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Good morning and welcome to the Hodl Report

One minute you’re staking ETH, the next you’re wondering if a North Korean bot just drained your wallet. In today’s Hodl Report, we’re diving into the shadowy world of AI-powered crypto heists and yes, Pyongyang is hiring prompt engineers now. Plus, I’m asking the age-old question: is fiat finally dead, or is this just another meme doing laps on X? Either way, you’ll want to read before the next “sovereign money” tweet hits your feed.

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Editors Corner

The End of Fiat, or Just Another Meme?

Every few months, Crypto Twitter dusts off its favorite bedtime story:
“The dollar’s collapsing. The Fed’s out of ammo. Hyperinflation is coming. Bitcoin fixes this.”

It’s a great narrative — apocalyptic enough to get clicks, optimistic enough to sell hope.
But here’s the inconvenient truth: fiat never dies. It just rebrands.

Currencies have been “collapsing” for thousands of years, yet somehow governments always find a new way to print, tax, or distract their way out of the grave. Rome debased its coins, Weimar printed wallpaper, and now we’ve got the digital equivalent — QE, CBDCs, and endless debt ceilings that nobody actually respects.

The dollar’s not strong because it’s backed by gold. It’s strong because it’s backed by debt, guns, and habit. And until something breaks all three at once, fiat’s not going anywhere.

That doesn’t mean crypto’s narrative is wrong — it’s just early. Bitcoin is the antidote to fiat rot… but adoption takes decades, not news cycles. You can’t replace the global reserve currency with a meme and a hardware wallet overnight.

So when you see “the end of fiat” trending, remember:
The end of fiat isn’t an event — it’s a process.
It’s slow, uneven, and happening in the background while everyone argues about rate cuts.

And if you zoom out, maybe that’s the beauty of it.
Fiat doesn’t need to die for crypto to win — it just needs to lose a little credibility every cycle.

Crypto Trivia: The OneCoin Illusion

Before FTX or Luna, there was OneCoin — the original billion-dollar crypto scam. Founded by self-proclaimed “CryptoQueen” Dr. Ruja Ignatova, it promised to be the next Bitcoin while secretly operating as a pyramid scheme. How much money did investors lose

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When AI Outperforms the S&P 500 by 28.5%

Did you catch these stocks?

Robinhood is up over 220% year to date.
Seagate is up 198.25% year to date.
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We’ve teamed up with AltIndex to give our readers free access to their app for a limited time.

The next top performer is already taking shape. Will you be looking at the right data?

Past performance does not guarantee future results. Investing involves risk including possible loss of principal.

Today’s Report

North Korea’s AI Hackers Are Redefining What Crypto Risk Looks Like

🚨 Our Report
It turns out the next crypto crime wave isn’t coming from basement coders with caffeine addictions—it’s coming from the state‑backed, AI‑empowered hackers of North Korea. These groups are deploying large language models and automation tools to scan smart contracts, launch phishing campaigns, and launder stolen crypto with near‑industrial precision. One expert even says that AI, not quantum computing, is the real “soon‑to‑break‑everything” threat to the blockchain world. And with billions already reportedly siphoned off, this isn’t sci‑fi—it’s market reality.

🔓 Key Points

  • A leading cryptographer says North Korean hacker units have stolen an estimated $2 billion in crypto in 2025 so far.

  • The infamous Lazarus Group leveraged AI to analyse open‑source codebases across multiple blockchains, spot mirrored vulnerabilities and execute the record‑setting Bybit breach in February for ~$1.5 billion.

  • AI is now used end‑to‑end: reconnaissance, phishing via synthetic profiles, deepfakes, code‑analysis, exploitation, and automated laundering via mixers and OTC brokers.

  • The quantum threat (i.e., breaking SHA‑256 via powerful machines) remains distant — at least ten years out, according to experts.

  • But AI? That’s now. Smart‑contract platforms are under “industrial‑scale” scanning pressure and could be blindsided.

🔐 Relevance
For the savvy investor, this story is a wake‑up call. While everyone’s busy fretting over quantum doomsday or “when will Bitcoin hit $200 k?”, the more immediate threat to value lies in execution risk: protocols, wallets and exchanges getting compromised not because of tomorrow’s tech, but because attackers now use today’s tech smarter and faster.
If a small state‑backed team armed with AI can roll multiple chains in one hit, the idea of “smart contract audit once, ship it, no worries” is obsolete. Risk management must evolve: continuous AI‑aware auditing, better code hygiene, funneling of funds through more vigilantly monitored pathways. For exchanges with huge custody operations, the message is loud and clear: integrate AI‑defence tools or get bypassed.
On a macro level: when hacks scale like this, it drags liquidity, shakes confidence, and heightens regulatory scrutiny. Investors may pivot away from protocols deemed weak or legacy, favoring those with demonstrable resilience—or withdraw entirely until the fever subsides. The criminal narrative is shifting fast: state‑sponsored hackers + AI = crypto’s new “terror twin”. If you thought the doubling of DeFi insurance covers was enough—think again.

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Today’s Top News

HEADLINES

Market Trendline

PRICE ACTION

The crypto space is tip‑toeing out of its shell, not charging in. Bitcoin is holding above ~$113K, showing structural stability after a bruising liquidation wave earlier in October. Altcoins are inching higher‑‑fear is still the predominant mood (the Fear & Greed index remains in “Fear” territory). Liquidity is returning but conviction isn’t.

Notable Movers

  • Bitcoin (BTC): Up modestly around 0.5‑1% in the past 24 h, testing resistance near $112K–114K. A break above ~$114K with volume would signal a tilt toward bullish momentum rather than just consolidation.

  • Ethereum (ETH): Gaining ~2‑3% and showing accumulation by large wallets—whales holding 10K–100K ETH are adding positions, a historically bullish setup. Shift from futures/leverage to spot flows.

  • Solana (SOL) & XRP: Among alt‑coins with relative strength. Solana seeing institution flows, XRP reclaiming 200‑day averages as ETF conversions continue creeping in.

  • Zcash (ZEC): Flashy jump on a speculative target call (20%+ in 24 h) but this one smells like classic hype. Technically fragile.

Macro View
Several macro levers are nudging crypto into “risk‑on” mode: improving U.S.–China trade dialogue is boosting sentiment, inflation cooled more than expected, and expectation of a rate cut by the Federal Reserve is high. But all of this is baked into the price partially; the market is still waiting for a trigger that convinces it to sprint rather than trot. On‑chain data: futures funding is normalized, perpetual volumes low—spot accumulation appears to be dominating.

Bottom Line
The market isn’t diving anymore; it’s creeping higher. Bitcoin and Ethereum are the safe benches for now, with altcoins showing selective strength. If Bitcoin breaks above $114K with conviction, we might see broader speculative flows. Until then, expect range‑bound moves and caution prevailing over euphoria.

Today’s Top Meme

MEME GOD

Today’s Top Tweet

TWITTER NEVER SLEEPS

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DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.

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