Hi! In today’s edition:

Bitcoin slid to a two-month low near $70,853 Tuesday, down roughly 6% on the week, as three pressures converged in a single 24-hour window.

Spot Bitcoin ETFs posted their 10th consecutive day of net outflows Monday, the longest streak on record. Cumulative outflows since May 15 reached $2.96 billion, pushing 2026 YTD flows negative for the first time. AUM fell from over $104 billion to roughly $94 billion in under two weeks. Galaxy Research called it "real directional recalibration."

Strategy disclosed in an 8-K filing Monday that it sold 32 BTC for approximately $2.5 million at an average of $77,135 between May 26-31, its first sale since December 2022. Total holdings now stand at 843,706 BTC. Proceeds will fund STRC preferred dividends. MSTR fell 8.5% to near $145. A $20 million Polymarket pool on whether Strategy would sell BTC by May 31 is now in dispute on UMA.

Vitalik Buterin published a research post on ethresear.ch Monday proposing that DeFi swap out collateralized debt positions and forced liquidations in favor of an options-based architecture for index-tracking assets.

"What if we use options as the base of DeFi, instead of CDPs and liquidations?" Buterin asked on X. In the model, users hold a contract linked to a price index (like USD/ETH or a CPI basket), split into two parts (P and N) that together equal the original ETH deposited. Extreme price moves spread smoothly rather than triggering cascading liquidations.

A key design benefit: the system could work with slow oracles similar to prediction-market resolution, reducing reliance on real-time price feeds that have proven vulnerable to manipulation. Buterin flagged rebalancing slippage as a practical challenge.

Grayscale filed Amendment 6 to its S-1 registration with the SEC on Monday for the Grayscale Hyperliquid Staking ETF, disclosing a 0.29% sponsor fee and confirming the proposed ticker HYPG.

The fee undercuts both existing competitors: 21Shares' THYP at 0.30% and Bitwise's BHYP at 0% for the first month before rising to 0.34%. The product would be the third US-listed Hyperliquid ETF.

Bloomberg ETF analyst James Seyffart said on X that he expects the launch this week. HYPE ETFs have absorbed roughly $132 million in cumulative net inflows in their first month, the strongest spot crypto ETF debut on record by market-cap absorption. HYPE trades at a market cap of approximately $16.1 billion, the 10th-largest cryptocurrency.

Binance launched trading on more than 7,000 US-listed stocks and ETFs on Monday for users outside the United States, with zero commissions, fractional shares from $5, and 24/5 trading.

Customers can fund positions using USDT, USDC, BNB, or other crypto. Nest Trading, an Abu Dhabi-regulated broker-dealer, will route orders. New York-based Alpaca will handle custody, dividends, and corporate actions. A minimum platform fee of $0.35 per order applies, plus a 10 basis point fee on trades above $350.

The exchange also previewed bStocks, a forthcoming feature that will let users tokenize their equity holdings on BNB Chain, issued by BTECH Holdings, an ADGM-registered SPV. Daily tokenized stock volume hit an all-time high of $3.57 billion on May 19, and Citi projects tokenized stocks will reach $2.6 trillion by 2030.

A packed Tuesday lineup: first, a regulatory deep-dive into DeFi's big week - the CFTC just weighed in on perps, a notably strange New York bitcoin wallet case is making rounds, and Katherine Kirkpatrick Bos, Jessi Brooks, and Vy Le are unpacking what agentic commerce onchain means legally, timed to Robinhood's new agentic beta.

Then at 1pm ET, Arca CIO Jeff Dorman joins Laura to make the case that Strategy's math is finally catching up - with over $1 billion in annual interest and preferred dividend obligations and essentially no operating income, its four stakeholder groups are on a collision course. Which end state is most likely, and what does it mean for BTC?

Tune in starting at 12pm ET.

Join us on X, YouTube or PumpFun.