On May 12, 21shares launched the 21shares Hyperliquid ETF (Nasdaq: THYP), aiming to give U.S. investors spot exposure to HYPE with staking rewards. THYP posted $1.8 million in first-day trading volume and about $1.2 million in net inflows, and carries a 0.3% management fee. The issuer also introduced the 21shares 2x Long HYPE ETF (Nasdaq: TXXH) with a 1.89% management fee.

On May 12, CFTC Chair Michael S. Selig said the CFTC is working with the SEC to better align oversight, rulemaking, and enforcement across crypto, securities, and derivatives markets. He pointed to a memorandum of understanding, participation in the SEC's Project Crypto, and development of a crypto asset taxonomy, alongside expected joint comment requests on portfolio margining and swap data reporting. Selig added that information sharing and parallel-action coordination can lower the risk of inconsistent outcomes for the same conduct and potentially reduce compliance friction for firms.

On May 12, Strategy (Nasdaq: MSTR) Executive Chairman Michael Saylor said the CLARITY Act could broaden institutional participation in bitcoin-related markets by clarifying U.S. rules around custody, collateral, and digital-asset exposure. He described Strategy’s framework as BTC as “digital capital,” STRC as “digital credit,” and MSTR as “digital equity,” arguing that regulated digital-yield infrastructure could support demand for STRC, MSTR and bitcoin-linked securities.

Bitwise reported on May 8 that 24 major financial institutions are now active in crypto across regulated channels, spanning trading, custody, private funds, payments, tokenization, and exchange-traded products (ETPs). The dataset highlights regulated ETPs as the most common on-ramp, while tokenized funds and blockchain-based settlement tools are also being tested by large banks and asset managers.

Strategy (Nasdaq: MSTR) indicated it could sell some bitcoin to help fund dividends after reporting a roughly $12.5 billion first-quarter 2026 net loss largely linked to bitcoin's quarterly decline. The company reports holding 818,869 BTC, valued at about $67 billion, as investors weigh liquidity, dividend coverage, and obligations tied to preferred securities.

Senate Banking Committee members are heading into a May 14 executive session where they are expected to consider H.R.3633, the Digital Asset Market Clarity Act of 2025. Stand With Crypto said it will score recorded votes tied to the markup and said it represents more than 2.9 million U.S. advocates. Separate polling cited in the report showed 52% support for the bill after voters reviewed a summary, alongside broader demand for clearer crypto rules.

On May 10, Strategy President and CEO Phong Le said MSTR’s valuation should reflect more than the bitcoin held on its balance sheet, citing enterprise software operations, compliance infrastructure, and global scale. In Q1 2026, the company said its software unit delivered its strongest quarter in a decade, with revenue up 12%, cloud revenue up 59%, and controllable margin improving 27%.

Grayscale Investments said the CLARITY Act could reshape U.S. crypto regulation by moving oversight away from enforcement-driven actions toward clearer market-structure rules. In research comments dated May 7, Zach Pandl argued the bill would separate "investment contracts" from "digital commodities," assigning the SEC and CFTC different roles, as the Senate Banking Committee prepared a May 14 session on H.R.3633. Grayscale also cited a petition with more than 28,000 signatures and noted Polymarket odds that put the bill's 2026 passage chance at 67%.

Michael Saylor has been outlining how Strategy's perpetual preferred stock STRC differs from BTC and MSTR by emphasizing dividends, liquidity, and steadier pricing rather than upside tied to bitcoin moves. STRC currently pays an 11.50% annual dividend in monthly cash payments and is designed to trade near its $100 par value, with Strategy also proposing a shift to twice-monthly payouts starting from a June 30 record date and a July 15 payment date. Strategy's dashboard lists 818,334 BTC holdings, which Saylor links to the company's broader preferred-equity financing approach.