U.S. crypto investment funds just saw their first weekly losses in a month, with investors pulling out a total of $952 million. This big drop came after more delays to the long-awaited CLARITY Act, a bill meant to provide clearer rules for digital assets. The delay has made investors nervous again about the lack of regulation in the crypto market.

Data from CoinShares shows that nearly all of the withdrawals—about $990 million—came from U.S.-based funds. This was slightly balanced by new investments from Canada and Germany, which added $46.2 million and $15.6 million, respectively.

Ethereum (ETH) was hit hardest, with $555 million in outflows. Experts say Ethereum is more affected by regulatory news than other coins because it’s widely used in decentralized finance (DeFi) and staking platforms—areas that could be directly impacted by new U.S. rules.

Bitcoin (BTC) also saw large withdrawals, with $460 million pulled out last week. Even though Bitcoin still dominates the market overall, this year’s inflows of $27.2 billion are lower than last year’s $41.6 billion during the same period.

Despite these recent losses, Ethereum products have still brought in a solid $12.7 billion in 2024 so far—more than double the $5.3 billion seen during the same time last year.

Total assets under management for all crypto exchange-traded products (ETPs) are now at $46.7 billion, down from $48.7 billion at this time last year. This decline suggests the crypto fund market may not beat last year’s performance.

U.S. spot Bitcoin ETFs also took a hit, with $497.05 million in net outflows for the week ending December 19. Still, total inflows into these ETFs remain strong at $57.41 billion for the year.

Interestingly, not all cryptocurrencies were affected negatively. Solana (SOL) and XRP actually gained new investments. Solana products saw $48.5 million in inflows, while XRP brought in $62.9 million.

This positive trend for SOL and XRP was also seen in spot ETFs. XRP funds added $82.04 million over the week, and Solana ETFs gained $66.55 million—continuing a steady growth pattern that’s been building for months.

The market’s nervous reaction came after it was confirmed that the Senate has once again delayed action on the CLARITY Act, now pushing the vote to January 2026. The bill had already passed in the House back in July, but progress in the Senate has been slow due to political roadblocks and a government shutdown that lasted 43 days.

The CLARITY Act is intended to settle a key question: are digital assets securities or commodities? It would also define the roles of major regulators like the SEC and CFTC.

Supporters of the bill say it will reduce confusion and give crypto businesses a clearer path to compliance. But with ongoing political disagreements and election-year distractions, progress is stalling.

Senators Tim Scott and John Boozman are leading efforts to finalize the bill, but it may still go through changes before a full vote happens. Earlier hopes that President Donald Trump would sign it into law by the end of 2025 now look uncertain as political tensions rise ahead of the election season.