Bitcoin bottom signal tips 130% rally, Morgan Stanley to custody crypto: Hodler’s Digest, Feb. 22 – 28

CoinTelegraph

by Editorial Staff

March 2, 2026

AI-Generated Deep Dive Summary

South Korea’s National Tax Service recently suffered a significant security lapse when it accidentally exposed a cryptocurrency wallet seed phrase in an official press release, resulting in the loss of 4 million Pre-Regnum (PRTG) tokens worth approximately $4.8 million. The incident highlights vulnerabilities in how government agencies handle sensitive crypto assets and underscores the importance of secure handling of cryptographic information. In a major win for OpenAI, the U.S. Department of Defense has selected its AI models for deployment on classified military networks, marking a significant shift from recent moves to exclude rival Anthropic. This decision reflects the Pentagon’s focus on safety and security in adopting advanced AI technologies, despite ongoing tensions between tech giants. Morgan Stanley is advancing its crypto strategy by applying for a de novo national trust bank charter, which would allow it to custody digital assets and execute transactions for clients. This move aligns with growing institutional interest in cryptocurrencies and signals the potential for increased mainstream adoption of blockchain technology. PayPal, MoonPay, and M0 have launched PYUSDx, enabling developers to create app-specific stablecoins backed by PayPal’s USD token. This innovation could expand the use of digital assets within ecosystems while raising questions about regulatory oversight and competition in the stablecoin market. Bitcoin prices dropped below $65,500 as投资者shifted to safer assets amid a bearish outlook for U.S. stocks from investment bank UBS. The decline reflects broader market sentiment tied to inflation data and investor concerns over economic uncertainty, underscoring the interconnectedness of traditional and cryptocurrency markets. These developments collectively highlight key trends shaping the crypto landscape, including institutional adoption, regulatory challenges, and market volatility.

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Originally published on CoinTelegraph on 3/2/2026