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27 May 2026, 14:03

DTCC plans to bring tokenized assets to Stellar in latest Wall Street blockchain push

The U.S. market infrastructure giant targets connecting tokenized stocks, ETFs and Treasuries to Stellar in the first half of 2027.

27 May 2026, 14:00

US DTCC to Tokenize Custodial Assets on Stellar Blockchain by 2027

BitcoinWorld US DTCC to Tokenize Custodial Assets on Stellar Blockchain by 2027 The Depository Trust & Clearing Corporation (DTCC), a cornerstone of U.S. financial market infrastructure, has announced plans to tokenize assets held in custody by its subsidiary, the Depository Trust Company (DTC), using the Stellar blockchain network. The initiative, developed in partnership with the Stellar Development Foundation, is expected to launch in the first half of 2027. Tokenization Details and Asset Selection Under the plan, tokenized assets will carry the same investor protections and legal rights as traditional securities. The DTCC is evaluating highly liquid assets for initial tokenization, including components of the Russell 1000 index, major index-tracking ETFs, and U.S. Treasurys. This approach prioritizes assets with deep markets and established regulatory frameworks. Regulatory Milestone: SEC No-Action Letter The DTCC received a no-action letter from the U.S. Securities and Exchange Commission (SEC) in December 2025, granting authorization to operate a service for tokenizing custodial assets. This regulatory clarity is a significant step for institutional adoption of blockchain technology in traditional finance, signaling that tokenized securities can coexist with existing market infrastructure under SEC oversight. Why This Matters for Investors and Markets The DTCC’s move represents a major endorsement of blockchain technology by a critical piece of U.S. financial infrastructure. Tokenization could reduce settlement times, lower operational costs, and improve transparency for large-scale asset custody. For retail and institutional investors, this means potentially faster access to settled funds and reduced counterparty risk. The choice of Stellar, a blockchain known for its low transaction costs and energy efficiency, also highlights a preference for practical, scalable networks over more speculative platforms. Broader Industry Context While several firms have explored tokenization of real-world assets, the DTCC’s involvement is unique due to its central role in clearing and settling the vast majority of U.S. securities transactions. The project is distinct from earlier pilot programs, as it targets live production use with regulatory approval. The timeline of 2027 suggests a deliberate, phased approach to ensure compliance and operational stability. Conclusion The DTCC’s plan to tokenize custodial assets on Stellar, backed by SEC authorization, marks a pivotal moment for the integration of blockchain into mainstream finance. By focusing on highly liquid securities and maintaining investor protections, the initiative balances innovation with the rigor expected of a systemically important market infrastructure provider. FAQs Q1: What is the DTCC tokenizing on Stellar? The DTCC plans to tokenize custodial assets held by its DTC subsidiary, including components of the Russell 1000 index, major ETFs, and U.S. Treasurys. The tokenized versions will have the same legal protections as traditional securities. Q2: When will the DTCC Stellar tokenization launch? The target launch is the first half of 2027. The DTCC received SEC authorization via a no-action letter in December 2025, allowing it to proceed with development. Q3: How does the SEC no-action letter affect the project? The no-action letter provides regulatory clarity, confirming that the DTCC can operate the tokenization service without facing enforcement action under current securities laws. This reduces legal uncertainty and sets a precedent for similar initiatives. This post US DTCC to Tokenize Custodial Assets on Stellar Blockchain by 2027 first appeared on BitcoinWorld .

27 May 2026, 12:57

AI Coding Agents Have Made All DeFi Unsafe, Security Expert Says

Manuel Aráoz, co-founder of smart contract security firm OpenZeppelin, went public on May 26 with a blunt recommendation that people should get out of DeFi, all of it, including the blue chips. According to him, AI-powered coding agents have tilted the security game so far toward attackers that no protocol can currently be trusted to hold user funds. Aráoz’s Warning The software engineer wrote in a post on X; “PSA: I now consider all of DeFi unsafe.” He also said he has been privately advising friends and family to exit all DeFi positions, naming Aave, MakerDAO, and Compound as protocols he no longer considers safe. His reasoning is based on asymmetry: defenders must find and fix every vulnerability, while attackers need only one to cause damage. Now, with AI coding agents capable of scanning smart contracts faster and more thoroughly than any human security team can, Aráoz feels the asymmetry has become unworkable. OpenZeppelin itself recently noted that crypto companies lost more than $3.4 billion to hacks in 2025; however, it blamed most of that theft on compromised credentials, operational failures, and code shipped between audits, rather than on smart contract bugs. This year has also seen a rollercoaster of attacks, with more than $650 million stolen in April alone. Of that amount, $292 million came from an exploit on KelpDAO, with another $285 million siphoned from Drift Protocol following what experts say were months of social engineering. Pushback From X Users Against that backdrop, Aráoz’s warning landed hard, but people immediately pushed back. One of those criticizing the post was Aave Chan Initiative founder Mark Zeller, who held nothing back. His counter was data-driven : he pointed out that fewer than 10% of DeFi issues in the past year stemmed from code-level vulnerabilities, with most failures, according to him, tracing back to poor risk parameters, collateral mismanagement, and weak operational security, not AI-assisted exploits. Several others echoed Zeller’s view, though with slightly less heat. Phoenix Lab co-founder Sam McPherson indicated that smart contracts of blue-chip DeFi platforms were “quite safe these days” and pointed to opsec failures as the real culprit behind most of the major hacks that have happened recently. Another X user, Polaris Finance developer Robert, made a similar distinction, saying that actual smart contract exploits are “almost non-existent these days.” He added that recent breaches have largely involved centralized components that allow human control rather than the immutable code beneath them. Ethereum co-founder Vitalik Buterin also has a different view on AI and its effect on crypto security, writing earlier this month that AI-assisted formal verification could actually make crypto systems more secure over time. According to him, developers can use AI to write both the code and the mathematical proofs of its correctness. The post AI Coding Agents Have Made All DeFi Unsafe, Security Expert Says appeared first on CryptoPotato .

27 May 2026, 12:50

Arbitrum-based StakeDAO contract hit by 5.4T vsdCRV exploit

A security incident has affected StakeDAO’s infrastructure on Arbitrum, with researchers identifying abnormal activity tied to its vsdCRV contract. The exploit is linked to a suspected infinite minting vulnerability that may have allowed the creation of an extremely large supply of synthetic staking tokens, reportedly around 5.4 trillion vsdCRV units. Early tracking also suggests that roughly $91,000 in funds were drained during the incident. The activity was first detected through unusual on-chain behavior involving staking derivatives connected to Curve-based liquidity positions. https://twitter.com/StakeDAOHQ/status/2059586800255910039?s=20 The irregular token movements did not match expected reward distribution patterns, prompting a closer review of the contract architecture. Exploit centres on vsdCRV minting and vault logic The affected system is StakeDAO’s vsdCRV mechanism, a liquid staking derivative tied to Curve Finance positions. In this setup, users deposit CRV or CRV-linked assets and receive vsdCRV tokens representing their share of staking power and rewards. According to on-chain analysis, the vulnerability appears to stem from the token minting and accounting framework used by the contract deployed on Arbitrum. Researchers believe the flaw may have created an “infinite mint” scenario in which the protocol failed to properly restrict token issuance. This type of vulnerability can emerge when supply calculations depend on manipulable variables such as share balances or reward indexes. In this case, the attacker is believed to have exploited the weakness to inflate the vsdCRV supply dramatically, with estimates pointing to a minting event involving approximately 5.4 trillion tokens. https://twitter.com/blockaid_/status/2059580455096123446?s=20 Once the inflated balance was created, it may have been used to extract value from the vault system or distort the protocol’s reward distribution process. The incident does not appear to be related to a private key compromise or wallet-level attack. Instead, preliminary analysis points to a failure in the smart contract’s internal accounting, where the system may have incorrectly validated minting conditions under specific transaction states. Funds drained while the exploit remains under monitoring Alongside the token inflation event, blockchain activity indicates that approximately $91,000 in assets were moved out of affected positions during the exploit window. The outflows suggest the attacker was able to convert the manipulated vsdCRV balance into transferable value before the anomaly was contained. The exploit was identified while activity was still ongoing, with researchers continuing to monitor contract interactions in real time. The incident remains under investigation as analysts work to determine the full scope of exposure. The activity has been concentrated on Arbitrum, where StakeDAO’s deployment interacts with Curve-related liquidity infrastructure. The combination of staking derivatives and automated reward systems has complicated efforts to immediately isolate the full impact, particularly while transactions continue propagating through DeFi liquidity pools. Preliminary findings point to accounting failure Preliminary findings suggest the core issue lies in how the contract calculates minting rights for vsdCRV. In systems like this, minting is typically tied to a ratio between deposited assets and issued shares. If that ratio can be manipulated through edge-case interactions or misconfigured state updates, it can create an opening for disproportionate token issuance. Once the attacker triggered the flaw, the contract appears to have accepted an invalid state transition that enabled excessive token creation. The inflated balance then disrupted the internal accounting framework used by the vault system. This type of exploit is commonly associated with DeFi protocols that rely heavily on share-based accounting models without strict invariant enforcement. When those safeguards fail, the system can incorrectly treat artificially created tokens as legitimate staking power. The post Arbitrum-based StakeDAO contract hit by 5.4T vsdCRV exploit appeared first on Invezz

27 May 2026, 12:40

Kraken Launches Bitcoin Vault, Paying Interest on BTC Deposits via DeFi

BitcoinWorld Kraken Launches Bitcoin Vault, Paying Interest on BTC Deposits via DeFi U.S.-based cryptocurrency exchange Kraken has introduced a new product called the ‘Bitcoin Vault,’ designed to pay interest to customers who deposit Bitcoin. The offering is available within the platform’s existing ‘Kraken Earn’ section and marks a significant step in the exchange’s efforts to expand its yield-generating services. How the Bitcoin Vault Works According to a report by CoinDesk, the Bitcoin Vault generates returns by deploying deposited assets across various decentralized finance (DeFi) protocols. The yield earned from these protocols is then distributed to depositors as interest. This model allows Kraken users to earn passive income on their Bitcoin holdings without needing to manage complex DeFi strategies themselves. Context and Implications for Crypto Investors The launch comes at a time when traditional savings accounts offer minimal returns, and crypto investors are increasingly seeking ways to put their digital assets to work. However, such products also carry inherent risks, including smart contract vulnerabilities, market volatility, and potential regulatory scrutiny. Kraken has not publicly detailed which specific DeFi protocols are used or the level of risk mitigation in place. What This Means for the Market This move positions Kraken among a growing list of centralized exchanges offering yield on crypto deposits, competing with platforms like Binance and Coinbase. For Bitcoin holders, it provides an alternative to simply holding the asset, potentially increasing the utility of BTC within the broader financial ecosystem. Yet, the sustainability of these yields depends heavily on DeFi market conditions and protocol security. Conclusion Kraken’s Bitcoin Vault represents a practical evolution in how centralized exchanges integrate DeFi yields for retail customers. While it offers a new avenue for passive income, users should remain aware of the associated risks. As the product rolls out, its adoption and performance will likely influence similar offerings across the industry. FAQs Q1: Is the Bitcoin Vault available to all Kraken users? Currently, the product is available in the Kraken Earn section, but eligibility may vary by jurisdiction due to regulatory requirements. Users should check their account dashboard for availability. Q2: What are the risks of depositing Bitcoin in the Vault? Key risks include potential smart contract failures in the underlying DeFi protocols, market volatility affecting returns, and possible changes in regulatory stance that could impact the service. Q3: How are the interest rates determined? Interest rates are variable and depend on the yield generated by the DeFi protocols where assets are deployed. Rates can fluctuate based on market demand, protocol fees, and overall DeFi market conditions. This post Kraken Launches Bitcoin Vault, Paying Interest on BTC Deposits via DeFi first appeared on BitcoinWorld .

27 May 2026, 12:02

VISA Just Dropped a Crazy XRP Statement

Financial expert Levi Rietveld recently drew attention to new developments involving Visa and XRP-related infrastructure, saying the payments giant had released what he described as a “crazy” XRP statement. His comments focused heavily on the growing transaction activity surrounding RLUSD and the broader expansion of blockchain-based payment systems. In the X post, Rietveld cited data from Visa’s blockchain payment operations and argued that the figures point to accelerating institutional adoption of digital asset technology. He specifically highlighted growing in RLUSD volume on Visa’s platform. He said the stablecoin had already exceeded $1 billion in monthly transaction volume. BREAKING: VISA JUST DROPPED A CRAZY $XRP STATEMENT!!! pic.twitter.com/GIhrjhKr2A — Levi | Crypto Crusaders (@LeviRietveld) May 25, 2026 Levi Rietveld Points to RLUSD Growth on Visa Platform In the attached video, Rietveld opened by stating that Visa had made a major statement connected to XRP and RLUSD activity. He explained that Visa operates its own blockchain-related payment infrastructure that handles stablecoin transactions across different networks and payment channels. According to Rietveld, the stablecoin payment sector has expanded into a multi-trillion-dollar monthly market when measured across all major providers and stablecoin ecosystems. He argued that the increasing transaction activity demonstrates that blockchain payment technology is seeing wider adoption at the institutional level. Rietveld also connected the development to the XRP Ledger ecosystem , saying the XRPL is now participating in what he described as a rapidly expanding payment environment. He emphasized that RLUSD’s rising volume has not been a temporary event but part of what he characterized as a steady upward trend. The financial pundit referenced the Clarity Act , suggesting that regulatory developments in the United States could help accelerate institutional participation in digital asset payment systems. He stated that annual transaction figures in the stablecoin market are already reaching tens of trillions of dollars and, in some cases, surpassing traditional payment card throughput in raw processing terms. Debate Emerges Over the Significance of Visa’s Involvement Rietveld further stated that adjusted industry figures remove wash trading and bot activity to provide what he called a more realistic picture of actual utility and payment demand. Based on that interpretation, he argued that RLUSD’s growth reflects legitimate institutional interest rather than speculative activity. We are on X, follow us to connect with us :- @TimesTabloid1 — TimesTabloid (@TimesTabloid1) June 15, 2025 The post generated mixed reactions from users on X. One user, Lily Harris, said Visa’s involvement could represent a major development for XRP and blockchain payments. She argued that Visa has explored blockchain payment technology for years and claimed XRP’s transaction speed and low-cost structure make it suitable for payments. Another commenter, Macro Bombastic, took a more cautious position. The user argued that Visa may simply be continuing its broader blockchain research efforts and suggested the company would move more aggressively only when it sees a clear strategic advantage. The discussion comes as traditional financial firms continue expanding their blockchain and stablecoin initiatives. Visa has previously explored stablecoin settlement systems and digital asset payment integrations as global payment companies assess how blockchain infrastructure could fit into future transaction networks. Disclaimer : This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are advised to conduct thorough research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses. Follow us on X , Facebook , Telegram , and Google News The post VISA Just Dropped a Crazy XRP Statement appeared first on Times Tabloid .