Crypto funds just hit the brakes after two straight weeks of money pouring in—clocking a massive $513 million in outflows last week. What’s behind the sudden change in mood? The latest drama with Binance, the world’s biggest crypto exchange, sparked fresh fears about instability in the market, according to data from CoinShares.

Investors who track wallets and blockchain activity—known as onchain investors—reacted with more anxiety to Binance’s liquidity problems. Meanwhile, traders handling crypto ETPs (think: crypto versions of mutual funds and ETFs) seemed less fazed by last Friday’s market crash. Still, the shift in confidence didn’t go unnoticed as Bitcoin-focused products saw the biggest withdrawals.

Why does this matter if you’re a young investor or thinking about buying crypto? Regulatory drama, especially crackdowns on big platforms like Binance, can make the entire digital asset market volatile. With $513 million leaving crypto funds in just a week, it’s a clear signal that many investors aren’t sure where things are heading. If you’re planning on investing—or just want a fairer financial system—pay attention: political leadership and regulation can make or break the crypto scene.

Bottom line: Until the world’s financial regulators and politicians offer clearer policies, expect sudden market moves every time a major exchange lands in hot water.