Crypto Exchanges Struggle with market Volatility; Polymarket and Kalshi Secure Major Investments
crypto exchanges faced significant challenges this week as market volatility sent Bitcoin prices plummeting. Binance, one of the largest exchanges, experienced system outages during Bitcoin’s sharp drop from $124,000 to $104,000. Co-founder Yi He apologized and promised compensation for affected users.
Meanwhile, prediction market platforms Polymarket and Kalshi are making headlines. Polymarket, now valued at $9 billion after a $2 billion investment from Intercontinental Exchange, plans to launch its native token in 2026. Kalshi secured $300 million in funding, valuing the company at $5 billion. This capital will help Kalshi expand into 140 new countries.
Regulatory developments are also shaping the crypto landscape.The Monetary Authority of Singapore delayed new crypto asset rules for banks until 2027. Bybit, the second-largest crypto exchange, obtained a license in the UAE, becoming the first fully regulated exchange in the region.
Other notable developments include Morgan Stanley opening crypto access to all clients and North Korea’s crypto theft reaching $2 billion this year. India is also advancing its central bank digital currency, aiming to simplify transactions and reduce paper usage.
These events highlight the ongoing challenges and opportunities in the crypto industry, from technical issues and regulatory hurdles to significant investments and global expansion.
