As sUSD continues to trade below its intended $1 peg, Synthetix founder Kain Warwick has urged stakers to step up and help restore stability before more stringent measures are implemented. The depeg has stretched on for weeks, triggered by recent…

Synthetix founder urges stakers to act as sUSD depeg persists

A little-known VOXEL trading pair on cryptocurrency exchange Bitget suddenly 
clocked over $12 billion in volume on April 20, dwarfing the metrics of the 
same contract on Binance.
The activity centered on VOXEL/USDT perpetual futures, where traders reported 
instant order fills &#8212; an anomaly many described as a bug that allowed savvy 
traders to rack up outsized profits by exploiting unusual price behavior.
The atypical metrics drew Bitget&#8217;s attention. In the fallout of its early 
investigation, the exchange suspended accounts suspected of market 
manipulation and rolled back irregular trades that occurred throughout the 
day. Traders who copped losses during that period were offered compensation.
Bitget&#8217;s response and remediation plan may have prevented lasting investor 
damage, but the episode is the latest in a series of cases that raise 
questions about how exchanges handle market makers, internal systems and user 
safeguards. While Bitget promotes an open API and regularly touts its global 
market maker program, it has yet to disclose who was behind the April 20 
activity or what technical factors led to it.
The lack of incident-level detail has fueled speculations comparable to 
similar breakdowns on Binance &#8212; the world&#8217;s largest exchange by trading 
volume &#8212; that included the sudden price crashes of cryptocurrencies GoPlus 
(GPS) and MyShell (SHELL) in March. Binance kicked out an unnamed market maker 
it found responsible for manipulation, but the lack of disclosure added fuel 
to the crypto industry&#8217;s infamous rumor mongering. 
_Bitget &#8216;s VOXEL/USDT perpetual futures volume exceeded that of all other top 
10 markets combined on April 20. Source: __Th anh Crypto_
## Traders VOXEL market maker bug, Bitget disagrees
Crypto market participants pointed to rapid price fluctuations and what 
multiple Mandarin-language X accounts described as a bug in a &#8220;market maker&#8221; 
bot as the cause of VOXEL&#8217;s excessive volume.
Traders claimed that VOXEL&#8217;s price flickered between several ranges, such as 
$0.125 and $0.138. Orders placed between those bands filled instantly due to 
the suspected bug, X user Dylan said, sharing screenshots and videos of 
profitable accounts. Perpetual futures contracts are typically matched through 
an order book, with each trade requiring a counterparty. But in this case, 
trades appeared to execute automatically and without delay.
_A machine-translated post shares how one trader profits hundreds of thousands 
of dollars with just $100 USDT in starting capital. Source:__0xDy_eth_
Traders who spotted the suspected bug early used high-leverage bets to boost 
their profits, X user Qingshui said, calling the strategy a &#8220;zero-cost 
exploit.&#8221; Like Dylan, Qingshui attributed the issue to a market maker bot 
misfiring and questioned why traders were blocked from accessing profits if 
the problem originated from Bitget&#8217;s side.
_**Related:**__**How Mantra &#8216;s OM token collapsed in 24 hours of chaos**_
A third user, Hebi555, pointed the finger at Bitget&#8217;s market-making team for 
its poor performance. Xie Jiayin, Bitget&#8217;s head of Asia, clapped back, stating 
that the exchange works with over 1,000 market makers and institutional 
clients. He added that Bitget&#8217;s API is open to the public and emphasized that 
specific market maker identities could not be disclosed due to confidentiality 
agreements.
In an April 20 response to Cointelegraph, Bitget CEO Gracy Chen said that 
suspicious trades were between individual market participants, not the 
platform. Replying to Cointelegraph&#8217;s follow-up inquiry on April 21, Chen 
neither confirmed nor denied whether a market maker bot was involved, only 
reiterating that the trading was &#8220;between users.&#8221;
&#8220;We are conducting a thorough review, and once the rollback is completed, 
trading and account restrictions will be lifted as appropriate. Bitget&#8217;s 
security infrastructure is designed to catch irregularities like this in real 
time &#8212; as it did in this case,&#8221; Chen said.
## Bitget&#8217;s VOXEL anomaly adds to crypto&#8217;s market manipulation mystery
Concerns over market manipulation in the cryptocurrency industry have been 
intensifying. In early March, the prices of two tokens, GPS and SHELL, crashed 
in tandem with their Binance listings.
The exchange&#8217;s investigation found that the two tokens employed the same 
unnamed market maker. Binance banished the dubious trading firm from its 
platform and confiscated its proceeds to help fund compensation efforts for 
GPS and SHELL traders. Without a suspect to blame, social media users began 
pointing fingers at several market makers and trading firms. Those named 
denied any involvement.
_GSR was among the most frequently accused firms, but denied being the market 
maker removed by Binance. Source:__GSR_
Binance then kicked out another unnamed market maker, this time for trading 
activities related to the Movement (MOVE) token. The MOVE token&#8217;s market maker 
on Binance was found to have associations with the market maker for GPS and 
SHELL.
_**Related:**__**Market maker deals are quietly killing crypto projects**_
A recent Cointelegraph report found that market makers are employing a loan- 
based model that is killing off small- and medium-cap projects. The loan model 
gives market makers access to a project&#8217;s tokens in exchange for liquidity 
provision. But instead, what often happens is that market makers dump the 
loaned tokens on the open market just to buy them back at a cheaper price, 
leaving the projects with damaged price charts.
## VOXEL was on Bitget, but exploits aren&#8217;t limited to CEXs
Both Bitget and Binance&#8217;s cases show that even the largest centralized 
exchanges (CEXs) aren&#8217;t immune to market manipulation or traders exploiting 
platforms for profits.
But a recent case on decentralized exchange (DEX) Hyperliquid shows the issue 
isn&#8217;t confined to CEXs. In late March, a whale allegedly exploited the 
liquidation parameters on Hyperliquid, resulting in the delisting of the 
platform&#8217;s JELLY perpetual futures product. Hyperliquid then announced a 
compensation plan for affected users, similar to how Bitget responded to its 
own VOXEL drama.
_X user spotlights double standards in how exchanges respond to bugs. 
Source:__Dotyyds1234_
Ironically, Bitget&#8217;s Chen had some strong words against Hyperliquid at the 
time, raising concerns about the network&#8217;s centralization. She compared the 
DEX to FTX, once a billion-dollar trading firm whose founder is now serving a 
25-year prison sentence for multiple counts of fraud.
&#8220;The way it handled the JELLY incident was immature, unethical, and 
unprofessional, triggering user losses and casting serious doubts over its 
integrity. Despite presenting itself as an innovative decentralized exchange 
with a bold vision, Hyperliquid operates more like an offshore CEX with no 
[Know-Your-Customer/Anti-Money Laundering], enabling illicit flows and bad 
actors,&#8221; she said.
Bitget&#8217;s VOXEL episode may have been contained, and Hyperliquid&#8217;s users may be 
compensated, but the broader pattern is harder to ignore for traders. As 
platforms scramble to maintain trust, the industry&#8217;s vulnerability isn&#8217;t just 
the bugs or exploits, but the silence that follows them.
_**Magazine:**__**Uni students crypto &#8216;grooming&#8217; scandal, 67K scammed by fake 
women: Asia Express**_

Bitget’s $12B VOXEL frenzy fizzled fast, but questions remain

Despite Bitcoin (BTC) price reaching its highest level in over three weeks, 
traders on Bitfinex reduced their leveraged long (bullish) positions on margin 
contracts by more than $100 million between April 17 and April 19.
This reduction has led to speculation that Bitcoin whales may be anticipating 
a price correction or, at the very least, are not confident in further short- 
term gains. Let&#8217;s look closer at whether this could be the case.
## Bitfinex Bitcoin whales remain bullish
Bitcoin surged above $86,000 on April 21 after US President Donald Trump 
openly discussed the possibility of replacing Federal Reserve Chair Jerome 
Powell. Trump criticized Powell for not acting swiftly enough to ease monetary 
policy.
Additionally, investors are increasingly risk-off due to concerns about a 
recession as the global trade war escalates, particularly given the ongoing 
uncertainty in US-China relations.
The rationale behind this profit-taking in margin markets is especially 
noteworthy, as Bitcoin&#8217;s price has remained below $90,000 since early March, 
prompting some investors to question the likelihood of a sustainable 
decoupling from traditional markets.
The S&amp;P 500 index futures are trading 1.1% below their closing price on April 
17, and rising political tensions in the US are further eroding investor 
sentiment.
_April 2025: BTC/USD (left, orange) vs. Bitfinex BTC margin longs. Source: 
TradingView / Cointelegraph_
Bitcoin margin longs on Bitfinex stood flat at 80,400 BTC between April 10 and 
April 17, indicating strong confidence from bullish traders as this level 
neared a seven-month high. However, even as BTC price reclaimed the $83,000 
level, these traders chose to reduce their leveraged bullish positions by 
1,250 BTC, equivalent to $106 million.
Historically, Bitfinex traders are known for rapidly opening or closing 
substantial Bitcoin margin positions, indicating that whales and large 
arbitrage desks are typically behind these movements.
Nevertheless, it is not accurate to suggest that Bitfinex whales have shifted 
to a bearish stance, considering their margin longs currently total 79,136 
BTC, valued at $6.86 billion, while margin shorts amount to just 326 BTC.
_**Related:**__**Bitcoin whales absorb 300% of newly mined BTC supply &#8212; Is 
$100K next?**_
The significant difference between bullish and bearish positions can be 
attributed to the platform&#8217;s notably low 2% annual interest rate. In 
comparison, traders utilizing 2-month BTC futures currently pay a 5.7% 
annualized premium.
This disparity creates opportunities for arbitrage, as one can open Bitcoin 
longs on the margin market and simultaneously sell the equivalent position on 
BTC futures to capture the difference.
## BTC doesn&#8217;t often move with Bitfinex leverage changes
Furthermore, Bitcoin&#8217;s price does not always correlate directly with changes 
in leveraged positions on Bitfinex. For instance, in the two weeks ending 
March 10, whales increased their margin longs by 13,454 BTC, yet Bitcoin&#8217;s 
price declined from $95,930 to $67,076 during the same period.
Similarly, margin longs decreased by 11,047 BTC in the two weeks ending Dec. 
16, 2024, while Bitcoin&#8217;s price rose from $96,200 to $106,400.
_Dec. 2024: BTC/USD (left, orange) vs. Bitfinex BTC margin longs. Source: 
TradingView / Cointelegraph_
However, these sophisticated investors have demonstrated strong market timing 
over the longer term. For example, Bitcoin&#8217;s price eventually dropped below 
$58,000 on Dec. 23, 2024, after margin-long positions had already been reduced 
by 26% in the preceding 30 days.
This pattern suggests that these traders are generally highly profitable but 
also display a significantly higher risk tolerance and patience compared to 
the average investor.
Ultimately, a $106 million reduction in BTC margin longs is not sufficient 
evidence to claim that professional traders are turning bearish.
As Cointelegraph reported, onchain data suggests Bitcoin whales have grown in 
number throughout March and April despite the price slump, suggesting 
accumulation.
This article is for general information purposes and is not intended to be and 
should not be taken as legal or investment advice. The views, thoughts, and 
opinions expressed here are the author&#8217;s alone and do not necessarily reflect 
or represent the views and opinions of Cointelegraph.

Bitcoin longs cut $106M — Are Bitfinex BTC whales turning bearish above $86K?

U.S. stocks fell on Monday as tariffs continued to dictate sentiment, with 
China&#8217;s threat to countries siding with the United States a new layer to the 
trade war environment. The Dow Jones Industrial Average, S&amp;P 500 and Nasdaq 
all opened…

U.S. stocks fall as China adds to tariff jitters

El Salvador, the first country in the world to adopt Bitcoin as legal tender, 
is working with the computer chip giant Nvidia to implement artificial 
intelligence for national development.
El Salvador signed a letter of intent to collaborate with Nvidia on &#8220;sovereign 
AI to drive innovation and economic growth,&#8221; the National Bitcoin Office 
(ONBTC) of El Salvador announced on X on April 21.
As part of the collaboration, El Salvador will benefit from Nvidia&#8217;s AI tools, 
resources and expertise, enabling the development of sovereign AI capabilities 
targeting priorities related to culture, language, environment and economy.
&#8220;El Salvador will focus on building domestic AI infrastructure, upskilling the 
workforce, and creating solutions to address local challenges such as 
improving healthcare delivery, advancing education, and boosting economic 
productivity,&#8221; the announcement said.
## AI training for state officials and developers
El Salvador&#8217;s latest collaboration with Nvidia marks the country&#8217;s commitment 
to encouraging AI usage to optimize multiple processes within the government 
and society.
With its new AI push, El Salvador intends to establish AI training programs 
for developers, researchers and government officials to &#8220;ensure the nation has 
the talent to sustain its AI ambitions.&#8221;
_Source:__The Bitcoin Office_
One example includes the creation of AI-driven models to forecast weather and 
rainfall, which would support emergency response, protect residents in 
landslide-prone areas and optimize hydroelectric power management.
## Not the first AI initiative for El Salvador
El Salvador&#8217;s Nvidia partnership adds to a growing list of AI-focused 
initiatives.
In March 2025, the ONBTC announced Salvador&#8217;s university-level public 
education AI program CUBO_ai, touting it as the &#8220;only national education 
program bringing in top-tier field experts.&#8221; The program was announced with 
support from major Bitcoin bull Cathie Wood, who is expected to give the first 
lecture as part of the program.
_An excerpt from the CUBO_ai announcement by El Salvador. Source:__The Bitcoin 
Office_
Last year, Wood predicted that El Salvador&#8217;s Bitcoin (BTC) and AI plans may 
boost GDP tenfold by 2029.
_**Related:**__**Only 11% of El Salvador &#8216;s registered Bitcoin firms 
operational**_
While El Salvador has been aggressively introducing AI initiatives, its 
Bitcoin ambitions have been somewhat deterred.
In early March, the International Monetary Fund moved to restrict further 
Bitcoin purchases by El Salvador as part of an extended $1.4 billion funding 
arrangement with the country. However, the government has continued stacking 1 
Bitcoin a day, raising questions about the implications of the deal with the 
IMF.
_**Magazine:**__**Your AI &#8216;digital twin&#8217; can take meetings and comfort your 
loved ones**_

El Salvador works with Nvidia to develop sovereign AI infrastructure

Scammers are once again capitalizing on the popularity of Elon Musk&#8217;s 
artificial intelligence chatbot Grok, with fake tokens once again emerging as 
part of potential phishing attacks.
A wallet linked to former Binance CEO Changpeng &#8220;CZ&#8221; Zhao received 90 million 
fake Grok (GROK) tokens on April 21, according to blockchain security firm 
PeckShield.
The tokens are &#8220;likely a scam,&#8221; since the &#8220;deployer distributed it to multiple 
addresses via multisend,&#8221; PeckShield said.
_Source:__PeckShieldAlert_
The X platform&#8217;s Grok AI chatbot has no official cryptocurrency and no plans 
to launch one in the future.
_**Related:**__**Bitcoin up 33% since 2024 halving as institutions disrupt 
cycle**_
Fake tokens related to the Grok token first emerged in 2023 when a scammer 
deployed an ERC-20 Grok token on Ethereum, which led to an over 90% drop after 
the deployer sold 0.5% of the total supply, according to blockchain data 
visualization platform, Bubblemaps.
_Fake GROK ERFC-20 token crash, 2023. Source:__Bubblemaps_ _ _
Scammers often capitalize on the credibility of social media platforms, large 
brands, or celebrities like Elon Musk to cultivate a sense of trust with 
victims.
Meta was the most mimicked brand in phishing reports filed throughout 2024, 
according to a report by email security provider Mailsuite.
_US brands are often impersonated by scammers. Source:__Mailsuite_
Coinbase was the most impersonated brand by scammers in the crypto industry, 
but Meta was targeted by over 25 times as many scammers as the cryptocurrency 
exchange.
_**Related:**__**Bitcoin rally above $100K may follow US Treasury buybacks &#8212; 
Arthur Hayes**_
## Elon Musk-related scams and fake coins see a resurgence
Elon Musk-related scams and fake tokens are seeing a resurgence as scammers 
continue vying for investors&#8217; crypto holdings.
A fake announcement claiming to be an official &#8220;AI Elon Musk stream&#8221; giving 
away $20,000 worth of cryptocurrency was flagged on April 14 by crypto 
recovery and security advocate, Denis Thomas.
_Source: Denis_ _Thomas _
Multiple other Elon Musk-related memecoins were launched on the BNB Smart 
Chain in recent weeks, according to a scam detector platform, Coinspeedrun.
_Source:__Coinspeedrun_
Phishing scams like address poisoning involve tricking victims into sending 
assets to fraudulent wallet addresses.
Phishing scams cost the crypto industry over $1 billion across 296 incidents 
in 2024, making them a major threat, according to blockchain security firm 
CertiK.
_**Magazine:**__**Down to $200 one day, Pixels founder had $2.4M the next: 
Luke Barwikowski, X Hall of Flame**_