Crypto News Today: Security Alerts 2026

Bitcoin (BTC) is trading in the high-$60,000 range after a volatile start to February. According to Reuters, Bitcoin briefly climbed back above $70,000 on February 6, following a sharp correction from its October 2025 peak near $126,000. Market indicators confirm Bitcoin remains in a bear-market phase, trading roughly 40% below its all-time high, under its 365-day moving average, while spot Bitcoin ETF flows have shifted from inflows to outflows. Analysts widely expect Bitcoin to form a market bottom by mid to late 2026, with projections clustering between $60,000 and $70,000.

Ethereum (ETH) is trading near $2,000–$2,100, with prices around $2,068 on February 6 and approximately $2,119 by February 8. Ethereum has also declined significantly, down about 35% year-to-date, reflecting broader market weakness. While long-term optimism remains tied to network upgrades and growing institutional adoption, Ethereum’s short-term price action continues to closely track overall crypto market sentiment.

XRP (Ripple) is trading near $1.46 as of February 8. After rallying strongly through 2024 and peaking around $3.30, XRP has now fallen more than 50% from its high. A recent 24% price surge on February 6 aligned with a broader crypto market rebound rather than XRP-specific developments. Analysts caution that XRP’s valuation has been driven largely by speculative momentum, while regulatory outcomes particularly developments in the SEC’s case against Ripple remain key long term drivers.

Crypto Market Sentiment and Trading Volume

The global cryptocurrency market capitalization has dropped sharply from its late-2025 peak of approximately $4.4 trillion. Reuters estimates that more than $2 trillion in market value has been erased since October 2025, including over $1 trillion lost in January alone. Despite the downturn, trading activity surged briefly in early February as prices rebounded. CoinDesk reported 24-hour trading volume of roughly $596 billion on February 4, representing a 60% increase.

Investor sentiment remains deeply negative. The Crypto Fear & Greed Index has fallen to around 5 out of 100, signaling “Extreme Fear.” Reuters analysis shows that approximately $2.56 billion in Bitcoin positions were liquidated during early February volatility. Major cryptocurrencies declined about 6% between February 1 and 2, coinciding with a broader risk-off move across global technology stocks and precious metals. Overall, continued liquidations, ETF outflows, and declining risk appetite suggest many investors view the market as entering a capitulation phase.

Cryptocurrency Regulatory Developments

United States

In the United States, lawmakers are advancing new cryptocurrency legislation aimed at clarifying oversight responsibilities. A Senate Agriculture Committee proposal would grant the Commodity Futures Trading Commission (CFTC) authority over digital commodities. On February 4, the SEC dropped charges against CryptoFed, a stablecoin issuer, citing new legislation under the proposed GENIUS Act, recent executive actions, and growing demand for clearer regulatory guidance. Meanwhile, the White House has urged banks and crypto firms to finalize stablecoin regulations by the end of February, focusing on reserve requirements and interest-bearing accounts. In parallel, U.S. authorities sanctioned two UK-registered crypto exchanges for alleged links to Iranian networks.

European Union

The European Union’s Markets in Crypto-Assets (MiCA) regulation is now fully in effect. Crypto companies operating in the EU must secure licenses by July 1, 2026. In France, regulators reported that nearly one-third of crypto firms have not yet responded to licensing inquiries, raising compliance concerns. At the same time, major firms such as Coinbase, Circle, and Revolut have already obtained MiCA approvals. Binance has applied for a pan-European MiCA license through its Greek subsidiary as it prepares for regulatory alignment. EU policymakers are also debating enhanced centralized supervision under the European Securities and Markets Authority (ESMA).

China and Asia

China continues to enforce strict cryptocurrency restrictions. On February 6, regulators reaffirmed bans on unauthorized offshore yuan-pegged stablecoins and reiterated that the digital yuan remains the only legal digital currency. All crypto-related activities are classified as illegal financial activity. At the same time, Chinese authorities are exploring regulated frameworks for tokenized real-world assets (RWAs), reviewing offshore tokens backed by onshore assets to prevent regulatory loopholes.

Hong Kong

The Hong Kong Monetary Authority (HKMA) plans to issue its first stablecoin licenses in early 2026. More than 36 applications have been submitted, with three to five licenses expected by March. Hong Kong regulators view stablecoins as critical financial infrastructure rather than speculative instruments and are adopting a cautious, licensing-first regulatory model.

Crypto Exchanges and Industry News

Coinbase and Traditional Finance:
Coinbase executives and major banking representatives met with White House officials in early February to negotiate stablecoin regulations. A political agreement is required by the end of the month to preserve bipartisan support for upcoming legislation. Separately, Senator Cynthia Lummis introduced proposals clarifying regulatory boundaries between the SEC and CFTC. Coinbase is scheduled to release its Q4 2025 earnings on February 12.

Binance:
Binance continues its push toward regulatory compliance in Europe. Its Greek subsidiary has formally applied for an EU MiCA license. Speaking at the World Economic Forum in Davos, Binance co-founder Changpeng Zhao stated that crypto payments remain a niche use case and warned that meme coins carry high speculative risk. He also noted Binance successfully processed $14 billion in withdrawals within one week without liquidity issues, highlighting operational resilience. Zhao emphasized the need for global regulatory coordination and cross-border “passporting.”

Other Companies:
Companies with large Bitcoin holdings have come under pressure amid falling prices. Firms such as MicroStrategy and Smarter Web saw their share prices decline sharply. MicroStrategy’s stock fell from approximately $457 in July to around $111 by February 5, underscoring the risks of corporate balance sheets heavily exposed to digital assets.

Crypto Security Incidents and Scams

A major operational error occurred at South Korea’s Bithumb exchange on February 5, when a promotional reward was misconfigured, crediting users with approximately 2,000 BTC each, totaling an estimated 620,000 BTC worth roughly $44 billion. Trading was halted within 35 minutes, and 99.7% of the funds were recovered. The incident briefly caused Bitcoin prices on Bithumb to drop around 17%. South Korean regulators convened an emergency meeting, warning of systemic vulnerabilities in exchange infrastructure.

Crypto-related losses surged in January 2026, according to CertiK, with approximately $311 million stolen. Notable incidents included a $30 million theft from Solana-based Step Finance and a $26.6 million exploit of the Truebit Protocol, where attackers minted roughly 8,535 ETH. DeFi platforms and smart contracts remain prime targets for sophisticated attacks.

NFT users also faced ongoing threats. A phishing scam impersonating an OpenSea contract migration in January resulted in the theft of approximately $2 million in NFTs, reinforcing the need for stronger security practices and user awareness.

NFT and DeFi Market Developments

OpenSea SEA Token:
NFT marketplace OpenSea plans to launch its native SEA token in Q1 2026. The tokenomics prioritize community participation, with 50% of the total supply allocated to users, including early adopters. At launch, OpenSea will dedicate 50% of its revenue to SEA token buybacks, aligning token value with platform growth and signaling a strategic shift toward a broader on-chain ecosystem.

Metaverse Partnerships:
The Sandbox, developed by Animoca Brands, announced a major partnership with ZEPETO, Asia’s largest virtual world with over 200 million users. The collaboration enables interoperable “parallel worlds,” allowing NFTs such as wearables and in-game assets to function across both platforms, advancing metaverse asset interoperability.

DeFi Innovation:
On February 5, Multiliquid and Metalayer Ventures introduced a new liquidity facility for tokenized real-world assets on Solana. The system enables instant redemption of tokenized funds into stablecoins, addressing a major liquidity challenge for institutional investors. With Solana’s RWA ecosystem exceeding $1 billion, the launch highlights DeFi’s evolution toward practical financial infrastructure.

Broader Trends:
In 2026, NFTs and DeFi are shifting away from speculation toward utility, scalability, and infrastructure. Ethereum Layer-2 networks such as Base and Immutable X are expanding NFT gaming, while emerging standards like Bitcoin BRC-20 Ordinals are driving cross-chain innovation. Overall, NFT sales and DeFi total value locked are stabilizing, supported by institutional interest and real-world use cases.http://Contact Us: https://cryptodaily.meeqam.com