Renewed optimism sweeps through the cryptocurrency market as U.S. spot Bitcoin exchange-traded funds (ETFs) captivate investors, amassing over $2 billion in the last two weeks. Fueled by a significant spike in the Crypto Fear and Greed Index to 74, the highest since late June, the market sees a bullish trend with Bitcoin’s price soaring to $66,800.

This impressive influx of funds continues unabated, with $301 million entering various Bitcoin ETFs on Monday alone. Notably, BlackRock’s IBIT dominates, pulling in approximately $706 million this week, and securing $1.2 billion in the past two weeks. This substantial growth accounts for half of the total flows into eleven spot funds, reinforcing IBIT as the largest fund with nearly $22 billion in assets under management.

Despite some funds experiencing outflows, the overall trend remains overwhelmingly positive. U.S. Bitcoin ETFs have notched eleven consecutive days of net inflows, indicating a robust investor confidence and a bright future for cryptocurrency investments in the mainstream financial arena.

Bitcoin Treasuries

Tyler and Cameron Winklevoss, founders of the Gemini exchange, each donated $500,000 in Bitcoin to back pro-crypto lawyer John Deaton’s bid to unseat Senator Elizabeth Warren. The brothers praised Deaton as an “American hero” and the “only candidate who can defeat Elizabeth Warren” in Massachusetts’ Senate race. They criticized Warren’s anti-crypto stance, describing her as a politician more concerned with celebrity than results.

Deaton, a prominent pro-XRP lawyer, has been a vocal critic of Warren and US financial regulators’ approach to crypto. He has been involved in significant SEC cases against crypto firms like Ripple. Supported by the crypto community, Deaton’s PAC, the Commonwealth Unity Fund, recently received a $1 million donation from Ripple and has raised about $1.7 million in total.

The Winklevoss twins have also donated $2 million in Bitcoin to Donald Trump’s presidential campaign, opposing the Biden administration’s anti-crypto policies. They labeled Warren as “one of the single greatest threats to American prosperity,” criticizing her stringent regulatory policies that they argue harm businesses and free markets.

The Chicago Board Options Exchange (Cboe) has issued listing notifications for five new spot Ethereum exchange-traded funds (ETFs) set to start trading on July 23. The ETFs, pending final regulatory approval, include 21Shares’ CETH, Fidelity’s FETH, Franklin Templeton’s EZET, Invesco’s QETH, and VanEck’s ETHV. Each will be listed on Cboe’s BZX Exchange and quoted on the SIAC Tape B data feed.

Senior Bloomberg ETF analyst Eric Balchunas reported that the SEC instructed issuers to submit final amendments, with the regulator expected to approve the funds on July 22. Issuers filed amended S-1 forms on July 18, detailing sponsor fees and other specifics. This development is anticipated to boost Ethereum’s liquidity and market depth, attracting institutional investors wary of direct crypto investments due to regulatory uncertainties.

Analysts predict these ETFs will drive Ethereum prices higher, possibly surpassing $5000. The launch could signify a broader trend of integrating digital assets into traditional finance, potentially inspiring other jurisdictions to approve crypto ETFs. Some firms are already working on ETFs linked to other major crypto tokens, despite challenges in securing approval due to the lack of regulated futures markets for those tokens.

Data

Judge Amy Berman Jackson has mandated Binance’s U.S. entities to invest customers’ assets in U.S. Treasury bills, recognized as secure investments due to U.S. Treasury Department backing. The decision involves BAM Trading Services Inc. and BAM Management US Holdings Inc., collectively known as BAM, ensuring their assets are managed by third-party investment advisers. Additionally, Binance must transfer crypto assets to an unaffiliated third-party custodian.

Under the order, BAM is permitted to invest certain customer fiat funds, held at BitGo, in U.S. Treasury bills maturing on a rolling four-week basis. This must be done without involving any Binance entities and ensuring sufficient dollars are available for customer withdrawals. These measures aim to protect customer assets and enhance transparency within the exchange.

This development follows the SEC’s lawsuit against Binance and its former CEO, Changpeng Zhao, for alleged misconduct. Despite some SEC claims being dismissed, the case proceeds, marking a significant regulatory action in the crypto industry.

Source