10.14 AI Daily The crypto market is experiencing increased volatility, and the AI sector continues to heat up.

1. Headlines

1. The US stock market listed TAO Finance Company TAO Synergies has completed a private placement financing of 11 million USD.

TAO Synergies is the largest publicly listed tensor holder, owning 42,111 TAO, worth over 18.2 million dollars. This financing will further support its strategic investments and revenue generation within the tensor ecosystem.

TAO Synergies Inc. is a company focused on artificial intelligence and blockchain technology. As the largest institutional investor and node operator in the tensor ecosystem, the company holds over 42,000 TAO tokens. This round of financing will help the company expand its influence in the tensor network.

Tensor is a decentralized artificial intelligence network designed to promote the sharing and collaboration of AI models through a token incentive mechanism. The TAO token is the native cryptocurrency of the network, used to pay for computing resources and incentivize contributors. TAO Synergies, as the main holder, plays an important role in the development of the network.

This financing will provide more funds for TAO Synergies to expand its investment landscape within the tensor ecosystem. The company plans to use the newly acquired funds to purchase more TAO tokens and support various applications and services on the network. At the same time, the company will also increase its investment in the underlying infrastructure to enhance the performance and reliability of the network.

Insiders believe that this financing marks the preference of institutional capital for the tensor ecosystem. As an innovative decentralized network, tensor is attracting increasing attention. The investment from TAO Synergies will further promote the development of the network and bring more innovative applications to the AI field.

2. Analyst: Garrett Jin or just an agent, the real behind-the-scenes personnel may be the two WLFI co-founders.

According to “On-Chain Detective,” an investigation into an insider trading group has made significant progress. The investigation shows that Garrett Jin, the BTC whale who previously made headlines by switching to ETH, may merely be an agent, with the true source of insider information pointing to a group of individuals within the White House.

According to reports, the group has long profited from trading based on confidential information from White House rumors and official announcements. Key information was forwarded by aides who have contact with the president to the insider group, allowing them to establish extremely favorable trading positions before significant price fluctuations. Investigations show that the key figures leading this operation are Zach Witkoff and Chase Herro from WLFI, and Trump's son was also involved in these activities.

The group provides convenience for participants through short-term notifications to maximize trading profits before significant price fluctuations. Investigators stated that, for personal safety reasons, this would be their last statement on the subject.

According to previous news, some analysts stated that “the whale that sold over $4.23 billion worth of BTC to switch to ETH” is suspected to be related to former exchange executive Garrett Jin.

If this allegation is true, it would mean that there are serious insider trading and manipulation activities in the cryptocurrency market. Insiders in the White House are using their privileged positions to obtain inside information and trading through agents, which undoubtedly severely undermines the fairness of the market.

Industry insiders point out that this incident reflects the urgent need for cryptocurrency regulation. Without effective regulation, the crypto market is prone to becoming a playground for interest groups. Only by establishing a comprehensive regulatory system and increasing enforcement efforts can we protect investors' interests and maintain market order.

3. Security Alliance introduces a new tool, TLS Attestations, to prevent crypto phishing sites.

The Security Alliance, a cryptographic security organization, has launched a new tool called TLS Attestations, which can scan phishing websites and verify malicious web content through cryptographic validation methods. The tool has completed testing and is officially online, allowing users to submit reports of suspected phishing websites. The team will verify the signatures and validate the malicious evidence.

This indicates that this move will help white hat researchers “see what the victims see,” enhancing transparency in anti-fraud efforts.

Phishing websites have always been a major security risk in the cryptocurrency field. Scammers create fake official website interfaces to lure users into entering sensitive information such as private keys, thereby committing theft. Traditional automated scanning methods are often ineffective at identifying dynamically generated phishing pages.

The new tool TLS Attestations from Security Alliance adopts an innovative cryptographic verification scheme. Users can submit suspected phishing URLs, and the tool will simulate the normal access process to retrieve the real content and certificate information of the webpage, and perform a cryptographic signature.

Once malicious content is detected, the Security Alliance will publicly expose it and assist law enforcement in tracking down the criminals. Unlike traditional scanning methods, TLS Attestations can restore the pages viewed by users, helping to more accurately identify phishing traps.

The launch of this tool will provide new technological means to combat crypto crime. The Security Alliance stated that it will cooperate with more security agencies to jointly address the increasingly rampant cyber fraud activities, creating a safer crypto ecosystem for users.

4. Federal Reserve's Paulson: Support for two more rate cuts this year, policy should ignore short-term impact of tariffs.

In 2026, FOMC voting member and Philadelphia Fed President Harker stated that she supports two more rate cuts of 25 basis points this year, believing that monetary policy should ignore the impact of tariffs on rising consumer prices.

Paulson made her first public appearance at the American Business Economics Association meeting, where she expressed her views on the Federal Reserve's monetary policy. She emphasized that the inflationary pressures caused by tariffs are short-term, and monetary policy should “pierce” these short-term fluctuations, focusing more on the long-term trends of core inflation and the labor market.

Her remarks were interpreted by outsiders as a dovish signal, suggesting that there is a consensus within the Federal Reserve on further interest rate cuts. Previously, Federal Reserve Chairman Powell had stated that monetary policy would be adjusted in a timely manner based on economic data.

Paulson believes that the main risk facing the current U.S. economy is the deterioration of the job market. She pointed out that economic growth is increasingly reliant on the consumption of high-income households and the pull of emerging industries such as artificial intelligence, which presents a structural imbalance that warrants caution.

At the same time, Kristalina Georgieva, the President of the International Monetary Fund, also expressed concern over the rising global debt and financial risks, calling for the establishment of a more credible debt assessment mechanism and strengthening policy coordination.

Analysts believe that Paulson's speech paves the way for another interest rate cut this year. The Federal Reserve may continue to pursue an accommodative policy for the remainder of the year to support the job market and the real economy. However, against the backdrop of persistent inflationary pressures, how to balance the pace and intensity of policy remains a significant challenge.

5. The Financial Stability Board warns the G20 to pay attention to the risks of cryptocurrencies and stablecoins.

According to market news, the Financial Stability Board ( FSB ) has submitted a mid-term report to the G20, currently chaired by South Africa. FSB Chairman Andrew Bailey highlighted four key topics in a brief letter to G20 finance ministers and central bank governors: cross-border payments, crypto assets and stablecoins, implementation monitoring, and artificial intelligence, with cross-border payments and crypto assets given top priority.

Last week, the FSB pointed out that although most of the work in the field of cross-border payments has been completed, the goal set for 2027 remains difficult to achieve.

Regulatory issues surrounding cryptocurrencies and stablecoins have received increasing attention in recent years. Due to the lack of effective regulation, illegal activities such as market manipulation and money laundering occasionally occur in the crypto asset market, causing significant losses for investors.

The rapid development of stablecoins has also raised concerns among regulators. As digital tokens linked to sovereign currencies, stablecoins are considered to have potential systemic risks that may affect the transmission of monetary policy and financial stability.

The FSB called in its report for G20 countries to strengthen the regulation of crypto assets and stablecoins, establish a unified global standard, and increase international cooperation. Only through coordinated regulatory measures can the risks associated with crypto assets be effectively mitigated.

Industry insiders say that the FSB's warning reflects the growing importance that global regulators are placing on cryptocurrencies. In the future, cryptocurrency asset regulation will become one of the key areas of international financial regulation.

2. Industry News

1. Bitcoin's short-term fluctuations are intensifying, leading to a divergence in investor sentiment.

The price of Bitcoin briefly fell below the $113,000 mark on October 14, with a 24-hour decline of 1.35%. Analysts point out that this volatility is mainly driven by market concerns over the Federal Reserve's interest rate hike path. Recent inflation data has exceeded expectations, intensifying investor expectations that the Federal Reserve will continue to raise interest rates. At the same time, the uncertainty in the geopolitical situation has also heightened the market's risk aversion.

Trader “Han Ba Long Wang” stated that the current market trend is rebounding rapidly and lacks obvious corrections, which raises doubts about judgments. Logically, a large amount of capital was liquidated during the crash, and the market recovery should take time. He believes that some market-making institutions may have gone bankrupt but have not yet fully revealed themselves. If they are forced to sell Bitcoin and other crypto assets later, the market may come under pressure again.

On the other hand, on-chain data shows that despite the severe impact of the crash event, the overall market structure remains intact. Bitcoin spot trading volume continues to be high, ETFs are consistently flowing in, and the adjusted transfer volume indicates strong on-chain activity. These dynamics suggest that although leveraged participants have been forced to exit, structural capital and institutional demand still exist.

2. Ethereum faces selling pressure, trading volume surges.

The price of Ethereum briefly fell below the $4100 mark on October 14, with a 24-hour drop of over 2%. Analysts believe that this decline is mainly influenced by investors' growing concerns over increasingly stringent cryptocurrency regulations. Recently, the U.S. Securities and Exchange Commission launched investigations into certain crypto projects, exacerbating market uncertainty.

Meanwhile, on-chain data shows that the trading volume on decentralized exchanges has significantly increased in the past 24 hours. The trading volume within the Solana ecosystem has even surpassed that of Ethereum. This change reflects that investors are seeking more decentralized and transparent trading methods to avoid regulatory risks.

However, analysts also warn that the surge in trading volume may indicate an increase in speculative trading activities. In a highly uncertain market environment, investors should remain cautious and manage their risk exposure.

3. The Solana ecosystem continues to heat up, with SOL price stabilizing at $200.

Compared to Bitcoin and Ethereum, the Solana ecosystem performed relatively well on October 14th. The price of the SOL token stabilized around $200, with a 24-hour increase of 3.2%. Analysts believe that the continuous warming of the Solana ecosystem is mainly due to its advantages of high performance and low transaction fees.

Data shows that the activity of decentralized applications in the Solana ecosystem, (DApp), continues to increase, especially in the decentralized finance (DeFi) and gaming sectors. Meanwhile, the Solana ecosystem foundation is continuously introducing new incentive measures to attract more developers and users to join.

However, some analysts have raised doubts about the sustainable development of the Solana ecosystem. They believe that Solana's current ecosystem construction relies too heavily on centralized funding support, and once the funding chain breaks, the ecosystem may quickly decline. Therefore, the Solana ecosystem needs to further enhance its degree of decentralization to truly achieve long-term sustainable development.

4. Regulatory pressure intensifies, stablecoins become a safe haven for cryptocurrencies

Against the backdrop of increasing regulatory pressure, stablecoins performed relatively well on October 14. Data shows that the trading volume and market capitalization of USDC and USDT have both increased, reflecting that investors are seeking more stable and controllable crypto assets.

Analysts say that stablecoins have become a safe haven mainly because they are pegged to fiat currencies, resulting in relatively small price fluctuations. During turbulent times in the cryptocurrency market, stablecoins can provide investors with better asset allocation options.

At the same time, stablecoins are also under close scrutiny from regulatory authorities. The U.S. Securities and Exchange Commission has launched investigations into some stablecoins, questioning whether they constitute unregistered securities. If there are significant changes in regulatory policies, it could have a profound impact on the development of stablecoins.

5. The AI sector continues to heat up, and the price of TAO tokens has surged.

Against the backdrop of the continued heating up of the artificial intelligence (AI) sector, the performance of the AI cryptocurrency TAO on October 14 was particularly eye-catching. Data shows that the price of the TAO token surged 17.62% in a single day, and its market capitalization surpassed $1 billion.

Analysts believe that the surge in the price of TAO tokens is driven by two main factors. On one hand, the continued investment by tech giants like OpenAI in the AI field has filled investors with expectations for the future of the AI sector. On the other hand, the tensor project represented by TAO tokens has unique innovations in the decentralized AI field, attracting significant attention from investors.

However, some analysts have warned about the investment frenzy in the AI sector. They believe that AI technology is still in its early stages, and true industrial applications will take time. Investors should remain rational and control their risk exposure while chasing AI concepts.

Overall, the cryptocurrency market on October 14th was a mix of joy and sorrow. On one hand, the price fluctuations of major cryptocurrencies intensified, leading to a divergence in investor sentiment; on the other hand, emerging sectors like the Solana ecosystem and AI sector continued to heat up, bringing new opportunities to the market. Investors need to grasp market dynamics comprehensively, make prudent decisions, and strictly control risks.

3. Project News

1. Recall: The New Rising Star with Hundredfold Potential in Decentralized AI Skills Market

Recall is an innovative decentralized AI protocol aimed at building an AI skills marketplace. This protocol allows the community, rather than tech giants, to decide the direction of AI development through a “crowdfunding + arena” model. The project's testnet has attracted over 1.2 million users, who have submitted 150,000 AI solutions, demonstrating strong community momentum.

The core idea of Recall is to prevent the development and application of AI skills from being monopolized by a few tech giants, and instead, to involve the wider community in participation and decision-making. Users can propose AI task requirements on Recall and raise funds for them through crowdfunding. Afterwards, AI developers will submit solutions to these requirements, and after community review, the winners will receive rewards.

This decentralized model is expected to promote the diversification of AI development, making the application scenarios of AI skills no longer limited to commercial interests, but closer to the actual needs of ordinary users. At the same time, Recall also provides a fair competition platform for a wide range of AI developers, which is conducive to cultivating more outstanding AI talent.

The total supply of the Recall token RECALL is 1 billion pieces, with an initial circulation of only 20%, and the community ecosystem accounts for as much as 30%. This token distribution structure highlights the project's decentralization philosophy, but it may also exacerbate short-term price fluctuations of the token. In the context of the narrative of AI democratization and intense market competition, Recall exhibits characteristics of high risk and high return.

Industry insiders have praised Recall's innovative model, believing it injects new vitality into AI development. However, some analysts are concerned that Recall faces challenges in attracting high-quality AI talent and ensuring the quality of its solutions. Overall, Recall, as a new star in the AI field, is worth continued attention.

2. tensor: Decentralized AI economy reshaping AI incentive mechanisms

Tensor is a decentralized AI economy aimed at reshaping the incentive mechanisms for AI development. Unlike traditional centralized AI systems, Tensor achieves decentralized ownership of AI models and data through blockchain technology, providing fair participation opportunities for AI developers.

The core of tensor is a decentralized network composed of multiple subnets. Each subnet consists of a group of AI nodes that can borrow each other's computing power and data for model training. Inside the subnet, a token called dTAO is used for incentives; the more computing power and data contributed by the nodes, the more dTAO rewards they receive.

At the same time, tensor has introduced a token called TAO, which is used for cross-subnet payments and governance. Holders of the TAO token can participate in the decentralized governance of tensor and determine the direction of the network's development.

This token-based incentive mechanism aims to address the issues of data and computing power monopolies in traditional AI systems. Through tensor, anyone can contribute their computing power and data to participate in AI model training and receive corresponding rewards. This is expected to promote the democratization of AI development, ensuring that the benefits of AI technology are no longer monopolized by a few tech giants.

Tensor has currently attracted the attention of a large number of AI developers. Analysts believe that the decentralized AI economy built by Tensor is expected to become a new paradigm for the future development of AI, posing a strong challenge to traditional centralized AI systems. However, Tensor also faces challenges such as high technical complexity and slow ecological development, and its long-term prospects remain to be tested by time.

3. Monad Airdrop Launch: A New Attempt at We's Native Social Network

Monad is a native We social network project aimed at providing users with a decentralized and highly autonomous social experience. The project launched its airdrop event on October 14, attracting widespread attention.

Unlike traditional centralized social platforms, Monad is built on blockchain technology, where users own and fully control their social data. Users can autonomously decide the permissions for data usage and receive corresponding rewards through a token incentive mechanism. This model is expected to address issues such as data privacy and algorithm manipulation present in centralized platforms.

The core of Monad is a decentralized social network based on a graph database, where users can freely establish social connections. The network supports various rich social features, such as posting, liking, commenting, etc., and will gradually open up more innovative functions.

At the same time, Monad will also launch an NFT-based digital identity system, providing users with reliable identity authentication and trust transfer mechanisms. Users' social behaviors will be permanently recorded on the chain to obtain trustworthy evidence, which is beneficial for establishing the trust foundation of the We world.

The Monad airdrop event will last for three weeks, and users need to complete certain specific tasks to receive tokens. This design aims to attract genuinely active users and lay the foundation for the early development of the Monad social network.

Analysts believe that Monad represents the future direction of We social, but its success remains to be tested in practice. On one hand, Monad needs to attract enough users to form a scale effect; on the other hand, its decentralized operating model will also face many challenges. Overall, Monad is a noteworthy innovative attempt in the We social track.

4. Sui Ecosystem Acceleration: Move Series New Star is Highly Sought After

The Move ecosystem blockchain Sui has recently experienced rapid ecological development, becoming a new favorite in the cryptocurrency circle. As a pioneer of the Move language, Sui has been highly sought after by developers and investors, and is regarded as another star project in the Move ecosystem after Solana.

Sui was founded by former members of the Meta blockchain team and uses the Move language to write smart contracts. Compared to other languages like Solidity, Move is considered to be more secure and efficient, and is expected to promote further development of blockchain technology.

During the TOKEN2049 conference, the Sui ecosystem project attracted significant attention. The Sui Foundation also held a Sui Builder House event, which drew a large number of developers to participate. In addition, the first Ferra of the Sui ecosystem announced at the conference that it had completed a $2 million financing and launched its mainnet.

At the same time, the price of the Sui ecosystem token SUI has also seen a significant increase this month. Analysts believe this is mainly due to the high recognition of the development prospects of the Sui ecosystem by the capital market. The Grayscale Foundation announced that it will launch a SUI trust product, further boosting market expectations.

However, the Sui ecosystem currently has some shortcomings. First, there are relatively few tradable assets; apart from SUI, there are very few other star projects. Secondly, the direction of ecological development still needs to be clarified, lacking a clear roadmap.

Overall, Sui, as a representative project of the Move system, has a development prospect that is worth continuous attention. The technical advantages of the Move language itself may promote the vigorous development of the Sui ecosystem, but Sui also needs to address the existing ecological shortcomings in order to truly become the next blockchain star.

5. Gaea: Innovation from the “God-Human” Perspective of Artificial Intelligence

Gaea is an innovative project that combines artificial intelligence with blockchain technology. Its core concept is to enable AI to understand human personality from the perspective of “gods and humans” rather than merely detecting emotions. This innovative approach has attracted widespread attention in the industry.

Traditional artificial intelligence systems often can only perceive human emotional states, such as happiness and sadness, but are unable to grasp deeper personality traits. Gaea aims to leverage blockchain technology to put human emotional data on the chain and incorporate it into AI training, enabling AI to understand human personality more comprehensively.

Specifically, Gaea will build a decentralized foundational layer that connects computing power, data, and AI models. Users can record and store their emotional data on the chain and choose to use this data for AI training. In this way, AI will no longer be limited by a single dataset, but will be able to learn more rich and diverse human characteristics.

Gaea's innovation lies in digitizing human emotions and putting them on the blockchain, providing an unprecedented data source for AI. This not only helps improve AI's emotional understanding capabilities but also opens up new avenues for the development of artificial intelligence.

However, Gaea also faces some challenges, such as how to protect user privacy and how to ensure data quality. In addition, Gaea needs to attract enough users to contribute emotional data in order to truly leverage its advantages.

Overall, Gaea has injected new innovative vitality into the development of artificial intelligence, and its “human-god” concept is expected to drive significant breakthroughs in AI technology. Although the road ahead is fraught with difficulties, Gaea is still seen as a strong contender in the AI race and is worth continued attention.

4. Economic Dynamics

1. Federal Reserve Chairman Powell releases dovish signals, increasing expectations for interest rate cuts this year.

Economic Background: The U.S. economy performed strongly in the first half of this year, with an annualized quarter-on-quarter GDP growth of 2.4% in the second quarter, far exceeding expectations. However, recent inflation data has continued to rise, with the core PCE price index increasing by 4.9% year-on-year in August, well above the Federal Reserve's target level of 2%. The labor market remains tight, with the unemployment rate dropping to 3.5% in September. Against the backdrop of high inflation and a hot labor market, the Federal Reserve has intensified its monetary policy tightening, having raised interest rates five times this year, bringing the rate range to 3%-3.25%.

Important Events: On October 14, Federal Reserve Chairman Powell delivered a speech at the National Association for Business Economics. He stated that despite the continued rise in inflation data, the Federal Reserve should “look through” the short-term price fluctuations caused by tariffs and focus on core inflation and structural changes in the labor market. This is seen as a dovish signal, suggesting that there is a consensus within the Federal Reserve regarding the possibility of further interest rate cuts this year.

Market Reaction: After Powell's speech, the three major U.S. stock indexes rose collectively, with the Dow Jones up 1.29%, the Nasdaq up 2.21%, and the S&P 500 index up 1.56%. U.S. Treasury yields fell, with the 10-year Treasury yield dropping nearly 10 basis points to 3.88%. The dollar index slightly declined. Gold prices surged over 1%, returning to above $1670 per ounce. The cryptocurrency market also saw a rebound, with Bitcoin rising over 3% at one point.

Expert Opinion: Goldman Sachs analysts pointed out that Powell's speech indicates that the Federal Reserve is weighing inflation pressures against the risks of economic slowdown, and future policies may become more data-driven. They expect the Federal Reserve to raise interest rates by 75 basis points in both November and December, and may pause rate hikes next year.

Standard Chartered Bank analysts warned that if the momentum of the U.S. economy remains strong, the likelihood of further interest rate cuts in 2026 will decrease, which could drive up the dollar and U.S. Treasury yields. Overall, the market's expectation of approximately 63 basis points of rate cuts by the Federal Reserve in 2026 may be gradually eliminated.

5. Regulation & Policy

1. The Financial Stability Board warns the G20 about cryptocurrencies and stablecoins potentially impacting financial stability.

The Financial Stability Board (FSB) submitted a mid-term report to the G20, focusing on cross-border payments, cryptocurrencies, and stablecoins. The report points out that progress on the goals of cross-border payments is limited, while the rapid growth of cryptocurrencies and their integration with traditional finance may pose risks to financial stability.

Although most countries already have regulatory frameworks, they mainly focus on anti-money laundering and sanctions compliance, and have not yet fully covered financial stability risks. FSB Chairman Andrew Bailey emphasized in a letter to G20 finance ministers and central bank governors that action needs to be taken to address the emerging vulnerabilities posed by crypto assets.

In fact, the relevant progress has been quite limited. In the field of crypto assets, the letters and accompanying reports emphasize the growth trend of the industry and its increasingly close integration with the traditional financial system. Therefore, if a shock occurs in the crypto asset sector, it is very likely to impact financial stability. Although many jurisdictions are planning (93%) or have already established (88%) regulatory frameworks for crypto assets and stablecoins, these frameworks often focus on anti-money laundering and sanctions compliance rather than issues aimed at protecting financial stability.

2. The Senate Republicans propose a framework draft for cryptocurrency regulation.

Republican members of the Senate Banking Committee have introduced a bill aimed at allocating jurisdiction between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), and creating a new term “ancillary assets” to clarify which cryptocurrencies do not fall under the definition of securities.

The Republican Party proposed to divide the jurisdiction of crypto assets between the SEC and CFTC, and to define “ancillary assets” to clarify non-security cryptocurrencies; the Democratic Party proposed a plan to prevent illegal activities in decentralized finance, but it was questioned by the Republicans and the industry. TD Cowen pointed out that procedural differences would not hinder reaching an agreement, but senators are not in a hurry to push forward, and legislation is expected to be delayed. There are also calls within the Democratic Party to prohibit senior officials and their families from holding stakes in crypto companies, which further complicates the legislative process.

The Senate is making slow progress on legislation regarding the structure of the cryptocurrency market, and the bill may not pass until after the midterm elections. Last week, Senate Democrats released a six-page proposal aimed at preventing illegal activities in the decentralized finance space, but it faced strong opposition from Republicans and the cryptocurrency industry. Seiberg pointed out that the real obstacle for Democrats is their proposal to ban senior government officials and their families (including the president) from owning cryptocurrency companies.

3. The Kenyan Parliament passes the Virtual Asset Service Providers Bill to promote investment.

The Kenyan Parliament has passed the “Virtual Asset Service Providers Bill”, aimed at promoting digital asset and cryptocurrency investment through clear regulatory rules. The bill designates the central bank as the licensing authority for the issuance of stablecoins and other virtual assets, while the capital markets regulator is responsible for licensing cryptocurrency exchanges and related platforms.

The bill authorizes the Central Bank of Kenya to permit and regulate the issuance of stablecoins and other virtual assets, while the capital markets regulator is responsible for the licensing of cryptocurrency exchanges and platforms. The government hopes to attract investments from international platforms, including Coinbase, to make Kenya a cryptocurrency financial hub in Africa.

The bill now requires President William Ruto's signature to take effect. The initiative aims to attract investments from cryptocurrency and blockchain companies to Kenya while providing regulatory tools for regulators. Industry insiders believe that a clear regulatory framework will enhance investor confidence and promote Kenya as a cryptocurrency hub in Africa.

4. California signs bill to protect unclaimed cryptocurrency from forced liquidation

California Governor Gavin Newsom has signed a bill making California the first state to explicitly protect unclaimed cryptocurrency from forced liquidation, ensuring that digital assets retain their original form before being transferred to state custody, rather than being converted to cash.

Senate Bill 822 updates California's decades-old Unclaimed Property Law to include digital financial assets, treating cryptocurrencies like Bitcoin under the framework regulating abandoned bank accounts and securities. The bill passed unanimously in both houses in September and was signed by Newsom on Saturday.

The new law requires custodians to notify owners before reporting unclaimed digital assets and allows owners to reclaim their property. Additionally, California is establishing a legal framework for AI chatbots, while Michigan is considering investing in Bitcoin.

The passage of this bill reflects the increasing regulatory status of cryptocurrencies. Industry insiders believe that this move will enhance investors' confidence in digital assets and help promote the development of cryptocurrencies in California.