Crypto updates on regulation, hacks, ETFs, and institutional adoption

Crypto updates on regulation, hacks, ETFs, and institutional adoption

Crypto News Round-Up — February 2026

As February 2026 unfolds, the crypto world is buzzing with headlines on new regulations, institutional moves, and security incidents. From firms pushing for longer deadlines in Europe to Wall Street banks launching trading platforms, this round-up highlights the biggest developments in digital assets — and why they matter for the market.

European crypto firms seek license extension

In Europe, crypto and payment service providers are lobbying regulators to extend deadlines for obtaining necessary licenses. EU rules (such as PSD2) currently require issuers of stablecoins and e-money tokens used for payments to secure a payment-services license by early 2026. Industry groups warn that the tight timeframe and overlapping requirements could force startups to halt projects or move offshore (El Pais).

  • Could alleviate compliance pressure on crypto firms operating in the EU
  • Determines how and where stablecoin projects roll out in Europe
  • Highlights ongoing tension between innovation and financial oversight

Major bank to offer crypto trading

A leading Wall Street bank announced plans to launch a cryptocurrency trading platform for its wealth-management clients (Bloomberg). The new service will allow eligible customers to buy and sell Bitcoin and other major digital assets under the bank’s oversight. This move comes as traditional financial institutions continue to adopt crypto services to meet growing client demand.

  • Signals increasing acceptance of digital assets by mainstream finance
  • Could drive more institutional investment into cryptocurrencies
  • May invite closer regulatory scrutiny of banks’ crypto activities

Visa and Mastercard expand crypto payments

Major payment networks are enhancing crypto features: Visa announced that it will allow cardholders to make purchases with select cryptocurrencies at merchants globally, and Mastercard is integrating central bank digital currencies (CBDCs) into its network (CNBC). These steps aim to bring digital currencies into everyday transactions by leveraging existing payment infrastructure.

  • Enables wider use of digital assets in daily spending
  • Shows confidence from established payment firms in crypto adoption
  • Could spur regulatory focus on crypto payments and anti-money laundering rules

Major DeFi platform suffers $30M hack

A popular decentralized finance (DeFi) protocol was exploited in a flash-loan attack that drained roughly $30 million from its liquidity pools. Attackers manipulated a price oracle to siphon funds from the protocol’s treasury, according to reports (CoinDesk). The development team has paused all operations to investigate the breach and work on recovery, and affected token prices have tumbled on the news.

  • Reveals that vulnerabilities remain a serious risk in DeFi platforms
  • Could dampen investor confidence in unaudited or newer projects
  • May trigger calls for stronger security practices and audits

U.S. approves first Ethereum futures ETF

U.S. financial regulators gave the green light to the first exchange-traded fund (ETF) based on Ethereum futures contracts (Reuters). The new ETF, which tracks CME-traded Ether futures, will allow investors to gain exposure to Ethereum prices through a traditional stock exchange vehicle. Observers note that this marks a milestone in cryptocurrency adoption, opening Ethereum to a broader range of investors under regulated conditions.

  • Gives retail and institutional investors a regulated entry into Ethereum
  • Could attract fresh capital and support Ether’s market value
  • Reflects regulators’ acceptance of crypto under established frameworks

Hong Kong tightens crypto exchange rules

Hong Kong’s financial regulator issued new stringent requirements for crypto exchanges seeking licenses in the city (Bloomberg). The updated regime includes higher capital requirements and enhanced consumer protection measures for digital asset platforms. Observers say this move is part of Hong Kong’s plan to be a major crypto hub while ensuring firms operate under robust oversight.

  • Shows even crypto-friendly markets are formalizing strict rules
  • May favor larger, established exchanges over smaller startups
  • Emphasizes regulators’ push for compliance in growing crypto hubs

Mt. Gox creditor payouts begin

Creditors of the collapsed Mt. Gox Bitcoin exchange have started receiving repayment in Bitcoin and cash, over a decade after the hack that led to its bankruptcy (Reuters). The trustee handling the case reported that some creditors will get partial payouts this month, marking the long-awaited resolution of one of crypto’s biggest scandals. The large-scale return of coins to former users is closely watched for its impact on the market.

  • Provides closure for many who lost funds in the Mt. Gox collapse
  • Could temporarily increase Bitcoin supply as recovered coins sell
  • Underscores the long-term importance of exchange security and trust

Reminder: Cryptocurrency markets are highly volatile and involve significant risk. Always do your own research (DYOR) and consider your risk tolerance before investing or trading.

Bottom Line

These headlines illustrate that cryptocurrency is entering a new phase of institutional involvement and tighter regulation, even as security risks persist. Major banks and payment networks are embracing crypto, and new investment products like Ethereum ETFs are arriving. At the same time, regulators in Europe and Asia are formalizing rules, and high-profile hacks serve as a reminder to stay cautious. As the industry evolves rapidly, investors should monitor developments closely and approach the market with care.