Investors, especially crypto investors, are constantly on the lookout for new opportunities. As Alan Draper explains, there is always hype around a new crypto that could offer returns as well as new ways to multiply crypto holdings such as on an anonymous casino.
Crypto lovers have reason to rejoice as a new spot ETF was just recently approved. Less than six months after the spot Bitcoin ETF was given the green light, a spot Ether ETF has been approved. But according to Brad Garlinghouse, the CEO of Ripple Labs, it will not be the last by any means.
The World of Crypto ETFs:
The spot Bitcoin ETF was a community-wide pursuit for years and one of the reasons for this was that it could open the door to other assets being approved. This has proven to be true as while the spot Bitcoin ETF took years to come to fruition, the spot Ether ETF took less than six months after it.
The industry is still in a state of celebration and making predictions about the Ether ETF but according to Garlinghouse, more are on the way. At the Consensus 2024 event, he said, “I think it’s just a matter of time, and it’s inevitable there’s gonna be an XRP ETF, there’s gonna be a Solana ETF, there’s gonna be a Cardano ETF, and that’s great.”
When the spot Bitcoin ETF was first announced, there was a clear consensus on Ether being next in line. After all, it is the second-biggest crypto by market cap and visibility, which made it a clear choice.
However, the next crypto to get the spot ETF treatment is perhaps not as sure. XRP, Solana, and Cardano are all giants of the industry and any should be able to secure an ETF. Thanks to the successful applications for both Bitcoin and Ether, there is a tried and trusted roadmap to follow.
Garlinghouse did note, however, that the SEC in the United States could be clearer on the status of assets. The commission and the crypto space have had a fairly volatile relationship for years even outside of the pursuit of an ETF. As Garlinghouse points out, the commission did not explicitly say if Ether is now considered a security, despite claiming that it has made its rules clear.
The Future of Crypto ETFs:
Another benefit of the spot Bitcoin ETF being approved is that the collective expectations of crypto lovers were increased. Knowing that an ETF was a possibility made industry stakeholders bolder in pursuing other ETFs for other tokens.
Hopefully, as more tokens get the spot ETF treatment, the benefits will be spread all around. In the case of Bitcoin ETF, it reached a new all-time price high, has seen billions of dollars in inflow, has made a profit for investors, and has granted the asset more visibility.
Ether is on its way to hopefully getting the same and if Gralinghouse is correct, a wealth of other tokens will follow.
