Cryptocurrency analyst and industry observer Adriano Feria has predicted that spot exchange-traded funds will mark "the beginning of the end" for the Ripple-linked XRP token.
Feria is convinced that the launch of such products will reveal that there is no actual institutional demand for XRP.
Will there be demand for XRP ETFs?
Some analysts are optimistic about the future performance of the yet-to-be-approved XRP ETFs based on the success of CME Group's regulated futures that track the price of the Ripple-linked token.
As reported by U.Today, it is the derivatives trading behemoth's fastest contract to surpass $1 billion in open interest (OI).
During a recent interview, Canary Capital CEO Steven McClurg predicted that XRP ETFs could potentially attract $5 billion worth of inflows during the first month. He argues that XRP is the second most well-known cryptocurrency in Wall Street circles (behind only Bitcoin).
BlackRock and Fidelity remain on sidelines
BlackRock has reportedly confirmed that it has no intention to launch an XRP ETF, which might be a potentially worrying sign for the token.
The iShares Bitcoin Trust ETF (BTC) and the iShares Ethereum Trust ETF (ETHA) account for the lion's share of all inflows recorded by Bitcoin and Ethereum ETFs.
Fidelity, the second-biggest player in the cryptocurrency ETF sector, has also refrained from filing for an XRP ETF despite filing for a Solana-based one.
Still, there are a total of 15 pending XRP ETF applications from a slew of smaller players.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team