Tom Lee: AI trading remains very active, and the Democratic Party is advancing crypto legislation.

Privacy Cash, a privacy protocol, announced on X that it is temporarily suspending all deposit services, while withdrawal functions remain fully operational. The official stated: "Our original goal in creating Privacy Cash was to provide privacy tools for ordinary people, not to facilitate crime. In light of the recent Binance hack, we must ensure bad actors do not misuse our product." During the suspension, the team will continue to strengthen its wallet screening system, with a specific resumption date to be announced later. According to on-chain analytics firm Elliptic, approximately $1.2 million in stolen ETH and SOL from Binance has flowed into Privacy Cash's privacy pool. Of that amount, around 41 ETH and 9,600 SOL (totaling roughly $1 million) entered on November 3, followed by an additional ~2,300 SOL. This sum represents a tiny fraction of Binance's total stolen funds, which are valued at around $6 billion. Privacy Cash is a zero-knowledge (ZK)-based privacy protocol that supports networks including Solana, Ethereum, Base, BNB, Hyperliquid, and Robinhood Chain. After users deposit assets into the shared pool, they can withdraw to any address via ZK proofs, cutting off on-chain links. The protocol is backed by Alliance DAO, has processed over $600 million in trading volume, and has undergone multiple security audits. The suspension is a proactive compliance and risk control measure taken by the privacy protocol following the large-scale Binance hack on October 29. Assets already deposited by users can still be withdrawn normally.

According to the Polygon community forum, the community has submitted a PIP proposal, which plans to conduct a coordinated hard fork to wipe out approximately 70.49 million native POL tokens from compromised attack addresses and transfer them to designated victim recovery addresses, covering stolen funds from two security incidents involving Polymarket and Binance. The proposal notes that between October 29 and 30, Polymarket and Binance successively suffered security breaches, with stolen native POL flowing into Polygon PoS attack addresses. At the request of relevant parties, block validators have added these addresses to the Bor transaction blacklist. Currently, five attacker-controlled addresses hold a total of ~70.49 million POL: ~23.86 million (across 4 addresses) related to Polymarket, and ~46.63 million (1 address) related to Binance. The blacklist only prevents outbound fund transfers, not asset recovery, and attackers are still attempting to bypass it. The proposal requires zeroing the native POL balances of the listed addresses at a fixed block, while crediting verified recovery addresses with an equal amount: Polymarket’s address is 0x3dcE0a2....a6440b4D952, Binance’s is 0xd9fd391....610b80. Total supply remains unchanged, limited only to the native POL in question. Proposed by Polymarket and Binance, the proposal will be presented at the Polygon protocol governance meeting at 14:30 UTC on November 5. If approved, client development and Amoy testing are expected to wrap up in about two weeks. The proposal emphasizes this is an extreme measure and should not serve as a precedent for normal operations.

According to Yonhap News Agency, Dunamu, the operator of Upbit, will attend the "2026 National Assembly Legislative Expo" held at the central lawn plaza of the National Assembly Building in Yeouido, Seoul, for two consecutive days starting today. It has set up an exhibition booth under the slogan "The Value of Digital Assets, Safely Passed to the Next Generation", focusing on proposing institutional improvements to strengthen the protection of virtual assets as inheritance property. The company noted that the core goal is to protect users' virtual assets as soon as possible after their death and make it easier for heirs to locate such assets. A Dunamu official stated that virtual assets currently fall into a blind spot of institutional protection in inheritance processes, adding that the firm hopes this policy proposal will serve as an opportunity to solidify the relevant institutional foundation.

On-chain data analyst Yu Jin monitored that between 11 PM and 12 AM yesterday, when ETH surged from $2,315 to $2,440, the address of F2Pool co-founder Wang Chun sold 6,200 wstETH during the rally to convert into 18.5 million USDC, with an average selling price of the ETH equivalent at $2,390. Afterward, he transferred the USDC to Binance.

According to Fox Business reporter Eleanor Terrett, House Democrats are discussing expanding Representative Maxine Waters’ 2025 amendment to the Clarity Act — the Crypto Investor and Consumer Rights Act — into a more comprehensive crypto "market structure" bill for the next Congress. The draft is reportedly set to include provisions from the Democratic version of the Clarity Act previously introduced by Waters in the House but not adopted, as well as parts of an agreement reached between Senate Democrats and Republicans before a September vote that halted debate. Key points under discussion include granting the U.S. Securities and Exchange Commission (SEC) a larger role in regulating crypto markets, while correspondingly scaling back the Commodity Futures Trading Commission (CFTC)’s authority; and possibly adding ethics provisions to restrict crypto-related activities by President Trump and other federal officials. Republicans have referred to the bill as a "statement piece".

Crypto journalist Eleanor Terrett broke the news on social media, citing three industry sources who spoke with Democratic congressional staffers: House Democrats are discussing a plan to expand the Crypto Investor and Consumer Rights Act — a 2025 amendment Rep. Maxine Waters proposed to the CLARITY Act — into a broader crypto "market structure" bill for the next Congress. The proposal would combine two sets of provisions: original Democratic CLARITY Act language that Waters introduced in the House (which failed to pass), and terms Senate Democrats struck with Republicans ahead of September’s cloture vote. Discussions reportedly include granting the U.S. Securities and Exchange Commission (SEC) a larger role in overseeing crypto markets, while limiting the U.S. Commodity Futures Trading Commission (CFTC)’s role. Additional ethics rules are also likely to be added to restrict crypto activities by President Trump and other federal officials. Republicans have labeled the measure a "messaging bill" — legislation intended solely to communicate political stances, with little practical chance of being enacted.