Today’s edition of the weekly recap covers the arrest of Blum co-founder Vladimir Smerkis, progress on U.S. stablecoin legislation, and World Liberty Financial’s blockchain integration. Russian authorities arrest former Binance exec The Zamoskvoretsky Court of Moscow initiated the arrest of a former Binance executive and co-founder of the Blum tap-to-earn app, Vladimir Smerkis. Per Russian media, the Zamoskvoretsky District Court granted an investigator’s request to detain Smerkis for alleged fraud. Details regarding the charges remain unclear. News of the arrest comes one day after Blum posted on social media that Smerkis has stepped down from his role as CMO. Alabama man sentenced for SEC social media hack A 26-year-old Alabama resident received more than a year in jail for his involvement in the SEC hack The individual used a SIM-swap technique with a fraudulent ID to hijack a phone number connected to the SEC’s account. Stablecoin legislation approaches Senate debate The “Guiding and Establishing National Innovation for U.S. Stablecoins” (GENIUS) Act is heading toward debate and potential passage next week despite recent setbacks. Senator Hagerty of Tennessee, the bill’s Republican sponsor, stated that “the Senate will make history” by establishing “the first ever pro-growth regulatory framework for payment stablecoins.” You might also like: Coinbase breach strikes PayPal Mafia royalty, Sequoia Capital boss World Liberty integrates Chainlink for cross-chain capabilities World Liberty Financial announced Friday that its USD1 stablecoin now operates across multiple blockchains through integration with Chainlink’s Cross-Chain Interoperability Protocol (CCIP). The announcement came during Consensus 2025 from World Liberty Financial’s team, Chainlink ( LINK ) co-founder Sergey Nazarov, and Eric Trump. French crypto executives face security threats The daughter and grandson of a French crypto exchange CEO were targeted in an unsuccessful kidnapping attempt in Paris, according to France 24’s Tuesday report. Video footage showed three masked individuals attacking a woman and another person before a shop owner intervened with a fire extinguisher. In response to multiple incidents targeting industry figures, French Interior Minister Bruno Retailleau agreed Friday to implement better security measures for cryptocurrency professionals. You might also like: NFT sales jump 17% to $130.7m, Newcomer collection boasts 470% sales growth DOJ continues case against Tornado Cash developer The Department of Justice announced it will proceed with its case against Roman Storm despite an internal memo from Deputy Attorney General Todd Blanche. The case has been modified to drop charges related to money-transmitter business registration violations. Judge rejects SEC-Ripple settlement proposal U.S. District Judge Analisa Torres denied a joint request from the SEC and Ripple Labs to approve their settlement. The ruling stated that even if she had jurisdiction, she would still reject the motion. FTX creditors to receive $5 billion distribution The FTX Recovery Trust announced Thursday that creditors will begin receiving over $5 billion in distributions starting May 30. Four classes of creditors will receive payments ranging from 54% to 120% of their original claims, based on the U.S. dollar value of customer holdings at FTX’s November 2022 collapse. You might also like: New XRP ETF hits an inflow record as XRP price wavers Coinbase offers $20 million bounty for blackmail information The cryptocurrency exchange is offering a $20 million reward for information leading to the identification and conviction of individuals who attempted to blackmail the company over stolen user records. According to Coinbase’s blog post, criminals obtained account data for less than 1% of monthly users by bribing overseas support agents. The extortionists demanded $20 million in Bitcoin to prevent releasing sensitive customer information. SEC investigates Coinbase user number disclosures Coinbase confirmed Thursday that the SEC is investigating whether the exchange has misstated its user numbers. The inquiry focuses on the “verified users” metric, which Coinbase has reported as exceeding 100 million in various securities filings and marketing materials. Telegram shuts down massive crypto-fueled black market The messaging platform terminated thousands of accounts linked to Haowang Guarantee (formerly Huione Guarantee) on Monday. This has effectively shut down what has been described as the most prolific crypto-fueled black market online. The network reportedly helped launder over $27 billion across Asia’s cyber scam economy before its removal. DeFi Development Corp. expands Solana treasury The real estate software firm, which has pivoted to building a Solana-focused treasury, purchased 172,670 Solana ( SOL ) worth approximately $23.6 million. The recent announcement revealed the firm purchased SOL at $136.81 each. The company now holds a total of 595,988 SOL. India orders increased surveillance of border region crypto transactions Cryptocurrency platforms operating in India have been instructed to ramp up monitoring of transactions from Jammu and Kashmir and other border areas. The directive forms part of broader government efforts to combat illicit finance and cross-border terrorism funding. Strategy continues aggressive Bitcoin acquisition Strategy, previously MicroStrategy, purchased 13,390 more Bitcoin ( BTC ). It now holds 568,840 BTC. The purchase was made for $1.34 billion between May 5-11. Read more: Hack? SEC probe? Coinbase stock soars despite difficult week
