One of the main topics of the cryptocurrency market for over a year already are exchange-traded funds. First it was leading cryptocurrency Bitcoin (BTC), then major alternative asset Ethereum (ETH), and now after their approval the focus shifted to other assets. Popular ones first of all.
It's no secret that the likes of Dogecoin (DOGE), Litecoin (LTC), Solana (SOL) and XRP are all on the consideration by the SEC and issuers to be the next in line for ETF approval. The deadline is far stretched, but the acknowledgment is here already.
Alex DovbnyaReacting to recent developments, the president of ETF Store, an investment advising firm that specializes in these classes of financial tools, Nate Geraci, said that he himself has no idea what the SEC will do.
However, the expert loves that the watchdog acknowledged filings for Bitcoin and Ethereum ETF in-kind creations and redemptions.
More to it, the staking in Ethereum ETFs, which was previously dismissed by the regulator, is back into consideration, as well as various applications for SOL, XRP, LTC and DOGE ETFs. Clearly open to constructive conversation, says Geraci.
In his view, this is regulation via conversation, which differs from the enforcement and denial approach implied by the previous SEC line-up.
Gamza KhanzadaevThe advantages are indeed impeccable. Once approved, exchange-traded funds (ETF) would give investors exposure to these alternative cryptocurrencies through a regulated stock market, without the need to operate through private keys or crypto wallets, or make it to a centralized platform. A big breakout for institutional adoption.
But there's still a lot of uncertainty. We don't have any clear timelines or guarantees, just guesses and slow progress. Though, for now, patience remains essential.
Dan Burgin
Vladislav Sopov