tee

NEAR AI tweeted that it has closed unauthorized access and continues to complete the investigation. NEAR AI Cloud will remain suspended until it can be safely restored. NEAR Protocol and other services are not affected, and the team stated that further updates will be provided within two hours.Previously, NEAR AI tweeted that it recently discovered unauthorized access to its internal systems and has suspended NEAR AI Cloud inference services as a precautionary measure to conduct an investigation. NEAR AI Cloud inference operates in hardware-isolated TEE to protect user prompt privacy.

Analyst qinbafrank published an interpretation of the impact if anti-crypto Senator Elizabeth Warren were to become the chair of the Senate Banking Committee. Warren has consistently advocated for embedding anti-money laundering obligations deeply into wallets, miners, and validators, preventing banks from bringing crypto risks into the traditional lending and borrowing system, and opposing the use of tokenization to circumvent securities laws. Warren is likely to push for a stricter legislative agenda, but she will face significant resistance in actual implementation.The comprehensive tightening of crypto regulation bills will still be limited by the 60-vote filibuster threshold, and even if both chambers pass them, Trump can still exercise veto power. Therefore, hardline proposals lacking significant compromise are unlikely to directly become law. However, Warren could escalate Trump's scrutiny of crypto businesses into ongoing investigations and initiate intensive hearings targeting the SEC, CFTC, and crypto companies. While this does not equate to criminal convictions, it would significantly impact market sentiment.At the administrative regulatory level, for the next two years, the chairs of the SEC and CFTC will still be held by Republicans, who can continue to advance crypto policies within their existing statutory authority (such as the September tokenized stock trading exemption and the recent derivatives framework request for comments). Warren's oversight cannot automatically invalidate these policies, but it may slow down the process or narrow the scope of exemptions. At the same time, she can use her committee powers to obstruct Trump's nominations for regulatory agency commissioners. Analysts conclude that although hearings and investigations will bring greater pressure, the crypto regulatory environment in the next two years is unlikely to be stricter than during the period of full Democratic control from 2023 to 2024.

U.S. California Democratic Representative Maxine Waters officially announced her candidacy for the chair of the House Financial Services Committee and outlined her policy agenda in a letter to Democratic members. It is reported that the Democrats will decide on key committee positions in the coming weeks.In the cryptocurrency sector, Maxine Waters proposed to establish "strict but fair regulatory rules" for compliant cryptocurrency businesses and to strengthen scrutiny of the digital asset industry. She also plans to promote legislation that enables the financial system and economy to better respond to the impacts brought by AI, and to focus on the regulation of the private equity industry, consumer fees, credit reporting, and reforms in housing mortgage financing.Maxine Waters has served as the Democratic chief member of the House Financial Services Committee since 2013. Additionally, Illinois Democratic Representative Sean Casten has also announced his candidacy for the committee chair, with his policy agenda similarly addressing emerging risks brought by cryptocurrency, prediction markets, and artificial intelligence, and proposing to strengthen oversight of corporate and consumer fraud.

Crypto journalist Eleanor Terrett posted on the X platform that former House Financial Services Committee Chairman Patrick McHenry stated that the cryptocurrency industry missed the best opportunity to promote market structure legislation and establish a regulatory framework; he also admitted that he bears some responsibility for this.

According to The Defiant, the Algorand Foundation announced the closure of its community forum and advisory committee.The foundation will suspend xGov grants on December 6 and put the Project King Safety project on hold, while maintaining staking rewards support until January 2028.

According to a report by the Russian news agency TASS, the Russian Investigative Committee has proposed further incorporating cryptocurrency assets into the anti-money laundering regulatory system and strengthening the tracking of cryptocurrency transactions. At the meeting of the United Nations Convention against Corruption's Intergovernmental Working Group on Asset Recovery held in Vienna, Austria, the committee representative Anna Starzhinskaya stated that investigators can currently track cryptocurrency transactions through a dedicated system of the Federal Financial Monitoring Service of the Russian Federation (Rosfinmonitoring) and obtain important evidence for criminal investigations.The Russian Investigative Committee also emphasized the importance of cross-border crime investigations and international judicial cooperation. The agency disclosed that by 2026, it had jointly seized and confiscated corruption-related assets worth over $486 million in collaboration with financial intelligence and law enforcement agencies, and had made approximately 2,500 information inquiries to financial monitoring departments in criminal cases.

According to Cointelegraph, citing The Wall Street Journal, long-time critic of the cryptocurrency industry, U.S. Senator Elizabeth Warren is expected to lead the Senate Banking Committee, a change that could pose challenges for Wall Street and the cryptocurrency industry.

U.S. Republican Congressman French Hill won re-election in Arkansas's 2nd Congressional District, defeating Democratic challenger Chris Jones, a result confirmed by the Associated Press on Thursday. Hill currently serves as the Chairman of the U.S. House Financial Services Committee and is an important ally for the cryptocurrency industry in Congress.Hill initiated the CLARITY Act and voted in favor of the GENIUS Act, receiving an A rating from the cryptocurrency advocacy organization Stand With Crypto, classified as a strong supporter of cryptocurrency. The cryptocurrency industry-supported super PAC Fairshake pledged $1 million in October to support his re-election campaign, aiming to keep crypto-friendly lawmakers in Congress.With the Democrats winning control of the House of Representatives in Tuesday's U.S. midterm elections, Hill is expected to lose his position as Chairman of the Financial Services Committee in January. According to Reuters, the current senior Democratic member of the committee, Maxine Waters, is the leading candidate to succeed him. The Democrats also gained control of both the House and Senate, creating uncertainty for U.S. cryptocurrency legislation, with the industry potentially facing stricter scrutiny. The cryptocurrency industry-supported super PAC spent over $176 million in this election cycle.

The Polygon community has proposed a draft proposal PIP-93, aiming to integrate the Protocol Council, Polygon PoS, and AggLayer multi-signature into a unified Polygon Security Council.The committee consists of 11 signatories sent by 10 institutions, adopting an 8/11 multi-signature strategy, covering Ethereum and Polygon; Polygon Labs occupies 2 seats, while the other institutions each occupy 1 seat, including Sherlock, Hexens, Sigma Prime, Curve, QuickSwap, EthCC, L2Beat, and Coinbase.Daily upgrades and parameter changes can be proposed by the Polygon Labs Operations multi-signature with a 7-day time lock, and the security council can veto during the window period, or skip the time lock for immediate execution or contract suspension removal. The proposal aims to replace the governance structure established by PIP-29, changing to only publicly holding the list of institutions with seats, no longer disclosing the identities of individual signatories; it is currently in Draft status.

According to the official announcement, Gate has officially launched a new Proof of Security (PoSEC), becoming the first digital asset trading platform in the industry to propose a PoSEC security certification system, extending security verification from reserve adequacy to asset storage structure and risk protection.According to Gate's official page, as of the snapshot on November 4 at 08:00 (UTC+8), the platform's cold storage coverage rate reached 104.58%, with cold storage and hot wallet asset ratios being 88.26% and 11.74%, respectively. This means that according to the corresponding statistical criteria, even if all hot wallet assets are lost, cold storage can still cover all user assets. Currently, this data is being verified by an independent third-party auditing agency, and the report will be published on the official website once completed.In 2020, Gate was the first to launch an open-source Proof of Reserves (PoR) related program, and has since continued to strengthen a multi-layered security system that includes mechanisms such as the separation of cold and hot wallets, multi-signature, multi-party secure computation (MPC), and dynamic risk monitoring. The introduction of PoSEC further extends the verification of fund security from reserve adequacy to storage safety and extreme risk coverage capability, providing a new practical path for establishing a more comprehensive and transparent fund security standard for the industry.

Sony Bank announced that its external contractor for digital securities, Securitize Japan, experienced unauthorized access to its systems, resulting in a leak of customer information. This includes the names, addresses, birth dates, and account numbers of 4 customers, as well as the names of an additional 617 customers.Sony Bank stated that no improper transactions have been identified as a result of this incident, and there is no evidence that the leaked information has been made public or disseminated online. This matter only involves digital securities services, and related transactions have been suspended, with further notifications to be provided upon resumption.Securitize Japan detected system anomalies on October 29 and confirmed the unauthorized external access on the same day, subsequently notifying Sony Bank. An investigation of the logs confirmed the leak of customer information. Sony Bank will contact the affected customers individually.

Cryptocurrency journalist Eleanor Terrett posted on the X platform that Bill Huizenga, the Republican Congressman and Vice Chairman of the House Financial Services Committee who supports cryptocurrency, has fallen behind Democratic candidate Sean McCann in the ongoing election. Huizenga is a member of the committee's Digital Assets Subcommittee, whose chairman Bryan Steil has also lost his seat.Eleanor Terrett stated that the name, scope, and membership of the subcommittee are redefined by each Congress, so the Digital Assets Subcommittee may be renamed, have its scope adjusted, or be abolished in the future.

According to crypto journalist Eleanor Terrett, in this round of the U.S. midterm elections, the AI industry has become an important political funding spender, with related political action committee (PAC) expenditures of about $72 million, still lower than the crypto industry's three major PACs, which spent about $170 million.Both industries had some political investments that did not achieve the expected results, with AI-supported Darline Graham, Mike Rogers, and Carlos For Texas all losing in the elections.

The Zcash Community Grant Committee (ZCG) has announced that it has decided not to proceed with the proposal put forward on October 29, which aimed to allocate approximately 98,000 ZEC as future mining rewards. The committee stated that subsequent funding arrangements should be determined through Zcash's existing governance processes. ZCG currently automatically receives 8% of newly issued ZEC, amounting to about 144 coins per day, and the treasury size is sufficient to support expenditures for many years, although its funding model and accountability have recently sparked controversy within the community.According to the original proposal, the committee intended to allocate 36,200 ZEC from its treasury of approximately 91,500 ZEC to inject into a sustainable network mechanism to supplement miner block rewards, thereby reducing the expected income until the halving in 2028. Co-founder Sean Bowe, founder Zooko Wilcox, and developer Daira-Emma Hopwood have proposed various alternatives, such as terminating automatic grants, restructuring the use of funds, or focusing on promoting the use of ZEC, but none have been approved yet. Until the network upgrade changes the rules, ZCG will continue to receive approximately 144 ZEC daily.

According to a report by the Korean News Agency, members of the Democratic Party in the National Assembly's Finance and Economy Committee have decided to recommend to the party leadership to postpone the taxation of virtual assets originally scheduled to be implemented next year.After a party consultation meeting, the ruling party's secretary Woo Gi-hyung stated that the majority opinion among the committee members leans towards postponing it for about 2 years.

According to CoinDesk, as the U.S. midterm elections on November 3 approach, the three major political action committees (PACs) in the cryptocurrency industry have collectively invested about $170 million to support congressional candidates, with the overall funding flow clearly favoring the Republican Party, despite recent polls and prediction markets indicating that the Democratic Party is more likely to expand its influence in Congress.Among them, Fairshake, supported by Coinbase, a16z, and Ripple Labs, has invested about $154 million and retained approximately $56 million for the next round of elections. The Digital Freedom Fund, backed by the Winklevoss brothers, has invested over $8 million this month, focusing on preventing Democratic candidates in Ohio, Texas, and Iowa from winning Senate seats. The Fellowship Fund, closely related to Cantor Fitzgerald and Tether, primarily supports Republican candidates while providing a total of $600,000 to three incumbent Democratic lawmakers.Reports indicate that Fairshake has invested nearly $56 million to prevent former Democratic Senator Sherrod Brown from returning to the Senate and has invested nearly $11 million to support Nebraska Republican Senator Pete Ricketts.Currently, the prediction market Kalshi gives the Democratic Party about a 70% chance of controlling both the House and Senate simultaneously. Even if the Republican candidates supported by the cryptocurrency industry win, significant legislation regarding the future structure of the cryptocurrency market and taxation will still need to seek Democratic support to overcome the procedural threshold of 60 votes typically required in the Senate.

According to a report from Xinhua News Agency, the Central Committee of the Communist Party of China pointed out in its decision on several major issues regarding the persistent promotion of comprehensive and strict governance of the Party that it is necessary to unswervingly advance the integrated approach of not daring to be corrupt, being unable to be corrupt, and not wanting to be corrupt, and to resolutely combat corruption behaviors carried out through the use of the internet, virtual currency, cross-border funds, blockchain, and other means.

According to monitoring by ZachXBT, the Arbitrum Security Council has executed a transaction to freeze approximately 30.5 million dollars in funds from the Binance exploit.

According to a report by Crypto in America, the cryptocurrency industry organization the Chamber of Digital Commerce (CCI) and members such as Bitwise, Galaxy Digital, and Morpho submitted a 238-page report to the U.S. Securities and Exchange Commission (SEC), urging the regulatory agency to clarify how existing securities laws apply to on-chain vaults and to develop a differentiated regulatory framework based on the level of control that human operators have over user assets and investment decisions.

According to Decrypt, James Comer, the Chairman of the House Oversight Committee (Republican from Kentucky), has launched an investigation into a proposed company entity in Delaware that would be operated daily by AI entities.In a letter to Delaware Governor Matt Meyer, Comer stated that the proposed "Artificial Intelligence Company" (AIC) could exempt AI companies and their investors from liability for damages caused by AI entities, and he requested the governor to submit relevant documents and communications, including "internal AI chat logs," by November 9.The proposal was announced in July in a joint article in Fortune by Delaware Secretary of State Charuni Patibanda-Sanchez and Norm Ai CEO John Nay, positioning it as a public-private partnership led by Norm Ai.By design, the AIC could sue and be sued, hold property, and assume obligations under the direction of AI entities; its sole member must maintain sufficient capital and is not liable for the company's debts except in cases of incomplete capitalization, fraud, or willful misconduct. The AIC can only operate within a regulatory sandbox for 30 months, must disclose its identity to counterparties, and is prohibited from conducting banking activities.Comer also questioned the role of private sector participants in the proposal, stating that the Delaware AI Commission's report due in December 2025 did not mention a security risk assessment or consult independent experts, and the Secretary of State's office refused to clarify its relationship with an AI company involved in the project.He stated that this information could inform federal legislation, including proposals to limit state-level AI regulatory initiatives. The Secretary of State's office denied that the plan is a liability waiver arrangement, and Governor Meyer defended it, with state legislators expected to review the legislative proposal in January.