Cryptocurrency markets faced heavy sell-offs after the US Senate blocked the Clarity Act in a 49-50 vote, triggering $571 million in crypto futures liquidations and dragging Bitcoin down to $75,560. US spot Bitcoin ETFs experienced $462.7 million in weekly net outflows, while long-running exchange CoinEx announced its closure due to declining volumes and regulatory pressures. However, Ethereum ETFs gained $196.9 million, and protocol expansions continued with new executive hires and optimistic long-term network valuations.
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Trump agrees to stricter ethics rules for Clarity Act crypto bill
Empowering state attorneys general to sue exchanges directly shifts crypto compliance risk from centralized federal regulators to fragmented, politically driven state enforcement litigation.
The United States Senate voted 49 to 50 to block the Clarity Act, falling short of the 60 votes required to advance the market structure bill. Exchanges liquidated about $571 million in bullish positions as the legislative defeat triggered a broad market . and ether longs absorbed the heaviest damage with roughly $190 million wiped out in each token. Crypto-linked suffered steeper losses than major tokens as Coinbase and Circle shares dropped about 9%. The bill derailed after last-minute negotiations broke down over ethics provisions concerning profits earned by senior government officials and their families in the digital space. Regulatory momentum now shifts entirely to the executive branch and independent agencies including the SEC and the CFTC.
Bitcoin ETFs Suffer $463M Outflows as Ether ETFs Gain $197M
Divergent flows between crypto asset funds reveal institutional capital actively reallocating within the digital asset sector rather than executing a broad exit from the asset class.
US spot exchange-traded funds recorded $462.7 million in net outflows last week, reversing a three-week run of strong inflows. The four-day selling streak ran from Tuesday through Friday, driven by withdrawals across major funds including ARK 21Shares and Grayscale. Thursday alone saw $282.7 million leave the products, marking the largest daily withdrawal since July. Meanwhile, spot Ether exchange-traded funds moved in the opposite direction, pulling in $196.9 million in net inflows over the same period. BlackRock's iShares Ethereum Trust led Friday's buying with $148.8 million, helping offset earlier outflows in the week. Despite the Bitcoin reversal, the funds remain in positive flow territory for September with roughly $307.3 million in net inflows through Friday.
Standard Chartered Predicts Strong Arbitrum Growth Through 2030
Robinhood Chain's protocol revenue-sharing model anchors layer-two token valuations to institutional adoption, even while native token holders lack direct equity-like claims on those cash flows.
Standard Chartered projected that the native ARB token of the Arbitrum network will reach $10 by the end of 2030, marking a roughly 70-fold increase from its around $0.14. Geoffrey Kendrick, the bank's global head of digital research, attributed the forecast to network economics bolstered by the launch of Robinhood Chain, which pays 10 percent of its net protocol into the Arbitrum ecosystem. That revenue share has pushed Arbitrum toward a monthly run-rate of $5 million for September, representing more than five times the level recorded before the chain debuted in July. Kendrick also projected tokenized traditional assets will reach $4 trillion by the end of 2028, creating a structural tailwind for infrastructure providers like Arbitrum. Risks to the price target include slower-than-expected tokenization, competition from alternate blockchains, and the fact that ARB holders currently possess no direct claim on the network's revenue.
Standard Chartered ARB Price Forecast ($)
Standard Chartered forecasts ARB to climb to $10 by the end of 2030
Crypto Exchange CoinEx to Cease Operations After Nine Years
Buying back native exchange tokens at original listing prices during a wind-down reveals how platform-token capital models collapse when fixed compliance costs outpace spot trading revenues.
exchange CoinEx will close its platform on Dec. 22 after nine years in business, citing mounting compliance costs and a prolonged contraction in digital . Founder and CEO Haipo Yang rejected a potential trade sale in favor of a wind-down, noting that security and regulatory risks had become unsustainable for smaller operators. The platform recorded a 24-hour trading volume of roughly $70 million prior to the announcement, trailing larger regional competitors. Users have until the December deadline to withdraw their funds before unwithdrawn balances are transferred to an independent custodian subject to monthly fees.
Solana Lending Protocol Kamino Names Yieldstreet Co-Founder as CEO
Merging alternative investment distribution with Solana protocol mechanics turns institutional home equity loan portfolios into direct collateral for permissionless, yield-bearing decentralized finance markets.
Coindesk.com reports that Solana lending protocol Kamino named Yieldstreet co-founder Michael Weisz as its chief executive as part of a New York expansion. Kamino manages $1.4 billion in and has processed more than $650 billion in cumulative transactions over four years. The company is evaluating roughly 20,000 square feet of office space in New York and plans to hire a chief financial officer and head of legal. Weisz previously co-founded alternative investment platform Yieldstreet, which deployed more than $6 billion alongside firms including Goldman Sachs, Carlyle, KKR and Ares. Kamino intends to expand lending against tokenized real-world assets, building on its PRIME market where surpassed $600 million within 107 days of launch using Figure Technologies and Hastra -based home loans as .
Kamino Financial Scale ($B)
Cumulative transaction volume dwarfs total assets.
Bitcoin Drops to $75.6K as Global Bond Yields Hit Multi-Decade Highs
When sovereign yields surge alongside energy inflation, non-yielding digital assets lose their appeal as speculative capital flees to risk-free treasury returns before monetary policy tightens further.
cointelegraph.com reports that dropped to $75,560 at Tuesday's Wall Street open, marking a September low as surging global yields and an impending US Senate vote on the CLARITY Act rattled markets. The cryptocurrency retreated from $79,600 the previous day while traders awaited the procedural vote, for which Polymarket users priced a 14 percent chance of passing into law in 2026. Global bond yields spiked alongside the crypto as the US 10-year touched 5.041 percent, its highest level since June 2007, driven by fears tied to nearing $105 per . Analysts expect to resume interest- in response, with the US widely anticipated to lift its rate by 0.25 percent on Wednesday.
Hacker Drains $7.8M From Crypto Wallet Exploiting Coding Bug
Custom helper smart contracts weaken core wallet security standards, allowing authorization bugs to bypass multi-signature protocols and exposes liquidity pools to front-running bots.
Coindesk.com reports that an attacker drained roughly $7.8 million in rsETH from a Gnosis Safe wallet on Ethereum on Tuesday. A flawed authorization check in a trusted helper contract allowed the exploit, letting callers approve actions by naming the contract itself as the target. The attacker then dumped about 2,900 rsETH into a newly created pool built around a worthless token called Permissionless Attacker Token. An automated trading bot named yoink front-ran the transaction by paying about $47,000 in gas fees to seize the tokens, ultimately routing 2,882 rsETH to a separate address. Security firms including SlowMist, BlockSec, and Blockaid confirmed the vulnerability stemmed from the custom helper component rather than core Safe contracts.
Institutional capital is rotating into Ethereum products and real-world asset protocols even as legacy exchanges collapse under regulatory weight. Whether upcoming Senate procedural maneuvers can rescue digital asset regulation before global yield pressures cause deeper market liquidations remains unresolved.
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