hodler

9 May 2026, 22:12

Cloudflare lays off 20% of staff as AI tools replace workers

Cloudflare just cut ~20% of its workforce. About 1,100 positions gone. This is because AI tools made those roles unnecessary, CEO Matthew Prince said. This happened during the company’s strongest quarter on record, with revenue hitting $639.8 million. Prince called it a first in the company’s 16 year history. “We’ve never done something like this in Cloudflare’s history.” CFO Thomas Seifert said the cuts hit every team and geography. Only salespeople with quotas got a pass. Prince and co-founder Michelle Zatlyn wrote that the move wasn’t about cutting costs or judging performance. To them, it’s about defining how a world-class company operates in what they call “the agentic AI era.” Cloudflare’s revenue climbs while margins shrink Cloudflare’s quarterly revenue jumped 34% year over year (YoY). But the net loss widened to $62 million, up from $53.2 million a year earlier. Adjusted gross margins dropped to 72.8%, a record low. Last year, they sat at 77.1%. Cloudflare also reported +$2.5 billion in remaining performance obligations. That’s revenue under contract but not yet delivered. The figure grew 34% year over year (YoY). Cloudflare’s stock drops by 15% on slower growth forecast Despite the strong Q1, Cloudflare’s stock (NYSE: NET) fell more than 15% in premarket trading on Friday. The problem was guidance. The company projected Q2 revenue growth of about 30%, slower than the 33.5% it just posted. Analysts said expectations had run high after a 43% rally in the stock since February. Still, about four brokerages raised their price targets after the report. The median target now sits at $243, per Reuters . Cloudflare’s internal AI usage surges 600% Prince said Cloudflare’s internal AI usage grew +600% in the prior three months. Teams started reporting productivity gains of “two, 10, even 100 times” previous levels. Almost all of the R&D team now codes using Cloudflare’s own Workers platform, including a feature the company calls “vibe coding.” Every line of code deployed through that pipeline gets reviewed by autonomous AI agents, Prince said. Highly productive employees now need fewer support staff. “A lot of the support people that provide support behind them, those roles aren’t going to be the roles that drive companies going forward,” said Prince. When an analyst asked why such deep cuts were needed after a strong quarter, Prince responded, “Just because you’re fit doesn’t mean you can’t get fitter.” Cloudflare joins Meta, Microsoft, Amazon , and Jack Dorsey’s Block in pairing workforce reductions with AI-driven productivity claims. But some tech executives, including OpenAI CEO Sam Altman, have cautioned that companies may be using AI as a rationale for layoffs they would have pursued anyway. He said , “I don’t know what the exact percentage is, but there’s some AI washing where people are blaming AI for layoffs that they would otherwise do, and then there’s some real displacement by AI of different kinds of jobs.” Prince said Cloudflare ended Q1 with ~5,500 employees before the cuts. He predicted the company would have more employees in 2027 than at any point in 2026. Your bank is using your money. You’re getting the scraps. Watch our free video on becoming your own bank

9 May 2026, 22:00

Linux kernel flaws put crypto exchanges, validators, and custody systems on alert

Security researchers are currently reacting to two Linux kernel vulnerabilities, which are forcing crypto infrastructure operators into urgent security reviews. On April 29, researchers publicly disclosed a critical local privilege escalation flaw dubbed CVE-2026-31431 or “Copy Fail” in the Linux kernel’s crypto API. Copy Fail reportedly affects every distribution made from 2017. Copy Fail was confirmed active and immediately added to the U.S. Cybersecurity and Infrastructure Security Agency’s Known Exploited Vulnerabilities catalog on May 1. Less than two weeks later, even before many organizations completed mitigation work for Copy Fail, another Linux privilege escalation chain called “Dirty Frag” hit the wild. Dirty Frag was publicly disclosed on May 7. It reportedly combines CVE-2026-43284 and CVE-2026-43500 to obtain root privileges through Linux kernel memory-management flaws. Researchers report that Dirty Frag can manipulate memory allocation patterns to overwrite privileged kernel objects and eventually gain root-level execution. Unlike Copy Fail, Dirty Frag had no available patches at the time of disclosure. Why crypto firms are particularly exposed to the Linux vulnerabilities The crypto space is exposed to the Copy Fail and Dirty Frag vulnerabilities, as most core crypto infrastructure runs on Linux. Crypto exchanges use Linux servers to manage wallets and execute trades. Some of the cn-chain validators on PoS blockchains, like Ethereum and Solana, usually operate on Linux-based environments. The same goes for crypto custodians. Due to this, researchers view Copy Fail and Dirty Frag as a risk to crypto platforms. Copy Fail already has patches available. However, deploying kernel updates across live crypto infrastructure is rarely simple. Dirty Frag presents the biggest risk, given that there are currently no official patches to deploy. At the time of writing, no major crypto exchange or custody provider has publicly disclosed a breach tied to either vulnerability. Both Copy Fail and Dirty Frag are currently featured on the latest alert list of the Canadian Cyber Centre. In one of the reports, the Cyber Center recommends that organizations concerned should disable vulnerable kernel modules until vendor patches are available. It also recommended restricting local and remote access to affected systems, particularly in shared or multi-tenant environments. “Monitor authentication, system, and kernel logs for signs of privilege escalation or abnormal activity,” the Cyber Center adds, among other safety measures. Your bank is using your money. You’re getting the scraps. Watch our free video on becoming your own bank

9 May 2026, 21:30

Swiss Bitcoin Reserve Effort Withdrawn After Resistance From Central Bank

Campaign founder Yves Bennaim isn’t giving up. Even after his group failed to gather enough signatures to force a Swiss national referendum on Bitcoin reserves, Bennaim said another push could follow. Related Reading: Bitcoin Supply Shock: 100,000 BTC Vanish From Exchanges In Under 90 Days The Swiss direct democracy system requires campaigns to hit a signature threshold within 18 months — his team didn’t make it. A Bold Proposal That Didn’t Get Off The Ground The initiative would have required the Swiss National Bank to hold Bitcoin alongside gold and foreign currencies. Supporters argued that adding Bitcoin to the SNB’s reserves would reduce dependence on the US dollar and the euro. Bennaim drew a parallel to Switzerland’s long-standing tradition of neutrality, framing Bitcoin as an independent alternative to the dominant global currencies. He also pushed back against claims that Bitcoin lacks liquidity, pointing to the billions of dollars moving through international crypto exchanges every day. LATEST: 🇨🇭 Swiss crypto advocates are abandoning their bid to force the Swiss National Bank to hold Bitcoin, falling short of the 100,000 signatures needed for a constitutional referendum. pic.twitter.com/q95Eio5uCq — CoinMarketCap (@CoinMarketCap) May 8, 2026 But the SNB wasn’t persuaded. The bank has remained cautious, and European Central Bank policymakers have made their position clear — reserve assets must be liquid, secure, and stable. Bitcoin’s price record hasn’t helped its case. The cryptocurrency has dropped roughly 7% so far this year, following a record $126k ATH in October 2025. Europe Still Divided On Crypto In Central Bank Reserves Based on reports from Reuters, the failed Swiss campaign reflects a wider disagreement across Europe. Policymakers have not reached any consensus on whether digital assets belong in central bank reserve strategies. That debate has sharpened as crypto has become harder to ignore in global finance. Some institutions have been testing blockchain-based systems. Others remain focused on concerns about price swings, safety, and the ability to sell large holdings quickly without moving markets. Bennaim’s team framed the campaign as more than just a Bitcoin bid. They wanted Swiss officials to seriously assess the technologies reshaping the financial sector. A future initiative, they said, remains possible. AMINA is now the first regulated bank to support custody and trading for Canton Coin. For institutional, corporate, and professional investors, digital assets are increasingly about infrastructure, scale, and execution discipline, not experimentation. @CantonNetwork… pic.twitter.com/04b9Urx1Er — AMINA Bank (@AMINABankGlobal) May 6, 2026 Swiss Financial Firms Push Ahead With Blockchain The campaign’s collapse hasn’t slowed the broader Swiss financial industry. AMINA Bank recently became the first institution registered with Swiss financial regulator FINMA to offer custody and trading services for Canton Coin. Related Reading: XRP Market Now Controlled By Whales? Dominance Reaches 91% On Binance Through the move, institutional clients gain access to the Canton Network, a platform built for tokenization, collateral management, and settlement. Goldman Sachs, Visa, Citadel, and the Depository Trust & Clearing Corporation are among the organizations backing the network. Featured image from Unsplash, chart from TradingView

9 May 2026, 17:55

Goldman Sachs Revises Yuan Forecast Higher on China Export Momentum

BitcoinWorld Goldman Sachs Revises Yuan Forecast Higher on China Export Momentum Goldman Sachs has revised its forecasts for the Chinese yuan upward, citing sustained strength in China’s export sector as a primary driver. The adjustment reflects a reassessment of the currency’s trajectory amid robust trade performance and a widening surplus. Revised Forecast Details The investment bank now expects the yuan to trade stronger against the U.S. dollar over the coming months, a shift from earlier projections that anticipated greater depreciation pressure. Analysts at Goldman Sachs pointed to China’s resilient export data, which has consistently exceeded expectations, as a key factor underpinning the revised outlook. The trade surplus, bolstered by strong global demand for Chinese manufactured goods, has provided a steady flow of foreign currency inflows, supporting the yuan. Context and Implications This forecast revision comes at a time when many global currency markets are navigating a complex landscape of divergent central bank policies and geopolitical uncertainties. The yuan’s performance is particularly significant given its role in international trade and its increasing inclusion in global reserve baskets. A stronger yuan can have mixed effects: it lowers import costs for Chinese businesses and consumers, potentially curbing inflationary pressures, but it may also make Chinese exports marginally more expensive on global markets. What This Means for Investors and Businesses For multinational corporations with exposure to China, the revised forecast signals a need to reassess currency hedging strategies. Importers may benefit from improved purchasing power, while exporters could face tighter margins. For financial markets, a firmer yuan often correlates with increased investor confidence in China’s economic stability and policy direction. The revision also highlights the divergence between China’s current account strength and the broader economic challenges it faces, including a struggling property sector and subdued domestic demand. Conclusion Goldman Sachs’ updated yuan forecast underscores the outsized influence of China’s export engine on its currency valuation. While domestic headwinds persist, the trade surplus continues to provide a powerful buffer, shaping a more optimistic near-term outlook for the renminbi. Market participants will closely watch upcoming trade data and policy signals from Beijing for further direction. FAQs Q1: Why did Goldman Sachs raise its yuan forecast? Goldman Sachs raised its forecast primarily due to stronger-than-expected Chinese export performance and a widening trade surplus, which have increased foreign currency inflows and supported the yuan’s value. Q2: How does a stronger yuan affect the Chinese economy? A stronger yuan reduces import costs, which can help control inflation, but it may also make Chinese exports more expensive, potentially reducing their competitiveness in global markets. Q3: What is the current outlook for the yuan against the U.S. dollar? According to Goldman Sachs’ revised forecast, the yuan is expected to trade stronger against the U.S. dollar in the near term, driven by export strength, though broader economic factors and policy decisions will continue to influence its trajectory. This post Goldman Sachs Revises Yuan Forecast Higher on China Export Momentum first appeared on BitcoinWorld .

9 May 2026, 16:43

Kraken Parent Payward Targets OCC Charter to Unlock Institutional Digital Asset Custody

Payward, the parent company of Kraken, has filed an application with the Office of the Comptroller of the Currency for a national trust company charter aimed at expanding federally regulated custody services for digital assets. Kraken’s Parent Files OCC Trust Charter Application to Serve U.S. Institutional Clients If approved by the OCC, the new entity

9 May 2026, 16:05

Bitcoin reserve campaign in Switzerland falls 50 percent short

🪙 Switzerland’s $BTC reserve campaign ended with only 50,000 signatures. Campaigners aimed to mandate bitcoin and gold in SNB reserves. Continue Reading: Bitcoin reserve campaign in Switzerland falls 50 percent short The post Bitcoin reserve campaign in Switzerland falls 50 percent short appeared first on COINTURK NEWS .