Originally published on: November 15, 2024
A recent prediction by Matthew Sigel, VanEck’s head of digital asset research, has sparked excitement in the cryptocurrency market. Sigel foresees a high likelihood of a Solana exchange-traded fund (ETF) listing in the United States before the end of 2025. This optimistic outlook comes on the heels of Donald Trump’s election win, widely considered to be crypto-friendly.
Sigel believes that the US Securities and Exchange Commission (SEC) will be more open to approving cryptocurrency products under a Trump administration. With over half a dozen proposed crypto ETFs awaiting regulatory approval, the future looks promising for altcoin investors.
In 2024, asset managers submitted regulatory filings for ETFs holding altcoins such as SOL, XRP, and Litecoin, signaling a growing interest in diversifying cryptocurrency investments. Additionally, issuers are awaiting approval for crypto index ETFs that aim to hold diverse baskets of tokens.
The recent influx of ETF filings has been likened to “call options on a Trump victory” by Eric Balchunas, an ETF analyst at Bloomberg Intelligence. With Trump expected to appoint a more libertarian SEC chair, the crypto community is optimistic about the regulatory environment under his administration.
The appointment of a new SEC chair is eagerly anticipated, with Summer Mersinger reportedly being considered for the role. Mersinger, a Republican CFTC commissioner, has advocated for a more crypto-friendly regulatory approach, which could bode well for the industry.
In light of recent developments, including the SEC’s review of Grayscale’s ETF listing request and options tied to spot Ether ETFs, the future of cryptocurrency investments looks brighter. Matt Hougan, chief investment officer of Bitwise Asset Management, described the post-election climate as a “massive win for crypto.”
With regulatory barriers potentially easing, the sector is poised for significant growth in the coming years. Stay tuned for updates on the evolving crypto landscape.
