A new institutional report finds crypto markets entering 2026 with reduced leverage, stronger structure, and a shift toward defensive positioning, as bitcoin maintains leadership and institutions favor large-cap exposure. Institutions Turn Defensive as Crypto Risk Gets Repriced Digital asset markets began 2026 on steadier footing after last year’s broad deleveraging reset risk across the sector. […]
ANNA Money Secures £10m to Scale AI ‘Auto Accountant’ as MTD Deadline Looms
ANNA Money, the AI-powered business account and tax app, has secured £10million in growth debt from Flashpoint Ventures. The funding will be used to accelerate the scaling of its “Auto Accountant” solution as UK small businesses prepare for major regulatory changes under Making Tax Digital (MTD).
The investment follows a strong year for the fintech, which reports hitting £30million in annual recurring revenue (ARR) and now supports over 50,000 UK small businesses each month.
AI doing the heavy lifting
ANNA’s pitch to investors and customers alike revolves around its proprietary AI, which claims to automate the vast majority of tax administration. According to the company’s 2024 figures, 88 per cent of corporation tax filings were handled end-to-end by its AI with no human intervention.
For VAT returns, 89 per cent were filed with “minimum effort,” and 54 per cent were fully automated.
The system is designed to understand context—distinguishing, for example, that tyres bought by a mechanic are inventory, while those bought by a taxi driver are maintenance expenses. It also flags allowable deductions often missed by SMEs, such as working-from-home costs and mobile bills.
Preparing for MTD for ITSA
The funding comes at a critical time for the UK’s self-employed sector. From April 2026, Making Tax Digital for Income Tax Self Assessment (ITSA) will mandate that self-employed individuals and landlords with an annual income over £50,000 move from annual returns to quarterly digital updates.
ANNA’s platform offers an MTD-ready solution designed to automatically prepare and submit these digital updates once a business account is connected.
Eduard Panteleev, co-founder and co-CEO of ANNA Money, commented: “This funding gives us the firepower to scale at exactly the right moment. As Making Tax Digital for self assessment comes into force for around 850k self-employed people and landlords next year, demand for smart, automated accounting is accelerating fast.”
Panteleev highlighted the efficiency gains driven by the technology: “ANNA’s AI-driven systems mean a single human accountant can work across up to 12,000 businesses—the technology does the rest. That level of efficiency allows us to grow rapidly while maintaining exceptional customer service.”
With the new capital, ANNA is doubling down on its “self-drive” accounting vision, aiming to become the leading tax SaaS platform for small businesses in the UK. The company has set its sights on a revenue milestone of £100 million as adoption of AI accounting tools becomes the default for the sector.
Coinbase (COIN) and Kalshi team for prediction market for crypto exchange’s U.S. customers
Coinbase (COIN) has rolled out its new prediction market platform to U.S. users, enabling them to trade on the outcomes of real-world events including elections, sports, collectibles, and economic indicators.
The platform, announced in December, is built in partnership with Kalshi, a U.S.-regulated prediction market operator recently valued at $11 billion. Kalshi offers event-based contracts that function like simplified derivatives—traders buy “yes” or “no” positions on specific outcomes, with the price of each contract reflecting the probability assigned by the market.
The launch, which the crypto exchange announced in a post on X on Wednesday, brings prediction markets to Coinbase’s U.S. user base for the first time, just in time for one of the biggest sports events of the year, the Super Bowl.
Prediction markets have gained renewed attention in the past year with many new entrants competing in the market. Trading volumes on platforms like Polymarket have surged as more users look to express political and economic views through on-chain financial products. These markets are often used to gauge real-time public sentiment and probabilities, with some investors treating them as alternative data sources.
Coinbase’s move into the space could give the sector a significant boost in visibility and liquidity, particularly as it offers access to users through an existing regulated platform. The crypto exchange has long said it wants to become an “everything exchange,” and the launch of prediction markets marks its latest move in that direction.
SEC Releases New Guidance On Tokenized Securities Framework
The United States Securities and Exchange Commission has released new guidance on tokenized securities, breaking the assets into two categories as it provides more clarity for companies entering the space.
The SEC’s statement on tokenized securities, released on Wednesday, defines the assets as issuer-sponsored or third-party sponsored tokenized securities.
“Tokenized securities generally fall into two categories: (1) securities tokenized by or on behalf of the issuers of such securities; and (2) securities tokenized by third parties unaffiliated with the issuers of such securities,” the regulator stated.
Issuer-sponsored tokenized securities enable companies to tokenize their own securities in two ways: by integrating blockchain directly into their ownership records or issuing crypto assets that trigger off-chain ownership record updates on a separate ledger.
The legal treatment and registration requirements, and other securities laws, still apply regardless of whether a security is tokenized or traditional, it said.
“The format in which a security is issued or the methods by which holders are recorded (onchain vs. offchain) does not affect application of the federal securities laws.”
Third-party issuance is custodial or synthetic
Unaffiliated third parties can also tokenize securities through custodial or synthetic models, the SEC stated.
The custodial model involves creating tokenized security entitlements where the crypto asset represents an indirect ownership interest in underlying securities held in custody.
The synthetic model involves issuing new securities that provide exposure to underlying securities without actual ownership. Rights to the asset, or “linked security,” could be in the form of structured notes, exchangeable stock, or security-based swaps.
In essence, the SEC is clarifying that blockchain is just a technology for record-keeping; companies can use it, but securities laws still apply.
Related: New SEC submissions press on self-custody and DeFi regulation
“We welcome the SEC’s thoughtful statement on tokenized securities, recognizing native, issuer-supported tokenization and onchain recordkeeping as a modern extension of securities infrastructure,” said tokenization platform Securitize in a post to X on Wednesday.
“Clear frameworks like this are key to responsibly scaling tokenization.”
SEC favors broker over crypto-native custody
The financial regulator cautioned that holders of third-party sponsored tokenized securities “may be exposed to risks with respect to the third party, such as bankruptcy.”
The SEC outlined how tokenized securities can exist inside US market safeguards in December, favoring broker-led custody over crypto-native self-custody.
It also gave the nod for the Depository Trust and Clearing Corporation to move some stocks, bonds, and US Treasuries onchain.
Magazine: Hong Kong stablecoins in Q1, BitConnect kidnapping arrests: Asia Express
Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently. Read our Editorial Policy https://cointelegraph.com/editorial-policy
Brave Bets on Social Heist Puzzles to Pull Players Into Its Gaming Push
In brief
How it works
Brave’s gamification push
Daily Debrief Newsletter
Start every day with the top news stories right now, plus original features, a podcast, videos and more.
FOMC keeps rates on hold, as expected
The Federal Reserve held interest rates steady on Wednesday, a decision that capped a sharp reversal in market expectations that had once favored an early 2026 rate cut.
“Job gains have remained low, and the unemployment rate has shown some signs of stabilization,” said the central bank in its policy statement. “Inflation remains somewhat elevated.”
There were two dissents to the decision to hold policy steady, with recent Trump appointee Stephen Miran and Chris Waller — reportedly in the running to replace Jerome Powell as Fed chair — each preferring to trim the fed funds rate by 25 basis points.
Bitcoin remained just under $89,500 following the expected Fed action, and U.S. stocks were little changed. The U.S. dollar remained sharply higher for the day following yesterday’s large decline, and gold continued higher by 3.7%, near record levels at $5,300 per ounce.
Just two months ago, traders were split on the outlook, with prediction markets pricing a January cut at more than 40%.
By late November, those odds had already begun to fade. Heading into the meeting, the shift was complete. Markets priced in no change at nearly 99%, effectively erasing expectations for near-term easing and cementing the view that the Fed would keep policy restrictive through the first quarter.
While the January decision closes the door on early cuts, it has not eliminated expectations for easing altogether.
Market participants aren’t expecting the Fed to resume rate cuts at its next meeting in March, with CME FedWatch placing the odds at just 16%. Chances are a bit higher in April, rising to about 30%.
“The U.S. Federal Reserve’s decision to hold interest rates reflects persistent inflation concerns and a stabilizing economic backdrop, likely resulting in near-term volatility for crypto markets as liquidity remains supportive,” Nick Ruck, Director of LVRG Research, said in a Telegram message. “If Chair Powell’s press conference conveys a cautious ‘higher-for-longer’ stance or hints at fewer cuts ahead in 2026, we could see short-term pressure on risk assets, including bitcoin.”
Investors will now look to Jerome Powell’s post-meeting press conference at 2:30 pm ET for clues about the central bank’s thinking.
dLocal Powers HONOR’s Peru Debut as E-Commerce Sales Set to Hit $59.5bn
Cross-border payment platform dLocal has partnered with global AI device company HONOR to facilitate local payment acceptance for the launch of HONOR’s inaugural website in Peru.
The collaboration aims to bridge the gap between Peru’s rapidly expanding e-commerce market and the specific payment preferences of its consumers, many of whom remain underserved by international credit card networks.
Tapping into LatAm’s fastest-growing market
Peru’s digital economy is currently on a steep upward trajectory, ranking as the fastest-growing e-commerce market in Latin America. Online sales in the country are projected to reach $59.5billion by 2027.
However, international merchants often face a hurdle: while online shopping is booming, only 26 per cent of e-commerce transactions in Peru are completed using international credit cards. The majority of consumers prefer domestic payment methods, creating a friction point for global brands trying to enter the market.
Solving the local payment puzzle
Through this partnership, dLocal will enable HONOR to accept a wide range of local payment methods via a single API integration. This includes:
- Credit cards with installment options, a widely used feature in the Peruvian market.
- Bank transfers and cash payments.
- Local eWallets, specifically Yape.
Yape is a dominant force in Peru’s financial landscape, boasting over 16.5 million active users—nearly half of the country’s population. By integrating these local preferences, HONOR aims to reduce cart abandonment and build trust with Peruvian consumers who expect a localized checkout experience.
Justin Goh, head of China at dLocal, commented on the strategic importance of the move: “HONOR’s products set a high bar for innovation, and their payment experience should reflect the same standard. By processing transactions through domestic rails and supporting key local methods like Yape and Pago Efectivo, we’re helping them connect directly with consumers and build a strong foundation for sustainable growth in Peru.”
The partnership leverages dLocal’s “One dLocal” concept, which allows global enterprise merchants to accept payments, send payouts, and settle funds globally without managing multiple local entities.
For HONOR, a company focused on “revolutionizing human-to-device interactions,” the ability to price in local currency and offer familiar payment methods is a critical step in its regional expansion strategy.
“Launching the website in Peru represents a pivotal moment in HONOR’s Latin American expansion strategy,” said an HONOR spokesperson. “Partnering with dLocal enables Peruvian customers to purchase devices using their preferred payment methods, creating a localized shopping experience that reflects HONOR’s commitment to empowering people with smarter technology.”
HYPE Gains 60% But Hyperliquid Growth Metrics Warn It May Not Hold
Key takeaways:
-
HYPE surged 60% to $34.90, fueled by institutional investor accumulation from Hyperliquid Strategies and reduced selling after staking unlocks.
-
Bearish liquidations exceeding $20 million and ARK Invest’s bullish report fueled speculation despite flat perpetual volumes.
Hyperliquid (HYPE) surged to $34.90 on Wednesday, climbing from $21.80 just two days prior. The 60% rally triggered over $20 million in liquidations on bearish leveraged positions, fueling speculation of further gains toward $40. The move followed reports of a publicly listed company focused on digital asset reserves adding HYPE to its balance sheet, alongside diminished sell pressure following a large staking unlock.
X user lukecannon727 raised suspicions regarding whether the company Hyperliquid Strategies (PURR US) has been diverting flows away from market maker Flowdesk. This came after users flagged a 3.6 million HYPE accumulation initiated on December 12, 2025. The associated addresses staked the HYPE tokens a few hours after receiving them via Anchorage custody solutions.
The analysis cites another 460,000 HYPE transferred from OKX and Bybit on Tuesday and subsequently staked via Anchorage, which is consistent with Hyperliquid Strategies’ operational methods. PURR, the Nasdaq-listed digital assets treasury company, originated from a merger with Rorschach, a SPAC sponsored by venture capital firms Paradigm and Atlas Merchant Capital.
Did Hyperliquid flip Binance?
Some market participants attributed HYPE’s price gains to an increase in Hyperliquid’s onchain activity, although synthetic perpetual volumes and fees showed no significant changes. Similarly, open interest on Hyperliquid totaled $8.5 billion on Tuesday, flat from one week prior. There is little evidence of a major shift in Hyperliquid usage apart from increased activity in silver contracts.
Hyperliquid’s official X account reported an all-time high in open interest on Monday, driven by a surge in synthetic commodities volumes. The information was reposted by Hyperliquid CEO Jeff Yan, who noted that Hyperliquid’s Bitcoin futures liquidity had surpassed Binance. The analysis included a snapshot comparing the BTC perpetual futures orderbooks from Binance and Hyperliquid.
Yan’s analysis suggested that Hyperliquid has become the epicenter for “crypto price discovery,” although this assumption omits that Binance’s aggregate BTC futures open interest stands at $12.3 billion. The centralized exchange also offers monthly contracts and contracts settled in both BTC and Tether (USDT). In reality, Binance BTC open interest remains five times larger than Hyperliquid’s.
Previous HYPE sell pressure has been attributed to Continue Capital, especially after the fund manager reportedly sold 297,000 HYPE two weeks ago, according to X user murda0x. The latest large staking unlock from Continue Capital occurred on Jan. 21, totaling 1.47 million HYPE. Another 1.5 million HYPE were recently unlocked by wallets attributed to a “Tornado Cash cluster.”
Related: CertiK links $63M in Tornado Cash deposits to $282M wallet compromise
An ARK Invest research report released on Jan. 22 likely played an important role in capturing investor interest. The report depicted Hyperliquid as one of “the most revenue efficient companies in the world,” using decentralized finance (DeFi) derivatives to compete directly with traditional exchanges. Analysts noted that blockchain networks are evolving into monetary assets as a function of their utility.
HYPE’s failure to sustain levels above $34 on Wednesday is not necessarily a death sentence, but odds are the recent gains resulted from one-off events, such as inflows from a digital assets reserve company and reduced sell pressure. While Hyperliquid long-term fundamentals remain solid, there is no definitive evidence that $40 is the next logical step for the HYPE token.
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. While we strive to provide accurate and timely information, Cointelegraph does not guarantee the accuracy, completeness, or reliability of any information in this article. This article may contain forward-looking statements that are subject to risks and uncertainties. Cointelegraph will not be liable for any loss or damage arising from your reliance on this information.
Crypto PAC Reports $193M after Donations from Ripple, Coinbase, a16z
Crypto-backed political action committees (PACs) are gearing up for the 2026 US midterm elections, with industry-funded groups signaling plans to expand their influence as debates over digital asset regulation intensify on Capitol Hill.
Fairshake, the cryptocurrency industry-backed PAC, disclosed on Wednesday holding $193 million in cash on hand ahead of this year’s US midterm elections. In an announcement shared with Cointelegraph, Fairshake spokesperson Josh Vlasto said the PAC had received $25 million from Ripple Labs and $24 million from a16z in addition to a $25 million contribution from cryptocurrency exchange Coinbase in 2025.
According to Vlasto, these donations contributed to Fairshake having more than $193 million in cash on hand as of January, about a 37% increase since it last disclosed its holdings in July. At the time of publication, the $193 million figure was not publicly available in filings with the Federal Election Commission.
“With the midterms approaching, we are united behind our mission with Fairshake continuing to oppose anti-crypto politicians and support pro-crypto leaders,” said Vlasto. “The time is now to protect consumers, cultivate American innovation, and open up the financial system to more Americans.”
Fairshake reported that it had spent more than $130 million on media buys supporting candidates it considered “pro-crypto” and opposing “anti-crypto” ones in the 2024 US federal elections. Vlasto told Cointelegraph in January 2025 that the PAC was “keeping [its] foot on the gas” for elections that year and beyond.
Related: If history repeats itself, will the US Congress become more pro-crypto in 2026?
A PAC is an organization that raises and spends money to support or oppose political candidates, ballot initiatives or legislation. PACs are regulated by federal election law and overseen by the Federal Election Commission.
Vlasto is a spokesperson for the Fairshake PAC, its two affiliates, Defend American Jobs and Protect Progress, as well as the AI-focused Leading the Future PAC and its affiliate, Think Big. He also speaks for the Cedar Innovation Foundation, a dark money group tied to the crypto industry. So-called dark money groups don’t disclose their donors.
Fairshake is not alone in attempting to influence US elections through crypto money
While Fairshake was one of the biggest crypto-backed spenders in 2024, several PACs with ties to the industry launched in 2025.
Entities tied to cryptocurrency exchanges Gemini and Crypto.com disclosed contributing $21 million, likely a reference to Bitcoin (BTC)’s total supply cap, to a Super PAC supporting US President Donald Trump in January. Gemini co-founders Cameron and Tyler Winklevoss also personally sent $21 million in BTC to the Digital Freedom Fund PAC in August.
The Fellowship PAC, a committee that claimed to back “pro-innovation, pro-crypto” candidates, said it had $100 million as of September. Crypto exchange Kraken also committed $2 million to Freedom Fund PAC and America First Digital in September as part of the “fight for crypto in the United States.”
Fairshake, for its part, spent more than $2 million on media buys to support candidates in special congressional elections for three House seats in Virginia and Florida in 2025. However, based on Vlasto’s statements, the PAC is likely to step up spending closer to the 2026 elections in November.
Some of the races under scrutiny from many crypto users or those in the industry may include former Ohio Senator Sherrod Brown running to retake a seat in the Senate after his 2024 loss to Bernie Moreno, and John Deaton, a lawyer who often represents XRP holders. Deaton announced another Senate run in 2026 after his 2024 loss to incumbent Elizabeth Warren.
Magazine: A ‘tsunami’ of wealth is headed for crypto: Nansen’s Alex Svanevik
Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently. Read our Editorial Policy https://cointelegraph.com/editorial-policy
SEC Says Tokenized Assets Are Securities First, Technology Second
In brief
‘Tokenization changes nothing legally’
Daily Debrief Newsletter
Start every day with the top news stories right now, plus original features, a podcast, videos and more.