Proponents of the digital euro say its a better alternative to cash that’s fully backed by the ECB. But critics argue it could provide the EU with too much power over its citizens. The digital euro is one of Europe’s most contentious financial projects. Supporters see it as a way to preserve the bloc’s monetary sovereignty, reduce its reliance on foreign payment providers, and ensure central bank money survives in an online economy dominated by USD stablecoins. Critics, however, argue the digital euro could be a way for a supranational organization to surveil — and in certain circumstances, even control — the population of Europe. Read more
Franklin Templeton’s digital assets lead said that the autonomous AI agent economy will increase demand for blockchain protocols hosting machine-to-machine micropayments. Artificial intelligence (AI) agents are the next “killer” use case for blockchain and cryptocurrency, according to investment management giant Franklin Templeton’s head of digital assets and innovation. Sandy Kaul said in a X post on Wednesday that the AI agent economy will increase demand for blockchain protocols hosting machine-to-machine micropayments, as legacy card networks are unsuitable for agentic payments due to high fees and settlement times. “To capture the AI growth opportunity today, most investors buy shares of AI-aligned companies and related verticals. But will the same playbook work for agentic AI,” Kaul said in the introduction to his more-than-1,800 word post. Read more
Binance set multimonth records for net BTC outflows on Tuesday, adding to an emerging trend of positive inflows to the US spot Bitcoin ETFs. Bitcoin (BTC) buyers are showing “better absorption” at $65,000 after Binance saw its largest net outflow in nearly two years. Key points: New research from onchain analytics platform CryptoQuant released on Wednesday confirms that daily BTC withdrawals from the world’s biggest exchange are outpacing inflows. Read more
A security vulnerability in the Zilliqa Ledger app is enabling attackers to reconstruct private keys using publicly available onchain data. Layer-1 blockchain network Zilliqa warned that a vulnerability in the Zilliqa Ledger app could allow attackers to recover users’ private keys using publicly available onchain data. “The vulnerability causes signatures to be generated with predictably weakened ephemeral nonces, from which an attacker can recover the signer’s private key,” Zilliqa said in a Wednesday X post. Zilliqa said protective measures are in place to prevent further losses and that a coordinated remediation plan is being finalized. Users who signed at least five native Zilliqa transactions with a Ledger device are considered compromised and are advised to await further guidance before taking any action. Read more
US prosecutors are seeking more than $25 million in cryptocurrency allegedly connected to international fraud and laundering networks. The US Department of Justice (DOJ) has filed five civil forfeiture complaints seeking more than $25 million in crypto allegedly tied to international investment, romance and recovery scams targeting victims in Canada and the United States. On Tuesday, the US Attorney’s Office for the District of Columbia and the US Secret Service’s Washington Field Office said that the assets were recovered through separate investigations by the Cyber Fraud Task Force. Investigators identified several laundering networks and confirmed thousands of victims worldwide who were misled into believing they were making legitimate digital asset investments. The action highlights the growing scale of crypto-enabled romance and investment scams, which often combine social engineering with fraudulent trading platforms and layered wallet transfers to conceal stolen funds. Read more