Bitcoin and ETH spot ETFs have become lucrative tools for investors to explore. Following their launch, crypto enthusiasts are now hoping for the SEC to green-light other altcoin ETFs, given the roaring success of Bitcoin ETFs launched last month.
Altcoin ETFs May Soon Take Over The Market: Davis
Per Lark Davis, a prominent podcaster in the space, the SEC may soon approve the launch of altcoin ETFs. Davis speculates that the crypto space can document the launch of XRP, Dogecoin, and Solana-backed ETFs in no time.
He later shared that Ethereum’s potential surge to $4,000 by May 23rd is attributed to speculation surrounding the launch of ETH ETFs as the next big thing. Furthermore, he outlined how the launch of a potential ETH ETF could stimulate other altcoin ETFs to take over the space.
“What happens when we get an Ethereum ETF? What do you think the market’s going to pivot to almost immediately? That we’re going to get more altcoin ETFs.” Davis shared.
Per the report, Davis’ speculative comments stem from a standard chartered bank report, which outlines that the SEC may soon approve ETH-backed ETFs.
Also Read: Ethereum Shock: $113K Gas Fee Spree Leads to Crypto Catastrophe
Ark Invest CEO Cathie Wood Doubts the Launch of Other ETFs
While Davis is bullish on altcoin ETF approval, ARK Invest CEO Cathie Wood thinks the opposite. Wood shared that the SEC will never greenlight ETFs beyond Bitcoin and Ethereum.
“We’d be surprised to see anything but Bitcoin and Ethereum being approved by the SEC.”
Also Read: Ark Invest’s Cathie Wood Expresses Qualms about ETFs beyond BTC and ETH
The SEC has always displayed a stern stance on crypto-backed ETFs. Soon after approving the launch of Bitcoin ETFs, SEC chair Gensler was quick to express his skepticism on the same.
While we approved the listing and trading of certain spot bitcoin [exchange traded product] shares today, we did not approve or endorse bitcoin,” He later called bitcoin a ”speculative, volatile asset that’s also used for illicit activity, including ransomware and terrorist financing.”.