JPMorgan Predicts SOL and XRP ETPs May Attract $3–8 Billion

user avatar

by Giorgi Kostiuk

2 years ago

JPMorgan suggests that approval of new cryptocurrency-based ETPs, specifically for SOL and XRP, might draw substantial investments soon.

Significant Investor Interest in Cryptocurrency-based ETFs

Investors are anticipating the approval of the first exchange-traded funds (ETFs) based on cryptocurrencies SOL and XRP amid expectations of a more innovation-friendly regulatory regime in the U.S. following the inauguration of the new president. A January 13 report by JPMorgan suggested that these ETPs might outperform Ether-based ETFs within their first six months of trading.

Prospects and Uncertainties in the Altcoin Market

The potential for a SOL or XRP-based ETF has garnered significant investor interest, yet these projections are based on Bitcoin and Ether ETF adoption rates. Nevertheless, according to JPMorgan, altcoin demand is less stable, complicating projections for the success of new crypto-based ETPs.

Outside of a few primary tokens (BTC, ETH, SOL), the episodic nature of the crypto market is driven by varying investor sentiment and trendy new coins that may capture incremental attention for a limited time.JPMorgan

Timelines for SOL-based ETFs

Several major asset managers have submitted applications for a Solana ETF, including VanEck, Grayscale, 21Shares, Bitwise, and Canary Capital. The U.S. Securities and Exchange Commission is expected to make preliminary decisions on these applications by late January 2025. Alejo Pinto, founder of Solana layer-2 network Lumio, stated that ETF approval could significantly affect Solana's price.

While the approval of new cryptocurrency-based ETFs may significantly impact the market, numerous uncertainties remain. Investors are watching for regulatory developments and preparing for potential changes in the crypto landscape.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

Coinbase Reports Data Exposure Incident Affecting Customer Contact Information

Coinbase reported a data exposure incident involving Amplitude that compromised customer contact information, but assured that customer funds remain safe.

user avatarZainab Kamara

Bitcoin Drops Below $80,000 Amid Federal Reserve's Rate Decision

Bitcoin's price fell below $80,000 during trading on October 29 as markets reacted to the Federal Reserve's decision to maintain interest rates.

user avatarSon Min-ho

Importance of Security Guidance Highlighted in Ethereum Incident

The recent Ethereum incident emphasizes the importance of security guidance and the need for diverse validation infrastructure.

user avatarAyman Ben Youssef

Ethereum Software Teams Release Updates to Address Security Risks

Ethereum software teams have released updates to mitigate truststore exposure linked to compromised certificate authority keys from eMudhra.

user avatarTando Nkube

Google Cloud's New Service Enhances Key Management Security

Google Cloud's new Multiparty Compute service aims to mitigate risks related to key management in digital asset custody by splitting signing authority among independent participants.

user avatarKofi Adjeman

Google Cloud Launches New Service for Digital Asset Custody

Google Cloud has launched a new Multiparty Compute service to enhance institutional digital asset custody, addressing custody risks and potentially lowering barriers for firms in the digital asset market.

user avatarNguyen Van Long

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.