Crypto Biz: Bitcoin’s $116M self-custody wake-up call

A $116 million Bitcoin wallet exploit puts self-custody under scrutiny as ETF inflows rebound, Strategy eyes more BTC and miners chase billions in AI deals.

A $116 million hardware wallet exploit has reopened one of Bitcoin’s oldest debates: Is holding your own keys worth the risk? Days later, US spot Bitcoin ETFs recorded their strongest inflows since April, prompting Bloomberg analyst Eric Balchunas to wonder whether security scares could eventually push more investors away from self-custody and toward ETFs.

Elsewhere, Strategy is preparing to resume Bitcoin purchases after a rare bout of selling, Riot Platforms is reportedly turning its mining infrastructure into a $9 billion AI deal, and Trump Media is rethinking its crypto treasury strategy after a $238 million quarterly loss.

Strategy CEO Phong Le said the company plans to resume Bitcoin accumulation later this year, seeking to reinforce its long-term strategy after a series of relatively small sales drew scrutiny over its once-firm “never sell” stance.