Several important developments have recently converged in the crypto market. U.S. September nonfarm payrolls increased by only 29,000, far below market expectations, reinforcing expectations that the Federal Reserve will pause rate hikes in October, and Bitcoin briefly broke above $87,000. Meanwhile, the U.S. SEC proposed a new custody framework under which some funds may hold their own crypto asset private keys; the U.S. Treasury imposed sanctions on A7 Network, with FinCEN tracking more than $17 billion in funds; the destination of $387.5 million stolen from Bitget was revealed, with only about $840,000 frozen; Blast announced it will shut down its Layer 2 network, and users must withdraw assets by October 26. These events point respectively to macro market trends, regulatory compliance, on-chain security, and Layer 2 network operations, and form the focus of this comprehensive review.
On macro data, U.S. September nonfarm payrolls rose by only 29,000. This employment reading was far below expectations, reinforcing market expectations that the Federal Reserve will pause rate hikes in October and driving a short-term rally in Bitcoin, which briefly broke above $87,000. The data became a core macro event affecting risk asset pricing, and it also reflects that crypto asset prices remain sensitive to traditional economic data. The source material did not provide more detailed employment components or market institution commentary, but the contrast between "only 29,000 added" and "far below expectations" was the main trigger for this market move.
On regulatory developments, the U.S. SEC proposed a new custody framework. The key change in the framework is that some funds may hold their own crypto asset private keys. Private keys are a critical part of a fund's control over crypto assets; if funds can hold them themselves, new arrangements will emerge for asset control methods and responsibility boundaries. The source material defines the proposal as an important change in U.S. regulatory policy that could alter the crypto asset custody landscape and affect funds, custodians, and compliance paths.
For funds, being able to self-custody private keys means they will face new issues such as crypto asset control, internal management, and compliance responsibilities. The market is focused on which funds can participate, how they can meet compliance requirements, and how private key management will fit with existing fund operations. For custodians, demand for external custody services, responsibility allocation, and compliance arrangements may also be affected; custodians have already been listed as a key affected party in this policy change. How compliance paths will be restructured is a key point that funds and custodians need to assess. Because specific applicable conditions and operational details have not yet been elaborated in the disclosed information, relevant parties will need to wait for official information to judge the framework's actual scope of application and operational requirements.
Another U.S. regulatory action came from the Treasury Department. The U.S. Treasury imposed sanctions on A7 Network, with FinCEN tracking more than $17 billion in funds. Unlike the SEC custody framework, this action directly targets crypto payment and fund transfer channels, showing that regulators are escalating enforcement against such channels. The scale of funds tracked by FinCEN, more than $17 billion, indicates that regulatory attention covers large-scale capital flows. For the industry, institutions involved in crypto payment and fund transfer services need to pay attention to sanctions compliance, fund flow review, and transaction monitoring requirements. The source material did not disclose A7 Network's specific business details, the sanctioned party's response, or whether the funds have been frozen, so what can currently be confirmed is the sanctions action itself and its target.
In terms of regulatory linkages, the SEC custody framework and the Treasury sanctions fall respectively under asset custody and fund flows, and both are important changes in U.S. crypto regulatory policy. The former affects funds, custodians, and compliance paths, while the latter affects crypto payment and fund transfer channels. Both policy changes may increase the importance relevant institutions attach to compliance, risk control, and fund flow review, but specific penalty outcomes, rule effective dates, or scope of application have not been disclosed and require subsequent official information.
On security incidents, the destination of $387.5 million stolen from Bitget has been revealed. According to tracking by BlockSec, the stolen funds flowed into paths including Bitcoin, THORChain, and CoinJoin, which reveal money laundering methods and the difficulty of freezing funds. Currently, only about $840,000 has been frozen. This event is a follow-up to a major security incident and has drawn high user attention, also reflecting the practical difficulty of on-chain fund tracking and freezing.
On Layer 2 networks, Blast announced it will shut down its Layer 2 network, and users must withdraw assets by October 26. The project's costs and revenue were unbalanced, with costs exceeding revenue, so it decided to shut down. The event reflects competition among L2s and pressure on business models, and has a direct impact on user asset migration and ecosystem confidence.
From a news value perspective, the link between U.S. nonfarm payrolls data and Bitcoin price action directly affects short-term market pricing; the Bitget theft and Blast shutdown involve user fund security and the timeliness of asset withdrawals, respectively; and regulatory actions may have a framework-level impact on the industry's medium- to long-term operation. Although these events are not directly related, their side-by-side presentation in the same source material reflects that the crypto market is currently facing macro, security, operational, and compliance pressures simultaneously.
Overall, these events affect the crypto market jointly through macro market trends, regulatory compliance, on-chain security, and L2 sustainability. U.S. nonfarm payrolls data affects Bitcoin prices through Federal Reserve policy expectations; the SEC custody framework and U.S. Treasury sanctions strengthen compliance requirements in the two areas of asset custody and fund flows; and the Bitget security incident and Blast shutdown reflect the difficulty of on-chain tracking and pressure on the L2 business model, respectively. Going forward, attention should be paid to the scope of application of the SEC's new custody framework, fund participation conditions, and custodians' responses; the implementation of the U.S. Treasury's sanctions against A7 Network and FinCEN's progress in tracking more than $17 billion in funds; further freezing and path tracking of Bitget's stolen funds; and the progress of Blast users' asset withdrawals before October 26 and related ecosystem impact. The source material did not provide a detailed timeline or penalty outcomes for the above events, and related impacts should still be subject to subsequent official information.
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