Altcoins
Potential Solana and XRP ETF Approval Is At Risk, Here’s Why — TradingView News
As the cryptocurrency community continues to celebrate the start of Ethereum spot trading (ETF), hopes of an eventual launch of altcoin ETFs seem unlikely. This fear looms despite the initial filing of a Solana-based ETF by VanEck and 21Shares.
BlackRock’s Reluctance to Embrace Altcoins
According to a report, a major asset manager, the multi-billion dollar investment giant BlackRock, is reluctant to embrace other altcoins. According to Robert Mitchnick, head of digital assets at BlackRock, “BlackRock sees ‘very little interest’ in cryptocurrencies beyond Bitcoin and Ethereum.”
This revelation could have a significant impact on the likely approval of the applications already filed to obtain regulatory approval for these ETF products. It is worth noting that BlackRock wields enormous influence in the financial world and now in the cryptocurrency ecosystem. Some speculate that its filing for Bitcoin and Ethereum ETFs has facilitated regulatory approval.
The major asset manager’s lack of interest in the crypto space threatens the approval of other altcoin ETFs. The rigors of obtaining regulatory approval and the scrutiny of the US SEC cannot be considered a walk in the park.
Ripple CEO Brad Garlinghouse commented in an interview on the earlier delay in approving the Ethereum spot ETF, joking about how the SEC had to be “dragged kicking and screaming” to approve the Bitcoin spot ETF. However, he seemed optimistic that approval of the XRP ETF remains inevitable.
Without BlackRock, how will others fare?
However, the recent update on BlackRock’s stance on these other altcoins shows that the pressure on the regulator will not be very strong. In fact, in the face of this uncertainty, stakeholders are still unsure how other asset managers will react.
As reported by U.Today, asset manager Franklin Templeton and Japanese firm SBI Holdings appear set to partner for the launch of a planned ETF in Japan, where Bitcoin and Ether spot ETF products have already been introduced. The move is reportedly in preparation for an XRP and Solana ETF.
Franklin Templeton has not expressed interest in replicating this experiment in the United States.