Binance founder Changpeng Zhao (CZ) has issued a strong warning to the crypto community about the proliferation of fraudulent tokens exploiting the names of high-profile individuals and AI ventures—specifically, a fake “Grok” token falsely claiming ties to Elon Musk.

In a recent post on X (formerly Twitter), CZ cautioned users to avoid any coin marketed as connected to Musk’s artificial intelligence project, xAI’s Grok chatbot. He emphasized that Musk has not launched any such token and labeled all “Grok” coins as scams. “There is no Grok token,” CZ wrote. “All of them are scams.”

CZ’s statement echoes similar alerts made in the past, including direct posts from Musk, who has repeatedly distanced himself from crypto projects using his name or companies as bait to attract investors. Despite these warnings, scam tokens continue to appear, often taking advantage of trends involving meme coins, AI hype, or celebrity branding.

The rise of fake tokens has become increasingly problematic, particularly on decentralized exchanges where listings are not subject to the same scrutiny as centralized platforms. Many of these coins gain rapid popularity due to viral marketing or misleading claims, only to end in rug pulls or liquidity drains.

CZ’s warning adds to growing calls from industry leaders and regulators for better investor protection and education amid the booming—but often unregulated—crypto landscape. As fraudulent activity rises, users are urged to conduct thorough due diligence and remain skeptical of tokens tied to celebrities or trending tech with no verified backing.

Circle and BitGo are reportedly preparing to apply for U.S. bank charters, marking a significant step toward deeper integration between the cryptocurrency industry and traditional banking infrastructure.

The two digital asset firms are said to be in advanced stages of seeking banking licenses, a move that would allow them to operate as fully regulated financial institutions within the United States. If approved, this would grant the companies the ability to offer services like custody, payments, and stablecoin issuance under federal oversight.

Circle, the issuer of the USDC stablecoin, has long signaled its intention to operate with a higher level of regulatory compliance. A bank charter would enable Circle to strengthen the legitimacy of USDC and ensure tighter control over its reserves, appealing to both institutional partners and regulators.

BitGo, which specializes in digital asset custody and security solutions, is also reportedly exploring a charter to bolster its position in the regulated financial space. A banking license would potentially allow BitGo to expand its offerings and serve clients with more comprehensive financial products.

This trend of crypto firms seeking banking charters reflects a broader shift in the industry, where regulatory clarity is becoming a competitive advantage. Industry observers suggest that other firms may follow suit as the line between crypto and traditional finance continues to blur.

The potential entry of Circle and BitGo into the federally chartered banking system signals a maturing market that is increasingly leaning into regulation to foster trust, expand services, and attract institutional capital. If successful, these moves could reshape the crypto banking landscape and set new standards for operational transparency and regulatory compliance in the digital asset sector.

The Ethereum Foundation has announced a significant leadership reorganization aimed at enhancing the network’s user experience and accelerating Layer-1 scaling efforts.

In a strategic move, the foundation is forming two new dedicated leadership groups — one focused on user experience and the other on core protocol development. This shift underscores the growing importance of making Ethereum more accessible and scalable for both developers and end users.

Jocelyn Chang, who has been instrumental in Ethereum’s regional growth initiatives, will now lead the user experience group. Her new role will center on aligning community, product design, and infrastructure to deliver a smoother experience for users interacting with Ethereum-based applications.

Meanwhile, the protocol development team will see increased coordination under a revamped structure. While specifics of the technical leadership have not been fully disclosed, the foundation emphasized a renewed commitment to Layer-1 scaling — a critical challenge for Ethereum as it seeks to support growing adoption without sacrificing decentralization or security.

This leadership restructuring comes at a pivotal moment, as Ethereum continues to evolve from its post-Merge phase and prepares for future upgrades like the upcoming Pectra release. The Ethereum Foundation framed the transition as necessary to meet the demands of a rapidly growing ecosystem and to ensure Ethereum remains competitive as new blockchain platforms emerge.

The new organizational structure is expected to streamline development processes and sharpen the foundation’s focus on delivering a high-quality Ethereum experience globally.