Sui Network’s mainnet is back online after validators rolled out a long-term fix to address repeated halts tied to the gas-charging logic in release 1.72. The chain stalled twice over two days. An interim patch pushed Thursday included a known low-probability flaw; on Friday, the network encountered a related variant and halted again. Validators have now deployed the permanent solution, with more than two-thirds upgraded, and on-chain activity has resumed. Sui said no user funds were lost in either incident. The SUI native token dropped as much as 8% during the disruption. A full post-incident review is still pending.

On-chain data shows a transfer of 108,933,400 USDC, valued at US$108,894,429, from an unidentified wallet to the USDC Treasury.

Four altcoins posted double-digit gains on the day, according to CoinMarketCap data, while Bitcoin traded soft and the rest of the altcoin complex stayed subdued. Injective (@injective) surged 22% to $6.49 after BinanceUS enabled injectiveprotocol:native staking. The move adds to momentum from the May 7 native $USDC launch via Circle's CCTP, positioning the chain as a venue for compliant tokenization flows. HyperliquidX (@HyperliquidX, hyperliquid:native) rose 12.84% to $66.55. Supportive drivers included Grayscale's breakoutsuccess report projecting $800M in annual revenue, Bitwise expanding its $BHYP ETF, and a third-party builder program surpassing $20M in fees. Algorand (@Algorand, algorand:native) gained 11.71% to $0.1165, extending a run that followed the May 19 Robinhood NY listing, commodity classification by the SEC and CFTC, and Google's quantum endorsement. Its 7-day RSI remains deep in overbought territory. NEAR Protocol (@NEARProtocol, near:native) advanced 10.62% to $2.56 as markets digested June's Dynamic Resharding upgrade and the FIPS-204 post-quantum signature rollout. The Bitwise NEAR Staking ETP continues to attract institutional inflows.

Intercontinental Exchange (ICE) CEO Jeffrey Sprecher said at a Bernstein conference that decentralized crypto derivatives platform Hyperliquid is "bigger than Nasdaq" in trading activity. He also praised the company's lean core team, calling them "very, very smart people."

Morgan Stanley disclosed positions in two XRP-linked exchange-traded funds in its first-quarter 2026 Form 13F filing with the U.S. Securities and Exchange Commission, according to filing details cited in market reports. While the exposure is small, it places XRP among the digital-asset products held by one of Wall Street's largest wealth managers. The bank, which oversees more than $9 trillion in client assets, reported owning 1,700 shares of the Volatility Shares XRP ETF and 100 shares of the Grayscale XRP ETF, which trades under the ticker GXRP. The disclosure adds XRP to Morgan Stanley's roster of crypto-related investment positions as institutional demand for digital-asset funds broadens beyond Bitcoin. The filing indicates the exposure was obtained through ETFs rather than direct holdings of the token, meaning the bank reported shares in regulated XRP-linked products rather than an on-chain wallet balance. The combined position remains modest relative to the firm's overall activity. Interest in XRP ETFs has been building even as some issuers, including Trump Media, have dropped XRP ETF filings. Market data cited in reports showed U.S. spot XRP ETFs recorded a $25.8 million single-day inflow on May 11, with $60.5 million in net inflows for the week of May 11 to May 15. Cumulative inflows since the products launched in November 2025 were reported at $1.37 billion, trailing Bitcoin and Ethereum ETFs among major crypto fund categories. Morgan Stanley's XRP ETF disclosure also aligns with a broader expansion of its digital-asset offering. The firm has introduced retail crypto trading via its E*Trade platform, supporting Bitcoin, Ethereum and Solana, using Zero Hash for liquidity and custody infrastructure, according to the details provided. It has also moved into branded crypto vehicles, including the Morgan Stanley Bitcoin Trust, and has filed for spot Ethereum and Solana trusts; the Ethereum product is described as incorporating an automated staking-yield mechanism. Separately, the firm's digital-asset strategy efforts have been linked to development work on an institutional and high-net-worth digital wallet designed for custody and settlement of tokenized real-world assets such as private equity, bonds and real estate. Broader XRP-related institutional signals continue to draw attention as the token's price has largely traded in a range. Alongside ETF flows, reports have pointed to large-holder accumulation and Ripple's continued buildout of services aimed at financial institutions. The May 11 inflow of $25.8 million was cited as the largest single-day intake since January 5, and the May 11 to May 15 week as the strongest of 2026 for U.S. spot XRP ETFs. Since the November 2025 launch, cumulative inflows have been reported at $1.37 billion. Standard Chartered's forecast remains part of the market narrative. Jake Claver was cited as saying the bank continues to project $4 billion to $8 billion of XRP ETF inflows in 2026, contingent on passage of the CLARITY Act. On-chain data have also indicated growth among larger XRP holders. As of May 12, 332,230 wallets reportedly held at least 10,000 XRP, a record level. Wallets holding 1 million XRP or more were said to have added 42 new addresses since the start of 2026, and that cohort accumulated 1.2 billion XRP during the first quarter. Ripple's corporate activity has added another dimension to institutional interest in XRP-linked infrastructure. The company completed its $1.25 billion acquisition of prime brokerage Hidden Road, expanding its footprint in institutional trading and settlement. Ripple has also been referenced in connection with DTCC and NSCC broker directory listings, bringing elements of its expanded business closer to traditional market infrastructure.

Wintermute is providing liquidity on both Kalshi and Polymarket, positioning itself as a link between the two major prediction-market platforms.

Arbitrum has filed a new governance proposal seeking additional operating capital to fund the Arbitrum Foundation through 2027, CoinDesk reported. The move comes as on-chain activity continues to expand—including growth in transactions, stablecoin balances and real-world assets (RWA)—while the DAO’s revenue base still does not fully cover ecosystem outlays, keeping the question of Layer 2 financial self-sufficiency in focus. The request totals $16 million in RWA and stablecoins, 1,740 ETH and 230 million ARB. The foundation said the funds would be allocated to technology infrastructure, ecosystem growth, strategic partnerships, governance operations and coordination of ecosystem development. According to the proposal, Arbitrum generated about $23.49 million in gross revenue in 2025 from transaction fees, Timeboost and the Arbitrum Expansion Program. As of February 2026, the network was processing more than 4.7 million transactions per day, with a stablecoin supply of $8.6 billion and RWA holdings nearing $800 million. Even so, the size of the new funding request remains well above the DAO’s current annual revenue capacity. Crypto analyst Ignas said the foundation’s ask is roughly 2.3 times the DAO’s disclosed annual revenue, a gap that is prompting investors to reassess how quickly Layer 2 networks can shift from treasury support to operating self-sufficiency. The proposal shows technology spending as the largest cost line. Technology-related expenses are projected to represent about 54% of operating costs in 2027, covering infrastructure, custody, security, audits, developer tooling, block explorers and external technical support needed to keep the network running. The foundation estimates technology costs at roughly $14.8 million in 2027. The document also notes that Arbitrum has trimmed certain marketing outlays and optimized infrastructure costs even as activity has increased, framing the broader spend as investment in long-term expansion. It describes a revenue loop in which ecosystem growth drives network usage, usage lifts DAO revenue and that revenue is reinvested into further growth. Under this structure, the foundation operates as a cost center on behalf of the DAO, while protocol revenues flow directly into the treasury. Arbitrum reiterated that its long-term objective is to expand durable revenue sources, including transaction fees, Timeboost, RWA and new ecosystem initiatives. The debate, the proposal suggests, is less about whether the network is growing and more about the timing: revenue ramp-up has not yet caught up with the cost of ecosystem development and ongoing technical maintenance.

CoinDesk reported that Sui's mainnet suffered another outage on Friday, temporarily freezing on-chain activity. It was the network's second consecutive day of disruption, reviving investor concerns over stability. SUI fell about 2% over the past 24 hours, bringing its weekly decline to roughly 20%. The token recently traded at $0.89, more than 83% below its all-time high of $5.35 set in January 2025. CoinGecko data shows SUI among the worst weekly performers within the top 100 cryptocurrencies by market capitalization. An official said the mainnet was temporarily suspended. The Sui team said on X that the chain was experiencing a "network stall" that could halt on-chain activity. The team later confirmed the network had resumed, attributing the disruption to a crash vulnerability in the gas billing logic introduced in version 1.72. A full incident retrospective is expected in the coming days. The latest failure follows a string of malfunctions this year. In January, Sui disclosed a similar mainnet halt that lasted about six hours. Reports say Sui has now recorded three major outages in 2026, including the latest incident. Sui was launched by Mysten Labs in 2023. Mysten raised $300 million in a Series B round in 2022 at an implied valuation of about $2 billion. Despite the recent price slump, SUI's market capitalization stands at around $3.6 billion. Often compared with Solana, Sui's back-to-back disruptions are again spotlighting the stability challenges facing high-performance public blockchains. For developers and users, long-term mainnet reliability remains a key determinant of ecosystem activity.

Grayscale has submitted a fourth amended filing for its Hyperliquid-linked ETF, HYPG, highlighting a proposed seeding arrangement involving about 2 million HYPE tokens valued at roughly $113 million. The amended document says Grayscale is in active talks with Hyper Holdings Global LP for the entity to acquire fund shares via an authorized participant in exchange for the tokens. The filing notes the discussions are nonbinding, and the investor could ultimately buy more shares, fewer shares, or none. Bloomberg ETF analyst James Seyffart said the update points to the product moving closer to launch, though the filing does not disclose a management fee. Seyffart also questioned who Hyper Holdings Global LP is, citing limited public information. In ETF mechanics, seed capital is used to create an initial basket of shares ahead of public trading. A token-based seed would allow HYPG to begin with assets on day one rather than relying solely on cash. Grayscale's updated filing lands as institutional offerings tied to Hyperliquid expand. VanEck launched a Hyperliquid ETN, VHRL, on Deutsche Börse Xetra, stating it is fully backed by HYPE tokens and describing Hyperliquid as the largest decentralized perpetual futures exchange built on a layer-1 blockchain with sub-one-second transaction finality. Bitwise reported growth in its BHYP ETF, citing $62.9 million in assets under management, average daily volume of $19.8 million, and total inflows of $56.9 million. The firm said BHYP is the only spot Hyperliquid ETF that stakes assets internally and publishes the fund's wallet addresses. On-chain data also points to accumulation. A wallet analysts have linked to a16z reportedly bought an additional 253,947 HYPE, or about $15 million, over seven hours. Bitwise was also reported to have purchased 301,863 HYPE worth nearly $18.43 million over three hours. HYPE was trading at $65.6, up 13.9% over the past 24 hours. Trading volume rose 42% in the latest session to more than $1.23 billion.