Weekly Roundup: Bitcoin ETF Outflows Signal Risk Reset as SEC Chair Pledges to Revive U.S. Crypto Innovation

Group 1: Bitcoin ETF Outflows - Spot Bitcoin ETFs experienced $536 million in daily net outflows, the largest since August 1, with significant withdrawals from ARKB ($275 million) and Fidelity's FBTC ($132 million) as investors reacted to macroeconomic and geopolitical uncertainties [2][3] - Ethereum ETFs also saw $56.9 million in withdrawals, reversing a brief inflow streak, indicating a broader trend of risk aversion among investors [3] Group 2: Market Conditions - Bitcoin trading is currently around $104,747, reflecting a 6.1% decline over the week, while total crypto market capitalization has decreased to $4.1 trillion, suggesting a cautious market environment [4] - Trading volume remains low as investors await key economic indicators, including Core CPI, Core PPI, and jobs data, which could influence risk appetite in the upcoming month [4] Group 3: Regulatory Developments - SEC Chair Paul Atkins acknowledged that the US is lagging in crypto innovation, proposing plans to transform the SEC into an innovation hub and provide startups with limited exemptions for testing blockchain products [5][6] - Atkins emphasized the need for better integration between the SEC and CFTC, advocating for a return of capital to the US and drawing inspiration from Asia's superapps that combine payments, trading, and banking [6]