cryptocurrency

According to The Block, STS Digital CEO Maxime Seiler stated that there is a divergence between cryptocurrency asset prices and institutional adoption. He said, "From a price perspective, we are still in a crypto winter, but from the institutional side, we have entered a summer."Seiler noted that institutions are more focused on adopting underlying technologies, and funds do not necessarily flow into tokens, so technological adoption has not yet been fully reflected in coin prices. He also pointed out that the Bitcoin futures basis has converged from an annualized 20%-30% during the 2021 cycle to close to the risk-free rate, and it is more stable than in the previous cycle, partly because the channels for dollars entering and exiting the crypto market are deeper.

According to Coinglass data, the "8.19" surge resulted in a cumulative liquidation of $2.739 billion in short positions and $248 million in long positions. The total liquidation amount in a single day ranks eighth in crypto history, with the single-day short position liquidation amount being the highest ever.It is worth noting that among the top 10 and even the top 30 liquidation events in crypto history, "8.19" is the only event dominated by short position liquidations, while the others were all caused by declines in crypto leading to long position liquidations.

According to Decrypt, Michael Selig, the chairman of the Commodity Futures Trading Commission (CFTC), stated that if the Clarity Act continues to be stalled due to Democratic obstruction, the CFTC will use its existing authority to begin establishing a regulatory framework for the cryptocurrency market and has instructed staff to expedite the formal rule proposal.Selig has asked staff to explore incorporating the digital asset market structure into CFTC rules, which may include both existing CFTC-registered entities and currently unregistered cryptocurrency exchanges under its regulatory scope.Rules tailored for digital assets may allow for leveraged and margin trading. Bitcoin ETFs saw a net inflow of $606 million, marking a new single-day high since May 1; Ethereum ETFs had a net inflow of $219 million, reaching a new high since September 2025. In the past 24 hours, the amount of short liquidations in the cryptocurrency market exceeded $1.2 billion, approaching $5 billion over the past two days.

According to CoinDesk, the Internal Revenue Service (IRS) has issued a warning that a sophisticated email phishing campaign targeting U.S. cryptocurrency holders is spreading. Attackers are impersonating official tax letters to lure users into scanning malicious QR codes to steal cryptocurrency wallet credentials and private keys.It is reported that attackers are sending paper letters impersonating the IRS, creating a sense of urgency under the guise of "tax compliance" and "account verification," and including QR codes in the letters. Once users scan the code, they may be directed to a counterfeit website, leading to the leakage of wallet login information, recovery phrases, or private keys, resulting in the theft of digital assets.The IRS reminds taxpayers that official agencies will not request users to provide cryptocurrency wallet private keys, recovery phrases, or perform similar "wallet verification" operations through unofficial channels. Cryptocurrency holders should be vigilant against any suspicious emails and letters that request scanning QR codes, connecting wallets, or submitting sensitive information.As the number of cryptocurrency asset holders grows, social engineering attacks targeting digital wallets continue to increase, and regulatory and security agencies are strengthening warnings against related fraudulent activities.

Japan's financial regulatory agency has approved Laser Digital Japan to register as a cryptocurrency asset trading service provider, becoming the first new entrant to obtain this license in Japan in nearly four years, marking the acceleration of institutional-level digital asset services entering the Japanese market. Laser Digital stated that initially, it will provide liquidity services for local virtual asset service providers in Japan, with plans to further launch digital asset trading services aimed at institutional investors in the future, although the specific launch time and scope of services have not yet been announced.Laser Digital is supported by one of Japan's largest investment banks, Nomura Holdings. Co-founder and CEO Jez Mohideen stated that the Japanese digital asset market is entering a new stage of development, and as institutional investor interest increases, the market needs more reliable trading counterparts and infrastructure. Previously, a survey of institutional investors conducted by Nomura and Laser Digital showed that 79% of respondents plan to invest in cryptocurrency assets within the next three years. This regulatory approval comes at a time when Japan is advancing cryptocurrency asset regulatory reforms. Japan has previously reclassified cryptocurrencies as financial assets, establishing a legal basis for the future launch of cryptocurrency asset ETFs and the implementation of an independent tax system, with related new regulations expected to take effect in 2027. Laser Digital's Executive Chairman Steve Ashley stated that global institutional investors are increasingly focusing on the digital asset market and seeking professional infrastructure that meets institutional needs.

According to Caixin, the Hong Kong Court of Appeal yesterday rejected the sentence reduction application of the mastermind behind the electric fraud and human trafficking, Ma Zhihao, and upheld the original sentence of 56 months in prison. During the investigation of the case, the Hong Kong police tracked the criminal funds through blockchain and cryptocurrency transaction records, identifying the key points where ransoms and criminal proceeds were received.It is reported that a victim's family paid approximately 9,527 Tether (USDT) to a cryptocurrency wallet designated by the criminals. The blockchain tracking records conclusively prove that 8,127 USDT flowed into an exchange account registered under Ma Zhihao's real name and Hong Kong ID, which was then exchanged for about 63,000 Hong Kong dollars and transferred to his personal HSBC bank account, becoming important evidence of his involvement in the crime and obtaining profits. The Court of Appeal pointed out that if it were not for the 7-year sentencing cap imposed by the District Court, the punishment faced by the defendant would be much heavier than this.

According to Protos, the UK's HM Revenue and Customs (HMRC) sent over 81,000 warning letters to suspected tax-evading cryptocurrency holders in the 2025/2026 fiscal year, nearly tripling from 27,714 letters in 2024. HMRC believes that most unpaid taxes stem from capital gains during the bull market from 2022 to 2025.The letters remind users that selling, gifting, exchanging, or using cryptocurrency for consumption may trigger capital gains tax obligations, and violators could face penalties of up to 100% of the tax owed plus interest, with harsher penalties for offshore transfers. Additionally, HMRC expects to gain new powers next year to compel foreign cryptocurrency platforms to disclose user information, anticipating an additional £315 million in tax revenue by 2030.

According to Digital Asset, on August 20, members of the Korean National Power Party, including Yoon Tae-yong, proposed an amendment to the Specific Financial Information Act, which aims to grant the Financial Intelligence Unit (FIU) direct enforcement authority over unreported virtual asset service providers.According to the amendment, anyone can report illegal activities to the FIU. Upon receiving a report or discovering suspected violations, the FIU can initiate investigations and analyses, and refer the case to or notify investigative authorities. The proposal points out that while current laws impose reporting and anti-money laundering obligations on virtual asset service providers, there are no direct enforcement measures against unreported operators, posing risks of money laundering and illegal cross-border transfers, making it difficult to respond quickly relying solely on inter-agency coordination.

The Hungarian Parliament passed Bill XXXVIII of 2026, which abolishes legal provisions related to cryptocurrency asset conversion services, including the verification requirements that European exchanges must pass to operate legally in Hungary. The bill was voted on and passed on July 31 and came into effect on August 7.This abolition simultaneously cancels two charges related to cryptocurrency assets: unauthorized trading of high-value cryptocurrency assets can result in a maximum of 5 years in prison, and violating verification obligations when providing cryptocurrency exchange services can result in a maximum of 8 years in prison. The relevant provisions were criticized for overlapping with the EU MiCA framework.

Bitcoin News posted on platform X that the IRS has reminded cryptocurrency holders that they may recently receive fake official letters mailed by scammers, directing recipients to visit a fraudulent "Digital Asset Compliance Portal."The letter contains a QR code, which, when scanned, redirects to a fake IRS website that may request personal information, wallet information, exchange account credentials, or other sensitive data.The IRS stated that it does not operate a platform called "Digital Asset Compliance Portal" and has not sent out these letters. Reports indicate that Coinbase and DarkTower have traced the infrastructure behind this activity to a recently registered domain hosted in Romania. If you receive such letters, do not scan the QR code or provide any information.

According to a report by Reuters, American companies have invested a record $517 million in the congressional elections for the House and Senate in 2026 over the 15 months ending in the first quarter of 2026, surpassing the previous high of $461 million during the two-year 2024 election cycle. The cryptocurrency, technology, and online betting industries contributed at least $294 million, becoming a major force in shaping the midterm elections.The Fairshake super PAC, primarily funded by Coinbase, Ripple, and a16z, had $193 million in funding at the beginning of the year and currently has about $130 million remaining; a16z has donated over $81 million to cryptocurrency and AI-related PACs. Elon Musk has invested over $90 million, and Meta has donated $65 million to four super PACs. The AI-related organization Leading the Future has raised $140 million, and Anthropic has donated at least $40 million through dark money non-profit organizations. Online betting companies like DraftKings and FanDuel have donated over $72 million.AdImpact expects total political ad spending for this round of midterm elections to reach a record $11.6 billion. Related industries are making unlimited expenditures through super PACs, affiliated PACs, and dark money non-profit organizations for advertising, voter mobilization, and more, with critics arguing that this amplifies the influence of niche issues such as cryptocurrency regulation, data center energy, and betting regulation.

Liquid Capital (formerly LD Capital) founder Yi Lihua stated in a post that he has previously emphasized that July to August may be the last window for bottom fishing. From the historical decline patterns of Bitcoin, after experiencing a third phase of decline following the end of the last rebound, BTC's strong rebound breaking through $68,000 may indicate that the crypto market's decline cycle has ended.Investors should not attempt to bottom fish at a specific price point, nor should they try to short in the bottom range. He believes that the next two things worth paying attention to are: how to operate in the new round of rising cycle to maximize profits, and participating in development opportunities in the AI field at other times.

According to The Block, Securitize President Brett Redfearn stated that the U.S. Securities and Exchange Commission withdrew the crypto innovation exemption rule last Friday due to concerns about the voting progress of the Clarity Act.Redfearn expects that the rule will be introduced after the Senate votes on September 15, possibly in early October.

On August 19, 2026, the U.S. Commodity Futures Trading Commission (CFTC) issued a request for comments to better understand and regulate the compute derivatives market. CFTC Chairman Michael S. Selig stated that for the U.S. to win the AI race, a robust compute derivatives market is needed, just as the U.S. market once established standards for commodity trading required by the industrial economy, it will also establish corresponding markets for core commodities of the intelligent economy. This request for comments is the first step in establishing clear rules for the U.S. computing market.The request for comments focuses on the scale, liquidity, and other considerations of the compute spot market, as well as issues related to market regulation and manipulation risks, customer protection, perpetual compute futures, and welcomes opinions on all aspects of the compute market. The comment period is 60 days from the publication in the Federal Register.

At the 2026 Wyoming Blockchain Conference, Global Settlement Network CEO Ryan Kirkley warned that AI agents could allow hackers to invade Wi-Fi networks, passwords, and wallets on an unprecedented scale, making current billion-dollar crypto attacks seem trivial. Kirkley stated, "We thought these bridge attacks were serious, but they are actually just pocket change." In the past, attacking someone with $20,000 in assets was too costly, but now an agent can attack everyone simultaneously.Bill Laboon, Vice President of Technical Operations at the Web3 Foundation, agreed, believing that the efficiency gains brought by decentralized systems also benefit attackers. Fahmi Syed, President of the Midnight Foundation, emphasized that agents need clear parameter settings and should not be granted unrestricted access to credit card, social security information, and various accounts. Kirkley believes that setting agent permissions is relatively easy to resolve, while the security protection of the underlying systems is a greater concern.Regarding trust issues, Laboon pointed out that large language models still occasionally produce hallucinations, which makes him reluctant to entrust personal retirement funds to agents. Richard Shorten, founder of Silvermine Capital Advisors, believes that the development speed of agent AI technology has exceeded people's capacity to accept it. Kirkley also mentioned the regulatory responsibility dilemma, where the attribution of responsibility and the mechanism for recovering funds remain unclear when autonomous agents make mistakes or even break the law.

Web3 asset data platform RootData has established a strategic partnership with Korea's leading cryptocurrency research institution, Tiger Research.According to the agreement, Tiger Research will fully adopt the API data interface provided by RootData to support its various industry research reports, market insights, and project analyses with underlying data. As a comprehensive data platform, RootData possesses a vast amount of project fundamentals, financing history, team backgrounds, and popularity index metrics. This collaboration will enable Tiger Research's research team to efficiently access structured, high-reliability datasets, significantly enhancing research efficiency and data breadth, thus producing more timely and in-depth analytical results.At the same time, RootData's network of data partners has further expanded, marking the validation of its data services in professional research scenarios. Currently, RootData has accumulated over 220 data partners, becoming one of the important structured data providers in the cryptocurrency industry.

At the SALT conference held in Jackson Hole, Wyoming, CZ discussed the previously mentioned "super cycle" of Bitcoin at the Davos Forum, stating that this claim has yet to materialize. From the data, the market still follows a relatively strict four-year cycle, currently in the bear market phase; however, as the total market capitalization continues to expand, the price volatility will tend to narrow, similar to the price fluctuation patterns of large companies like Amazon and Facebook.Regarding the regulatory environment in the United States, CZ stated that this is the friendliest industry environment he has seen in his 12 years of work, and he believes that the U.S. regulatory framework has a demonstrative effect globally, with many countries' securities laws and exchange regulatory structures referencing the U.S. At the same time, Hong Kong is accelerating its legislative efforts to align with U.S. regulatory thinking. Additionally, CZ discussed the allocation situation of his investment firm YZi Labs, stating that currently about 70% of the funds are directed towards the core tracks of crypto and blockchain, about 20% towards AI, and the remaining portion towards fields like biotechnology.YZi Labs uses its own funds and is not constrained by external LP return cycles, placing more emphasis on the positive impact of projects and the execution capability of founding teams rather than purely on financial return models. Regarding Hyperliquid, CZ mentioned that there is a misunderstanding in the industry, believing that as a shareholder of Binance, he would only maintain a CEX position, but his entry into this industry was precisely because he believes in decentralization. If platforms like Hyperliquid, which do not require KYC, can enter the U.S. market in a compliant manner, it will open the doors for the entire industry, allowing more Perp DEX and decentralized services to reach users in the U.S. and globally, thus providing American consumers with better liquidity and pricing. This will not only benefit Hyperliquid itself but also international centralized trading platforms, including Binance.