Category: Business

As the bull run in Bitcoin and altcoins continues, Zcash (ZEC) has emerged as one of the standout assets in the cryptocurrency market with its strong performance. This rise in Zcash is accompanied by increased capital inflows into Grayscale’s Zcash ETF, ZCSH, and a renewed interest in privacy-focused cryptocurrencies.

A $1 Billion Milestone!

Grayscale’s Zcash product, ZCSH, has crossed a significant milestone. In a statement, Grayscale announced that its Zcash ETF (ZCSH) is “the world’s first Zcash fund,” with assets under management reaching $1 billion.

ZCSH’s net inflow of approximately $306.12 million in the last 30 days, and its total net asset value reaching the $1 billion mark, indicates a significant increase in investor interest in Zcash.

Zcash, a Bitcoin that Can Adapt to Change!

Alliance co-founder Qiao Wang recently compared Zcash and Bitcoin in a podcast, noting their similarities.

However, Wang stated that Zcash is like a “mutable Bitcoin,” noting that the key difference is its ability to adapt to changing conditions and new threats.

At this point, Wang noted that Zcash has the flexibility to update its protocol to address potential future challenges such as quantum computing-related threats and increasing privacy demands.

According to Wang, Bitcoin’s increasingly “immutable” nature offers strong assurances regarding fixed supply and protocol predictability. However, this approach can limit the network’s capacity to adapt to new technological threats or changing user needs.

Wang therefore emphasized that he does not consider Zcash a direct alternative or a “better” version of Bitcoin, highlighting that the two assets have different characteristics. Stating that his holdings in Bitcoin are much larger than his Zcash investments, Wang explained that he primarily views Zcash as a hedge against the technological and structural risks that Bitcoin might face.

*This is not investment advice.

Circle Foundation has unveiled two initiatives with the United Nations Development Programme (UNDP) and the World Food Programme (WFP) to explore digital payments and regulated stablecoin infrastructure for development and humanitarian operations.

The support is expected to help international organizations improve the speed, cost and transparency of payments while expanding access to digital financial services, Circle Foundation said Friday.

The team noted that UNDP will use a Circle Foundation grant to establish the Digital Asset Innovation Pool, which will provide a structured framework for using regulated payment stablecoins in development programs.

The pool, which will complement existing banking channels, is designed to help UNDP country offices transition successful experiments into regular program delivery, the Foundation added. It will provide operational and regulatory guidance, beneficiary safeguards and tools for measuring payment costs, delivery times and reach.

Circle Foundation will also provide a grant to World Food Program USA to support WFP’s work on stablecoin-enabled payment infrastructure. The initiative will develop governance, risk, treasury, reconciliation and compliance systems while connecting local fintech and mobile money providers.

WFP plans to test two to three country corridors over three years and use the results to assess efficiency, transparency and resilience for its own operations and the wider humanitarian sector.

Bitcoin

BTC$84,591.44

investors have done it.

They’ve poured billions into U.S.-listed spot bitcoin exchange-traded funds (ETFs) in recent weeks. The result: these ETFs now sit on nearly $800 million in net inflows for the year, according to data source SoSoValue. That’s a 180-degree turn from the red ink earlier this year.

Here’s how bad it got. On July 13, the same ETFs were down $5.8 billion for the year. That was the low point, according to data analyzed by CoinDesk.

The turnaround lines up with bitcoin’s price recovery to $85,000 from under $58,000 in early June. That price rise, combined with the ETF inflows, has convinced some analysts a new bull run is already underway.

Nearly $4 billion of those inflows have come in since U.S. Treasury Secretary Scott Bessent’s August announcement of increased bond purchases, a liquidity management tool rolled out as bond yields surged to multi-year highs.

Still, there is much work to do for the bulls. At $800 million, net inflows for the year are still way smaller than $35.2 billion in 2024 and $21.4 billion in 2025.

Six-day winning streak

These ETFs have pulled in money for six straight days, even as bitcoin’s rally has stalled above $85,000 since Tuesday.

As the price of Bitcoin ($BTC) continues to rise, the remarkable fund movements on Binance have become the focus of investors. According to CryptoQuant analyst Darkforth, Binance, one of the world’s largest cryptocurrency exchanges, recorded its highest single-day net Bitcoin outflow since 2023.

According to an analysis shared by Darkforth, Bitcoin has gained approximately 45% in value since its July levels. The fact that $BTC has surpassed key technical levels and closed above $82,000 for several consecutive days is cited as one of the factors distinguishing the current upward movement from previous recoveries.

The analyst noted that despite the price increase, the accumulation trend in Bitcoin continues. This trend is clearly visible in $BTC movements on cryptocurrency exchanges.

According to data, Binance hosts approximately 30% of the total amount of Bitcoin held on centralized exchanges accessible to investors. Over the past week, Binance has seen an average daily net outflow of around 2,000 $BTC, while recently a single day saw a net outflow exceeding 13,800 $BTC. This is reportedly the highest daily net $BTC outflow seen since 2023.

Binance’s Bitcoin reserves also decreased from approximately 705,000 $BTC to 685,000 $BTC in the last four days. This means that about 20,000 $BTC has been withdrawn from the exchange’s reserves.

According to Darkforth, the continuous withdrawal of Bitcoin from exchanges may indicate that some investors prefer to hold onto their assets long-term rather than sell them. The decrease in the amount of Bitcoin available for sale on exchanges is seen as a development that could limit potential selling pressure from a market perspective.

The analyst also noted that the recent sudden and large-scale outflows could indicate a different type of investor behavior. According to this, some investors who believe Bitcoin will continue to fall, as it did in past bear markets, may be re-entering the market as the price rises, driven by fear of missing out (FOMO).

*This is not investment advice.

Spot Bitcoin ETFs traded in the U.S. continued their positive capital inflow for the sixth consecutive trading day, recording net inflows of approximately $190.7 million on September 24. According to SoSoValue data, BlackRock’s IBIT fund led the way in inflows into Bitcoin investment products.

The highest net inflow of the day was in BlackRock IBIT, with $162.6 million. Other net inflows included $12.9 million into Fidelity’s FBTC fund, $10.2 million into Morgan Stanley’s MSBT fund, $4.9 million into Franklin Templeton’s EZBC fund, and $4.1 million into Bitwise’s BITB fund.

In contrast, WisdomTree’s BTCW fund recorded a net outflow of $4 million. Despite the differing capital movements among the funds, the overall net flow of US spot Bitcoin ETFs remained in positive territory.

The inflow into Bitcoin ETFs was among the data showing continued investor demand for spot Bitcoin investment products. With net inflows of approximately $190.7 million on September 24, the positive flow streak reached six trading days.

A similar trend was observed in US spot Ether ETFs. According to SoSoValue data, spot Ether ETFs recorded net inflows of approximately $66.1 million on September 24th. This marked the fifth consecutive day of net inflows into Ether ETFs.

Among Ether ETFs, BlackRock’s ETHA fund stood out with a net inflow of $26.8 million. Fidelity’s FETH fund saw a net inflow of $21.5 million, while Grayscale’s Mini ETHE fund experienced a net inflow of $17.8 million.

The data revealed that both Bitcoin and Ether-focused spot ETFs continued to experience positive capital inflows in recent trading days.

*This is not investment advice.

Worldcoin [$WLD] had dropped in value by 11% in the early hours of the 24th of September, when bull activity was at its highest. The capital pullout has driven the decline across $WLD’s Spot and perpetual markets.

The impact on price could, in fact, exacerbate beyond the present dynamic, forcing the asset to trade even lower in the coming trading sessions.

Spot and perpetual markets point to continued weakness

Capital flow data showed that traders sold $280.92 million worth of $WLD in the perpetual market over the past 24 hours.

The sell-off was more than the total $WLD purchased within that same period, putting its netflow at a negative $41.45 million. This is a significant difference.

When capital moves out of an asset’s perpetual market at this scale, it can trigger further selling as demand fails to keep pace with selling pressure. The same trend is visible in the Spot market, where investors are also pulling out capital as demand struggles to catch up.

The Spot market saw massive inflows of $WLD across multiple exchange venues, bringing its total inflow to around $63.89 million, more than the outflow.

When there is more inflow than outflow in the Spot market, it confirms that there are more investors selling their assets in the Spot market than there are holding on for the long term.

The netflow here stays positive, with a reading of $6.02 million, adding another pressure to price, which is already not getting sufficient demand to prevent it from a decline.

Negative Funding Rate leaves recovery uncertain

Analyzing the perpetual market further through the lens of the Funding Rate data on the chart shows that there is a possible chance.

The conditions with the Funding Rate data show that while it plummeted significantly, dropping towards -0.0096% in the early hours of the day, it has since seen a recovery to -0.0046% on the chart while trending upward.

This drop-to-rise pattern shows that following a large exposure to short contracts, the amount of long contracts in the market rose within that period.

Still, this does not confirm a bullish reversal, as the presence on the negative side of the Funding Rate shows that short positions still dominate overwhelmingly.

Comparing liquidation data from long and short positions further weakens the optimism. According to CoinGlass, of the total $4.36 million liquidated, long positions lost roughly $4.32 million to the market compared to shorts that lost just $39,090 within this same period.

This means that for every $1 lost by shorts, longs lost around $110.50. Simplified further, it means that it is more profitable, if properly positioned, to short $WLD than to go long on the asset.

Investors’ best approach would be to maintain a cautious stance as capital outflow and liquidated capital put longs positioned at risk.

More concerning is the rising Funding Rate, which shows investors may be attempting a stop hunt to further liquidate long positions before continuing downwards.

Final Summary

• $WLD faces continued selling pressure as perpetual and Spot Market Netflow data shows that capital moving against the asset.

• Negative Funding Rate and heavier long liquidations keep downside risks elevated despite the recent recovery in funding.

Coinbase Users Lost Nearly $16 Million

Some individual victims lost $1 million or more after someone posing as Coinbase support warned that their crypto was at risk. On Sept. 23, Brooklyn Supreme Court Justice Danny Chun sentenced Ronald Spektor to four to 12 years in prison, according to Brooklyn District Attorney Eric Gonzalez. Prosecutors put the losses at approximately $15,944,000 across about 100 U.S. victims.

The 23-year-old from Sheepshead Bay pleaded guilty Sept. 2 to all 31 counts of the indictment, including first-degree grand larceny and first-degree money laundering. Chun imposed the promised sentence over prosecutors’ objection; the district attorney’s office had sought seven to 21 years. Gonzalez said: “This case should put crypto scammers on notice: we will follow the digital trail wherever it leads and aggressively pursue those responsible.”

The sentencing follows Spektor’s indictment in the Coinbase impersonation case, announced in December. The district attorney’s office stated:

“The defendant was also ordered to forfeit cash, cryptocurrency and personal property with an estimated value of more than half a million dollars and make restitution of almost $16 million.”

The forfeiture and restitution are separate orders; the value of property subject to forfeiture is far below the amount victims lost. Under New York law, the four-to-12-year term sets a minimum and maximum: Spektor can first appear before the state parole board after serving the minimum, though credits for certain nonviolent offenders can move that date earlier, and release is at the board’s discretion.

A Warning About Hackers Led Victims to Transfer Their Crypto

Spektor contacted Coinbase users while pretending to represent the exchange, prosecutors said. He told them a hacker threatened their assets and directed them to move their funds into a new wallet. Victims believed they alone controlled those wallets, but Spektor could access them and emptied them after the transfers. Coinbase says its representatives will never call users to request a fund transfer.

Investigators traced the stolen assets through repeated swaps at cryptocurrency exchanges and onward to services where the funds could be gambled, converted to cash, or used to buy gift cards and digital assets. Prosecutors said large portions reached gambling platforms and online storefronts. In a separate Coinbase impersonation case involving fake websites, criminals obtained account credentials and verification codes; Spektor’s victims were persuaded to make the transfers themselves.

The false security warning was central to the theft. A person who sends crypto to an address supplied by an impersonator can lose control of the funds even when the transfer is made from a legitimate account. Phishing and wallet fraud schemes can use messages, calls, and lookalike services to make a fraudulent request appear to come from a trusted company.

Digital Records Connected Spektor to the Wallets

Prosecutors linked Spektor to the thefts through transaction records, blockchain analysis, digital evidence, and search warrants. They said his home internet address was connected to multiple wallets that cryptocurrency was stolen from. Investigators also found that he recruited others on online forums to work as social engineers and bragged about the scheme on Telegram.

Messages recovered by investigators showed Spektor claimed to have lost $6 million in cryptocurrency through gambling and implied that he had made millions through scams. That figure reflects what he wrote, rather than a separate accounting of gambling losses. Prosecutors also said texts on his phone showed he disposed of a hardware wallet and bought another after online fraud allegations surfaced.

The Federal Trade Commission warns that scammers may claim money is at risk and direct people to move it to an account the scammer controls. The Brooklyn district attorney advised users to verify unexpected security claims through a company’s established channels before moving funds. That warning addresses the pressure used in Spektor’s scheme: victims were told their assets were at risk from a hacker and needed to move fast.

In a separate Singapore police operation involving Coinbase, officers reached more than 145 potential scam victims before funds were lost. The police-led effort used blockchain analysis and information from participating exchanges to identify people at risk. Authorities reported preventing more than $4.2 million in potential losses.

Cathie Wood’s $ARK Invest is putting its venture fund on blockchain rails, bringing a portfolio that includes stakes in OpenAI, Anthropic, Stripe and Databricks onto blockchain rails.

The $ARK Venture Fund (ARKVX) will issue tokenized interests using infrastructure from Securitize (SECZ), with the tokenization firm handling onchain issuance and the investor experience.

ARKVX will be first available on Ethereum

ETH$2,648.01

with other networks potentially following, the firms said.

“Making the $ARK Venture Fund available onchain is a natural extension of our mission to democratize access to technologically enabled disruptive innovation,” Wood, $ARK‘s founder, CEO and chief investment officer, said in a statement.

For Securitize CEO Carlos Domingo, one draw is giving investors diversified exposure to sought-after private technology companies.

“If you don’t know whether OpenAI or Anthropic are gonna win the AI race, here you get both of them in a diversified pool,” Domingo told CoinDesk TV.

The Solana Foundation has appointed former Binance executive Rachel Conlan as its new chief strategy officer, adding a high-profile crypto industry veteran as the Solana (SOL) blockchain makes a bigger push into institutional finance and tokenized assets.

Conlan will lead strategy across institutional partnerships, ecosystem growth and efforts to bring more companies onto Solana, the foundation said Thursday. She spent previously three years at Binance, most recently as global chief marketing officer, before leaving the crypto exchange in June.

The foundation also hired Jamal Raees as general manager for payments. Raees joins from Polygon Labs, the development organization behind the Polygon network (POL), and previously worked at stablecoin infrastructure firm Bridge (now part of Stripe) and crypto payments firm Wyre. He will focus on getting payments companies and other businesses to use Solana for moving money.

The appointments come as Solana increasingly courts traditional financial firms and positions its network as infrastructure for more than crypto trading. Stablecoin payments, tokenized funds and equities have become a bigger part of that pitch as financial institutions experiment with moving assets and settlement onto public blockchains.