The crypto landscape over the past week has been a dynamic mix of regulatory challenges and promising developments. I’m WendyO and this is a Bitcoin and crypto update! On the regulatory front, Kamala Harris’s selection of advisors suggests that the stringent stance on crypto is likely to persist under her leadership. Harris is working with Brian Deese and Bharat Ramamurti—two influential figures who have been central in shaping the current administration’s approach to crypto regulation.
Brian Deese, who previously served as an economic advisor under President Biden, has played a crucial role in developing the administration's regulatory strategy for crypto. His influential blog, “The Administration’s Roadmap to Mitigating Crypto’s Risks,” aligned with federal actions against some of the leading crypto firms. Now at MIT, Deese focuses on industrial strategy and climate change, but his past involvement in crypto policy indicates that his perspectives could still influence future regulatory approaches. Bharat Ramamurti, another key advisor to Harris, has been a notable critic of crypto. He played a role in blocking stablecoin legislation and has a history of opposing crypto-friendly policies during his tenure as senior counsel for Liz Warren. Given his track record, it is likely that Harris’s administration may continue or even intensify the current regulatory stance on cryptocurrencies.
Despite these regulatory pressures, there has been some positive price action across the market. Bitcoin has been trading between $58,000 and $61,000, while Ethereum’s price has fluctuated between $2,800 and $2,500.
Institutional investment in the crypto space is also on the rise. Goldman Sachs recently disclosed that it holds spot Bitcoin ETF shares valued at approximately $418.65 million as of June 30. Additionally, DRW Holdings has revealed nearly $200 million in crypto ETF holdings, with a substantial portion invested in the Grayscale Ethereum Trust. DRW has been active in the crypto sector since 2018 and recently obtained a BitLicense, underscoring its ongoing commitment to the industry and blockchain technology.
Recent crypto ETF inflows have been notably encouraging as well. Spot Ethereum ETFs experienced $24.34 million in net inflows on Tuesday, with BlackRock’s Ethereum ETF leading the charge with $49 million. Spot Bitcoin ETFs also saw $38.9 million in net inflows, driven largely by BlackRock’s IBIT. These positive trends suggest that, despite the regulatory uncertainties, institutional interest in cryptocurrencies remains strong and is continuing to grow. Join us next week for more of the top crypto news!
