By Shikha Singh
By Shikha SinghBybit CEO Says 77% of Stolen Funds From Record $1.4bn Hack Still Traceable.
Over 77% of the funds stolen in a record hack on crypto exchange Bybit remain traceable, while 20% have “gone dark” and are untraceable, CEO Ben Zhou said in an update on X early Tuesday.
Some 417,348 ether (ETH), valued at approximately $1 billion, remain traceable on the blockchain after being moved using privacy-focused THORChain. Another 20% of the funds, roughly 79,655 ETH or $200 million, have “gone dark” through ExCH.
A smaller portion, 40,233 ETH or $100 million, had passed through OKX’s web3 proxy, but 23,553 ETH, worth $65 million, remain untraceable.
Zhou said the hackers converted 83% of the stolen ETH — 361,255 ETH; or $900 million — into BTC, distributing it across 6,954 wallets, with an average of 1.71 BTC per wallet using THORChain.
NYSE Arca Proposes Rule Change To List Bitwise Dogecoin ETF.
NYSE Arca has filed a proposed rule change to list and trade shares of the Bitwise Asset Management Dogecoin exchange-traded fund. On March 3, the New York Stock Exchange subsidiary filed the 19b-4, which, if approved, would enable the exchange to list the Bitwise Dogecoin ETF, a fund offering direct exposure to the memecoin.
Coinbase will act as the Dogecoin custodian while the Bank of New York Mellon will handle the cash custody, administration, and transfer agency functions, it stated. The ETF uses cash creations and redemptions, meaning investors cannot contribute or receive Dogecoin directly.
Bitwise filed an S-1 registration form for the product with the Securities and Exchange Commission in late January. If approved, this would be one of the first US-listed memecoin ETFs, providing regulated access to Dogecoin for institutional and retail investors.
Yuga Labs Says SEC Has Dropped Its Investigation Into The NFT Firm
Non-fungible token (NFT) conglomerate Yuga Labs says the US Securities and Exchange Commission has closed its investigation into the company.
The floor price of Yuga Labs’ flagship Bored Ape collection saw a slight bump after the company’s post to 13.75 Ether around $29,650, but is down over 0.5% in the past day, according to OpenSea data.
Flowdesk Raises $102mn to Expand Trading and Liquidity Desks.
Flowdesk has secured $102 million in fresh funding to expand its digital asset trading and liquidity business, backed by HV Capital and a debt facility from BlackRock-managed funds.
In a release, Flowdesk said it will use the proceeds of the round to scale its over-the-counter (OTC) derivatives business and launch a dedicated crypto credit desk while also doubling headcount at the trading firm.
Tokenization is also a major focus for Flowdesk as institutional interest in on-chain assets grows. The company has worked with token issuers to facilitate liquidity for tokenized assets and plans to expand its services to include stablecoins, tokenized securities, and money market funds.
SBI VC Trade Set to Launch USDC Service in Japan.
Japan’s SBI VC Trade has become the first licensed stablecoin provider in the country after receiving government approval as an “electronic payment instrument business operator.”
The exchange, a subsidiary of SBI Group, will launch its USD Coin (USDC) stablecoin service on March 12 in a limited beta phase within the SBI Group before expanding to the public.
SBI VC Trade will allow users to buy, sell, deposit, and withdraw USDC, with Shinsei Trust Bank managing reserves to ensure stability. The exchange is also preparing to introduce BTC/USDC and ETH/USDC trading pairs, aiming to boost Japan’s slow-growing stablecoin market.
This milestone gives SBI VC Trade three key financial licenses, making it the only company in Japan to hold all three. The move follows SBI Group’s expansion into crypto lending and a shareholder incentive program offering rewards in XRP.
Coinbase Files FOIA to See How Much The SEC’s ‘War On Crypto’ Cost
Crypto exchange Coinbase has filed a Freedom of Information Act (FOIA) request to determine how much the U.S. SEC spent on enforcement actions against crypto firms between April 17, 2021, and January 20, 2025.
Coinbase’s chief legal officer, Paul Grewal, wants details on the number of investigations, employees involved, third-party contractors used, and total costs of enforcement.
He criticized the SEC’s “regulation-by-enforcement” approach, arguing it harmed American innovation, global leadership, and jobs.
The SEC’s Crypto Assets and Cyber Unit, which led enforcement against unregistered crypto firms since 2017, was replaced by the Cyber and Emerging Technologies Unit (CETU) on Feb. 20, 2025.
However, the SEC has not commented on Coinbase’s request.
FTX & Alameda Wallets Unstake $431 mn in SOL.
FTX and Alameda Research unstaked 3.03 million SOL worth $431 million on March 4, 2025, marking their largest unlock since November 2023, when they unstaked 2.1 million SOL worth $141 million. Since then, the bankrupt firms have continued to unstake and transfer SOL to exchanges.
After the latest unlock, 25,000 SOL was deposited at Binance.
However, due to court-imposed liquidation limits, FTX can sell only $50 million in assets weekly, increasing to $100 million per week, with a maximum cap of $200 million if approved by the court.
Since November 2023, FTX and Alameda have unstaked 7.83 million SOL worth $986 million and sold most of it on Binance and Coinbase at an average price of $125.80 per SOL.
Vietnam to Establish Legal Framework for Digital Assets
Vietnam is set to introduce a legal framework for digital assets by the end of March 2025 to support economic growth, following Prime Minister Phạm Minh Chính’s Directive No. 05, which aims for an 8% national growth target. The Ministry of Finance and the State Bank of Vietnam have been tasked with finalizing crypto regulations.
Currently, Vietnam lacks official recognition of crypto, leading businesses to register overseas, causing tax revenue losses.
However, the country ranks fifth in global crypto adoption, with over $105 billion invested in blockchain projects from 2023 to 2024. Officials believe regulation will help businesses access funding and ensure transparency.
Israel Releases Preliminary CBDC Design For Digital Shekel
The Bank of Israel has released a preliminary design proposal for the digital Shekel (DS), its potential central bank digital currency (CBDC), though no official launch is confirmed.
The proposal outlines the digital Shekel’s ecosystem, functionality, regulatory considerations, and technical design.
The central bank identified six motivations for issuing the DS, including creating an alternative payment system, lowering costs, improving privacy, and combating the “black economy.” It aims to benefit all segments of society, including businesses, institutions, and foreigners.
The Bank of Israel would be the sole issuer, while private firms would assist with user onboarding and financial services. Key features include offline functionality, interoperability with other payment systems, and instant settlements.
SEC Agrees to Dismiss Kraken Lawsuit, No Penalties Imposed
The U.S. SEC has agreed to drop its lawsuit against crypto exchange Kraken, marking a shift toward a more cooperative regulatory approach.
Kraken announced on March 3 that the case would be dismissed with prejudice, meaning it cannot be reopened. The exchange will not admit wrongdoing, pay penalties, or change its business operations.
Kraken described this as a pivotal moment for U.S. crypto, ending what it called a “wasteful, politically motivated campaign” and fostering a more stable regulatory environment.
The SEC had accused Kraken of operating as an unregistered securities exchange and mismanaging customer funds, but the exchange denied the charges.
You need to login in order to Like
