Exchange Risk

A cryptocurrency venture co-founded by Donald Trump faces scrutiny for partnering with AB DAO, linked to sanctioned individuals involved in a criminal network. Despite claims of thorough due diligence, the partnership raises concerns about governance and conflict-of-interest in the company.

The risk management team, Chaos Labs, announced it is terminating its partnership with Aave due to long-term losses and irreconcilable differences in risk management. At this time, Aave V4 has just gone live; after upgrading, Chaos needs to rebuild its risk tools, and the budget requirements are higher than what Aave is willing to accept. In addition, Aave is facing the departure of multiple core team members, raising doubts about operational stability.

Leap Wallet is shutting down by May 28, ending support for its apps and services. Users are urged to redelegate ATOM and move assets promptly, as the complete closure marks a significant end for this multichain wallet project.

Phantom crypto wallet experienced a brief service outage on April 7, preventing users from viewing token prices and account balances normally, and some users saw balances display as zero. The official said this issue was a technical problem with the front-end display layer, and that actual on-chain assets were not affected. On the same day as the outage, Phantom received a no-objection letter from the U.S. CFTC, allowing it to integrate regulated derivatives.

Risk management firm Chaos Labs announced it is ending its three-year partnership with DeFi lending protocol Aave, citing a fundamental disagreement between the two parties on approaches to risk management. This exit has exposed the legal gray area in the DeFi ecosystem where regulatory safeguards are lacking—especially after a recent oracle incident that led to an erroneous liquidation of about $27 million. The separation between Chaos Labs and Aave leaves Aave facing a governance vacuum during a critical period for the V4 upgrade, further fueling concerns about accountability for decentralized risk systems.

A decentralized perpetual contract trading platform Denaria announced that its smart contract was attacked, resulting in a loss of about $165k. The team is investigating with the auditors and has suspended the user interface while preparing a refund process. Denaria hopes to avoid legal action by inviting the attacker to contact them through a bounty program.

The Korea Financial Services Commission requires all cryptocurrency exchanges to set up a system to verify assets every 5 minutes, and to complete it by the end of May. It found that some exchanges’ verification frequency is insufficient and that there are defects in their trading circuit breaker mechanisms; all exchanges are required to publish their asset balances and submit to audits. The regulatory measures stem from an operational mistake at an exchange in February.

Figure co-founder Mike Cagney recently received a 1099-MISC tax form from a certain CEX Custody showing last year’s income of $1,600, but the account’s assets are only $10. He is dissatisfied with the customer service’s runaround and criticized the exchange for blocking the passage of the CLARITY Act, arguing that the industry no longer needs to care about his views.

A prediction market platform removed markets about the fate of a missing American pilot for violating the “integrity standards,” triggering controversy. U.S. House lawmakers criticized such betting as “disgusting” and questioned rule transparency. Meanwhile, concerns about insider trading have intensified, and regulators are calling for stronger restriction measures.

Social media platform X will auto-lock accounts that mention cryptocurrency for the first time, requiring additional verification to deter crypto phishing scams. This new measure aims to eliminate incentives for attacks that hijack accounts to promote fraudulent tokens.

four.meme announcement: Because the project tax fee receiving address that starts with 0x9f4 has a defect, sell transactions have failed. The related token creation function has been paused, and users are advised to stop trading. Also, full refunds will be provided to affected users who purchased before April 3 at 22:50.

A product that combines cryptocurrency, adult content, and a high-risk lending mechanism has recently sparked heated discussion in crypto circles and on social platforms. The project, named “Hero Loan,” promotes the slogan “unsecured loans,” but requires users to upload private videos as a condition, and ties default risk to an adult-platform monetization mechanism—prompting many netizens to describe it as “an encrypted version of loan-sharking/porn lending.” The project even uses “If you think this won’t get used, it just means you haven’t reached rock bottom yet” as its promotional tagline, clearly targeting users with high risk and extreme capital pressure. However, shortly after it was exposed, one netizen said they had sent a video but didn’t receive any money; a KOL also responded that the project appears to have rug-pulled. But honestly, a private video is only worth 60 bucks—that’s just too brutal. “Hero Loan” targets people with nowhere left to go According to information on the official website, the product runs on BNB Chain and is positioned for “people who have nowhere left to go—

Gate News message, on April 3, the crypto wallet app Leap Wallet announced that it will stop operating on May 28, and users need to complete asset migration as soon as possible. The shutdown scope includes: Compass Wallet (browser extension, iOS and Android versions), Leap WebApp, Swapfast, Leap Cosmos Hub validator nodes, and Leap Cosmos

As of April 3, DRIFT’s price is up 24.16%, now trading at $0.0561, with a market cap of approximately $32.62 million. Drift Protocol, as a decentralized exchange, has performed well in terms of security and liquidity, but trading has been restricted due to recent security incidents and risk management measures by South Korean exchanges, which has increased market volatility.

Social media platform X will auto-lock accounts that mention cryptocurrency for the first time, requiring additional verification to deter crypto phishing scams. This new measure aims to eliminate incentives for attacks that hijack accounts to promote fraudulent tokens.

X (formerly Twitter) will implement new protective measures. If a user posts content related to cryptocurrency for the first time, the account will automatically be locked and prompted for identity verification to prevent hackers from using the account to carry out scams. X product lead Nikita Bier also criticized Google for tolerating phishing emails, emphasizing that this move can eliminate 99% of hackers’ motivations.

Magic Eden is discontinuing its wallet app, transitioning to an export-only mode, which means users must export their private keys to avoid losing access to their funds. This change emphasizes the importance of self-custody and key preservation for cryptocurrency users.

Loopscale’s declaration is not directly related to Drift. Most funds are secure, with some indirect exposure. Deposits in the SOL Genesis Vault will fully reimburse users; deposit and withdrawal functionality is temporarily disabled, and will be reopened once services are restored.

Decentralized exchange Drift Protocol was hacked on April 2, resulting in losses of up to $280 million, becoming one of the largest DeFi security incidents in the Solana ecosystem. The attacker exploited a multisig vulnerability to obtain administrator keys and quickly transferred assets. Drift has paused deposits and withdrawals and has promised to continue updating the incident investigation. Security experts noted that this incident highlights the risks of high-privilege key management for DeFi protocols, urging stronger security measures to protect users’ assets.

Gate News message, April 2, a certain CEX issued a Drift (DRIFT) token warning notice. For the purpose of protecting users, member companies of the Digital Asset eXchange Alliance (DAXA) may take measures such as issuing warnings, designating trading warning assets, or terminating trading support.