The future of finance is shifting on-chain. As that shift accelerates, the world’s financial system is being rebuilt around tokenisation, the programmability of money and assets, along with a focus on regulation, risk and compliance. Pave Bank, a fully licensed commercial bank built for this new financial architecture, today announced it has raised over $39 million in funding led by Accel, with participation from Tether Investments, Quona Capital, Wintermute, Helios Digital Ventures, Financial Technology Partners, Yolo Investments, Kazea Fund, and GC&H Investments. The round brings the company’s total funding to more than $44 million and positions Pave Bank to expand its regulatory footprint, accelerate product development, continue to build institutional grade infrastructure and scale its client coverage across global markets.
Pave Bank was founded on two core ideas: that the future of money is programmable, and that businesses need a regulated, bank-grade counterparty capable of operating seamlessly across both traditional and digital asset rails. Today, the company offers a single platform that unifies commercial banking services – deposit accounts, broad payment coverage, deep FX liquidity, payment card issuance and corporate treasury management – with institutional-grade digital asset management, an instant settlement network and an OTC trading desk. Instead of managing multiple providers for fiat banking, custody, and liquidity, clients can operate across both systems under one regulatory framework, one compliance standard, and one interface.
Businesses using Pave Bank can manage both fiat and digital assets in real time, automate treasury operations, and reduce reliance on intermediaries. An exchange or market maker can manage both digital assets, fiat and fixed income treasury products in one place, and at the same time, deal with their counterparties using the Pave Network – enhancing operational liquidity and mitigating operational risk. Corporates exploring using stablecoins in their operations can unify digital assets and fiat corporate treasuries with regulatory clarity and in a secure manner – improving speed, control, and cost efficiency.
Since launching, Pave Bank has focused on building a sustainable, technology-driven operating model rather than chasing top-line growth. The company achieved profitability in seven of its first nine months of operation – a rare milestone for a newly licensed bank – by leveraging automation and AI across software engineering, compliance, operations, and treasury functions. With a team of just over fifty people, the bank expects to continue to scale intelligently while maintaining profitability along with a core focus on risk and compliance.
The financing reflects growing institutional demand for a new kind of financial institution – one that can manage regulated digital assets, from stablecoins to bitcoin, alongside everything that is expected from a commercial bank, provide instant settlement and programmable flows, and have prudential oversight. Pave Bank has been building within regulatory frameworks for digital assets from day one, and as these regulations mature and harmonize, Pave Bank is working directly with regulators to ensure compliance and interoperability across jurisdictions.
Looking ahead, Pave Bank plans to expand its licensing coverage, deepen its programmable treasury and institutional financial products, and integrate with major financial and digital asset ecosystems. The long-term vision is to become the trusted corporate and institutional global financial institution -the place where the traditional and digital economies finally operate as one.
Shadow Escape 0-Click Attack in AI Assistants Puts A Lot Of Data At Risk
Posted in Commentary with tags Hacked on October 23, 2025 by itnerdResearchers have uncovered a new privacy risk with Shadow Escape that exploits the Model Context Protocol (MCP) businesses use to connect to LLMs. The attack enables hackers to steal volumes of data such as Social Security Numbers, medical records, and business information that use AI assistants without the user ever clicking a suspicious link or making a mistake.
The details can be found here: https://www.operant.ai/art-kubed/shadow-escape
Roger Grimes, CISO Advisor at KnowBe4, provided the following comments:
“I’m familiar with at least one other similar attack involving another, more popular AI tool, that the research plans to publicly release soon after practicing responsible disclosure with the vendor. They seem to be coming out of the woodwork so to speak. This zero-click attack is just going to be one of thousands coming out over the next few years. These initial reports are just the beginning stages of what promises to be years and years of new types of exploits. That’s because AI and the way they interact with other AIs and humans are just starting to be discovered and explored. The sheer amount of ways that any AI can interact with something else makes it far harder, if not impossible, for the vendor or a cyber defender to test before the AI is released.
“We didn’t do a great job at testing non-AI, more deterministic software and systems, to make sure they didn’t have vulnerabilities. Heck, we had over 40K separate publicly announced vulnerabilities last year and we are on our way to having over 47K this year. Non-deterministic AIs with the ability to have thousands of different types of interactions is just going to make that number explode. We are just now opening pandora’s box, and we are definitely not going to like what we see. I thought stuff was complex in the past. We will think of the past decades of vulnerabilities as the “good times” before AI everywhere arrived. It’s getting ready to be very stormy.”
Organizations need to look at the use of AI by their employees. They need to ensure that they are using only company approved AI tools and making sure that anything that connects to an LLM is secure. Otherwise, they are wide open to this sort of attack.
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