Weekly digest covering major news: Harmony exploited for 4B ONE tokens, Layer Global raises $1.1B, JPMorgan terminates Polymarket banking, Coinbase opens Abu Dhabi tokenization hub, and multiple regulatory developments including SEC clarity plans and Franklin Templeton fund clearance.
Security & Exploits ·
Harmony's Layer 1 network suffered an exploit that resulted in the unauthorized minting of 4 billion ONE tokens, representing 26% of the token's total supply. In a separate major development, Layer Global closed its first funding round at $1.1 billion, led by Anton Levy. JPMorgan ended its banking relationship with prediction market platform Polymarket citing regulatory concerns, while Coinbase moved to expand its geographic footprint by establishing a tokenization hub in Abu Dhabi following acquisition of an FSRA license.
Cryptocurrency markets experienced mixed fund flows during the week, with Bitcoin ETFs recording $329 million in net outflows and Ethereum ETFs seeing $3 million outflows, though Solana attracted $8.8 million in inflows. A separate trading entity sold approximately 1,690 BTC valued at $108.6 million at an average price of $64,262, trimming its holdings to 840,447 BTC. Security breaches also surfaced, including a $7.9 million theft from Coinsbuy with funds laundered through Monero, and customer data exposure incidents affecting both Trezor and SafePal hardware wallet providers.
Regulatory activity picked up with the SEC preparing to announce major cryptocurrency policy initiatives, though the Clarity Act remained stalled in legislative proceedings. Franklin Templeton obtained SEC clearance to deploy its on-chain money market fund. Wintermute disclosed plans to deploy $1 billion into high-frequency trading and artificial intelligence data centers, targeting 50% of revenue from non-crypto operations. Multiple token listings appeared across regional and global exchanges, including DOS on Binance futures and several assets on Upbit spot trading.