AlphaTON is preparing for another expansion phase after securing new freedom to raise capital in the U.S. markets. AlphaTON Capital has taken another step in its shift toward TON and Telegram’s AI ecosystem, filing a $420.69 million shelf registration after…
Terry Gerton The Securities Industry and Financial Markets Association has recently written to the SEC asking to modernize its communication and record keeping rules. Help us understand what the big issue is here.
Robert Cruz Well, I think the fundamental issue that SIFMA is calling out is a mismatch between the technology that firms use today and the rules, which were written a long time ago — and in some cases, you know, the Securities and Exchange Act from 1940. So essentially we’re all struggling trying to find a way to fit the way that we interact today into rules that are very old, written when we were doing things with typewriters and, you know, over written communication. So it’s trying to minimize the gap between those two things, between the technology and what the rule requires firms to do.
Terry Gerton So instead of all of those hard copy letters that we get from investment firms and those sorts of things, we also get emails, text messages. That’s where the disconnect is happening?
Robert Cruz Yes. It’s the fact that individuals can collaborate and communicate with their customers over a variety of mechanisms. And some of these may be casual. They may be not related to business. And that’s the fundamental problem is that SIFMA is looking for the rules to be clarified so it pertains only to the things that matter to the firm, that create value or risk to their business or to the investor.
Terry Gerton And what would those kinds of communications look like?
Robert Cruz I think what they’ll look like is external communication. So, right now the rule doesn’t distinguish between internal — you and I as colleagues talking versus things that pertain to, you know, communications with the public or with a potential investor. So it’s trying to carve out those things that really do relate to the business’s products or services and exclude some of the things that may be more just conversational, as you and I might pass each other in the hallway, we can chat on a chat board someplace. It’s trying to remove those kind of just transitory communications from the record keeping obligations.
Terry Gerton Right. The letter even mentions things like emojis and messages like “I’m running late.”
Robert Cruz Exactly. And you know, it’s a fundamental problem that firms have is the fact that if you say you’re going to be able to use a tool, even if it’s as simple as email, that means that our firm has an obligation to capture it. And when it captures it, it captures everything, everything that is delivered through that communication channel. So that creates some of that problem of like, somebody left their lunch in the refrigerator. We need to clean it up. it’s trying to remove all of that noise from the things that really do matter to the business.
Terry Gerton Not only does that kind of record keeping impose a cost on the organization, the reporting organization, but it also would create quite a burden on the regulators trying to sort out the meaningful communication in that electronic file cabinet, so to speak.
Robert Cruz Absolutely. Well, the firm clearly has the obligation to sift through all of this data to find the things that matter. If you have a regulatory inquiry, you’ve got to find everything that relates to it. Even if it’s, you know, I talked to an investor and there was an emoji in that conversation. I still need to account for that. So the burden is both on the firm as well as on the regulator to try to parse through these very large sets of data that are very, you know, heterogeneous with a lot of different activities that are captured in today’s tools.
Terry Gerton Relative to the question about the tools, you’ve said that SEC rules should be agnostic to technology. Unpack that for me. What exactly does that mean?
Robert Cruz Sure. This kind of goes back a few years where there was a revision to the rule 17A-4 from the SEC, which is the fundamental record keeping obligation. It says you need to have complete and accurate records. What they tried to do at that time was remove references to old technologies and spinning disks and things we used to do long ago. And so the objective was to be more independent of technology. Your obligation is your obligation. If it matters to the business, that’s the principle that should govern, not the particular tool that you use. So technology being agnostic — or rules being agnostic; technology means it doesn’t matter whether it’s delivered via email, via text, via emojis, carrier pigeons or anything else. If it matters to the business, it matters to the business.
Terry Gerton How do today’s variety of technologies complicate a business’ compliance requirements?
Robert Cruz The challenge is very complex, period. It’s always going to be with us because there’s always going to be a new way that your your client wants to engage. There may be a new tool that you’re not familiar with that they want to interact on. Or you may get pull from your employees internally because they’re familiar with tools from their personal lives. So that encroachment of new tools, it doesn’t go away. It’s always been with us. And so it’s things that we have to anticipate. Again, be agnostic because there’s going to be something that comes right along behind it that potentially makes you know an explicit regulation irrelevant from the outset.
Terry Gerton I’m speaking with Robert Cruz. He’s the Vice President for Regulatory and Information Governance at SMARSH. All right, let’s follow along with that because you’ve got a proposal that includes a compliance safe harbor. So along with these compliance questions, what would that change for firms and how does it address the challenges of enforcement?
Robert Cruz Well, it’s an interesting concept because the rules today are meant to be principles-based. They’re not prescriptive. In other words, they don’t tell you, you must do the following. And that’s one of the challenges the industry has is that, what is good enough? What is the SEC specifically looking for? So this is like trying to give people a safe spot to which then you can say, well, SEC, if you really care about, you know, particular areas of these communications, they can tune their programs to do that. So it feels like it’s just giving some latitude so that we can define best practices. We can get a clearer sense of what the regulators are looking for. It’ll guide our governance processes by just having a clearer picture of where enforcement’s going to be focused.
Terry Gerton The regulatory process that would apply here is notoriously slow and complicated. What’s at stake for firms and investors if we don’t get this modernized?
Robert Cruz Well, I think you’re going to continue to see just a lot of individual practices that will vary. Some firms will interpret things differently and we’ll need to wait for enforcement to determine which is the best way. So, case in point, generative AI — if you’re using these technologies inside of the tools that you currently support, are these going to be considered issues for the SEC or not? We we have to wait until we get some interpretation from the regulators to say, yes, we need to have stronger controls around this, or yes, we need to block these tools. You know, you need to make that adjustment based upon the way that the SEC responds to it.
Terry Gerton And what is your sense of how the SEC might respond to this?
Robert Cruz My gut tells me that just given where we are right now, you know, the SEC has a reduction in headcount it’s dealing with. It’s stating its mission very clearly and its focus is on crypto, is on capital formation, is on reducing regulatory burden. I just don’t know if this makes the list. So it clearly is being abdicated strongly from SIFMA, but, whether this makes page one of the SEC priorities list with the 20% reduction in headcount, it really seems like an outside chance that it gets onto their agenda.
Terry Gerton Could it inform some of the other regulation issues that they’re addressing, such as crypto and and capital formation?
Robert Cruz Absolutely. And that’s a great comment — the notion of using an unapproved communication tool, it didn’t go away. We may not see the big fines anymore, but I think the regulators are going to be saying if there’s an issue related to crypto, related to investor harm or what have you, if you’re using a tool that is not approved for use, you don’t have the artifact, you don’t have the historical record. They’re not going to view that you know favorably if you’re not able to defend your business. And so it’ll come up in context of other examinations that they’re carrying out. So maybe not a means to an end as it’s been for the last two years, but it will impact their ability to do their jobs ultimately.
A crypto market analyst has compared XRP to NVIDIA, an American technology company with one of the biggest tech success stories in history. The analyst implied that buying XRP today could mirror the opportunity investors had when purchasing NVIDIA shares in 2000 at just $0.35. The comparison emphasizes the long-term potential of the XRP price and highlights the importance of HODLing.
XRP Today Shows Growth Potential Like NVIDIA In 2000
A leading market expert, Egrag Crypto, has drawn a striking parallel between the current XRP price and the early days of NVIDIA. He suggested that buying XRP now could be akin to purchasing NVIDIA shares at just $0.35, as recorded in 2000. At the time of writing, the shares are priced around $180, representing a staggering 51,329% increase from over two decades ago.
Egrag Crypto points out that a $10,000 investment in NVIDIA at $0.35 per share in 2000 would have secured roughly 28,571 shares. At today’s prices, those shares would be worth over $5,142,780, demonstrating an investment strategy focused more on maintaining conviction and patience than timing or predicting the market perfectly. Beyond this, the analyst’s comparison illustrates the power of investing long-term in disruptive technologies, showing how early adoption and willingness to hold through volatility can result in life-changing gains.
Applying this perspective to XRP, Egrag Crypto highlighted that the cryptocurrency has surged from $0.006 to $3.65 over the past 10 years. By comparing the altcoin to NVIDIA shares, he suggests the cryptocurrency could have similar potential for transformative, explosive growth. As a result, he implied that the current XRP price of $2.2 may present a potential entry point for investors willing to commit to a disciplined long-term strategy.
Much like NVIDIA in its early days around 2000, XRP is still in the initial stages of its growth trajectory. The cryptocurrency recently emerged from a prolonged legal battle with the US SEC that had constrained its development and price appreciation for nearly 7 years. With increasing utility and ongoing ecosystem developments, XRP is well-positioned to grow over time. While its price has declined roughly 20% this year, according to CoinMarketCap, analysts remain optimistic about its long-term outlook.
XRP On-Chain Activity Hits Record Levels
On the technical front, XRP has experienced a remarkable surge in on-chain activity, signaling heightened engagement across the network. Data from CryptoQuant shows that on December 2, the velocity metric for the XRP Ledger (XRPL) spiked to a yearly high of $0.0324.
Analysts from CryptoQuant have revealed that the rise in circulation velocity suggests that XRP is being actively traded rather than sitting idle in cold wallets. The increase points to high liquidity and significant participation from whales who appear to be moving large amounts of tokens.
Additionally, such activity indicates that the XRP network is experiencing unprecedented levels of engagement, with more coins changing hands in a short time than the market has seen so far in 2025.
The U.S. Securities and Exchange Commission has stepped in to stop the launch of some of the most aggressive exchange-traded funds ever proposed in the country.
The products were designed to deliver three to five times the daily performance of stocks and cryptocurrencies, pushing the limits of how much risk regulators are willing to allow.
The SEC has stopped ProShares from launching new 3× leveraged crypto funds. They proposed
3× Bitcoin, 3× Ether, 3× Solana, 3× XRP.
The SEC says the funds break leverage rules, so ProShares must fix the filings or withdraw them. Nothing moves forward until they do.… pic.twitter.com/SXlYAHKgkZ
ETF Issuers Pull Filings After SEC Flags Leverage Rule Violations
On Tuesday, the agency issued nine warning letters to major ETF providers, including Direxion, ProShares, and Tidal Financial.
In the letters, the SEC said it would not review the filings unless the firms addressed serious regulatory concerns.
At the center of the issue is Rule 18f-4 under the Investment Company Act of 1940, which limits how much leverage a fund can use.
The rule caps a fund’s value-at-risk exposure at 200% of its reference benchmark, a level several of the proposed products appear to exceed.
The targeted funds used derivatives to magnify daily returns. Some were linked to highly volatile assets such as Bitcoin, Ether, Nvidia, and Tesla, with exposure of up to five times the daily move.
No 5x single-stock or crypto ETF has ever been approved in the U.S., and even 3x products have long faced strict limits from regulators.
The SEC told issuers to either adjust their strategies to meet legal requirements or withdraw their filings altogether.
Within a day of the letters being posted, ProShares moved to pull several of its 3x and crypto-related ETF applications.
Market analysts say the SEC’s latest move shows a clear effort to rein in ETF issuers that have been testing the limits of leverage rules.
The filings under scrutiny were widely viewed as attempts to stretch existing regulations to push higher-risk products into the market, an approach the agency has consistently resisted.
SEC Challenges High-Risk ETF Strategies as Leveraged Funds Hit $162 Billion
The decision also interrupts what had been one of the most permissive periods for ETF approvals in U.S. history.
Over the past year, the SEC approved spot Bitcoin and Ethereum ETFs, crypto yield products, and a wave of structured funds built around options income, partial leverage, and downside protection.
The SEC’s green light of spot Bitcoin ETFs opens the floodgates for issuers, but Bitcoin's price has so far stayed flat, defying expectations. When will we see bullish price action? #CryptoNews#BTCETFhttps://t.co/6mKK9Vdam2
Even during October’s government shutdown, ETF filings continued to surge despite the agency operating with reduced staff.
Several issuers pressed even further. 21Shares submitted an application for a leveraged fund tied to the Hyperliquid token.
Volatility Shares went a step beyond, filing the first proposals for 5x leveraged ETFs linked to both stocks and cryptocurrencies, applications that quickly drew regulatory attention.
With its latest response, the SEC has effectively drawn a boundary on how far leverage will be allowed to go.
Leveraged ETFs have grown rapidly in popularity among retail traders, particularly after speculative activity surged during the pandemic. Total assets across leveraged funds now stand at roughly $162 billion.
The largest of these products, the ProShares UltraPro QQQ, which targets three times the daily return of the Nasdaq 100, has risen nearly 40% this year and holds more than $31 billion in assets.
However, losses across other products show the risks. The Defiance Daily Target 2x Long MicroStrategy ETF is down more than 83% this year, while a similar 2x fund tied to Super Micro has fallen over 60%.
Another metric of the SEC’s concerns was the speed at which it made its warning letters public.
The notices were released on the same day they were issued, a rare step for correspondence that is typically disclosed weeks later. The agency declined further comment, citing the ongoing review process.
Looks like SEC is pushing back on all the 3x and 5x filings, calling them out on the loophole they were trying to use, to get around the 200% VAR, and "requests them to revise the obj and strategy to be consistent with 18f-4 or withdrawal" Honestly, it's for the best. I'm as… pic.twitter.com/J8p6o1ND2B
Bloomberg ETF analyst Eric Balchunas said the SEC is now directly challenging strategies it believes exploit technical gaps in leverage limits, leaving issuers facing a clear choice: adjust their products or abandon them.
The action also coincides with renewed warnings from former SEC Chair Gary Gensler, who continues to caution that most crypto-linked assets remain highly speculative despite growing institutional interest.
SEC has moved to block the launch of highly leveraged ETFs designed to deliver three to five times the daily performance of stocks and cryptocurrencies.
U.S. spot Bitcoin exchange-traded funds recorded their fifth straight day of inflows today as BTC recovered to nearly $94,000, its highest level in nearly two weeks. According to data from SoSoValue, the 12 spot Bitcoin ETFs logged $58.5 million in…
21Shares has taken another step toward launching a spot Dogecoin exchange-traded fund in the U.S., filing an amendment that reveals the fund’s fee structure and adds fresh operational details. In a new development, ETF issuer 21Shares is advancing its push…
Alt5 Sigma is facing fresh scrutiny after conflicting timelines in its SEC filings raised questions about how and when the company disclosed the resignation of its independent accountant. In a Black Friday submission, Alt5 Sigma told the SEC it learned…
Artificial intelligence isn’t just another tool in the security stack anymore – it’s changing how software is written, how vulnerabilities spread and how long attackers can sit undetected inside complex environments. Security researcher and startup founder Guy Arazi unpacks why AI has become both a powerful defensive accelerator and a force multiplier for adversaries, especially..
Coinbase received 12,716 government and law enforcement information requests between October 2024 and September 2025, marking a 19% year-over-year increase and the highest volume in the exchange’s history.
International requests accounted for 53% of the total, a new high, with France leading jurisdictions outside the U.S. with a 111% surge in demand for customer data.
The surge comes as Coinbase expands operations across more than 100 countries amid heightened regulatory scrutiny following major compliance failures in Europe and a damaging cybersecurity breach earlier this year.
The exchange’s seventh annual Transparency Report, published by Chief Legal Officer Paul Grewal, points out the growing global pressure on crypto platforms to balance user privacy with legal obligations.
France Drives International Demand, U.S. Still Dominates
The United States remained the largest single source of requests, followed by Germany, the United Kingdom, France, Spain, and Australia.
These six countries combined accounted for roughly 80% of all law enforcement requests globally.
France saw the sharpest increase among major jurisdictions, with requests jumping 111% from the prior reporting period.
The U.K. and Spain also posted double-digit gains, rising 16% and 27% respectively. Germany, Sweden, and South Korea recorded decreases, with South Korea’s requests dropping 67%.
Requests from Moldova and Brazil increased by factors of 5.7 and 2.7, while Australia’s volume remained nearly flat with just a 1% uptick.
The malfunction affected five of 21 transaction-monitoring scenarios, forcing Coinbase to reanalyze 185,000 transactions and file 2,700 suspicious transaction reports.
In May, the exchange disclosed a cyberattack compromising the personal data of at least 69,461 customers, including government-issued IDs and email addresses, after hackers bribed customer service staff.
The breach, which was not disclosed until weeks after discovery, triggered at least six class-action lawsuits and a Justice Department investigation.
Shareholders later filed a separate suit alleging that Coinbase and its CEO, Brian Armstrong, failed to promptly disclose both the breach and the UK compliance violation, contributing to a 7.2% drop in the company’s stock.
Coinbase Expands Compliance as SEC Pressure Eases
Coinbase emphasized in its latest report that it reviews each request on a case-by-case basis and seeks to narrow overly broad demands.
The exchange stated that it seeks to provide anonymized or aggregated data whenever possible, rather than exposing individual customer information.
Requests received do not always result in data being produced, and the company maintains that it does not grant governments direct access to its systems.
The report arrives as Coinbase benefits from a dramatic shift in U.S. regulatory posture.
Great news!
After years of litigation, millions of your taxpayer dollars spent, and irreparable harm done to the country, we reached an agreement with SEC staff to dismiss their litigation against Coinbase. Once approved by the Commission (which we're told to expect next week)… pic.twitter.com/IlnoBs7N6n
Additionally, back in September, Atkins pledged to replace what he called a “shoot first and ask questions later” approach with advance notices and clearer guidance for crypto firms.
US Securities and Exchange Commission Commissioner Hester Peirce has renewed her defense of crypto self-custody, calling it a basic freedom and pushing back against the growing idea that privacy in financial transactions is somehow suspicious.
Key Takeaways:
Hester Peirce says crypto self-custody is a basic freedom and people should not be forced to rely on intermediaries to hold their assets.
She argues that financial privacy should be the default and not treated as evidence of wrongdoing.
Her comments come as crypto legislation is delayed and ETFs pull some investors away from self-custody.
Speaking on The Rollup podcast, Peirce described herself as a “freedom maximalist” and argued that people should not be forced to rely on intermediaries to control their assets.
“Of course people can hold their own assets,” she said, questioning why that principle should even be controversial in a country founded on personal liberty.
SEC’s Peirce Says Financial Privacy Should Be the Default
Peirce also took aim at what she described as a cultural shift toward treating financial privacy as a red flag. Instead, she said, privacy should be the default, not a sign of wrongdoing.
“If you want to keep your transactions private, the assumption shouldn’t be that you’re doing something illegal,” she said. “It should be the opposite.”
Her remarks arrive as uncertainty continues around US crypto legislation.
According to Senator Tim Scott, the Digital Asset Market Structure Clarity Act, a bill that addresses self-custody, anti-money laundering rules and the classification of digital assets, has been delayed until 2026.
SPECIAL EP: America's Crypto Regulatory Reset with SEC Commissioner @HesterPeirce.
Rob and Andy interviewed @SECGov Commissioner Hester Peirce about why 2025 marks the line in the sand for crypto regulation in America.
The lull has left the industry without a legal framework that directly addresses how Americans can legally hold and use digital assets.
Peirce’s comments also come at a time when self-custody itself faces competition from Wall Street products.
Spot Bitcoin exchange-traded funds have made crypto easier to access for traditional investors, drawing some users away from holding coins directly in private wallets.
Self-Custodied Bitcoin Falls for First Time in 15 Years
Dr. Martin Hiesboeck, head of research at Uphold, said the industry is seeing the “first decline in self-custodied Bitcoin in 15 years,” as investors shift into ETFs for tax advantages and convenience.
The introduction of in-kind redemptions earlier this year allows ETF holders to swap crypto for shares without triggering a taxable event, a benefit that directly competes with personal wallets.
The real reason for all the whale movements out of self-custody is simple: taxes.
We are witnessing the first decline in self-custodied Bitcoin in 15 years.
BlackRock's iShares spot Bitcoin ETF (IBIT) has facilitated over $3 billion worth of Bitcoin conversions from whales.… pic.twitter.com/yepXRbLozM
The debate intensified in February when analyst PlanB disclosed that he had moved his Bitcoin into ETFs to avoid the stress of managing private keys.
He claimed that ETFs offer a convenient alternative, reducing the complexities and risks associated with holding private wallet keys.
One of the key reasons behind PlanB’s decision is the security challenge of managing private keys. “Not having to hassle with keys gives me peace of mind,” he stated.
The announcement sparked backlash from purists who see centralized custody as a betrayal of Bitcoin’s founding principles.
Crypto analyst ChartNerd has predicted that the XRP price could rally 10x if a specific trend repeats. The analyst also revealed what needs to happen for the altcoin to invalidate this potential parabolic rally.
XRP Price Could Rally 10x If This 2017 Pattern Plays Out
In an X post, ChartNerd predicted that the XRP price could rally 1,000% if a bullish pattern from the 2017 bull cycle plays out. The analyst noted that during the 2017 euphoric run, the altcoin had a 3-month cool-off period where it successfully dropped towards its 3-month 20-EMA for a retest before a 25x move to the upside.
ChartNerd revealed that the XRP price has now witnessed the exact same set-up in this 2025 bull cycle. The altcoin recorded a huge breakout last year and is now seeing a 3-month cool-off period towards a 3-month 20-EMA retest. The analyst stated that if history is set to repeat, XRP could see a 10x upside move, signaling a blow-off top.
The analyst also alluded to the 2021 lower high, which he noted ties up with both the monthly candle close highs from 2017 and also the SEC lawsuit, which is believed to have suppressed the XRP price during the 2021 cycle. ChartNerd added that to invalidate this potential rally, XRP will need to close below its 3-month 20-EMA at $1.20. Until then, he noted that the bulls remain in control.
Meanwhile, ChartNerd outlined $8, $13, and $27 as the potential top-out points for the XRP price. Notably, a rally to any of these price targets will mark a new all-time high (ATH) for the altcoin. Crypto analyst Egrag Crypto had also previously predicted that XRP could reach $27 in this bull run if it mirrors the 2017 price action.
XRP Could Be The Next Crypto To Record A Major Run
Market commentator Milk Road suggested in an X post that the XRP price could soon record a major run. The platform cited bullish fundamentals for the altcoin, including the fact that RLUSD crossed $1 billion in market cap in record time. The run to this milestone is said to be faster than almost any stablecoin Ripple has ever pushed.
Furthermore, Milk Road noted that Abu Dhabi’s ADGM has opened the door for institutions to use RLUSD as real collateral, which is also bullish for the XRP price. The market commentator stated that global liquidity with regulated on-ramps could mean the kind of flows that crypto hasn’t seen in months. It is also worth noting that XRP is seeing significant flows into its ecosystem through the U.S. spot ETFs.
At the time of writing, the XRP price is trading at around $2.18, down in the last 24 hours, according to data from CoinMarketCap.
It’s been another consequential week in Washington and beyond, with U.S. regulators sending mixed but meaningful signs across crypto, AI, and financial policy. From the SEC greenlighting a Solana-based token to the prospect of a crypto-friendly Federal Reserve chair, the regulatory climate is shifting fast—particularly as policymakers grapple with emerging technologies that are outpacing existing frameworks.
Fuse asked the SEC’s Division of Corporation Finance on Nov. 19 to confirm it would not recommend enforcement action over the offer and sale of its FUSE token. The project emphasized that FUSE isn’t pitched as a speculative asset: it’s strictly a network participation token, distributed as a reward to users who maintain the protocol’s decentralized infrastructure. The SEC agreed.
In a letter signed by deputy chief counsel Jonathan Ingram, the regulator stated it would not pursue enforcement “based on the facts presented” if Fuse adheres to the guardrails it outlined.
Additionally, the token can only be redeemed through third-party venues at market rates, showing the SEC’s focus on removing any investment-like characteristics.
This marks the second DePIN-related no-action letter in recent months. While not precedent-setting, the decision is a useful datapoint: when tokens are tightly scoped to utility and distribution is controlled, the SEC appears more open to relief. For projects building real-world infrastructure on-chain, it’s one of the clearest regulatory signs we’ve seen in months.
Trump’s Top Fed Pick Has Deep Crypto Ties
Crypto markets may soon have a sympathetic voice at the very top of U.S. monetary policy. Kevin Hassett—director of the White House National Economic Council and longtime Trump ally—has emerged as the leading candidate to replace Jerome Powell as Federal Reserve 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#FedChairhttps://t.co/Oa59lRry11
What’s striking is Hassett’s history with digital assets. He has publicly engaged with the crypto sector, consulted with policy groups connected to the space, and indicated openness to digital-asset innovation.
Trump’s advisers describe him as someone whom the president trusts deeply on interest-rate policy—particularly on the question of cutting more aggressively than Powell. Hassett has also reportedly indicated he would accept the role if selected.
If appointed, this would be the most crypto-friendly Fed chair in U.S. history. While the Fed is not a crypto regulator, its stance on dollar liquidity, stablecoins, and payment systems has enormous downstream effects. A pro-innovation chair could spur greater openness across other agencies—or at the very least, reduce friction.
Bipartisan Bill Targets Rising AI-Powered Fraud
AI-generated scams are surging, and Congress is taking notice. This week, lawmakers introduced the AI Fraud Deterrence Act, a bipartisan proposal from Rep. Ted Lieu (D-CA) and Rep. Neal Dunn (R-FL). The bill seeks to impose tougher penalties on crimes committed using artificial intelligence—particularly impersonation schemes, deepfakes, automated theft, and coordinated fraud rings.
The legislation is also explicitly tied to financial markets and crypto, where AI-powered fraud is growing at an alarming rate. High-profile cases involving deepfake video scams, impersonation bots, and automated phishing rings have intensified pressure on lawmakers to intervene.
The bill’s broader message is clear: manipulation, impersonation, and automated fraud using AI tools will face harsher federal consequences. Expect this framework to evolve quickly, given the sharp rise in AI-driven schemes across exchanges and Web3 platforms.
CFTC Pushes for New Prediction Markets Framework
Finally, at the CFTC, Commissioner Caroline Pham is making moves to bring prediction markets into sharper regulatory focus.
Pham announced that the agency is seeking nominations for its new CEO Innovation Council, a body designed to advise on emerging markets and frontier financial technologies. One of the council’s early priorities will be the rapidly evolving prediction markets sector—a space that has grown too large and too influential for federal regulators to ignore.
Through a Nov. 25 press release, Pham invited public nominations and encouraged industry stakeholders to propose topics the council should prioritize. With prediction markets increasingly touching politics, finance, sports, and crypto, the CFTC is clearly preparing a more structured approach.
This comes as platforms like Polymarket continue to expand and attract mainstream attention, forcing regulators to reconsider how forecasting markets fit within existing derivatives law.
The Big Picture
From the SEC’s cautious openness to utility-focused tokens, to Congress tightening the screws on AI-based crime, to the CFTC’s attempt to modernize its oversight, the regulatory ecosystem is shifting in real time.
But the most consequential development may be Trump’s apparent interest in appointing a Fed chair aligned with crypto innovation. That appointment would reverberate through every corner of financial policy—from stablecoins to global dollar rails to payments innovation.
Following the launch of the historic XRP Spot ETFs, the community has been buzzing with excitement, triggering notable success for the funds over the next few days. As the exchange funds continue to attract significant inflows, a crypto expert has outlined the development that is unfolding behind the initiative.
What’s Happening Behind The XRP Spot ETFs
The Spot XRP ETFs are seeing robust growth, but what is happening behind the scenes is quite interesting and demands attention. Pumpius, a crypto expert and investor, has uncovered a subtle play among institutions that is not being shared with the general crowd.
According to the expert, ETF fund managers are legally forbidden from purchasing XRP directly from payment firm Ripple or escrow. This is due to the court’s injunction that every single ETF must acquire the altcoin on the open market only, breaking the concept of shortcuts, backdoor deals, and wholesale buying.
Pumpius has declared this underlying trend at the institutional level to be the most bullish step for the altcoin. His reason hinges on the fact that Ripple will only release what is absolutely necessary from the monthly escrow holdings.
Furthermore, the payment firm will avoid causing taxable events this way by keeping the escrow untouched. Such a move would imply that Ripple is drip-feeding just enough liquidity to avoid dislocation while ETFs are actively absorbing circulating supply.
The expert considers this pattern the calm before a structural supply shock, and not a sign of stagnation. When the shift happens, it will be seen as a balancing act, a pressure build-up, and a loading phase.
In the meantime, fund managers are already in discussion with Ripple, which means timing coordination is currently ongoing. At the same time, the expert has highlighted that supply dynamics are now being designed in real time.
Once the early balance period concludes and ETF demand continues to rise while escrow is strictly regulated, XRP will not move at a slow pace. Instead, the expert predicts that the altcoin will experience substantial movement, breaking upside resistance levels with violence.
A High Demand For The Exchange Funds
Spot XRP ETFs have become a serious mode of investment in the landscape since their launch. Franklin Templeton recently stunned the market by introducing the Franklin XRP ETF on NYSE Arca and referring to the token as “fundamental to the global settlement system.”
Other major firms such as Bitwise, Grayscale, and Canary Capital have all rolled out their own ETFs, which attracted millions in inflows from their first day. With the robust adoption and interest in the funds, the message is clear that the demand for regulated XRP exposure is bigger than anticipated.
Despite the significant demand, BlackRock, the world’s largest asset manager, has yet to jump into the funds, stating that customer demand is still primarily centered on Bitcoin and Ethereum for now. Furthermore, they believe that regulatory clarity is still not entirely certain despite repeated victories over the US SEC.
However, if the company eventually launches its own fund, it would spur billions of capital and new institutional money. Considering its status in the finance sector, “a BlackRock ETF would be the ultimate stamp of approval.”
An easy-to-exploit vulnerability in a jury system made by Tyler Technologies exposed the personally identifiable data of jurors, including names, home addresses, emails, and phone numbers.
Nowadays, we often discuss the importance of protecting our systems from malware and sophisticated attacks. We install antivirus software, configure firewalls, and maintain vigilant security practices. But what happens when the attack vector isn’t a malicious file or a network exploit, but rather a legitimate browser feature you’ve been trusting?
This is precisely the threat posed by a new command-and-control platform called Matrix Push C2. This browser-native, fileless framework leverages push notifications, fake alerts, and link redirects to target victims. The entire attack occurs through your web browser, without first infecting your system through traditional means.
In this article, we will explore the architecture of browser-based attacks and investigate how Matrix Push C2 weaponizes it. Let’s get rolling!
The Anatomy of a Browser-Based Attack
Matrix Push C2 abuses the web push notification system, a legitimate browser feature that websites use to send updates and alerts to users who have opted in. Attackers first trick users into allowing browser notifications through social engineering on malicious or compromised websites.
Once a user subscribes to the attacker’s notifications, the attacker can push out fake error messages or security alerts at will that look scarily real. These messages appear as if they are from the operating system or trusted software, complete with official-sounding titles and icons.
The fake alerts might warn about suspicious logins to your accounts, claim that your browser needs an urgent security update, or suggest that your system has been compromised and requires immediate action. Each notification includes a convenient “Verify” or “Update” button that, when clicked, takes the victim to a bogus site controlled by the attackers. This site might be a phishing page designed to steal credentials, or it might attempt to trick you into downloading actual malware onto your system. Because this whole interaction is happening through the browser’s notification system, no traditional malware file needs to be present on the system initially. It’s a fileless technique that operates entirely within the trusted confines of your web browser.
Inside the Attacker’s Command Center
Matrix Push C2 is offered as a malware-as-a-service kit to other threat actors, sold directly through crimeware channels, typically via Telegram and cybercrime forums. The pricing structure follows a tiered subscription model that makes it accessible to criminals at various levels of sophistication. According to BlackFog company, the Matrix Push C2 costs approximately $150 for one month, $405 for three months, $765 for six months, and $1,500 for a full year. Payments are accepted in cryptocurrency, and buyers communicate directly with the operator for access.
From the attacker’s perspective, the interface is intuitive. The campaign dashboard displays metrics like total clients, delivery success rates, and notification interaction statistics.
Source: BlackFog
As soon as a browser is enlisted by accepting the push notification subscription, it reports data back to the command-and-control server.
Source: BlackFog
Matrix Push C2 can detect the presence of browser extensions, including cryptocurrency wallets like MetaMask, identify the device type and operating system, and track user interactions with notifications. Essentially, as soon as the victim permits the notifications, the attacker gains a telemetry feed from that browser session.
Social Engineering at Scale
The core of the attack is social engineering, and Matrix Push C2 comes loaded with configurable templates to maximize the credibility of its fake messages. Attackers can easily theme their phishing notifications and landing pages to impersonate well-known companies and services. The platform includes pre-built templates for brands such as MetaMask, Netflix, Cloudflare, PayPal, and TikTok, each designed to look like a legitimate notification or security page from those providers.
Source: BlackFog
Because these notifications appear in the official notification area of the device, users may assume their own system or applications generated the alert.
Defending Against Browser-Based Command and Control
As cyberwarriors, we must adapt our defensive strategies to account for this new attack vector. The first line of defense is user education and awareness. Users need to understand that browser notification permission requests should be treated with the same skepticism as requests to download and run executable files. Just because a website asks for notification permissions doesn’t mean you should grant them. In fact, most legitimate websites function perfectly well without push notifications, and the feature is often more of an annoyance than a benefit. If you believe that your team needs to update their skills for current and upcoming threats, consider our recently published Security Awareness and Risk Management training.
Beyond user awareness, technical controls can help mitigate this threat. Browser policies in enterprise environments can be configured to block notification permissions by default or to whitelist only approved sites. Network security tools can monitor for connections to known malicious notification services or suspicious URL shortening domains.
Summary
The fileless, cross-platform nature of this attack makes it particularly dangerous and difficult to detect using traditional security tools. However, by combining user awareness, proper browser configuration, and anti-data exfiltration technology, we can defend against this threat.
In this article, we briefly explored how Matrix Push C2 operates, and it’s a first step in protecting yourself and your organization from this emerging attack vector.
In this episode, we discuss the first reported AI-driven cyber espionage campaign, as disclosed by Anthropic. In September 2025, a state-sponsored Chinese actor manipulated the Claude Code tool to target 30 global organizations. We explain how the attack was executed, why it matters, and its implications for cybersecurity. Join the conversation as we examine the […]
Login
All News – Federal News Network
Cryptonews
