Crypto investment funds in the U.S. just saw their first major money pullout in a month, with $952 million leaving the market in a single week. This comes after delays to a key crypto regulation bill, the CLARITY Act, caused fresh uncertainty for investors.

According to CoinShares data, digital asset funds had $952 million in net outflows last week. This marks the first time since late November that more money has left the market than entered. The bulk of this sell-off happened in the United States, which accounted for $990 million in outflows. In contrast, investors in Canada and Germany added $46.2 million and $15.6 million, respectively, offering only minor relief.

Much of the concern is tied to delays in passing the CLARITY Act—a proposed U.S. law aimed at clarifying how digital assets like cryptocurrencies are regulated. The Act is meant to define whether crypto assets are securities or commodities and clarify the roles of the SEC and CFTC. But political gridlock and a 43-day government shutdown have pushed the Senate’s decision on this bill into January 2026. This delay has shaken investor confidence.

Ethereum was hit the hardest during this pullback, with $555 million in outflows. Experts say Ethereum is more sensitive to regulation than other assets due to its major role in decentralized finance and staking services—areas that could be heavily impacted by new rules.

Despite this rough week, Ethereum investment products have still attracted $12.7 billion in inflows this year—well above the $5.3 billion seen during the same period last year.

Bitcoin also saw significant outflows, with $460 million leaving investment products. Year-to-date, Bitcoin has brought in $27.2 billion—still strong, but below the $41.6 billion it gained by this time last year.

Overall, assets under management for all crypto exchange-traded products now total $46.7 billion, down from $48.7 billion at the same point last year. This drop makes it unlikely that 2024 will surpass last year’s record numbers.

U.S.-based spot Bitcoin ETFs also felt the pressure, posting $497.05 million in weekly outflows as of December 19. However, total inflows for these ETFs remain strong at $57.41 billion.

Not all cryptocurrencies suffered losses. Solana and XRP continued to attract investor interest. Solana investment products saw $48.5 million in new inflows, while XRP added $62.9 million. This trend was also seen in U.S.-based spot ETFs, where XRP brought in $82.04 million and Solana added $66.55 million for the week.

These gains reflect a steady accumulation trend for Solana and XRP that has been going on for several months.

Lawmakers confirmed that the Senate review of the CLARITY Act won’t happen until January 2026—pushing it past earlier expectations that it would reach President Trump before the end of 2025. The House already passed the bill back in July, but Senate delays have pushed back progress.

Supporters of the bill argue it would finally give crypto companies clear rules and reduce legal uncertainty. But with ongoing political challenges and upcoming elections, any progress may remain slow.

Senate Banking Committee Chair Tim Scott and Agriculture Committee Chair John Boozman are expected to lead the markup process, though more changes may still be made before a final vote is possible.