Cryptoccino — Monday 12 October 2026

BTC, ETH and SOL ETFs all in the red for October. Bitcoin spot ETFs have posted $386 million in net outflows across the first seven trading days of the month, while Ethereum funds have logged nine consecutive days of losses. Solana ETF products have also failed to attract net inflows, making this the first sustained multi-asset ETF drawdown period since the products launched. decrypt

STRK up 322% in four weeks on Starknet L1 speculation. Starknet’s token has sharply outperformed BTC and ETH on rumours that the protocol may transition from an Ethereum L2 to an independent L1. The move would materially change its security model and validator economics, which is either the upside case or the risk, depending on your read. cryptobriefing

AVAX gains 50% over four weeks, outrunning majors. Avalanche’s native token has been one of the stronger performers in the current altcoin rotation, driven partly by renewed interest in its tokenised asset infrastructure. The move comes despite the broader ETF outflow backdrop, underlining that L1 re-rating is happening independently of TradFi wrapper flows. cryptobriefing

Papertrade launch exploited via Hyperliquid ETH price manipulation. A single trader cleared $1.28 million on the opening day of Papertrade, a new 1,000x perpetuals exchange, by moving Hyperliquid’s ETH price to trigger favourable fills. The same wallet subsequently lost $450,000 when 30 short positions were liquidated after sitting open for over three hours, illustrating how thin launch liquidity cuts both ways. theblock cryptobriefing

Sui Foundation puts $30M into DATA Network as the protocol retires its own chain. DATA Network, an AI data marketplace, will shut down its independent chain and rebuild natively on Sui, with the foundation committing $30 million to fund the migration. It is a notable data point for the chain-retirement playbook: projects increasingly prefer plugging into a funded ecosystem over maintaining sovereign infrastructure. theblock cryptobriefing

Sam Altman-backed Bitcoin-native life insurer closes $37.5M round. The Bermuda-based firm, which holds reserves entirely in BTC and underwrites life policies on that basis, drew the capital from existing investors led by Bain Capital Crypto after what it called a record year. Demand has come predominantly from high-net-worth families in Asia, Europe and the Middle East, suggesting the BTC treasury insurance thesis has a real private-wealth buyer base. decrypt

Solana handles 65% of tokenised equities trading volume. Despite the IMF noting that the roughly $2.3 billion tokenised stock market remains more volatile and less liquid than traditional equities, Solana has captured a commanding share of on-chain activity in the sector. More than half of all tokenised stock trades occur outside US market hours, which points to the geographic arbitrage case that DeFi-native platforms are best placed to serve. cryptobriefing decrypt coindesk

Jeonbuk Bank launches South Korea’s first BTC-collateralised corporate loans. The regional lender is offering Bitcoin-backed credit lines to business clients, making it the first Korean bank to formalise crypto collateral for corporate borrowers. The move comes as domestic regulators have been gradually loosening restrictions on institutional crypto engagement, and it could pressure larger Korean banks to follow. cryptobriefing

Ledger reseller supply-chain breach. See lead. Up to $93 million reportedly drained via compromised hardware sold through a third-party reseller. Firmware-level implants suspected; Ledger’s own systems not reported as the entry point. cryptobriefing

XRP Ledger silently patched a decade-old overflow bug that could have printed 18 trillion XRP. A flaw in the payment engine’s arithmetic allowed a single transaction to overflow and mint roughly 18 trillion spendable XRP, enough to dwarf the entire circulating supply many times over. The bug existed for approximately ten years and was patched without public disclosure until a post-fix notice this week; no exploit in the wild was detected. theblock

Singapore’s MAS adds Hyperliquid to its investor alert list. The Monetary Authority of Singapore flagged Hyperliquid as an unregulated platform, placing it on the alert list alongside other unlicensed entities. The listing does not ban use but signals regulatory attention at a moment when Hyperliquid is already under scrutiny for thin governance after the March validator incident. cryptobriefing

CFTC proposes reclassifying political, sports and weather event contracts as swaps. Two new CFTC measures would bring prediction market contracts tied to elections, sports results, cultural events and weather formally under the swap definition, while an interim rule carves out casino-style gambling. The dual move is widely read as an attempt to pre-empt state gaming regulators and set up a federal jurisdiction claim before a potential Supreme Court showdown. cointelegraph_regulation decrypt coindesk

France’s budget committee backs stablecoin swap tax and crypto exit levy, then rejects its own budget. A National Assembly committee adopted amendments that would tax swaps between stablecoins and impose exit taxes on large crypto holders, before the same committee voted down the 2027 budget’s revenue section in its entirety. The amendments may never pass into law, but they signal the direction French legislators want to travel on digital asset taxation. decrypt

GENIUS Act failure may accelerate informal stablecoin frameworks while protecting incumbents. With formal stablecoin legislation stalled, larger issuers operating under existing money-transmitter and trust-company licences are effectively grandfathered, while new entrants face a patchwork of state-level requirements. The regulatory gap may drive innovation offshore or into less scrutinised structures rather than producing the clarity the industry lobbied for. coindesk

What else is grinding?

• Ethereum Foundation-linked wallets sent 4,393 ETH to Kraken, renewing the recurring debate about whether foundation sales are systematically pressuring the price. cryptobriefing
• Zcash developer Zakura says hash-based post-quantum signatures are on track for January, with a transparent-address rotation privacy tool shipping this week. decrypt
• Trump declared an energy ceasefire between Russia and Ukraine, a development that could directly affect mining economics if gas and power flows to Eastern European operations stabilise. coindesk
• Coinbase fine-tuned an open-source Qwen3.5-9B model for fraud detection and says it outperforms frontier-scale models on its internal benchmarks at a fraction of the inference cost. cryptobriefing
• America’s Credit Unions is formally weighing in on stablecoin rulemaking, concerned that bank-issued stablecoins could pull deposits away from member-owned institutions. cryptobriefing

Last sip. The XRP overflow bug sat undetected for a decade; no one knows yet how many other payment-engine edge cases are still waiting.