WuBlockchain Weekly: Democratic Win Triggers Market Selloff, Vitalik Flags Crypto Survival Priority, Binance Exposes $6.34B Hack Plot, etc

Judgment

Risk managers at crypto funds and banks must decide whether to cut exposure now, because the Democratic sweep makes expanded SEC oversight the clearer near-term threat, while Binance’s $6.34B breach shows a security failure can override policy by freezing withdrawals and pulling Fed/OCC bank reviews into crypto.

Basis

Democrats won both congressional chambers; markets fell sharply: Nasdaq 4.98% intraday, S&P 500 3.25%, Dow 2.13%; BTC low $75,558, down 5.32% in 24 hours; ETH low $2,236, down 7.23%; $870M liquidated in four hours, including $812M longs and $58.34M shorts. Eleanor Terrett reported House Democrats are discussing a broader market-structure bill that would expand SEC authority, limit the CFTC, and possibly add ethics provisions; Republicans call it mostly political messaging. Binance said attackers used fake job interviews, malware, and internal AI tools; on Oct 29 stolen credentials deployed malicious containers and EIP-7702 delegated permissions. About $6.34B was involved, ~$2.85B frozen or intercepted, and 98% of affected token assets were replenished by Oct 31. He Yi said Binance blocked 57 suspected North Korea-linked incidents since 2026 but failed to prevent one major incident. Reuters said the Fed and OCC urgently contacted banks about vulnerabilities.