The market this morning

Liquid Network hit by $320M exploit as US sanctions marketplace Xinbi and Trezor reports email-provider breach

By Crypto Info News

Good morning. Chainalysis reports that purported white-hat hackers exploited the Liquid Network to withdraw $320 million in BTC from the network's reserve, describing a vulnerability behind the withdrawal.

Enforcement moved in parallel. Chainalysis reports that US authorities, through OFAC and the DOJ, struck Xinbi Guarantee, which it describes as a major Chinese-language illicit marketplace connecting criminal networks with money laundering and scams. Separately, Decrypt reports that hardware wallet maker Trezor said hackers breached its email provider, and that a fake security alert claimed a hardware flaw could expose users' recovery phrases. On the compliance side, Cointelegraph reports that blockchain intelligence firm TRM Labs doubled its valuation to $2 billion in a Series C expansion, saying its annual recurring revenue has quadrupled over the past three years.

Policy fights continued. Decrypt reports that crypto advocates and community bankers are lobbying lawmakers in their home states as the Senate prepares for a September 15 procedural vote on the Clarity Act. CoinDesk reports that Robinhood CEO Vlad Tenev, speaking to CNBC's "Squawk Box," said public companies shouldn't have veto power over third-party securities that reference their shares, in an escalating dispute with AMC's CEO over stock tokens.

In corporate news, Cointelegraph reports that Consensys will split into MetaMask and an institutional blockchain company, separating the consumer business from its Ethereum protocols and institutional infrastructure. The Block reports that Solana treasury firm SkyAI faces a board challenge from would-be acquirer Forward Industries and a shareholder group, noting a proposed equity plan authorizing 5.145 million shares, roughly 7.2% additional dilution. The Block also reports that Kalshi's elections and politics markets went live Wednesday on the market data platform DoubleZero Edge, a point Cointelegraph likewise reports.

Markets were quiet. Bitcoin traded at $78,283.06, down 0.21% on the day, with a market cap of $1,572,081,359,789.26. Ether traded at $2,467.53, down 0.71%. BNB fell 3.92% to $722.66 and XRP declined 1.59% to $1.39. The Block reports that bitcoin miners are missing the rally as exchanges and stablecoins surge, and that among tracked companies Canaan is the only bitcoin mining company to have outperformed the cryptocurrency.

What to watch: the September 15 Senate procedural vote on the Clarity Act, and any further disclosures on the Liquid Network exploit.