AGP Executive Report

Market Pressure: Bitcoin slipped below $80,000 this week as hot U.S. inflation rattled markets and crypto funds saw heavy outflows. Ether also faced sharp liquidations, despite recent gains. Institutional Moves: Deutsche Bank is weeks from offering Bitcoin and Ether custody to clients, while Charles Schwab has opened crypto trading to retail customers. Ripple Prime is also extending institutional trading access through Hyperliquid. Wallet Security: A hidden hardware implant reportedly captured recovery phrases from tampered Ledger devices; estimates put losses as high as $102 million across 324 wallets. In a striking twist, a crypto scammer lost more than 60 BTC to the thieves. Tokenization and Rules: Banks are pitching tokenized assets as a growth opportunity, but some public companies are resisting plans to trade tokenized versions of their shares. The SEC has proposed updated custody rules that include a crypto framework. Network Risk: Pirate Chain disclosed a validation flaw that enabled roughly 39.8 million unauthorized ARRR tokens, raising fresh concerns about the project’s supply and security.

Bitcoin Market: Bitcoin hovered near $81,000 after a volatile week, while crypto funds saw $610.7 million in outflows, led by $320.1 million from Ether products. Hot inflation and rising oil prices weighed on sentiment, with analysts watching for a possible slide toward $75,000. Fraud Enforcement: Türkiye detained Richard James Schueler, wanted over an alleged $1 billion crypto fraud in the U.S. and Finland. DeFi and Trading: Babylon Labs proposed letting Aave accept native Bitcoin as collateral. Pump.fun also launched Bitcoin and Ether perpetual futures through Hyperliquid, with leverage of up to 40 times on Bitcoin. Regulation: The SEC proposed a broad overhaul of custody rules that could affect crypto firms and investment advisers. Corporate Bitcoin: MSCI finalized index rules that could remove Strategy and Metaplanet, potentially putting pressure on companies built around large crypto holdings. Mining: Binance will close its Bitcoin mining pool on Nov. 10, ending a six-year run. Wallet Security: A hardware supply-chain attack involving tampered Ledger devices has raised fresh concerns about stolen recovery phrases and crypto losses.

Bitcoin & Markets: Bitcoin recovered above $82,000 after briefly falling below $80,000, but hot U.S. inflation helped trigger $434 million in weekly crypto-fund outflows and nearly $1 billion in liquidations. Strategy: Shares fell 10% after MSCI finalized rules that could remove Strategy and other crypto-treasury firms from its indexes, risking forced sales by index funds. Wallet Security: Ledger traced a major theft to tampered devices sold through a reseller; reported losses have topped $86 million, and buyers are being urged to stop using affected wallets. Regulation: The SEC proposed updated custody rules for advisers and funds, including limited self-custody of crypto assets. Payments: Visa moved USDC prefunding into live operations for global payments, while Coinbase and Marqeta are expanding stablecoin-funded cards. Quantum Readiness: Google’s reported 40-fold reduction in quantum-computing errors renewed debate over Bitcoin’s encryption, as blockchain developers work on quantum-resistant tools.

Market Volatility: Bitcoin fell below $80,000 after hotter U.S. inflation data helped trigger nearly $1 billion in crypto liquidations, then recovered above $82,000. Wallets holding 10–10,000 BTC reached a record 20,338, though that doesn’t prove fresh buying. Index Risk: MSCI’s new rules could remove Strategy and Metaplanet from its indexes in November; JPMorgan estimates about $2.8 billion in passive outflows may be at stake. Ethereum: Interactive Brokers has launched ETH staking for eligible U.S. clients, offering a new yield option as ether trails bitcoin. Stablecoin Payments: Visa now lets eligible businesses prefund cross-border payouts with USDC, while Mastercard and BVNK are building a platform for fiat and stablecoin payments. Circle also plans to expand into about 40 markets. Quantum Readiness: Nine blockchain groups formed an alliance to set standards for testing quantum resistance, as concern grows over the security of today’s blockchain signatures.

Market Pullback: Bitcoin fell below $80,000 after hotter U.S. inflation data, while crypto liquidations neared $1 billion and major altcoins slid. EU Stablecoin Rules: Circle’s USDC became the first MiCA-regulated e-money token classified as significant; the EBA takes over key oversight on November 12. Mining Deal at Risk: BitFuFu may walk away from its planned 80-megawatt Ethiopian mine purchase after a power-payment dispute put $4.1 million already paid at risk. Wallet Security: Ledger is reviewing sales after tampered devices sold through a Southeast Asian reseller were linked to reported crypto thefts of up to $93 million. Institutional Push: Standard Chartered began offering Bitcoin and Ether trading to UAE wealth clients, while Kraken’s parent agreed to acquire a Lithuanian bank to expand in Europe. Russia’s Trading Shift: The central bank says direct peer-to-peer crypto trades will be banned from July 2027, pushing users toward licensed intermediaries.

Market Rout: Hotter-than-expected US inflation triggered nearly $973 million in crypto liquidations, mostly long positions. Bitcoin slid toward $81,000, while Ethereum suffered about $292 million in liquidations. Institutional Push: Standard Chartered launched Bitcoin and Ether trading for wealthy UAE clients, while Kraken parent Payward agreed to buy Lithuania’s Saldo Bank in a move beyond crypto trading. Wallet Security: Ledger says tampered CryptoBilis devices contained an implant that stole wallet keys; reported losses have reached as high as $93 million, prompting warnings to affected users and a reseller crackdown. Rules Tighten: Australia is seeking feedback on proposed crypto platform rules for 2027, and South Korea plans tougher security measures after hacks hit 16 financial firms. Mining Shift: Binance plans to close its Bitcoin mining pool on Nov. 10, ending a six-year run.

Banking Expansion: Kraken parent Payward agreed to buy Lithuania’s Saldo Bank, a deal that could give the crypto firm access to EU deposits, lending and euro payments across five markets, pending approval. Institutional Access: Standard Chartered launched direct Bitcoin and Ether trading for professional investors in the UAE, with trades handled through the bank. Market Pressure: Bitcoin fell below $82,000 as hot U.S. inflation revived Fed rate-hike fears and triggered crypto liquidations. Wallet Security: Ledger linked major thefts to hidden chips in devices sold by a reseller; the implants allegedly stole recovery phrases, with reported losses topping $86 million. Regulation: The OCC found that nine major U.S. banks had policies restricting some digital-asset businesses, but said it could not measure the full scale of debanking. South Korea also blocked 27 unregistered crypto exchange websites. Mining Shift: Binance plans to close its Bitcoin mining pool on Nov. 10 after six years, as the exchange expands into other markets.

ETF Flows: Bitcoin funds drew $175.6 million on Oct. 13, while XRP ETFs recorded no inflows for a third straight session. Ethereum ETFs ended a 10-day outflow streak with $24.8 million, but Solana funds continued to lose money. Mining Shift: Binance will close its Bitcoin mining pool and related services on Nov. 10, telling miners to move their equipment before the cutoff. Regulation: Germany led Europe with 42 of 72 MiCA approvals in the third quarter, most going to banks entering crypto. South Korea, meanwhile, is blocking 27 unregistered exchange websites, including KuCoin, BitMart and MEXC. Security: Ledger says unauthorized hardware implants in CryptoBilis-sold wallets stole recovery phrases, with reported losses topping $86 million. Seized Bitcoin: A UK court ruling weakens victims’ efforts to claim bitcoin seized in a £5 billion case, improving the government’s position as appeals continue.

Wallet Security: Ledger confirmed that tampered wallets sold through Southeast Asian reseller CryptoBilis contained chips that stole recovery phrases; reported losses top $86 million. MediaMarktSaturn pulled Ledger devices from stores, while Trezor is tightening reseller controls. Exchange Rules: South Korea ordered 27 unregistered overseas crypto platforms, including KuCoin and MEXC, blocked. In the UK, a court ruling on more than 61,000 seized bitcoin leaves victims’ claims subject to Chinese law. Bitcoin Markets: BTC hovered near $83,000–$84,000 as spot ETFs lost $65 million in a day, all from BlackRock’s fund. Robinhood, meanwhile, added $25 million in bitcoin to its own balance sheet. Mining Shift: BitFuFu launched HASH, a token tied to bitcoin-mining returns, while Binance plans to close its mining pool on Nov. 10. Genesis Digital is also pivoting from bitcoin mining to AI computing.

Bitcoin Markets: BTC rebounded above $83,000 after dipping near $81,000, but US demand looks soft: the Coinbase premium turned negative and spot Bitcoin ETFs lost $65.4 million, all from BlackRock’s IBIT. Wallet Security: Ledger confirmed an unauthorized implant in devices sold through reseller CryptoBilis; reported losses are nearing $90 million, and OneKey has cut ties with the reseller. Regulation: South Korea ordered blocks on 27 unregistered crypto exchange websites, including KuCoin and MEXC, while the SEC cleared a path for blockchain-based stock trading. Bitcoin Seizure: A UK court ruled Chinese law governs victims’ claims to 61,000 seized BTC, strengthening the government’s position without deciding who gets the coins. Mining Shift: SWI raised €800 million for AI infrastructure and is selling Genesis Digital’s remaining Kazakhstan mines as it pivots away from Bitcoin mining. Solana: SOL slipped below $110 as treasury firm SkyAI sold 1 million tokens, saying it plans to use the proceeds for a share buyback.

Market Watch: Bitcoin hovered near $83,000 ahead of U.S. inflation data, while crypto funds recorded about $1.2 billion in weekly outflows. Strategy still bought $21 million of Bitcoin, signaling some corporate buyers remain active. Security Alert: Ledger confirmed an unauthorized hardware implant in wallets sold by reseller CryptoBilis, amid reported losses of $86 million or more. Network Risk: Ontology restored its mainnet after a 41-hour halt, but has not disclosed the vulnerability behind the shutdown; it says no funds were lost on the network itself. Rules and Politics: The SEC proposed allowing some investment advisers and funds to self-custody crypto, while UK regulators opened an authorization gateway for crypto firms. Fairshake-affiliated PACs also reported $2.7 million in House-race spending as U.S. efforts to pass clearer crypto rules remain stalled. Mining and AI: Bitcoin miners face rising financing costs as they seek capital for AI data-center expansion.

Wallet Security: Ledger confirmed an unauthorized hardware implant in a device sold through Southeast Asian reseller CryptoBilis. Reported losses top $86 million; Ledger says confirmed cases so far involve that reseller and urges affected customers to move funds to a new signer with a new recovery phrase. ETF Flows: Bitcoin climbed back above $84,000, even as crypto funds shed nearly $1.25 billion last week. Bitcoin and Ether ETFs led withdrawals, while XRP funds drew $11.31 million. Regional Adoption: UAE-licensed AGCX has opened an exchange with dirham funding, while Bulgaria’s Fibank will offer Bitpanda crypto services through its banking app. Mining Shift: SWI Group raised €800 million to reposition FTX-backed Bitcoin miner Genesis Digital’s facilities for AI and high-performance computing. Blockchain Investment: China is backing a national blockchain network as part of its digital-economy push, while Sui is investing $30 million in DATA Network as it moves its AI-data registry onto Sui.

Wallet Security: Ledger confirmed an unauthorized hardware implant in a device sold by Southeast Asian reseller CryptoBilis; researchers estimate losses of up to $93 million across more than 300 wallets. Ledger urged affected buyers to avoid setting up unused devices and move funds from devices already in use. XRP Ledger: A long-standing payment-engine flaw that could have enabled counterfeit XRP was patched before any known exploit. The disclosure rattled holders as XRP traded near $1.39. Market Pulse: Bitcoin rose above $83,000 after Ukraine backed an announced energy ceasefire, but high Treasury yields and October ETF outflows remain headwinds for crypto prices. Tokenized Markets: The IMF found tokenized stocks offer round-the-clock trading and fractional ownership, but are less liquid and about 1.5 times more volatile than traditional shares. Regulation: The EU ordered crypto firms to drop non-compliant stablecoins, while UK sanctions targeted three exchanges over alleged Russia links.

ETF Flows: XRP funds drew $11.3 million over the past week while Solana funds shed $24.8 million, narrowing the assets gap to $160 million. XRP ETFs held $1.57 billion versus Solana’s $1.73 billion on October 9. Wallet Security: Ledger is investigating more than $86 million in suspected losses linked to a reseller, as fake Ledger sites target recovery phrases. COLDCARD also warned that a phishing link appeared on its X account; no losses have been confirmed. Mining Rules: Russia will give crypto miners lower-priority electricity access, allowing authorities to cut power during shortages. EU Regulation: ESMA has given crypto firms up to three months to wind down services involving non-compliant stablecoins. Industry Convergence: OKX founder Star Xu says crypto and traditional finance are increasingly converging, as the exchange expands beyond trading and recently secured investment at a $25 billion valuation.

Wallet Security: Ledger confirmed an unauthorized hardware implant in an affected customer’s device as it investigates thefts linked to reseller CryptoBilis. Estimated losses have reached $93.4 million, though Ledger has not verified that figure. Bitcoin Flows: After the October 7 drop, large holders bought about 15,000 BTC, worth $1.24 billion, while miner MARA sold $81 million to repay debt. Bitcoin hovered near $82,800, around the average holder’s break-even level. ETF Watch: Ether funds logged nine straight days without net inflows, and their assets fell nearly $2 billion to $15.71 billion; falling ETH prices account for part of the decline. Bitcoin funds also saw heavy outflows earlier in the week before a modest inflow on October 9. Market Resilience: One year after the $19 billion liquidation shock, liquidity in Bitcoin and Ether has recovered, but altcoin markets remain thinner than before the crash. French Tax Plans: A committee backed taxing crypto-to-stablecoin swaps and applying an exit tax to some crypto holders moving abroad. The measures still need legislative approval.

Market Pullback: Bitcoin recovered to about $82,500 after briefly dropping near $80,000, but remained down for the week. Spot Bitcoin ETFs drew $21 million on Oct. 9 after heavy withdrawals, while Ether funds recorded a ninth straight day of outflows. Wallet Security: Ledger is investigating suspected losses of up to $93 million linked to devices bought through a reseller; Tether froze about $10 million in related USDT. Separately, a Malaysian man reported losing RM12.47 million from his digital wallet. Compliance Pressure: The U.S. Justice Department is reviewing Binance’s compliance with its 2023 settlement amid an investigation into alleged Iran-linked transactions. Policy & Access: Thailand finalized rules paving the way for spot Bitcoin and Ether ETFs from Oct. 16. The U.S. Treasury also withdrew proposed reporting rules for self-custody wallets and crypto mixers, while the CFTC advanced new market-rule proposals. Funding: Crypto and Web3 companies disclosed $380.5 million in weekly funding, led by $90 million rounds for tokenized-cash firm Spiko and AI research company Nous Research.