Bloomberg analysts are positive about the majority of cryptocurrency-based exchange traded funds Or the ETF will get approval from the US Securities and Exchange Commission (SEC) in 2025.
Crypto investors may have a lot of options next year when it comes to publicly traded crypto securities, one of which will be a combination of Bitcoin and Ethereum.
wave of crypto etfs
Two Bloomberg analysts predict that exchange-traded funds – specifically XRP and Solana – will soon be flooded with cryptocurrency space Because they expect the SEC to approve many of these investment instruments next year.
“We expect a wave of cryptocurrency ETFs next year, even if not all at once,” Eric Balchunas, one of the Bloomberg analysts, said in a post.
There is an atmosphere of optimism in the crypto market as the incoming administration of US President-elect Donald Trump indicated that current SEC Chairman Gary Gensler will step down from his office.
We expect a wave of cryptocurrency ETFs next year, even if not all at once. First up is likely a BTC + Eth combo ETF, then prob Litecoin (bc its a fork of BTC = commodity), then HBAR (bc not a labeled security) and then XRP/Solana (which are labeled as pending securities… ) pic.twitter.com/29vMdciZxE
– Eric Balchonas (@EricBalchonas) 17 December 2024
Gensler is regarded as an anti-crypto state official who has imposed strict regulations on the cryptocurrency sector that hinder the growth of digital assets in the US.
Many crypto traders are optimistic that Trump will appoint a new SEC chief who will be more open to crypto exchange-traded funds.
Bitcoin-Ethereum ETF will get a boost
Balchunas and fellow Bloomberg analyst James Seifert believe an exchange-traded fund that holds Bitcoin and Ethereum together would be the first crypto-based traded securities to get the green light from the SEC.
“Dual Bitcoin and Ethereum ETFs from Hashdex, Franklin [Templeton] And Bitwise will likely be the next spot crypto ETF approved,” Seifert said in a post.
Asset managers from Bitwise, Hashdex and Franklin Templeton are anticipating the launch of this exchange-traded fund that pairs the two cryptocurrencies with the largest market capitalization. Therefore, these asset managers have already expressed their interest in issuing tradable securities.
Earlier this year, the SEC approved the ETF Bitcoin in January and another for Ethereum in July. Meanwhile, the new exchange-traded fund will be the first time the two largest cryptos are merged into one traded securities.
Delays expected for XRP-Solana
Some crypto analysts claimed that ETFs combining XRP and Solana may have to wait a little longer, hoping that the current SEC administration will not allow trading securities as these digital assets are involved in the legal battle involving XRP and Solana. Are classified as securities. ,
Business journalist Eleanor Terrett commented that two of the five applications for an exchange-traded fund for Solana have been rejected by the current SEC leadership this month.
Meanwhile, Balchunas and Seifert are still optimistic that the combined XRP and Solana traded securities will receive a nod from the new SEC administration.
“Both the Solana and XRP ETFs will have to wait until the new SEC administration takes control before seriously considering them,” Seifert said.
Featured image from Reuters, chart from TradingView
