Ethereum-Based Arcadia Finance Exploit Highlights DeFi Security Risks

On July 15, 2025, Arcadia Finance, a decentralized finance (DeFi) protocol operating on Ethereum and Base, suffered a $3.5 million exploit due to a cross-chain attack. The breach, detected by blockchain analytics firm Cyvers, was traced to a malicious smart contract deployed by the attacker. Within minutes, $2.5 million was drained, underscoring the persistent vulnerabilities in DeFi systems, particularly around cross-chain bridges. This incident has reignited concerns about the security of DeFi platforms and the need for enhanced safeguards to protect user funds. Despite the setback, the broader cryptocurrency market, including Ethereum, remains resilient, with many investors viewing such events as opportunities to strengthen the ecosystem's security infrastructure. The exploit serves as a reminder of the importance of rigorous smart contract audits and the adoption of robust security measures in the rapidly evolving DeFi space.

Arcadia Finance Suffers $3.5M Exploit as DeFi Security Fears Resurface

Arcadia Finance, a decentralized finance protocol, has been exploited for $3.5 million in a cross-chain attack involving ethereum and Base. The breach, detected on July 15, 2025, underscores persistent vulnerabilities in DeFi systems, particularly around cross-chain bridges.

Blockchain analytics firm Cyvers traced the exploit to a malicious smart contract deployed by the attacker. Within minutes, $2.5 million was drained from Arcadia's vaults, converted to Wrapped Ethereum (WETH), and bridged to Ethereum. The remaining funds followed similar paths.

The attacker employed intermediary addresses to obscure transaction trails, a common money-laundering tactic. Analysts warn the stolen assets may soon be funneled through decentralized exchanges, complicating recovery efforts.

SharpLink Expands Ethereum Holdings to $846 Million, Surpassing Ethereum Foundation

SharpLink Gaming has bolstered its Ethereum treasury with an additional $225 million purchase, bringing its total holdings to 280,000 ETH worth $846 million. The aggressive accumulation began just over a month ago, positioning the firm ahead of the Ethereum Foundation's disclosed holdings of 217,500 ETH.

Ethereum co-founder Joe Lubin likened the buying pressure to an "industrial shop vacuum," underscoring institutional demand. SharpLink's stock surged 3.6% to $24.71, mirroring a 160% monthly gain as ETH breached $3,000. The move reflects a broader trend of public companies using crypto treasuries to enhance shareholder value.

EMJ Capital Predicts Ethereum (ETH) Could Reach $10,000 Amid Institutional Demand

Eric Jackson, founder and president of Toronto-based hedge fund EMJ Capital, has outlined a bullish case for Ethereum (ETH), projecting a potential surge to $10,000 by the end of the current market cycle. The catalyst, he argues, lies not in the already-approved ETH exchange-traded funds (ETFs) but in the anticipated approval of staking for these ETFs by October 2025.

Jackson emphasizes that staking approval WOULD transform ETH into a yield-generating asset, attracting institutional investors. His model predicts a supply crunch driven by increased demand, reduced circulating supply, and passive investment flows from traditional finance. Ethereum's deflationary tokenomics, growing transaction fees from layer-2 solutions, and the rise of real-world asset (RWA) tokenization further bolster this outlook.

Ethereum's ability to generate real revenue positions it as an undervalued network, poised to evolve into an institutional-grade yield product rather than a speculative asset. Jackson's base case of $10,000 reflects these dynamics, with even higher targets possible under optimistic scenarios.

Institutional Demand Surges as Ethereum Treasury Purchases Hit $1.65B

Ten corporate treasuries acquired 550,000 ETH last month, with SharpLink Gaming's $225 million purchase accounting for nearly 14% of the total volume. The buying spree removed 0.5% of circulating supply from open markets, with all allocations directed toward DeFi protocols rather than custodial storage.

Ethereum's Q3 2025 performance eclipsed Bitcoin's gains, fueled by accelerating institutional accumulation. Treasury entities now exhibit a buy-only behavior pattern, creating conditions for potential supply shocks as staking contracts lock tokens indefinitely.

SharpLink's 75,000 ETH acquisition occurred within a five-day window, signaling intensifying competition among corporate buyers. Market observers anticipate larger firms will enter the space, with weekly treasury formation becoming a recurring phenomenon.

Boundless Network Launches Mainnet Beta on Coinbase's Base, Pioneering Universal ZK Protocol

Boundless Network has unveiled its Mainnet Beta on Coinbase's Base blockchain, marking a significant milestone in zero-knowledge (ZK) infrastructure. The project, backed by RISC Zero's zkVM, introduces what it claims to be the first universal ZK protocol, attracting early adoption from heavyweight players like the Ethereum Foundation, Wormhole, and EigenLayer.

The incentivized testnet features Proof of Verifiable Work, a novel mechanism rewarding participants for generating and validating ZK proofs. This creates a decentralized marketplace for computational integrity, positioning Boundless as a trustless outsourcing hub for blockchains to offload complex verifications.

The launch signals a broader industry shift toward operationalizing ZK proofs across chains. With institutional backing and production-ready infrastructure, Boundless aims to redefine how cryptographic certainty is achieved in decentralized systems.

TAC Mainnet Launches to Bridge Ethereum DeFi with TON Ecosystem

TAC, an independent blockchain, has launched its mainnet with a mission to connect Ethereum's decentralized finance (DeFi) ecosystem to Telegram's TON network. The layer-1 solution offers EVM compatibility, allowing Ethereum developers to deploy applications on Telegram's platform without extensive code rewrites.

The project is not officially affiliated with Telegram but seeks to leverage its massive user base. TAC's strategy includes an $800 million liquidity campaign and partnerships with established players like Polygon Labs, signaling ambitious growth plans.

By addressing TON's developer accessibility challenges, TAC positions itself as a pragmatic bridge for blue-chip DeFi projects. The simultaneous listing of its $TAC token on major exchanges and Telegram Wallet integration underscores its immediate market ambitions.