Digital business models Archives | Page 394 of 569

€34 million in crypto seized from eXch for facilitating money laundering

German authorities have seized cryptocurrency and server infrastructure worth €34 million ($37.4 million) from the now-defunct eXch crypto exchange. Prosecutors allege the platform operated without proper licences, facilitating money laundering for North Korean hackers involved in the Bybit hack.

The exchange reportedly processed transactions without implementing necessary anti-money laundering controls, attracting criminals seeking to launder stolen funds.

Authorities also claim that eXch was involved in laundering millions from multiple high-profile crypto thefts, including the $1.4 billion Bybit hack. The exchange’s services were available on both the clearnet and the darknet, and advertised on underground criminal platforms.

In addition to cryptocurrency holdings, the confiscated assets include server hardware and other digital infrastructure linked to the exchange’s operations.

While eXch announced its closure last month, blockchain analytics firm TRM Labs suggested that it continued operating. The exchange’s involvement in illicit activities, including refusal to block addresses linked to phishing schemes, has sparked further scrutiny.

As Germany prepares to discuss North Korean crypto hacks at the G7 summit, these latest developments are likely to be high on the agenda.

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Honor phones get early access to Google’s AI video tool

Google’s latest AI image-to-video tool has made its debut on new Honor smartphones, ahead of its wider rollout to Gemini users.

The feature, powered by Google’s Veo 2 model, allows users to transform still images into short five-second videos directly from the Gallery app on Honor’s upcoming 400 and 400 Pro devices, launching on 22 May. The technology offers quick generation, usually taking just a minute or two per video.

Designed with simplicity in mind, the tool does not allow text prompts, leaving the AI to interpret each image as it sees fit. Results can be mixed: straightforward subjects such as pets or portraits often yield smooth, lifelike motion, but the tool struggles with complex visuals.

Some results have been amusing or surreal — a pigeon flying out of Van Gogh’s eye, for instance — suggesting that the AI’s creative choices still lack refinement.

Owners of the Honor 400 series will be able to try the feature for free for two months, with a limit of ten videos per day. After the trial, a Google subscription will likely be required, though pricing and terms have not yet been announced.

While video generation is already available to Google’s Gemini Advanced subscribers using text input, image-based generation remains limited to selected users under Google Cloud’s enterprise offerings, where it’s priced at 50 cents per second.

With this early release, Honor users gain rare first-hand access to an experimental AI feature that remains out of reach for most.

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Microsoft expands cloud push across Europe

Microsoft has unveiled a new set of commitments aimed at strengthening its digital presence across Europe, pledging to expand cloud and AI infrastructure while supporting the region’s economic competitiveness.

Announced by Microsoft President Brad Smith in Brussels, the ‘European Digital Commitments’ include a promise to increase European data centre capacity by 40% within two years, bringing the total to over 200 across 16 countries.

Smith explained that Microsoft’s goal is to provide technology that helps individuals and organisations succeed, rather than simply expanding its reach. He highlighted AI as essential to modern economies, describing it as a driving force behind what he called the ‘AI economy.’

Alongside job creation, Microsoft hopes its presence will spark wider economic benefits for customers and partners throughout the continent.

To ease concerns around data security, particularly in light of US–EU geopolitical tensions, Microsoft has added clauses in agreements with European institutions allowing it to legally resist any external order to halt operations in Europe.

If such efforts failed, Microsoft has arranged for European partners to access its code stored securely in Switzerland, instead of allowing disruptions to affect vital digital services.

Although Microsoft’s investments stand to benefit Europe, they also underscore the company’s deep dependence on the region, with over a quarter of its business based there.

Smith insisted that Microsoft’s global success would not have been possible without its European footprint, and called for continued cooperation across the Atlantic—even in the face of potential tariff disputes or political strains.

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McGregor proposes Bitcoin reserve in Irish presidential campaign

Conor McGregor has proposed the creation of a national Bitcoin reserve for Ireland, calling it a move to return financial power to the people.

The former UFC champion announced his independent candidacy for president in March. He shared the Bitcoin proposal in a post on X, linking it to crypto’s core values of decentralisation and empowerment.

His proposal comes during a sharp upswing in the Bitcoin market, with the cryptocurrency recently surging to over $104,000. McGregor aims to host a public X Spaces discussion, inviting major Bitcoin figures to help shape the plan.

Crypto influencers Anthony Pompliano and David Bailey have already shown interest, and McGregor responded positively to their involvement.

Despite the bold idea, the path forward is uncertain. Ireland has never explored a sovereign Bitcoin reserve, and implementing such a strategy could face political and regulatory resistance.

McGregor’s credibility in the crypto space is also under scrutiny. His previous blockchain venture, REAL, collapsed after failing to meet its funding goal and was forced to refund investors. Legal challenges, including an appeal against a civil assault conviction, further complicate his campaign.

Bitcoin, meanwhile, is holding above $103,000 after peaking at $104,765. However, momentum is weakening, with RSI and MACD indicators suggesting reduced buying pressure. If the price drops below $103,000, further downside may follow. For now, traders are watching key support levels closely.

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Google pays around $1.4 billion over privacy case

Google has agreed to pay $1.375 billion to settle a lawsuit brought by the state of Texas over allegations that it violated users’ privacy through features such as Incognito mode, Location History, and biometric data collection.

Despite the sizable sum, Google denies any wrongdoing, stating that the claims were based on outdated practices which have since been updated.

Texas Attorney General Ken Paxton announced the settlement, emphasising that large tech firms are not above the law.

He accused Google of covertly tracking individuals’ locations and personal searches, while also collecting biometric data such as voiceprints and facial geometry — all without users’ consent. Paxton claimed the state’s legal challenge had forced Google to answer for its actions.

Although the settlement resolves two lawsuits filed in 2022, the specific terms and how the funds will be used remain undisclosed. A Google spokesperson maintained that the resolution brings closure to claims about past practices, instead of requiring any changes to its current products.

The case comes after a similar $1.4 billion agreement involving Meta, which faced accusations of unlawfully gathering facial recognition data. The repeated scrutiny from Texas authorities signals a broader pushback against the data practices of major tech companies.

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Reddit cracks down after AI bot experiment exposed

Reddit is accelerating plans to verify the humanity of its users following revelations that AI bots infiltrated a popular debate forum to influence opinions. These bots crafted persuasive, personalised comments based on users’ post histories, without disclosing their non-human identity.

Researchers from the University of Zurich conducted an unauthorised four-month experiment on the r/changemyview subreddit, deploying AI agents posing as trauma survivors, political figures, and other sensitive personas.

The incident sparked outrage across the platform. Reddit’s Chief Legal Officer condemned the experiment as a violation of both legal and ethical standards, while CEO Steve Huffman stressed that the platform’s strength lies in genuine human exchange.

All accounts linked to the study have been banned, and Reddit has filed formal complaints with the university. To restore trust, Reddit will introduce third-party verification tools that confirm users are human, without collecting personal data.

While protecting anonymity remains a priority, the platform acknowledges it must evolve to meet new threats posed by increasingly sophisticated AI impersonators.

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Google launches Simplify to decode complex text

Google has introduced a new iOS feature named Simplify, designed to make technical language more accessible. Powered by the Gemini large language models, the tool rewrites complex text, such as that found in legal documents or medical reports, into clear and understandable language.

To test its effectiveness, Google conducted a study involving over 4,500 people and 31 text samples. Results showed a 4 per cent improvement in overall comprehension and a 15 per cent increase for medical texts among users reading Simplify-processed content.

These users also reported feeling more confident and found the material easier to understand. However, the study has limitations, including its reliance on online participants and multiple-choice tests that may not reflect deep understanding.

At present, Simplify is only available on iOS, with no official timeline for an Android release. Still, given the app’s presence on Android devices by default, a wider rollout may be on the horizon.

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Cypriots worry AI threatens artists and culture

A new Eurobarometer survey has revealed that a significant majority of Cypriots are worried about the impact of AI on the cultural sector and the livelihoods of artists. Eight in ten believe that generative AI poses a threat to employment in the arts, a figure higher than the EU average of 73 per cent.

Despite these concerns, only half of Cypriots say they can distinguish between AI-generated and human-made artworks. The survey also highlights deeper cultural challenges in Cyprus. Only 23 per cent of respondents believe artists are paid fairly, compared to 51 per cent across the EU.

When asked about EU priorities in cultural cooperation, Cypriots pointed to protecting cultural heritage, fair pay for artists, reskilling cultural workers, improving access to the arts, and boosting funding for creative sectors.

Cypriots overwhelmingly value culture’s role in Europe’s future, with 91 per cent endorsing its importance. However, just 63 per cent believe artists in Cyprus enjoy freedom from government censorship, and only 59 per cent feel protected from other forms of suppression, both figures well below EU averages.

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Wiley and Perplexity partner to deliver smarter study tools

Perplexity has announced a major partnership with global academic publisher Wiley to integrate its answer engine with Wiley’s extensive library of scientific, technical, and medical learning materials.

The collaboration is designed to streamline access to trusted curriculum content, delivering a more engaging and efficient learning experience for students and educators alike.

Through an institution’s Enterprise Pro subscription, students can now access assigned Wiley materials directly within Perplexity.

This removes the need to switch between platforms, enabling students to ask questions about textbook content, receive tailored explanations, and explore real-time examples from across the web—all in one place.

The integration supports Gen Z learning preferences by offering features such as custom study guides, level-appropriate explanations, and context that links core concepts to real-world applications.

Educators will benefit from the ability to create lesson plans, tailor curriculum to current events, and generate customised learning materials with minimal effort. Institutions gain a competitive edge in education technology, while improving resource efficiency and academic outcomes.

The partnership also promotes critical AI literacy—a growing priority in classrooms. By offering students a structured environment in which to interact with AI tools and academic content, the integration supports responsible use of AI.

It emphasises information quality, proper attribution, and encourages students to develop essential critical thinking skills. Administrators interested in integrating Perplexity with Wiley can contact their Wiley representative to authorise the connection.

Once enabled, students gain seamless access to academic materials directly within the Perplexity platform.

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Stripe launches AI payments model and stablecoin accounts

Fintech leader Stripe has introduced what it calls the world’s first AI foundation model designed specifically for payments. Trained on billions of real transactions, the model captures fine-grained signals that traditional fraud detection systems often miss.

Stripe claims the new system has already improved fraud detection for large enterprises by 64 percent, and it will now be rolled out across its full payments suite.

Alongside its AI launch, Stripe announced new stablecoin-based money management tools, following its $1.1 billion acquisition of crypto platform Bridge in 2023.

Businesses in 101 countries can now open financial accounts in stablecoins, hold balances, receive funds across crypto and fiat rails, and send stabl ec oins globally.

Stripe said the new accounts will especially benefit entrepreneurs in countries with unstable currencies by providing inflation protection and easier access to international markets.

The company also confirmed deeper ties with major partners. Nvidia has migrated its entire subscriber base to Stripe’s billing infrastructure, while PepsiCo is expanding its use of Stripe’s platform to modernise payments across its United States operations.

Meanwhile, Bridge and Visa have launched the first global debit card linked to stablecoin wallets, further embedding crypto capabilities into traditional finance systems.

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