Crypto Market: Bitlayer Partnerships, SEC Tokenization, Google Quantum Threat, Major Scams, and Exchange Incidents

The global crypto market has witnessed significant developments recently. Ethereum surged 50% after a positive US-China tariff deal boosted sentiment, while broader institutional and retail interest in crypto has grown. Bitlayer partnered with leading Bitcoin mining pools Antpool, F2Pool, and SpiderPool to accelerate BitVM adoption—unlocking Turing-complete smart contracts on Bitcoin Layer2 without protocol changes. The US SEC engaged Nasdaq and DeFi startups in regulatory talks about securities tokenization and asset classification, with a focus on sandbox pilots. Meanwhile, a $19 billion crypto scam involving Cambodian officials and Huione Group surfaced, raising compliance risks. Google researchers warned that quantum computing resources needed to crack wallet encryption have dropped, heightening long-term blockchain security concerns. The Sui Network committed an additional $10 million to ecosystem security after the Cetus protocol exploit, and Cetus set plans for liquidity provider restitution. Circle denied rumors of acquisition interests from Coinbase or Ripple. The Blockchain Group issued €63.3 million in convertible bonds to increase Bitcoin reserves. Alpaca Finance announced an operational shutdown after Binance delisted its token, leading to a 26% price drop. Former FTX CEO Sam Bankman-Fried’s prison sentence was shortened, and US crypto regulations are approaching a key legislative phase. Strategy (formerly MicroStrategy) acquired 4,020 more BTC, now holding 580,250 BTC with a 16.8% annualized return. Discussions around Layer2 decentralization, withdrawal speed, and censorship resistance are intensifying. Ongoing activities include token airdrops, funding rounds, and network expansions. The market remains volatile, with both growth opportunities and persistent security and regulatory risks shaping trader decisions.