Today in crypto: Spot Bitcoin ETFs reversed early inflows in 2026 and posted four straight days of outflows, Anti-DeFi group runs ads aimed at pressuring senators to strip DeFi provisions from crypto bill. Meanwhile, BNY has introduced tokenized bank deposits for institutional clients, in a move to support collateral and margin requirements.
Spot Bitcoin ETFs lose $681M in first week of 2026 as risk appetite fades
Spot Bitcoin exchange-traded funds (ETFs) started 2026 with sharp outflows, shedding a combined $681 million over the first full trading week of the year.
According to data from SoSoValue, spot Bitcoin (BTC) ETFs recorded four consecutive days of net outflows between Tuesday and Friday, outweighing inflows earlier in the week. The largest daily redemption occurred on Wednesday, when products shed $486 million, followed by $398.9 million on Thursday and $249.9 million on Friday.
The reversal came after 2026 opened with brief strength. On Jan. 2, Bitcoin ETFs attracted $471.1 million, followed by another $697.2 million inflow on Jan. 5.
Spot Ether (ETH) ETFs followed a similar trajectory. On a weekly basis, spot Ether ETFs posted net outflows of approximately $68.6 million, ending the week with total net assets of around $18.7 billion.
Anti-DeFi group runs ads urging public to pressure Senators on crypto bill: Report
An anti-decentralized finance group is reportedly running advertisements on Fox News encouraging the public to pressure their Senators into passing crypto market structure legislation that excludes DeFi provisions perceived to be threatening to the banking industry.
According to two screenshots shared Friday on X by Crypto in America host Eleanor Terrett, the Investors For Transparency members wrote: “Tell Your Senator: Pass Crypto Legislation Without DeFi Provisions,” sharing a hotline number to contact their local Senators.
“Don’t Let DeFi Stall Innovation,” another snippet of the ad said, which appears to echo concerns from banking lobbyists over the CLARITY Act permitting stablecoin issuers to offer interest-bearing products that could be disguised as bank-like deposits and potentially draw trillions of dollars from the traditional banking system.
The US Treasury estimated in April that $6.6 trillion worth of traditional banking deposits could flow out of the banking system if stablecoins see widespread adoption.
It comes as the Senate Banking Committee published an official notice for its CLARITY Act markup scheduled for this Thursday, Jan. 15, at 10:00am Eastern Time.
BNY launches tokenized deposits
Financial giant BNY has launched tokenized bank deposits for institutional clients, marking another step toward bringing traditional finance onchain.
The tokenized deposits — onchain representations of cash balances backed by claims on the bank — will be issued in-house on BNY’s permissioned blockchain network. The deposits are designed to support collateral and margin use cases.
“As global financial markets shift towards an always-on operating model, institutions are seeking faster and more efficient ways to move assets — with greater settlement certainty, transparency, lower friction and capability to unlock liquidity,” BNY said.
BNY has been active in the tokenization market. Its clients already have access to tokenized money market funds recorded on Goldman Sachs’ private blockchain network.
