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Asia Market Open: Bitcoin Holds Near $92k, Equities Slip On Fresh Economic Signals

4 December 2025 at 22:42

Bitcoin held just under $92,000 on Friday as traders weighed a heavy mix of labour data, central bank bets and choppy equity markets in Asia, Europe and the US.

Akshat Siddhant, lead quant analyst at Mudrex, said the crypto market continues to display strong resilience.

“Renewed whale accumulation is supporting the trend, as ETH whales have added over 450,000 ETH since mid-November, with BTC whales showing similar activity.”

“Even with the US labour market displaying solid strength, the odds for a rate cut this month stand at 93%, contributing to the buying pressure. A clear move above $96,000 could accelerate BTC’s momentum toward $100,000, opening the path for fresh highs,” he added.

Market snapshot

  • Bitcoin: $92,387, down 1.2%
  • Ether: $3,174, down 1.1%
  • XRP: $2.09, down 4.6%
  • Total crypto market cap: $3.22 trillion, down 1.3%

Japan’s Weak Spending Figures Drag Regional Equities Lower

In Asia, Japan’s Nikkei 225 fell about 1.5%, wiping out this week’s gains in a session that otherwise stayed subdued. MSCI’s broad index of Asia Pacific shares outside Japan slipped roughly 0.1%, although it remained on track for a modest gain of about 0.5% for the week.

Fresh data from Tokyo showed household spending in Japan fell at the fastest pace in nearly two years in October as inflation squeezed budgets. The yield on 10-year Japanese government bonds touched 1.94% early in the session, the highest since mid-2007, and was set for a rise of about 13.5 basis points for the week.

Recent auctions drew solid demand, suggesting investors are taking advantage of cheaper bond prices.

Chinese markets painted a mixed picture. The Shanghai Composite hovered near 3,875, down 0.02%, while the SZSE Component in Shenzhen added about 0.17%.

The China A50 index slipped 0.17%, DJ Shanghai edged up 0.12% and Hong Kong’s Hang Seng lost about 0.40%.

Europe Finds Support While US Traders Weigh Conflicting Data

Across Europe, futures pointed to a slightly firmer tone. DAX futures traded near 23,880, up about 0.79%, FTSE 100 futures gained 0.19%, CAC 40 futures rose 0.43% and Euro Stoxx 50 futures added roughly 0.41%.

US stock futures were mixed after Wall Street cash indices finished Thursday close to flat. Dow futures hovered around 47,850, down 0.07%, while S&P 500 futures inched up 0.11% and Nasdaq futures rose 0.22%.

Traders continued to chew over a series of US data releases. A Labor Department report showed initial jobless claims dropped to their lowest level in more than three years, although analysts said the Thanksgiving holiday may have distorted the figures.

A separate estimate from the Chicago Fed suggested the unemployment rate held near 4.4% in November.

Factory Orders Lag Forecasts As Traders Brace For Key Fed Decision

A delayed report from the Commerce Department showed factory orders rose 0.2%, missing expectations for a 0.5% increase, after an upward move in August was revised down to 1.3% as tariffs weighed on manufacturers.

The closely watched non-farm payrolls report will not arrive on Friday, with the November figures scheduled for after the Federal Reserve’s December meeting because of an extended government shutdown. Investors have turned to secondary indicators, even as the backlog of official data clears only slowly.

Fed funds futures now imply nearly a 90% chance of a 25-basis point rate cut next Wednesday, up sharply from pricing a month ago, and analysts describe the gathering as one of the most finely balanced meetings in years, with several policymakers having spoken publicly against further easing.

The post Asia Market Open: Bitcoin Holds Near $92k, Equities Slip On Fresh Economic Signals appeared first on Cryptonews.

Asia Market Open: Bitcoin Steadies Around $93K, Stocks Drift After Weak US Prints Reinforce Fed Cut Outlook

3 December 2025 at 22:29

Bitcoin held near $93,000 in Asian trading on Thursday, while regional stocks made a lacklustre start as soft US data reinforced expectations that the Federal Reserve will cut interest rates next week.

Nic Puckrin, investment analyst and co-founder of The Coin Bureau, said Bitcoin has staged a “remarkable recovery” over the past day as a “perfect storm of good news” swung momentum back toward the bulls.

He pointed to Vanguard lifting its long-standing ban on Bitcoin ETFs, Bank of America recommending a 1% to 4% crypto allocation that could channel as much as $700b into the asset class, and growing confidence that crypto-friendly Kevin Hassett will become the next Fed chair.

🏛 Kevin Hassett, director of the National Economic Council, has emerged as Trump’s top Fed chair contender, putting a crypto-linked ally within reach of leading the central bank.#KevinHassett #FedChair https://t.co/Oa59lRry11

— Cryptonews.com (@cryptonews) November 26, 2025

“With a rate cut on December 10th largely priced in, all eyes are now on 2026 monetary policy expectations, and so Hassett would be a welcome appointment for markets,” Puckrin said.

Market snapshot

  • Bitcoin: $93,609, up 0.9%
  • Ether: $3,215, up 5.9%
  • XRP: $2.20, up 0.7%
  • Total crypto market cap: $3.27 trillion, up 1.8%

Bitcoin Eyes Breakout As Traders Track Key US Jobless Data

Akshat Siddhant, lead quant analyst at Mudrex, said a decisive breakout above current levels could clear the path to the $103,000 supply zone.

He added that traders are watching US weekly jobless claims later on Thursday, which could help support Bitcoin’s upward trajectory if they reinforce the case for easier policy.

Across equities, Asia traded mixed. Japan’s Nikkei 225 rose about 0.8%, while MSCI’s broad index of Asia Pacific shares outside Japan slipped around 0.1%, weighed by declines in Korea and New Zealand.

Mainland China benchmarks were little changed to slightly higher and Hong Kong’s Hang Seng index inched up, underscoring a cautious tone.

Rate Cut Probability Climbs As US Data Softens

US index futures were steady after Wednesday’s gains, with contracts on the Dow Jones Industrial Average, S&P 500 and Nasdaq all modestly higher. European futures were flat to slightly weaker, with DAX and FTSE 100 edging down and CAC 40 a touch stronger.

Overnight on Wall Street, small caps led the advance. The Russell 2000 jumped about 1.9% and the S&P 500 notched a second straight rise after US private payrolls posted their biggest drop in more than two and a half years.

An Institute for Supply Management survey showed services employment contracting in November and the prices paid subindex falling to a seven-month low, even as overall services activity held near 52.6.

The run of softer numbers has strengthened the case for a near-term cut. Fed funds futures now imply roughly an 89% chance of a 25-basis-point reduction at the meeting next week, up from about 83% a week earlier, according to CME’s FedWatch tool.

Greenback Hits Five-Week Low, Investors Track Signals On Future Fed Moves

The dollar index slipped around 0.4% to 98.878, touching a five-week low and extending its losing streak to a ninth session. The yield on the 10-year US Treasury was steady near 4.07% after a Financial Times report said bond investors have expressed concern to the Treasury that Hassett could push for aggressive rate cuts aligned with President Donald Trump’s preferences.

Investors are also dealing with a backlog of US data after a record 43-day government shutdown earlier in the year disrupted the flow of official releases.

As delayed reports filter out, traders are placing more weight than usual on private sector surveys and high frequency indicators to gauge the Fed’s path.

The next major macro test comes on Friday with the release of the personal consumption expenditures index, the Fed’s preferred inflation gauge.

Until then, markets are trading on the assumption that a December cut is virtually locked in and that 2025 and 2026 policy will hinge on how quickly growth and employment cool from here.

The post Asia Market Open: Bitcoin Steadies Around $93K, Stocks Drift After Weak US Prints Reinforce Fed Cut Outlook appeared first on Cryptonews.

DOJ Seizes Burma Crypto Scam Domain After Victims Lost Millions in Fake Trading Scheme

3 December 2025 at 14:01

The U.S. Department of Justice (DOJ) has taken down a web domain linked to a major crypto investment scam operating out of Burma, targeting people in the United States.

The site, tickmilleas(dot)com, was allegedly run by operators inside the Tai Chang scam compound, also known as Casino Kosai, in the village of Kyaukhat.

Investigators say the website pretended to be a legitimate trading platform but instead pulled victims into a coordinated and highly deceptive crypto scheme.

Federal Agencies Remove Thousands of Accounts, Apps in Crackdown on Tai Chang Scam Network

An affidavit supporting the seizure links the Tai Chang compound to the Democratic Karen Benevolent Army and the Trans Asia International Holding Group Thailand Company Limited.

Justice Department Announces Seizure of Tai Chang Scam Compound Domain Used in Cryptocurrency Investment Fraud https://t.co/VcpnUrjpyb

— Criminal Division (@DOJCrimDiv) December 3, 2025

The department said both groups were sanctioned last year for ties to Chinese organized crime and their involvement in setting up scam centers across Southeast Asia.

The domain seizure follows the recent launch of the District of Columbia’s Scam Center Strike Force and the takedown of two other domains tied to the same operation.

Victims told the FBI that the tickmilleas(dot)com platform showed fake profits, staged deposits, and other fabricated data meant to make it look like their trades were performing well.

Scammers reportedly walked victims through these fake trades to build trust, even though the entire system was controlled behind the scenes.

Although the domain was only registered in early November 2025, investigators have already identified several victims who lost money within weeks.

The DOJ has since replaced the site with a notice telling visitors the domain has been seized.

Source: Tickmilleas.com

The affidavit also says the domain directed people to download scam mobile apps from Google Play and the Apple App Store.

After receiving warnings from the FBI, both companies removed several apps linked to the operation.

Meta also took down more than 2,000 connected accounts after receiving information about the Tai Chang network.

Federal officials say these actions reflect growing concern about crypto-related investment scams, which remain one of the most damaging categories of online crime in the United States.

In 2024, the FBI’s Internet Crime Complaint Center recorded more than 41,000 complaints tied to crypto investment fraud, totaling an estimated $5.8 billion in losses.

DOJ Intensifies Crypto Crime Crackdown With New Charges, Seizures, and Sanctions

The action comes during a period of intense federal activity against crypto-related crime.

On November 20, prosecutors unsealed charges against former Olympic snowboarder Ryan Wedding, accusing him of running a Tether-based laundering network for drug money and allegedly ordering the murder of a federal witness in Colombia earlier this year.

🏂 Former Olympic snowboarder Ryan Wedding is facing criminal charges in an international crypto-related scheme.#RyanWedding #DOJhttps://t.co/SIbcmvuL4j

— Cryptonews.com (@cryptonews) November 21, 2025

A few days earlier, on November 14, the DOJ announced the sentencing of Travis Ford, the CEO of Wolf Capital Crypto Trading, who received a five-year prison sentence for running a $9.4 million investment scam advertised as offering daily returns of up to two percent.

Federal investigators also moved to seize more than $15 million in USDT connected to North Korea’s APT38 hacking unit, which they say carried out several major crypto exchange breaches in 2023.

👮 The US DOJ is seeking to seize over $15 million in USDT tied to North Korean state-backed hacking unit APT38.#NorthKorea #Cryptohttps://t.co/LdPBVFKOhG

— Cryptonews.com (@cryptonews) November 16, 2025

The FBI seized the funds in March 2025 and is now asking a court for permission to return the assets to the victims.

In a separate case, prosecutors secured guilty pleas from five people accused of helping North Korean IT workers secretly obtain jobs in U.S. companies.

Other recent enforcement steps include a civil forfeiture case tied to $584,741 in USDT linked to an Iranian national accused of supporting the Islamic Revolutionary Guard Corps’ drone program.

Additionally, in September, the DOJ sanctioned 19 entities in Myanmar and Cambodia for running forced-labor scam compounds used to operate large-scale crypto fraud networks.

The post DOJ Seizes Burma Crypto Scam Domain After Victims Lost Millions in Fake Trading Scheme appeared first on Cryptonews.

Asia Market Open: Bitcoin Rebounds to $92K as Stocks Steady After Market Jitters Ease

2 December 2025 at 23:19

Bitcoin rose toward $92,000 at the Asia open on Wednesday, while regional stocks steadied after a short, sharp wave of selling in global bonds and cryptocurrencies earlier in the week.

The world’s largest cryptocurrency reclaimed the $90,000 handle in early trading, while futures on the Nasdaq and S&P 500 edged about 0.1% higher, signalling a calmer session ahead after Wall Street’s overnight rebound.

Across equities, MSCI’s broad index of Asia Pacific shares outside Japan gained around 0.3%, and Japan’s Nikkei 225 advanced 0.8%, recovering some of Monday’s losses.

For many crypto-focused traders, the return of risk appetite in equities added a supportive backdrop for Bitcoin’s bounce.

Market snapshot

  • Bitcoin: $92,851, up 6.6%
  • Ether: $3,040, up 8.3%
  • XRP: $2.18, up 7.6%
  • Total crypto market cap: $3.22 trillion, up 6.5%

Akshat Siddant, lead quant analyst at Mudrex, said Bitcoin is seeing a strong V-shaped rebound as momentum returns. He noted that sentiment improved after the Fed ended quantitative tightening and injected $13.5b through overnight funding,” which lifted liquidity in short-term markets.

US institutions have increased their use of repo facilities, adding support for risk assets. Siddant also pointed to Bitcoin exchange reserves falling to “multiyear lows of 2.19M BTC,” a trend that has strengthened buying pressure.

🤑 Bitcoin has bounced back to $91.1K, and Ethereum just lifted above $3K. This has flipped the crowd narrative once again.

📊 Using social media discussion data, bars where the respective color is higher means:

🟦 Crowd is extra fearful, signaling a likely market rise
🟥 Crowd… pic.twitter.com/IccBD9MgvE

— Santiment (@santimentfeed) December 2, 2025

With Bitcoin trading near $93,000, he said the next major resistance sits around $96,000, while support has formed near $87,800.

Early Week Turmoil From Bond And Crypto Selling Gives Way To Calmer Trading

The improvement follows an “ugly” start to the week, when expectations of a looming rate hike in Japan triggered a global bond selloff and amplified a slide in cryptocurrencies, sending investors rushing out of risk assets.

Moves in Japanese government bonds were more subdued on Wednesday, although yields stayed under pressure as markets continued to price in a Bank of Japan tightening later this month.

With no major new data in Asia, attention shifted back to the Federal Reserve and a widely expected rate cut next week.

December Strength And Fed Cut Hopes Lift Sentiment After Japan Shock

December has often been a favourable month for stocks, and the prospect of easier US policy has helped sentiment after the earlier shock from Japan.

Recent US numbers have pointed to a gradually cooling economy, while Fed officials had urged caution on cutting too quickly, warning that inflation pressures could return.

Even so, remarks from several policymakers in recent days have reinforced expectations for a cut at the December meeting, and traders now see an 89.2% chance of a 25-basis-point move, up from about 63% a month ago, according to CME’s FedWatch Tool.

US stocks finished higher on Tuesday, logging a sixth gain in seven sessions in relatively muted trade, driven by technology shares as rate cut hopes stayed elevated. Earlier in the week, equities sold off on softer manufacturing data, a jump in Treasury yields as Japanese bond yields surged, and a drop in Bitcoin and crypto-related stocks.

The next key macro test comes on Friday, when the Personal Consumption Expenditures Index, the Fed’s preferred inflation gauge, is due. That print could help cement expectations for the central bank’s decision next week.

Markets Monitor Potential Successor To Powell As Trump Prepares A Decision

Markets are also watching who may succeed Fed Chair Jerome Powell when his term ends next year, with reports pointing to White House economic adviser Kevin Hassett as a leading contender. President Donald Trump said on Tuesday he would announce his choice early next year.

Crypto traders remain cautious despite Bitcoin’s recovery. Samer Hasn, market analyst at XS.com, said Bitcoin’s recent stabilization is masking deeper fragility beneath the surface.

“According to current market dynamics, whales continue to offload holdings, leverage reset remains incomplete, and no convincing signs of a bottom have emerged. The backdrop has also been clouded by the Bank of Japan’s tightening shock and rising concerns around Strategy’s balance-sheet risks, keeping downside pressure firmly in play,” he added.

The post Asia Market Open: Bitcoin Rebounds to $92K as Stocks Steady After Market Jitters Ease appeared first on Cryptonews.

Asia Market Open: Bitcoin Stuck at $86k as Bond Selloff and Japan Rate Hike Concerns Weigh on Markets

2 December 2025 at 00:00

Bitcoin traded around $86,000 at the Asia open on Tuesday, as a sharp slide in cryptocurrencies and a global bond selloff kept traders defensive and capped gains in regional stocks.

The world’s largest cryptocurrency remains a key barometer of risk appetite, and sentiment turned fragile after it slumped more than 5% on Monday, briefly slipping below $85,000. It last changed hands near $86,400 in Asia, leaving it roughly 30% below its October peak.

Bitcoin saw the biggest wipeout over the past 24 hours, with about $251.69M getting liquidated. Ethereum followed with roughly $111.31M in liquidations, while other majors like SOL and ZEC saw smaller amounts at $19.22M and $14.99M, according to CoinGlass.

Market snapshot

  • Bitcoin: $86,991, up 1.4%
  • Ether: $2,805, down 0.5%
  • XRP: $2.02, down 0.8%
  • Total crypto market cap: $3.03 trillion, up 0.8%

Bond Market Stress Builds As BOJ Signals End To Ultra Loose Policy

Equity markets in the region tried to stabilize, although investors stayed cautious. MSCI’s broad index of Asia Pacific shares outside Japan rose about 0.6%, while Tokyo’s Nikkei 225 edged 0.5% higher after a sharp drop in the previous session.

Behind the nerves sits a week-long selloff in Japanese government bonds, which gathered pace after Bank of Japan governor Kazuo Ueda laid the groundwork for an interest rate increase later this month.

Traders increasingly expect the BOJ to move away from its ultra-loose stance, a shift that could ripple through global funding markets.

10-year Japanese government bond yields ticked up another 1.5 basis points in morning trade to around 1.88%, the highest level in 17 years, ahead of a key 10-year auction. On Monday, they had already jumped 6 basis points, while the move spilled into overseas markets and pushed 10 year US-Treasury yields up to about 4.08%.

In credit markets, investors kept a close eye on Chinese developer China Vanke, which recently surprised markets by seeking a delay on a local bond repayment. The company has now asked holders to wait a year to be made whole, a move that underscores ongoing liquidity strains in the country’s property sector.

Markets Price In December Fed Cut As Economic Data Softens

In the US, futures on the S&P 500 were little changed after the index fell 0.5% on Monday and the Nasdaq 100 slipped 0.4%.

Data from the Institute for Supply Management showed US manufacturing contracted for a ninth straight month in November, with the headline index easing to 48.2 from 48.7, and components such as new orders, employment and backlogs all weakening.

⚠BREAKING:

*U.S. NOVEMBER ISM MANUFACTURING PMI SURVEY FALLS TO 48.2; EST. 49.0; PREV. 48.7

🇺🇸 pic.twitter.com/ex7Uo9SoLq

— Investing.com (@Investingcom) December 1, 2025

The softer tone in the data has reinforced bets that the Federal Reserve is nearing a turn in policy. Interest rate futures now imply about an 86% chance of a 25 basis point cut at the Fed’s Dec. 9 to 10 meeting, helped by signs of cooling activity and a gradual easing in inflation pressures.

Fed officials will receive one more reading on their preferred inflation gauge before that decision, with Friday’s report expected to show that price pressures remain present but contained. Even so, many analysts see the labour market as the key factor that will shape the pace of cuts next year.

Risk Aversion Rises As Bitcoin Drop Spills Into Crypto-Exposed Equities

Crypto-exposed stocks felt the impact of Bitcoin’s slide as risk aversion picked up. Shares of MicroStrategy, the largest corporate holder of Bitcoin, fell sharply, while Coinbase and Robinhood dropped by around mid-single digits. Bitcoin miners such as Marathon Digital and Riot Platforms slid between about 7% and 9% as lower prices squeezed margins.

On-chain data added another layer of concern for crypto traders. Analysts at Bitfinex said recent losses in Bitcoin have triggered a wave of realised losses bigger than those seen at the two major lows earlier in the current cycle, in Aug. 2024 and April 2025, describing a market under stress and searching for liquidity as weaker holders capitulate.

They noted that such heavy loss realization has often occurred near the later stages of corrective phases, when selling pressure exhausts itself and conditions stabilize.

The post Asia Market Open: Bitcoin Stuck at $86k as Bond Selloff and Japan Rate Hike Concerns Weigh on Markets appeared first on Cryptonews.

Asia Market Open: Bitcoin Pulls Back Under $86K, Stocks Find Support In Fed Expectations

30 November 2025 at 23:17

Bitcoin tumbled below $86,000 in Asian trading on Monday, even as regional stocks opened the final month of 2025 on a steadier footing, buoyed by growing optimism that the US is close to its next interest rate cut.

After hovering near $91,000 at the end of November, Bitcoin had been slipping lower in small steps, a sign of fatigue rather than capitulation.

That changed when a wave of selling punched through several intraday support levels and drove prices toward the $86,900 area, with a sharp spike in sell volume pointing to forced liquidations or large stop orders getting triggered.

Market snapshot

  • Bitcoin: $86,053, down 5.4%
  • Ether: $2,819, down 6.1%
  • XRP: $2.04, down 7.5%
  • Total crypto market cap: $3.01 trillion, down 4.9%

Japanese bonds puking on renewed expectations of rate hike: Sends 2Yr JGB yield above 1% for the first time since 2008, and Nikkei tumbles. And since Bitcoin always correlates with anything that's down, we have a 4% dump in Bitcoin in Asian trading. pic.twitter.com/dL0Uc4bYD2

— zerohedge (@zerohedge) December 1, 2025

Liquidations Surge As Over $600M In Leveraged Crypto Bets Are Wiped Out

Coinglass data shows a major wipeout in the past 24 hours, with about $608m in crypto liquidations.

Longs took the hit, accounting for more than $535m, while shorts saw only about $73m. Bitcoin and Ethereum led the move, with roughly $185m and $154m cleared out.

For highly leveraged traders, the move felt less like a tidy pullback and more like a trapdoor that reset positioning going into December.

Equity markets looked calmer. MSCI’s broad index of Asia Pacific shares outside Japan was little changed, but is still up 23.5% so far this year and on track for its strongest annual gain since 2017.

Japan’s Nikkei slipped about 1.3% in early trade, while Hong Kong’s Hang Seng rose more than 1%, helping offset softer US equity futures.

A rally in metal stocks helped Chinese shares start the month on a slightly brighter note, even as the latest factory data showed activity remained in contraction in November.

Fed In Focus As Markets Await Powell’s Comments On December Policy

Investors stayed wary of the country’s property sector after China Vanke reportedly failed to secure a short term bank loan, keeping credit worries in the background.

The broader tone across global markets is being set in Washington. Investors are positioning ahead of a heavy run of US data this week that will cover manufacturing and services, as well as consumer confidence and early readings on holiday spending from Black Friday and Cyber Monday.

Attention is also fixed on the Federal Reserve. Traders are looking to remarks from Chair Jerome Powell later in the day for clues on the policy meeting in mid-December, with recent dovish comments from officials helping cement the view that another cut is likely. Pricing in futures markets now implies an 87% chance of a move this month.

Upcoming Numbers Could Determine Whether Rate Cuts Continue Into 2026

The week’s releases will arrive against an unusual backdrop. A record 43-day government shutdown earlier this year delayed key reports, leaving policymakers to work with data that, in some cases, is already outdated. That has nudged markets to rely more heavily on speeches from regional Fed presidents and governors for guidance.

Recent comments from San Francisco Fed President Mary Daly and Governor Christopher Waller have reinforced expectations for continued easing, while New York Fed President John Williams has said he sees room for another reduction in the near term as labour conditions soften.

For the Fed, the upcoming batch of numbers will help shape the debate over whether to extend the rate cutting cycle into 2026 as inflation cools and consumer demand gradually slows.

For crypto traders, the same data will guide whether Monday’s Bitcoin flush is a brief positioning shakeout or the start of a deeper reset after a powerful year long rally.

The post Asia Market Open: Bitcoin Pulls Back Under $86K, Stocks Find Support In Fed Expectations appeared first on Cryptonews.

Asia Market Open: Bitcoin Holds Near $90K, Regional Stocks Lose Momentum Despite Fed Cut Expectations

27 November 2025 at 21:21

Bitcoin hovered around the $90k mark in Asian trading on Friday, while regional stocks struggled for direction as investors weighed a powerful global rebound against signs that the rally may be running out of steam.

The largest cryptocurrency traded in a tight band between about $90,600 and $91,400 after touching roughly $91,800 in the past 24 hours.

A global equity gauge was little changed, yet still on track for its best week since June as traders leaned into the idea that the Federal Reserve is finally ready to start cutting interest rates.

Market snapshot

  • Bitcoin: $90,868, down 0.2%
  • Ether: $3,001, down 1.6%
  • XRP: $2.17, down 2.2%
  • Total crypto market cap: $3.18 trillion, down 0.9%

China Remains In Focus After JPMorgan Turns Overweight On The Market

Asian equities opened mixed. Indexes in South Korea and Japan slipped at the open, while Australia edged higher in thin, holiday-affected trading after the US Thanksgiving break.

Chinese shares stayed in focus after JPMorgan lifted its view on the market to overweight, arguing that the potential upside next year now outweighs the risk of further losses, even as stress at developers such as China Vanke kept property names under pressure.

JPMorgan has raised its recommendation for China’s stocks to “overweight,” stating that the prospect of large gains next year now outweighs the risk of significant losses https://t.co/a9n8bgCenA

— Bloomberg (@business) November 27, 2025

Across assets, the week’s tone has been driven by Fed expectations. Futures markets are now pricing in roughly an 80% to 85% chance of a quarter-point cut next month and are leaning toward three reductions by the end of 2026.

That shift has helped global stocks recover most of their November losses, which had been driven by worries that richly valued AI names were flashing bubble warnings.

In bonds, a sharp rally in Treasuries has cooled. The 10-year yield held around 4% after stronger-than-expected US labour market data interrupted the slide.

Jobs Data And Fed Signals Strengthen Case For A December Cut

Yields had been falling since late last week after delayed September jobs figures painted a mixed picture, then dropped further when New York Fed President John Williams said he saw room for a rate cut in the near term as the labour market softened.

Trading volumes have been thinner than usual. A holiday-shortened week and the earlier 43-day US government shutdown, which left official data releases badly delayed, have pushed investors to lean more on Fed speakers for guidance.

Recent comments from officials including San Francisco Fed President Mary Daly and Governor Christopher Waller have reinforced expectations for a December move.

ETF Flows Slow But Stay Positive With BlackRock Still Dominant

On the crypto side, US spot Bitcoin ETFs continued to pull in money, although at a slower pace than during the early-year surge.

Data from SoSoValue showed daily total net inflows of about $21.m on Nov. 26, bringing cumulative net inflows to roughly $57.6b. Total trading value for the day reached about $4.6b, with net assets across the ETF complex at around $117.7b, equal to about 6.6% of Bitcoin’s market value.

Flows again centred on BlackRock’s iShares Bitcoin Trust, or IBIT, which saw roughly $42.8m in net inflows for the day and now holds about $69.9b in assets. Fidelity’s FBTC posted an outflow of about $33.3m, while Grayscale’s converted GBTC vehicle recorded a modest $5.6m inflow but still shows cumulative net outflows of about $25b since spot ETFs launched.

Smaller products from Bitwise, Ark 21Shares, VanEck and others were broadly flat on the day, with only single digit millions of fresh money moving in.

Those numbers show the significant shift in structural demand toward regulated vehicles. IBIT alone accounts for roughly 3.9% of the Bitcoin market, according to the SoSoValue dashboard, while the broader ETF suite now represents a meaningful slice of circulating supply.

For traders in Asia waking up to a slightly softer crypto board and wobbling local equities, the combination of heavy ETF ownership and rising Fed cut odds is likely to set the tone into the year-end, even if price action in both Bitcoin and stocks looks more cautious after an explosive week.

The post Asia Market Open: Bitcoin Holds Near $90K, Regional Stocks Lose Momentum Despite Fed Cut Expectations appeared first on Cryptonews.

The Delhi Blast and Pakistan’s Proxy War: Why Another Clash Looks Likely

25 November 2025 at 10:38

OPINION — South Asia has once again returned to the global spotlight after a suicide bombing struck the heart of India’s capital on November 10. The bomber detonated explosives in a car near Delhi’s historic Red Fort, killing 13 and injuring 25 others. This attack—the first major attack in the Indian capital in over a decade—points to the threat of Pakistan-based terrorism beyond the border regions.

According to Indian authorities, the Delhi bombing was part of a broader plot that security agencies disrupted in the days leading up to the attack. The suicide bomber, allegedly recruited by the Pakistan-based group Jaish-e-Mohammad (JeM), reveals how Pakistan-backed outfits are upgrading their recruitment methods and fundraising tactics following Indian airstrikes in May that destroyed several of their operational centers. These developments highlight the fragility of regional security as both India and Pakistan edge closer to another military confrontation. With this backdrop, the United States must reassess its growing ties with Pakistan’s military establishment, which remains the epicenter of South Asia’s instability.

The Rise of a “White-Collar” Terror Network

Prior to the Delhi attack, Indian authorities uncovered a terror network across three provinces in India, including Jammu and Kashmir. Authorities seized nearly 2,900 kilograms of explosive materials near Delhi, including 360 kilograms of ammonium nitrate, confiscated assault rifles, and arrested at least ten doctors linked to the operation.

The scope of the seizure suggests that the “white collar” terrorist cell planned multiple coordinated attacks capable of mass casualties far exceeding the Delhi bombing. A hypothesis remains that the Delhi suicide bomber, Dr. Umar Nabi, acted independently after authorities preempted the larger plot and detained his associates. Nabi and another doctor from Kashmir were allegedly connected with JeM recruiters via Telegram and met their handlers in Turkey. It can be assessed with high confidence that the duo’s alleged meeting with their handlers overseas likely facilitated access to explosives, funding, and logistical support.

The revelation of the white-collar terrorist network in India marks a shift in Pakistan-based terrorist groups’ recruitment strategies—from radicalizing uneducated youth to mobilizing educated professionals with specialized skills. At the same time, JeM and other groups have shifted their financing from traditional banking channels to fintech platforms, mobile wallets, and decentralized digital payment systems. Together, these trends illustrate a strategic recalibration: a move toward more sophisticated, less detectable forms of proxy warfare aimed at destabilizing India’s internal security and social cohesion.

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The Pakistan Angle

A day after the Delhi bombing, another suicide attack outside Islamabad’s District Court killed 12 people. Pakistan’s Prime Minister Shehbaz Sharif and Defense Minister Khawaja Asif immediately blamed India, claiming the attacks were “orchestrated from Afghanistan at India’s behest.” However, the Pakistani Taliban (TTP) offshoot Jamaat ul Ahrar (JuA) claimed responsibility, contradicting the government’s narrative. Although no direct link has been established between the Delhi and Islamabad attacks, the latter exposes Pakistan’s deteriorating counterterrorism capacity and its flawed internal security policies. Official data from October indicates more than 4,700 terrorist incidents occurred in Pakistan this year alone, killing over 1,000 people despite 62,000 reported counterterrorism operations carried out by security forces. This paradox points to a chronic failure of strategy rather than a lack of effort.

Instead of reinforcing counterinsurgency grids in its northwest, Pakistan has relied on punitive airstrikes and heavy-handed tactics—often targeting civilian areas in Afghanistan. In early October, Pakistani jets carried out an airstrike in Kabul intended to kill TTP leader Noor Wali Mehsud. The botched operation, however, damaged civilian infrastructure and provoked international condemnation. Mehsud later released a video clip confirming he remains active within Pakistan, further embarrassing Islamabad. Additional airstrikes in Afghanistan’s Paktia Province killed three athletes, inflaming tensions along the Afghanistan-Pakistan border and triggering sporadic cross-border shelling. These misdirected operations have played directly into the TTP’s hands, enabling its expansion and emboldening more radical offshoots like JuA, which has increasingly targeted civilians in major Pakistani cities.

Pakistan’s motivations appear less about counterterrorism and more about geopolitical signaling. Its October 9 airstrike in Kabul coincided with Taliban Foreign Minister Amir Khan Muttaqi’s visit to India—the first such diplomatic outreach since the Taliban takeover of Kabul. The timing suggests Pakistan’s strikes were designed to warn Kabul against strengthening ties with New Delhi. Yet, Afghanistan has refused to yield and continues to deepen cooperation with India in healthcare and infrastructure development.

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Another Conflict Remains Imminent

As domestic terrorism surges, Pakistan’s civil-military leadership has diverted its focus to countering India’s strategic positioning in the region by inflicting punitive strikes on Afghanistan and increasing military cooperation with the interim government of Bangladesh, which is hostile to New Delhi. Simultaneously, Field Marshal Asim Munir, Pakistan’s Chief of Army Staff, recently consolidated power after parliament passed the 27th constitutional amendment, granting him sweeping authority and lifetime immunity from prosecution. This move has sparked widespread criticism within Pakistan. Three senior judges have resigned in protest, and prominent civil society figures warn that the country has entered a new phase of authoritarian rule. Munir’s expanding authority mirrors the military’s long-standing playbook: when legitimacy wanes, external crises—particularly with India—serve as instruments of political survival.

The conditions for another India-Pakistan confrontation are steadily aligning. Pakistan’s military, under domestic pressure, could once again resort to conflict with India to restore its standing. Meanwhile, Indian Army Chief General Upendra Dwivedi has warned that any future operation would be far more severe than Operation Sindoor—the codename for India’s May 2025 strikes on Pakistani terrorist and military infrastructure. General Dwivedi’s statement that territory remains the “currency of victory” signals India’s willingness to pursue limited territorial gains in Pakistan-occupied areas of Jammu and Kashmir in the event of renewed hostilities.

The May India-Pakistan conflict has set a precedent that Pakistan will use nuclear saber-rattling to secure a ceasefire with India. Yet, Indian strategists increasingly regard Pakistan’s nuclear threats as coercive posturing designed to provoke U.S. intervention rather than as credible deterrence. If another conflict erupts, India may not be deterred by Pakistan’s nuclear signaling. The Indian calculus appears to favor limited conventional offensives aimed at degrading Pakistan’s militant infrastructure and securing limited territorial gains while testing Islamabad’s actual nuclear resolve. Such a confrontation would dramatically alter South Asia’s deterrence dynamics and expose the fragility of Pakistan’s “bleeding India with a thousand cuts” doctrine.

Conclusion

For the United States, these developments present a dilemma. As I warned in The Cipher Brief in September, America’s national security priorities cannot align with Pakistan’s objectives in the region. Washington’s growing diplomatic and economic engagement with Pakistan risks undermining long-term regional stability if it fails to address Islamabad’s dual game—presenting itself as a counterterror ally while nurturing militant proxies.

Washington must reexamine the foundations of its Pakistan strategy. The United States should leverage its political influence and aid frameworks to condition engagement on measurable counterterror reforms: dismantling militant networks, enforcing digital financial oversight, and halting cross-border militant activity. Without such conditionality, the United States risks legitimizing a regime that fuels the very instability it claims to combat.

The Cipher Brief is committed to publishing a range of perspectives on national security issues submitted by deeply experienced national security professionals.

Opinions expressed are those of the author and do not represent the views or opinions of The Cipher Brief.

Have a perspective to share based on your experience in the national security field? Send it to Editor@thecipherbrief.com for publication consideration.

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Trump’s Trip Was a True “Pivot” to East Asia

6 November 2025 at 11:35
OPINION — President Trump’s meetings in East Asia last week did more to enhance our relationship with a few allies and partners in the region than the past fifteen years of talking about a “pivot to Asia”.

Yes, showing the flag and having the President interact with counterparts is an important part of diplomacy, at the highest level. It has impact because it shows that the U.S. cares about allies and partners, that the U.S. values this relationship and will be there for allies and partners, regardless of the cost.

So, Mr. Trump’s visit to the region was more than tariffs and trade. It was about relationships that principally deal with national security,

Mr. Trump’s meetings with Japan’s new Prime Minister, Sanae Takaichi, and South Korea’s President Lee Jae Myung were particularly noteworthy. The U.S. and Japan signed security and economic measures – and a Memorandum of Cooperation – to expand cooperation on shipbuilding and critical-minerals supply chains, an apparent initiative to reduce reliance on China for rare earth and other critical minerals. More importantly, it established a relationship with Japan’s new prime minister that will ensure we remain close allies.

With South Korea, U.S. approval to develop nuclear-powered submarines using U.S. technology and facilities was a major U.S. decision, with South Korea joining a select few states that operate nuclear-propulsion submarines. There are a few particulars related to the fuel and safeguard agreements that will have to be addressed, but the bottom line is that South Korea, within a few years, will have nuclear-powered submarines (with conventional weapons), a major enhancement of their deterrent capabilities. South Korea also committed to purchasing large quantities of U.S. energy – oil and gas – and a $350 billion trade and investment agreement.

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The highly touted meeting of Mr. Trump with Chinese President Xi Jinping was important because it happened, while underwhelming for the substantive progress. Yes, China did agree to resume purchasing U.S. soybeans and agreed to suspend planned export restrictions on rare earth minerals for one year, while also committing to greater cooperation on the trafficking of fentanyl precursor chemicals into the U.S. In return, the U.S. reduced tariffs on Chinese products from 57% to 47%.

The U.S. also said it discussed the possible sale of U.S. computer chips to China, although not the newest AI chips. For many, Mr. Trump’s announcement that he will visit China in April 2026, with a subsequent trip to the U.S. by Mr. Xi was welcomed by many, hoping that a more robust dialogue with China would be in our respective countries’ interest.

Interestingly, there was no mention of Taiwan or potential conflict in the South China Sea. Apparently, the Trump-Xi meeting dealt exclusively with trade and fentanyl-related issues. Or, if these issues were discussed, both agreed that there would be no public statement documenting these discussions.

Mr. Trump’s visit to Malaysia, Japan and South Korea was an important visit of a U.S. president who prides himself on being a peacemaker. In Malaysia Mr. Trump witnessed the signing of a peace accord between Cambodia and Thailand that he personally brokered. Indeed, that’s how Mr. Trump started his five-day trip to East Asia. He ended it with a request that the U.S. and China help end the war in Ukraine. This has been a heavy lift for the U.S. and Mr. Trump personally, who tried to end this war. It’s also a challenge for China, given that China continues to buy Russian oil, and reportedly provides machine tools, semiconductors and other dual-use items that help Russia rebuild its defense industry.

Mr. Trump’s trip to East Asia was a success, especially for what he accomplished in South Korea and Japan.

This column by Cipher Brief Expert Ambassador Joseph DeTrani was first published in The Washington Times

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A Fragile Truce at the Durand Line: Will the Afghanistan–Pakistan Ceasefire Last?

30 October 2025 at 13:23

OPINION — One of the most enduring security issues in South Asia has been rekindled by the recent border conflicts between the Taliban-led Afghanistan and Pakistan military regimes. Diplomatic efforts by Qatar and Turkey have resulted in a tenuous ceasefire after days of fierce fighting that claimed scores of lives on both sides, offering a little respite from the rising violence. However, talks for a lasting peace have since collapsed. The crisis reveals long-standing structural tensions along one of the most volatile frontiers in the world that have their roots in militant activity, historical enmity, and disputed sovereignty.

Escalation and Triggers of Conflict

Intense fighting broke out along several stretches of the 2,600-kilometer Afghanistan-Pakistan Durand line in early October 2025, especially close to Spin Boldak–Chaman and the Kurram tribal areas. Each side accused the other of starting the conflict. The Taliban-led government denounced Pakistan's retaliatory bombings as a violation of national sovereignty, while Pakistan asserted that militants connected to the Tehrik-i-Taliban Pakistan (TTP) were conducting cross-Durand line attacks from Afghan territory. According to reports, Pakistani air raids in the provinces of Kandahar and Paktika killed dozens of civilians. Taliban members retaliated by attacking a number of Pakistani military installations, with the opposing side suffering heavy losses. Afghan traders are losing millions of dollars every day as a result of the conflict's rapid disruption of humanitarian and commercial routes, which led to the closure of important Durand line crossings.

This breakdown was not the first. Pakistan has long accused the Afghan Taliban of harbouring the TTP, a group committed to destroying Pakistan's government but philosophically linked with Kabul's leadership. The Taliban have refuted these claims, stating that Afghanistan forbids the use of its territory against other countries. However, the Durand Line, from the colonial era, continues to function as a political and geographic fault line, trapping both sides in a never-ending blame game.

The Doha-Istanbul Ceasefire Agreement

An emergency ceasefire agreement was reached on October 19, 2025, following nearly a week of fighting, thanks to intensive mediation by Qatar and Turkey. Both parties committed to immediately stopping offensive operations, prohibiting cross-Durand line attacks, and setting up systems for ensuring compliance under the agreement. To address implementation and verification procedures, a follow-up meeting was planned for October 25 in Istanbul. The deal was heralded as a diplomatic victory, particularly since Turkey and Qatar, who both have comparatively open lines of communication with the Taliban leadership, were instrumental in facilitating communication between two regimes which do not trust one another.

Khawaja Muhammad Asif, the defence minister for the Pakistani military dictatorship, underlined that Islamabad would evaluate the truce based on the Taliban's capacity to control the TTP. "This agreement will be broken by anything coming from Afghanistan," he cautioned. The Taliban's stated position that Afghanistan "will not allow its soil to be used against any country" was reaffirmed by Zabihullah Mujahid, the regime's spokesperson. Although these declarations show official dedication, they conceal more profound disparities in ability and perspective. The Taliban government sees the threat as a matter of border integrity and sovereignty, whereas Pakistan primarily sees it through the prism of counterterrorism. It will take more than diplomatic words to bridge different viewpoints.

Istanbul Talks

The follow-up talks in Istanbul — intended to turn the Doha truce into an enforceable framework—ended without a resolution after four days of negotiations. Reporting from multiple outlets indicates that mediators could not bridge the gap over concrete action against TTP networks allegedly operating from Taliban controlled soil and over how to verify any commitments. Pakistani regime’s officials briefed that Kabul was unwilling to accept binding steps to rein in or relocate the TTP; Afghan sources countered that the Taliban does not command or control the TTP and rejects responsibility for cross-Durand line attacks.

On the eve of, and during, the Istanbul round, Pakistan’s defence minister publicly warned that failure would risk “open war,” underscoring how narrow the window is for diplomacy if violence resumes along the frontier. While he acknowledged the ceasefire had broadly held for several days, he framed the talks’ success as contingent on Kabul’s verifiable curbs on the TTP. Reports say talks in Istanbul have restarted in another attempt for a deal.

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Key unresolved issues

First, TTP-focused measures: Islamabad sought explicit commitments (dismantling safe havens, detentions/relocations, or handovers of wanted militants), while Kabul insists it won’t allow Afghan territory to be used against neighbours but resists operations that might trigger internal backlash or fracture ties with sympathetic factions. No binding text on TTP was agreed.

Second, a verification and incident-prevention mechanism: negotiators discussed joint hotlines, third-party monitoring, or liaison teams stationed in cross-Durand line hubs to investigate incidents in real time. Talks stalled over scope, authority, and who would adjudicate disputes.

Third, the Durand Line: Pakistan has fenced large stretches and wants coordinated patrols and recognized crossing protocols; the Taliban does not formally recognize the Durand Line as an international boundary, making technical fixes politically sensitive. This gap persisted in Istanbul.

Fourth, trade and crossings: business lobbies on both sides pushed for a timetable to reopen Spin Boldak–Chaman and other checkpoints for normal commerce and humanitarian flows, but negotiators did not finalize sequencing (security steps first vs. parallel reopening).

Fifth, refugees and returns: Islamabad raised concerns around undocumented Afghans and cross-Durand line facilitation; Kabul pressed for humanitarian safeguards. No durable arrangement was announced.

Obstacles to Durable Peace

The structural issues threatening Afghanistan-Pakistan ties are still mostly unaddressed in spite of the truce. First, the ceasefire does not include militant organisations like the TTP. Their independence severely restricts the enforceability of the agreement. According to analysts, the Taliban are reluctant to use force to fight the TTP because of ethnic and ideological ties that make internal Afghan politics more difficult.

Second, monitoring is quite challenging because of the porous nature of the Durand-line. Pakistan has unilaterally fenced off significant portions of the Durand Line, whereas Afghanistan does not formally recognise it as an international border. Recurrent conflicts are exacerbated by this lack of mutual recognition, especially when it comes to security patrols and cross-Durand line trading.

Third, there is still an imbalance of interests. Attacks by militants coming from Afghanistan are the problem for Pakistan. Pakistan's repeated airstrikes and backing of anti-Taliban groups are the source of Kabul's resentment. Joint security coordination is hampered by these conflicting narratives.

Fourth, pressure from within both governments is increasing. While the Taliban in Afghanistan must strike a compromise between meeting external demands and preserving their credibility among nationalist and tribal factions, public annoyance in Pakistan has increased due to an increase in attacks on security forces. Internal resentment could result from any impression of giving in.

Last but not least, the economic aspect introduces another level of complication. Afghanistan relies significantly on cross-border trade through Pakistan for imports and transit to global markets. Significant financial losses and humanitarian difficulties have resulted from the bridge closures. Unless trade flows restart fully, the truce will have limited practical effects.

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The Strategic and Regional Implications

There are wider ramifications for South and Central Asia from the crisis and the resulting truce.

Stability and militancy in the region: Should the truce fail, transnational militant networks, such as IS-K and al-Qaida elements, may gain more confidence. Resuming hostilities might destabilise the entire region, as these organisations flourish in uncontrolled border areas.

Taliban governance: The truce also serves as a litmus test for the Taliban's ability to govern. Global opinions of its legitimacy as a ruling power will be influenced by its capacity to maintain territorial control, interact diplomatically, and quell militant groups.

Realignments in diplomacy: The participation of Qatar and Turkey demonstrates how regional diplomacy is changing. Both nations have established themselves as go-betweens that can interact with the Taliban government without granting official recognition. Their mediation highlights a changing power dynamic in South Asia, where non-Western actors are having a greater impact on resolving disputes.

Economic and humanitarian impact: The conflict's humanitarian effects go beyond its security implications. Food and medical supplies have been disrupted by the closing of the Cross-Durand line, and the situation for displaced people on both sides of the frontier is getting worse. Maintaining peace will depend on reopening trade channels and making sure help is delivered.

The Road Ahead

The establishment of cooperative verification systems, a quantifiable decline in militant attacks, and the resumption of trade are important markers to keep an eye on. If any party breaks the agreement, the area can quickly revert to hostilities. It will be a careful balancing act for Pakistan to keep pressure on the Taliban without inciting escalation. The ability of the Taliban to control militant organisations while maintaining internal unity and sovereignty will be put to the test in Afghanistan. Supporting monitoring, communication, and de-escalation procedures is essential for regional partners, especially Qatar and Turkey, to continue their mediation efforts beyond symbolic diplomacy. As of October 28, the Istanbul process has adjourned without a deal, leaving these markers unmet and the ceasefire’s durability uncertain until verifiable steps are negotiated.

In the end, the ceasefire between Afghanistan and Pakistan serves as an example of the potential and vulnerability of regional diplomacy in a post-Western security context. In addition to bilateral discussions, broad regional collaboration tackling the interconnected problems of militancy, Durand-line governance, and economic interdependence will be necessary for a lasting peace. The willingness of both regimes to turn promises into tangible, verifiable action will determine whether this armistice develops into long-lasting stability or just serves as another brief break in a lengthy history of antagonism.

The Cipher Brief is committed to publishing a range of perspectives on national security issues submitted by deeply experienced national security professionals.

Opinions expressed are those of the author and do not represent the views or opinions of The Cipher Brief.

Have a perspective to share based on your experience in the national security field? Send it to Editor@thecipherbrief.com for publication consideration.

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Afghanistan Is Becoming India and Pakistan’s Proxy Battlefield—Again

15 October 2025 at 17:39
OPINION — On Oct. 15, 2025, Islamabad and Kabul announced a 48-hour ceasefire after days of shelling and cross-border clashes around Spin Boldak/Chaman and in Kurram. That same week New Delhi hosted Taliban Foreign Minister Amir Khan Muttaqi, the highest-profile Taliban visit to India since 2021. These two parallel events are not accidental. They are the visible symptoms of a strategic pattern that has, for decades, made Afghanistan an arena for India–Pakistan competition. If left unchecked, that competition will once again turn Afghan territory, institutions, and people into collateral damage.

The recent clashes underscore a simple truth: kinetic escalation along a porous frontier is a multiplier. Airstrikes, artillery duels, and intermittent border closures do not remain local nuisances. They force displacement, interrupt trade and humanitarian access, and create openings for transnational violent actors to regroup and expand. At the same time, high-level diplomatic gestures, like India’s reception of a Taliban foreign minister—help normalize engagement without demanding verifiable commitments from Kabul on terrorism, human rights, or governance. The result is a dangerous two-track dynamic: escalation on the ground and normalization in the capitals.

A brief history of the rivalry on Afghan soil

Pakistan’s footprint in Afghanistan is old and deep. From the anti-Soviet jihad to the 1990s civil war, Pakistan’s Inter-Services Intelligence (ISI) cultivated proxies, trained fighters in madrassas and camps, and hosted Taliban decision-making bodies in Quetta, Peshawar, and Miramshah. By the time I led Signals Intelligence at NDS, the material flows, explosives, trainers, and fighters—were a familiar pattern. As U.S. forces drew down after 2014, Islamabad’s public posture shifted; in private and in some diplomatic forums, Pakistan presented the Taliban as a political reality to be accommodated. That accommodation was always transactional, however, and it produced deep leverage inside Afghanistan—from provincial commanders to elements inside Kabul.

India’s engagement followed a different logic but with equally transactional ends. Delhi invested heavily in infrastructure, education and development—roads, power projects, scholarships that sent Afghans to Indian universities. Those investments built goodwill and administrative capacity. But India also positioned itself as a counterweight to Pakistan. New Delhi’s network of consulates, including two on Pakistan’s border, provided both soft-power reach and strategic insight. My colleagues and I at NDS were aware that New Delhi’s intelligence service (RAW) cultivated contacts in border provinces and maintained links that could be used against Pakistan. At the time the Afghan republic rationalized these partnerships: the enemy of our enemy was a useful ally. That pragmatic logic blinded us to a harsher reality—India’s support for Afghan institutions was, ultimately, calibrated to New Delhi’s competitive needs, not an unconditional commitment to the Republic’s survival.

Two anecdotes illustrate the corrosive effect of external rivalry on Afghan sovereignty. First, while intercepting communications as head of Signals Intelligence I once heard General Dostum pleading on the phone with Pakistan’s ambassador—an exchange that revealed how quickly even vocal opponents could seek patronage. Second, a private meeting with the RAW station chief in Kabul—held months before the Republic collapsed—left me with a hollow certainty: Indian intelligence was preparing contingency plans for the Republic’s fall rather than mobilizing to prevent it. Those were not betrayals born of malice but of strategic realism: both Delhi and Islamabad were optimizing for their own survival and leverage.

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Why this rivalry matters now

Three features make the current moment particularly risky.

First, even when attacks originate with state-adjacent actors inside Afghanistan, their effects are interstate: whether Islamabad acknowledges strikes in Kandahar or Taliban-aligned groups carry out violence, the result is cross-border harm — civilians killed, infrastructure damaged, and humanitarian access disrupted.

Second, diplomatic gestures without conditionality distort incentives. India’s public reset—receiving a Taliban foreign minister—grants political space to a movement whose internal policies remain deeply repressive. If major regional powers normalize ties without demanding verifiable changes, they risk entrenching a governance model that enables radicalization and denies basic rights, particularly for women and minorities.

Third, Afghans pay the price. External competition saps Afghan agency. Political elites are incentivized to cultivate foreign patrons rather than build domestic coalitions. Former security personnel, civil servants and vulnerable communities are either abandoned or become leverage for outside actors. The human cost—displacement, loss of livelihoods, shrinking civic space—is the clearest metric of failure.

A three-part policy approach: sovereignty, de-escalation, and conditional engagement

If Washington and its partners are serious about stability in South and Central Asia, they should adopt a compact focused on three priorities.

Prevent Afghanistan from becoming the battlefield. The U.S. should lead a regional security initiative—narrow in scope but backed by monitoring and consequence mechanisms—bringing together India, Pakistan, Iran, China, and key Central Asian states. The initiative would pledge non-use of Afghan territory for hostile proxy activity, create impartial border monitoring mechanisms, and establish rapid-response channels to defuse incidents before they spiral.

Push India and Pakistan back to bilateral dialogue. The most durable way to remove Afghan soil from the rivalry is to reduce the rivalry itself. Washington should use calibrated incentives and diplomatic leverage to get Delhi and Islamabad into issue-specific talks—starting with confidence-building measures on border management, refugee handling, counter-narcotics cooperation, and a hotline for counterterrorism incidents. These are pragmatic, tradeable commitments that build reciprocity without demanding grand concessions.

Condition engagement with Kabul on verifiable benchmarks. Engagement with the de facto authorities will continue for humanitarian and security reasons—but it must not reward predation. Bilateral ties should be tied to transparent, public benchmarks: demonstrable counter-terrorism cooperation, protections for civilian populations (especially women and minorities), and steps to prevent Afghan soil from being used by transnational violent actors. Parallel support must be scaled for civil society, independent media, and the Afghan diaspora—networks that preserve the political capital needed for a future inclusive order.

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Realism with consequences

Some will argue that Delhi’s and Islamabad’s actions are driven by existential fears and that external pressure has limited purchase. That is true. But realism also recognizes that incentives, reputational costs, and monitoring can alter strategic calculations. The goal is not to force idealism but to make proxy strategies less profitable—politically, economically and reputationally—than cooperation.

Conclusion

The recent ceasefire and high-profile diplomatic activity are warnings more than signals of resolution. Afghanistan’s sovereignty must not be treated as negotiable currency in a broader regional rivalry. If the international community fails to act, Afghans will continue to suffer as their country becomes the chessboard for others’ strategies. The path forward is straightforward, if politically difficult: prevent kinetic escalation, push India and Pakistan toward practical dialogue, and condition engagement with Kabul on measurable protections for Afghan people. For the sake of Afghanistan—and for regional security—that is the responsible, pragmatic choice.

The Cipher Brief is committed to publishing a range of perspectives on national security issues submitted by deeply experienced national security professionals.

Opinions expressed are those of the author and do not represent the views or opinions of The Cipher Brief.

Have a perspective to share based on your experience in the national security field? Send it to Editor@thecipherbrief.com for publication consideration.

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The Case for Caution in the U.S.-Pakistan Relationship

25 September 2025 at 10:46

OPINION — During the ten-year Soviet occupation of Afghanistan, the United States leveraged Pakistan’s geostrategic position to support the Afghan Mujahideen in their fight against the Red Army. What began as a marriage of convenience evolved into a strategic partnership after the Bush administration launched the Global War on Terror in 2001. Washington required Islamabad’s cooperation in its military campaign in Afghanistan, and in return, Pakistan received billions of dollars in annual aid. For subsequent administrations, however, relations with Pakistan were approached more cautiously, given Islamabad’s political instability and its Islamist tendencies, particularly its support for Salafi-Jihadist (SJ) groups in the region.

Donald Trump’s second term has marked a departure from decades of U.S. policy toward Pakistan, bringing the quasi-military state closer to Washington. President Trump has reportedly dined with Pakistan’s de facto ruler, Chief of Army Staff Field Marshal Asim Munir, and even offered to mediate on Kashmir against India’s objections. In return, Pakistan facilitated operations for a Trump-backed cryptocurrency firm to establish a crypto reserve in the country, allowed U.S. companies to explore its untapped oil reserves, and nominated Trump for the Nobel Peace Prize. Notably absent from these exchanges, however, was any discussion of combating transnational terrorism.

National security priorities must take precedence over economic ties. Ignoring Pakistan’s track record of harboring global terrorists and supporting transnational SJ groups is likely to backfire in the near term. Washington must demand concrete accountability on core national and regional security issues before granting Islamabad further concessions.

Pakistan’s Transnational Terrorist Network

The aftermath of the four-day India-Pakistan war in May exposed Pakistan’s enduring ties to regional terrorism. During Operation Sindoor, the Indian Air Force struck nine alleged Jaish-e-Mohammad (JeM) and Lashkar-e-Taiba (LeT) training centers in eastern Pakistan—both groups designated as Foreign Terrorist Organizations (FTOs) by the United States. Indian intelligence reports indicate these groups are now actively recruiting and fundraising in Khyber Pakhtunkhwa Province (KPK) to reconstitute their ranks. At one such event, senior JeM commander Maqsood Illyas Kashmiri openly boasted about carrying out attacks in Delhi and Kandahar, including operations targeting U.S.-backed troops. Kashmiri further claimed that Field Marshal Asim Munir dispatched senior general officers to attend the funerals of terrorists killed during Operation Sindoor. This assertion is reinforced by the widely circulated image of senior Pakistani army officers, led by U.S.-designated terrorist Hafiz Abdur Rauf, offering funeral prayers for slain militants in Muridke, Punjab Province. The presence of uniformed generals with full military protocol at these funerals underscores the deep ties between Pakistan’s military establishment and terrorist organizations. In a separate video, an LeT commander pledged to rebuild the sites destroyed by India and urged Pakistani youth to join the group’s ranks.

Pakistani terrorist groups also exploit public platforms to advance their broader pan-Islamist agenda. Talha Saeed, son of LeT founder Hafiz Saeed—who orchestrated the 2008 Mumbai attacks—has openly held election rallies in Pakistan, despite being under global scrutiny for terrorist links. At one such rally in Punjab, Talha even threatened to assassinate Indian Prime Minister Narendra Modi. This highlights the alarming impunity with which designated FTO members operate in Pakistan. Similarly, LeT deputy leader Saifullah Kasuri has made multiple public appearances since being identified by Indian intelligence as a key planner of the April 2025 Pahalgam terrorist attack. Kasuri, who also heads LeT’s political front party, Milli Muslim League (MML), traveled to Doha in August 2024 to meet Hamas leader Khaled Mashal and offer condolences on the assassination of Hamas Chief Ismail Haniyeh. Despite Kasuri and his political outfit being sanctioned by the U.S. Treasury, he managed to travel to Qatar and meet with members of other global terrorist groups—an act unlikely to have occurred without logistical and financial backing from the Pakistani state machinery.

In theory, Pakistan has been central to U.S. counterterrorism efforts in the region. In practice, however, it has remained a key sponsor and enabler of transnational terrorism. With the state and military’s tacit support, local jihadist groups have gained a stronger voice in the global pan-Islamist movement. Field Marshal Munir has faced no serious pressure to dismantle these organizations. On the contrary, their continued presence serves his interests—an emboldened position reflected in his past threats, including a chilling remark at a private dinner in Tampa, Florida, where he invoked Pakistan’s nuclear arsenal against India.

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Know Thy Client

The United States must recognize the inherent risks of deepening economic engagement with Pakistan. Today, Pakistan’s notorious Inter-Services Intelligence (ISI) remains deeply embedded across society, conducting mass surveillance and systematically persecuting minority groups in Khyber Pakhtunkhwa and Balochistan. According to a recent Amnesty International report, Pakistan’s intelligence services employ Chinese surveillance technology to suppress dissent in regions with strong secessionist tendencies. If Washington seeks to explore Balochistan’s mineral-rich reserves, it must account for the serious security risks posed by reprisal attacks. Beijing’s experience with the China-Pakistan Economic Corridor (CPEC) offers a stark warning. Baloch militant groups have repeatedly attacked Chinese infrastructure, killed Chinese workers, and sabotaged projects, stalling progress for years. U.S. contractors and private citizens would likely face similar threats, as many Baloch view outside exploration as illegitimate.

At the same time, joint financial ventures in Pakistan risk fueling unregulated and unchecked transactions that could benefit terrorist groups. In 2022, the Financial Action Task Force (FATF) removed Pakistan from its grey list after the government complied with anti–money laundering standards. Yet Pakistan’s own finance minister recently warned the country could slip back onto the list due to the high volume of unregulated digital transactions. If the United States invests in Pakistan’s cryptocurrency reserve—which currently lacks safeguards or regulatory oversight—it risks inadvertently enabling terrorist organizations that exploit this unregulated environment. The potential reputational damage to the Trump administration from such complicity would be severe and far-reaching.

Conclusion: The Way Forward

The United States must urgently reevaluate the foundations of its engagement with Pakistan. Rather than maintaining a short-sighted, transactional approach, Washington needs a long-term strategic forecast that accounts for the risks of dealing with an unstable quasi-military state. Civil conflict, large-scale terrorist attacks, and violent reprisals from marginalized minority groups remain immediate dangers. For example, on September 22, the Pakistan Air Force carried out airstrikes in KPK's Tirah Valley that killed at least 24 Pashtun civilians, including women and children. Such botched operations are likely to fuel reprisal attacks by Pashtun-dominated groups such as the Pakistani Taliban (TTP) and their affiliates. U.S. officials must therefore assess Pakistan’s volatile political and security landscape before expanding American stakes in the country.

Leaving behind a legacy that strengthens Islamist groups in South Asia would undermine both U.S. security interests and President Trump’s political standing. Before deepening ties, Washington must extract meaningful accountability from Pakistan’s civil-military establishment. History makes clear that Pakistan cannot be fully aligned with American priorities; at best, it can be managed. The United States must therefore tread carefully—demanding guarantees, setting strict conditions, and preparing contingencies—if it is to avoid becoming complicit in Pakistan’s destabilizing behavior.

The Cipher Brief is committed to publishing a range of perspectives on national security issues submitted by deeply experienced national security professionals.

Opinions expressed are those of the author and do not represent the views or opinions of The Cipher Brief.

Have a perspective to share based on your experience in the national security field? Send it to Editor@thecipherbrief.com for publication consideration.

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Chinese Police Enlist Drug-Sniffing Squirrels

10 February 2023 at 08:00

Forget the hounds. Police in China are releasing the squirrels. 

Law enforcement in the city of Chongqing reportedly announced that it is training a team of drug-sniffing squirrels to help locate illicit substances and contraband. 

Insider reports that the police dog brigade in the city, located in southwestern China, “now has a team of six red squirrels to help them sniff out drugs in the nooks and crannies of warehouses and storage units.”

According to Insider, “Chongqing police told the state-linked media outlet The Paper that these squirrels are small and agile, and able to search through tiny spaces in warehouses and storage units that dogs cannot reach,” and that the “squirrels have been trained to use their claws to scratch boxes in order to alert their handlers if they detect drugs, the police said.”

“Squirrels have a very good sense of smell. However, it’s less mature for us to train rodents for drug search in the past in terms of the technology,” said Yin Jin, a handler with the police dog brigade of the Hechuan Public Security Bureau in Chongqing, as quoted by the Chinese state-affiliated English newspaper Global Times.

“Our self-developed training system can be applied to the training of various animals,” Yin added.

The newspaper noted that in contrast to drug dogs, “squirrels are small and agile, which makes them good at searching high places for drugs.”

According to Insider, “China’s drug-sniffing squirrels may well be the first of their kind,” although “animals and insects other than dogs have also been used to detect dangerous substances like explosives.”

“In 2002, the Pentagon backed a project to use bees to detect bombs. Meanwhile, Cambodia has deployed trained rats to help bomb-disposal squads trawl minefields for buried explosives,” Insider reported. “It is unclear if the Chongqing police intends to expand its force of drug-sniffing squirrels. It is also unclear how often the squirrel squad will be deployed.”

China is known for its strict and punitive anti-drug laws. 

According to the publication Health and Human Rights Journal, “drug use [in China] is an administrative and not criminal offense; however, individuals detained by public security authorities are subject to coercive or compulsory ‘treatment.’”

The journal explains: “This approach has been subject to widespread condemnation, including repeated calls over the past decade by United Nations (UN) agencies, UN human rights experts, and human rights organizations for the country to close compulsory drug detention centers and increase voluntary, community-based alternatives. Nonetheless, between 2012 and 2018, the number of people in compulsory drug detention centers in China remained virtually unchanged, and the number enrolled in compulsory community-based treatment rose sharply.”

“In addition to these approaches, the government enters all people detained by public security authorities for drug use in China into a system called the Drug User Internet Dynamic Control and Early Warning System, or Dynamic Control System (DCS),” the journal continues. “This is a reporting and monitoring system launched by the Ministry of Public Security in 2006. Individuals are entered into the system regardless of whether they are dependent on drugs or subject to criminal or administrative detention; some individuals who may be stopped by public security but not formally detained may also be enrolled in the DCS”

The Dynamic Control System “acts as an extension of China’s drug control efforts by monitoring the movement of people in the system and alerting police when individuals, for example, use their identity documents when registering at a hotel, conducting business at a government office or bank, registering a mobile phone, applying for tertiary education, or traveling,” according to the journal.

The post Chinese Police Enlist Drug-Sniffing Squirrels appeared first on High Times.

Explore Church Street, Bengaluru

25 January 2023 at 22:20
Church street , Bengaluru
Take a walk along the cobblestone path with bookstores, good coffee, art and all things creative at Church Street,  Bengaluru.
It is fanatic to see Bengaluru back to buzzing with activity just like before.  Though most of us are a bit morning conscious of our distances and masks,  it is certainly that namma Bengaluru. One of the spaces that we always took for granted was Church Street. With the current visit, I realise this is a space I miss.  After its facelift in 2019, the more pedestrian-friendly church street has taken a turn from being one of the side lanes to Mahatma Gandhi Road to one that is sought out by many. With MG road now adding on the metro and ongoing construction,  it doesn’t look as glamorous as before what better than art, music and literature hub Church Street to take over that role !

Location

The 750m stretch of cobblestoned path changed the experience of busy metropolitan Bengaluru to that envisioned by book and art lovers. This is Church Street parallel to the now lost-it’s-glory MG road.  Leading to the famed St Mark’s Cathedral, this is a part of knowing your city.  This is the road leading off the Brigade Road to Starla Road and can be accessed through any of these roads. 
Street art at Church street

How to reach?

Reaching Bengaluru 
Air travel: Bengaluru International Airport caters to most international routes. Check with the airlines for the recent advisory and check the government website for visa regulations.
Trains: Bengaluru  Junction is a busy area that brings trains across India. Enjoy a unique Indian rail ride based on your location. 
Buses: Both the private and public bus networks are huge.  Alight at Majestic Station and further catch the metro to reach Church Street.  
Travel in Bengaluru
Metro: Currently the fastest and fuss-free way to travel in Bangalore is the metro train service.  Get down at MG road station and exit via the Church Street exit to be directly greeted by the iconic cobblestone path. 
Cabs and autos in and around the city,  it is easy to hail a can or the ever-persistent autorickshaws. Fix the price before you board. Rather than haggling,  I prefer to use Uber or Meru services. There are multiple varieties of transport that these services provide.  

What to see at Church street? 

The bibliophile’s paradise if you are like us,  loving the smell of books and getting so excited by the unlimited number of books, this is your place.  With bookstores that tower taller than any apartments in this area,  you can sure spend a few hours at blossom,  bookworm etc  Enjoy some rare book hunting or just walk into one of these and just settle down along the long aisles of these bookstores.
Street art as soon as you start your walk the colourful wall art will capture your attention.  These beautiful works take your eyes away from the otherwise dusty exteriors and provide that instant smile.  Enjoy these as you walk by and locate the metro station from far thanks to the colourful tall wall art.  
Artists and music:  towards evenings treat yourself to that amazing creative idyll of budding and veteran artists, and guitarists on the sidewalk.  You can spend some time at 
Animation souk for that love of pop culture you need to peek into The animation souk.  The place will satisfy your gift needs with cartoons, superheroes and more. 
animation art at Church street bengaluru

Let’s eat

Start off at Church Street with the best coffee at Mateo. As you read and move through the path, there are plenty of places offering world cuisine and pretty much true to the flavours. The street hosts some of the best pubs with live music. Wait till twilight to see this place transform into one of the best night spaces.
I would highly recommend having coffee at Mateo. For the pubs try Chugs or Pegs. For food, I am a huge fan of the Indo-Chinese cuisine in Mainland China but walking up this street is as easy as looking and choosing.  

Climate and costume 

Bangalore can range between hot 30s to cooler 20s. This depends on the season. Check the weather before you plan your day.  Carry a light all-weather jacket towards evening.  Generally, Bengaluru is not too humid,  but it can rain from time to time.  Dress easy if you are heading to just explore or dress to impress for the pub nights, that’s up to you.

Stay connected.  

Connecting with the different dimensions of a place you visit gives you an overall idea of life and culture. I find Church street easily does this for me.  The classic temple-rich town transforms easily into a global scene just by taking yourself here. Hope you enjoy travelling to Bengaluru as much as we do.  If you are looking for a unique temple experience try Gavipuram temple with astronomical research history while you are in Bengaluru. If you are planning to travel to Kerala, check out our hiding spot,  Thrissur. Stay on with us as we resume travel and bring more on our India travel. Subscribe to this website or follow us on instagram or twitter
Disclaimer 
The opinions and guidance is based solely on our experience. The links provided are for reference we would advise you to check before you head to the places.  The information is based on the date of publication and can change,  so refer to the relevant websites for current information.
Book stores , Church street

OSCE Trains Uzbekistan Law Enforcement to Track and Seize Crypto, Search Dark Web

22 October 2022 at 17:30
OSCE Trains Uzbekistan Law Enforcement to Track and Seize Crypto, Search Dark Web

The Organization for Security and Co-operation in Europe (OSCE) has set out to teach law enforcement officers in Uzbekistan how to conduct crypto and dark web investigations. The regional body recently organized a training course for employees of the country’s security agencies in Tashkent.

Uzbekistan Police and Security Agents Attend OSCE Course on Cryptocurrencies

Representatives of Uzbekistan’s Prosecutor General’s Office, the Ministry of Internal Affairs, and the State Security Service have taken a training course on cryptocurrency and dark web investigations held by the OSCE between Oct. 17 and 21 in the capital Tashkent.

The course was organized by the OSCE Transnational Threats Department in co-operation with the OSCE Project Co-ordinator in Uzbekistan and the Academy of the Prosecutor General’s Office, the intergovernmental security body said on its website.

“Participants learned about the main concepts and key trends in the areas of internetworking, anonymity and encryption, cryptocurrencies, obfuscation techniques, dark web, and Tor networks,” the announcement detailed.

They also practiced various approaches and methods for seizure of crypto assets, blockchain analysis, and darknet searching. The course was based on materials provided by the European Cybercrime Training and Education Group (ECTEG).

A new computer classroom donated by the OSCE to the Prosecutor General’s Academy was inaugurated before the course by Deputy Prosecutor General of Uzbekistan Erkin Yuldashev and Acting OSCE Project Co-ordinator in Uzbekistan Hans-Ulrich Ihm.

Crypto Training in Region to Continue Throughout Next Year

Digital technologies have been transforming the criminal landscape, noted Evgeniy Kolenko who heads the Prosecutor General’s Academy. He insisted that educating law enforcement in this field needs a long-term and systematic approach.

“Cybercrime education requires adequate equipment – both hardware and software,” added Gayrat Musaev, Head of the Academy’s Department for Implementation of Information and Communication Technologies and Information Security. Musaev also praised the new dark web lab.

The OSCE course is the first of this kind in Uzbekistan within the second phase of the “Capacity Building on Combating Cybercrime in Central Asia” project funded by the U.S., Germany, and South Korea. Similar training activities will continue across the region throughout 2022 and 2023.

This year, the government in Tashkent has been taking steps to more comprehensively regulate Uzbekistan’s crypto sector. In the spring, President Shavkat Mirziyoyev issued a decree providing definitions for terms like crypto assets and exchange. New registration rules for crypto miners were presented in June and earlier in October, Uzbekistan introduced monthly fees for crypto companies.

Do you think law enforcement authorities in Central Asia will continue to increase focus on the crypto space? Share your thoughts on the subject in the comments section below.

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