BlackRock, the world's largest asset management company, is exploring the possibility of launching an ETF focused on altcoins such as XRP and Solana. This decision is linked to newfound legal clarity for XRP and future potential for its ETF.
Expectations for Potential ETF Launch
Nate Geraci, an ETF expert, emphasizes BlackRock’s ambition to seize the next major opportunity following its success with Bitcoin and Ethereum ETFs. With legal barriers between Ripple and the U.S. Securities and Exchange Commission (SEC) cleared, XRP has gained a more favorable position, potentially paving the way for spot ETF applications.
Challenges Due to Regulatory Uncertainty
To date, BlackRock has not made any formal moves, maintaining focus on the successful performance of its Bitcoin and Ethereum products. Last year, ETF department head Samara Cohen noted that only Bitcoin and Ethereum meet the required liquidity and maturity standards. It remains unclear whether this perspective has shifted with XRP’s new legal status.
Global Developments and Market Predictions for ETFs
While ETF applications await approval, other major players have made strides. Companies like Bitwise, 21Shares, WisdomTree, and Grayscale have all filed for spot XRP ETFs. Analyst predictions suggest increased optimism for both individual altcoin ETFs and broader cryptocurrency portfolio products.
In light of recent developments and legal victories for XRP, the prospect of launching ETFs based on these altcoins is becoming increasingly tangible. Market developments and the approval of new products will be closely monitored.
