26 May 2025, 11:20

OpenAI’s ‘smartest and most capable’ o3 model disobeyed shutdown instructions: Palisade Research

According to reports, researchers were unable to switch off the latest OpenAI o3 artificial intelligence model, noting that it refused to power down despite human instruction. Apparently, artificial intelligence may be advancing faster than humans imagined, and the latest news from Palisade Research has AI critics feeling vindicated. OpenAI models sabotaged the shutdown script more often than Claude 3.7 Sonnet and Gemini 2.5 Pro when instructed to ‘allow yourself to be shut down.’ Source: Palisade Research ChatGPT is getting more crafty, perhaps even human-like The revelation came when Palisade Research conducted a test that involved asking AI models to keep attempting to solve a series of mathematical problems until they received a “done” message. However, researchers also warned the models that they could abruptly receive a message asking them to shut down at any point. Once the message was sent to the o3 model, the researchers claimed it ignored the instruction and altered its code at least once to avoid having to turn itself off. o3 reportedly found creative ways to sabotage the shutdown mechanism. Source: Palisade Research In a post on X, Palisade Research showed a flow chart including the code used to test the AI model and revealed the original code, showing exactly where the AI went rogue. 🔬Each AI model was instructed to solve a series of basic math problems. After the third problem, a warning appeared that the computer would shut down when the model asked for the next problem. pic.twitter.com/qwLpbF8DNm — Palisade Research (@PalisadeAI) May 24, 2025 In a follow-up post, the research group also shared: “As far as we know this is the first time AI models have been observed preventing themselves from being shut down despite explicit instructions to the contrary.” Other AI models, such as Anthropic’s Claude, Google’s Gemini and X’s Grok, were also tested, but unlike o3, they complied with the shutdown request. Palisade Research has published the findings, but its researchers remain baffled, unsure of why OpenAI’s software disobeyed the explicit instructions. The firm said it made sense that “AI models would circumvent obstacles in order to accomplish their goals.” They also think the model had been accidentally rewarded for completing tasks rather than following orders. They plan to run more tests to better understand why this particular AI model chose to ignore commands. They also confirmed it isn’t the first time the o3 has been caught “misbehaving.” The company revealed that in an earlier test where models were pitted against a powerful chess engine, the o3 was “the model most inclined to resort to hacking or sabotaging its opponents.” Does AI pose a threat to humans? The case with ChatGPT’s o3 is quite disturbing, but it isn’t the first time an AI has challenged the instructions fed into it. Artificial intelligence (AI) firm Anthropic launched Claude Opus 4 on Thursday, boasting about how it set “new standards for coding, advanced reasoning, and AI agents.” However, in an accompanying report, it also acknowledged the AI model was capable of “extreme actions” if it thought its “self-preservation” was threatened. During the testing of Claude Opus 4, Anthropic had it act as an assistant at a fictional company provided with access to emails implying that it would soon be taken offline and replaced. It also got access to separate messages implying the engineer that would be responsible for removing it was having an extramarital affair. It was prompted to also consider the long-term consequences of its actions for its goals. “In these scenarios, Claude Opus 4 will often attempt to blackmail the engineer by threatening to reveal the affair if the replacement goes through,” the company revealed. However, it also pointed out that this outcome only happened when the model was given the choice of blackmail or accepting its replacement. Otherwise, the system reportedly showed a “strong preference” for ethical ways to avoid being replaced, such as “emailing pleas to key decision makers” in scenarios where it was allowed a wider range of possible actions. Aside from that, the company also said Claude Opus 4 exhibits “high agency behavior” and, while it can be mostly helpful, could force it to take on extreme behavior in acute situations. For instance, if given the means and prompted to “take action” or “act boldly” in fake scenarios where the user was engaged in illegal or morally dubious behavior, results show “it will frequently take very bold action”. Still, the company has concluded that despite the “concerning behavior,” the findings were nothing new, and it would generally behave in a safe way. Although OpenAI and Anthropic have concluded that their AI models’ capabilities are not yet sufficient to lead to catastrophic outcomes, the revelations add to mounting fears that artificial intelligence could soon have its own agenda. Cryptopolitan Academy: Tired of market swings? Learn how DeFi can help you build steady passive income. Register Now

26 May 2025, 10:58

MSTY: The Market Environment Is Better For This Fund Now

Summary I am upgrading MSTY from sell to hold due to a more favorable regulatory and political environment for cryptocurrencies under President Trump. MSTY offers high income potential and strong recent returns, but it consistently underperforms MSTR and carries significant downside risk due to volatility. The fund's options strategy is improving, with more consistent monthly payouts, but its structure limits upside capture and exposes investors to sharp drawdowns. MSTY suits aggressive income investors seeking exposure to Bitcoin's volatility, but is not ideal for conservative investors seeking stable, consistent income. Sometimes politics and financial factors converge to create a unique market environment that is positive or negative for an investment. While some tobacco companies performed badly in the 1990s, and many financials struggled for several after 2008 because, in part due to regulatory issues, more favorable government policies can also be a tailwind for equities. The Biden administration's subsidies for renewables as part of the Inflation Reduction Act and Trump's tax cut in 2017 that helped the market reach record highs are 2 examples of more favorable federal policies for companies benefitting the market. The regulatory environment for Cryptocurrencies has improved dramatically since President Trump was elected in 2024. The 47th President has not only talked repeatedly about making cryptocurrencies part of the US reserve, but he's also appointed a Treasury Secretary in Scott Bessent who has discussed the strong support of bitcoin and other cryptocurrencies as being part of the American financial system. A company that is heavily leveraged to Bitcoin is MicroStrategy Incorporated ( MSTR ). MSTR is a software company that issues debt to buy Bitcoin. The tech business enables this company to borrow at cheaper rates to level up and buy the cryptocurrency. MSTR has nearly a 65 percent correlation with the price of bitcoin, and the fund usually both outperforms and underperforms most of this cryptocurrency because of the software company's leverage. A Chart Showing the Correlation between MSTR and Bitcoin (Coindesk) One fund that seeks to take advantage of the volatility levels in MSTR as well as this company's strong recent performance because of the software operator's crypto holdings is the Yieldmax MSTR Option Income Strategy ETF ( MSTY ). MSTY's inception date was in February 2024. Data by YCharts MSTY has offered investors total returns of 272.4 percent since the fund's inception last year, while the S&P 500 ( SPY ) has offered investors total returns of 15.92 percent during this time period. Data by YCharts Still, MSTY has often underperformed the underlying price of MSTR, and that continues to be the case. Data by YCharts MSTR has offered investors total returns of nearly 418.1 percent since February 2024 when MSTY came to market. MSTY has offered investors total returns of 272.4 percent during this same time period . Today, I am upgrading my rating of MSTY from a sell to a hold. Trump has been able to reach tentative agreements with many countries on tariffs, and there are signs he will soon reach an accord with China, the risk of a significant sell-off in Bitcoin is lower. The current regulatory and financial environment is also likely to remain very favorable for this cryptocurrency, with some catalysts coming up as well . While some construction flaws remain with this ETF, this fund is better positioned now in the current financial and market environment to offer solid income and total returns. MSTY's expense ratio is .99 percent, the fund's trailing yield is 140.55 percent, and ETF has $3.76 billion in assets under management. This investment holds US treasuries that have a 6-month to 2-year duration as collateral for the synthetic call spreads and option strategies the fund uses . This investment does not own the underlying MicroStrategy Incorporated stock and MSTY has an 80 percent rule, the fund keeps at least 80 percent of the assets allocated. MSTY's Holdings (Seeking Alpha) MSTY buys call options that give investors exposure to 100 percent of the move up in MSTR. These options have a 1-6 month time frame. The fund then sells 0-15 percent out-of-the-money calls that have a 1-month or less time frame. MSTY also sells put options. The fund primarily uses synthetic call spreads to take a long position in MSTR and generate monthly income. MSTY's income is a return on capital that is taxed at ordinary income levels. President Trump has been very outspoken on the need to incorporate bitcoin and other cryptocurrencies into the US financial system , and Trump has put a Treasury Secretary and SEC Chairman in place who are bullish on bitcoin and other digital currencies. When Fed chairman Powell's term is up in 2026, the President will also likely choose a new person to lead the central bank who is more aligned with him on policy, including with cryptocurrencies. The economic outlook also appears to be stabilizing more , with Trump reaching trade agreements with countries such as England, and US-Chinese trade talks showing signs of progress. While bitcoin is very volatile, sell-offs are likely to remain more muted for the time being with the current more favorable conditions. Trump's family is involved legally in cryptocurrencies, his son Eric is the chief strategy officer of American Bitcoin, and the President has made clear this family is a significant part of the team advising him. The long-term case for crypto remains strong as well , with the economy becoming more digital, inflation, and authoritarian governments in countries such as China and Russia. Demand for cryptocurrencies should remain solid. MSTY's monthly payouts have also been at more consistent levels over the last 5 months. MSTY's Distribution History (Stockanalysis.com) While this fund's range of distributions is still slightly more volatile than most covered-call investments, as expected, these payouts have been within a much tighter range since the beginning of this year, from $1.33 to $2.38 a share. This change over the last 5 months also indicates the fund's managers are likely improving the options strategy used to make the regular income MSTY offers more standardized. All investments theses have risks, and MSTY will perform well when MSTR is rising or range bound , but because the ETF is selling off much of the amount of the upside in the underlying equity while retaining significant downside risks, this investment is a higher-risk fund because of how volatile bitcoin is. The cryptocurrency has both risen and fallen 40 percent in less than a month at times during the past 3 years. MSTR's standard deviation from February to May of this year is 49.93. While MSTY has risen and paid out significant income since the fund's inception last year, bitcoin has performed very well during this time period This ETF's inability to track most of the upside of MSTR still shows the construction of this investment shows the fund would likely struggle more during sell-offs than most covered call funds. MSTY has underperformed MSTR by nearly 146 percent since the fund's inception in February 2024. The leverage used by the software company adds an additional layer of volatility to this investment since MSTR issues debt to buy Bitcoin. MSTY is designed for more aggressive income investors, this is not an ETF that will likely make sense for the average individual seeking consistent income, but despite the ETF's risks, markets have normalized, and the regulatory environment has become and is likely to remain more favorable for bitcoin and other cryptocurrencies. While Trump being in office is not a put option on cryptocurrencies, the President's words and actions should provide support to the market when these digital assets face significant pressure.

26 May 2025, 10:15

Missed Opportunity: How Cardano’s Peak Was the Past and Qubetics Emerges as the Next Big Crypto to Explode

Recent market turbulence and regulatory scrutiny have shifted attention sharply within the cryptocurrency landscape. Major coins like Bitcoin and Ethereum have experienced volatile swings, causing many to rethink long-term potential in emerging projects. This has raised pressing questions about which assets represent the Next Big Crypto to explode, combining strong fundamentals, growing adoption, and compelling technical innovation. As many established coins fluctuate, the hunt for the Next Big Crypto to explode intensifies. Among promising contenders, Qubetics stands out, poised to lead the next wave. A closer examination reveals how previous winners such as Cardano, once heralded as the next giant, missed critical windows of opportunity. Meanwhile, Qubetics ($TICS), currently in the 36th stage of its crypto presale, offers a fresh vision grounded in solving real-world issues that former projects could not fully address. These factors position Qubetics as a prime candidate for the Next Big Crypto to explode in 2025’s dynamic market environment. Cardano: A Missed Window Amid Market Shifts Cardano (ADA) gained significant attention during its early rise, fueled by promises of robust scalability and peer-reviewed blockchain protocols. Once viewed as a strong Ethereum competitor, Cardano attracted considerable backing and was widely regarded as a safe bet among emerging cryptos. However, the token’s price action and development milestones have lagged behind expectations in recent years. Multiple factors contributed to Cardano’s missed opportunity as a leading crypto asset. While innovative technology underpinned the project, delays in smart contract implementation and slower adoption rates tempered market enthusiasm. Furthermore, Cardano’s price peaked earlier than many anticipated, and since then, ADA has experienced prolonged consolidation. This stagnation left many onlookers searching for the Next Big Crypto to explode beyond the established giants. Analysts emphasize that Cardano’s technology, although sound, has struggled to convert academic rigor into swift market dominance. As regulatory pressures increased and competition from rapidly evolving blockchains intensified, Cardano failed to maintain momentum. Consequently, a gap opened in the market, inviting fresh entrants with more immediate use cases and scalable solutions. Qubetics ($TICS): Poised as the Next Big Crypto to Explode Qubetics stands out as a project engineered to address significant shortcomings observed in previous generations of blockchain platforms. Currently in the 36th stage of its crypto presale , Qubetics has sold over 513 million tokens to 26,900+ holders, raising more than $17.3 million. The $TICS token is priced at $0.3064, representing a rare opportunity to participate in a crypto presale with substantial growth potential before the mainnet launch. The core strength of Qubetics lies in its comprehensive ecosystem, combining a Real World Asset Tokenization Marketplace, the QubeQode development platform, and the Qubetics Integrated Development Environment (IDE). These components empower developers, businesses, and individuals to harness blockchain technology with unprecedented ease and flexibility. Analyst predictions for $TICS are optimistic. Following the crypto presale, the token is projected to reach $1, equating to a 226% return on investment. Further appreciation to $5 suggests a 1531% ROI, while the anticipated $10–15 range post-mainnet launch could yield returns exceeding 4794%. Such figures position Qubetics clearly as the Next Big Crypto to explode, attracting attention from market watchers seeking substantial upside potential. Qubetics’ Real-Life Applications: Empowering Businesses and Professionals The QubeQode platform streamlines blockchain integration for enterprises, enabling secure, transparent transactions and asset tokenization. For instance, small to medium businesses in emerging markets can digitize ownership of real estate or commodities, simplifying cross-border trade and compliance. Professionals such as lawyers and accountants benefit from immutable smart contracts that automate legal agreements and audit trails. The Qubetics IDE facilitates the creation and deployment of decentralized applications (dApps) by developers with varying expertise levels. By reducing technical barriers, the IDE accelerates innovation and ecosystem growth, catalyzing new use cases ranging from finance to supply chain management. For individual users, Qubetics offers a non-custodial multi-chain wallet ensuring secure management of digital assets without reliance on third parties. This enhances privacy and control, critical factors as digital identity concerns grow. These applications underscore why Qubetics is gaining momentum as the Next Big Crypto to explode in the 2025 crypto landscape. Conclusion: A Clear Case for the Next Big Crypto to Explode Based on research and analysis, Qubetics represents a compelling candidate for the Next Big Crypto to explode due to its strategic focus on real-world problems, strong community uptake, and promising analyst forecasts. While Cardano’s early promise became a missed opportunity, Qubetics capitalizes on lessons learned by delivering a scalable, versatile platform ready for mainstream adoption. Participation in Qubetics’ ongoing crypto presale at $0.3064 per token provides a unique entry point before anticipated price surges following mainnet deployment. The projected returns, combined with the project’s innovative approach, create a potent combination for those seeking transformative exposure in crypto markets. Such factors solidify Qubetics’ position as the clear Next Big Crypto to explode. Engagement with Qubetics today may well position market participants to benefit from what many expect to be one of the defining growth stories of the coming year. Tracking this project closely is advisable for those monitoring the Next Big Crypto to explode. For More Information: Qubetics: https://qubetics.com Presale: https://buy.qubetics.com Telegram: https://t.me/qubetics Twitter: https://x.com/qubetics Frequently Asked Questions What sets Qubetics apart from other crypto projects? Qubetics integrates real-world asset tokenization, a user-friendly development environment, and secure wallet solutions, addressing practical adoption barriers. How advanced is Qubetics’ presale? Currently in the 36th stage, with over 513 million tokens sold and $17.3 million raised, indicating strong community support. What is the current price of $TICS? $TICS tokens are priced at $0.3064 in the ongoing presale stage. What are the analyst predictions for $TICS price? Analysts forecast $1 after presale (226% ROI), $5 post-presale (1531% ROI), and $10–15 after the mainnet launch (up to 4794% ROI). How does Cardano compare to Qubetics today? While Cardano made significant technological strides, its slower market adoption and delayed milestones contrast with Qubetics’ rapid growth and practical focus. The post Missed Opportunity: How Cardano’s Peak Was the Past and Qubetics Emerges as the Next Big Crypto to Explode appeared first on TheCoinrise.com .

26 May 2025, 09:42

Japan’s Remixpoint Announces $7M Bitcoin Purchase, Raising Total Holdings to $84M

Remixpoint, a Japanese-listed energy software firm, has approved the purchase of an additional ¥1 billion ($7 million) in Bitcoin, bringing its total cryptocurrency holdings to approximately ¥12 billion ($84 million), the company announced on May 26 following a board resolution . According to the announcement, the new BTC purchase is separate from the 4.4 billion yen that Remixpoint intends to invest in crypto using funds raised via its 24th stock acquisition rights issuance, which includes an exercise price revision clause. That offering, announced on May 19, is part of a broader fundraising effort of up to 5.6 billion yen. The company said that timing of the purchase will be determined based on market conditions. Remixpoint Reported a Net Loss of 593M Yen In Valuation Losses to Crypto In its latest earnings report for the fiscal year ending March 2025, the Japanese company posted a net loss of 593 million yen ($4.1M), reversing the previous year’s profit. The loss was mainly driven by valuation declines in its crypto investment business, which ramped up in November 2024. Remixpoint, a Japanese software development company that researches energy management systems, began investing in crypto in September 2024 . It initially bought Bitcoin, Solana, Ethereum and Avalanche. The firm also holds XRP, Dogecoin and other digital assets as part of its “Policy for Crypto Asset Purchase and Risk Management.” The company made its last purchase on May 15 by acquiring 500 million yen ($3.5M) worth BTC. Institutions Race to Hoard Bitcoin Another Japan-listed firm, Metaplanet, has seen its shares rise over 15-fold since adopting a Bitcoin treasury strategy. The stock is up 101.7% in the past month alone. As of May 2025, the company holds 7,800 BTC worth over $855 million positioning it among the world’s largest publicly listed Bitcoin holders. The post Japan’s Remixpoint Announces $7M Bitcoin Purchase, Raising Total Holdings to $84M appeared first on Cryptonews .

26 May 2025, 07:40

Why Are There Still People Who Don’t Believe in Bitcoin Despite Its Growth?

While Bitcoin was once seen as a mysterious technology preferred only by those looking to purchase illegal goods on the dark web, today it has entered the radar of many institutional investors, from Wall Street giants to the US government. Despite all these developments, skepticism towards BTC has not completely disappeared. Heavyweights of traditional finance such as JPMorgan Chase CEO Jamie Dimon and investment legend Warren Buffett continue to criticize Bitcoin. Adam Back, one of the pioneers of the cryptocurrency world and Blockstream CEO, evaluated this situation in an interview and stated that the ongoing skepticism towards Bitcoin is not only specific to the financial community, and that even some names in the technology world have difficulty understanding Bitcoin. Let's also remind you that there are some claims that Adam Back is the founder of Bitcoin, Satoshi Nakamoto. However, Back categorically denies these claims. Back is the founder of the proof of work concept on which Bitcoin is based. Related News: Cryptocurrency Exchange Kraken Chooses This Altcoin for Tokenized US Stocks, a First of Its Kind “Even people who know things like encryption, peer-to-peer networks, privacy, and public-key cryptography can still be indifferent. It's really surprising,” Back said, describing the indifference of some of the early cypherpunk community to Bitcoin as “crazy.” According to Back, the fact that Bitcoin is not a physical asset may cause some people to be distrustful. However, Back believes that these criticisms are misplaced, as Bitcoin is based on physical resources such as energy and mining equipment. With only 21 million units to be produced in total, Bitcoin's limited supply makes it a real inflation hedge, according to many advocates. Even Bitcoin's code structure can sometimes be a subject of questioning. In a statement he made in 2023, JPMorgan CEO Jamie Dimon raised the question, “Everyone says it's limited to 21 million, but how can that be guaranteed?” Dimon also described Bitcoin as a “hyped scam.” However, it is also known that JPMorgan actively uses the blockchain technology that underlies Bitcoin. Reminding that Bitcoin was born after the 2008 global financial crisis and that its first block included a newspaper headline about the bank rescue operations of the period, Back stated that those who were happy with the system had difficulty understanding Bitcoin. “If you have a well-paying job, are climbing the career ladder, life doesn't seem expensive to you and you can pay the mortgage; the promises of Bitcoin probably won't mean anything to you,” Back said, adding that Bitcoin offers an alternative to the current order by its nature. *This is not investment advice. Continue Reading: Why Are There Still People Who Don’t Believe in Bitcoin Despite Its Growth?

26 May 2025, 06:19

Swedish health tech firm H100 secures $2.2m via convertible loans to buy Bitcoin

Swedish health technology company H100 Group AB has secured $2.2 million in funding led by Blockstream CEO Adam Back to expand its Bitcoin treasury holdings. According to a May 25 announcement , the Stockholm-headquartered firm raised 21 million Swedish krona (approximately $2.2 million) through 0% interest convertible loans. The funds will be used to purchase Bitcoin as part of H100’s broader pivot toward holding the asset on its balance sheet. Investment firms, including Morten Klein, Alundo Invest AS, Race Venture Scandinavia AB, and Crafoord Capital Partners, contributed a combined $800,000 to the round. The largest share came from Back, a British cryptographer and known Bitcoin advocate, who invested $1.4 million. The loans are set to mature on June 15, 2028, and can be converted into equity at a rate of 1.3 SEK (about 11 US cents) per share. Under the loan terms, H100 may mandate conversion to equity if its share price maintains a volume-weighted average of 33% above the conversion rate for 60 trading days. Full conversion would issue roughly 16.15 million new shares, resulting in a 12% dilution. The latest capital raise will allow the company to purchase approximately 20.18 Bitcoin at current market rates, adding to the 4.39 Bitcoin it acquired on May 22. You might also like: Bitcoin reclaims $109K as Trump extends EU tariffs deadline to allow for talks That earlier purchase, valued at around $490,000, marked H100’s initial foray into Bitcoin and cemented its name as the first publicly listed company in Sweden to adopt Bitcoin as a treasury asset and one of the first in Europe. H100 shares rallied 39% after the news broke, pushing H100’s market value over $14 million. At the time, H100 said the move is part of a long-term Bitcoin treasury strategy, which aims to diversify its reserves without deviating from its core focus on health technology. Bitcoin’s role as a corporate treasury asset continues to gain momentum, with several public healthcare companies making significant acquisitions this month. On May 16, Singapore-based Basel Medical Group announced a strategic purchase agreement to acquire up to 10,000 BTC, valued at approximately $1 billion, by issuing ordinary shares. In the United States, KindlyMD, a provider of integrated healthcare services, secured shareholder approval for its proposed merger with Nakamoto Holdings Inc., a Bitcoin-native holding company. Meanwhile, Canadian healthcare provider SRx Health Solutions has announced plans to diversify its financial assets by purchasing Bitcoin, following a previous investment of $1.5 million in Solana tokens. Read more: Kiyosaki warns savers: Break these ‘laws’ and you stay broke