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Stablecoin Volume Hits $1.5T Record Amid GENIUS Act Boost

In July, on-chain stablecoin transaction volume reached an unprecedented $1.5 trillion, surpassing June’s $1.26 trillion and the previous August 2024 peak of $1.4 trillion, according to Sentora. USDC dominated with $748 billion (50% share), followed by USDT ($420 billion) and DAI ($261 billion). The surge was fueled by Bitcoin and Ethereum’s record highs, investor profit shifts into stablecoins, and the US GENIUS Act—signed July 19—which introduced clear regulatory frameworks, reserve rules, and Federal Reserve oversight. This boosted institutional adoption, with firms like JPMorgan and Meta exploring stablecoin use cases. Stablecoin market cap now exceeds $278 billion, reflecting growing trust and adoption.

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Ethereum Celebrates 10 Years with NFT Torch Relay

Ethereum is celebrating its 10th anniversary with a unique NFT torch relay, symbolizing the community’s shared journey. The torch, passed daily until July 30, will be burned, followed by a commemorative NFT mint. Key milestones include the launch of DAI (2015), The Merge (2022), and SEC-approved Ethereum ETFs (2024). The upcoming Fusaka upgrade (2025) aims to enhance scalability, while ETH’s price nears its all-time high, potentially surpassing $4,000 soon. The NFT torch emphasizes narrative value over monetary exchange, reflecting Ethereum’s decentralized ethos.

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Coinbase Sues Oregon Over Crypto Regulation Shift

Coinbase has launched a legal challenge in Oregon, alleging state officials reversed their interpretation of over 30 digital assets as unregistered securities without public hearings or rulemaking. The lawsuit, filed in Marion County Circuit Court, names Governor Tina Kotek and Attorney General Dan Rayfield, accusing them of violating public records laws by withholding internal communications. Coinbase seeks injunctive relief to compel transparency, arguing opaque regulation undermines trust. Separately, the Czech National Bank disclosed an $18.1M investment in Coinbase shares, signaling institutional interest amid the exchange’s global expansion, including a $2.9B Deribit acquisition and MiCA licensing in Luxembourg. The case reflects broader regulatory clashes as crypto firms push for clearer frameworks.

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DAI Stablecoin: Decentralized Finance & Leveraged Positions

Stablecoins like DAI offer a solution to cryptocurrency volatility by maintaining a stable value pegged to the US dollar. Unlike centralized stablecoins such as Tether, DAI is created through a decentralized system where users lock collateral (like ETH or WBTC) to mint DAI. This collateral must be overcollateralized to ensure stability, and if its value drops too much, it gets liquidated via auction. DAI can also be used for leveraged trading—users borrow DAI against their collateral, trade it for more of the underlying asset, and profit if the asset’s price rises. MakerDAO’s transparent and decentralized approach provides an alternative to traditional stablecoins, though it involves debt and liquidation risks.

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Coinbase Adds Sky (SKY) & USDS to DeFi Offerings

Coinbase has announced the listing of Sky (SKY) and its associated stablecoin USDS, marking a significant addition to its DeFi portfolio. Formerly known as MakerDAO, Sky rebranded in August 2024 as part of its ‘Endgame’ strategy to foster growth and broader adoption. Despite the listing, SKY saw only a modest 3% price increase, while USDS remained pegged to the US dollar. Analysts suggest the rebrand aims to attract traditional finance users, though challenges in community acceptance persist. This strategic shift underscores MakerDAO’s ambition to strengthen DeFi’s resilience and accessibility.

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GMX Hacker Returns $40M, Keeps $5M Bounty

Less than 48 hours after stealing $42 million from decentralized trading platform GMX, the hacker began returning the funds, keeping a 10% bounty. The exploit, a re-entrancy attack on GMX’s V1 smart contract, allowed the hacker to artificially inflate the price of GLP, the platform’s liquidity provider token. After converting most of the stolen assets to ETH, the hacker returned $40.5 million, retaining roughly $4.5 million as a bounty. GMX confirmed its V2 protocol was unaffected, and its native token has since recovered by over 13%. The incident highlights vulnerabilities in DeFi smart contracts and the effectiveness of white hat bounties in recovering stolen funds.

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GMX Hack: $42M Stolen Crypto Converted to 11,700 ETH

On July 9, GMX, a decentralized trading platform, was exploited for $42 million in cryptocurrencies, including FRAX, wBTC, and DAI. The attacker bridged $9.6 million to Ethereum, converting it into DAI and ETH, while $32 million remained on Arbitrum. GMX confirmed the theft and paused GLP token minting/redemption to secure funds. Blockchain analytics revealed the hacker converted most assets into 11,700 ETH, distributing them across four wallets. SlowMist attributed the breach to a re-entrancy attack exploiting a design flaw in GMX V1, manipulating GLP token prices. GMX offered a $4.2 million bounty for the return of 90% of the funds, but the hacker has not responded. The incident highlights ongoing DeFi security challenges, with Q2 2025 seeing $801.3 million lost in crypto hacks.

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GMX Offers 10% Bounty After $42M DeFi Hack on Arbitrum

GMX, a decentralized exchange operating on Arbitrum, Solana, and Avalanche, lost $42 million in a smart contract exploit linked to a malicious address funded via Tornado Cash. The attacker minted and redeemed GLP tokens for high-value assets, later converting them to ETH. GMX offered a 10% bounty for the return of funds, avoiding legal action, but its token still dropped 17%. Meanwhile, Circle faced backlash for failing to promptly blacklist $30 million in USDC held by the exploiter, who later shifted funds into DAI. The incident highlights ongoing vulnerabilities in DeFi security and stablecoin oversight.

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Stablecoin Supply Hits $121B ATH as Crypto Market Waits

Despite Bitcoin’s stagnation and altcoin volatility, stablecoins are thriving, with ERC-20 stablecoin supply reaching a record $121 billion. Analysts like Darkfost note this surge reflects growing demand and liquidity, even as other crypto sectors lag. Stablecoins, pegged to fiat currencies like the US dollar (e.g., USDC, USDT, DAI), serve as a bridge between TradFi and DeFi, offering stability and utility. Circle’s successful IPO—with shares soaring 167% on debut—further validates the stablecoin model. Stablecoin dominance currently sits at 7.90%, indicating balanced market sentiment. If supply continues rising, it could signal renewed risk appetite and catalyze the next crypto bull phase.

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Shiba Inu Supply Dominated by Top Whales: 62% Held by 10 Addresses

On-chain analytics firm Santiment reports that Shiba Inu (SHIB) has 62% of its supply controlled by its top 10 whale addresses—the highest concentration among major cryptocurrencies like Ethereum (49%) and Pepe (39%). Stablecoins like USDC show lower centralization at 27%. High whale dominance raises risks of price manipulation, particularly for proof-of-stake assets. Separately, the Crypto Fear & Greed Index indicates strong greed (73/100), nearing extreme levels that historically precede market reversals. SHIB’s price remains steady at $0.0000115, up 3% weekly.

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