Decrypt

CFTC Draws the Line Between Prediction Markets and Gambling in New Rules A proposed rule would expressly fold event contracts tied to sports, politics, culture and weather into the “swap” definition, while an interim rule excludes casino-style gambling—sharpening the agency’s claim to exclusive jurisdiction.

This Sam Altman-Backed Life Insurer Runs Entirely on Bitcoin, and Just Raised $37.5 Million The Bermuda-based insurer, which runs entirely on Bitcoin, drew the funding from existing backers led by Bain Capital Crypto after a record year driven by demand from wealthy families in Asia, Europe and the Middle East.

Here’s a Way to Predict When AI Chatbots Will Turn Bad Physicists at George Washington University say a formula can estimate when an AI chatbot will flip from good answers to bad ones, and early tests on small models back it up.

French Committee Backs Stablecoin Swap Tax and Crypto Exit Tax, Then Rejects the Budget A National Assembly committee adopted amendments taxing stablecoin swaps and crypto exits by wealthy holders, then rejected the 2027 budget's revenue section.

OpenAI and Anthropic Are Quietly Rehearsing for the Day After an AI Catastrophe Executives are war-gaming the political fallout of a major AI-driven cyberattack and preparing to brief Congress fast if and when necessary.

Senate Democrat Presses Cantor Fitzgerald on Tether Ties and Lutnick Family Profits Sen. Richard Blumenthal wants Cantor Fitzgerald to open its records on Tether and on how much Commerce Secretary Howard Lutnick's family has earned from its business deal.

Blockchain.com Seeks Approval for US Prediction Markets and Crypto Derivatives The crypto platform filed for designated contract market and futures commission merchant licenses, which would let it run its own regulated event-contract venue instead of relying on overseas partners.

Bitcoin Rebounds After Rough Week, But Traders Are Pricing In More Downside Bitcoin bounced after dipping to around $80,000. Traders are placing increasingly high odds BTC slips further before October is over.

Ethereum L2 Starknet Jumps 20% After Saying It Wants to Become an L1 Starknet is "actively considering" becoming its own blockchain, a move it says would make it the first fully quantum-resistant network by 2027.

DWF Labs Subsidiaries Sue BitGo for $141 Million Over Early Token Sales The DWF Labs-linked firms allege in London’s High Court that BitGo sold discounted Falcon Finance and ESPORTS tokens roughly two months before their lock-up expired, cratering the value of their remaining holdings.