Vanguard, the second-largest asset manager in the world, is set to allow its clients to start trading crypto exchange-traded funds and mutual funds on its platform starting Tuesday, reversing its previous stance on digital asset ETFs.
Spurred by persistent retail and institutional demand, Vanguard will permit third-party access to crypto ETFs and mutual funds similar to how the firm treats gold, a Vanguard spokesperson confirmed to Cointelegraph in a statement.
Bloomberg reported that only ETFs that meet regulatory standards will be included, such as Bitcoin (BTC), Ether (ETH), XRP (XRP) and Solana (SOL)-related ETFs.
The investment manager told Cointelegraph it has ruled out memecoins as well as creating its own crypto ETFs and mutual funds.
“We serve millions of investors who have diverse needs and risk profiles, and we aim to provide a brokerage trading platform that gives our brokerage clients the ability to invest in products they choose,” the Vanguard spokesperson said.
Vanguard is second only to BlackRock as an asset manager, with over $11 trillion in global assets under management as of January, according to the company’s latest report.
Vanguard had ruled out crypto ETFs due to volatility concerns
Vanguard was previously against offering crypto ETFs on its platform, citing volatility and the speculative nature of the assets.
Its former CEO, Tim Buckley, was also strongly opposed, saying in a May 2024 video that the company doesn’t “believe it belongs, like a Bitcoin ETF belongs in a long-term portfolio of someone saving for their retirement. It’s a speculative asset.”
Buckley announced he was stepping down as CEO in February 2024 and retired at the end of that year.
The company had been against offering crypto ETFs on its platform due to concerns about volatility. Source: Vanguard
Some X users speculate that Vanguard’s policy shift could open the floodgates to new investors and spike crypto prices. Crypto analyst and investor Nilesh Rohilla said he would be surprised if Bitcoin doesn’t jump “5% in this news in the next 24 hrs.”
X user BankXRP said it “is another massive signal that traditional finance is fully stepping into digital assets. The wall of money is lining up.”
Meanwhile, Vivek Sen, the founder of Bitcoin public relations firm Bitgrow Lab, also predicted there are “trillions incoming.”
Stablecoin concerns, regulatory pressure, and reduced risk appetite among traders weighed more on Bitcoin than Japan’s bond-market moves.
Reduced confidence in global growth and stress on digital asset reserve companies amplified BTC selling and subsequent stop losses.
Bitcoin (BTC) price dropped sharply on Sunday after failing to overcome $92,000. The slide to $84,000 on Monday wiped out $388 million in bullish leveraged positions, leaving analysts searching for a clear explanation. A mix of factors contributed to the sell-off and pushed traders toward a more cautious stance.
Some analysts quickly tied Bitcoin’s drop to turbulence in the Japanese bond market where yields on 20-year notes climbed to their highest level in 25 years.
Japan 20-year bonds yield (left) vs. Bitcoin/USD (right). Source: TradingView / Cointelegraph
Higher yields generally signal that investors are less willing to buy those bonds at current prices, whether due to concerns about inflation or rising government debt. Although the moves occurred on the same day, drawing a direct link is challenging, especially since the 30-day correlation has fluctuated between positive and negative throughout the year.
Japan’s market stress may also reflect deteriorating global economic expectations. Trader Jim Chanos, famous for predicting the fall of Enron during the dot-com bubble in 1999, highlighted in a recent interview with Yahoo Finance the growing risks tied to GPU-backed debt issued by cloud AI companies.
AI datacenter funding, USD billion. Source: Bofa Global Research
According to Chanos, “a lot of the AI companies […] are just loss-making enterprises right now,” and if this does not change, “there is going to be debt defaults.” The financing trend that uses GPUs as collateral was pioneered by CoreWeave (CRWV US), according to Yahoo Finance, and has been accompanied by Nvidia’s (NVDA US) large investments in the cloud sector.
Regulatory uncertainty adds to crypto market unease
Another source of unease came from the regulatory environment, even if not directly tied to Bitcoin. When traders sense that governments are tightening their stance on cryptocurrencies, many investors become less willing to increase exposure. So, even without direct consequences for Bitcoin itself, overall sentiment can turn negative.
Reuters reported on Saturday that China’s central bank reaffirmed its strict approach toward digital assets, pledging to intensify its crackdown on illegal activity. The People’s Bank of China (PBOC) reportedly said that stablecoins “were being used for illegal activities including money laundering, fraud, and unauthorized cross-border fund transfers.”
The 23% Bitcoin price decline over the past 30 days has disrupted how strategic digital-asset reserve companies operate. Until recently, they had strong incentives to issue stock at market prices and use the proceeds to buy Bitcoin, but that approach breaks down once a company trades below its net asset value.
Strategy (MSTR US) CEO Phong Le said in an interview that the company would only consider selling its Bitcoin if mNAV remains depressed and every other funding option has been exhausted. Although fears spread over the weekend, Strategy announced on Monday that it successfully raised $1.44 billion in cash to support dividend payments and service its debt obligations.
Tether (USDT/CNY) vs. US dollar/CNY. Source: OKXt
In parallel, S&P Global Ratings downgraded Tether (USDT) stablecoin reserves to the weakest level possible on Wednesday. USDT soon began trading at a 0.4% discount relative to the official USD/CNY rate in China, signaling moderate selling pressure.
Analysts cited “persistent gaps in disclosure” and “limited information on the creditworthiness of its custodians, counterparties, or bank account providers.” Whether or not the criticism is fully justified, given that Tether does not operate like a traditional bank, the move still hurts cryptocurrency traders’ risk appetite.
Bitcoin’s crash to $84,000 on Monday reflects broader concerns around the stablecoin sector and fading confidence in global economic prospects, rather than any specific issue in Japan’s government bond market.
This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
Bitcoin is facing significant selling at the start of the new week, with some analysts expecting a drop as low as $50,000.
Several altcoins turned down from their overhead resistance and are threatening to dip below their support levels.
Bitcoin (BTC) began December on a weak note, signaling that the bears are not willing to let go of their advantage. Trader Peter Brandit said in a post on X that BTC’s chart shows support in the sub-$70,000 to mid-$40,000 zone.
Another analyst who is cautious in the near term is network economist Timothy Peterson. According to data that Peterson posted on X, BTC’s second half of 2025 is very similar to the second half of 2022. If history repeats, BTC may not see a sharp rally until well into Q1 next year.
Crypto market data daily view. Source: TradingView
A minor positive for the bulls is that crypto exchange-traded products attracted $1.07 billion in inflows last week, breaking their four-week losing streak, according to CoinShares data. That shows demand at lower levels.
Could BTC and the major altcoins hold on to their support levels? Let’s analyze the charts of the top 10 cryptocurrencies to find out.
S&P 500 Index price prediction
The S&P 500 Index (SPX) rose above the moving averages on Tuesday and extended the recovery above the resistance line on Friday.
The bulls are expected to encounter significant selling at the 6,920 level. If the price turns down from the 6,920 resistance and breaks below the moving averages, it suggests a range formation. The index could then consolidate between 6,550 and 6,920 for some time. Sellers will be back in command if they yank the price below the 6,550 level.
Conversely, a break and close above the 6,920 resistance indicates the resumption of the uptrend. The index could surge to the 7,000 level and later to the 7,300 level.
US Dollar Index price prediction
The US Dollar Index (DXY) turned down from the 100.50 resistance and broke below the 20-day exponential moving average (EMA) (99.57) on Wednesday.
The immediate support on the downside is at the 50-day simple moving average (SMA) (99.05). If the price rebounds off the 50-day SMA, the bulls will again try to pierce the 100.50 resistance. If they succeed, the index could soar toward the 102 level.
Alternatively, a break and close below the 50-day SMA suggests that the bulls are losing their grip. The index could then drop to the 98 level. That points to a possible consolidation between 96.21 and 100.50 for some time.
Bitcoin price prediction
BTC turned down sharply on Monday after failing to rise above the 20-day EMA ($91,999) in the past few days.
If the Bitcoin price closes below $84,000, the BTC/USDT pair could collapse to $80,600. Buyers are expected to aggressively defend the $80,600 to $73,777 zone. On the way up, the bulls will have to push and maintain the price above the 20-day EMA to signal strength. The pair could then rally to the 50-day SMA ($101,438).
Contrary to this assumption, if the $73,777 support gives way, the selling could intensify and the pair risks diving to $54,000.
Ether price prediction
Ether (ETH) turned down from the 20-day EMA ($3,052) on Sunday, indicating that the sentiment remains negative and traders are selling on rallies.
The bears will attempt to sink the Ether price below the $2,623 level, starting the next leg of the downtrend. If they do that, the ETH/USDT pair could plunge to $2,400 and then to the $2,111 level.
The bulls will have to push and maintain the price above the 20-day EMA to signal strength. The pair could then rally to the breakdown level of $3,350, which is a crucial level for the bears to defend.
XRP price prediction
XRP (XRP) turned down from the 20-day EMA ($2.18) on Sunday, indicating that the bulls have given up.
The XRP/USDT pair could drop to the support line of the descending channel pattern, where the buyers are expected to step in. If the XRP price turns up sharply from the support line and breaks above the 20-day EMA, it suggests that the pair may remain inside the channel for a while longer.
On the other hand, a break and close below the support line opens the doors for a fall to the $1.61 support. Buyers are expected to defend the $1.61 level with all their might, as a break below it may sink the pair to $1.25.
BNB price prediction
BNB’s (BNB) recovery fizzled out at the 20-day EMA ($894), signaling that the bears remain active at higher levels.
The sellers are attempting to sink the BNB price below the Nov. 21 low of $790. If they can pull it off, the BNB/USDT pair could resume its downtrend toward the next target objective of $730.
Instead, if the price turns up and breaks above the 20-day EMA, it suggests that the bulls are buying at lower levels. The pair could then rally toward the 50-day SMA ($999), where the bears are expected to renew their selling.
Solana price prediction
Solana (SOL) turned down from the 20-day EMA ($140) on Sunday and is threatening to skid below the $126 support.
If the price sustains below $126, the SOL/USDT pair could descend to $110 and, after that, to the solid support at $95.
This negative view will be invalidated in the near term if the price turns up sharply and breaks above the 20-day EMA. The Solana price could then climb to the 50-day SMA ($163), where the bears are again expected to mount a strong defense. A close above the 50-day SMA signals the start of a new up move.
Sellers are trying to strengthen their position by pulling the Dogecoin price below the $0.13 support. If they manage to do that, the DOGE/USDT pair could tumble toward the Oct. 10 low of $0.10.
Time is running out for the bulls. They will have to swiftly drive the price above the 20-day EMA to signal a comeback. The large range of $0.14 to $0.29 will be back in play after buyers propel the pair above the 50-day SMA ($0.17).
Cardano price prediction
The bears are attempting to start the next leg of the downward move below the $0.38 support in Cardano (ADA).
If the price closes below $0.38, the ADA/USDT pair could plummet to the Oct. 10 low of $0.27. Buyers are expected to fiercely defend the $0.27 level, as a break below it may sink the pair to $0.23.
The 20-day EMA ($0.45) remains the key overhead resistance level to watch out for in the near term. A break and close above the 20-day EMA suggests the selling pressure is reducing. Buyers will have to drive the Cardano price above the 50-day SMA ($0.55) to signal that the downtrend may have ended.
Bitcoin Cash price prediction
Buyers attempted to push Bitcoin Cash (BCH) above the $568 resistance on Sunday, but the bears held their ground.
Repeated failure to clear the overhead resistance increases the risk of a breakdown below the 50-day SMA ($514). If that happens, the BCH/USDT pair could slide to the solid support at $443.
The flattening moving averages and the RSI just below the midpoint suggest a possible consolidation in the short term. Buyers will have to drive the Bitcoin Cash price above the $568 level to retain the advantage. The pair could then rally to $615.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
The Bitcoin mining industry has entered what may be its most severe economic downturn in its 15-year history, with even large publicly traded operators struggling to break even amid collapsing mining revenue and rising debt, according to TheMinerMag.
In its latest report, TheMinerMag said miners are operating in the “harshest margin environment of all time,” as hashprice — the revenue earned per unit of computing power — has fallen from an average of about $55 per petahash per second (PH/s) in the third quarter to roughly $35 PH/s, a level the publication characterized as a structural low rather than a temporary dip.
The deterioration followed a sharp correction in the price of Bitcoin (BTC), which fell from a record high near $126,000 in October to below $80,000 in November.
Under these conditions, cost-per-hash has emerged as a revealing metric for miners. It highlights how efficiently miners convert electricity and capital into raw computational output and exposes a widening gap between average operators and only the most efficient survivors.
The data shows that new-generation mining machines now require more than 1,000 days to recoup their costs — a growing concern, given the next Bitcoin halving is roughly 850 days away.
Bitcoin mining costs across major publicly traded miners. Source: TheMinerMag
“Balance sheets are reacting” to the deteriorating economics, TheMinerMag said, pointing to CleanSpark’s recent decision to fully repay its Bitcoin-backed credit line with Coinbase as a sign of the industry’s broader shift toward deleveraging and liquidity preservation.
The slide in Bitcoin prices and the resulting pressure on hashrate have coincided with a broader sell-off across traditional markets, delivering a one-two punch to publicly listed mining companies.
The MinerMag’s third-quarter report flagged a “sharp drawdown in mining equities since mid-October,” with losses accelerating across the sector.
MARA stock’s year-to-date performance. Source: Yahoo Finance
MARA Holdings (MARA) has been among the hardest hit, down roughly 50% from its Oct. 15 closing high. CleanSpark (CLSK) has declined 37% over the same period, while Riot Platforms (RIOT) has dropped 32%. Shares of HIVE Digital Technologies (HIVE) have suffered the steepest decline, plunging 54% from their October peak.
The majority of Ethereum rollups have converged on a single model, in which the EVM is still the execution engine. So parallel execution remains a vague ambition rather than a feature of most Ethereum L2s. Eclipse takes a different path. It brings the Solana Virtual Machine into an Ethereum-anchored environment and restructures the rollup stack around it.
The latest report by Cointelegraph Research examines how this design emerged, the problems it solves and what questions it raises for the broader layer-2 ecosystem. It highlights where Eclipse diverges from existing rollups and why these differences matter for developers, users and institutions.
The SVM introduces deterministic parallelism into the Ethereum rollup landscape. Instead of competing for the same global queue, applications can operate in separate lanes. This affects congestion control, fee markets and how system-level performance scales in periods of high activity.
Localized fee markets isolate busy applications, so spikes in one program do not raise costs network-wide. This combination of lane-based execution and isolated fee formation is a key reason the system behaves differently under load compared to EVM-based rollups.
The design also reflects Eclipse’s deliberate retreat from the hyper-modular Rollups-as-a-Service model that they first pursued. Rather than offering dozens of configurations, Eclipse fixed its architecture. Our report traces the path from Eclipse’s original experiments with Polygon SVM and Cascade to a single shared network that executes on the SVM, settles on Ethereum and publishes data to Celestia.
Eclipse uses ZK-accelerated fraud proofs powered by RISC Zero. In most optimistic rollups, disputes unfold through multi-round interactive games that replay parts of the execution on Ethereum. Eclipse instead encapsulates the contested computation in a single succinct proof, which can be submitted when a challenge arises. This shortens the dispute process and avoids reconstructing intermediate states on Ethereum.
Our report examines how this proving system fits into Eclipse’s broader security framework. Fraud proofs use a bond mechanism that assigns clear economic consequences to challengers. Any correct challenge results in a reward, while an incorrect one leads to the loss of the posted bond. This structure maintains the incentive model familiar from optimistic rollups while placing the disputed computation inside a zk-proving environment rather than on Ethereum.
The next milestone: Moving toward a Stage-2 rollup
Eclipse publicly targets L2BEAT’s Stage-2 classification, which requires permissionless fraud proofs, strict upgrade rules and a clear exit window for users. Our report examines the gap between the current design and these technical requirements. It also explains why Eclipse is currently listed in the “Other” category by L2BEAT and what steps are necessary for it to be recognized as a full Ethereum rollup.
A recent upgrade toward this end is the ZK data-availability challenge subsystem, which verifies Celestia commitments on Ethereum at a predictable cost. It improves on the requirement for verifiable data availability as it lets Ethereum smart contracts check Celestia’s commitments rather than trusting them implicitly. While meaningful, this alone is not enough to satisfy Stage-0 requirements.
Eclipse is attempting what no Ethereum layer-2 has yet proven in production. It merges a high-performance SVM runtime with Ethereum’s settlement assurances and an external data-availability network. Whether this blend produces a new class of rollups or reveals the limits of modular design remains an open but exciting question.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
Cointelegraph does not endorse the content of this article nor any product mentioned herein. Readers should do their own research before taking any action related to any product or company mentioned and carry full responsibility for their decisions.
Ether (ETH) fell to $2,800 on Monday, failing to hold $3,000 as surging expectations of a Bank of Japan rate hike unnerved the market. Meanwhile, technicals and onchain data sent mixed signals on Ether’s ability to buck the downtrend.
Key points:
Ethereum price fell 5.5% on Monday, dropping below $3,000 again amid Bank of Japan rate-hike fears.
Bulls need a sustained break above $3,200 for a strong recovery, while breaching $2,800 would invalidate the macro bullish trend.
Ether’s MVRV Z-Score approaches the accumulation zone, signaling a local bottom forming.
Ether’s price is sandwiched between two key levels
Ether’s 18% recovery from a $2,620 low reached on Nov. 21 was curtailed by selling around the $3,000 psychological barrier.
This “was a major support that has currently flipped to resistance,” said pseudonymous analyst That Martini Guy ₿ in an X post on Friday.
Note that this is where the 50-week (yellow wave) and the 100-week (blue wave) moving averages appear to converge (see chart below), reinforcing the significance of this level.
“If $ETH breaks above this level and stays there, we should see the price rally back into the mid $ 3000’s throughout December!” That Martini Guy ₿ added.
The Glassnode cost basis distribution heatmap revealed another area of resistance, located further up, between $3,150 and $3,230, where about 5.1 million ETH was acquired.
Ethereum: Cost basis distribution heatmap. Source: Glassnode
On the downside, the ETH/USD pair traded above a key support area around $2,800, where 3.6 million ETH were previously purchased.
ETH has a “good hold of the key support area for now,” said analyst Daan Crypto Trades in a recent X post, referring to the $2,800-$2,850 support zone.
The altcoin could see a “very clear invalidation if it drops below these local lows,” the analyst wrote, adding:
On the upside, Daan Crypto Trades said, rising above $3,350 would see the ETH price get closer to the range high at $4,000.
“$2,850 and $3,350 are the levels that matter in this area.”
As Cointelegraph reported, buyers are expected to fiercely defend the $2,800-$2,600 support level, while bears are mounting a defense at the 20-day EMA around $3,100.
Ethereum ETF inflows suggest bullish sentiment
Ether’s ability to stem against a deeper correction was reinforced by inflows into US-based Ethereum spot exchange-traded funds (ETFs).
Ether ETFs finished Thanksgiving week with $312 million in inflows, hinting that the worst of the institutional crypto sell-off may be over.
US spot Ethereum ETF daily net flows, USD. Source: SoSoValue
However, Ether’s ability to stay above $2,800 and reclaim $3,000 may be curtailed by a lack of network demand, as shown by the decline in Ethereum network fees, data from Nansen shows.
Blockchains ranked by seven-day fees, USD. Source: Nansen
Ethereum chain fees totaled $2.68 million over the past seven days, representing a 54% decrease from the previous week. By comparison, fees on Solana rose by 2%, while those on Tron remained relatively unchanged, increasing by 0.4%.
The number of active addresses on Ethereum’s base layer climbed by 20% over the same period, while transaction count increased by 4%. This suggested that increased user engagement could eventually lead to increased onchain demand for ETH, driving its price higher.
Ether’s MVRV Z-Score hints at a local bottom
Ether’s MVRV Z-Score, a key onchain metric used to identify market tops and bottoms, is nearing the historical accumulation zone (the green line in the chart below), strengthening the argument that ETH may be forming its local bottom.
The last time Ether’s MVRV Z-Score dipped to the current level around 0.30 was in June, after a 25% price drawdown. This coincided with a local market bottom at $2,100 and preceded a multimonth rally, with the ETH/USD rising 134% to its $4,950 all-time high.
As Cointelegraph reported, most Ethereum valuation models indicate the top altcoin is undervalued, projecting ETH prices above $4,000.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
Cryptocurrency investment products snapped a four-week losing streak, drawing about $1 billion in fresh money after four consecutive weeks of losses totaling $5.5 billion.
Crypto exchange-traded products (ETPs) recorded $1.07 billion of inflows last week, their first week of gains since late October, according to the European crypto asset manager CoinShares.
James Butterfill, CoinShares’ head of research, attributed the rebound to optimism over a potential US interest rate cut, following remarks from Federal Open Market Committee (FOMC) member John Williams.
“The turnaround in sentiment follows FOMC member John Williams comments stating monetary policy remains restrictive, raising hopes for an interest rate cut this month,” Butterfill noted.
XRP sees the largest inflows on record
Bitcoin (BTC), Ether (ETH) and XRP (XRP) were the top performers in ETP inflows last week, with Bitcoin leading the gains at $464 million. Ether and XRP were followed with $309 million and $289 million, respectively.
Despite the weekly gains, both Bitcoin and Ether remain in negative territory for the month, with outflows of $2.8 billion and $1.4 billion, respectively.
Weekly crypto ETP flows by asset as of Friday (in millions of US dollars). Source: CoinShares
XRP funds have moved in the opposite direction. They have recorded nearly $790 million in month-to-date inflows, including the largest weekly inflows on record for the asset, according to CoinShares.
Regionally, the United States drove inflows with aömost $1 billion, even amid subdued trading during the Thanksgiving week, Butterfill said.
Weekly crypto ETP flows by issuer as of Friday (in millions of US dollars). Source: CoinShares
Among issuers, Fidelity recorded the largest inflows at $230 million, followed by Volatility Shares Trust with $160 million and BlackRock’s iShares at $120 million.
Sony Bank, the online lending subsidiary of Sony Financial Group, is reportedly preparing to launch a stablecoin that will enable payments across the Sony ecosystem in the US.
Sony is planning to issue a US dollar-pegged stablecoin in 2026 and expects it to be used for purchases of PlayStation games, subscriptions and anime content, Nikkei reported on Monday.
Targeting US customers — who make up roughly 30% of Sony Group’s external sales — the stablecoin is expected to sit alongside existing payment options such as credit cards, helping reduce fees paid to card networks, the report said.
Sony Bank applied in October for a banking license in the US to establish a stablecoin-focused subsidiary and has partnered with the US stablecoin issuer Bastion. Sony’s venture arm also joined Bastion’s $14.6 million raise, led by Coinbase Ventures.
Sony Bank has been actively venturing into Web3
Sony Bank’s stablecoin push in the US comes amid the company’s active venture into Web3, with the bank establishing a dedicated Web3 subsidiary in June.
“Digital assets utilizing blockchain technology are incorporated into a diverse range of services and business models,” Sony Bank said in a statement in May.
“Financial services, such as wallets, which store NFT [non-fungible tokens] and cryptocurrency assets, and crypto exchange providers are becoming increasingly important,” it added.
Sony Bank established a Web3 subsidiary with an initial capital of 300 million yen ($1.9 million) in June 2025. Source: Sony Bank
The Web3 unit, later named BlockBloom, aims to build an ecosystem that blends fans, artists, NFTs, digital and physical experiences, and both fiat and digital currencies.
Sony Bank’s stablecoin initiative follows the recent spin-off of its parent, Sony Financial Group, which was separated from Sony Group and listed on the Tokyo Stock Exchange in September.
The move was intended to decouple the financial arm’s balance sheet and operations from the broader Sony conglomerate, allowing each to sharpen its strategic focus.
Cointelegraph reached out to Sony Bank for comment regarding its potential US stablecoin launch, but had not received a response by the time of publication.
China’s central bank has flagged stablecoins as a risk and has promised to refresh its crackdown on crypto trading, which it has banned since 2021.
The People’s Bank of China said on Saturday, after a meeting with 12 other agencies, that “virtual currency speculation has resurfaced” due to various factors, posing new challenges for risk control.
“Virtual currencies do not have the same legal status as fiat currencies, lack legal tender status, and should not and cannot be used as currency in the market,” the bank said, according to a translation of its statement.
“Virtual currency-related business activities constitute illegal financial activities.”
China’s central bank banned crypto trading and mining in 2021, citing a need to curb crime and claiming that crypto posed a risk to the financial system.
Bank says stablecoins of concern
China’s central bank highlighted stablecoins as a particular concern, stating that the tokens weren’t meeting legal requirements and were being used in criminal activities.
“Stablecoins are a form of virtual currency, and currently cannot effectively meet requirements for customer identification and Anti-Money Laundering, posing a risk of being used for illegal activities such as money laundering, fundraising fraud, and illegal cross-border fund transfers,” the bank said.
The People’s Bank of China, headquartered in Beijing (pictured), noted stablecoins as a concern at an inter-agency meeting on Saturday. Source: Wikimedia
The bank said it would “persistently crack down on illegal financial activities” related to crypto to “maintain the stability of the economic and financial order.”
The 13 agencies that attended the meeting stated that they would “deepen coordination and cooperation” in tracking down crypto users by strengthening information sharing and enhancing monitoring capabilities.
Reuters reported on Wednesday that China had the third-highest share of Bitcoin (BTC) mining, with its market share reaching 14% by the end of October.
In August, China’s financial regulators reportedly instructed brokers to cancel seminars and stop promoting research on stablecoins over concerns that it could be exploited as a tool for fraudulent activities.
Meanwhile, Hong Kong opened the doors to licensing stablecoin issuers in July, but some tech companies suspended plans to launch stablecoins in the region after Chinese regulators reportedly intervened to pause the offerings.
North Korean state-backed hackers, the Lazarus Group, primarily employed spear phishing attacks to steal funds over the last year, with the group receiving the most mentions in post-hack analyses over the last 12 months, according to South Korean cybersecurity company AhnLab.
Spear phishing is one of the most popular methods of attack by bad actors like Lazarus, using fake emails, “disguised as lecture invitations or interview requests,” AhnLab analysts said in the Nov. 26, 2025, Cyber Threat Trends & 2026 Security Outlook report.
Spear phishing attacks are a more sophisticated version of phishing that typically requires research and planning from the attacker. Source: Kaspersky
Spear phishing attacks are a targeted form of phishing where hackers research their intended target to gather information and masquerade as a trusted sender, thereby stealing a victim’s credentials, installing malware, or gaining access to sensitive systems.
Cybersecurity firm Kaspersky recommends the following methods to protect against spear phishing: using a VPN to encrypt all online activity, avoiding the sharing of excessive personal details online, verifying the source of an email or communication through an alternative channel, and, where possible, enabling multifactor or biometric authentication.
‘Multi-layered defense’ needed to combat bad actors
The Lazarus Group has targeted the crypto space, finance, IT and defense, according to AhnLab, and was also the most frequently mentioned group in after-hack analysis between October 2024 and September 2025 this year, with 31 disclosures.
Fellow North Korean-linked hacker outfit Kimsuky was next with 27 disclosures, followed by TA-RedAnt with 17.
AhnLab said a “multi-layered defense system is essential” for companies hoping to curb attacks, such as regular security audits, keeping software up to date with the latest patches and education for staff members on various attack vectors.
Meanwhile, the cybersecurity company recommends individuals adopt multifactor authentication, keep all security software up to date, avoid running unverified URLs and attachments, and only download content from verified official channels.
AI will make bad actors more effective
Going into 2026, AhnLab warned that new technologies, such as artificial intelligence, will only make bad actors more efficient and their attacks more sophisticated.
Attackers are already capable of using AI to create phishing websites and emails that are difficult to distinguish with the naked eye, AhnLab said, but AI can “produce various modified codes to evade detection,” and make spear phishing more efficient through deepfakes.
“With the recent increase in the use of AI models, deepfake attacks, such as those that steal prompt data, are expected to evolve to a level that makes it difficult for victims to identify them. Particular attention will be required to prevent leaks and to secure data to prevent them.”
