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New Developments Happening in the Blockchain Space: 27-02-2026

Posted by Simon Keighley on February 27, 2026 - 9:06am

New Developments Happening in the Blockchain Space: 27-02-2026

New Developments Happening in the Blockchain Space 27-02-2026


Bitcoin, Ethereum Traders Show Optimism Despite 'Extreme Fear' in Crypto

Traders on prediction markets are showing growing short-term optimism for Bitcoin and Ethereum, even as broader market sentiment remains deeply negative. On Myriad, operated by Decrypt’s parent company Dastan, odds have shifted sharply in favour of Bitcoin climbing to $84,000 before falling to $55,000, reflecting a rebound from below $63,000 earlier in the week to around $67,137. However, participants still assign a 56% probability to a drop to $55,000 occurring first. Ethereum has followed a similar pattern, rising more than 15% from roughly $1,815 to above $2,100 before settling near $2,023, with prediction markets leaning towards a move to $3,000 while still pricing in a significant chance of a downturn.

Despite these price recoveries, the Crypto Fear and Greed Index remains stuck in Extreme Fear, where it has hovered for most of February amid heightened volatility and declining prices. Other platforms such as Kalshi have also shown reduced expectations of sharp declines, with the probability of Bitcoin falling below $55,000 and Ethereum dropping under $1,500 both easing in recent days. Analysts, however, continue to warn of further downside, with CryptoQuant suggesting a bear-market bottom near $55,000 for Bitcoin and Standard Chartered forecasting potential lows of $50,000 for Bitcoin and $1,400 for Ethereum before stronger rebounds. Even with improved short-term sentiment, traders see limited chances of new all-time highs by the end of 2026, with both assets still trading well below their 2025 peaks. Source


 

Mastercard, MetaMask launch US crypto card, debuting in New York

Self-custodial crypto wallet MetaMask has launched its Mastercard-enabled payment card across the United States, marking its first availability in New York and expanding access to 49 states, with Vermont the only exception. Announced by parent company Consensys, the rollout follows pilot programmes in 2024 and 2025 and adds the US to a growing list of supported markets including Argentina, Brazil, Canada, countries in the European Economic Area, Mexico, Switzerland and the United Kingdom. The card, developed with regulated issuer Monavate and issued by FDIC-insured Cross River Bank, can be used at around 150 million merchants worldwide wherever Mastercard is accepted, both online and in-store, and supports Apple Pay and Google Pay.

A key feature of the MetaMask Card is that it remains fully self-custodial, allowing users to keep control of their digital assets in their MetaMask wallet until the moment of payment, unlike many traditional crypto cards that require pre-loading funds onto an exchange. The standard version is virtual, while a $199-per-year Metal Card offers a physical option with perks including 3% cashback on the first $10,000 spent annually, no foreign transaction fees and higher spending and ATM withdrawal limits. The launch builds on Mastercard’s expanding crypto partnerships, including earlier pilots with MetaMask and deeper collaboration with Circle to enable stablecoin settlement in parts of Eastern Europe, the Middle East and Africa. Source


 

Coin Mixers Recovering As Users Shift to New Platforms: Cambridge University

Use of cryptocurrency coin mixers has climbed to its highest level since 2022, according to research from the Cambridge Centre for Alternative Finance at the University of Cambridge. Transactions fell sharply after US sanctions were imposed on Tornado Cash in 2022, with its daily activity dropping by 97% and overall mixer usage declining by nearly half. Activity remained subdued until March 2025, when sanctions were lifted, after which volumes rose significantly. Total transactions increased from around 16,000 in 2023 to 21,000 in 2024, before jumping to approximately 32,000 in 2025, approaching the roughly 38,000 recorded in 2020 and 2022. Daily transaction counts have also recovered, though they remain below pre-sanctions peaks.

Researchers found that users have largely migrated to newer platforms, with Railgun now accounting for 71% of mixer transaction volume, followed by Tornado Cash at 25% and Privacy Pools at 5%. These newer protocols attempt to screen deposits against blacklists, yet most funding now comes from unlabelled wallet addresses, which make up 95% of mixer deposits, and transactions increasingly occur within 24 hours of wallet creation, behaviour associated with efforts to avoid identification. While sanctions appear to have deterred more compliant users and pushed illicit actors towards alternative tools such as cross-chain bridges and decentralised exchanges, the report notes that mixers continue to attract both criminal and legitimate users seeking financial privacy in a highly transparent blockchain environment. Source


 

Bloomberg, Kaiko bring licensed financial data onchain for tokenized markets

Bloomberg is partnering with Kaiko to make Bloomberg’s licensed financial data available directly on blockchain networks, aiming to reduce inconsistencies in tokenised markets. Instead of relying on offchain databases, the collaboration will embed a common, authorised dataset onchain so that participants reference the same pricing data, security identifiers and other key information. The first use case centres on tokenised US Treasurys and repo markets operating on the Canton Network, a permissioned blockchain built for institutional finance. The initiative is targeted at banks, asset managers and regulated institutions experimenting with blockchain-based versions of traditional instruments rather than retail crypto users.

The move comes amid ongoing questions about the size and reliability of the tokenised real-world asset market, which some estimates place at about $25 billion excluding stablecoins, though industry figures have been disputed. Kaiko’s chief executive said institutional-grade data is critical for the proper functioning of financial markets and that extending traditional market data to tokenised infrastructure will support the sector’s development. Reliable pricing and reference information are particularly important for tokenised Treasurys and similar assets, ensuring that onchain representations accurately reflect their underlying securities and reducing the risk of operational disputes. Source


 

Morgan Stanley 'Absolutely' Plans to Offer Bitcoin Custody, Trading, Yield and Lending: Exec

Morgan Stanley plans to build its own proprietary Bitcoin custody and trading services, allowing clients to hold and transact the cryptocurrency directly on its platform. Amy Oldenburg, the bank’s newly appointed head of digital assets strategy, said the firm is also exploring Bitcoin-based yield and lending products as a natural extension of its roadmap, though she stressed it is still early in the process. She explained that the bank intends to develop the necessary technology in-house rather than relying on third parties, emphasising that clients expect a high level of reliability and trust from the Morgan Stanley brand. While a considerable amount of clients’ crypto holdings currently sit off the bank’s platform, she acknowledged that some investors will continue to prefer self-custody, particularly within the Bitcoin community.

The push into expanded crypto services follows months of indications that the investment bank is broadening its digital asset offerings. Last September it confirmed plans to offer Bitcoin, Ethereum and Solana trading through its E*Trade app, and later signalled to financial advisers that more products were on the way. More recently, the firm filed registrations with the US Securities and Exchange Commission for Bitcoin and Solana funds, followed by an Ethereum ETF, as part of a wider strategy to deepen its presence in the crypto market and roll out new products in early 2026. Source


 

SEC approval sought for JitoSOL Solana-based liquid staking token ETF

Nasdaq has filed a proposed rule change to list the VanEck JitoSOL ETF, a fund that would directly hold JitoSOL, marking the first US exchange filing for a liquid staking token exchange-traded product. JitoSOL, created by the Jito Network, is a liquid staking token backed by SOL deposited into a Solana staking pool, allowing holders to earn staking rewards through a transferable token rather than running validators themselves. Under the proposal, the trust would value its shares using the MarketVector JitoSol VWAP Close Index and would allow both cash and in-kind creations and redemptions. Jito Foundation president Brian Smith said that if approved, staking rewards would be reflected in the fund’s net asset value rather than distributed separately, as JitoSOL automatically compounds rewards.

The filing argues that JitoSOL is economically comparable to SOL and cites previous SEC approvals of spot Bitcoin and spot Ether ETPs to support its case, despite the absence of a regulated futures market for JitoSOL. The SEC has 45 days from publication in the Federal Register to make an initial decision, with the option to extend the review to 90 days. Although no liquid staking token ETF currently trades in the United States, other funds provide staking exposure, including the REX-Osprey Solana + Staking ETF and the REX-Osprey ETH + Staking ETF, while Grayscale has added staking to several of its crypto trusts. In Europe, 21Shares has already launched a Jito-staked Solana product, and Jito’s total value locked stands at about $1.1 billion after peaking above $3 billion in 2025. Source


 

There’s a New DeFi Bill in Congress—What Does That Mean for Crypto Market Structure?

A bipartisan group of US lawmakers has introduced the Promoting Innovation in Blockchain Development Act, a bill designed to protect non-custodial crypto software developers from criminal prosecution. The proposal would amend US code 1960, which defines an illegal money transmitting business, clarifying that it applies only to individuals who exercise control over currency. The statute has recently been used to convict developers linked to Tornado Cash and Samourai Wallet, despite their arguments that they did not take custody of user funds. The new legislation, introduced by Representatives Scott Fitzgerald, Ben Cline and Zoe Lofgren, aims to ensure developers who build decentralised, non-custodial tools are not treated as financial intermediaries under criminal law.

Although similar protections for developers are expected to appear in a broader crypto market structure bill, that legislation is unlikely to rewrite code 1960 directly, instead directing regulators not to treat non-controlling developers as money transmitters. The introduction of the standalone bill does not signal that the wider market structure effort is collapsing, but the broader legislation faces mounting political hurdles. Disputes over stablecoin rewards, conflicts of interest provisions and President Trump’s crypto ventures continue to stall progress, and lawmakers warn that without meaningful movement soon, the bill could lose momentum ahead of the November midterm elections. Source


 

Elevate Your Marketing and Communication Strategy: Harnessing The Push, The Boost, and The Lift at Markethive.

The Markethive ecosystem presents an integrated digital marketing framework built around three core pillars: The Push, The Boost and The Lift, designed to deliver maximum visibility, engagement and long-term growth for entrepreneurs. Central to its model is a commitment to complete organic reach, ensuring that posts are visible to all friends and group members without the filtering algorithms, content suppression or shadow banning common on mainstream social platforms. The Push feature targets new members during onboarding, placing messages directly in front of them as they join to create immediate exposure, strengthen brand awareness and encourage early engagement. The Boost, meanwhile, guarantees direct-to-feed delivery across the wider membership base, bypassing algorithmic barriers and ensuring that key announcements, product launches or updates achieve full visibility and heightened impact.

The Lift complements these tools by focusing on content longevity and return on investment, systematically resurfacing high-performing archived material to existing followers and newer members who may have missed it. Unlike the short-term momentum generated by the Boost or the onboarding focus of the Push, the Lift is designed to extend the lifecycle of established content, renew engagement and transform archived posts into dynamic, revenue-generating assets. All three tools are accessible within the platform’s main navigation and are intended to work in unison, creating a cohesive marketing system that captures immediate attention while building sustained authority and long-term organic growth within the Markethive community. Source


 

US lawmakers move to protect blockchain devs from prosecution

A bipartisan group of US House lawmakers has introduced the Promoting Innovation in Blockchain Development Act to prevent the prosecution of software developers who do not have custody or control of users’ crypto assets. Representatives Scott Fitzgerald, Ben Cline and Zoe Lofgren said the bill would clarify that Section 1960 of federal law, which prohibits illegal money transmitting businesses, applies only to those who control other people’s digital assets. Industry groups including the Blockchain Association and the DeFi Education Fund have backed the proposal, arguing it would protect developers building neutral technology from being treated as financial intermediaries.

Supporters say the legislation could help avoid cases similar to those brought against Tornado Cash developer Roman Storm and the founders of Samourai Wallet, who faced charges for operating unlicensed money transmitting businesses. However, it remains uncertain whether the bill would affect cases already filed, including Storm’s conviction in August 2025 and the prison sentences handed to Samourai Wallet founders. In parallel, Senators Cynthia Lummis and Ron Wyden have proposed the Blockchain Regulatory Certainty Act in the Senate, while broader digital asset legislation such as the CLARITY Act continues to move through committees, with debate ongoing over whether final reforms will include explicit protections for developers. Source


 

Vitalik Buterin Maps Quantum Upgrade to Ethereum to Replace Core Cryptography

Ethereum co-founder Vitalik Buterin has outlined a phased roadmap to overhaul the network’s cryptographic architecture in response to the threat posed by quantum computing. He identified four key components vulnerable to quantum attacks: consensus-layer BLS signatures, KZG commitments for data availability, ECDSA signatures used by standard accounts, and zero-knowledge proof systems for applications and layer-2 networks. Buterin proposed replacing these with hash-based, lattice-based, or STARK-based systems, while emphasising careful selection of the hash function. The Ethereum Foundation has prioritised post-quantum security, forming a dedicated team and releasing a seven-fork upgrade plan through 2029 to integrate quantum-resistant cryptography into the network.

The transition to quantum-safe systems comes with significant cost challenges. Verifying hash-based signatures could increase gas usage from 3,000 to 200,000, while STARK-based proofs could rise from 500,000 to around 10 million gas, making efficiency a concern for privacy-focused and layer-2 applications. Buterin suggested protocol-layer recursive aggregation to compress multiple signatures and proofs into single attestations, reducing on-chain footprint. He also noted that certain proving steps could be handled in the mempool, rather than during block production, though he acknowledged substantial engineering work is required to implement these upgrades effectively. Source


 

Ransomware attacks surge 50% in 2025, ransom payments decline

Ransomware attacks increased by 50% in 2025 as cybercriminals shifted their focus from high-profile targets to small and medium-sized businesses, according to blockchain analytics firm Chainalysis. The total number of leak events reached nearly 8,000, yet on-chain ransom payments fell to $820 million, an 8% decrease from 2024. Analysts attributed the decline in payments to heightened regulatory scrutiny, enforcement actions against laundering networks, and a growing refusal by larger organisations to pay ransoms. The report suggests that attackers are working harder but earning less, prompting them to target smaller victims who are assumed to pay more quickly.

The rise in attacks was also linked to a decrease in the average “price for victim access” on the dark web, dropping from $1,427 in early 2023 to $439 in early 2026, alongside a surge in cheap ransomware software and AI-assisted tools that make attacks easier to carry out. This has led to an oversupply of operationally limited malware, flooding the market and pushing prices down. While ransomware payments declined modestly in 2025, early 2026 has already seen significant losses from crypto exploits and scams, with $370.3 million stolen in January alone, primarily through phishing attacks, highlighting the ongoing risks to the cryptocurrency ecosystem. Source


 

Block Stock Pops as Jack Dorsey's Bitcoin, Payments Company Dumps 4,000 Jobs

Jack Dorsey’s Block Inc announced it will cut over 4,000 jobs, representing more than 40% of its workforce, as part of a major restructuring following its fourth-quarter and full-year 2025 earnings. The company, which operates consumer and merchant payments through Cash App and Square alongside a growing Bitcoin business, said the layoffs are intended to better align its organisation with strategic priorities. Restructuring costs are expected to total between $450 million and $500 million, primarily covering severance, notice-period pay, employee benefits, and share-based compensation, with most charges booked in the first quarter of 2026. The process is anticipated to be largely completed by mid-year.

The workforce reduction places Block among the largest fintech layoffs this year amid slower growth, tighter capital conditions, and increased pressure on operating costs. At the end of 2025, the company employed just over 10,200 full-time staff, highlighting the scale of the cuts. Block’s business continues to span three revenue streams—commerce enablement, financial services, and its Bitcoin ecosystem—which together generated $10.4 billion in gross profit during 2025. The move was positively received by investors, with shares rising over 23% in after-hours trading, reflecting confidence in the company’s plans to streamline operations while maintaining its expansion into Bitcoin payments for millions of merchants. Source


 

Australian crypto execs upbeat on progress despite lingering issues

Australia’s cryptocurrency market is showing signs of growth, with increasing user adoption and regulatory developments providing optimism for the sector. Self-managed super funds are emerging as a popular route for Australians to invest in digital assets, allowing individuals to diversify their holdings beyond traditional investment options. Executives at the XRP Australia 2026 event highlighted that government agencies, particularly Treasury and ASIC, have built strong expertise in digital assets, contributing to positive regulatory momentum. Institutional access is also expanding through products like crypto exchange-traded funds, with Australia launching its first Bitcoin ETF in June 2024 and an Ether ETF in October 2024, alongside opportunities for passive exposure through Coinbase’s inclusion in the S&P 500 index. Adoption rates are rising, with 31% of Australians engaging with crypto in 2025 and 29% planning to invest in the coming year.

Despite these advances, challenges remain for the industry, particularly around banking access and regulatory clarity. Executives noted that users still face hurdles in interacting with exchanges due to debanking, and there is a call for stronger protections and support for blockchain innovation and stablecoins. Legal uncertainty persists, exemplified by the ongoing ASIC appeal against Block Earner, which has delayed clarity on licencing requirements for crypto products. Changes in government and shifts in political priorities have also slowed legislative progress, leaving the legal and regulatory landscape in a cautious “wait and see” mode. Source


 

Private Bitcoin' to Launch on Starknet With Zcash-Like Features

Starknet is introducing a new Bitcoin-based token called strkBTC, designed to provide enhanced privacy for users on the Ethereum layer-2 scaling network. The token allows individuals to shield account balances from public view and conduct confidential transfers, while maintaining functionality across decentralised finance applications. StrkBTC will support staking on the network to earn rewards and incorporates privacy features similar to Zcash, using zero-knowledge proofs to validate transactions without revealing underlying information. It will be compatible with both public and private addresses and auditable through a viewing key to ensure compliance with regulatory requirements.

Users will be able to access strkBTC via a bridge powered by Atomiq Labs, which uses atomic swaps to mitigate centralised middleman risks when converting Bitcoin to other networks. The token provides privacy at the infrastructure level rather than relying on wallets or off-chain intermediaries, with a viewing key held by a third party to enable regulatory compliance. Starknet has increasingly focused on Bitcoin integration, including staking for network security with rewards in its native STRK token, although the network has experienced recent operational outages. STRK’s price has also fallen significantly over the past year, reflecting volatility in the market. Source


 

XRPL Foundation patches ‘critical’ flaw that almost made it to mainnet

The XRP Ledger Foundation has resolved a critical vulnerability in a pending amendment of Ripple’s XRP Ledger, preventing a potentially catastrophic exploit. The flaw, discovered by cybersecurity firm Cantina and its AI security bot Apex, was in the signature-validation logic of the blockchain. If left unpatched, it could have allowed attackers to execute transactions and drain funds from accounts without needing private keys. The amendment was still in its voting phase and had not reached the mainnet, so no funds were at risk, but the potential impact on the network and user confidence could have been severe.

The vulnerability, which might have jeopardised nearly $80 billion in XRP market value, could have destabilised the broader ecosystem. Cantina’s AI tool identified the flaw through static analysis of the rippled codebase and submitted a disclosure report that enabled Ripple’s engineering team to validate and patch the issue. Validators were instructed to vote against the amendment, and an emergency release was deployed to prevent activation. This incident highlights the growing role of AI in cybersecurity, with tools increasingly used to detect critical bugs that human reviewers may miss. Source


 

MARA Shares Rise After Bitcoin Miner Strikes AI Data Center Deal

MARA Holdings, a major U.S. Bitcoin miner, announced a partnership with Starwood Property Trust to convert select Bitcoin mining sites into AI-focused data centres, driving a significant rise in its shares. The deal will repurpose sites with low-cost power and strong grid access into hyperscale campuses capable of supporting both Bitcoin mining and enterprise AI workloads. The strategy aims to leverage MARA’s energy infrastructure alongside Starwood’s development capabilities, enabling the company to shift computing power between mining and AI tasks depending on demand and pricing. Shares surged as much as 16% in after-hours trading following the announcement, reflecting investor optimism about the potential long-term benefits.

While the move could transform MARA’s earnings profile over time, analysts caution that short-term impacts remain limited as the company has yet to secure confirmed AI tenants or generate revenue from the data centre conversions. The partnership structure allows MARA to hold between 10% and 50% equity in each joint venture, with Starwood managing development and tenant sourcing. Future AI revenue will depend on signed leases, GPU procurement, and power allocation strategies, which are critical for investors to accurately model demand across both mining and AI segments. Source


 

Disclaimer: These articles are provided for informational purposes only. They are not offered or intended to be used as legal, tax, investment, financial, or any other advice.

Featured Image - Source: Pixabay

 

 

 

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