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Crypto Bear Market "Shutdown Wave" Arrives as Infrastructure and Layer 1 Projects Concentrate on Exiting or Pivoting

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April 17, 2026 — A notable trend of project contractions and shutdowns has taken hold in the 2026 crypto industry, with multiple infrastructure, public chain, and application-layer projects announcing closures or entering liquidation processes. - **Mint Blockchain** today announced it will cease all operations, requiring users to complete asset withdrawals by October 20. - **Seamless** (Base ecosystem lending protocol) previously said it will shut down its frontend interface on June 30 and discontinue services. - **Dmail Network** (privacy email system) also announced it will gradually cease all operations starting May 15, 2026. Several infrastructure, wallet, and tooling projects are also exiting: - **Leap Wallet** (Cosmos ecosystem wallet) will stop operating on May 28; users must complete asset migration by then. - **Intergaze** (NFT-focused zero-Gas chain) will finalize asset liquidation 14 days before its cross-chain closure. - **Parsec** (on-chain data analytics tool) has officially ceased operations after 5 years, launching a refund process. - **Polynomial** (DeFi derivatives protocol) announced the orderly shutdown of its current operations. Some mature apps and ecosystem products are undergoing strategic contraction or transformation: - **Magic Eden** will close its Bitcoin and EVM markets and stop supporting multi-chain wallets. - **Step Finance** (post-hack update): Its SolanaFloor and Remora Markets will cease all operations. The SolanaFloor news/media hub was later acquired and relaunched by the Jito Foundation. - **ZeroLend** (lending protocol) has cut LTV ratios to 0% for most markets and urged users to withdraw funds promptly. - **Angle Protocol** (decentralized stablecoin protocol) will cease operations in March 2027 and transition to Merkl, a DeFi incentive platform. Overall, during this crypto downturn, the exodus of projects spans multiple sectors: public chain networks, lending protocols, NFT markets, wallets, analytics tools, and trading infrastructure.
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Arthur Hayes Hypes Again: $150 Is Just the Beginning

April 17: BitMEX co-founder Arthur Hayes took to social media to announce, “HIP4 will bring binary options trading to Hyperliquid (link: https://app.hyperliquid.xyz/join/NTOD), and I expect trading volume to surge explosively. HYPE hitting $150 is just the beginning.” Per HTX market data, HYPE is currently trading at $43.48, down 4.63% over the past 24 hours.

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After Two-and-a-Half-Month Hiatus, Whale Makes $3.8 Million Short Bet on S&P 500 Index

April 17th: Per Onchain Lens data, a crypto whale (after 2.5 months of inactivity) deposited 1.9M USDC into Hyperliquid and opened a $3.8M 20x leveraged short position on the S&P 500 contract. ### Notes on American English adaptation: 1. **Conciseness**: Used "per Onchain Lens data" (common in financial/crypto alerts) instead of "according to Onchain Lens monitoring"; abbreviated "million" to "M" (standard in quick updates). 2. **Accuracy**: Replaced "silence" with "inactivity" (more precise for a trading account’s quiet period, not literal silence). 3. **Flow**: Parenthetical phrasing for context ("after 2.5 months of inactivity") keeps the core action front-and-center, matching U.S. news alert style. 4. **Clarity**: Led with the date (common in U.S. timestamps) and placed the dollar amount first for the short position (prioritizes key financial detail).

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Elon Musk Responds to X Official Mascot Request, Meme Coin ASTEROID Surges Over $10 Million

**April 17th** Per GMGN monitoring, the Solana ecosystem meme coin **ASTEROID** saw a sharp surge in market capitalization at launch, peaking at $10 million. It currently trades at a $7.6 million market cap, with trading volume topping $18.5 million. The meme coin’s narrative stems from 15-year-old Liv Perrotto, whose greatest wish before her passing was to meet Elon Musk. She documented a list of questions she wanted to ask him. Previously, she designed a zero-gravity indicator toy shaped like a Shiba Inu named “Asteroid.” After the girl’s death, her mother publicly wrote to Musk, hoping to name “Asteroid” SpaceX’s official mascot. Musk responded, “Will respond soon.” BlockBeats notes that meme coin trading is highly volatile, heavily reliant on market sentiment and hype, and lacks real-world value or utility. Investors should be mindful of these risks.

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Upbit will list SOON

April 17th: Upbit will list the SOON/KRW trading pair, per official sources.

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ASTEROID Top Address Ily Buys $5,920 Token, Now Sitting on Over 21x Unrealized Gains

Per on-chain analyst Ai Auntie (@ai9684xtpa), on April 17th, the top-ranked ASTEROID leaderboard address—held by Ily—purchased the token for roughly $5,920 at an average entry price of $0.00043. Current unrealized gains sit at ~$130,000, good for a 2163% return on investment (ROI).

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「HYPE's Biggest Short Seller」 Liquidates $8.5 Million USD Spot Hedge, Daily Funds Increase by $1 Million USD

April 17th — Per HyperInsight monitoring, the on-chain hedging whale dubbed the "HYPE Largest Short" continued to place TWAP orders thick and fast overnight and this morning after HYPE’s price dropped below $45.5. As of press time, it has sold over 190,000 HYPE spot tokens, valued at roughly $8.5 million. It still maintains a spot position worth $19.5 million, potentially eyeing gradual realization of spot profits. Additionally, the address holding a $24.1 million short position has not shown any signs of trimming its position. Previously, its strategy entailed hedging downside risk on its spot holdings via short positions. However, after closing out its spot position, the address failed to unwind its short position, leaving it with a $5.6 million unilateral downside exposure and aiming to profit from an extended pullback. As the market pulled back slightly to ~$43.5, pressure on the heavily hedged short position—which had been deep in unrealized losses amid hedging activity—has

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