Hey crypto addicts,

A new debate has emerged within the Bitcoin community after Adam Back and Michael Saylor publicly opposed BIP-110, a proposal that would limit certain types of non-financial data on the Bitcoin blockchain. Both argue that while reducing network spam may sound beneficial, changing Bitcoin's consensus rules could create a dangerous precedent and even increase the risk of a contentious network fork. Current miner support for the proposal remains extremely low, making activation unlikely in its current form.

Supporters of BIP-110 believe the proposal would help reduce blockchain congestion caused by Ordinals and other data-heavy transactions. Critics, however, argue that Bitcoin's strength lies in its neutrality and censorship resistance, warning that restricting valid transactions could undermine the network's core principles.

For investors, the debate is another reminder that Bitcoin's evolution isn't driven solely by price action. Protocol upgrades and governance discussions can have long-term implications, but meaningful changes require broad consensus across developers, miners, and node operators. For now, BIP-110 remains far from activation, leaving Bitcoin's existing consensus rules firmly intact. ☕

What we’ve covered for you today:

A suspected exploit involving the Hedera network has resulted in more than $5.8 million being bridged to Ethereum, raising fresh concerns over cross-chain security. Blockchain investigators reported that the stolen funds were moved through multiple wallets before being transferred to Ethereum, where they are being monitored by onchain analysts. While the exact cause of the exploit is still under investigation, developers and security teams are working to trace the funds and determine the extent of the breach.

The incident is another reminder that while blockchain networks themselves may remain secure, vulnerabilities can still emerge through smart contracts, bridges, or third-party infrastructure. As cross-chain activity continues to grow, securing these interconnected systems remains one of the industry's biggest challenges.

For investors, the event highlights the importance of strong security practices and risk management. While exploits can create short-term uncertainty, they also continue to drive improvements in auditing, monitoring, and infrastructure as the digital asset ecosystem matures. ☕

Japanese financial giant SBI Holdings has invested $76 million into institutional crypto exchange EDX Markets, underscoring the growing race to build regulated infrastructure for professional investors. The funding will be used to expand EDX's trading, clearing, and settlement services, accelerate product development, and support international growth as institutional demand for digital assets continues to increase.

EDX, which is backed by major financial firms including Charles Schwab, Citadel Securities, and Fidelity, operates an institution-only marketplace designed to mirror traditional financial markets by separating trading, custody, and clearing. The company is also expanding its product suite and pursuing a U.S. national trust bank charter to strengthen its regulated service offering.

For the crypto industry, the investment is another sign that institutional adoption continues to accelerate behind the scenes. As traditional financial firms commit more capital to regulated trading infrastructure, the focus is shifting beyond speculation toward building the long-term foundation needed to support banks, asset managers, and large-scale investors entering the digital asset market. ☕

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Robinhood Chain is rapidly emerging as a serious competitor to Coinbase's Base, processing 7.6 million daily transactions just 11 days after its mainnet launch. Much of the early growth has been driven by gas fee subsidies, tokenized stock trading, and strong decentralized finance activity, allowing the network to quickly narrow the gap with Base, which processed around 9.2 million daily transactions over the same period.

Robinhood's Layer 2 network has also seen strong adoption across its ecosystem, with over $500 million in daily Uniswap trading volume and growing interest in tokenized real-world assets. Unlike many new blockchain launches, Robinhood is leveraging its existing brokerage user base to accelerate adoption, combining traditional finance with onchain infrastructure.

For the crypto industry, the rapid growth highlights how competition among Ethereum Layer 2 networks is intensifying. While Robinhood's promotional incentives have helped fuel early activity, the real test will come once the temporary gas subsidies expire. If network usage remains strong, Robinhood Chain could become a major player in the growing market for tokenized assets and decentralized finance.

Pakistan's crypto leadership has opened discussions with the country's top Islamic scholars to determine how digital assets can fit within Islamic finance principles. The dialogue comes after a prominent cleric issued a fatwa declaring cryptocurrency trading impermissible under Shariah, creating uncertainty as Pakistan simultaneously pushes ahead with its crypto regulatory.

A new Cambridge Centre for Alternative Finance study has found that Ethereum ranks among the most energy-efficient major proof-of-stake (PoS) blockchains following its transition from proof-of-work during The Merge. The report estimates Ethereum now consumes approximately 7.9 GWh of electricity per year, with its energy usage falling by more than 99.9%.

According to Real Vision chief crypto analyst Jamie Coutts, Bitcoin may be entering the second half of the current bear market, with several long-term indicators suggesting that selling pressure is beginning to ease despite the broader downtrend. Coutts notes that Bitcoin has already retraced roughly 50% from its all-time high.

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