Bitcoin ETFs Extend Inflow Streak With $347 Million as BlackRock Leads

Gracy Chen, CEO of cryptocurrency exchange Bitget, said on the 25th that the investigation into the unauthorized outflow had progressed, explaining that attackers compromised a critical backend system within the wallet infrastructure, then falsified transaction data and improperly triggered the transfer approval process to move funds out. Chen denied any leak of private keys, ruling out a more severe risk scenario, and confirmed that the breach had been contained, saying no further unauthorized transfers could occur. The intrusion route is still under investigation, and a detailed technical report will be published once it is confirmed. After the unauthorized outflow was discovered on the 24th, the loss was estimated at about $351.6 million as of the 25th, but on-chain analysis subsequently identified additional losses involving Gcash and Tron-related assets, and the figure was revised upward to about $387.5 million. The company plans to cover the full amount of the lost funds with a user protection fund exceeding $464 million, and said multiple technical teams are working on system repairs and security enhancements while also restoring withdrawal functions.

The 6th U.S. Circuit Court of Appeals ruled on Friday that states have the right to regulate sports-related event contracts on prediction market platforms, handing the industry a second major legal defeat at the appeals court level as a fight at the U.S. Supreme Court looms. In a unanimous decision, the three-judge panel said Ohio and Tennessee may apply their state gambling laws to Kalshi's sports-related event contracts, holding that Kalshi had not shown its sports-event contracts satisfy the statutory definition of a swap so as to fall within the exclusive jurisdiction of the Commodity Futures Trading Commission. The panel added that even assuming the contracts are swaps, the Commodity Exchange Act neither expressly nor impliedly preempts Ohio's or Tennessee's gambling laws. The decision overturns a Tennessee federal district court ruling that sided with Kalshi and reaffirms a federal district court decision in Ohio that sided with the states. The ruling follows a 9th U.S. Circuit Court of Appeals decision last month that Nevada has the right to regulate sports-related event contracts, while the 3rd U.S. Circuit Court of Appeals ruled against New Jersey in April and said the CFTC has exclusive authority over all swaps; New Jersey appealed that decision to the Supreme Court earlier this month, and it is unclear whether the high court will take up the case now or wait for further circuit court decisions.