The Flow Foundation is moving into the second phase of its recovery plan on EVM following a $3.9 million exploit of the blockchain, after dropping an earlier proposal to roll back the network. It reported identifying a path to restore Ethereum Virtual Machine functionality while also raising concerns about a single exchange account that deposited 150 million FLOW, converted much of it to BTC and withdrew over $5 million before the network halt. Trust Wallet separately disclosed a $7 million loss from a Christmas Day exploit of its browser extension, with thousands of addresses affected and thousands of reimbursement claims filed.

On Dec. 30, Bitwise filed with the US SEC for 11 single-token "strategy" ETFs tied to Aave, Uniswap, Zcash, NEAR, Starknet, Sui, Bittensor, Tron, and others. Each proposes about 60% in the underlying asset with the remainder in related ETPs and derivatives, targeting a March 16, 2026 effective date. Markets saw limited reaction amid generic SEC listing standards.

Arthur Hayes, the co-founder of BitMEX, shifted capital over a two-week span by selling 1,871 ETH valued at about $5.53 million and reallocating the proceeds into several DeFi tokens. He concentrated new positions in Pendle, Lido DAO, Ethena, and Ether.fi, reflecting a thesis that these protocols tied to yield, staking, and synthetic dollar mechanics may offer better risk-adjusted returns than simply holding Ethereum. Hayes has framed the moves as a portfolio rotation using ETH as base collateral rather than a complete exit from the asset.

Through 2025, institutional positions in the iShares Ethereum Trust ETF (ETHA) increased while Ethereum’s price remained volatile and range-bound. Entering 2026, ETH traded just below $3,000, with the daily chart forming a symmetrical triangle pattern that signals a potential breakout as price compression continues.

Bitcoin closed Q4 2025 with a 23% drop, the weakest quarter since 2018's 42% slide. Analysts outline 2026 scenarios spanning a broad $80,000–$140,000 range, with risks of dips below $80,000 if recession pressures rise and potential extensions toward $170,000 under favorable Fed policy and ETF flows.

On December 31, 2025, Trust Wallet said its Chrome extension was temporarily removed after a Chrome Web Store bug blocked a new release, slowing a verification tool for reimbursement claims. The company earlier confirmed a malicious v2.68 was distributed on December 25, identifying 2,520 drained addresses and roughly $8.5 million tied to 17 attacker wallets.

Turkmenistan has adopted a "Law on Virtual Assets" that legalizes cryptocurrency mining and exchange activity under central bank oversight, following its signing in late November and implementation on January 1, 2026. The framework introduces licensing, KYC/AML rules, and a ban on anonymous wallets, while keeping cryptocurrencies from being used as legal tender or for domestic payments despite the country's ample but grid-constrained electricity supply.

In the fourth quarter of 2025, charts shared on X showed global M2 growth turning higher and the U.S. Federal Reserve adding about $74.6 billion in repo liquidity, while Bitcoin’s price stayed close to the upper end of its recent range. The data highlighted a growing divergence between improving liquidity signals and BTC’s short term direction, raising questions about how tightly the asset tracks money supply and temporary funding operations.