Act progress. Strategy, the largest corporate Bitcoin holder, fell 5.4%, while Ethereum-focused treasury firm Bitmine lost almost 6%.
Bitcoin miners took the heaviest losses in the sector. MARA Holdings and Hut 8 each dropped around 7%, Cipher Mining fell nearly 9%, and Bitdeer sank almost 11% to lead declines across the mining cohort. Miners have become increasingly tied to AI infrastructure narratives in recent months — a positioning that amplifies their sensitivity to the kind of risk-off moves triggered by rising yields and inflation fears.
The bigger picture: inflation is winning
Friday's session crystallized a macro narrative that has been building all week. Three consecutive inflation surprises — CPI, PPI, and oil — have forced markets to confront the possibility that the Federal Reserve's next move may be a hike rather than a cut, a scenario that was virtually unthinkable in financial markets just two weeks ago. The speed of the repricing, from 28% cut odds to 50% hike odds in seven days, reflects how unprepared positioning was for that outcome.
For Bitcoin and crypto markets, the implications are significant. The institutional bid that has supported Bitcoin above $80,000 through recent weeks of macro uncertainty was built in part on an eventual Fed pivot narrative. With that narrative now running in reverse, the $78,600 low tested on Friday may not be the floor if bond yields continue to climb and the tightening narrative gains further momentum into the following week.
The CLARITY Act's advancement through the Senate Banking Committee remains a genuine long-term positive for crypto. But legislative tailwinds are proving no match for a bond market that is repricing the entire global rate environment in real time.

BlackRock Investment Institute has highlighted the growing impact of company-level AI capital expenditures on the macroeconomic landscape. According to BeInCrypto, the asset manager's strategists, Jean Boivin and Wei Li, noted that AI spending by major tech firms is projected to reach $725 billion this year, marking a 10% increase from earlier estimates. This spending is now comparable to traditional macroeconomic drivers such as central bank policies. BlackRock estimates AI infrastructure investment could total $5 trillion to $8 trillion this decade, potentially lifting US growth above 2%.

Crude oil prices have surged past $100, while stocks, gold, and cryptocurrencies are experiencing declines. This market shift comes as traders rapidly adjust their expectations for future Federal Reserve rate hikes, according to CoinDesk. The movement in these asset classes reflects heightened market volatility and uncertainty surrounding monetary policy decisions.

Crypto is outperforming every major asset class in May, and Binance is capturing the lion's share of the capital driving that move. The majors basket — Bitcoin, Ethereum, Solana, and BNB — is up 6% month-to-date, well ahead of the S&P 500's 4.3% gain and a mixed commodities picture that includes gold up 3%, oil up 4.2%, and Brent crude down 6%. Flows across every major vector are green: exchanges have pulled in $3.3 billion month-to-date, stablecoins $2.5 billion, and ETFs $1.5 billion.
At the center of all of it is Binance.
Binance's dominance: 78% of net CEX inflows
Binance captured 78% of net inflows among exchanges that gained month-to-date — compared to a 29% trailing three-month average, according to DefiLlama data. That is not a marginal uptick. It is a structural concentration that points to deliberate capital routing rather than incidental flow, and it comes alongside Binance holding a 24.2% share of global spot volume in April 2026, representing approximately $255 billion in monthly trading activity.
The combination of dominant inflow capture and outsized spot volume share means Binance is doing meaningful work in price formation during this rally. It is simultaneously the clearest lens into where exchange capital is flowing and a core piece of the infrastructure the current move is running on.
What the flows inside Binance are saying
Looking at where capital is actually going within Binance — with price effects stripped out so that changes reflect genuine deposit and withdrawal activity rather than balance moves driven by appreciation — the composition is constructive rather than overheated.
Stablecoins are leading on the inflow side. That matters because stablecoin deposits represent dry powder accumulating on the sidelines rather than immediate buying pressure. Capital parked in stablecoins on an exchange is staged for deployment, not already in the market. The implication is that buying power is building rather than being spent down — a setup that has historically preceded further upside rather than signaling an exhausted rally.
Majors, by contrast, are seeing net outflows. Bitcoin is in net outflow of $400 million month-to-date. The instinctive read of outflows might be bearish, but the context argues against that interpretation. With Binance simultaneously capturing 78% of net CEX inflows, venue rotation is an unlikely explanation — capital is not leaving Binance for competing exchanges. The more consistent interpretation is self-custody or institutional accumulation, where large holders are withdrawing Bitcoin to cold storage or custodial arrangements outside the exchange environment. That behavior is associated with conviction holding rather than distribution.
The one notable exception at the token level is WETH, which has seen $887 million in deposits month-to-date. This likely reflects de-risking from the liquid restaking and LRT complex following the KelpDAO incident in April, with users unwinding rsETH positions and rotating exposure back into WETH as a cleaner form of Ethereum exposure.
The flow regime: trader-led, not broad-based
Zooming out to the full flow picture, ETF inflows have quieted materially this week — $181 million compared to $1.5 billion earlier in May — while exchange inflows have remained strong at $3.3 billion month-to-date. The result is that the CEX-ETF spread has flipped positive and held there, establishing what analysts describe as a trader-dominant regime.
The closest historical parallel is the period following Bitcoin's $124,000 all-time high in October 2025, when ETF outflows kicked in but exchange demand held price above $110,000 for several weeks. That precedent is not inherently bearish — exchange-led demand can sustain a rally for an extended period — but it is structurally narrower than a broad-based move that includes simultaneous ETF and exchange participation. Historically, trader-led regimes are more vulnerable to sharp reversals when the reversion eventually comes, precisely because the participant base is thinner and more reactive.
Stablecoins: the signal to watch
Stablecoin flows tend to confirm price moves rather than lead them. Global stablecoin minting correlates with Bitcoin at r=0.44, and the lagged relationship is materially stronger than the forward one — meaning stablecoins get minted after prices move up, not before. The same logic applies in reverse: a stablecoin drain during rising prices is consistent with capital being deployed into the move rather than buying power being exhausted.
The current setup fits that pattern. The February 2026 crash coincided with the largest stablecoin redemption wave on record at negative $4 billion over seven days. The recovery has followed the inverse trajectory: late April outflows tracked Bitcoin stalling in the $75,000 to $78,000 range, stablecoin flows turned positive on May 3 as Bitcoin reclaimed $79,000, and May 8 printed the strongest seven-day stablecoin inflow of the entire recovery at $3.6 billion.
The cleaner bearish signal to watch for would be a stablecoin drain alongside weakening price — the combination that characterized the February breakdown. A drain into rising price, by contrast, reads as deployment of the dry powder that has been accumulating, not a warning sign.
The setup going forward
The next few weeks are the key window. Continued stablecoin minting means buying power is building. BTC outflows point to accumulation rather than distribution at current levels. And Binance's 78% inflow capture confirms the exchange is not just benefiting from the risk-on move — it is structurally central to it.
The risk to monitor is the trader-led nature of the current regime. Without a renewed pickup in ETF inflows to broaden participation, the rally remains more dependent on active trading desks and leveraged positioning than a structurally durable move would be. When that positioning reverts — as it eventually does — the move tends to be fast.
For now, the flows are green, the dry powder is accumulating, and Binance is at the center of everything.

The CoinDesk 20 Index fell 2% on Friday, dropping 44.22 points to 2,184.2 as of 4 p.m. ET, with just one of the index's 20 assets managing to hold positive ground.
BNB was the sole gainer, rising 0.4% to stand apart from a broad market decline that dragged most major crypto assets lower. Bitcoin, often the index's relative anchor during risk-off sessions, fell 1.3% — placing it among the day's better performers despite the negative return.
SUI led the downside with a 6.8% decline, giving back a significant portion of the gains made during its recent 50% rally driven by institutional staking announcements and zero-fee stablecoin news. Internet Computer Protocol's ICP followed with a 5.9% drop, reversing part of its strong performance earlier in the week when it had been among the top gainers in the majors.
The session's results reflect the continued risk-off tone gripping crypto markets following this week's hotter-than-expected US inflation data. With PPI hitting its highest annual level since 2022 and CPI also surprising to the upside, the macro backdrop has shifted against leveraged and higher-beta crypto assets — a dynamic that is showing up most clearly in altcoin underperformance relative to Bitcoin.

Strategy moved on multiple financial fronts on Friday — agreeing to repurchase approximately $1.5 billion of its outstanding convertible notes at a discount while simultaneously funding an 11,707 Bitcoin purchase, as its STRC preferred stock logged the busiest trading session in its history with $1.5 billion in volume ahead of its ex-dividend date.
The convertible note repurchase
Strategy filed Friday morning disclosing an agreement to repurchase approximately $1.5 billion of its 0% Convertible Senior Notes due 2029 in privately negotiated transactions with certain noteholders. The company expects to pay roughly $1.38 billion in cash for the notes — implying a meaningful discount to par value — with settlement expected around May 19. Following completion, the repurchased notes will be cancelled, leaving approximately $1.5 billion of the 2029 notes still outstanding.
The 2029 convertible notes were originally issued in November 2024 with a 0% coupon and a $3 billion notional size. They mature on December 2, 2029 and carry a conversion price of $672.40 per share — a level that sits dramatically above Strategy's current share price of approximately $183, meaning the conversion option carries no practical value at current trading levels. Repurchasing the notes at a discount to par allows Strategy to retire debt cheaply while the conversion feature is deeply out of the money.
The final repurchase price remains subject to adjustment and will partly depend on the volume-weighted average price of Strategy's Class A common stock during a designated measurement period.
How Strategy plans to fund it
Strategy said it expects to fund the repurchases through a combination of existing cash reserves, proceeds from its at-the-market equity offering program, and potentially the sale of Bitcoin holdings. The inclusion of potential Bitcoin sales as a funding source is notable — it marks one of the clearer signals that Strategy views its Bitcoin treasury as a liquid financial resource that can be deployed for corporate purposes rather than purely a long-term hold.
MSTR common stock was down approximately 2% in pre-market trading alongside an overnight decline in Bitcoin back to $80,400 following Friday's broader market selloff driven by surging bond yields and inflation fears.
STRC logs a record $1.5 billion trading session
Separately, Strategy's STRC preferred stock recorded its busiest trading session on record Friday, with $1.5 billion in volume driven by elevated activity ahead of the instrument's ex-dividend date. Heavy trading ahead of ex-dividend dates is a well-established market dynamic as investors position to capture the upcoming distribution — but the record volume figure underscores the degree to which Strategy's various securities have attracted significant market participation beyond its common stock.
The Broader Context
Friday's moves come at a challenging moment for Strategy's balance sheet narrative. Bitcoin's retreat to $80,400 overnight and a broader crypto and equity selloff driven by the fastest repricing of Federal Reserve rate expectations in years — from 28% cut odds to nearly 50% hike odds in a single week — have compressed the mark-to-market value of Strategy's Bitcoin holdings and pushed its share price lower alongside the broader risk-off move.
The decision to repurchase convertible notes at a discount rather than wait for maturity reflects an opportunistic approach to liability management — locking in debt retirement below par while the conversion option is worthless. Whether the potential Bitcoin sales required to fund the transaction represent a meaningful shift in Strategy's accumulation posture, or a tactical liquidity move consistent with its overall treasury strategy, will be closely watched by the market in the days following the May 19 settlement date.

Mubadala Investment Company has increased its stake in the BlackRock iShares Bitcoin Trust by 16% during the first quarter of 2026, reaching a total of 14,721,917 shares valued at $565.6 million, according to a 13F filing. According to NS3.AI, the fund previously held 12,702,323 shares at the end of the fourth quarter of 2025. This increase continues a trend of accumulation that began in the fourth quarter of 2024, maintaining the position above $500 million for the third consecutive quarter.

Bitwise Asset Management has introduced the BHYP fund on the New York Stock Exchange, providing investors with spot HYPE exposure and staking rewards. According to NS3.AI, the fund carries a 0.34% sponsor fee and plans to stake a significant portion of its HYPE holdings through Bitwise's in-house staking division. This marks the second US-listed Hyperliquid product to debut this week. Bitwise referenced DeFiLlama data indicating that Hyperliquid processed approximately $2.9 trillion in trading volume in 2025.

Tiger Global Management has increased its holdings in Meta Platforms by 12.2%, according to a filing with the U.S. Securities and Exchange Commission. The investment firm now holds 3.1 million Class A shares of Meta. According to Jin10, this move reflects Tiger Global's continued interest in the social media giant.

PeckShieldAlert posted on X that THORChain has been exploited, resulting in the theft of approximately $10 million in cryptocurrency. The stolen assets include 36.75 Bitcoin, valued at around $3 million, along with approximately $7 million worth of assets from BNB Chain, Ethereum, and Base. The majority of the stolen funds are currently held in the following addresses: bc1ql4u94klk265lnfur2ujk9p6uh52f2a8jhf6f37 and 0xd477b69551f49C0519F9B18c55030676138890Bd.

The U.S. Senate Banking Committee has passed the CLARITY Act with a 15-9 vote. According to Foresight News, Democratic Senator Alsobrooks from Maryland, who voted in favor, clarified that her support was intended to advance negotiations in good faith, not as a commitment to support the bill in the full Senate vote. Alsobrooks emphasized that three core issues need resolution before the full vote: concerns from law enforcement about financial crime oversight gaps, ethical provisions applicable to all elected officials, including the President and Vice President, and negotiations to merge with the Senate Agriculture Committee's version.

OpenAI has informed its employees about an upcoming restructuring plan aimed at integrating its entire range of business products. According to Jin10, this move is part of OpenAI's strategy to streamline operations and enhance efficiency across its various offerings. The restructuring is expected to align the company's resources more effectively with its strategic goals.

Myanmar's military government has introduced a bill targeting online fraud, particularly in the digital currency sector, with severe penalties ranging from 10 years to life imprisonment, and in extreme cases, the death penalty. According to NS3.AI, the proposed legislation includes capital punishment for individuals responsible for the death of someone coerced or exploited into online fraud at scam centers. The Pyidaungsu Hluttaw, Myanmar's legislative body, is expected to review the bill in the first week of June.

Dune has announced a 25% reduction in its workforce this week as part of a strategic restructuring initiative centered on its core cryptocurrency data products. According to NS3.AI, CEO Fredrik Haga stated that the company's investments in artificial intelligence were a significant factor in the decision to implement layoffs. Despite the workforce reduction, Haga emphasized that Dune remains financially robust following its $69.42 million Series B funding round in 2022.

Revolut is reportedly planning to launch a UK private banking unit this summer, targeting clients with a minimum deposit of £500,000 ($630,000), according to BeInCrypto. This move aims to attract crypto-focused wealth clients following fresh approvals from the Financial Conduct Authority (FCA). The new unit will offer leveraged products, discretionary portfolio management, and private wealth advisory services, complementing Revolut's existing crypto offerings used by over 10 million customers. The FCA's recent permissions enable Revolut to offer sophisticated investment services, blending crypto with traditional assets in a regulated environment.

U.S. President Donald Trump purchased shares in MARA Holdings during the first quarter of 2026, according to filings from the U.S. Office of Government Ethics. According to NS3.AI, the filings reveal that Trump engaged in securities trades totaling between $220 million and $750 million over the period. The disclosure also highlights transactions involving major companies such as Microsoft, Meta, Oracle, Broadcom, Goldman Sachs, Bank of America, Nvidia, Apple, and S&P 500 index funds. However, the documents do not specify the exact prices, transaction dates, or accounts involved.

Saudi Arabia is embarking on a significant $12.5 billion initiative to tokenize real-world assets, spearheaded by Faisal Monai through the platform droppRWA. According to NS3.AI, this ambitious project aims to begin with the real estate sector, leveraging stablecoin-based settlements. Monai anticipates that these real estate transactions could be operational by late 2026, marking a transformative step in the country's approach to asset management and blockchain technology.

The chairman of droppRWA has successfully secured $12.5 billion in mandates to tokenize real estate assets, according to CoinDesk. This initiative aims to bring significant real estate value onchain, with plans to expand beyond properties and potentially bring trillions of dollars into the blockchain ecosystem. The move underscores a growing trend of integrating traditional assets with blockchain technology to enhance liquidity and accessibility.

Ranger Finance, a DeFi project within the Solana ecosystem, is in the process of shutting down, according to a statement by co-founder Cobra on the X platform. According to Odaily, the project has been operating beyond sustainable limits, with founders using personal funds to keep the team running. However, delays in financing led to accumulating bills, and the anticipated funding did not materialize, resulting in the return of raised funds.
Cobra noted that the team attempted to use the remaining two months of operational funds to fairly compensate employees and suppliers, but these efforts were insufficient to cover all expenses. Additionally, treasury liquidation exceeded expectations, severely impacting budget decisions. The subsequent Drift attack further depleted remaining funds and personal capital.
For users affected by the Drift attack, Cobra mentioned that recovery tokens will be provided during the Drift team's future distribution. He also acknowledged that, in hindsight, the team should have closed the project earlier and apologized for the oversight.

The prediction market Polymarket has observed significant fluctuations in the odds for the "Aston Villa FC vs. Liverpool FC" event. According to ChainCatcher, the probability for the "Yes" option in the sub-market for Aston Villa FC has surged from 34.5% to 57.5% within the past hour, marking a 23% increase. This change highlights the impact of recent developments on market predictions.

The prediction market Polymarket has observed significant fluctuations in the odds for the 'Internazionali BNL d'Italia: Jannik Sinner vs. Daniil Medvedev' event. According to ChainCatcher, the 'Completed Match' sub-market saw the probability of the 'Yes' option plummet from 82.5% to 52.5% within the last hour, marking a 30% swing. Stakeholders are advised to monitor any sudden developments that may impact these predictions.

Ethereum may experience a downside risk, with analysts indicating a potential 22% drop toward $1,725 due to a rising wedge pattern. According to NS3.AI, CryptoQuant data revealed increased ETH inflows to exchanges. Additionally, SoSoValue data reported four consecutive days of spot Ethereum ETF outflows amounting to $190 million.

OpenAI has announced a new personal finance preview for ChatGPT Pro users in the United States. According to Odaily, this feature allows users to securely connect their bank and investment accounts to view a financial dashboard within ChatGPT and consult AI for financial advice based on their personal financial situation, while maintaining full control over their data.
The new functionality is facilitated through Plaid for account linking, with Intuit support expected soon. It enables synchronization of balances, transactions, investments, and liabilities, helping users identify spending patterns, analyze savings opportunities, plan goals, and optimize major financial decisions. Users can also input financial background information, such as mortgages, savings goals, or large expenditure plans, to receive more personalized advice from ChatGPT.
The experience emphasizes automation and actionability, allowing users to set budget limits, automate savings transfers, and track weekly savings progress for a sustainable financial plan. The system offers savings strategies for dining, shopping, transportation, daily purchases, and subscription services, helping users increase savings without compromising their quality of life.
OpenAI notes that this feature is not a substitute for professional financial advice but combines complex personal financial issues with the reasoning capabilities of GPT-5.5 to provide more accurate solutions. The feature will gradually become available to Plus and all users, with plans to expand the ecosystem through partnerships with Intuit and others, aiming for a comprehensive financial planning and execution experience.
In terms of privacy and security, users can disconnect accounts or delete financial memories at any time. All account data is used solely to provide personalized financial services and will not alter user funds, adhering to strict data control and privacy protection standards.

Lombard is transferring more than $1 billion in Bitcoin-backed assets from LayerZero to Chainlink's CCIP bridge. According to NS3.AI, this decision comes after an internal security review following an exploit in April. The migration from LayerZero to CCIP now amounts to approximately $4 billion in assets either moved or in the process of being moved.

Eric Trump has refuted Senator Elizabeth Warren's allegations that his father, Donald Trump, directs individual Nvidia (NVDA) stock trades. According to BeInCrypto, Warren linked recent Nvidia stock purchases to the easing of U.S. AI chip export rules to China. Reports highlighted a January 6 purchase worth up to $1 million in Trump-related accounts, followed by a Commerce Department rule update a week later. Eric Trump stated that all family assets are in a blind trust managed by major financial institutions, focusing on broad market indexes rather than individual stocks. Warren's claims have sparked debate over disclosure norms and the blind trust standard.

The U.S. Commodity Futures Trading Commission (CFTC) reported that for the week ending May 12, gold speculators increased their net long positions by 4,963 contracts, bringing the total to 100,627 contracts. According to Jin10, this data reflects a growing interest in gold among speculators during this period.

A recent exploit on Kelp DAO's LayerZero-powered bridge resulted in a $292 million loss, heightening concerns about the security of cross-chain infrastructure, according to CoinDesk. This incident underscores the vulnerabilities in decentralized finance platforms, particularly those facilitating cross-chain transactions. The breach has prompted discussions within the crypto community about the need for enhanced security measures to protect against similar attacks in the future.

The Hyperliquid Policy Center, led by renowned crypto lawyer Jake Chervinsky and funded by the Hyper Foundation, has responded to concerns raised by Bloomberg regarding CME and ICE's pressure on the CFTC. According to Foresight News, the organization stated that these concerns lack basis. Hyperliquid provides complete on-chain transaction records in real-time, offering transparency that surpasses traditional exchanges and serving as a strong deterrent against insider trading and price manipulation. This transparency aids regulatory bodies and law enforcement in monitoring and investigations. Additionally, Hyperliquid offers 24-hour continuous trading, effectively eliminating price gaps between market open and close times in traditional markets. The organization acknowledged that current U.S. laws do not specifically address on-chain derivatives markets and expressed its commitment to collaborating with Washington policymakers to establish a regulatory framework.
The Hyperliquid Policy Center was established in Washington on February 18, with Jake Chervinsky, former Chief Legal Officer at Blockchain Association and Variant, serving as CEO. The center received a donation of 1 million HYPE tokens from the Hyper Foundation and focuses on advancing compliance pathways for DeFi regulation in the United States.

Residents of Battleview Drive in Atlanta reported that Waymo's autonomous vehicles were repeatedly circling their cul-de-sac, with one resident estimating around 50 vehicles in a single hour. According to NS3.AI, Waymo has acknowledged the issue and stated that it is collaborating with its fleet partner to prevent similar occurrences in the future.

Anthropic, an artificial intelligence laboratory, is reportedly seeking to raise $30 billion in new funding, according to the Wall Street Journal. The company is attracting a significant portion of venture capital investments in the AI sector. This move highlights the growing interest and investment in artificial intelligence technologies.

Solana announced that Amundi, Europe's largest asset management company with approximately €2.3 trillion under management, and Spiko Finance, managing $1.7 billion, have expanded their tokenized fund, the Spiko Amundi Overnight Swap Fund (SAFO), to the Solana blockchain. According to Foresight News, the fund was initially launched in March on Ethereum and Stellar with a starting size of $100 million. SAFO is a UCITS-compliant fund, adhering to EU standards for open-ended funds, and is targeted at institutional professional investors, offering overnight swap returns and cross-chain settlement capabilities.

Euler Labs announced that its lending protocol, Euler, will now directly operate the market coverage on the HyperEVM network. According to Foresight News, this follows the closure and transfer of HypurrFi's brand, which previously operated Mewler, a lending market based on Euler, on HyperEVM through authorized deployment. The Hyperliquid lending market will also be integrated into Euler's official interface. Clearstar Labs will continue to curate markets such as Prime and Yield on HyperEVM. Euler emphasized that this transition is operational and not related to any security issues. Users holding positions in HypurrFi should refer to HypurrFi's migration process.

Hedge funds have capitalized on investments in chip makers and AI hardware companies, marking their most successful month in over 20 years. Wall Street Journal (Markets) posted on X, highlighting the foresight of these funds in identifying opportunities within the AI sector. The strategic bets on AI-related stocks have paid off significantly, reflecting the growing importance and influence of artificial intelligence in the financial markets. This trend underscores the potential for continued growth and innovation in AI technologies, as investors increasingly recognize the value of AI hardware in driving future advancements.

The Office of the Comptroller of the Currency (OCC) has given conditional approval for Augustus Bank N.A. to operate as a U.S. national bank, focusing on stablecoins and artificial intelligence, under the GENIUS Act. According to NS3.AI, Ferdinand Dabitz, a representative of Augustus Bank, stated that the bank is a few months away from receiving full approval and launching its operations. However, the final approval is contingent upon meeting certain pre-opening conditions.

Ethereum founder Vitalik Buterin received the First Class Order of Merit of the Star of Liberland at ETHPrague 2026. According to NS3.AI, Liberland awarded the medal to Buterin in recognition of his contributions to blockchain technology and his advocacy for pop-up cities, decentralized societies, and network states.

THORChain has issued an emergency announcement, stating that trading has been suspended on its network due to a suspected breach of an Asgard vault. According to Odaily, initial reports indicate that user funds remain unaffected, with losses primarily impacting the protocol's own assets.
The system automatically detected unusual activity and halted signing operations, alerting the community and preventing further asset outflow. An investigation is ongoing to determine the root cause and full extent of the vulnerability.
The incident involves one of the six Asgard vaults, with estimated losses around $10.7 million. Additionally, the staking RUNE of the related node was slashed due to unauthorized transaction triggers. Network churn operations have been paused, and the launch of new chains and related features has been delayed until stability is restored.
THORChain has stated that no cross-chain transactions by users have been affected. Node operators have been instructed to thoroughly inspect infrastructure, security key management, and abnormal activities, and to submit relevant logs to assist in the investigation.

THORChain has reported an attack on one of its six Asgard vaults, resulting in an estimated loss of $10.7 million. According to Foresight News, the loss involves only the protocol's own funds, with individual user transactions remaining unaffected. The network detected the unusual activity and has paused signing activities to prevent further outbound transactions. Churn activities are currently suspended, and operations requiring churn will be delayed until network stability is restored. THORChain has urged all node operators to immediately check their infrastructure and key management systems for any irregularities. Node operators involved with the affected vault have had their staked RUNE automatically slashed due to the unauthorized outbound transaction. The investigation is ongoing.

Grayscale's Head of Research, Zach Pandl, has commented on the implications of rising U.S. inflation and energy prices, suggesting that the new Federal Reserve Chair, Kevin Warsh, will likely maintain high interest rates. According to Odaily, the market anticipates that the Federal Reserve will not lower interest rates before September 2027. This prolonged period of high rates is expected to have three significant effects on crypto assets.
Firstly, the cost of holding non-interest-bearing assets like Bitcoin is expected to rise, as high real interest rates increase the opportunity cost of holding zero-yield alternatives. This could exert short-term pressure on assets such as Bitcoin. However, Pandl remains optimistic about Bitcoin's future, predicting that positive regulatory developments, including the CLARITY Act, will mitigate some negative impacts.
Secondly, the tokenization of fixed-income assets is likely to accelerate. Dollar-denominated fixed-income products generally offer higher yields than their DeFi counterparts. If crypto investors can achieve better returns on tokenized bonds, issuers may be encouraged to bring more assets on-chain, promoting the digitization of fixed-income products.
Lastly, stablecoin issuers like Circle, which hold interest-bearing assets but cannot pay interest on tokens, are expected to see increased revenues. Pandl estimates that for every 25 basis point increase in short-term rates, Circle's income could rise by approximately $190 million.
In summary, Pandl concludes that prolonged high interest rates will challenge 'currency devaluation trades,' drive the tokenization of fixed-income assets, and boost stablecoin issuers' revenues.

Grayscale has indicated that the postponement of U.S. interest rate reductions could continue to exert bearish pressure on Bitcoin. According to NS3.AI, Grayscale also noted that an increase in short-term interest rates could potentially boost Circle's annual revenue by approximately $190 million for each 25 basis point rise.