On Thursday Meta told investors, in a filing, that it has signed leases and contracts worth about $825 billion to build out its AI computing. Its shares fell 7%. The Nasdaq fell 2.6%, and investors bought government bonds instead: the ten-year Treasury yield had its biggest one-day fall since the day Silicon Valley Bank failed in March 2023.

Bitcoin went with the AI shares. It fell 3.6% to $81,181 on our overnight reading. Ether fell 3.9% and solana 3.5%.

That same day Ki Young Ju, who runs the data firm CryptoQuant, wrote that an AI bubble bursting wouldn't hurt bitcoin much, because bitcoin missed the entire AI rally. It missed the rally and fell anyway.

If you bought bitcoin through a fund this week, you bought at the top of a three-day run of buying. US spot bitcoin ETFs took in $526.7 million on Monday, $23.2 million on Tuesday and $524.8 million on Wednesday. That's about $1.07 billion week to date. Thursday's figure isn't published yet. Glassnode, the on-chain data firm, puts the average price those funds' holders paid at about $81,500, and after Thursday the price sits on it.

Brent crude rose 4% on Thursday, to about $113 a barrel, after an attack on a Saudi civilian airport that Saudi Arabia blamed on Iran-backed Houthis. Oil above $110 keeps inflation high, and the Fed meets on Tuesday and Wednesday with traders expecting a hold.

So the fall in bond yields that would usually help bitcoin came from people running from risk, with no easing behind it. If you hold bitcoin, it's still trading like a tech stock on the days that hurt. Below about $81,500 the average fund holder is losing money, and that's where the price was overnight.

The South China Morning Post reports that HSBC began rolling out RedCoin, a stablecoin backed by Hong Kong dollars, to the more than 3.3 million people who use its PayMe payments app on Friday. It starts with transfers between people and payments to merchants, and it lives only inside PayMe and HSBC's Hong Kong mobile banking app. Lawrence Li, who runs PayMe, said the rollout comes in stages.

It lands a day after the OCC published America's first final stablecoin rule, and the same week Korea's government moved to write stablecoins into its foreign-exchange law.

If you hold dollar stablecoins, notice who issued RedCoin. A bank, inside an app its customers already open, with no exchange account and no wallet to set up. In Hong Kong, that's now the competition for Tether and Circle's USDC.

Andreessen Horowitz renamed its crypto fund a16z Frontier on Thursday and said it will now back "frontier startups", not only crypto ones. Chris Dixon, who leads the fund, wrote that blockchain infrastructure has "gradually receded into the background" and that "the label matters less now". It says it will keep investing in crypto.

The Information reported that Ali Yahya, the crypto team's first full-time hire in 2017, is leaving to start his own company. He isn't among the partners Dixon named to run the new fund.

The fund raised $2.2 billion five months ago, less than half the $4.5 billion it raised in 2022. Paradigm widened its fourth fund into AI and robotics in July, and Framework and Haun have done the same. If you own tokens from projects a16z backed, the backer is still there, but its next check has more places to go.