Washington is facing a late-stage scramble on crypto regulation after roughly 1,000,000 calls and emails poured into the U.S. Senate. With seven days remaining before the August recess, the industry's most consequential bill is back in play: the CLARITY Act. A last-minute, bipartisan compromise on ethics provisions has broken the logjam and reopened a path to action. The focus now shifts to lining up White House support and securing the 60 votes required for passage before lawmakers leave town.

Investigators say the fallout from a recently disclosed Coldcard seed-generation weakness is broader than first thought. Blockchain analytics firm Chainalysis has attributed more than $38 million in stolen Bitcoin to private keys likely created on devices impacted by the flaw. Coinkite, the maker of Coldcard, previously warned that a firmware integration mistake reduced the randomness used when generating wallet seeds. Separate reviews from Block and Galaxy Research also found the bug could, under certain conditions, enable attackers to reconstruct private keys. Firmware mistake reduced effective entropy Coinkite's technical write-up said the intended hardware random number generator failed to contribute to seed creation due to a firmware integration error. In its place, the device relied on a deterministic MicroPython software fallback, deriving entropy from device information and timing data rather than a cryptographically secure hardware source. Coinkite estimates affected Coldcard Mk3 units produced seeds with roughly 40 bits of effective entropy. Mk4, Mk5 and Q devices added entropy from secure elements, lifting the effective search space to about 72 bits. Coinkite noted this still fell short of the intended 128-bit security target. Chainalysis: "38M+ Coldcard hack" Chainalysis characterized the activity as a "38M+ Coldcard hack," reporting that the attacker first focused on higher-value wallets before moving to smaller balances. The firm identified 1,196 affected UTXOs, including one valued at about $1.8 million. Chainalysis said roughly $30 million was taken in the first 10 minutes, followed by the sweeping of around 500 wallets within 25 minutes. The company said it continues tracking the attacker's wallets and related consolidation addresses as additional victims are identified. Galaxy Research points to a larger dollar figure Galaxy Research published a separate estimate indicating losses could be higher. Galaxy identified 1,196 addresses holding about 1,082.65 BTC, valued near $70.2 million, that it said were drained over a 41-minute period. The figures are not directly comparable. Chainalysis and Galaxy appear to be analyzing different transaction sets and applying different methodologies, so the larger estimate does not automatically supersede the $38 million figure. Coinkite: firmware updates won't fix old seeds Coinkite said Mk3 firmware versions 4.0.1 through 4.1.9 are affected. Its updated advisory also covers seeds generated on Mk4, Mk5 and Q devices before the latest firmware fixes. The company emphasized that updating firmware does not repair an already-created seed. Users should update the device, generate a new seed, and move funds only after confirming the replacement wallet is set up correctly.

TMX Group, the parent company of the Toronto Stock Exchange, said it will invest $800 million in cash in U.S. exchange operator MEMX, taking a 59% controlling stake. The transaction values the combined business at $2.3 billion. The deal extends TMX's M&A drive of more than $1 billion since 2023, which has included the acquisitions of VettaFi and RAFI Indices. TMX is also pursuing purchases of Cboe's Canadian and Australian assets. The move underscores TMX's strategy to expand its footprint and deploy capital, marking a significant investment for a listed financial market infrastructure company.

Cardano (ADA) gained about 4% over the past 24 hours after several volatile sessions earlier in the week. The token rose from roughly $0.164 to above $0.17, lifting its monthly advance to around 12%. Market data and technical readings suggest ADA may be transitioning into a new phase. Pseudonymous analyst 'The Boss' said the market appears to be moving away from panic-led selling and toward a more constructive accumulation period following an aggressive sell-off. Recent price action has produced higher lows rather than fresh breakdowns. According to the analyst, buyers have repeatedly defended a major demand zone between $0.1064 and $0.1503, while a short-term rising trendline has helped keep the rebound structure intact. ADA is also compressing beneath overhead resistance, a setup that often signals the market is searching for its next directional move rather than extending the prior decline. Attention is now on whether the developing base can evolve into a broader recovery; holding current support and sustaining higher lows would reinforce the accumulation narrative and improve overall market structure. On-chain indicators have also turned more supportive. CryptoPotato reported that large ADA holders lifted combined holdings to 25.6 billion tokens, close to 70% of circulating supply and the highest level since February 2023. Retail exposure declined, a combination Santiment said could be supportive for the asset. Analyst Ali Martinez added that whales accumulated 30 million ADA, worth more than $5 million, over the past month, signaling larger investors may be positioning for another leg higher. Institutional demand appears steady as well. Blockworks data shows Cardano ETFs have recorded net inflows for 16 consecutive months. Even so, some observers continue to point to ADA's long-term drawdown. One market commentator noted that a $10,000 investment at the all-time high five years ago would be worth about $500 today. The same post said ADA is down roughly 84% since Trump referenced it in March 2025 in connection with a proposed U.S. Strategic Crypto Reserve. From its August 2021 peak, the token remains down about 95%. Cardano founder Charles Hoskinson has remained upbeat on the ecosystem's outlook. He recently compared Cardano's approach to Anthropic's rise in AI, arguing the company surpassed Google and OpenAI not by moving faster but by having the 'right mindset.' Hoskinson said Cardano is seeing a similar shift as developers and investors place greater emphasis on security and governance. He cited recent DeFi incidents as reminders of how quickly vulnerabilities can spread across an ecosystem, adding that durable stability requires clear governance, a strong software development process, and a sustainable roadmap. While acknowledging past missteps, he said he is 'happy' with where Cardano stands and expects strong growth over the next 12 to 24 months. The post Is Cardano (ADA) Finally Shifting From Sell-Off to Accumulation? appeared first on CryptoPotato.

Block said its engineering team has identified the party behind the COLDCARD hardware wallet exploit, tracing the attacker's activity to a blockchain services provider involved in the theft. The breach occurred on July 30 and emptied about 594 BTC—roughly $38 million—from around 500 wallets in a 25-minute span between 01:31 and 01:56 UTC. A firmware flaw dating back five years enabled the attack. Block said the issue originated in a March 2021 update, firmware version 4.0.0, which disabled the hardware random number generator (RNG) on affected devices. In its place, the wallet relied on a predictable software fallback that used non-secret seed values. An attacker with knowledge of the weakness could reproduce wallet seeds using device-specific metadata. The impacted devices were mainly COLDCARD Mk3 units, along with some Mk2 models where seeds had been generated under the compromised firmware. Block said the attacker appears to have held the information for years and then targeted dormant accounts. The narrow execution window points to extensive preparation, including precomputing vulnerable seeds and automating the drain. Block and COLDCARD maker Coinkite coordinated what they described as an urgent disclosure after linking the on-chain trail to the blockchain services provider. Coinkite issued an immediate advisory for users of Mk3 and older models that generated seeds under the affected firmware. Its initial assessment said newer devices—including Mk4, Q, and Mk5—are not impacted by the RNG issue. Coinkite advised users to generate entirely new seeds on unaffected hardware and move funds immediately. Bitcoin was trading above $64,000 at the time, and market reaction was limited. The company noted that users who installed v4.0.0 in March 2021 believed they were improving security, but instead created seeds under a weakened RNG.

S&P Dow Jones Indices will add Ferguson Enterprises to the S&P 500 effective August 5, 2026. ADI Global Distribution (ADIUS) is scheduled to be added to the S&P SmallCap 600 on August 4, marking its first index inclusion since becoming a standalone public company following its spin-off from Resideo Technologies. The changes are expected to prompt passive index funds to rebalance, potentially improving share liquidity and boosting market visibility for both companies.

Ondo Finance, a blockchain protocol focused on tokenizing real-world assets (RWA), is exploring an acquisition in the $250 million to $500 million range, targeting established platforms in wealthtech and adjacent sectors. The company currently manages $2.5 billion in assets, while the broader tokenized RWA market has grown to $36 billion. The report helped lift Ondo"s native token, ONDO, by about 6%. No direct links or impact channels were cited regarding traditional financial assets such as equities, commodities, indices, or FX.

BNY (@BNYglobal), the world's largest custodian, has rolled out a blockchain-based transfer agency that records legal fund ownership directly on public blockchains, rather than maintaining onchain mirrors of traditional registers. The move sits alongside BNY's conventional servicing business, which spans $8.6 trillion across 7.6 million accounts. Initial products are already live or in the pipeline. Baillie Gifford's BAGEY fund (@BGDA_UK) — described as the first fully native UK-regulated tokenized fund — is trading on Ethereum and Solana with $USDC settlement. Dreyfus is preparing to launch a tokenized money market fund. BlackRock is also expected to introduce a share class designed for stablecoin reserves. In this structure, the token itself serves as the legal record, not a wrapper. With the largest global custodian building the infrastructure, tokenized funds are moving beyond the experimental phase.

A transfer of 257,200,761 USDC, valued at US$257,233,169, was recorded from Coinbase Institutional to Coinbase.