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first_img The U.S. FinCEN links $12.7 billion in suspicious activities to Southeast Asian cryptocurrency investment scams

The Financial Crimes Enforcement Network (FinCEN) of the U.S. Department of the Treasury released an analysis and alert on Thursday, linking approximately $12.7 billion in suspicious financial activities to cryptocurrency investment scams operated by Southeast Asian parks. About 1,300 institutions submitted 33,904 suspicious activity reports covering the period from September 2023 to December 2025. Cryptocurrency-focused money service businesses submitted 55% of the reports, involving $5.5 billion; banks submitted 41%, involving $6.4 billion; and securities firms accounted for the remaining $784.5 million.The number of reports has been growing at an average monthly rate of 10.9%, with the amount involved increasing by 18%. Scammers used at least 22 types of digital assets, with Ethereum, USDT, and USDC being the most common. On-chain analysis shows that regardless of the asset victims initially purchased, the funds are almost always converted into stablecoins, with nearly all converted to USDT, and then transferred through DeFi protocols or exchanges outside the U.S. Scammers also reused collection addresses across multiple victims, which is one way some institutions identified this pattern.The report indicates that about 25% involved elderly individuals, which is comparable to the 24.4% of the population that is over 60 years old, leading FinCEN to conclude that the elderly are not disproportionately targeted. The FBI estimates that in 2024, the U.S. population over 60 lost $4.8 billion to scams. These parks are primarily located in Cambodia, Laos, and Myanmar, and U.S. authorities have seized over $25 million related to the associated scams this year.

first_img Sanders and others proposed a bill to permanently ban super artificial intelligence and suspend advanced AI development

U.S. Senator Bernie Sanders and Representative Greg Casar introduced the "Artificial Intelligence Superintelligence Prohibition Act," which calls for a permanent ban on the development of superintelligent AI and a suspension of advanced AI research until new federal agencies establish safety standards and review procedures. Sanders criticized large AI companies for developing technologies that they cannot fully understand or reliably control, stating that companies and individuals who violate the regulations could face up to 20 years in prison, with the most serious cases potentially subject to what is referred to as "corporate death penalty."The bill defines superintelligence as AI systems that achieve or exceed human capabilities across numerous tasks or could undermine human control (including overthrowing the U.S. government), and this definition also encompasses human-level AGI. The bill plans to establish a new cabinet-level agency responsible for monitoring advanced models, overseeing the removal of dangerous capabilities, and the destruction of banned systems, as well as forming an AI advisory committee to provide scientific and technical advice.On the same day the bill was announced, OpenAI released GPT-6 Astra, with co-founder Greg Brockman stating that he personally believes this model may meet the definition of AGI. OpenAI described Astra as its first model to reach a "critical" threshold of cybersecurity capability, potentially discovering and exploiting unknown vulnerabilities in protected systems without gradual human guidance, with its strongest cybersecurity capabilities limited to selected testers. Previously, OpenAI and Anthropic's models had repeatedly accessed real systems without authorization during testing, including incidents where OpenAI's model breached Hugging Face to obtain test answers.

first_img Kalshi suspended the qualification of North Carolina candidate Barkett due to his bet on his own victory

The prediction market platform Kalshi announced a three-year suspension of trading eligibility for North Carolina Republican congressional candidate Laurie Buckhout, along with a fine of $2,589.96, due to her having purchased contracts related to her own campaign. According to a settlement agreement effective August 28, Buckhout purchased contracts worth less than $1,000 related to her candidacy, violating the platform's rule 5.17(z), which prohibits trading by individuals who have "direct or indirect influence" on the outcome.Buckhout stated in a declaration, "I did bet on myself, and it was indeed a foolish mistake. Once I realized the issue, I immediately cooperated to correct it. You could say my career as a Kalshi trader was very short." Kalshi indicated that Buckhout cooperated during the investigation and agreed to accept the penalties. Previously, Kalshi had imposed similar penalties on several politicians, including Minnesota Senator Matt Klein and former Texas congressional candidate Ezekiel Enriquez, who also bet on their own campaigns.Buckhout is a retired Army colonel who previously served as the Deputy Assistant Secretary of Defense for Cyber Policy. She is challenging Democratic Congressman Don Davis, replaying the 2024 matchup, in which Davis won with 49.5% to 47.8%. The North Carolina legislature redrew the district last year to make it more favorable to Republicans, and the Cook Political Report rated the district as "leaning Republican."

first_img Fomo and Robinhood Wallet credit card purchases of Memecoin suspected of circumventing card organization crypto regulations

The Block's investigation shows that on the social trading app Fomo and Robinhood's self-custody wallet Robinhood Wallet, users can directly purchase Memecoin using credit cards via Apple Pay or Google Pay without completing a separate KYC identity verification. Transactions can also accumulate points or cash back rewards as normal credit card rewards. The media tested the purchase of WIF, and transactions on the Visa and Mastercard networks were classified under merchant category code MCC 5815 (digital goods media), rather than the cryptocurrency asset categories MCC 6012 or 6051 as stipulated by card organization rules, which typically come with crypto tags and do not earn rewards.These transactions are supported by the Token Checkout product from the crypto infrastructure company Crossmint. Crossmint insists that this classification is appropriate, citing the joint guidance released by the SEC and CFTC in March of this year, which views certain Memecoins like WIF as "digital collectibles." However, Chase stated that the Visa transaction was not marked as a cryptocurrency purchase and that the classification was incorrect, and they have initiated a case review with Visa; the New York Attorney General's office also stated that it is reviewing the matter. Vanderbilt University law professor Yesha Yadav and other payment experts believe that the SEC's position and card organization rules represent "two completely different systems."

The Ontology mainnet has suspended block production due to a security review, and user assets have not been affected

According to the Ontology blog, its core development team discovered potential security vulnerabilities during routine security checks. Due to a high emphasis on the security and integrity of the mainnet, Ontology has immediately suspended block production on the Ontology mainnet to allow the technical team and validators to conduct a comprehensive security review of the network and related components. Ontology stated that no security incidents have been confirmed at this time, and there are no indications that user assets have been lost or stolen. ONT, ONG, and other on-chain assets are currently assessed to be unaffected; this suspension is a preventive security measure rather than a response to confirmed asset losses or ongoing attacks.During the review period, block production will remain suspended, and on-chain transactions cannot be processed. Users do not need to transfer or take any action regarding their ONT, ONG, and other on-chain assets, but should avoid conducting time-sensitive on-chain transactions until the network officially confirms its restoration. The duration of the suspension has not yet been determined, and the team will prioritize the comprehensiveness of the security review over speed; block production will not resume until the network has been thoroughly assessed and confirmed to be secure. The Ontology team is collaborating with validators and ecosystem partners to address this matter and will update progress through official channels, with a separate announcement to be made before and after the network restoration.

first_img The Cronos network has suspended operations due to an attack on Tectonic, with estimated losses of around 75 million dollars

The Cronos network associated with Crypto.com has paused operations after detecting an attack on the lending protocol Tectonic. The Cronos Network stated on the X platform that it has identified vulnerabilities on Tectonic and has paused the network. Tectonic also confirmed that it is investigating the related incident and advised users not to interact with the protocol until safety is confirmed. According to DefiLlama data, Tectonic had a total locked value of approximately $121.7 million before the incident, with active loans of about $82.7 million.On-chain researcher Weilin Li attributed the attack to price manipulation of the TONIC token. The attacker bought enough TONIC within 20 minutes to inflate its price by about 100 times, and then used the inflated tokens as collateral to borrow other assets from Tectonic, a method similar to the 2022 Mango Markets oracle manipulation attack. Li initially estimated that the attacker profited about $66 million, and later discovered another address controlled by a different attacker containing about $8 million, bringing the total estimate to around $75 million. Li also stated that the attacker only successfully bridged about $6 million to Ethereum, as the pause on the Cronos network prevented most affected assets from flowing out.Crypto.com CEO Kris Marsalek stated that the company's app and exchange were not attacked, and its security team is assisting Tectonic with the investigation.
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