Policy and Re2026-09-27 09:54:27Weekly crypto project roundup: New York sues Polymarket, Magic Eden NFT scare tied to Limit Break flaw, Ethena expands basis tradeNew York state filed suit against prediction market platform Polymarket, accusing it of running an illegal gambling operation in the state without the required Gaming Commission license. The action adds to earlier legal steps by state authorities against firms involved in prediction markets, including Kalshi, Coinbase and Gemini. The week also brought a major NFT security incident linked at first to Magic Eden. Yuga Labs executive Quit said the issue actually stemmed from a flaw in Limit Break Payment Processor V2. A white-hat rescue operation moved 23,155 NFTs worth more than $5.7 million to safety, though about 660 WETH could not be recovered in time. Magic Eden said it stopped using Payment Processor V2 in October 2024 and that current active listings were not affected. Elsewhere, Circle Mint launched BTC-backed USDC borrowing for eligible institutions, Camelot and Cypher said they will merge into Frontier, and Pyth Network became an external distributor for Nasdaq Basic market data. Sonic Labs removed manual S token inflation, Aave founder Stani Kulechov said V4 has reached $1.2 billion in deposits, Ethena extended its USDe basis strategy to stock perpetuals through Binance, Aster rolled out Grid 2.0, and LayerZero warned it will end off-chain support for 13 chains.240
Yuga Labs2026-09-26 02:24:09Yuga Labs executive says NFT theft claims portal should go live within hoursYuga Labs blockchain vice president Quit said on X that a claims portal tied to a recent NFT theft incident is expected to go live within the next few hours. He also said a dedicated address, nftsaresafu.eth, has been set up to receive donations in ETH and other tokens. According to Quit, he spent about $7,500 in gas fees the previous night while handling matters related to the incident, in addition to putting in significant time. He also thanked the community for support provided through channels including X Money. The update follows an earlier report that NFT marketplace Magic Eden may have suffered an NFT security flaw. In that incident, a white hat hacker moved 3,832 NFTs from hundreds of wallets, with the assets valued at about $1.5 million.300
Bitget2026-09-25 13:48:48Bitget confirms $351.6 million security incident as New York sues PolymarketWuBlockchain’s daily crypto news roundup covered five separate developments across exchanges, regulation, corporate treasury strategy, and NFT security. Bitget CEO Gracy Chen said the exchange detected unauthorized transfers from some hot and warm wallets on Sept. 25, with estimated losses of about $351.6 million. The company said cold wallets and Bitget Wallet were not affected, user balances remain intact, and losses will be covered by its user protection fund. Bitget’s security team said it has preliminarily ruled out a private key leak, adding that the attacker appears to have compromised a critical backend wallet service, forged transfer information, and triggered the authorized signing process. Withdrawals have been temporarily suspended. In the U.S., New York state filed suit against prediction market platform Polymarket, accusing it of operating an illegal gambling business in the state. The Federal Reserve also released two proposed rules tied to the GENIUS Act stablecoin framework. Elsewhere, Sequans Communications said it sold its remaining 314 BTC and ended its bitcoin treasury strategy, while Magic Eden said older EVM listings may have been exposed to a Limit Break Payment Processor V2 flaw that led white hats to secure 23,155 NFTs.250
Yuga Labs2026-09-25 08:34:28Yuga Labs executive urges users to revoke Payment Processor V2 and V3 approvalsYuga Labs blockchain vice president Quit warned users on Sept. 25 to revoke approvals tied to the Ethereum Payment Processor V2 contract and the ApeChain Payment Processor V3 contract as soon as possible. He said users can do so through revoke.cash or similar approval-management tools. Quit also said that if assets were moved without permission and are currently sitting at an address beginning with 0x71cf, holders do not need to panic because those assets remain safe. Even so, affected users still need to revoke the approvals tied to the two contracts. The warning follows an earlier incident involving what was described as a suspected NFT security issue at marketplace Magic Eden. In that case, a white hat hacker moved 3,832 NFTs from hundreds of wallets, with the assets valued at about $1.5 million. Quit said those transfers were part of a white hat operation, that the NFTs were being held at an address beginning with 0x71cF, and that all assets would be returned once the risk is removed.310
