The market started the week with a slight correction. Bitcoin (BTC) was trading at $62,838 as of 07:35 Moscow time, updating its 24-hour low at $62,505 and high at $64,189. Ether (ETH) also declined, settling at $1,754. However, the weekly trend remains positive: ETH gained 10.39% over seven days, while TRON posted the best daily result among the top 10 (+0.22%). Among altcoins, Zcash stands out with a 7.50% daily increase, and MemeCore with an impressive weekly gain of 71.61%. The laggards were Dogecoin (-3.05% in 24 hours) and Bonk (-8.42%).
Secret Network Leaves Cosmos for Arbitrum
The privacy-focused Layer 1 blockchain Secret Network has announced plans to migrate from Cosmos to Arbitrum, a Layer 2 solution for Ethereum. The team cites growing security risks associated with the development of artificial intelligence. According to them, old code is becoming increasingly vulnerable to analysis by AI models, sharply reducing the cost of attacks on outdated protocols. The trigger was a $4.7 million bridge hack in June, although the native token SCRT was not directly affected. Developers also complain about liquidity outflow from the Cosmos ecosystem and teams moving to other networks. A balance snapshot is scheduled for September 1, after which a new ERC-20 standard token will be issued on Arbitrum. Market reaction was negative: SCRT crashed 24% in a day.
Strike Launches "Volatility-Protected" Loans Backed by BTC
Financial services platform Strike has launched a new credit product that, according to CEO Jack Mallers, completely eliminates margin calls and forced liquidations. The idea is that even with a sharp drop in Bitcoin, the client's collateral remains untouched. The price is high: the rate reaches 14.2% APR for a six-month term, with a maximum loan-to-collateral ratio of 45% (e.g., collateralizing $100,000 in BTC can yield up to $45,000). The rate is 2.95 percentage points higher than Strike's standard product, and Mallers says this premium goes toward additional hedging. If a client misses a payment, they have 10 days to deposit funds or explain the situation; otherwise, Strike may begin selling the collateral. That's why the product is called "volatility-protected" rather than "liquidation-proof"—it offers a grace period but does not cancel obligations. The innovation is a response to criticism of Strike's first credit service, which triggered a wave of liquidations in May 2025.
Former Mazars Auditor to Pay Kraken $22 Million
The parent company of crypto exchange Kraken, Payward, has won a $22 million arbitration against its former auditor Mazars USA. The reason for the lawsuit: in 2022, during the height of Operation Choke Point 2.0, the auditor abruptly abandoned a nearly completed audit of Kraken, causing reputational damage to the exchange. Mazars confirmed in writing that they had no complaints against the exchange's management. Payward co-founder Arjun Sethi explained that the auditor cited uncertainty and risks due to the SEC's lawsuit against Kraken. Later, after SEC Chair Gary Gensler's departure, that lawsuit was dismissed, along with nearly all other crypto cases by the regulator. Payward is now asking a Delaware state court to issue a final ruling on the awarded amount.
My comment: Secret Network's migration is a warning sign for the Cosmos ecosystem. The departure of a key privacy player to Arbitrum highlights the problem of liquidity fragmentation and talent shortage in niche L1s. As for Strike's product, it's an interesting experiment in reducing risks for borrowers, but the high rate and 10-day "grace period" make it more of a niche tool for confident hodlers than a mass-market solution.