US-listed spot Ethereum exchange-traded funds ended a five-day inflow streak with notable outflows on Friday, while three major crypto advocacy organizations pressed Senate leadership to hold a floor vote on the CLARITY Act before the August recess. Meanwhile, tokenized real-world assets (RWAs) became the largest trading category by volume on Hyperliquid for the first time.

Ethereum ETFs End Five-Day Inflow Streak

US spot Ethereum ETFs recorded $70.62 million in net outflows on Friday, breaking a five-session run of positive inflows, according to SoSoValue data.

Between July 17 and Thursday, Ethereum funds had attracted $211.25 million in net inflows. For the week ending Friday, they still posted a positive $103.9 million in net inflows.

Despite Friday's outflow, Ethereum ETFs maintained a three-week inflow streak and have accumulated $337.74 million in net inflows so far in July. Spot crypto ETF flows remain a widely tracked barometer of institutional and retail demand for Bitcoin (BTC) and Ether (ETH) through regulated investment vehicles. Since spot Bitcoin ETFs began trading in January 2024 and spot Ethereum ETFs followed in July 2024, these products have become one of the primary conduits for traditional capital allocation into digital assets, making their flow patterns closely watched signals of shifting sentiment.

The reversal echoed a similar shift in Bitcoin ETFs, which ended their own seven-day inflow streak on Thursday and posted an additional $240.08 million in net outflows on Friday. Read more: Ethereum ETFs close week in red, end 5-day inflow streak.

Crypto Advocacy Groups Urge Senate to Prioritize CLARITY Act

Three prominent US crypto industry organizations — the Crypto Council for Innovation, the Digital Chamber, and the Blockchain Association — sent a joint letter to Senate Majority Leader John Thune and Minority Leader Chuck Schumer, urging them to schedule a floor vote on the CLARITY Act before lawmakers depart Washington for the August recess.

The groups warned that additional delays could further stall progress on digital asset regulation. The market structure bill has already passed both the Senate Banking Committee and the Senate Agriculture Committee, but still needs 60 votes to advance on the floor. Several Democrats have withheld their support, citing concerns that the bill's ethics provisions are insufficient to guard against conflicts of interest.

Industry leaders contend the legislation would create the first comprehensive federal framework for digital assets, replacing what they characterize as a fragmented and inconsistent regulatory landscape. The bill aims to clarify the division of oversight authority between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), establishing criteria for when a digital asset qualifies as a security versus a commodity — a distinction that has fueled years of enforcement actions and legal uncertainty for crypto firms operating in the US. Coinbase CEO Brian Armstrong stated that the bill would bolster consumer protections and strengthen law enforcement tools while keeping innovation within the United States. Orest Gavryliak, chief legal officer at DeFi platform 1inch, argued that the legislation would better accommodate non-custodial protocols rather than subjecting them to traditional financial regulations.

If the Senate does not hold a vote before the August recess, consideration could be pushed closer to the 2026 midterm elections, further complicating the bill's legislative path. Read more: Crypto groups urge Senate leaders to prioritize CLARITY Act vote.

Tokenized RWAs Become Hyperliquid's Largest Trading Category

For the first time, weekly trading volume in tokenized real-world assets on perpetual decentralized exchange (DEX) Hyperliquid surpassed the combined volume of all other asset categories on the platform.

From July 13 to July 19, RWAs generated $25.1 billion in trading volume, representing 52% of Hyperliquid's total weekly volume of $48.2 billion, according to Blockworks data.

"Hyperliquid's RWA market alone was larger than the combined crypto perpetual volume of every other DEX," wrote Lorenzo Valente, ARK Invest's research director for digital assets, in a Thursday X post.

The milestone underscores increasing demand for tokenized assets on the platform. Over the past month, RWA holders grew 32% to 1.25 million users, while the total value of tokenized RWAs increased 3.5% to $36.7 billion, according to data from RWA.xyz. Tokenization — the issuance of blockchain-based representations of traditional financial instruments such as Treasuries, credit, and real estate — has drawn growing interest from major financial institutions, with firms including BlackRock and Franklin Templeton launching tokenized fund products in the past two years.

Hyperliquid generated $7.6 million in revenue over the past week, according to DefiLlama, ranking third among crypto applications by weekly revenue behind stablecoin issuers Tether ($112 million) and Circle ($45 million). Read more: RWAs become Hyperliquid's largest trading category.