Cryptocurrency investment products posted heavy outflows last week as investors reduced risk amid inflation fears and uncertainty over a lasting ceasefire between the United States and Iran.<\/p>\n
According to CoinShares\u2019 latest weekly report<\/a>, digital asset exchange-traded products (ETPs) recorded $1.07 billion in net outflows, ending a six-week streak of inflows. It marked the third-largest weekly outflow this year.<\/p>\n Bitcoin (BTC) investment products accounted for the bulk of the withdrawals, with $982 million in outflows. Ether (ETH) products lost $249 million, their largest outflow since the week ending Jan. 30.<\/p>\n Altcoin funds bucked the broader trend. XRP (XRP) investment products drew in $67.5 million, while Solana (SOL) funds added inflows of $55.1 million.<\/p>\n \n Despite last week\u2019s outflows, both Bitcoin and Ether ETPs remain firmly positive on a year-to-date basis. Source: <\/em>CoinShares<\/em><\/a><\/p>\n Most of the outflows originated in the United States, where investors pulled net $1.14 billion from funds. In contrast, several European markets, including Switzerland, Germany and the Netherlands, posted modest inflows.<\/p>\n The pullback in crypto funds coincided with a broader retreat in risk assets, with the S&P 500 index falling from all-time highs late last week. Investors remained focused on disruptions around the Strait of Hormuz<\/a>, a critical shipping route for global oil supplies, which have pushed energy prices higher and contributed to a renewed rise in US inflation to its highest level in more than three years.<\/p>\n Related: <\/strong><\/em>Crypto\u2019s CLARITY Act faces partisan fight over ethics on Senate floor<\/strong><\/em><\/a><\/p>\n CoinShares head of research James Butterfill said select altcoins benefited from improving regulatory sentiment in the United States following progress on the CLARITY Act<\/a>.<\/p>\n The legislation, which would establish a clearer framework for regulating digital assets in the US, advanced out of the Senate Banking Committee last week with bipartisan support.<\/p>\n Industry advocates say the bill could reduce regulatory uncertainty and provide a more predictable legal environment, encouraging crypto companies and investment to remain in the US.<\/p>\n Crypto Council for Innovation CEO Ji Hun Kim said \u201cthe momentum and progress are both strong\u201d as the legislation moves through Congress.<\/p>\n \n Source: <\/em>Faryar Shirzad<\/em><\/a><\/p>\n However, several Senate Democrats have pushed for stronger ethics provisions<\/a>, particularly concerning elected officials\u2019 financial ties to the crypto industry.<\/p>\n Republican Senator Thom Tillis said \u201cmore work remains in the weeks ahead to make this legislation even better.\u201d<\/p>\nCLARITY Act remains a source of hope for crypto industry<\/h2>\n
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