{"id":25051,"date":"2026-11-05T21:53:09","date_gmt":"2026-11-05T21:53:09","guid":{"rendered":"https:\/\/cryptoted.net\/index.php\/2026\/11\/05\/bitcoin-etf-inflows-return-as-us-crypto-legislation-faces-delays\/"},"modified":"2026-11-05T21:53:09","modified_gmt":"2026-11-05T21:53:09","slug":"bitcoin-etf-inflows-return-as-us-crypto-legislation-faces-delays","status":"publish","type":"post","link":"https:\/\/cryptoted.net\/index.php\/2026\/11\/05\/bitcoin-etf-inflows-return-as-us-crypto-legislation-faces-delays\/","title":{"rendered":"Bitcoin ETF inflows return as US crypto legislation faces delays"},"content":{"rendered":"<p> <br \/>\n<br \/><img decoding=\"async\" src=\"https:\/\/media.crypto.news\/2026\/07\/Bitcoin2.webp\" \/><\/p>\n<div>\n<p class=\"is-style-lead\">Bitcoin\u2019s post-election recovery and renewed ETF inflows suggest institutional interest remains intact, even as analysts warn that a Democratic-controlled Congress could delay US cryptocurrency legislation.<\/p>\n<div id=\"cn-block-summary-block_a98339e52415aa76b59c11729cc451a0\" class=\"cn-block-summary\">\n<p>\n        <span class=\"tabs__item is-selected\">Summary<\/span>\n    <\/p>\n<div class=\"cn-block-summary__content\">\n<ul class=\"wp-block-list\">\n<li>Bitcoin ETFs attracted $74.6 million on Nov. 4 after three consecutive sessions of withdrawals.<\/li>\n<li>Kirkley expects institutional demand to remain driven by liquidity, monetary policy and portfolio allocation.<\/li>\n<li>Khus warned that divided government could increase policy uncertainty and weigh on Bitcoin.<\/li>\n<li>Financial institutions still need clearer rules for custody, payments, settlement and compliance, Kirkley said.<\/li>\n<\/ul><\/div>\n<\/div>\n<p><!-- .cn-block-summary --><\/p>\n<p>Ryan Kirkley, co-founder and CEO of Global Settlement Network, told crypto.news that the midterm results complicated the outlook for digital asset legislation without removing the commercial reasons institutions are investing in the sector.<\/p>\n<p>His assessment separates the immediate political setback from the decisions banks, asset managers and businesses face when adopting digital assets. Congressional negotiations may take longer, he said, while demand for cheaper payments and more efficient settlement continues.<\/p>\n<p>Dan Khus, chief analyst at LVRG Research, also expects economic conditions and institutional investment to carry more weight over time, although he warned that legislative uncertainty could pressure Bitcoin in the near term.<\/p>\n<p>    <!-- .cn-block-related-link --><\/p>\n<h2 class=\"wp-block-heading\">Bitcoin ETF inflows return, but demand remains uneven<\/h2>\n<p>US spot Bitcoin ETFs attracted $74.6 million on Wednesday, Nov. 4, according to <a href=\"https:\/\/farside.co.uk\/btc\/\" target=\"_blank\">Farside Investors<\/a>, reversing three consecutive sessions of withdrawals totaling approximately $1.16 billion.<\/p>\n<p>The positive total concealed a substantial difference between the largest funds. Fidelity\u2019s FBTC attracted $236.7 million, while BlackRock\u2019s IBIT recorded $201.2 million in withdrawals. Smaller inflows into other products helped push the overall balance into positive territory.<\/p>\n<p>Kirkley described the return of capital as encouraging, while cautioning against treating one session as evidence that the selling had ended. He interpreted the split between Fidelity and BlackRock as investors adjusting exposure rather than returning uniformly.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cI don\u2019t think the election fundamentally changes Bitcoin\u2019s outlook. Institutional investors are still making decisions based on liquidity, monetary policy and portfolio allocation,\u201d Kirkley said.<\/p>\n<\/blockquote>\n<p>Bitcoin had initially <a href=\"https:\/\/crypto.news\/bitcoin-price-democrats-midterm-election-results\/\" target=\"_blank\">rebounded above $77,000<\/a> on Nov. 4 after approaching $75,700 during the election count. Kirkley said the following weeks would offer a better indication of whether investment demand was recovering consistently.<\/p>\n<h2 class=\"wp-block-heading\">Divided government adds uncertainty to crypto legislation<\/h2>\n<p>Khus warned that Democratic control of Congress alongside a Republican presidency could complicate negotiations over both cryptocurrency rules and fiscal priorities.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cThe Democratic sweep in the 2026 midterms introduces a period of divided government that could heighten policy uncertainty around crypto regulation and fiscal priorities, potentially weighing on Bitcoin in the near term as markets price in greater legislative gridlock,\u201d Khus said.<\/p>\n<\/blockquote>\n<p>Kirkley identified the CLARITY Act as a particular concern, although he said disagreements had already slowed progress while Republicans controlled Congress. Those disputes included regulatory jurisdiction, stablecoin rewards and the treatment of different digital assets.<\/p>\n<p>The bill\u2019s earlier House passage nevertheless demonstrated support across party lines. The official House <a href=\"https:\/\/clerk.house.gov\/Votes\/2025199\" target=\"_blank\">voting record<\/a> shows that 78 Democrats joined Republicans to approve it by 294 votes to 134 on July 17, 2025.<\/p>\n<p>\u201cI would rather see Congress take longer to agree on rules that remain workable across administrations than rush through legislation that creates further uncertainty,\u201d Kirkley said.<\/p>\n<p>For financial institutions, he said, the unresolved questions concern custody, payments, settlement and compliance. Clearer requirements would help firms decide where to commit resources, even if the legislative process moves more slowly.<\/p>\n<h2 class=\"wp-block-heading\">Political exposure creates different risks across crypto<\/h2>\n<p>Kirkley also pointed to the divergence between Bitcoin and cryptocurrencies associated with President Donald Trump. In his assessment, politically linked tokens are more sensitive to changes in an individual politician\u2019s influence and prospects.<\/p>\n<p>Bitcoin\u2019s broader investor base and established institutional products give it a different demand profile, he said. Its performance is influenced by global liquidity and monetary policy alongside developments in Washington.<\/p>\n<p>He also questioned whether the industry had placed too much emphasis on securing political allies through campaign spending.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u201cI think crypto has put too much emphasis on securing political allies and not enough on building support for its practical applications across both parties,\u201d Kirkley said.<\/p>\n<\/blockquote>\n<h2 class=\"wp-block-heading\">Institutional adoption depends on usable financial infrastructure<\/h2>\n<p>Looking toward 2027, Kirkley expects institutional attention to remain concentrated on payments, stablecoins and settlement. He identified expensive international transfers, fragmented systems and capital tied up in existing processes as problems businesses still need to solve.<\/p>\n<p>Security is another requirement. Kirkley said sophisticated custody can still leave institutions exposed through compromised credentials, excessive internal permissions or connected applications.<\/p>\n<p>Khus similarly expects Bitcoin\u2019s longer-term direction to depend more on macroeconomic conditions and institutional flows than any single party outcome. He said clearer regulatory signals or measures supporting innovation from either party could provide more durable support for adoption.<\/p>\n<p>    <!-- .cn-block-related-link --><\/p><\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/crypto.news\/bitcoin-etf-inflows-us-crypto-legislation-delays\/\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Bitcoin\u2019s post-election recovery and renewed ETF inflows suggest institutional interest remains intact, even as analysts warn that a Democratic-controlled Congress could delay US cryptocurrency legislation. Summary Bitcoin ETFs attracted $74.6 million on Nov. 4 after three consecutive sessions of withdrawals. Kirkley expects institutional demand to remain driven by liquidity, monetary policy and portfolio allocation. Khus [&hellip;]<\/p>\n","protected":false},"author":5,"featured_media":23838,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"tdm_status":"","tdm_grid_status":"","footnotes":""},"categories":[23],"tags":[],"kronos_expire_date":[],"class_list":["post-25051","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto"],"_links":{"self":[{"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/posts\/25051","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/comments?post=25051"}],"version-history":[{"count":0,"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/posts\/25051\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/media\/23838"}],"wp:attachment":[{"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/media?parent=25051"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/categories?post=25051"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/tags?post=25051"},{"taxonomy":"kronos_expire_date","embeddable":true,"href":"https:\/\/cryptoted.net\/index.php\/wp-json\/wp\/v2\/kronos_expire_date?post=25051"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}