ICE Calls Hyperliquid Bigger Than Nasdaq as Bitcoin ETFs Bleed $2.8 Billion

TL;DR

ICE CEO Jeffrey Sprecher called Hyperliquid "bigger than Nasdaq" in trading activity at a Bernstein conference
US spot Bitcoin ETFs recorded nine consecutive days of net outflows, totaling $2.8 billion
BlackRock's IBIT saw its second-largest single-day outflow at $528 million
Brazil's central bank banned crypto settlement in cross-border payments via Resolution 561
Ethereum's DeFi TVL share fell from 63.5% to 54% year-to-date
A US-Iran ceasefire held, softening risk-off sentiment across markets

The Head of the NYSE Parent Just Praised a Crypto DEX

Jeffrey Sprecher, founder and CEO of Intercontinental Exchange — the parent company of the NYSE — told a Bernstein conference this week that Hyperliquid is "bigger than Nasdaq" in terms of trading activity. He also disclosed that ICE has held multiple meetings with Hyperliquid's team.

This is not a crypto-native CEO talking. Sprecher runs the world's largest exchange group. His assessment carries weight precisely because it comes from traditional finance's top tier.

The timing matters. Two weeks ago, Sprecher pressed regulators to rein in Hyperliquid. Now he's publicly acknowledging its scale and engaging directly. The shift signals that Wall Street is no longer asking whether DeFi matters — it's figuring out how to coexist with it.

Hyperliquid's spot ETFs in the US have attracted over $100 million in combined inflows since launching mid-May, with 21Shares' THYP recording $16.7 million in a single day this week. The protocol's 97-99% fee recycling mechanism into HYPE buybacks provides sustained buy-side pressure independent of market sentiment. FalconX reports Hyperliquid is expanding into pre-IPO trading and tokenized real-world assets.

Nine Days and Counting

US spot Bitcoin ETFs posted net outflows for nine consecutive trading days through May 29, the longest streak since the funds launched in January 2024. Total outflows reached $2.8 billion.

BlackRock's IBIT led the bleed with a $528 million single-day withdrawal on May 28 — the second-largest daily outflow in the fund's history. The streak has erased nearly all of 2026's net inflows, which now sit around $536 million.

The selling accelerated after the CLARITY Act advanced through the Senate Banking Committee on May 14, in a pattern analysts call "sell the news." Bitcoin opened at $73,525 on May 29, down from $80,120 two weeks earlier.

CoinDesk reports the outflow streak coincides with a broader risk-off rotation. Geopolitical uncertainty and the record duration of redemptions suggest institutional repositioning rather than panic. The demand gauge used by ETF analysts has entered "high-risk" territory.

Brazil Draws a Line on Crypto Payments

Brazil's central bank issued Resolution 561 on April 30, banning cryptocurrency and stablecoin settlement in cross-border payments. The move targets electronic foreign exchange transactions — companies that built stablecoin rails into their remittance infrastructure now need alternative paths.

Brazil had been one of Latin America's fastest-growing crypto markets. The ban creates a split: domestic crypto usage remains legal, but the cross-border use case that attracted significant venture capital is now restricted.

The regulatory rationale centers on capital controls and monetary sovereignty. The central bank wants remittance flows visible through traditional banking channels. Critics argue the ban pushes activity offshore and stifles fintech innovation in a market that was becoming a regional leader.

Other jurisdictions are watching closely. A restrictive approach from Brazil's central bank could influence similar moves across emerging markets where crypto remittances have gained traction.

Ethereum's DeFi Throne Cracks

Ethereum's share of total DeFi value locked fell to approximately 54% in early May, down from 63.5% at the start of the year. The numbers tell a structural story, not a temporary dip.

Solana now holds the number two position in DeFi TVL rankings, driven by consistent DEX volume — it led DEX trading for the 19th straight month in April, capturing 31% of volume ahead of Ethereum's 29%. Specialized chains and app-specific rollups are absorbing the liquidity that once concentrated on Ethereum mainnet.

Hyperliquid's $9.37 billion in 24-hour perpetuals volume further fragments the landscape. DeFi activity is decentralizing not just by protocol but by chain, and Ethereum's once-dominant position is becoming one of several significant hubs rather than the center of everything.

This doesn't mean Ethereum is dying. Its $45.4 billion in TVL still leads by a wide margin. But the trend is clear: the multi-chain future isn't coming — it's here.

Geopolitical Truce, Market Relief

A ceasefire between the US and Iran held through the week, reducing one layer of geopolitical risk that had pressured risk assets including crypto. Bitcoin opened lower despite the truce news, suggesting other factors — primarily the ETF outflows — are driving the near-term direction.

The ceasefire is fragile and time-limited. Markets are pricing a cessation of hostilities rather than a durable peace. For crypto, the implication is mixed: reduced tail risk supports a floor, but the absence of a clear catalyst limits upside.

What Else Happened

CME Group's 24/7 crypto futures launched May 29, eliminating the weekend trading gap that separated regulated derivatives from spot markets
Drift Protocol's $285 million exploit in April was attributed to North Korea's Lazarus Group via a six-month social engineering operation, not a smart contract vulnerability
XRP reached $1.29 on May 28, driven by spot XRP ETF inflows exceeding $1 billion across multiple asset managers including Canary Capital and Franklin Templeton
North Korea's Lazarus Group stole $577 million across two April hacks, accounting for 76% of all crypto theft in 2026