AI and Crypto: Charles Hoskinson Warns of a New Threat to the Industry

AI and crypto are becoming increasingly intertwined, but along with new opportunities, the market is also facing new risks. According to Charles Hoskinson, the founder of Cardano, artificial intelligence could significantly amplify threats to software, wallets, bridges, and the entire infrastructure of digital assets.

Charles Hoskinson outlined his vision for the future of the crypto market, discussed Cardano's plans, and emphasized that the industry is not yet prepared for the speed at which AI tools are evolving, including the growing interest in solutions like ChatGPT. Cryptocurrency is becoming not only an investment asset but also part of a complex technological environment where security can no longer be a secondary concern.

Why AI is a Challenge for the Crypto Market

The main risk pointed out by Charles Hoskinson is related to AI hacking. The faster AI models develop, the easier it becomes for malicious actors to find vulnerabilities in code, automate attacks, and scale them. In such a situation, the race for rapid product launch should no longer take precedence over reliability.

The more powerful AI tools become, the more important it is to check code, wallets, bridges, and all infrastructure that investors work with in advance.

In his opinion, basic protection should be built in several directions:

• Insurance mechanisms for non-custodial wallets and bridges;
• Stricter security requirements for projects;
• The ability to return funds to investors in the event of serious incidents.

Market capitalization alone does not protect a project if its infrastructure is vulnerable.

Cardano is betting on ZK technologies and decentralized identity. These tools should help with private access recovery and payouts without undermining the fundamental principles of privacy.

Another important trend is the convergence of Web2 and Web3. For the mass market, it is no longer enough to simply launch a blockchain application. Users need AI services, privacy, digital identification, and compliance all within a coherent framework.

Hoskinson also believes that competition is changing. Blockchains are not only competing with each other: serious competitors are large corporations, including Google and JPMorgan, which are building their own financial and technological infrastructure.

According to him, Cardano has a strong technological base, but the project needs a clearer marketing strategy. Without it, even a quality architecture may remain undervalued by the market.

Hoskinson also commented on Ethereum. He sees a risk of weakening decentralization due to the lack of on-chain treasury and full governance. In the short term, over the next 3 to 6 months, the market may remain under pressure. Long-term drivers, in his opinion, are related to the tokenization of real assets and the influx of new users.

AI Agents Could Drive Mass Adoption of Cryptocurrencies

Danger is not the only aspect of AI development. At Franklin Templeton, they believe that AI agents could become one of the main factors for the mass adoption of cryptocurrencies. The logic is simple: such agents will perform a vast number of micropayments among themselves, while traditional banking infrastructure is too slow and expensive for this.

If AI agents start to make micropayments to each other on a large scale, cryptocurrencies may need infrastructure for fast and cheap micropayments.

In this scenario, blockchain appears to be a more suitable foundation: it allows for faster, cheaper operations without numerous intermediaries.

In this scenario, analysts highlight several networks and tokens:

• Aptos / APT: a potential beneficiary of the growth of micropayments between AI agents.
• Solana / SOL: a network and token considered as candidates for fast and inexpensive transactions.
• BNB Chain / BNB: an ecosystem and token that may also see demand in the scenario of mass micropayments.

How AI is Used in Cryptocurrencies and Trading

Using AI for cryptocurrency trading is possible, but it does not eliminate market risk. Such tools help to quickly analyze large amounts of data, identify patterns, create trading scenarios, and automate part of the operations.

In trading, AI typically takes on several tasks:

• analyzing prices, volumes, news background, and on-chain data;
• searching for signals and anomalies in the market;
• forecasting likely price movement scenarios;
• automating trades based on predefined rules;
• controlling risk and position size.

AI trading differs from classical algorithmic trading in that the algorithm operates according to pre-written rules, while AI can adapt the model to new data. In practice, these approaches are often combined: the algorithm executes trades, while AI assists with analysis and strategy adjustment.

AI models like ChatGPT can be useful for analyzing market information, validating ideas, and preparing scenarios, but they should not be viewed as a ready-made system for buying and selling cryptocurrencies. The best tool depends on the task: analysis, trade automation, risk management, or working with on-chain data.

What are AI Tokens

AI tokens are crypto assets from projects that use artificial intelligence or serve infrastructure for AI services. They can be used for payment for computations, access to services, rewarding network participants, project governance, and settlements between AI agents.

Crypto assets related to the growth scenario of AI agents include:

• Aptos / APT: a potential beneficiary of the growth of operations between AI agents.
• Solana / SOL: a network and token that may be in demand for fast payments.
• BNB Chain / BNB: an ecosystem and token also considered in the context of mass micropayments.

The potential of an AI token should be assessed by several criteria: whether the project has a working product, a clear role for the token, real demand for the service, sustainable economics, active developers, liquidity, and transparent security.

The main risks of AI tokens are associated with overvaluation of the sector, weak connection of the token to the real product, vulnerabilities in smart contracts, low liquidity, regulatory pressure, and the possibility that the AI market could overheat quickly.

AI tokens are usually purchased through cryptocurrency exchanges or licensed platforms, if available to the user. They can be stored on an exchange account for active trading or in a non-custodial wallet if independent control over assets is more important.

Major Players Unite to Protect Bitcoin

BlackRock, Coinbase, Fidelity, Strategy, and other market participants have announced the creation of the Bitcoin Security Consortium. Its goal is to fund developers and research related to the security of the Bitcoin network.

Particular attention will be paid to future threats, including potential quantum attacks. For these purposes, consortium members plan to allocate $15 million over three years.

Bitcoin remains a key asset in the industry, so questions about its long-term protection are becoming important not only for coin holders but for the entire cryptocurrency market.

The Hunt for Cryptocurrency Owners Intensifies

According to CertiK, there were 52 confirmed attacks on crypto investors in the first half of 2026. This is a 33% increase compared to the previous year.

The total damage rose from $10.5 million to $124.1 million. The average loss per incident increased nearly ninefold, reaching $2.39 million.

The rise in home invasion attacks is particularly alarming: there were 20 incidents compared to just one case a year earlier. The number of kidnappings has also increased, from 12 to 16.

About 75% of all recorded attacks occurred in Europe, with 33 out of 52 cases happening in France.

Criminals are increasingly using leaked personal data, information from social media, and open databases to find wealthy owners of digital assets.

EU Prepares Restrictions Against Crypto Platforms

Ambassadors from all 27 EU countries have agreed on the 21st package of sanctions against Russia. The European Union intends to ban operations with crypto companies and platforms that serviced sanctioned Russian entities or helped circumvent restrictions.

The sanctions list includes crypto companies and platforms associated with servicing sanctioned Russian entities or circumventing restrictions:

• WhiteBird;
• HTX;
• EXMO Ltd;
• Rapira;
• Aifory Pro;
• ABCeX;
• NoOneCrypto INC;
• Tradex;
• Monease Ltd;
• BitPapa;
• Exnode / Exnode Pay;
• A7 Nigeria;
• A7 Africa;
• PilotFinance Ltd.

The restrictions are set to take effect on August 23, 2026.

Bank of America Records Rare Surge of Optimism

The Bull & Bear sentiment indicator from BoFA has risen to 9.6 out of 10. This indicates extremely high investor confidence in further market growth.

The amount of free cash among managers is decreasing: the cash share in portfolios has dropped from 4.1% to 3.6%. A significant portion of capital is already allocated to risky assets, and the room for new purchases is shrinking.

Almost no one expects a recession. 54% of managers believe the economy will continue to grow without serious slowdown. Another 39% anticipate a mild cooling, and only 2% expect a deep downturn.

At the same time, investors understand that the AI market is overheated. 45% of survey participants identified a bubble in the AI segment as the main risk, while 82% consider shares of chip manufacturers the most crowded trade in the market.

Bank of America recommends not chasing growth but reducing risk or reallocating part of the capital into government bonds, defensive companies, and dividend stocks.

Russia Prepares New Regulatory Framework for Crypto Market

The State Duma has approved a bill submitted by the Government of the Russian Federation. Starting September 1, traders and companies will be required to report to tax authorities about the movement of funds in foreign electronic wallets. The procedure and deadlines for reporting will be determined by the government.

At the same time, participants in foreign economic activity will officially be allowed to accept cryptocurrency as payment for foreign trade contracts. Previously, such operations were conducted at their own risk.

From July 1, 2027, a licensed cryptocurrency circulation system is expected to operate in Russia. Russians will be able to purchase digital assets through licensed Russian platforms, without foreign or gray exchanges. The exchange of cash rubles for cryptocurrency will only occur through such intermediaries.

After purchasing cryptocurrency, it will be possible to transfer it to foreign wallets. The Bank of Russia will have the right to impose restrictions, for example, on the amount of transfers.

It is from July 1, 2027, that most changes will be noticed by ordinary users who occasionally conduct operations with cryptocurrency.

Working with foreign crypto services, including exchanges and wallets, is generally not prohibited. If a person already has cryptocurrency or foreign accounts, they will be able to continue transactions in the external framework. The main condition is to report to the tax authorities about the movement of funds.

For active trading in the new Russian framework, it is advisable for users to obtain the status of a qualified investor. One option is to conduct transactions with securities worth 6 million rubles over six months, while performing at least 10 operations per quarter and at least one operation per month. This status will allow trading without restrictions but is associated with increased risks.

Part of the market participants may remain in the shadows, but many are interested in legalizing activities and obtaining official status.

Sberbank Plans to Create Cryptocurrency Trading Infrastructure by December 2026

Sberbank plans to create infrastructure for cryptocurrency trading and launch a digital depository by December 1, 2026. This was announced by Alexander Vedyakhin, the first deputy chairman of the management board.

Sber welcomes the adoption of the law regulating the cryptocurrency market — this is an important step towards forming the crypto asset market in Russia. Sber has consistently participated in consultations with the Bank of Russia on the draft law to find a balance between state interests, investor rights protection, and market development. Sber plans to implement the necessary infrastructure for cryptocurrency trading and launch a digital depository by December 1, 2026.

Sber is preparing to integrate cryptocurrency operations into Sberbank Online and Sber Investments. Clients will be able to buy, sell, store, and account for crypto assets through the familiar banking interface.

The bank is also considering its role as an intermediary between Russian clients and foreign cryptocurrency exchanges. Specific platforms have not yet been named.

RWA Market Grows: Tokenized Stocks Move Out of Niche

The volume of the RWA market is still incomparable to the traditional stock market, but it is already difficult to ignore. The monthly volume of tokenized stock transfers has increased 170 times.

In recent years, the main question for RWA has been which real assets can be transferred to blockchain. The focus has alternated between government bonds, money funds, real estate, and private loans. Now, tokenization is increasingly affecting stocks — one of the largest and most liquid classes of financial assets.

The essence of stock tokenization is not just to issue a copy of traditional paper in the form of a token. Much more importantly, blockchain can change the issuance, trading, settlement, and use of such assets.

In the classical financial system, one stock transaction goes through several links:

• exchanges;
• brokers;
• custodial structures;
• clearing houses;
• banks.

Temporary gaps arise between markets, cross-border operations require complex infrastructure, and settlements take time.

In the blockchain environment, assets can be transferred and settled automatically through smart contracts. Theoretically, this opens the way for 24/7 trading and the movement of assets between different financial protocols and networks.

This is where the main difference between tokenized and traditional stocks lies. Ordinary stocks exist within a relatively closed financial system, where trading, settlements, and collateral depend on various organizations and infrastructures.

When tokenized stocks enter the blockchain network, they become programmable elements of on-chain finance. They can not only be bought and sold but also transferred, used as collateral, and included in other financial products.

According to a16z crypto statistics, the monthly volume of tokenized stock transfers reached $9.22 billion. This figure cannot be directly equated to the volume of stock trading on exchanges, but it is significant: more and more real on-chain operations are being conducted with such assets.