DPRK-linked crypto theft topped $578M in April after the Kelp DAO exploit, as attacks continue to expand across protocols, companies and end users. Kelp DAO suffered a $292 million hack on Saturday, overtaking Drift as the largest crypto exploit of the year so far. North Korea-linked hackers are suspected to be behind the attack. Kelp DAO said Monday that the exploit stemmed from a failure of cross-chain messaging protocol LayerZero’s infrastructure. LayerZero said the breach was enabled by Kelp DAO’s use of a single verifier configuration to approve cross-chain messages. LayerZero said that “preliminary indicators” attributed the exploit to TraderTraitor, a subgroup of North Korea’s state-backed hacking unit known as Lazarus Group. Read more
SEC Chair Paul Atkins says the SEC is “on the cusp” of an innovation exemption to enable compliant onchain trading of tokenized securities. US Securities and Exchange Commission Chair Paul Atkins said the agency is nearing the release of an exemption that would allow market participants to trade tokenized securities onchain within a compliant framework. Speaking at the Economic Club of Washington on Tuesday, Atkins said the SEC is close to introducing what he described as an exemption aimed at enabling limited activity in tokenized markets while the agency develops longer-term rules. “We are on the cusp of releasing what I call an ‘innovation exemption,’ which will provide market participants with a cabined framework to begin facilitating the trading of tokenized securities onchain in a compliant fashion as the Commission works toward long-term rules of the road,” he said. Read more
Bitcoin’s technical indicators predicted a significant move ahead for BTC, but the price must first break resistance at $80,000. Bitcoin (BTC) could see further upside volatility as several technical indicators suggested the BTC price was due for a “powerful“ upward move. Key takeaways: Bitcoin’s Bollinger Bands indicator now sees the potential for a massive price breakout. Read more
Coinbase legal chief Paul Grewal says the company removed New York’s prediction markets lawsuit to federal court, setting up a sharper fight over CFTC authority and state gambling laws. Coinbase’s chief legal officer, Paul Grewal, said Wednesday that the company had removed New York Attorney General Letitia James’ prediction markets lawsuit from state court to federal court, arguing that the case turns on disputed questions of federal law over how event contracts are regulated. The move escalates a legal fight that could help define whether prediction markets fall under federal commodities regulation and the scope of the US Commodities and Futures Trading Commission’s (CFTC) or state gambling laws, with broader implications for the oversight of platforms like Coinbase and Gemini. “We have removed this action to federal court,” wrote Grewal in a Wednesday X post, adding that New York’s claims raise “disputed and substantial questions of federal law” and are subject to “complete preemption.” Read more