
Crypto Policy Struggles, Data Breaches, and Market Updates: Weekly Roundup
Galaxy Digital lowers CLARITY Act passage odds to 10%, crypto firms urge AI labs for security access, and regulators clash over prediction markets as Bitcoin drops 3.3%.

Galaxy Digital lowers CLARITY Act passage odds to 10%, crypto firms urge AI labs for security access, and regulators clash over prediction markets as Bitcoin drops 3.3%.

The Irish government published its first national anti-money laundering strategy targeting digital assets, introducing new compliance obligations for crypto service providers, private wallet transfers, and gambling funds.

Federal agents arrested Zyaire Wilkins, 21, in Florida, accusing him of involvement in a scheme that hid crypto-stealing malware in online video games. The group allegedly infected 8,000 devices, accessed 80 crypto wallets, and stole at least $220,000 between May 2024 and February 2026. Wilkins faces up to 10 years in prison.

A macOS malware steals data from Keychain, Safari, Apple Notes, Telegram Desktop, and 13+ crypto wallets, compromising sessions and wallets even with 2FA, as discovered by SlowMist.

A new exploit dubbed 'Ill Bloom' by Coinspect puts thousands of crypto wallets at risk due to weak recovery phrases generated by insecure random number generators in certain software wallets. At least $5 million has been drained since May 27.

The US Treasury Department sanctioned 134 cryptocurrency wallets linked to ISIS-K, with 131 on the Tron blockchain. Chainalysis reported these wallets received over $1.4 million since 2023, and Tether has frozen associated funds.

The US Treasury's OFAC has sanctioned 134 cryptocurrency wallet addresses linked to ISIS-K, freezing 131 on the Tron network and 3 on Monero. These wallets received over $1.4 million in donations since 2023.

Former Goliath Ventures CEO Christopher Alexander Delgado pleaded guilty to a crypto investment scheme that prosecutors say raised at least $400 million. Funds were used for luxury spending and to pay earlier investors, causing at least $250 million in losses. Delgado faces prison time and agreed to forfeit luxury assets.

Europol's Operation Endgame froze over €41 million in criminal crypto assets, dismantling infrastructure for SocGholish, Amadey, and StealC malware families. The two-week, multi-country crackdown targeted infostealers, recovering credentials and cleaning infected websites.

Microsoft's latest research reveals CryptoBandits malware, spread via malicious USB shortcuts, targets self-custody crypto wallets. It steals seed phrases, replaces copied addresses with attacker-controlled ones, and uses Tor for communication, highlighting endpoint security risks in crypto transactions.

Three cryptocurrency wallets, mintblade, GRIMDRIP, and EndlessFate, collectively profited $24.25 million from World Cup prediction markets before consolidating their winnings to a single Binance deposit address. This raises questions about potential single-trader control and the source of their success.

New "agentic" AI systems are emerging that can set goals, use tools, and execute tasks, potentially connecting AI directly with decentralized finance (DeFi) and crypto wallets. While still in early stages, this technology could automate portfolio management, payments, and yield identification, offering advantages over traditional finance due to crypto's continuous, global, and programmable nature.

MoonPay launched MoonAgents, a desktop app connecting AI models like Claude and ChatGPT to crypto wallets and blockchain services. It aims to enhance security by storing private keys locally and encrypting them, preventing AI access.

Arkham reveals on-chain map of crypto wallets linked to Iran's central bank, potentially increasing scrutiny of Iranian entities using stablecoins and blockchain to evade sanctions.

At Consensus 2026, Cardano's Charles Hoskinson said that “users should probably never have their private keys,” adding that “something should have the private keys for the users.” He argued that the secure chips already embedded in iPhones, Android phones, and Samsung devices outperform those in Ledger and Trezor devices, and that most crypto users already […] The post Cardano’s Charles Hoskinson says the future of crypto wallets will be inside iPhones and Androids appeared first on CryptoSlate.

Meta announced USDC payouts for eligible creators on Solana and Polygon, starting in Colombia and the Philippines. The pilot targets a creator economy Goldman Sachs projects will reach $480B by 2027. A 10% capture of this market equals $25-48B annually in stablecoin flows, representing 6.4-12.3% of the $390B in real-economy stablecoin payments. The rollout leverages Stripe's stablecoin infrastructure spanning 60+ countries, settling cross-border payments in minutes. Success depends on wallet abstraction reducing friction for mainstream creators.