Senators Warren, Wyden Investigate Tether's Loans to Commerce Secretary Lutnick's Children's Trust

Tom Duff Gordon, the former vice president of international policy at Coinbase, has departed after nearly 4 years to join OpenAI as head of EMEA Policy. Prior to Coinbase, he spent 8.5 years at Credit Suisse. Known for expertise in crypto regulations, he highlighted U.K. banks' challenges in distinguishing between compliant and high-risk firms.

Patrick Witt, the White House's crypto adviser, mentioned ongoing efforts to finalize compromises for the Digital Asset Market Clarity Act in the U.S. Senate. He highlighted the importance of resolving issues like stablecoin yield before addressing other concerns, such as illicit financial protections in DeFi.

Kraken is being extorted by a criminal group threatening to release videos of internal systems with client data. The firm is collaborating with law enforcement to pursue the individuals involved and ensure customer funds are safe.

Meta is developing a photorealistic, AI-powered 3D version of Mark Zuckerberg to interact with employees, aiming to enhance connection and communication. The project, led by Superintelligence Labs, faces challenges in scaling due to high computing requirements. Meta's recent acquisition of voice companies and increased capital expenditure reflect its commitment to AI development.

Last week, institutional investors poured $1.1 billion into crypto products, marking the strongest weekly performance since January. U.S. investors dominated the inflows, with spot Bitcoin ETFs capturing the majority of activity. The surge in inflows indicates sophisticated institutional positioning, with investors increasing bullish bets and downside hedges simultaneously.

A public feud between the Trump family's crypto company and investor Justin Sun has led to accusations of corruption and legal threats. The company's WLFI token has dropped to a record low of $0.08, down 20% in a week and 76% since its launch.

An exploit on Hyperbridge's blockchain token bridge led to the creation of 1 billion Polkadot (DOT) tokens valued at over $1.1 billion, resulting in approximately $237,000 in losses due to limited liquidity. The vulnerability in the proof verification logic allowed a malicious actor to gain administrative control of the bridged DOT token contract on Ethereum.

Circle Internet CEO Jeremy Allaire emphasized that USDC does not freeze wallets without a legal basis, following law enforcement or court orders. Allaire positioned USDC as a regulated financial product, aligning closely with regulators and institutions to handle illicit funds.

Foundry Digital launched the Foundry Zcash Pool, attracting 29% of the Zcash network's hashrate since March. The move expands into privacy-focused cryptocurrency mining beyond Bitcoin, addressing a critical infrastructure gap for Zcash.

BitMine Immersion Technologies recently purchased 71,524 ETH valued at $157 million, increasing its total holdings to 4,874,858 ETH worth over $10.7 billion. The firm is actively staking 3,334,637 ETH and aims to earn $300 million annually in rewards.