Crypto news

Bitcoin fell 3.4% to below $77,000 on Sept. 10, hitting an intraday low of $76,676, as oil surged past $100 a barrel and Treasury yields climbed, with the 30-year yield reaching a 19-year high of 5.35%. Rising energy costs and inflation expectations have led rate markets to price a 76% chance of a Fed rate hike next week, triggering a sharp crypto liquidation wave. The selloff liquidated over 161,900 traders, with total forced closures near $568 million. Bitcoin now tests a support cluster between $76,000 and $82,000, with a deeper accumulation floor around $62,000-$65,000. Friday's CPI report is the next key test, but economists note it will only partially reflect oil's recent surge, as the PPI sampling period ended before the latest energy price spike.

Bitwise announced Thursday it will liquidate and close its spot Dogecoin ETF (BWOW), less than a year after it launched. The last day of trading on the NYSE is expected to be Oct. 14, with remaining shareholders receiving cash payouts on Oct. 22. The fund struggled to attract investor interest, recording only about $318,000 in net inflows last month and peaking at around $3 million in daily trading volume during its launch week. Dogecoin ETFs have accumulated roughly $300 million in trading volumes, far below other altcoin funds like Hyperliquid ($2.1 billion) and Zcash ($1.5 billion). Bitwise said the decision was made to optimize its product range. Dogecoin's price currently trades around $0.084, with a $13 billion market cap, having fallen out of the top 10 cryptocurrencies over the past year.

SlowMist has published its analysis of the September 6 exploit on the Liquid Network, revealing that a cache key collision in Blockstream's Elements software allowed an attacker to mint 3,998.5 unbacked L-BTC and drain roughly 95% of the federation's reserves, about $320 million in Bitcoin. The vulnerability stemmed from cache keys generated without length prefixes, enabling invalid proofs to bypass verification. Blockstream suspended peg operations and block production, deploying a patched version (v23.3.4) on September 10. The attacker, claiming to be a white-hat, returned about 3,400 BTC via OP_RETURN communications, retaining approximately 598.5 BTC as a self-assessed fee. The incident, the largest publicly disclosed Bitcoin sidechain hack of 2026, highlights risks in performance optimizations. SlowMist urges other projects using similar caching patterns to audit their implementations immediately.

Blockstream has refused to negotiate further with hackers who stole 4,000 bitcoins from its Liquid network, demanding the return of the remaining 598.5 coins (worth over $46 million) without paying a ransom. The company stated on X that withholding the funds is theft, not white-hat activity, and announced it will work with law enforcement and other parties to trace and recover the assets. The hackers, who exploited an inflation bug to create non-existent LBTC and cash out for real bitcoins, had returned most funds after initial talks but now demand a 10% bounty as ransom, threatening to reveal encrypted messages if unpaid. The incident follows a separate July hack where over 1,800 bitcoins were stolen from Coldcard wallet holders due to a flawed random number generator in the hardware product.

US spot Ethereum ETFs recorded their strongest monthly inflows in a year, pulling in $1.75 billion in August 2026. This snapped a rough patch that saw over $1 billion in net outflows during May and June combined. The bulk of the haul came in a nine-day streak starting around August 17, generating about $1.42 billion. BlackRock's ETHA fund dominated, accounting for roughly 72% of the streak, with a peak single-day inflow of $225.8 million on August 27. The surge was driven by institutional and traditional finance channels, aided by declining Treasury yields and an improved regulatory climate. Since July 2024, cumulative net inflows across all US spot ETH ETFs have reached approximately $12-13 billion. The inflows mirror Bitcoin ETF patterns, but the staking-enabled ETHB product adds a yield-bearing layer that Bitcoin cannot replicate.

Circle is winding down USDC support on Noble, forcing Cosmos to migrate its primary stablecoin route to Injective. The transition affects roughly $92 million in USDC and requires exchanges, protocols, wallets, and over 50 chains to update integrations. Circle will stop minting new USDC on Noble on Oct. 13, with redemptions available until Jan. 12, 2027. Cross-chain exits tighten from Oct. 31, and USDC left in pools or contracts may miss Circle's January redemption backstop. Cosmos Labs has coordinated a replacement route through Injective, where Circle already issues native USDC. Users can migrate Noble-based USDC (USDC.n) to Injective-issued USDC (USDC.inj) via Skip:Go starting Sept. 11. The migration is a test of whether Cosmos can move its stablecoin system without splintering liquidity.

Blockstream has refused to pay a ransom to hackers who still hold nearly 600 Bitcoin from the Liquid Network breach. The company called the demand 'theft' and said it will not engage in what it views as criminal activity. The hackers had asked for a 10% bounty from Blockstream's own funds, threatening a 15% loss for Liquid holders if not paid. Blockstream urged them to return the remaining Bitcoin voluntarily, warning it would otherwise cooperate with law enforcement and forensic experts to trace the assets. The incident began on Sept. 6 when self-described white-hat hackers withdrew about 4,000 BTC from Liquid's federation wallet. They returned 3,400 BTC after patches were applied, leaving around 598 BTC outstanding. Liquid resumed block production on Thursday but transactions remain suspended.

A tokenized version of DraftKings stock (DKNG) on Solana generated $39 million in trading volume within three hours of its launch. Issued by Backpack Securities and backed 1:1 by actual shares, the tokens can be redeemed or transferred to traditional brokerage accounts. This event highlights Solana's growing role as a stock exchange, with daily tokenized equity volumes surpassing $600 million and the network controlling over 95% of global on-chain equity DEX volume by mid-2026. Tokenized equities are outpacing memecoins in trading volume, driven by 24/7 trading, near-instant settlement, and regulatory compliance. Backpack Securities, which began with SpaceX shares in June 2026, has expanded to companies like GoPro and Moderna. While Solana dominates this sector, Ethereum has yet to capture meaningful tokenized equity activity, raising competitive questions for other Layer 1 blockchains.

Bitwise Asset Management is liquidating its Dogecoin ETF (BWOW) after roughly 10 months of trading, with the final trading session set for Oct. 14 on NYSE Arca. The fund, which launched Nov. 26, 2025, will stop creating new shares before the market opens Oct. 15. Remaining shareholders will receive cash based on the Oct. 21 net asset value, distributed Oct. 22, according to a Sept. 10 SEC filing. Bitwise cited a need to 'optimize its product range to meet evolving investor needs' but did not specify a reason for the closure. The fund saw limited demand, with August net inflows across all U.S. Dogecoin ETPs at just $318,000, compared with billions in volume for other crypto products. BWOW's prospectus warns of risks tied to Dogecoin's memecoin status, unlimited supply, and liquidity. The closure does not signal a retreat from crypto ETFs, as Bitwise manages about $9 billion in client assets across more than 70 offerings, including Bitcoin, Ether, Solana, and XRP products. Investors selling before Oct. 14 will receive market prices, while those holding through liquidation face a taxable event based on the Oct. 21 NAV.

Canary Capital launched the first US spot TRX ETF, ticker TRXS, on the Cboe BZX Exchange on September 9. The fund stakes over 90% of its TRX holdings, with rewards folded into its daily net asset value, allowing investors to earn yield without separate distributions. The ETF, with BitGo as custodian, charges a 1.10% annual sponsor fee, and staking fees are capped at 20% of rewards, with the rest retained for NAV growth. The launch followed an April 2025 S-1 filing and SEC discussions over staking. TRX's market cap was about $32.17 billion at debut. Tron's founder, Justin Sun, highlighted the ETF as a way for traditional institutions to gain TRX exposure without handling crypto directly. The fee is higher than many spot Bitcoin ETFs, but the staking yield may offset the cost.