Cryptocurrencies

Young wealthy investors push advisers towards broader crypto access

A rising number of young, high-earning Americans are moving away from wealth advisers who fail to offer crypto access, signalling a sharp generational divide in portfolio expectations.

New survey results from Zerohash show that 35 percent of affluent investors aged 18 to 40 have already redirected funds to advisers who support digital-asset allocations, often shifting between $250,000 and $1 million.

Confidence in crypto has strengthened as major financial institutions accelerate adoption. Zerohash reported that more than four-fifths of surveyed investors feel more assured in the asset class thanks to involvement from BlackRock, Fidelity and Morgan Stanley.

Wealthier respondents proved the least patient. Half of those earning above $500,000 said they had already replaced advisers who lack crypto exposure, and 84 percent plan to expand their holdings over the coming year.

Demand now extends well beyond Bitcoin and Ethereum. Ninety-two percent want access to a wider range of digital assets, mirroring expanding interest in altcoin-based ETFs and staking products.

Asset managers are responding quickly, with 21Shares launching its Solana ETF in the US and BlackRock preparing a staked Ether product. The Solana category alone has attracted more than $420 million in inflows, underscoring the rising appetite for institutional-grade exposure.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

UAE unveils first regulated AED-backed stablecoin

The UAE has taken a major step in its digital finance strategy as the Central Bank of the UAE approved Zand to launch Zand AED, the nation’s first regulated, multi-chain AED-backed stablecoin. The new asset places the dirham on global blockchain rails under the oversight of a fully licensed bank.

Zand AED is fully backed by reserves in regulated accounts, with real-time transparency through independently audited smart contracts and attestations.

Being available on multiple public blockchains enables fast cross-border settlement and simpler integration for developers, enterprises, and financial institutions.

Zand leadership described the launch as a significant advancement for the UAE’s position in global financial innovation. They highlighted that Zand AED bridges traditional and decentralised finance, enabling payments, tokenisation, and digital asset applications.

Analysts expect the global stablecoin market to expand to trillions, and Zand AED positions the UAE as a leading hub for regulated digital finance. The stablecoin offers a secure, scalable foundation for institutions and FinTechs in a leading global financial ecosystem.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot! 

Cloudflare outage disrupts leading crypto platforms

Cloudflare experienced a significant network outage on Tuesday, which disrupted access to major cryptocurrency platforms, including Coinbase, Kraken, Etherscan, and several DeFi services, resulting in widespread ‘500 Internal Server Error’ messages.

The company acknowledged the issue as an internal service degradation across parts of its global network and began rolling out a fix. However, users continued to face elevated error rates during the process.

Major Bitcoin and Ethereum platforms, as well as Aave, DeFiLlama, and several blockchain explorers, were impacted. The disruption spread beyond crypto, affecting several major Web2 platforms, while services like BlueSky and Reddit stayed fully operational.

Cloudflare shares dropped 3.5% in pre-market trading as the company investigated whether scheduled maintenance at specific data centres played any role.

The incident marks the third significant Cloudflare disruption affecting crypto platforms since 2019, highlighting the industry’s ongoing reliance on centralised infrastructure providers despite its focus on decentralisation.

Industry experts pointed to recent outages from Cloudflare and Amazon Web Services as evidence that critical digital services cannot rely solely on a single vendor for reliability. Kraken restored access ahead of many peers, while Cloudflare stated that the issue was resolved and would continue to monitor for full stability.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot! 

Bitcoin edges into yearly losses as volatility rises

Bitcoin has slipped into negative territory for the year after a sharp retreat that pushed the price below $90,000 for the first time in seven months. The cryptocurrency has now fallen more than 28% from its peak above $126,000, erasing over $600 billion in market value.

Investors have been rotating out of speculative assets, with concerns around potential Federal Reserve decisions adding to the risk-off sentiment.

Market analysts note that long-term holders have been taking profits following the extraordinary rally that carried Bitcoin to new records in October. Uncertainty around monetary policy, tightening liquidity, and broader macroeconomic pressures have fuelled the downturn.

The impact of the October flash crash, triggered by renewed US-China trade tensions, continues to weigh heavily as thinner order books leave Bitcoin more vulnerable to abrupt price swings.

Bitcoin had rallied strongly throughout the year, supported by optimism over pro-crypto policies under President Donald Trump and the rollout of new digital-asset regulations. Yet the cryptocurrency has now surrendered its gains, underperforming major benchmarks such as the S&P 500 and gold.

Analysts say the market is approaching a pivotal moment, with some fearing a deeper reset while others view the current consolidation as an opportunity for strategic accumulation.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot! 

Heavy sell pressure pushes Bitcoin back under $94,000

Bitcoin’s price continued to weaken after dipping under $94,000, extending a retreat that has now erased nearly $190 billion from its market value over the past week. Trading volumes remained high, yet sell pressure dominated as the asset struggled to reclaim momentum.

Market data showed more than $394 million in crypto liquidations over the past 24 hours, with the majority coming from long positions. Sentiment stayed uneasy as Bitcoin hovered close to the $94,000 mark, offering little reassurance to traders seeking signs of stability.

Analysts remain divided on whether the current zone represents a potential floor or a pause before further declines. Traders noted that fresh catalysts will be needed to support any sustained recovery as liquidations rise and volatility deepens.

Bitcoin’s recent swings have left market participants split between bargain hunting and preparing for another downturn. Precise data and level-headed decision-making appear more valuable than hype as the market navigates its latest correction.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot! 

Czech central bank invests in digital assets for the first time

The Czech National Bank (CNB) has acquired digital assets for the first time, creating a USD 1 million test portfolio outside its international reserves. The initiative includes Bitcoin, a USD stablecoin, and a tokenised deposit on the blockchain.

The portfolio aims to provide practical experience with digital assets and test related operational processes, without plans for further active investment.

Governor Aleš Michl explained that the idea originated in January 2025 to evaluate decentralised Bitcoin and explore its potential role in diversifying reserves. Discussions later included stablecoins, tokenised deposits, and future payment methods, with insights to be shared over the next two to three years.

The CNB emphasises that the koruna remains the country’s legal tender, while new digital payment and investment methods are increasingly emerging.

The test portfolio will examine the full chain of digital asset management, from technical administration and multi-level approvals to crisis scenarios, security measures, and AML compliance.

The CNB aims to maintain and develop internal expertise, ensuring staff gain practical knowledge transferable across teams. The investment is separated from the central bank’s international reserves and will not influence monetary policy or foreign exchange operations.

Alongside the portfolio, the CNB has launched CNB Lab, an innovation hub to test digital assets, blockchain solutions, AI tools, and payment innovations. The Lab will help the bank prepare for the future of finance while building practical experience and team expertise.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot! 

UAE executes first government payment using Digital Dirham

The United Arab Emirates has completed its first government financial transaction using the Digital Dirham, marking a significant milestone in its transition towards a fully digital economy.

The Ministry of Finance and Dubai Finance carried out the transaction in collaboration with the Central Bank of the UAE, confirming the country’s leadership in advancing next-generation financial technologies.

Part of the Central Bank’s Financial Infrastructure Transformation Programme, the pilot phase of the Digital Dirham aims to accelerate digital payment adoption and strengthen the UAE’s position as a global financial hub.

Senior officials, including Sheikh Mansour bin Zayed Al Nahyan and Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, described the initiative as a strategic step toward improving transparency, efficiency, and integration across government financial systems.

The first pilot transaction was executed through the government payments platform mBridge, which facilitates instant settlements using central bank digital currencies.

A transaction was completed in under two minutes, demonstrating the system’s technical efficiency and reliability. The mBridge platform, fully integrated with the Digital Dirham initiative, enables secure, intermediary-free settlements, reducing costs while improving accuracy and transparency.

Officials emphasised that the Digital Dirham will serve as a cornerstone for a sustainable digital economy, reinforcing national financial stability and global competitiveness.

The initiative reflects the UAE’s commitment to adopting cutting-edge technologies that promote integration and innovation across the public and private sectors.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

Police warn of scammers posing as AFP officers in crypto fraud

Cybercriminals are exploiting Australia’s national cybercrime reporting platform, ReportCyber, to trick people into handing over cryptocurrency. The AFP-led Joint Policing Cybercrime Coordination Centre (JPC3) warns scammers are posing as police and using stolen data to file fake reports.

In one recent case, a victim was contacted by someone posing as an AFP officer and informed that their details had been found in a data breach linked to cryptocurrency. The impersonator provided an official reference number, which appeared genuine when checked on the ReportCyber portal.

A second caller, pretending to be from a crypto platform, then urged the target to transfer funds to a so-called ‘Cold Storage’ account. The victim realised the deception and ended the call before losing money.

Detective Superintendent Marie Andersson said the scam’s sophistication lay in its false sense of legitimacy and urgency. Criminals verify personal data and act quickly to pressure victims, she explained. However, growing awareness within the community has helped authorities detect such scams sooner.

Authorities are reminding the public that legitimate officers will never request access to wallets, bank accounts, or seed phrases. Australians should remain cautious, verify unexpected calls, and report any suspicious activity through official channels.

The AFP reaffirmed that ReportCyber remains a safe platform for genuine reports and continues to be a vital tool in tracking and preventing cybercrime nationwide.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!

Finland to enforce stricter crypto tax reporting from 2026

Finland will introduce stricter reporting obligations for crypto asset service providers from 2026 as part of international efforts to enhance tax transparency.

The move aligns with the OECD’s Crypto Asset Reporting Framework (CARF), which aims to standardise the exchange of crypto-related tax information globally. More than 70 countries and jurisdictions have already committed to the framework.

Finnish and foreign crypto providers must collect and report users’ transaction data, including purchases, sales, and transfers. The Finnish Tax Administration will begin receiving annual reports in 2027, enabling cross-border exchange under the CARF and the amended EU DAC8 directive.

The government proposal, due for parliamentary debate in autumn 2025, would extend Finland’s reporting requirements beyond international standards. Providers must also supply data allowing authorities to calculate capital gains and losses for Finnish residents and estates.

The Tax Administration will review and update its guidance on financial account reporting to align with these changes.

Despite the increased flow of information, individuals trading crypto assets will still need to declare profits, losses, and related income in their annual tax returns. The first international exchange of crypto asset data is expected to take place by September 2027.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot! 

Central Bank warns of new financial scams in Ireland

The Central Bank of Ireland has launched a new campaign to alert consumers to increasingly sophisticated scams targeting financial services users. Officials warned that scammers are adapting, making caution essential with online offers and investments.

Scammers are now using tactics such as fake comparison websites that appear legitimate but collect personal information for fraudulent products or services. Fraud recovery schemes are also common, promising to recover lost funds for an upfront fee, which often leads to further financial loss.

Advanced techniques include AI-generated social media profiles and ads, or ‘deepfakes’, impersonating public figures to promote fake investment platforms.

Deputy Governor Colm Kincaid warned that scams now offer slightly above-market returns, making them harder to spot. Consumers are encouraged to verify information, use regulated service providers, and seek regulated advice before making financial decisions.

The Central Bank advises using trusted comparison sites, checking ads and investment platforms, ignoring unsolicited recovery offers, and following the SAFE test: Stop, Assess, Factcheck, Expose. Reporting suspected scams to the Central Bank or An Garda Síochána remains crucial to protecting personal finances.

Would you like to learn more about AI, tech and digital diplomacy? If so, ask our Diplo chatbot!