Eric Balchunas, one of many main ETF analysts, has poured chilly water on the prospects of an XRP exchange-traded fund being authorized by the U.S. Securities and Trade Fee (SEC) within the close to future.
The truth is, in response to Balchunas, the SEC is more likely to greenlight a Litecoin ETF earlier than an XRP ETF.
Earlier this month, the SEC reportedly notified a minimum of two of the 5 potential issuers that it meant to reject their filings for spot Solana ETFs.
The SEC is extensively anticipated to undertake a extra crypto-friendly stance subsequent yr after pro-crypto libertarian Paul Atkins was nominated to exchange SEC Chair Gary Gensler. Nevertheless, this doesn’t imply that XRP ETFs will probably be greenlit shortly after Atkins begins his time period, in response to Balchunas.
Each XRP and Solana have confronted “complicated authorized points,” so these points must be resolved earlier than the SEC will have the ability to approve spot ETFs.
Nevertheless, neither Litecoin (LTC) nor Hedera (HBAR) has ever been known as a safety by the SEC, which makes their path to a spot ETF simpler, in response to Balchunas.
On the similar time, the analyst has cautioned that it’s unclear whether or not there’s sufficient investor demand for the ETF merchandise that had been just lately filed by Canary Capital.