Rabbit Hole Recap
Join ODELL and Marty as they sit down to discuss the latest news in Bitcoin every week.
Recent episodes
Google Wants to Custody Banks' Bitcoin. Brazil Shows Why You Hold Your Own | Rabbit Hole Recap 426
- Google announces MPC (multi-party compute) custody solution for institutions targeting early 2027 launch; competing with Fireblocks and BitGo for enterprise digital asset custody. - Bitcoin Core patches two medium-severity vulnerabilities discovered by Lupe Project; AI auditing now accelerating bug discovery and shortening disclosure embargoes. - Brazil's leftist victory under Lula triggers 13.88% stock market collapse and 25-year worst day for the real; illustrates capital flight from jurisdictions weakening property rights. - Jason Calacanis argues Bitcoin should be sold for superintelligence; dismissed as rage bait, though raises questions about AI capex sustainability versus hard money. - Anthropic S1 filing shows significant capex commitments; Paul Kedrosky argues frontier model training costs are rising and first lab to stop training may win most profitably. - eCash (Bitcoin dividend fork) launches with difficulty adjustment; requires node operators running Bitcoin Core 32.1 to update before fork block 973728.
The Cyber Pandemic Is Here: AI Found a Hole in the Code Running Most of the Web | Rabbit Hole Recap 425
- PHP vulnerability (CVE-2024-3156 and related) discovered by AI tools, affecting 69% of websites; exploitation attempts reached millions within hours of patch release, with Railway and other platforms already breached. - AI tools drastically lowering the cost of exploit discovery; CVE tracker shows exponential growth in critical vulnerabilities, from ~6,000 to over 15,000 in recent months. - Peter Thiel's fourth lecture on "New Rome" and the antichrist framework; discussion of catechon (what restrains evil), geopolitical consolidation, and potential internet shutdowns as governments seek control. - Heatbit Bitwater: new water heater element with 20 mining chips (BM1370s) that screws into existing electric tanks, producing 34 TH/s at 12 J/TH; ships Q1 2027 at $899–$1,299. - OCC finalizes GENIUS Act rules, dropping yield presumption on stablecoins; SoFi launches tokenized deposits paying 4.4%; France levies 31% tax on crypto-to-stablecoin swaps. - Anthropic and AI trade slowdown; Amazon CFO leaked criticism of AI spending going cash-flow negative; SpaceX revenue solid, but broader AI hype deflating amid infrastructure and profitability concerns.
Bank of America Broke the Law for 7 Years. Samourai Devs Got Prison. | Rabbit Hole Recap 424
- Bank of America received a $1.21 billion fine for violating anti-money laundering and sanctions laws, while Samourai Wallet developers face criminal prosecution for non-custodial software, highlighting a two-tiered justice system in financial regulation. - FinCEN told the Southern District of New York that Samourai was not a money transmitter six months before charges were filed, suggesting prosecutorial overreach. - The OCC released a report confirming Operation Chokepoint 2.0: nine major banks (JPMorgan, Bank of America, Citibank, Wells Fargo, U.S. Bank, Capital One, PNC, TD, BMO) systematically denied banking services to lawful businesses between 2020 and September 2025. - Ledger hardware wallets were found to have confirmed supply-chain implants (Crypto Billis) affecting over $100 million across 300+ wallets; European resellers are backtracking amid security concerns. - BIS paper claims money must be government-issued for trust; Bitcoin's fixed supply cap and multiple forks undermine its role, though central banks continue buying gold annually. - Anthropic's Q3 revenue growth slowed to 2% month-on-month ($176.8B reported), triggering necloud stock decimation (CoreWeave, Nebius, Iron) as investors repositioned.
$86M Drained From Ledgers & Can AI Break Bitcoin's Crypto? | Rabbit Hole Recap
- Ledger reseller attack via CryptoBillis: An estimated $86M in Bitcoin, Ethereum, and Tron reportedly drained from wallets purchased through the Southeast Asian reseller; evidence suggests hardware manipulation (possibly eSIM implants) before sale. - Justin Drake's AI-breaks-ECDSA claim debunked: Ethereum Foundation researcher claimed frontier AI could break elliptic curve cryptography; cryptographer Yehuda Lindell (Coinbase) dismissed it as unfounded FUD with no evidence. - Project Loupe Bitcoin Core hardening: Spiral/Block-funded red team disclosed five merged and three pending pull requests fixing critical bugs (silent payments, RPC port vulnerability, transaction manager race condition, package eviction). - South Korean bank breaches via AI tools: Nine banks compromised; attackers used open-source Chinese AI models and Claude to brute-force loan status pages and extract 68,000+ customer records with minimal sophistication. - Dark Horse energy deal: 50MW expansion agreement with Hopkinsville Electric includes $65M substation (paid by Dark Horse) benefiting local grid with 15MW allocated to residential consumers—counters data center FUD. - Block's mainstream Bitcoin ad campaign: Multi-year campaign launching in movie theaters and major sporting events aimed at making Bitcoin approachable to everyday Americans.