Bitcoin Surges Past $118K as "Uptober" Begins

Bitcoin broke $118,000 on Wednesday morning as "Uptober" kicked off, lifting total crypto market capitalization above $4 trillion, according to CoinGecko. The surge erased recent declines, triggered $60 million in short liquidations, and pushed Bitcoin dominance from 57% to 59%.

Analysts cited strong Bitcoin ETF inflows, a dovish Federal Reserve, and institutional demand as the main drivers of Bitcoin’s rebound. MEXC chief analyst Shawn Young emphasized structural demand and consistent ETF flows positioning Bitcoin as the anchor of the digital asset market.

Crypto options data reinforced this optimism, with Bitcoin’s 25 delta skew falling 55%, showing traders abandoning downside protection amid rising bullish conviction. On Myriad prediction markets, 65% of users now expect Bitcoin to top $125,000 rather than fall toward $105,000.

September delivered a 5.16% gain, Bitcoin’s third-best September since 2013, strengthening expectations for "Uptober" momentum. Historically, October averages 14.4% gains, with 10 of 13 Octobers closing green and double-digit surges clustering after mid-month.

Coinbase Surpasses $1B in Onchain Loan Originations

Coinbase reported passing $1 billion in Bitcoin-backed onchain loans, just eight months after launching its borrowing program. The initiative, powered by DeFi protocol Morpho, lets users post Bitcoin collateral and receive USDC without triggering taxable events. CEO Brian Armstrong set a $100 billion target, calling loan growth evidence of rapid adoption within decentralized finance.

Initially capped at $100,000, loan limits expanded to $5 million as demand accelerated through Coinbase’s Base Layer 2. Borrowers must maintain collateral ratios above 133% or risk automatic liquidation if values fall. Coinbase provides the interface, while Morpho manages risk and liquidity, insulating the exchange from regulatory scrutiny tied to direct lending.

World Liberty Financial to Tokenize Real Assets

World Liberty Financial revealed plans to tokenize real-world commodities and pair them with its stablecoin USD1. CEO Zack Witkoff said oil, timber, gas, and agricultural products should eventually trade onchain through transparent settlement. The company already launched WLFI and USD1, the latter rapidly becoming the world’s fifth largest stablecoin by capitalization.

Witkoff confirmed a debit card rollout for 2025 alongside a dedicated app and wallet to integrate services. Donald Trump Jr., a co-founder, emphasized global ambitions beyond U.S. borders while distancing the project from political affiliations. Executives argue tokenized assets combined with stablecoins could deliver liquidity, efficiency, and broad access to financial tools worldwide.

BNB Chain Regains X Account After Breach

BNB Chain confirmed regaining access to its official X account following a phishing breach that posted fraudulent reward links. Binance co-founder Changpeng Zhao issued warnings, urging followers to avoid malicious URLs promising early token distributions. Investigators reported estimated user losses of $8,000, most incurred by one victim tricked by the phishing attempt.

The team said a single phishing contract deployed ten malicious links before detection limited further damage. BNB Chain stressed transparency, confirming full account recovery while the root cause remains under investigation. Analysts note crypto-related hacks surpassed $2 billion already this year, highlighting persistent vulnerabilities despite stronger industry-wide security measures.

Data of the Day

CEX(io) reported stablecoin transaction volume hit $15.6 trillion in Q3 2025, with bots driving 71%. Researchers said high-frequency trading bots dominated volumes, complicating assessments of systemic risk and real-world adoption by regulators and analysts. They noted unlabeled bots performing over 1,000 monthly transactions and $10 million volumes accounted for the bulk.

Organic retail transfers under $250 also reached record highs, pointing to growing usage beyond trading speculation. CEX(io) reported non-trading transfers rose 15%, driven by payments, remittances, and fiat off-ramps. USDT and USDC led $46 billion quarterly inflows, reinforcing stablecoins’ growing role in global liquidity, settlement, and everyday financial interactions.

More Breaking News

• Metaplanet bought 5,268 BTC worth $623 million, boosting total holdings to 30,823 BTC and becoming the fourth-largest public Bitcoin treasury company.
• House Republicans opened an oversight probe after nearly a year of Gary Gensler’s SEC text messages were deleted amid aggressive crypto enforcement.
• Japanese financial giant SBI Crypto reportedly lost $21 million in BTC, ETH, LTC, DOGE, and BCH to Tornado Cash-linked exploiters.
• Tron Inc.’s stock collapsed 85% from June highs as broader digital asset treasury hype cooled and regulators scrutinize suspicious trading activity.
• Tether will leverage Rumble’s 51 million active users through an upcoming wallet to promote adoption of its U.S. stablecoin USAT.
• Bank of England Governor Andrew Bailey suggested stablecoins could reduce reliance on banks, calling for accounts at the central bank for UK-issued stablecoins.
• Stripe unveiled Open Issuance, a stablecoin platform letting businesses launch tokens with minimal code, while also pursuing a federal banking charter for compliance.
• Pendle said its protocol remains safe after an onchain wallet drained and an exploiter minted PT/YT tokens, sparking false hack fears.
• Ripple CTO David Schwartz announced he will step down after 13 years but will stay involved as a company director.

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