Crypto Morning Brief: Pharos Announces Public Sale Details; Polymarket in Talks for $400M Funding Round

Author: TechFlow

Yesterday’s Market Updates

Iran’s Latest Response on Iran-U.S. Talks: No Decision Yet on Participation

According to CCTV News, an Iranian insider who attended the first round of Iran-U.S. talks stated that, as of 3:00 p.m. local time on April 20 (11:30 a.m. Beijing time), Iran remains “deeply distrustful” of the U.S. due to its constantly shifting positions and has not yet decided whether to participate in the second round of negotiations.

The insider noted that the U.S. attack on an Iranian merchant vessel on April 19 further complicated the situation.

U.S. SEC and CFTC Propose Tightening Hedge Fund Reporting Requirements, Raising Form PF Filing Threshold to $1 Billion

According to Bloomberg, the U.S. Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) jointly proposed narrowing hedge fund reporting requirements—eliminating filing obligations for smaller advisers and raising the Form PF reporting threshold for private fund assets from $150 million to $1 billion. The two agencies stated that data collected via Form PF would be used confidentially for examinations and investigations targeting private fund advisers.

Form PF is a regulatory filing required by the U.S. Securities and Exchange Commission (SEC) and the U.S. Commodity Futures Trading Commission (CFTC) from certain private fund advisers. Its primary purposes are: monitoring risks across the private fund industry, assessing potential systemic risks, and supporting examinations, investigations, and regulatory analysis.

Hong Kong SFC Announces Regulatory Framework for Secondary Market Trading of Tokenized Investment Products

The Securities and Futures Commission (SFC) of Hong Kong has unveiled a new regulatory framework permitting secondary market trading of SFC-authorized tokenized investment products, aiming to advance digital asset trading activities in Hong Kong. The new guidance primarily facilitates secondary market trading of tokenized open-ended funds on licensed virtual asset trading platforms and will consider over-the-counter (OTC) trading arrangements on a case-by-case basis.

As of March 2026, Hong Kong has launched 13 tokenized products to the public, with total assets under management (AUM) for tokenized share classes reaching approximately HK$10.7 billion. The first batch of products is expected to consist mainly of tokenized money market funds. The new measures cover fair pricing, orderly trading, liquidity provision, and disclosure requirements.

Grayscale Updates Hyperliquid ETF Application, Replacing Coinbase with Anchorage as Custodian

According to The Block, Grayscale has submitted a revised application for its Hyperliquid ETF to the U.S. Securities and Exchange Commission (SEC), designating Anchorage Digital Bank as the fund’s custodian in place of Coinbase. Anchorage is the first U.S. crypto bank to receive a federal charter and has recently expanded rapidly into stablecoins, wealth management, and token lifecycle management—and is also the first U.S. institution to support Tron. If approved, the ETF will trade on Nasdaq under the ticker “GHYP”; staking functionality remains subject to regulatory approval.

Pharos Announces Public Sale Details: Offering 0.1% of Total Supply, Targeting ~$1 Million in Funding

According to official announcements, Pharos has released details for its PROS public sale, offering 0.1% of the total token supply to raise approximately $1 million, with a base price of $1.00 per token and individual entity subscription limits ranging from $100 to $50,000.

The sale requires mandatory KYC/KYB verification on Sonar and offers two options: no lock-up or a six-month lock-up (priced at $0.80 per token). In the event of oversubscription, priority will be given to smaller subscriptions; remaining funds will be automatically refunded after the sale concludes. Registration opens on April 20.

ZachXBT Questions Kraken’s Due Diligence Process for Memecore Listing, Flags Anomalous On-Chain Flows

On-chain investigator ZachXBT questioned Kraken’s due diligence process for listing $M (Memecore) spot trading on July 3, 2025, noting that approximately 7.9 million $M tokens were withdrawn from Kraken to 18 newly created addresses. Those addresses now collectively hold roughly 11.7 million $M—valued at approximately $39.8 million at current prices. He also reported that suspected Memecore team addresses received 200 million $M during the token generation event (TGE) and transferred 5.3 million $M to a Kraken deposit address on July 3, 2025.

Kelp DAO Counters LayerZero’s Attribution of the $290 Million rsETH Bridge Vulnerability

According to CoinDesk, Kelp DAO will dispute LayerZero’s explanation of the $290 million rsETH cross-chain bridge exploit, asserting that the compromised single-validator configuration relied on LayerZero’s own infrastructure—and that such a setup constitutes LayerZero’s default integration, not a special configuration deviating from LayerZero’s recommendations.

The attacker compromised LayerZero’s server responsible for verifying cross-chain transactions and interfered with backup nodes, stealing approximately 116,500 rsETH. Kelp DAO stated that only the LayerZero-based bridging layer was affected; its core liquidity re-staking contracts remained untouched. LayerZero subsequently responded that it would cease signing messages for any applications using single-validator configurations and would mandate secure migration.

Mizuho, Nomura, JSCC, and Digital Asset to Conduct Proof-of-Concept for Digital Collateral Management of Japanese Government Bonds on Canton Network

Mizuho Financial Group, Nomura Holdings, Japan Securities Clearing Corporation (JSCC), and Digital Asset Holdings have jointly launched a high-level proof-of-concept (PoC) for blockchain-based collateral management. This PoC leverages the Canton Network—a blockchain platform designed specifically for institutional finance—to explore digital collateral management using Japanese Government Bonds (JGBs).

The experiment will test JGB rights transfers and ledger updates via blockchain within a multi-tiered account management structure, while preserving the legal attributes of issued securities. It aims to enable real-time, 24/7/365 collateral transactions and will also examine cross-border use cases and compatibility with relevant laws and regulations. This initiative forms part of the Japanese Financial Services Agency’s (FSA) “Payment Innovation Project (PIP)” and seeks to enhance cross-border collateral management efficiency, reduce operational costs for financial institutions and investors, and strengthen Japan’s global financial competitiveness.

Strategy Acquired 34,164 Bitcoins Last Week for $2.54 Billion

Michael Saylor announced that Strategy acquired 34,164 BTC for approximately $2.54 billion, at an average purchase price of about $74,395 per BTC. As of April 19, 2026, Strategy holds a total of 815,061 BTC, with cumulative acquisition costs totaling approximately $61.56 billion and an average holding cost of about $75,527 per BTC. Additionally, Strategy’s BTC year-to-date return for 2026 stands at 9.5%.

Bitmine Added 101,627 ETH Last Week, Total ETH Holdings Reach ~4.976 Million

According to PRNewswire, Ethereum treasury firm Bitmine Immersion Technologies disclosed acquiring 101,627 ETH last week. Its current crypto holdings include 4,976,485 ETH, 199 BTC, $107 million worth of Eightco Holdings equity, and $200 million worth of Beast Industries shares. Furthermore, the company has staked a total of 3,334,637 ETH (valued at $7.7 billion at $2,301 per ETH).

Prediction Market Polymarket in Talks to Raise $400 Million at $15 Billion Valuation

According to The Information, citing insiders, prediction market platform Polymarket is negotiating a funding round of approximately $400 million at a $15 billion valuation (including new capital). This round would follow up on Intercontinental Exchange’s (ICE)—the parent company of the New York Stock Exchange—recent $600 million investment last month, which did not disclose a valuation.

Market Data

Recommended Reading

Nearly $200 Million in Bad Debt Weighs on $AAVE: Scenarios for Its Future Price Trajectory

https://www.techflowpost.com/zh-CN/article/31210

This article analyzes the impact of the KelpDAO hack on the AAVE ecosystem, focusing on how $195 million in bad debt could affect the AAVE token’s price and outlining three possible price scenarios. It also lists key signals investors should monitor to assess whether AAVE has passed its worst phase.

6,000 CEOs Admit AI “Did Nothing,” Yet 40,000 Employees Were Laid Off in Q1 Using AI as Justification

https://www.techflowpost.com/zh-CN/article/31216

This article explores the gap between enterprises’ expectations of artificial intelligence (AI) and its actual impact over recent years, pointing out that despite massive investments and widespread adoption, AI’s tangible contributions to productivity and employment remain unclear. Meanwhile, large-scale layoffs justified by AI in the tech sector have sparked controversy. The article also discusses AI’s future potential and how enterprises can better leverage AI technologies.

Post-KelpDAO Hack, AAVE Is in Worse Shape Than You Think

https://www.techflowpost.com/zh-CN/article/31208

This article analyzes AAVE’s liquidity crisis and its ripple effects across the DeFi ecosystem. It details root causes—including the rsETH vulnerability-induced bad debt and chain reactions triggered by rapid whale withdrawals—and discusses contagion risks to stablecoin markets and other protocols, as well as user response strategies and potential solutions.

The Harness Arbitrage Era: Rescuing DeFi from the Edge of SaaS

https://www.techflowpost.com/zh-CN/article/31207

This article explores the convergence and evolution of decentralized finance (DeFi) and artificial intelligence (AI) in future economic and technological landscapes, analyzing tokenomics, AI’s transformation of DeFi, and AI’s broader socioeconomic implications.

Artemis Deep Dive: Anchored on Hyperliquid, $PURR Is the Only Crypto Treasury Stock with Genuine Underlying Profitability

https://www.techflowpost.com/zh-CN/article/31205

This article analyzes Hyperliquid protocol and its native token HYPE, along with PURR—a crypto treasury company built atop Hyperliquid’s assets—covering its business model, financial performance, growth prospects, valuation scenarios, and associated risks. It focuses on how Hyperliquid achieves profitability through fee revenue, token buyback-and-burn mechanisms, and innovative growth strategies—and examines PURR’s unique market position and investment potential as a crypto treasury vehicle.