Blockonomi

Key Takeaways

Federal court denies Binance’s motion to compel arbitration for pre-2019 users.

Judge rules insufficient notice was given for 2019 terms of service changes.

Digital platforms must provide direct notice for contractual updates, not just website postings.

Binance’s class-action waiver deemed too ambiguous to enforce against users.

Lawsuit proceeds in federal court, examining only the exchange’s pre-2019 operations.

A US federal judge has denied Binance’s motion to compel arbitration in an investor lawsuit, ensuring the case continues in open court. This significant ruling clarifies standards for how cryptocurrency platforms must communicate contractual modifications to users. All claims related to activity before 2019 will now proceed through traditional litigation.

Judge Finds Insufficient Notice of 2019 Terms Update

The court concluded that Binance failed to demonstrate that users who joined before 2019 received adequate notification of updated terms. The judge emphasized that simply posting revised agreements on a website does not constitute proper notice under established contract law principles. This finding prevented the exchange from enforcing its later arbitration requirements on early customers.

The court’s analysis highlighted that Binance’s original 2017 user agreement contained neither arbitration provisions nor class action limitations. The judge found that the company relied solely on a generic clause reserving the right to modify terms, without implementing a system to alert existing account holders of actual changes. The ruling determined that retroactive application of arbitration clauses to past conduct was improper.

Additionally, the court rejected arguments based on Binance’s self-description as a decentralized platform. The judge clarified that characterizing a business model as decentralized does not exempt it from fundamental contract law requirements. Digital service providers must still demonstrate mutual assent and adequate notice when modifying agreements, and pre-2019 claims will therefore remain under federal court jurisdiction.

Ambiguous Class Waiver Language Fails Enforcement Test

The judge examined the class-action waiver included in Binance’s 2019 terms and determined it lacked sufficient clarity for enforcement. The waiver language appeared only within a section header without substantive operative language in the body text. Under established legal principles requiring strict construction of rights waivers, the court ruled against the exchange.

The decision reinforces that federal courts will not uphold vague or incomplete provisions that restrict fundamental legal rights. Online service agreements must contain explicit, unambiguous language regarding class action waivers, with clear mechanisms demonstrating user acceptance. The deficient waiver cannot prevent collective legal action.

This portion of the ruling eliminated another procedural obstacle for the plaintiffs, expanding the scope of claims that can proceed. The decision ensures comprehensive examination of Binance’s early operational practices remains possible. The case will move forward through standard court procedures rather than private dispute resolution.

Case History and Next Steps

The litigation originated when investors from California, Nevada, and Texas filed suit alleging that Binance sold unregistered securities and operated as an unregistered broker-dealer. The plaintiffs claimed financial losses stemming from these alleged regulatory violations. The district court initially dismissed the complaint in 2022.

The Second Circuit Court of Appeals reversed that dismissal in 2024, breathing new life into the case and remanding it for further proceedings. The appellate decision permitted examination of the substantive allegations regarding Binance’s business practices during its early operational period. The matter has returned to the original trial judge for continued litigation.

Binance has noted that plaintiffs voluntarily dismissed claims related to later periods. The company indicated that the remaining allegations address only conduct occurring before 2019 and expressed its intention to vigorously defend against those claims. The court will now proceed with evaluating the merits under federal civil procedure.

 

The post Binance Loses Bid to Move Pre-2019 Investor Claims to Arbitration appeared first on Blockonomi.

TLDR

Shares of Caesars Entertainment (CZR) soared 20.6% Thursday following reports the company is evaluating multiple acquisition proposals, with Tilman Fertitta’s Fertitta Entertainment emerging as a potential buyer.

Sources indicate a management-led buyout proposal is also being weighed; the company has not issued a statement on the matter.

With more than 50 gaming properties throughout North America and an enterprise value approaching $16B, a transaction would rank among the gaming industry’s most significant deals in recent years.

MGM Resorts climbed 5.79% Thursday following the report but declined 0.6% to $37.41 in Friday’s pre-market session.

Fellow casino operators Wynn Resorts and Las Vegas Sands also rallied Thursday, gaining 2.48% and 1.60% respectively.

Shares of Caesars Entertainment (CZR) experienced dramatic volatility Thursday following a Financial Times report indicating the gaming operator is considering multiple takeover proposals.

The equity surged 20.6% by 3:55 p.m. ET, marking one of the most substantial single-session rallies the security has experienced recently.

According to the FT report, Tilman Fertitta and his Fertitta Entertainment organization have emerged as a prospective acquirer. Fertitta entered the casino sector in 2005 through Landry’s acquisition of Golden Nugget properties in Las Vegas and Laughlin.

His gaming portfolio subsequently expanded with Golden Nugget locations in Atlantic City, Biloxi, and Lake Charles, including the 2011 acquisition of what was previously known as Trump Marina.

Sources also indicate a management-led acquisition proposal is under evaluation. Caesars has not provided any official statement regarding the speculation.

CZR maintains operations at more than 50 gaming facilities throughout North America, with prominent brands including Caesars Palace, Harrah’s, and El Dorado in its portfolio.

The organization also operates a sports wagering platform that delivered stronger performance metrics in the fourth quarter.

Considering CZR’s outstanding debt obligations, analysts estimate its enterprise value at approximately $16 billion. A completed transaction at that scale would represent one of the gaming sector’s largest deals in recent memory.

Gaming Sector Rallies on Merger Speculation

The acquisition speculation extended beyond CZR, providing a boost across casino equities.

MGM Resorts (MGM) finished Thursday’s session up 5.79% at $37.62. Wynn Resorts (WYNN) advanced 2.48%, while Las Vegas Sands (LVS) posted a 1.60% gain.

However, early Friday trading showed some retrenchment. MGM declined approximately 0.6% to $37.41 in pre-market activity.

Absent official confirmation from Caesars, market participants remain cautious. The company’s substantial debt burden presents additional complications for any prospective transaction.

MGM Advances Responsible Gaming Commitment

Separate from the acquisition speculation, MGM and its BetMGM joint venture disclosed Thursday a commitment exceeding $1 million toward responsible gaming programs aligned with Problem Gambling Awareness Month.

MGM chief compliance officer Stephen Martino said, “As sports betting continues to grow so must our understanding of its impact.”

BetMGM’s chief compliance officer Rhea Loney described the campaign as “an important reminder” of “our year-round responsibility.”

Friday morning delivers key economic data that could influence casino stocks. The Labor Department publishes January producer price figures at 8:30 a.m. ET, a wholesale inflation metric investors monitor for insights into monetary policy trajectory.

The February employment report, scheduled for March 6, represents another data point that can shift rate expectations and impact hospitality and leisure stocks like MGM.

Thursday’s session concluded with CZR up 20.6%, MGM up 5.79%, WYNN up 2.48%, and LVS up 1.60%.

The post Caesars Entertainment Stock Rockets 20% Amid Acquisition Speculation appeared first on Blockonomi.

Key Takeaways

ASML’s High-NA EUV lithography systems have achieved high-volume production readiness

Each unit carries a ~$400 million price tag — double that of conventional EUV systems

The technology has successfully processed 500,000 wafers with approximately 80% uptime

Major semiconductor manufacturers including TSMC and Intel stand to gain from streamlined production workflows

Complete manufacturing integration timeline remains 2–3 years out

ASML Holding’s ($ASML) latest High-NA EUV lithography systems have reached a critical production milestone, according to the company’s CTO Marco Pieters in remarks shared with Reuters before a technical summit in San Jose this Thursday.

These advanced systems represent a significant leap forward from ASML’s conventional EUV lithography equipment — currently the sole commercially available extreme ultraviolet technology worldwide. The Dutch company maintains complete market dominance in this sector.

Conventional EUV systems are reaching their physical limitations for producing cutting-edge AI processors. This reality makes the High-NA breakthrough particularly significant for the semiconductor industry.

Each High-NA system commands approximately $400 million per unit. This represents a 100% premium over existing-generation equipment.

The substantial investment appears justified by performance metrics. The machines have successfully processed half a million silicon wafers while delivering the nanometer-precision patterning essential for contemporary semiconductor designs.

Reliability metrics have improved substantially. ASML reports current uptime hovering around 80%, with ambitious plans to reach 90% before 2025 concludes.

According to Pieters, the imaging performance data being unveiled at Thursday’s industry conference provides sufficient evidence for manufacturers to consolidate multiple production stages using legacy equipment into one streamlined High-NA operation — representing a substantial process optimization.

Implications for TSMC and Intel

Major semiconductor producers like Taiwan Semiconductor Manufacturing (TSM) and Intel (INTC) are positioned to capitalize on this technological advancement. The new systems eliminate numerous expensive and complicated manufacturing stages, potentially reducing overall production expenses.

“They have all the knowledge to qualify these tools,” Pieters said, referring to major chipmakers’ readiness to begin the qualification process.

However, qualification doesn’t happen overnight. Pieters projects a two-to-three-year window before manufacturers can seamlessly incorporate these machines into active production environments.

The half-million wafers already run through these systems have enabled ASML to resolve initial technical challenges, strengthening confidence among both the company and its customer base in the platform’s reliability.

The Strategic Importance of This Development

Existing EUV technology is bumping against performance limitations when tackling sophisticated AI chip architectures. As demand for artificial intelligence computing capabilities continues its upward trajectory, semiconductor manufacturers require viable solutions.

The High-NA platform is engineered to address this challenge, facilitating the large-scale production of more capable and energy-efficient processors.

ASML has invested years developing this capability. The technical data being unveiled at the San Jose conference represents the company’s first public confirmation that these systems have achieved mass-production readiness.

Pieters emphasized that production-readiness differs from immediate deployment. Manufacturers face an additional two-to-three-year period of validation and integration work before these machines can begin volume production runs.

When Pieters spoke with Reuters, ASML’s uptime metrics registered around 80%, with the company targeting 90% by year-end.

The semiconductor industry now watches closely as this next generation of lithography technology moves from development to deployment, potentially reshaping advanced chip manufacturing for years to come.

The post ASML’s $400M High-NA EUV Machines Hit Production Milestone for Next-Gen Chipmaking appeared first on Blockonomi.

Key Takeaways

A three-year strategic alliance between Rocket and Compass will add over 500,000 listings to the Redfin platform

Exclusive and pre-market Compass listings will now be visible on Redfin.com and the mobile application

Compass customers gain access to either a 1% mortgage rate reduction for 12 months or a $6,000 credit from Rocket Mortgage

RKT shares climbed 8.3% in after-hours trading; COMP stock increased 3.5% post-announcement

The announcement coincided with Q4 earnings reports, with Rocket exceeding expectations while Compass fell slightly short

On Thursday, February 26, 2026, Rocket Companies and Compass unveiled a comprehensive three-year strategic alliance. The collaboration will integrate Compass’s property listings into Redfin, the real estate search platform that Rocket acquired during 2025.

Rocket and Compass team up in challenge to Zillow’s grip on housing

Rocket Companies—which now also owns Redfin + Mr. Cooper—announced today a new partnership w/ Compass

"Compass International Holdings' 'Coming Soon' listings will appear immediately on Redfin, with 'Private… pic.twitter.com/afpLqcMXMB

— Lance Lambert (@NewsLambert) February 26, 2026

The terms of the arrangement specify that Compass’s pre-market “coming soon” properties and “private exclusive” inventory will become searchable on both Redfin.com and the companion mobile app. According to both companies, this integration could expand Redfin’s available listings by more than 500,000 properties.

With Redfin attracting approximately 2 billion annual visits, these additional listings will receive substantial visibility. Robert Reffkin, CEO of Compass, noted that property sellers will now reach an audience of 60 million prospective buyers through the expanded platform.

The strategic partnership extends beyond listing visibility to include compelling buyer incentives. Through Rocket Mortgage, Compass customers will qualify for either a full percentage point reduction on their mortgage interest rate during the loan’s first year, or alternatively, receive up to $6,000 as a lender credit.

Integration will go deeper still, with Rocket embedding its mortgage products directly within Compass’s customer relationship management system. Varun Krishna, CEO of Rocket, acknowledged that his company will compensate Compass for this strategic placement.

Throughout the partnership’s duration, Compass agents will receive access to more than 1 million buyer leads that originate from Redfin’s platform. Simultaneously, Redfin’s agent network benefits from an expanded inventory of properties to present to their clients.

Market Response

Investor reaction proved positive for both companies following the after-market announcement on Thursday. Rocket’s stock price advanced 8.3% during extended trading hours, while Compass shares gained 3.5%.

The partnership disclosure coincided with fourth-quarter financial results from both organizations. Rocket delivered adjusted diluted earnings of $0.11 per share against $2.7 billion in quarterly revenue, surpassing Wall Street projections of $0.09 per share on $2.2 billion in revenue.

Compass posted a quarterly loss of $0.07 per share with revenue reaching $1.7 billion. Market analysts had anticipated a $0.06 per share loss on matching revenue figures.

Acquisition Strategy Enables Partnership

Rocket has pursued an aggressive expansion strategy extending well beyond its core mortgage origination business. Throughout 2025, the company completed acquisitions of both Redfin and major mortgage servicer Mr. Cooper.

The Mr. Cooper acquisition elevated Rocket to become the nation’s second-largest mortgage originator by volume during the first three quarters of 2025, based on Inside Mortgage Finance tracking data.

Compass has similarly expanded its footprint. In early 2026, the brokerage finalized a $1.6 billion purchase of Anywhere, the franchisor operating Coldwell Banker, Corcoran, and Century 21 brands.

That transaction merged the top two brokerages by transaction volume according to RealTrends’ 2025 industry rankings. Compass now commands a worldwide network encompassing Christie’s International Real Estate, Sotheby’s International Realty, and ERA.

Varun Krishna explained that Rocket’s objective centers on creating an integrated ecosystem linking property search, agent services, and mortgage financing to streamline transactions for both buyers and sellers.

This partnership represents the first time Compass’s extensive listing inventory, Rocket’s lending capabilities, and Redfin’s substantial search traffic have been united within a single platform.

The post Rocket and Compass Strike Major Partnership: 500K+ Listings Coming to Redfin Platform appeared first on Blockonomi.

TLDR

NVDA shares declined almost 5% following a record-breaking Q4 earnings announcement

Investor Michael Burry drew parallels between Nvidia’s strategy and Cisco’s dot-com era mistakes

Purchase obligations at Nvidia soared to $95.2 billion from $16.1 billion year-over-year

Combined supply commitments reached $117 billion, approaching Nvidia’s total yearly operating cash flow

Analyst sentiment stays optimistic with Strong Buy ratings and a $273.38 average target price

Shares of Nvidia (NVDA) tumbled close to 5% on Thursday following what should have been a celebration-worthy quarterly earnings announcement. When a company delivers stellar numbers yet sees its stock crater, it naturally sparks intense scrutiny.

A significant factor behind the stock decline was a pointed critique from Michael Burry, the legendary investor who accurately predicted the 2008 financial crisis. Writing on his Substack, Burry described Nvidia’s supply chain commitments as “troubling” and suggested that any softening in demand could prove “catastrophic” for both profitability and financial health.

The figure driving Burry’s alarm is startling. Purchase obligations at Nvidia—binding supply agreements the company cannot walk away from—skyrocketed to $95.2 billion. Just twelve months ago, that number stood at only $16.1 billion.

In simpler terms: Nvidia has locked itself into purchasing nearly $100 billion in semiconductor materials and components without certainty that customer demand will justify it.

Burry calculates Nvidia’s total supply commitments at $117 billion. That amount comes remarkably close to equaling the chipmaker’s full-year operating cash flow.

“Not business as usual,” Burry observed.

The Cisco Comparison

Burry doesn’t mince words when drawing historical lessons. He directly likens Nvidia’s current circumstances to Cisco’s predicament during the 2000-2001 dot-com collapse.

Cisco committed to enormous supply purchases on the assumption that 50% yearly growth would persist forever. When the market cooled, Cisco found itself drowning in unsellable inventory. The company’s stock price ultimately plummeted more than 80%.

Burry contends Nvidia may be headed down a comparable road. He also suggests these extended, non-cancellable commitments aren’t entirely voluntary. According to Burry, TSMC is demanding longer-term agreements and advance payments as it scales production capabilities.

CFO Colette Kress acknowledged that inventory levels climbed 8% from the previous quarter and confirmed that Nvidia has secured supply capacity extending far beyond typical planning horizons. To Burry, these admissions validate his concerns.

Wall Street Sees It Differently

The majority of Wall Street analysts reject this pessimistic outlook. Leading firms including Bank of America, Morgan Stanley, and RBC elevated their NVDA price projections following the Q4 report while maintaining Buy recommendations.

The prevailing analyst perspective frames Nvidia’s supply obligations as strategic foresight rather than dangerous overreach. The consensus interpretation is that the company is locking down resources ahead of explosive AI infrastructure buildout.

This represents the fundamental disagreement at play. Burry contends the market is mistaking a temporary supply surge for sustainable long-term consumption—identical to the miscalculation that defined the dot-com bubble. Analysts counter that AI-driven demand has genuine staying power.

The bullish case remains numerically compelling. Nvidia delivered record quarterly performance, and analysts maintain a Strong Buy consensus rating derived from 37 Buy recommendations, one Hold, and one Sell rating issued within the last three months.

The consensus price target stands at $273.38, suggesting approximately 48% appreciation potential from present trading levels.

Whether that gain materializes depends entirely on one critical question: will AI demand prove as enduring as the supply commitments Nvidia has now locked in to satisfy it?

Nvidia’s aggregate purchase obligations currently total $95.2 billion, representing nearly a sixfold increase from $16.1 billion recorded one year prior.

The post Michael Burry Sounds Alarm on Nvidia (NVDA) After 5% Stock Plunge appeared first on Blockonomi.

TLDR

Anthropic faces Pentagon pressure to eliminate safety restrictions on Claude AI for unrestricted military applications, including autonomous weaponry and surveillance operations.

CEO Dario Amodei declined the request, citing risks to democratic principles.

Military officials established a Friday 5pm ultimatum for compliance or exclusion from defense agreements.

Defense officials warned of potential Defense Production Act enforcement and classification as a security threat to the supply chain.

Latest contract revisions delivered Wednesday evening were deemed inadequate by Anthropic.

Dario Amodei, leading Anthropic as CEO, has maintained his position against removing protective measures from the Claude AI system, even as this stance threatens a significant federal partnership. Military officials have imposed a Friday cutoff time, insisting the company must consent to “any lawful use” of its AI platform.

it’s official – Anthropic just refused the Pentagon’s demands, dario’s statement is doesn’t fuck around:

– “these threats do not change our position: we cannot in good conscience accede to their request.” – dario

– he described the pentagons efforts to force him to enable… https://t.co/4FKAe59xvG pic.twitter.com/ahMUZaLldh

— Ejaaz (@cryptopunk7213) February 26, 2026

The core disagreement revolves around two particular applications: deploying Claude for large-scale domestic monitoring operations and enabling completely autonomous weapon systems. According to Anthropic, neither application was ever included in their existing Pentagon arrangements and shouldn’t be introduced at this stage.

Amodei engaged in discussions with Defense Secretary Pete Hegseth during the current week. Those talks concluded without resolution, prompting the Pentagon to submit updated contractual terms on Wednesday evening.

The company dismissed these revisions. An Anthropic representative stated they represented “virtually no progress” and contained legal terminology that would permit protective measures to “be disregarded at will.”

Military leadership has been direct with its warnings. Officials indicated they would exclude Anthropic from military partnerships and classify the organization as a “supply chain risk” — a categorization usually applied to vendors from adversarial countries.

A high-ranking Pentagon source also informed Reuters that Secretary Hegseth might utilize the Defense Production Act. This legislation enables the government to compel corporate participation in national security initiatives, regardless of company agreement. Legal scholars have raised doubts about whether such application of the statute would be constitutional.

What Anthropic Says About AI Weapons and Surveillance

In a published statement, Amodei argued that current AI technology remains “simply not reliable enough to power fully autonomous weapons.” He emphasized that using them without human intervention endangers military personnel and non-combatants alike.

Regarding monitoring capabilities, he cautioned that artificial intelligence can “assemble scattered, individually innocuous data into a comprehensive picture of any person’s life — automatically and at massive scale.”

Anthropic expressed support for AI applications in legitimate foreign intelligence operations, while opposing domestic surveillance programs.

Defense officials countered these concerns, with Undersecretary Emil Michael asserting that the applications worrying Anthropic are already prohibited under existing legislation and military regulations. Michael directly challenged Amodei on X, claiming he “wants nothing more than to try to personally control the US Military.”

The Business Risk for Anthropic

The monetary implications are substantial. Over the previous twelve months, the Pentagon has established $200 million framework agreements with prominent AI companies including Anthropic, OpenAI, and Google.

Should the company receive a supply chain risk designation, military contractors such as Lockheed Martin would be prohibited from utilizing Anthropic’s technology on Department of Defense initiatives. The defense contractor ecosystem encompasses approximately 60,000 companies.

Amodei indicated that Anthropic proposed collaborating with military officials on research and development efforts to enhance AI dependability for defense applications, but this proposal was declined.

As of Thursday evening, both parties remained deadlocked with the 5:01 p.m. Friday time limit unchanged.

The post Anthropic Stands Firm Against Pentagon’s AI Weapons Demands appeared first on Blockonomi.

TLDR

Stock retreats following expanded Q4 loss amid AI pivot

AI infrastructure contracts worth $12.8B balance weak crypto earnings

Bitcoin operations decline while datacenter leasing accelerates

Early trading selloff trails earnings disappointment despite AI momentum

Company aims for 500 MW yearly AI infrastructure additions

Shares of TeraWulf Inc. (WULF) declined following the release of disappointing fourth-quarter mining performance, even as the firm advances its high-performance computing infrastructure. The equity finished regular trading at $17.88, slipping 0.22%, before tumbling an additional 3.69% to $17.22 in early pre-market activity. Although cryptocurrency-related income weakened, the organization secured extended-term AI and HPC leasing commitments covering 522 critical IT megawatts.

TeraWulf Inc., WULF

Cryptocurrency Earnings Decline Amid Earnings Disappointment

TeraWulf disclosed a fourth-quarter deficit of $1.66 per share, significantly larger than the year-earlier loss of $0.21. Wall Street forecasts anticipated a narrower shortfall, and top-line figures similarly underperformed projections. Consequently, the stock retreated despite encouraging infrastructure announcements.

Quarterly sales came in at $35.8 million, representing a decline from the prior quarter’s $50.6 million. Cryptocurrency-derived income totaled $26.1 million, influenced by reduced Bitcoin output and weaker market conditions. Meanwhile, HPC lease income climbed to $9.7 million compared to $7.2 million in the preceding three-month period.

Full-year sales grew to $168.5 million versus $140.1 million in 2024. Nevertheless, non-GAAP adjusted EBITDA posted a negative $23.1 million result. The firm maintained cash and restricted cash holdings of $3.72 billion at fiscal year-end, providing capital for continued infrastructure investments.

AI Datacenter Agreements Provide $12.8 Billion Revenue Pipeline

Throughout 2025, TeraWulf finalized extended-term HPC lease arrangements encompassing 522 critical IT megawatts. These commitments translate to over $12.8 billion in prospective income. The organization enhanced multi-year cash flow predictability despite cryptocurrency market fluctuations.

The Lake Mariner facility in New York serves as the cornerstone of the firm’s HPC growth initiative. This location obtained 60 megawatts through Core42 and 380 megawatts via Fluidstack, supported by Google credit backing. Lake Mariner currently maintains more than 500 megawatts of near-term committed capacity.

TeraWulf collaborated with Fluidstack to establish the 168-megawatt Abernathy facility in Texas. This partnership functions under a 25-year lease framework featuring yearly price adjustments. Development work progresses, with management expecting completion during the latter half of 2026.

Expansion Strategy Plans 250–500 MW Yearly Rollout

TeraWulf manages a geographically diversified platform across New York and Texas, with additional growth initiatives underway. The firm anticipates acquiring properties in Kentucky and Maryland. These incorporations would elevate aggregate gross capacity to roughly 2.9 gigawatts.

Leadership designed the development schedule to facilitate yearly deployment of 250 to 500 critical IT megawatts. This portfolio stretches through decade-end and corresponds with expanding AI infrastructure requirements. The organization secured $6.5 billion in extended-term capital to finance committed capacity.

At Lake Mariner, staged development advances across numerous structures. Active capacity presently reaches 39 critical IT megawatts, with supplementary activations planned through 2026. Following complete construction, the site could accommodate up to 750 megawatts of gross HPC leasing capacity, establishing TeraWulf as a substantial AI infrastructure provider.

 

The post TeraWulf (WULF) Stock Falls on Q4 Mining Shortfall Despite Massive $12.8B HPC Contract Pipeline appeared first on Blockonomi.

TLDR

Strategy Inc. (MSTR) has become the world’s most-shorted equity among companies valued over $25 billion, with approximately 14% of its $41.6B market capitalization held in short positions.

A significant portion of these shorts stems from basis trading strategies — investors purchase Bitcoin ETFs such as IBIT while shorting MSTR to exploit premium differentials.

The firm’s Bitcoin treasury contains 717,722 BTC valued at roughly $47 billion, though unrealized losses total approximately $7 billion.

Shares jumped nearly 8% on February 25 as Bitcoin rallied 6.5% approaching the $68,000 level.

The company marked its 100th Bitcoin acquisition, adding 592 BTC for approximately $39.8 million at an average price of $67,286 per token.

Strategy Inc. (MSTR) has claimed a distinctive position in global equity markets: the most heavily shorted large-cap stock worldwide.

Data compiled by Goldman Sachs and FactSet reveals that roughly 14% of the company’s $41.6 billion market capitalization currently sits in short positions. This figure places Strategy at the top of the list, surpassing every other large-cap equity globally by this metric.

However, the underlying dynamics driving this short interest are far more nuanced than simple bearish sentiment.

A substantial portion of these short positions doesn’t represent direct negative bets on Strategy’s prospects. Rather, many traders are executing what’s known as a basis trade — acquiring Bitcoin exposure via spot ETFs while simultaneously establishing short positions in MSTR to capitalize on the spread between the company’s stock valuation and its underlying Bitcoin asset value.

Jane Street has emerged as a notable player in this space. Recent disclosures show the trading firm holding over 7 million shares in BlackRock’s iShares Bitcoin Trust (IBIT) alongside a substantial MSTR position — a textbook example of this paired trading approach.

Brian Brookshire, who specializes in Bitcoin treasury companies, stated clearly: “I suspect a lot of this short interest is still MSTR/BTC basis trade.”

$7 Billion Underwater on Paper

Strategy maintains a treasury of 717,722 BTC, amassed since 2020 through various financing mechanisms including convertible debt instruments, equity issuances, and proceeds from its original software operations. The aggregate cost basis stands at $54.56 billion, representing an average acquisition price of $76,020 per Bitcoin.

With Bitcoin hovering around $67,577 during current trading, the company faces approximately $7 billion in unrealized losses on a mark-to-market valuation. While these losses remain unrealized — the Bitcoin hasn’t been liquidated — market participants price securities based on current valuations, and depressed BTC prices diminish asset coverage relative to Strategy’s debt obligations.

This leverage structure amplifies MSTR’s volatility relative to Bitcoin itself. The double-edged nature of financial leverage becomes apparent during both upswings and downturns.

On February 25, Bitcoin surged 6.5% toward the $68,000 threshold. Strategy’s shares responded with a nearly 8% climb, demonstrating the tight correlation between the two assets — and illustrating how rapidly short sellers can experience pressure during Bitcoin rallies.

Milestone 100th Bitcoin Acquisition

Earlier in the same week, Strategy disclosed completion of its 100th Bitcoin acquisition since launching its accumulation program in 2020.

The transaction involved purchasing 592 BTC for roughly $39.8 million, at an average cost of $67,286 per token. Funding came from selling 297,940 Class A shares through the company’s at-the-market equity offering program.

Coinbase (COIN) also appeared prominently in Goldman’s short interest analysis, securing fourth position with short positions representing 11% of its market capitalization.

Nathan McCauley, co-founder and CEO of Anchorage Digital, revealed on February 25 that the digital banking institution maintains holdings of Strategy’s perpetual preferred stock, STRC, as part of its balance sheet.

MSTR shares have declined approximately 12% on a year-to-date basis, with the current market capitalization standing at roughly $45.31 billion.

The post Strategy (MSTR) Dominates Global Short Interest Rankings Among Large-Cap Stocks appeared first on Blockonomi.

Key Takeaways

Circle Internet (CRCL) shares touched $90 intraday before stabilizing near $87, extending Wednesday’s ~30% post-earnings rally

Fourth quarter 2025 earnings per share reached $0.43, surpassing analyst expectations of $0.35; revenue totaled $770 million, reflecting 77% annual growth

Bernstein maintained its Outperform designation with a $190 price objective, describing the performance as a “clear divergence from crypto”

Mizuho lifted its price forecast to $90 from $77 while maintaining a Neutral stance, citing interest-rate reductions as a possible challenge

William Blair and Clear Street both published favorable assessments; Clear Street increased its target to $92 from $85

Circle Internet Group shares momentarily crossed the $90 threshold on Thursday before stabilizing around $87.

The move extended momentum from Wednesday’s approximately 30% jump triggered by robust fourth-quarter financial results.

Fourth Quarter Performance

Circle delivered Q4 2025 earnings per share of $0.43, exceeding the Street’s $0.35 estimate by roughly 23%. The company generated $770 million in revenue, marking a 77% increase compared to the same period last year.

The strong quarterly performance prompted responses from multiple Wall Street research teams, each offering distinct perspectives on the stock’s trajectory.

Bernstein reaffirmed its Outperform stance while maintaining a $190 price objective. The firm characterized the quarter as representing a “clear divergence from crypto,” highlighting enhanced transaction revenue and expanding blockchain rewards stemming from Circle’s super validator position on the Canton network.

A notable metric highlighted by Bernstein: USDC stored directly on Circle’s platform increased to 17% of total circulation in Q4, climbing from 14% in the previous quarter.

Company guidance indicates expectations for USDC circulation to grow at a 40% compound annual rate, with supplementary revenue streams potentially reaching $170 million in 2026, compared to $110 million in 2025.

Mixed Outlook from Analysts

Mizuho’s Dan Dolev and Alexander Jenkins increased their price objective to $90 from $77 while retaining a Neutral rating.

They highlighted prediction markets such as Polymarket as a “visible, scaled USDC use case,” driving substantial transaction activity that bolsters both revenue streams and reserve holdings. Company management identified Polymarket as a significant factor in recent USDC expansion.

Mizuho also mentioned “agentic AI” — autonomous software systems utilizing internet-native currency — as a potential long-term catalyst for USDC adoption, though present transaction volumes remain minimal.

The firm cautioned, however, that prospective interest-rate decreases pose a risk. Reserve income continues to represent the majority of Circle’s revenue stream, meaning any rate decline would negatively impact that segment.

Additional Wall Street Perspectives

William Blair maintained its Outperform rating and suggested long-term investors should contemplate establishing positions.

The firm views USDC as poised to become the leading commerce-oriented stablecoin, supported by complete fiat backing, regulatory adherence, and network effects. William Blair referenced an approximately $20 trillion cross-border B2B payments market as the long-term addressable opportunity, while acknowledging limited visibility regarding full market penetration.

Street consensus forecasts 62% revenue expansion for Circle in the current fiscal year.

Clear Street elevated its price target to $92 from $85 while retaining a Hold rating, pointing to strengthened fundamentals following the “strong” quarterly report.

Circle presently trades around $81.88 with a market capitalization of $14.45 billion, though shares remain down approximately 51% over the trailing six-month period.

According to InvestingPro data, the company maintains more cash than debt on its balance sheet.

Bernstein identified Circle’s Arc product, the Circle Payments Network, and emerging agentic payment capabilities as key areas for product development heading into 2026.

The post Four Wall Street Firms Boost Circle Internet (CRCL) Targets Following Strong Q4 Earnings appeared first on Blockonomi.

Kluczowe wnioski

Firma odnotowała stratę w Q4 w wysokości $1.66 na akcję, co jest znacznie gorsze niż prognozowana strata w wysokości $0.16.

Przychody kwartalne osiągnęły 35,8 miliona dolarów, co jest poniżej prognozy analityków wynoszącej 44,1 miliona dolarów.

Drastyczny spadek Bitcoina z około 125 000 $ do około 60 000 $ poważnie wpłynął na operacje wydobywcze.

Roczne przychody za 2025 rok wzrosły do 168,5 miliona dolarów w porównaniu do 140,1 miliona dolarów w roku poprzednim.

Firma zabezpieczyła umowy o wartości 12,8 miliarda dolarów na AI i HPC, celując w rozszerzenie mocy o 2,8 GW.

TLDR

Akcje MGM Resorts wzrosły o 5,79%, osiągając 37,62 USD 26 lutego podczas trzeciej z rzędu sesji handlowej z wzrostem.

Objętość wyniosła 7,3 miliona akcji, znacznie przekraczając 50-dniową średnią ruchomą wynoszącą 4,6 miliona.

Akcje zakończyły handel o 6,32% poniżej swojego 52-tygodniowego szczytu wynoszącego 40,16 USD.

Firma wraz z BetMGM ogłosiła zobowiązanie w wysokości 1M USD na rzecz programów odpowiedzialnego hazardu, z 450K USD przeznaczonymi na badania dotyczące zakładów sportowych.

Roczne przychody za 2025 rok wyniosły 17,5 miliarda USD, co stanowi 2% wzrostu, podczas gdy dochód netto znacznie spadł do 206M USD z 747M USD.

TLDR

BofA increased Caterpillar’s price target from $735 to $825, maintaining its Buy recommendation following impressive 2025 financial results.

The industrial giant delivered $67.6 billion in annual revenue with 4% growth, while its Power & Energy division jumped 23% to $9.4 billion.

CNBC’s Jim Cramer expressed support for CAT’s turbine business but suggested Cummins (CMI) offers better value at current levels.

February saw short positions increase by approximately 61%, while company insiders offloaded more than $98 million in shares during the last quarter.

Trading at roughly 40 times earnings after a 124% annual surge, CAT faces a consensus analyst price target of $712.52 with a “Moderate Buy” average recommendation.

Caterpillar (CAT) has experienced an impressive rally. Shares have climbed 124% during the past year and gained 28% since the beginning of 2025, starting Friday’s session at $752.81.

Following the release of Caterpillar’s full-year 2025 financial results, Bank of America wasted no time adjusting its outlook. The investment bank elevated its price objective on CAT from $735 to $825 while reaffirming its Buy recommendation.

BofA’s analysis was clear-cut. Caterpillar is experiencing turbine demand from multiple sectors extending far beyond data center applications, which the firm believes undermines concerns about potential turbine oversupply in the market.

The financial performance supported this thesis. Caterpillar generated $67.6 billion in total revenue throughout 2025, representing a 4% year-over-year improvement. The Power & Energy division emerged as the star performer, expanding 23% to achieve $9.4 billion in sales.

Fourth-quarter performance was equally impressive. The company delivered earnings per share of $5.16 for the period, surpassing the analyst consensus of $4.67. Revenue reached $19.13 billion, significantly exceeding projections of $17.81 billion. This represented a 17.9% increase compared to the corresponding quarter one year prior.

Jim Cramer recently shared his thoughts on CAT, stating plainly, “We like their stuff.” He highlighted turbines and power equipment as the foundation of the optimistic investment thesis.

However, Cramer also expressed some reservation. When a club member inquired in January about entering a position, he noted the stock had already experienced a substantial appreciation and said he’d prefer to see a pullback before adding exposure. He indicated he currently finds Cummins (CMI) more attractive than CAT at present valuations.

Cramer also offered criticism regarding retail investor participation, suggesting that Caterpillar’s leadership team should be working harder to engage individual investors — and questioning why an iconic American corporation trades at $749.

Analyst Ratings Split

The overall analyst community remains divided. CAT currently has sixteen Buy ratings, seven Hold ratings, and one Sell rating. The average price target stands at $712.52, which actually falls below the stock’s current trading level.

Wells Fargo pushed its target to $870 alongside an Overweight rating. Daiwa elevated its projection to $790. Jefferies established a $750 target with a Buy recommendation. Oppenheimer moved to $729 with an Outperform rating. Morgan Stanley, however, only increased its target to $425 while maintaining an Underweight stance.

Wall Street Zen downgraded CAT from Buy to Hold on February 21st.

Insider Selling and Short Interest

Not all market participants are bullish. Executive Denise C. Johnson divested 39,138 shares on February 2nd at an average price of $681.08, totaling more than $26.6 million. This transaction represented a 47% reduction in her stake.

Insider Bob De Lange executed his own sale on February 6th, offloading 22,656 shares at $720.11 for approximately $16.3 million. Throughout the past 90 days, company insiders have collectively sold $98.2 million worth of shares.

Short interest also surged roughly 61% during February, indicating that some market participants are positioning for a decline.

Institutional investors control 70.98% of CAT’s outstanding shares. Erste Asset Management expanded its stake by 32.7% in Q3, purchasing 33,634 shares. Norges Bank established a new position valued at more than $2.1 billion in Q2.

CAT’s 52-week trading range extends from $267.30 to $789.81. The stock currently trades at a P/E ratio of 40 with a market capitalization of $350.27 billion. The upcoming quarterly dividend is $1.51 per share, translating to an annualized distribution of $6.04 and a yield of 0.8%.

The post BofA Lifts Caterpillar Price Target to $825 Following Robust Full-Year Performance appeared first on Blockonomi.

TLDR

Ethereum Foundation releases Strawmap for Layer 1 enhancement

Roadmap aims for 10,000 TPS capacity and reduced slot duration

Seven network forks scheduled between now and 2029

Vitalik Buterin advocates for reduced slot times and improved finality

Quantum-resistant cryptography included in future development goals

Ethereum’s price action remained stable around the $2,000 threshold following the Ethereum Foundation’s announcement of its Strawmap initiative. This comprehensive roadmap presents a synchronized development strategy emphasizing enhanced transaction speeds, network scalability, and protocol optimization. The Strawmap release has bolstered market confidence in Ethereum’s commitment to advancing its base layer capabilities amid recent trading volatility.

Strawmap Defines Strategic Development Objectives

The Ethereum Foundation introduced Strawmap as an organized visual framework mapping anticipated network enhancements extending to 2029. This strategic document categorizes modifications across three primary layers: Consensus, Data, and Execution, facilitating coordinated implementation efforts. Each scheduled fork within Strawmap received designated priorities to ensure consistent developmental momentum throughout the ecosystem.

Five ambitious long-term objectives form the foundation of Ethereum’s decade-long vision outlined in Strawmap. Central to this strategy is accelerating Layer 1 performance through reduced slot times and minimized confirmation delays. The framework also supports scaling ambitions toward a gigagas-capable base layer delivering approximately 10,000 transactions per second.

The strategic document envisions a future teragas-enabled Layer 2 infrastructure capable of handling up to 10 million transactions per second. Strawmap incorporates quantum-resistant security measures utilizing hash-based cryptographic methods. The plan further emphasizes privacy enhancements at the base layer, enabling confidential transactions and establishing new privacy standards.

Slot Time Reduction and Finality Improvements Take Center Stage

Vitalik Buterin endorsed the Strawmap vision by presenting a phased approach toward progressively shorter slot durations. His proposal outlines incremental reductions from the current 12-second intervals to lower targets as technical research matures. Strawmap emphasizes this priority, connecting accelerated block production to enhanced user interactions and improved rollup efficiency.

Development teams are actively assessing peer-to-peer network propagation enhancements to accommodate reduced slot times. Research includes implementing erasure coding techniques to minimize block distribution latency across validator networks. These networking optimizations align with Strawmap’s overarching throughput expansion objectives.

Ethereum contributors are also investigating Minimmit, an innovative finality mechanism designed to strengthen transaction settlement assurances. This system targets improved confirmation speeds during high-stress network scenarios. Strawmap identifies this finality upgrade as essential infrastructure for upcoming protocol forks.

Multi-Year Fork Timeline Mapped Through Decade’s End

Strawmap establishes a sequence of seven planned network upgrades following a six-month release cadence extending through 2029. This structured approach balances rapid innovation with predictable deployment schedules. Each fork addresses distinct protocol enhancement themes, maintaining organizational clarity throughout implementation.

The Ethereum Foundation developed Strawmap during an internal strategy session in early 2026. While serving as a directional planning instrument rather than binding roadmap, it provides crucial coordination guidance. Strawmap promotes transparent collaboration among researchers, developers, and stakeholders across the broader Ethereum community.

Market sentiment surrounding Ethereum remained stable as Strawmap details circulated throughout the ecosystem. This comprehensive framework underscores Ethereum’s dedication to long-term scalability objectives while maintaining development velocity. Strawmap establishes a clear trajectory for sustained technical advancement across all primary network layers.

 

The post Ethereum Foundation Releases ‘Strawmap’ Blueprint: Seven Network Upgrades Until 2029 appeared first on Blockonomi.

Key Takeaways

Q4 2025 earnings per share of $0.84 surpassed analyst consensus of $0.83, while revenue of $282.9M beat expectations of $275.7M

Shares plummeted more than 23% in after-hours trading following disappointing bookings guidance for Q1 and full-year 2026

Leadership announcing strategic pivot prioritizing user acquisition over near-term monetization efficiency

Full-year 2026 bookings projection of $1.27B–$1.30B significantly trails Wall Street’s $1.39B estimate

Company’s board authorized new $400 million stock repurchase program

The language-learning platform delivered solid fourth-quarter results that exceeded analyst projections, yet shares tumbled sharply as management issued guidance that disappointed investors.

DUOLINGO $DUOL JUST REPORTED Q4 EARNINGS

Topline Performance
• Revenue: $282.9M vs $276.0M est
• Daily Active Users (DAU): 52.7M
• Monthly Active Users (MAU): 133.1M

Outlook
• Q1 Revenue: $288.5M vs $290.5M est
• Q1 Bookings: $301.5M vs $329.7M est
• Q1 Adjusted… pic.twitter.com/6emaIckiDo

— WOLF (@WOLF_Financial) February 26, 2026

The company reported earnings per share of $0.84, slightly ahead of the consensus estimate of $0.83. Quarterly revenue totaled $282.9 million, exceeding analyst forecasts of $275.7 million. For the complete 2025 fiscal year, adjusted EBITDA surpassed $300 million, while total bookings exceeded $1 billion for the first time in company history.

The platform’s daily active user base also reached a milestone of 50 million — representing a fivefold increase since the company went public in 2021.

The positive momentum ended when management unveiled its forward-looking projections.

For the first quarter of 2026, Duolingo anticipates bookings of approximately $301.5 million. Wall Street had been modeling $329.7 million. The full-year bookings outlook of $1.27–$1.30 billion fell substantially short of the $1.39 billion analysts had expected.

The company’s revenue guidance of $1.20–$1.22 billion similarly missed Street estimates of $1.26 billion.

Shares collapsed over 23% in extended trading following the announcement before recovering to close up 5.19% at $113.24 after the official earnings report.

Management attributed the conservative projections to an intentional change in corporate strategy. The company is deprioritizing short-term monetization tactics in favor of accelerating its user base expansion.

CEO Luis von Ahn explained the approach directly: “If we’re seeing faster user growth than we’re expecting, and what we are expecting is about 20%, then that means the strategy is working.”

Expanding AI Capabilities to Broader User Base

Central to this strategic realignment is democratizing access to the platform’s AI-powered functionality. The “Video Call with Lily” capability, which had been exclusive to the premium Max subscription tier, will now become available to Super Duolingo subscribers.

Additionally, the company intends to make more AI-enhanced speaking exercises accessible to users on the free tier. Management highlighted that the operational cost of the AI video calling feature has dropped by more than tenfold since its introduction, making widespread deployment financially sustainable.

The company projects its adjusted EBITDA margin will compress to approximately 25% in 2026 as it accelerates investment in artificial intelligence capabilities and boosts marketing expenditures.

User Acquisition Momentum Decelerating

The rate of daily active user expansion slowed throughout 2025 and is anticipated to moderate to roughly half the velocity observed in previous years.

Bookings growth is now tracking toward approximately 11% for 2026. Management acknowledged that maintaining the previous strategic approach could have delivered bookings growth closer to 20% — a sacrifice the leadership team is willingly accepting.

In recent years, the platform had implemented various nudges pushing users toward paid subscription tiers through advertising and conversion prompts. While this approach increased average bookings per user, it constrained overall platform growth, precipitating the strategic recalibration.

The board of directors has also greenlit a stock repurchase authorization of up to $400 million.

At present trading levels, shares remain significantly below the 52-week peak of $544.93, with the company carrying a market capitalization of approximately $5.44 billion and trading at a price-to-earnings ratio of 14.67.

The post Duolingo Shares Plunge 23% Despite Beating Q4 Earnings on Disappointing Forecast appeared first on Blockonomi.

TLDR

Zscaler delivered Q2 FY2026 adjusted EPS of $1.01 on $816M revenue, surpassing Wall Street projections

Shares plummeted 9% in Friday’s pre-market session following the earnings announcement

Raised full-year EPS forecast to $3.99–$4.02, exceeding the $3.92 analyst consensus

YTD performance shows a 26% decline, mirroring broader software sector valuation concerns

Company operates at a “Rule-of-62” efficiency metric, significantly surpassing the Rule-of-40 industry standard

Zscaler $ZS delivered impressive fiscal Q2 results, yet investors responded by sending shares lower. This reaction encapsulates the current state of software sector trading.

Zscaler, $ZS, Q2-26.

Rule-of-62, margins at highs.

Adj. EPS: $1.01
Revenue: $815.75M
Net Loss: $34.31M

ARR +25% YoY to $3.36B.
Non-GAAP operating margin 22% with strong FCF at 21%. pic.twitter.com/w3oYZsuyNq

— EarningsTime (@Earnings_Time) February 26, 2026

The cloud security provider reported adjusted earnings of $1.01 per share, beating analyst expectations of $0.89 by a significant $0.12 margin. The company generated $815.8 million in revenue, representing 26% annual growth and exceeding consensus projections of $798 million.

Yet these strong results weren’t enough to lift the stock, which declined approximately 9% during Friday’s pre-market session.

The week proved volatile for ZS shareholders. Monday saw a 10% plunge amid AI-driven market turbulence. The following three trading days brought a 17% recovery before Thursday’s earnings release triggered another downturn.

Looking ahead to Q3 FY2026, Zscaler projects adjusted EPS between $1.00 and $1.01, comfortably above the $0.95 Wall Street consensus. The company anticipates revenue in the $834 million to $836 million range, modestly exceeding analyst estimates of $831.9 million.

Management elevated full-year FY2026 guidance, now targeting adjusted EPS of $3.99–$4.02 versus the previous $3.82 consensus. Annual revenue expectations were set at $3.309 billion to $3.322 billion, slightly above the $3.3 billion estimate.

CEO Jay Chaudhry emphasized the company’s strategic positioning around artificial intelligence, noting that enterprises accelerating AI deployment are leveraging Zscaler’s infrastructure to protect AI-powered and agentic systems.

Chaudhry positioned Zscaler as the “cybersecurity platform for the AI age,” emphasizing that the company’s Zero Trust architecture is ideally suited to manage the velocity and magnitude of AI and agentic workflows.

Rule-of-62

CFO Kevin Rubin highlighted an impressive operational efficiency metric. Zscaler is currently operating at a “Rule-of-62” on a fiscal year-to-date basis.

This metric blends revenue growth rate with profit margins. While the Rule-of-40 represents the baseline for healthy software businesses, Zscaler’s performance substantially exceeds this threshold.

A Rough Year for ZS

Prior to the earnings release, ZS had already fallen 26% in 2026. The post-earnings selloff compounds the challenges facing a stock that has struggled to gain traction throughout the year.

This week’s price action illustrates the current mindset among software investors. A 10% decline, followed by a 17% recovery, then another sharp drop despite strong results—the market remains indecisive about proper valuations for these companies.

The Q3 forecast calling for $834–$836 million in revenue and EPS of $1.00–$1.01 continues to exceed analyst projections.

The post Zscaler Stock Plunges 9% After Strong Q2 Results and Raised Outlook appeared first on Blockonomi.

Key Highlights

Shares of SoundHound AI climbed 5.4% following a Q4 CY2025 earnings performance that exceeded Wall Street projections for both top and bottom lines.

Quarterly revenue reached $55.06 million, marking a 59.4% increase compared to the same period last year and surpassing forecasts by 2.3%.

The company reported a GAAP EPS loss of $0.03, significantly better than the anticipated -$0.10 loss, representing a 69.1% beat.

SoundHound introduced a voice-activated Sales Assist agent and established a fresh engineering facility in Bengaluru.

Wall Street maintains a Moderate Buy rating with a mean price target of $16.07, although elevated short interest and recent insider sales warrant attention.

On February 26, 2026, SoundHound AI delivered impressive Q4 CY2025 financial results, triggering a 5.4% surge in share price throughout Thursday’s trading session.

SoundHound AI, $SOUN, Q4-25.

Top-line surge, margins expanding.

Adj. EPS: -$0.02
Revenue: $55.06M
Net Income: $40.06M

Revenue +59% YoY, GAAP gross margin up to 47.9%.
Record enterprise deals closed as AI demand accelerates. pic.twitter.com/TH8sMxxsPY

— EarningsTime (@Earnings_Time) February 26, 2026

Shares peaked at $9.10 during the session and concluded trading at $8.98, up from the previous closing price of $8.52. The day’s trading volume reached 41.6 million shares, approximately 55% higher than typical daily activity.

The company generated $55.06 million in quarterly revenue, representing a 59.4% jump year-over-year. This performance exceeded analyst projections of $53.84 million by 2.3%.

Regarding profitability, SOUN recorded a GAAP loss per share of $0.03. This result significantly outperformed the consensus estimate of a $0.10 loss, delivering a 69.1% earnings surprise.

The company’s adjusted EBITDA reached $72.28 million, translating to a 131% margin and reflecting 530% growth compared to last year’s quarter. Operating margin showed substantial improvement at 77.3%, a dramatic turnaround from the -744% figure recorded in the comparable period.

Free cash flow registered at -$24.43 million, showing progress from the prior quarter’s -$32.83 million.

Across the past four years, SoundHound AI has achieved revenue expansion at a 68% compound annual growth rate. The company’s two-year annualized growth of 91.9% indicates accelerating market demand.

Strategic Initiatives and Geographic Growth

Prior to the earnings announcement, SoundHound introduced its Sales Assist agent at MWC — a voice-activated solution designed for real-time retail applications. This offering represents a strategic move to diversify enterprise revenue streams beyond existing automotive and contact center segments.

Additionally, the company inaugurated an engineering and innovation facility in Bengaluru, designed to enhance R&D capabilities and expedite deployment of its agentic AI platform.

The stock currently trades below its 200-day moving average of $13.01, though it remains close to its 50-day moving average of $9.67. The company’s market capitalization stands at $3.77 billion, with a beta coefficient of 2.64.

Wall Street Perspective and Ownership Trends

Analyst sentiment currently reflects a Moderate Buy consensus, with a mean price target of $16.07. Ladenburg Thalmann elevated SOUN to Strong Buy in December. Piper Sandler reduced its target from $15.00 to $11.00 in January while maintaining a Neutral stance. DA Davidson established a $14.00 price objective earlier this year.

Institutional ownership has expanded notably. Vanguard increased its position by 16.4% during Q3. Morgan Stanley expanded its stake by 48.1% in Q4. UBS raised its holdings by 77.6% in the same quarter.

Regarding insider transactions, COO Michael Zagorsek divested 73,406 shares at $11.28 in December, reducing his position by 3.94%. CEO Keyvan Mohajer sold 144,326 shares at the identical price point. Collectively, insiders disposed of 460,922 shares valued at approximately $5.2 million during the past three months.

Short interest continues at elevated levels, introducing potential volatility if future results or guidance fall short of expectations.

After the earnings disclosure, shares stabilized around $9.02.

The post SoundHound AI (SOUN) Shares Jump 5.4% on Strong Q4 Earnings Performance appeared first on Blockonomi.

Key Takeaways

MARA Holdings experienced a 17% surge in after-hours trading following its announcement of a strategic partnership with Starwood Capital Group for AI data center development.

Existing MARA mining locations will be transformed into advanced facilities serving enterprise cloud and AI clientele.

The collaborative venture aims to achieve more than 1 gigawatt of initial IT capacity, with expansion plans targeting 2.5+ gigawatts.

Fourth quarter results revealed a $1.7B net loss for MARA, with $1.5B attributed to digital asset fair value adjustments and revenues declining 5.6% compared to the previous year.

Despite the strategic shift, CEO Fred Thiel affirmed that Bitcoin continues to be “a core pillar” of the company’s long-term vision.

Shares of MARA Holdings experienced a significant after-hours rally on Thursday, climbing nearly 17% after the cryptocurrency mining company revealed a substantial partnership with Starwood Capital Group focused on AI data center development throughout its domestic locations.

MARA announces a strategic partnership with Starwood Digital Ventures to accelerate delivery of cutting-edge hyperscale, enterprise, and AI capable digital infrastructure.

The joint platform is expected to deliver approximately 1 GW of near-term IT Capacity, with a pathway to… pic.twitter.com/9rE8orvUnG

— MARA (@MARA) February 26, 2026

The company’s shares reached $9.88 during extended trading hours immediately after the news broke.

The partnership structure involves MARA contributing its current data center properties into the joint venture. Starwood Digital Ventures — the specialized data center division of Starwood, which oversees more than $125 billion in total assets — will spearhead design work, construction activities, tenant acquisition, and ongoing facility management.

Both organizations will share financing responsibilities and operational duties for these developments.

Initial projections indicate the platform will produce over 1 gigawatt of IT capacity during its first development wave. Long-term planning envisions expansion exceeding 2.5 gigawatts as the partnership matures.

MARA maintains the flexibility to invest as much as 50% in individual joint venture initiatives, preserving its ownership stake in cash-generating operational assets.

Strategic Shift Toward AI Infrastructure

The infrastructure at MARA’s current locations was originally designed for Bitcoin mining operations, but these facilities possess an increasingly scarce and valuable asset: immediate access to substantial power infrastructure.

With technology giants competing intensely to lock down power resources for emerging AI systems, these mining locations have become unexpectedly attractive.

Chief Executive Fred Thiel characterized 2026 as representing “an inflection point,” highlighting both the Starwood collaboration and a separate arrangement with Exaion focused on expanding enterprise AI functionality.

This strategic direction places MARA within a broader industry movement of cryptocurrency miners converting their existing infrastructure toward AI and high-performance computing applications. Bitfarms (BITF) underwent a recent rebrand to Keel Infrastructure as part of a comparable transition from mining operations toward HPC and AI data center services.

This sectoral transformation gained momentum following Bitcoin’s latest halving event, which reduced mining rewards by fifty percent. Combined with increasing energy expenses, declining cryptocurrency valuations, and intensifying competitive pressures, profit margins throughout the mining industry have faced considerable compression.

Cryptocurrency Strategy Remains Active

Notwithstanding this infrastructure pivot, MARA maintains its commitment to cryptocurrency operations.

In his Q4 communication to shareholders, Thiel explicitly confirmed that “Bitcoin remains a core pillar of MARA’s strategy,” emphasizing the organization’s enduring confidence in the digital asset category remains firm.

This strategic reassurance accompanied challenging fourth quarter financial results.

MARA disclosed Q4 GAAP EPS of negative $4.52, falling short of analyst consensus by $3.35. Quarterly revenue totaled $202.3 million, representing a 5.6% year-over-year decrease and missing projections by $49 million.

The quarter’s net loss reached $1.7 billion, contrasting sharply with net income of $528.3 million recorded in Q4 2024. Approximately $1.5 billion of this loss stemmed from fair value reductions in digital assets maintained on the corporate balance sheet.

Adjusted EBITDA registered negative $1.5 billion, compared against a positive $796 million figure from the corresponding period one year earlier.

MARA explained the revenue shortfall as resulting from a 14% decrease in the average valuation of bitcoin produced throughout the quarter.

The company maintains its headquarters in Hallandale Beach, Florida.

The post MARA Holdings Soars 17% Following Starwood AI Data Center Partnership appeared first on Blockonomi.

TLDR

Dell zgłosił skorygowaną zysk na akcję za Q4 w wysokości 3,89 USD, przewyższając szacunki analityków wynoszące 3,52 USD, podczas gdy przychody osiągnęły 33,4 miliarda USD — wzrost o 39% w porównaniu z rokiem ubiegłym.

Przychody z serwerów zoptymalizowanych pod kątem AI wzrosły o 342%, osiągając 9,0 miliarda USD, towarzyszyło temu bezprecedensowe 43 miliardy USD w złożonym zamówieniu.

Prognoza przychodów firmy na FY2027 w wysokości 138–142 miliardów USD znacznie przewyższa konsensusową prognozę Wall Street wynoszącą 124,9 miliarda USD.

Akcje wzrosły o ponad 13% w przedłużonym handlu, osiągając 137,40 USD.

Firma ogłosiła zwiększenie dywidendy o 20% i zatwierdziła dodatkowe 10 miliardów USD na wykup akcji.

Kluczowe wnioski

Intuit dostarczył skorygowany EPS w wysokości 4,15 USD, przekraczając konsensus na poziomie 3,68 USD, podczas gdy przychody wzrosły o 17% do 4,65 miliarda dolarów

Prognoza EPS na trzeci kwartał w wysokości 12,45–12,51 USD nie spełniła oczekiwań analityków wynoszących 12,97 USD

CEO Sasan Goodarzi podkreśla, że firmy AI są współpracownikami, a nie konkurentami, wskazując na nowe partnerstwo z Anthropic

Akcje spadły o około 4% w piątkowym handlu przed rynkiem, przedłużając prawie 40% stratę od początku roku

Firma ogłosiła kwartalną dywidendę w wysokości 1,20 USD na akcję, co oznacza wzrost o 15% w skali roku

Key Points

Senator challenges banking regulator on Trump-linked crypto charter transparency.

Questions emerge about foreign investment disclosure in bank charter application.

Warren demands unredacted documents from OCC regarding Trump firm review.

UAE investment connection triggers national security and influence concerns.

Congressional Democrats escalate calls for enhanced regulatory supervision.

Senator Warren escalated her examination of an ongoing bank charter application by confronting the Office of the Comptroller of the Currency leadership over transparency issues. The confrontation gained widespread attention due to the applicant’s connection to Trump’s crypto business interests. The debate sparked fresh concerns about regulatory autonomy and possible overseas influence.

Banking Regulator Faces Mounting Congressional Pressure

Warren confronted the agency head following revelations about substantial foreign ownership in the Trump cryptocurrency enterprise. She contended that the OCC has an obligation to confirm World Liberty Financial’s adherence to disclosure requirements, pressing for access to complete, unredacted application materials. She maintained that proper oversight necessitates total transparency from the regulatory body.

The OCC chief, Gould, defended his agency’s position by asserting that the application will undergo standard procedural review. He clarified that the OCC will not introduce delays to the evaluation unless legally mandated, underscoring that every applicant receives identical treatment. He rejected Warren’s demands and characterized her request as unwarranted regulatory interference.

Warren countered that the Senate Committee has a duty to validate compliance given the firm’s presidential ties. She emphasized that concealed ownership structures would warrant application rejection, insisting Congress must authenticate all submitted information. She maintained that these unique circumstances necessitate rigorous enforcement of regulatory standards.

Offshore Investment Raises Red Flags in Charter Application

Warren expressed alarm over reports of a UAE-supported acquisition of significant equity in the company. She noted the transaction occurred mere days before the presidential inauguration, cautioning that international involvement could sway American policy decisions. She underscored national security vulnerabilities related to cutting-edge technology access.

Published accounts suggested the overseas entity purportedly secured a 49% ownership position in the cryptocurrency business. Observers highlighted the transaction’s suspicious timing, connecting it to subsequent federal policy modifications regarding technology export controls. Policy experts contended that these relationships create potential conflicts requiring rigorous regulatory examination.

Warren asserted that the OCC must validate whether ownership information was properly disclosed according to regulations. She reminded the agency head that failure to disclose represents legitimate grounds for immediate application dismissal under federal banking law. She further pressed the agency to preserve public confidence throughout the entire evaluation process.

Senate Democrats Amplify Demands for Regulatory Accountability

Democratic lawmakers intensified demands on Treasury Department officials to halt any charter approval pending resolution of outstanding concerns. They cautioned that issuing a national trust charter could erode public trust in the banking regulatory framework. They further contended that international ownership involvement presents extensive governance challenges.

Multiple members of Congress requested formal investigations into alleged financial transactions connected to Trump-associated businesses. They declared that public accountability demands thorough scrutiny of the UAE investment arrangement. They also stressed that personal financial gain must not shape federal regulatory determinations.

Warren stated the Committee anticipates complete cooperation from the OCC throughout congressional oversight activities. She repeated that banking regulators must eliminate conflicts of interest and preserve impartiality. She concluded that any charter approval without complete transparency would compromise the integrity of federal banking supervision.

The post Senator Warren Challenges Banking Regulator Over Trump Crypto Charter Application appeared first on Blockonomi.