The X100 protocol on Ethereum was exploited for 4.85 million USDT following a governance takeover, with Blockaid warning the attack was ongoing.
Two transactions were used to drain the protocol's treasury tokens and liquidity positions, converting the assets into USDT. Blockaid flagged the exploit in real time as it unfolded on-chain.
Governance-based attacks — where an attacker seizes control of a protocol's decision-making mechanism to authorize malicious actions — have become an increasingly common attack vector in DeFi.
📈 Franklin Templeton Files Two Hybrid Bitcoin ETFs on Nasdaq
Franklin Templeton has registered two new Bitcoin ETFs for Nasdaq listing, combining U.S. equity exposure with bitcoin positions funded by stock dividends.
The funds, trading under tickers FBEQ and FIBT, were named in a Form 8-A filed with an effective date of October 22, 2026. Both strategies allocate initial capital across equities and bitcoin — accessed via exchange-traded products — then direct ongoing stock dividends into additional bitcoin exposure.
The hybrid structure marks a distinct approach to crypto ETF design, blending traditional equity indexes with bitcoin accumulation through dividend reinvestment rather than direct bitcoin-only mandates.
A three-month international law enforcement operation led by the United Arab Emirates has traced more than $39 billion in funds and cryptocurrencies linked to scam activity, resulting in over 960 arrests and raids on 29 fraud centers.
Dubbed Operation Confrontation Ghost, the crackdown spanned 30 countries and involved 13 private sector partners including Huawei, Mastercard, and Meta. Authorities identified fraud-linked assets across both traditional finance and crypto channels during the operation.
The scale of the operation reflects growing cross-border coordination to combat crypto-enabled financial crime, with private sector firms playing an increasingly active role alongside law enforcement agencies.
⚖️ BNB secures Hong Kong regulatory listing approval
Binance Coin (BNB) has received approval for listing on Hong Kong's regulated brokerage pipeline, marking a significant regulatory milestone for the asset in one of Asia's key financial hubs.
Binance founder Changpeng Zhao (CZ) publicly acknowledged the development. The listing places BNB within Hong Kong's regulated crypto framework, which has been expanding to accommodate more digital assets under the city's pro-crypto licensing regime.
Hong Kong has positioned itself as a regulated crypto hub, with authorities progressively approving assets and platforms for retail and institutional access.
⚖️ New York AG pursues $1.37B from NovaTech crypto fraud founders
New York Attorney General Letitia James is seeking $1.37 billion from the founders of NovaTech, a crypto platform accused of running a Ponzi scheme, after the couple fled the United States.
NovaTech's platform took in $1.16 billion from investors but traded only a fraction of those funds. James has already secured nearly $6 million in settlements from four promoters tied to NovaTech and the related AWS Mining fraud schemes. The AG is now asking a court to order the remaining $1.37 billion in payments from the companies' founders directly.
The case is among the larger state-level enforcement actions targeting crypto fraud, underscoring continued regulatory pressure on platforms that misrepresent trading activity to investors.
🔷 Ethereum delays Glamsterdam testnet over smart contract security risk
Ethereum developers have canceled the planned Hoodi testnet activation of the Glamsterdam upgrade after security researchers flagged a vulnerability in the proposed gas rule changes.
ChainSecurity identified 13 real-world smart contracts potentially affected by the new gas mechanics, which researchers showed could allow contracts to permanently record failed operations — an unintended behavior. The firm is coordinating responsible disclosure with the affected projects.
The Hoodi activation, originally scheduled for Monday, has been postponed while developers assess the risk. No revised launch date has been announced.
🔐 Coldcard Maker Coinkite Sued Over $140M Bitcoin Theft
A class action lawsuit filed September 11, 2026, targets Coinkite, manufacturer of the Coldcard hardware wallet, after a five-year-old security flaw allegedly allowed attackers to drain more than $140 million in Bitcoin from customer wallets.
The suit claims Coldcard devices generated predictable seed phrases — recovery sequences that should be cryptographically random — leaving users exposed to theft. Predictable recovery phrases can allow attackers to reconstruct private keys and sweep funds without physical access to the device.
The case highlights longstanding concerns about the security assumptions users place in hardware wallets, which are widely marketed as the safest method of self-custody for digital assets.