Crypto Market Sees $2.24 Trillion Loss After SEC Delays Regulation Plans
The cryptocurrency market experienced losses on August 14 as Bitcoin fell below $63,000 due to concerns over economic uncertainty and regulatory delays. In a significant development, the Securities and Exchange Commission (SEC) canceled its planned meeting on crypto regulation and delayed the release of plans for tokenized stock trading.
This news had a negative impact on shares in Coinbase Global and Robinhood Markets, which are involved in real-world asset tokenization activities. The total cryptocurrency market capitalization fell by 0.62% to $2.24 trillion as major U.S. indexes also slipped due to falling consumer confidence and weaker-than-expected retail sales.
Spot bitcoin ETF flows turned negative this week, with outflows totaling $131 million yesterday. However, some analysts point out that institutional support for cryptocurrencies has not waned. For instance, Morgan Stanley increased its holdings in the iShares Bitcoin Trust ETF from 13.4 million shares to 16.5 million shares in Q2.