Crypto markets crash after US bombs Iran, Texas to add Bitcoin to official reserves | Weekly Recap

A turbulent week in crypto ended with a sharp market downturn, as Bitcoin, Ethereum, and major altcoins plunged following U.S. airstrikes on Iran’s nuclear sites ordered by President Donald Trump.

While geopolitical shockwaves rattled prices and NFTs posted a double-digit drop, crypto venture funding remained surprisingly resilient, and Reddit made headlines for exploring iris-scanning technology to tackle identity challenges in the age of AI.

Bitcoin, Ethereum and other tokens plummet

• The crypto market slumped over the weekend as geopolitical tensions escalated following President Trump’s order for U.S. forces to join Israel in bombing Iran’s nuclear sites.
• Trump claimed the strikes “completely and totally obliterated” the facilities, prompting Iran to vow retaliation.
• Over the past 24 hours, Bitcoin (BTC) and Ethereum (ETH) fell by over 2.8% and 9%, respectively. Major altcoins like Virtuals Protocol, Celestia, AB, and Aptos dropped more than 9% in 24 hours.

Iran imposes curfew on domestic crypto exchanges

• Earlier in the week, the Central Bank of Iran restricted exchange operating hours to 10 a.m. to 8 p.m.
• The decision follows a politically motivated hack on Nobitex, the country’s largest trading platform, that led to losses exceeding $90 million.
• The June 18 attack drained and burned assets, rendering them unrecoverable.

Reddit considers iris scans

• Reddit is in talks to integrate Sam Altman’s World ID, a biometric verification system that scans irises without storing personal data, to address growing pressure from AI threats, age verification laws, and bot abuse.
• The partnership would help Reddit verify user identity and age while preserving anonymity—an increasingly critical balance as regulators and researchers ramp up scrutiny of online platforms.

Coinbase unveils end-to-end stablecoin payments infrastructure

• The solution, powered by Coinbase’s layer-2 network, Base, allows merchants to accept Circle’s stablecoin USDC without dealing with blockchain complexity.
• Shopify, the first major partner, has already integrated the system, enabling its vast merchant base to receive near-instant, low-cost USDC payments from customers worldwide.

Crypto VC funding remains resilient

• Last week, 18 crypto projects or startups secured a combined $159.5 million despite broader market volatility.
• The week was dominated by infrastructure and AI-focused ventures, with EigenLayer leading the pack through a $70 million round backed by a16z crypto—bringing its total funding to $234.5 million. Other notable raises included PrismaX, Sparkchain AI, Gradient Network, Ubyx, and Units Network, each attracting $10 million or more from prominent investors like Pantera, Lightspeed, Galaxy Digital, and Coinbase Ventures.
• The activity signals continued confidence in foundational crypto technologies and AI convergence, even as deal sizes concentrate around fewer, well-backed projects.

NFTs experience sharp drop

• NFT sales fell by 18.43% to $116.9 million, according to data from CryptoSlam.
• Despite the sales decline, market participation metrics show mixed results. NFT buyers remain flat at 1,061,348 (50.56% growth maintained).
• NFT sellers rise by 8.09% to 38,494. NFT transactions have decreased slightly by 0.63% to 1,709,086.

KindlyMD, Nakamoto merger update

• Utah-based telehealth provider KindlyMD is now channeling millions into Bitcoin via its expected merger with Nakamoto Holdings, the Bitcoin-focused investment firm founded by David Bailey.
• They have secured an additional $51.5 million in PIPE financing, bringing their total committed capital for Bitcoin treasury accumulation to $763 million.
• The latest round, priced at $5 per share in KindlyMD stock, was fully subscribed in under 72 hours, signaling strong institutional interest despite broader market uncertainty.

Texas Governor signs Bitcoin reserve bill

• Texas Governor Greg Abbott has signed Senate Bill 21, creating the Texas Strategic Bitcoin Reserve—a state-managed fund that will hold Bitcoin as a long-term financial asset.
• Operated independently from the general treasury, the reserve is designed to bolster financial resilience and hedge against inflation.
• Only assets with a market cap over $500 billion—currently just Bitcoin—qualify. The fund will be overseen by the Texas Comptroller and advised by a three-member crypto investment committee.

X makes good on ‘super app’ idea

• X, formerly Twitter, is expanding its push to become a “super app” by developing in-app investment and trading features, according to the Financial Times.
• Under Elon Musk’s ownership, the platform is evolving into an all-in-one financial hub, with CEO Linda Yaccarino confirming plans to integrate a wide range of financial services.
• The move builds on Musk’s crypto-friendly reputation and aims to position X as a central platform for both social and financial activity.