Today in crypto, inflows into US spot Bitcoin exchange-traded funds (ETFs) rebounded sharply this week, suggesting that institutional selling is finally reversing course. Elsewhere, South Korea ordered all crypto exchanges to verify their actual asset holdings every five minutes, and US Securities and Exchange Commission (SEC) Chair Paul Atkins said the crypto market safe harbor proposal is now at the White House Office of Information and Regulatory Affairs for review.
Bitcoin ETF inflows rebound sharply, led by BlackRock
US-listed spot Bitcoin ETFs saw strong investor demand on April 6, recording $471 million in net inflows — the largest single-day total since late February, according to SoSoValue. The surge marks a notable shift after weeks of selling activity, suggesting institutional appetite for Bitcoin exposure is picking up again.
The bulk of inflows was concentrated in a few major funds, led by BlackRock’s iShares Bitcoin Trust and Fidelity’s Wise Origin Bitcoin Fund, with ARK 21Shares’ ETF also contributing significantly.
The renewed momentum follows a broader turnaround that began in March, when Bitcoin ETFs returned to net positive flows after experiencing outflows earlier in the year. Total assets under management have climbed back above $90 billion, indicating that capital is re-entering the sector as market conditions stabilize.
Despite the positive inflow data, market sentiment remains sensitive to macroeconomic forces. Analysts note that upcoming inflation data and broader economic signals could still influence whether this recovery in ETF demand continues or proves short-lived.
South Korea orders crypto exchanges to verify holdings every five minutes
South Korea has ordered all crypto exchanges to reconcile their internal ledgers with actual asset holdings every five minutes after an inspection uncovered weaknesses in internal controls.
The directive was announced on Monday by the Financial Services Commission (FSC) after a meeting with top crypto exchanges and the Digital Asset Exchange Alliance (DAXA), during which they discussed the findings of an emergency inspection triggered by the Bithumb payout incident.
The inspection found that three of the country’s five major exchanges were reconciling balances only once every 24 hours, limiting their ability to respond quickly to discrepancies. Systems designed to halt trading during major mismatches were also found to be insufficient, raising concerns about how exchanges would handle large-scale errors.
In February, Bithumb mistakenly distributed 620,000 Bitcoin (BTC) to 249 users during a promotional event. The exchange later announced that it recovered 99.7% of the funds the same day. The remaining 0.3%, 1,788 BTC that had already been sold, was covered using company reserves.
Under the new measures, exchanges must implement automated ledger-to-wallet reconciliation systems operating on a five-minute cycle. They will also be required to introduce defined criteria for triggering automatic transaction halts in the event of significant discrepancies.
Crypto market safe harbor lands at White House for review
US Securities and Exchange Commission Chair Paul Atkins has revealed that a key crypto market safe harbor proposal has landed at the White House for review.
Speaking at the Digital Assets and Emerging Technology Policy Summit on Monday, Atkins said the Regulation Crypto Assets proposal — outlined by the SEC in mid-March — has now been submitted to the Office of Information and Regulatory Affairs.
"We will have reg crypto that we will be proposing here shortly. It's in fact at OIRA right now, which is the next step before being published," he said.
Regulation Crypto Assets covers three main ideas: a startup exemption, a fundraising exemption and an investment contract safe harbor for issuers.
If the proposal does end up becoming official rules as part of the SEC’s oversight, it could drive more crypto innovation in the US while providing further regulatory clarity for the industry.
Atkins emphasized that the SEC wants to "hear from the marketplace" to make the whole package "workable." He did not go into many specifics but said there were a few things the SEC is "building into it" alongside measures such as crypto safe harbors and exemptive relief.
