CFA Report Pegs US Crypto Fraud Losses at $80.7B

Elmin Redzepagic, a 24-year-old man from Connecticut, is accused by federal prosecutors of defrauding crypto investors of nearly a million dollars and gambling the funds online. The Department of Justice indicted him on multiple charges, including wire fraud and money laundering, potentially facing 375 years in prison.

The DeFi Education Fund has advised the U.K.'s Financial Conduct Authority to define "control" narrowly for crypto asset activities. DEF emphasized that regulatory obligations should depend on an entity's authority over user funds or transactions, not just involvement in a decentralized protocol.

FedEx Corp. has recently joined the Hedera Council to help govern the Hedera distributed ledger network, supporting the company's goal of enhancing global commerce through digital transformation. By participating in the council, FedEx aims to contribute its expertise in building open digital infrastructure for supply chains.

Tomasz Stańczak, co-executive director of the Ethereum Foundation, will step down from his role at the end of February 2026, signaling a significant change in the organization's leadership. Stańczak expressed confidence in the team's ability to continue the foundation's mission as he transitions leadership to Bastian Aue.

Bitcoin ETFs experienced outflows of $410.4 million on Thursday, with BlackRock's IBIT leading the exodus. The ongoing volatility in ETF flows reflects a structural tug-of-war among institutional investors.

Ark Invest increased its holdings by $18 million in crypto-related stocks, including purchases of Bullish, Robinhood, and Bitmine Immersion Technologies. Bullish shares have been on a 10-day consecutive equity purchase streak, while HOOD shares fell 8.9% due to a U.S. tech stock decline.

Price targets for Coinbase stock were lowered by Wall Street analysts from JPMorgan and Canaccord after the crypto exchange missed fourth-quarter earnings estimates. Despite a 40% decline in stock price this year, analysts see Coinbase as solidly profitable in a volatile crypto market.

BlackRock's Bitmine holdings surged by 166% to $246 million in the fourth quarter of 2025, with CEO Larry Fink expressing optimism about Ethereum. Despite market dips, BlackRock continues to invest in Ethereum, with other industry pioneers also selling off tokens.

U.S. prosecutors caution that Valentine’s Day is a prime time for romance scams linked to crypto fraud and organized crime networks. Scammers exploit online relationships to manipulate victims into crypto payments and fake investments, often using emotional grooming tactics.

Bitcoin is showing signals of potential turning points in its cycle, with on-chain indicators suggesting the market is in a state between a mid-cycle correction and a deeper reset. Long-Term Holder capitulation, Market Value to Realized Value, Net Unrealized Profit/Loss, and supply in profit are all in uncertain territory.