Crypto & Digital Assets news from the last 24 hours, AI-curated by PiQ Markets

Core Scientific increased its Bitcoin holdings by 301 coins in Q2, reaching a total of 848, as it rebuilds its treasury after selling assets to fund a transition into AI and high-powered computing. Meanwhile, Galaxy Digital and MARA Holdings are expanding their Texas footprint with land acquisitions for data centers supporting AI, high-performance computing, and Bitcoin mining, signaling increased demand for digital infrastructure in the state. In related news, Emirates Airline has started accepting Bitcoin and other cryptocurrencies for flight bookings via a partnership with Crypto.com, initially for eligible UAE residents booking in Emirati Dirhams.

Trade.xyz is reimbursing traders for $60 million in losses stemming from a flash crash in SK Hynix perpetual futures on its platform. The contract's price dropped by 19% due to an anomaly on a Korean pre-market venue, which triggered liquidations. Trade.xyz is covering these losses as a one-time discretionary action, noting that its oracle functioned correctly despite the external price print.

The Zcash network has activated its Ironwood upgrade, securing the Orchard shielded pool containing approximately 3.66 million ZEC, valued at $1.7 billion. This upgrade addresses a critical bug that posed a risk of undetectable ZEC counterfeiting and introduces enhanced security features, including a 'turnstile' mechanism. Meanwhile, Zcash mining company Fortitude has powered up a new 12-megawatt facility in Grand Island, Nebraska, increasing its total power capacity to over 60 MW. This expansion is expected to reduce Fortitude's Zcash mining costs, and the company is pursuing a public listing through a merger with HeartSciences.

Cryptocurrency security remains a major concern as losses from hacks reached over $1 billion in the first half of 2026, with Ethereum and Solana networks being the most affected. This surge in losses underscores a growing trend in security incidents and evolving attack methods. In parallel, AmericanFortress has proposed a novel quantum-safe cryptographic scheme for cryptocurrency wallets. This innovation aims to protect existing assets from potential quantum computing threats without necessitating fund migration or address changes, leveraging zero-knowledge proofs derived from original seed phrases.

Bitcoin has recovered from session lows near $63,065 to trade around $63,500, defying broader equity market jitters. Major indices like Nasdaq futures and South Korea's Kospi experienced declines, with NVDA shares also falling. Despite Bitcoin and Ether trading above their 50-day moving averages, the broader cryptocurrency market shows weakness, with only 29 of the top 100 cryptocurrencies mirroring this performance, suggesting bearish breadth. Ether's recent outperformance offers a potential catalyst for altcoins.

Visa is investing across the stablecoin ecosystem, including blockchain technology, issuance, and applications, as detailed in its Q3 earnings call. The company is focusing on integrating tokenized deposits and AI-powered commerce, highlighting its involvement with the OpenUSD stablecoin. Meanwhile, PayPal reported Q2 revenue of $8.68 billion, surpassing expectations, and emphasized the growth of its stablecoin initiatives and AI-driven payment tools. PayPal also recorded an $81 million adjustment related to crypto assets.

Morgan Stanley Investment Management has launched exchange-traded products (ETPs) for Ether and Solana, named MSSE and MSOL, on NYSE Arca. These new offerings feature an expense ratio of 0.14% and include provisions for passing through staking rewards. This expansion broadens the firm's digital asset investment options, which previously included only a Bitcoin trust.

Binance is reportedly routing most foreign law enforcement requests through the UAE, a policy that prosecutors warn could slow investigations into crypto crimes. This shift, detailed in a DOJ memo and reported by The New York Times, may hinder access to crucial user data for ongoing probes. The move signals a potential challenge for law enforcement agencies seeking to track illicit activities within the cryptocurrency space.

CME Group is suing the U.S. Commodity Futures Trading Commission (CFTC) and its chairman over the agency's approval of blockchain-based perpetual futures products. CME argues these products are mislabeled and pose a threat to existing futures markets. The lawsuit, filed in the U.S. District Court for the Northern District of Illinois, could shape the U.S. regulatory landscape for cryptocurrency derivatives.

Crypto trading platform BitMEX is set to close its operations in September, signaling a significant impact of the ongoing crypto slump on trading firms. This closure, following other recent bankruptcies such as BitMart, underscores the challenges faced by smaller entities in the digital asset space. Declining retail trading volumes and rising regulatory compliance costs are cited as primary reasons for these financial difficulties, leading to a contraction in the market.

Wall Street giants BlackRock, Fidelity, and Goldman Sachs are backing the Clarity Act, a bill designed to regulate the U.S. cryptocurrency industry. This move highlights a significant divide within the financial sector, as JPMorgan opposes certain aspects of the legislation that are supported by Coinbase and the wider crypto community. The bill seeks to establish clearer rules for digital assets, but disagreements persist over specific regulatory approaches.

Ondo Finance has shifted its strategy, abandoning plans for a layer-1 blockchain to launch the Ondo Network, an offchain execution layer for financial markets. This new network aims to enable trading of tokenized assets as collateral, separating rapid, private trade execution from on-chain settlement. The initial application, Ondo Perps, will facilitate these tokenized asset trades.

Brazil's stablecoin market has seen rapid expansion since 2017, with cross-border cryptocurrency flows now outpacing traditional capital movements, according to a warning from the International Monetary Fund (IMF). The IMF emphasized the growing interconnectedness between the crypto and traditional financial systems, calling for enhanced regulatory oversight to manage the associated risks. This rapid growth suggests a significant shift in financial activity within Brazil, necessitating a proactive approach to financial stability.

SBI Holdings, a significant partner of Ripple, is expanding its on-chain finance initiatives by integrating the Canton Network. This strategic move diversifies the company's focus beyond Ripple's XRP Ledger and RippleNet, aiming to offer institutional-grade on-chain financial services. The restructuring of a subsidiary underscores SBI's commitment to broadening its blockchain-based financial offerings.

Ethereum startup EthSystems is developing privacy infrastructure aimed at enabling banks and financial institutions to utilize public blockchains. The company believes that confidentiality, rather than scalability, represents the primary obstacle for integrating real-world financial operations onto the Ethereum network. EthSystems' focus on privacy solutions seeks to address this critical need for institutional adoption.

Crypto exchange Kraken is enabling retail investors to participate in the Jersey Mike's IPO by tokenizing shares. US users can apply for direct allocations, while international investors can buy tokenized shares backed 1:1 by the actual stock. These tokenized shares will be tradable 24/7 on Kraken's platform, offering broader access to the upcoming initial public offering.

Coinbase is seeking to become an "everything exchange" in Canada, according to its new Canadian CEO, Eric Richmond. The company aims to offer advanced cryptocurrency products, including derivatives and decentralized finance (DeFi) services. Richmond emphasized the need for a clear, harmonized national framework for digital assets in Canada to foster industry growth and provide Canadians with access to sophisticated financial tools.

Tether has signed a memorandum of understanding with the Nairobi Securities Exchange (NSE) to explore tokenized securities and blockchain-based market infrastructure. The deal also includes investigating the use of Tether's USDT stablecoin as a potential settlement layer. Furthermore, the agreement encompasses digital asset education initiatives and the utilization of Tether's Hadron platform for market development.

Ten European financial institutions have launched Regulated Layer One (RL1), a member-owned blockchain cooperative based in Luxembourg. The network is designed for regulated financial markets and tokenized assets. RL1 aims to reduce fragmentation within the industry by providing a shared infrastructure for financial transactions. Key participants include ABN AMRO and DekaBank, signaling a collaborative effort to advance blockchain adoption in European finance.

Michael Saylor views proposed changes to Bitcoin's protocol, such as BIP-110, as direct assaults on economic rights. He compares Bitcoin's consensus rules to a constitution, asserting that any group altering these rules forces its agenda and associated costs onto all users. Saylor advocates for protocol modifications to be strictly conservative and driven by necessity, protecting the integrity of the system.