North Korea Just Stole $390 Million from Bitget, Pushing Its 2026 Crypto Heists Past $1 Billion
Suspected North Korean hackers drained approximately $390 million from Bitget’s hot wallets in 2026’s largest single crypto hack, pushing North Korea’s total crypto theft for the year past $1 billion. Bitcoin topped $87,000 for the first time since January as spot ETFs drew $2.4 billion in weekly inflows, then fell back below $84,000 after Trump rejected Iran’s Hormuz Strait proposal. Binance invested $100 million in Circle shares in a five-year deal to expand USDC. Tether opted out of EU MiCA licensing over the 60% bank reserve requirement. Here is a clear look at the most important crypto and tech stories making headlines.
North Korean Hackers Stole $390 Million from Bitget in 2026’s Largest Crypto Hack
Suspected North Korean hackers drained approximately $390 million from Bitget’s hot wallets in the largest single crypto theft of 2026, with the figure rising from an initial estimate of $351.6 million as investigators traced additional affected addresses.
A single exchange losing $390 million to a nation-state hacking operation is not an edge case anymore. North Korea has industrialized crypto theft to the point where it now runs what amounts to a state-funded operation targeting exchange infrastructure. The hot wallet attack vector is well understood and well documented. Exchanges of Bitget’s size operating with hot wallets holding this much liquidity are making a calculated risk that keeps getting punished.
North Korea’s 2026 Crypto Theft Passed $1 Billion After the Bitget Attack
Elliptic confirmed that North Korea-linked crypto theft crossed $1 billion for 2026 following the Bitget attack, with the total accumulated across multiple operations throughout the year.
$1 billion stolen in less than nine months means North Korea is extracting more than $100 million per month from the crypto industry on average. That money funds weapons programs under active international sanctions. The crypto industry is not a passive victim here. Every exchange that runs inadequate hot wallet security is a direct contributor to a state that uses these funds for missile development. The $1 billion threshold is not a milestone. It is an indictment.
The ECB and EU Central Banks Urged Brussels to Scrap MiCA’s 60% Stablecoin Deposit Rule
The European Central Bank and EU member central banks urged Brussels to eliminate MiCA’s requirement that stablecoin issuers hold 60% of their reserves in EU bank deposits.
The ECB pushing to remove one of MiCA’s core stablecoin requirements is a remarkable reversal. This is the same regulatory body that helped design these rules. The 60% bank deposit requirement was meant to ensure stablecoin reserves stayed within the regulated banking system. The problem is that it makes compliance economically unworkable for large issuers and has already driven Tether out of the EU market entirely. When the regulator starts calling its own rules counterproductive, the rules were badly designed.
Tether Opted Out of EU MiCA Licensing Over the 60% Bank Reserve Requirement
Tether confirmed it will not pursue MiCA stablecoin licensing in the EU, citing the 60% bank reserve requirement as incompatible with how it operates its reserves.
Tether opting out of MiCA is the most significant consequence of the 60% rule. USDT is the dominant stablecoin in global crypto trading volume. The EU has now written a regulation that its largest market participant will not comply with, and even its own central banks are saying the requirement needs to go. The result is that European traders and businesses using USDT are operating in a gray zone, and the regulation has achieved the opposite of its stated goal of bringing stablecoins under a clear legal framework.
Binance Invested $100 Million in Circle in a Five-Year Deal to Expand USDC
Binance invested $100 million in Circle shares as part of a five-year strategic deal aimed at expanding USDC integration across Binance’s platform.
Binance putting $100 million into Circle is a direct move against Tether’s dominance. USDT has held the top stablecoin position for years partly because Binance’s trading pairs and liquidity made it the default. A five-year deal with Circle to expand USDC integration changes that calculus significantly. Every percentage point of market share that shifts from USDT to USDC is a win for Circle and a challenge to Tether’s $100 billion-plus circulation lead.
Binance Came Under a New US DOJ Probe Over Alleged Iran Sanctions Violations
Binance faces a new US Department of Justice investigation into alleged violations of Iran sanctions, adding to its existing legal history with US regulators.
Binance under a new DOJ probe while simultaneously investing $100 million in Circle and expanding its stablecoin strategy is a reminder that the company is trying to build its future while managing its past at the same time. Iran sanctions violations are among the most serious charges US financial regulators pursue. The company already paid over $4 billion in fines and penalties in 2023. A new probe on the same category of violation suggests the previous settlement did not fully resolve the underlying compliance gaps.
New York’s AG Sued Polymarket for Unlicensed Gambling and Polymarket Countersued
New York’s Attorney General filed a lawsuit against Polymarket over allegations of unlicensed gambling operations, and Polymarket responded by filing a countersuit.
Polymarket fighting back rather than settling is an unusual move that signals the platform believes it has a credible legal argument that prediction markets are not gambling. That distinction matters far beyond Polymarket. If courts determine that prediction markets are gambling under existing law, every similar platform faces the same exposure. If Polymarket wins, it establishes a precedent that prediction markets are a distinct category with different regulatory treatment. The countersuit turns this from a compliance dispute into a test case.
SoFi Went Live with Stablecoin Settlement on Mastercard as the First FDIC-Insured US Bank to Do So
SoFi launched stablecoin settlement on Mastercard’s network, becoming the first FDIC-insured bank in the United States to go live with on-chain stablecoin settlement.
An FDIC-insured bank settling transactions on-chain through Mastercard is not a pilot or a proof of concept. It is a production deployment at a regulated institution with real customer funds. Every other FDIC-insured bank watching SoFi go live now has a reference implementation to point to when their own boards ask whether this is feasible. The first mover creates permission for everyone else.
Bitcoin Topped $87,000 as Spot ETFs Drew $2.4 Billion in Weekly Inflows
Bitcoin crossed $87,000 for the first time since January as US spot ETFs recorded $2.4 billion in net weekly inflows, their strongest weekly total of 2026.
$2.4 billion in a single week is the kind of ETF flow number that moves markets. Bitcoin hitting $87,000 on the back of that inflow shows the direct relationship between institutional buying through regulated products and price action. The ETF structure has changed how Bitcoin responds to demand. When large allocators want exposure, they buy through ETFs, the ETFs buy Bitcoin, and the price reflects that demand more directly than the old exchange-driven cycle did.
Bitcoin Fell Below $84,000 After Trump Rejected Iran’s Hormuz Strait Proposal
Bitcoin dropped below $84,000 after Trump rejected Iran’s Hormuz Strait proposal, with crypto markets falling alongside broader risk assets as geopolitical tension escalated.
Bitcoin dropping on a geopolitical development between the US and Iran is a continuation of the pattern that has repeated throughout 2026. When Middle East tensions spike, institutional investors reduce risk across portfolios and Bitcoin gets sold alongside equities. The irony is that Bitcoin was supposed to be a geopolitical hedge. In practice, when large institutions hold it through ETFs and manage it as part of a broader portfolio, it behaves like a correlated risk asset rather than an uncorrelated store of value during stress events.
Wrapping Up
This week had North Korea cross $1 billion in crypto theft for 2026 through a single $390 million attack on Bitget. The ECB called for scrapping one of MiCA’s core requirements while Tether walked away from EU licensing entirely. Bitcoin hit $87,000 on record ETF inflows then pulled back below $84,000 on geopolitical news. Binance invested in Circle while facing a new DOJ probe. SoFi became the first FDIC-insured bank to settle on-chain through Mastercard. A 14-year-old Bitcoin wallet moved $51.9 million at a gain of over one million percent. The institutional infrastructure keeps deepening while the security failures and regulatory contradictions keep arriving at the same pace.
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