Category: Cryptocurrencies

Anthropic’s Mythos AI finds no more ‘serious’ bugs in Zcash: Wilcox

Zcash founder Zooko Wilcox said a security audit by Anthropic’s Claude Mythos artificial intelligence model found no serious vulnerabilities in the privacy-preserving cryptocurrency’s protocol.Requested by Shielded Labs, a Swiss-based non-profit supporting the development of Zcash, the AI security audit did not find “any more serious bugs” in the Zcash protocol, according to a Saturday X post by Wilcox.On June 3, Zcash developers temporarily suspended Orchard transactions after discovering a vulnerability in the shielded pool. Functionality was restored later that day through an emergency upgrade.The issue stemmed from a four-year-old forgery bug in the Orchard shielded pool that was discovered by security researcher Taylor Hornby with the help of Anthropic’s Claude Opus 4.8 model. The Zcash Foundation said there was no evidence that the vulnerability was exploited, nor was there any unauthorized value creation detected, while user privacy was unaffected.Source: Zooko WilcoxAI models spark crypto security concernsWhile developers are using new AI models to identify vulnerabilities, the technology is simultaneously raising security concerns across the crypto industry.On Tuesday, Anthropic released the first public version of its Claude Mythos model, Fable 5. The company said last month that the Mythos model uncovered more than 10,000 high or critical-severity vulnerabilities in “systemically important software,” leading to concerns about whether it should be publicly released.The company said users that Fable 5 was “made safe for general use” and has safeguards that reroute some topics, such as cybersecurity, to a different model, Claude Opus 4.8.  On Friday, Anthropic said it suspended access to its Fable 5 and Mythos 5 AI models due to a US government export control directive citing national security concerns.Related: Recovery hopes fade as Kelp DAO hacker launders nearly all $220M in stolen funds The proliferation of these new AI models has shifted the cybersecurity playing field in favor of the threat actors, causing a “vulnerability apocalypse” that is fueling a resurgence in decentralized finance (DeFi) hacks, Mitchell Amador, the CEO of bug bounty platform Immunefi, told Cointelegraph in a recent interview.Crypto hacks surged to $634 million in April, the highest monthly value since the Bybit hack led to about $1.4 billion in losses in February 2025, according to DefiLlama data. Magazine: The legal battle over who can claim DeFi’s stolen millions 

Bitcoin sales are necessary for Strategy’s digital credit business, Saylor says

Michael Saylor, executive chairman of Strategy, defended the company’s recent Bitcoin sale, saying the ability to sell the asset is necessary to continue issuing “digital credit.”Strategy disclosed its first reported Bitcoin sale since 2022 in a June 1 filing with the US Securities and Exchange Commission, offloading 32 BTC in a move that appeared at odds with Saylor’s long-running “never sell your Bitcoin” mantra.In an interview with Cointelegraph at the BTC Prague conference, Saylor said that Bitcoin treasury companies must retain the ability to sell holdings when necessary to support dividend-paying securities and other Bitcoin-backed credit products. “If the company’s policy is that we won’t sell the Bitcoin, then the credit won’t have value and the equity won’t have value,” he said, adding:The company is in the business of selling digital credit. The credit is backed by capital. Bitcoin is capital.”Cointelegraph’s Ciaran Lyons (left) and Strategy founder Michael Saylor (right) at BTC Prague. Source: CointelegraphSaylor described products like Strategy’s STRC preferred stock as “digital credit” instruments that use the company’s Bitcoin balance sheet to support credit obligations. For Strategy, such securities have become a primary vehicle for raising capital to acquire more Bitcoin.Digital credit is a “trillion-dollar” opportunity for Bitcoin finance, Saylor saysDigital credit markets are emerging as the next “trillion-dollar opportunity” in finance, a development that Saylor said could enable yield-bearing digital money products.“I see Bitcoin as the digital transformation of capital. I see STRC as the digital transformation of credit,” Saylor said, explaining that digital credit products can offer yields of up to 8%, which is three to four times more than traditional savings accounts.Related: Saylor downplays Bitcoin slide as Strategy faces $11B paper lossSaylor said digital credit products could transform how people see credit markets, while also bringing billions of dollars into the Bitcoin ecosystem.He cited projects such as Saturn and Apyx as examples of yield-bearing products built on top of digital credit markets. One of those products recently faced a test of its resilience.On June 4, Apyx Finance’s dividend-backed synthetic stablecoin (apxUSD) depegged to as low as $0.90 as Bitcoin traded below $63,000 and STRC shares fell below their $100 par value.According to Apyx, the decline in STRC, the stablecoin’s primary collateral asset, reduced the protocol’s reserve value. The company also cited falling Bitcoin prices, thinning liquidity and derivative-driven market dynamics as factors behind the depeg.At press time, apxUSD traded at $0.96, below its $1 peg. Source: CoingeckoThe full interview with Saylor will be available on Cointelegraph’s YouTube channel in the coming days.Magazine: Bitcoin ETFs bleed $1B, Aave’s $71M ETH unfreeze bid delayed: Hodler’s Digest, May 10 – 16

Bitcoin Speculated to Hit $20,000

Bitcoin Speculated to Hit $20,000

Bitcoin Speculated to Hit $20,000

Bitcoin Speculated to Hit $20,000

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