Morning Crypto Report: Elon Musk’s SpaceX Relocates $100 Million in Bitcoin, USD Stablecoin $1 Million Exploit, New Cloudflare Outage Takes Down Coinbase

The working week’s closing meets a fragile setup as Musk-linked flows hit exchanges again, a dollar-pegged on-chain unit suffers a silent admin-seizure exploit and Cloudflare outages remove liquidity at the worst possible time. Bitcoin price action shows immediate stress and no supportive depth under $93,000.

TL;DR

• SpaceX pushes $100 million BTC toward Coinbase amid thin liquidity.
• USPD stablecoin hit by a $1 million unauthorized mint exploit.
• Cloudflare outage takes Coinbase, Upbit, Kraken and major DeFi protocols offline.

SpaceX sends $100 million in Bitcoin to Coinbase

Elon Musk’s aerospace manufacturer is still one of the biggest corporate Bitcoin holders, with 8,285 BTC sitting on balance sheets — that is about $757 million at today’s price. Yet Arkham’s records show SpaceX wallets moving a lot of BTC to Coinbase Prime Custody. 

The latest we can see was 1,083 BTC, which is about $99.81 million, going to exchange-linked addresses.

This volume alone cannot move the order book, but the signaling risk is the real issue: whenever a company this size interacts with an exchange, markets immediately price the “what if” of a sell program. 

The current situation is even more sensitive: liquidity is thin and the intraday BTC chart shows a clean roll from $92,000 toward $91,000 during the Cloudflare outage window, meaning any change in perception hits harder than usual.

Musk and SpaceX have not said anything, and the market is still trading near a psychological pivot. There have been a lot of transactions, but they have not made things clearer. Bitcoin has spent the last 36 hours failing to stay above the $93,000 resistance level, and every time it is rejected, it gets a bit more uncomfortable heading into Friday’s close.

USD stablecoin USPD suffers $1 million exploit

The US Permissionless Dollar (USPD), billed as a censorship-resistant, collateral-backed, fully on-chain USD unit powered by stETH, is facing a critical security incident. PeckShield flagged unauthorized minting and liquidity draining, and the project’s own site has issued a prominent “DO NOT BUY USPD” warning.

USPD’s pitch was simple: deposit stETH, mint a dollar unit backed by transparent reserves and continuous staking yield, avoid custodians, avoid KYC, rely entirely on audited smart contracts. 

Yet the compromise did not hit the core logic as, according to the project, USPD was targeted by a rare CPIMP attack, an advanced proxy-layer infiltration where a malicious actor front-runs proxy initialization and implants shadow implementation.

The timeline matters: 

• Sept. 16, 2025: During deployment, the attacker used a Multicall3 transaction to seize admin rights.
• They inserted an implementation that emitted deceptive event payloads.
• Etherscan displayed the legitimate audited contract, while the attacker used the shadow logic underneath.
• The exploit remained hidden for months, enabling unauthorized minting.

The affected address has been flagged across centralized exchanges and DEXes. USPD’s team offers a whitehat resolution: return funds minus a 10% bounty and law-enforcement escalation stops. 

The loss figure currently sits near $1 million, but the reputational damage is for sure significantly wider.

Cloudflare down again: Coinbase, Upbit, Kraken, OKX Wallet, Jupiter and Raydium break

Cloudflare suffered another global outage, hitting both API and dashboard layers, and the impact radiated immediately across the crypto stack. Centralized exchanges — Coinbase, Kraken, and South Korea’s Upbit — reported downtime. Wallet systems and Solana ecosystem tools, including Jupiter, Raydium, Meteora and OKX Wallet, all showed user-facing failures.

Cloudflare has pushed a fix and claims active monitoring, but the resonance across crypto is clear: when infrastructure falters, price follows. Bitcoin slipped from $92,000 to $91,400 during the outage window, with the candlestick sequence showing accelerated selling driven by liquidity gaps. 

When primary routing layers freeze, bots disengage, makers pull orders and volatility amplifies even small flows.

Market participants highlight that Cloudflare incidents have increased in frequency. Whether the load spikes stem from broader global demand or misallocated internal resources is unknown, but repeated downtime now forms a credible market risk factor — something traders must price into weekend sessions whenever volatility compounds with infrastructure failure.

Crypto market outlook

Bitcoin enters Friday’s settlement with technical rejection, structural risk from corporate flows, a fresh stablecoin credibility shock and market-wide outages compressing liquidity. The environment remains unstable, and barring a decisive break above $93,000, the drift stays pointed toward defensive posturing into next week.

• Bitcoin remains under $93,000 and shows weakening reaction bids under $91,500.
• SpaceX flows toward Coinbase continue to inject directional uncertainty.
• Stablecoin trust premium takes a hit as USPD’s stealth exploit unfolds.
• Infrastructure reliability becomes a front-page macro factor after Cloudflare’s outages affect both CEX and DeFi interfaces.
• Liquidity mostly thin into the weekend, giving outsized impact to any large on-chain or exchange-routed moves.

The week closes with all structural risks exposed at the same time.