Restaking yields come from token emissions and VC incentives, not productive activity. Complex models concentrate power among large operators, while compounding risk cascades. Opinion by: Laura Wallendal, co-founder and CEO of Acre Restaking is often heralded as the next big thing in decentralized finance (DeFi) yields, but behind the hype lies a precarious balancing act. Validators are stacking responsibilities and slashing risks, incentives are misaligned, and much of the $21 billion in total value locked (TVL) is held by a handful of whales and venture capitalists rather than the broader market. Let’s break down why restaking lacks real product-market fit and how it compounds more risk than it yields. Most importantly, we need to confront the uncomfortable questions: Who profits when the system fails, and who is left holding the risk? Read more
Decentralized social network Farcaster remains operational after its acquisition by Neynar and confirmed plans to return $180 million in capital to investors. Farcaster co-founder Dan Romero moved to quell speculation about the project’s future, saying the protocol is not shutting down following its acquisition by infrastructure provider Neynar. Farcaster is a decentralized social networking protocol that allows developers to build interoperable social apps where users own their identities, social graphs and connections onchain rather than being locked into a single platform. In a post addressing the community, Romero said Farcaster remains operational and continues to see meaningful usage, citing its 250,000 active monthly users in December and more than 100,000 funded wallets. Read more
Bitcoin's profit cycle has turned negative for the first time since 2023, suggesting that BTC is transitioning into a bear market Bitcoin’s (BTC) drop below $90,000 has pushed onchain profitability metrics into the negative territory, signaling BTC’s entry into a bear market, new research revealed. Data from TradingView showed that Bitcoin price action had established a new range on lower time frames, and market observers were watching the key support levels below. Key takeaways: Read more
The proposal would fund the reserve with unclaimed crypto and staking rewards rather than direct state Bitcoin purchases. Lawmakers in the US state of Kansas are considering a bill that would create a state-managed Bitcoin and digital assets reserve fund funded through unclaimed property rather than direct purchases of cryptocurrency. Kansas Senate Bill 352, introduced by Senator Craig Bowser on Wednesday, would establish a “Bitcoin and digital assets reserve fund” in the state treasury, administered by the state treasurer. The fund would consist of airdrops, staking rewards and interest earned on abandoned digital assets held under Kansas’ unclaimed property law. Read more
Binance applied for a MiCA license in Greece shortly after France flagged the exchange as still unlicensed under MiCA ahead of June compliance deadlines. Binance submitted an application for authorization under the European Union’s Markets in Crypto-Assets Regulation (MiCA) in Greece as regulators warn of looming compliance deadlines. A Binance spokesperson confirmed to Cointelegraph on Friday that the exchange had filed for a MiCA license in Greece and was working with the country’s financial regulator, the Hellenic Capital Market Commission (HCMC). “We welcome the opportunity to work closely with the HCMC as this new regulation takes shape in the EU and look forward to contributing to the long-term growth of the EU’s digital financial ecosystem,” the exchange’s representative said. Read more