30s Summary
A surge in attempts to launch ETFs for alternate cryptocurrencies in the US could indicate anticipation of a Donald Trump victory in the upcoming presidential elections. Eric Balchunas, a Bloomberg Intelligence analyst, suggests a Trump victory would likely yield a less strict SEC chairperson, favorable to cryptocurrency ETFs. Meanwhile, Bitcoin and Ether ETFs have already launched successfully in the US, while requests for other cryptocurrencies await approval. Trump seeks to make America a “crypto capital”, while Kamala Harris appears more open to crypto than Joe Biden, and Trump has pledged to replace Gary Gensler, current head of SEC, if he wins.
Full Article
There’s been a rush of people trying to launch exchange-traded funds (ETFs) for alternate cryptocurrencies in the US, and according to Eric Balchunas, a Bloomberg Intelligence analyst, this could be seen as a bet on Donald Trump winning the upcoming presidential elections.
During a conference in Switzerland, Balchunas claimed that if Trump wins, he’ll probably appoint a less rigid chairperson for the Securities and Exchange Commission (SEC), which could favor cryptocurrency ETFs.
He suggested that if Trump wins, we should keep an eye on this development, but we may need to hit pause on our hopes for a few years if Kamala Harris takes the victory instead.
Bitcoin and Ether ETFs have successfully launched in the US earlier this year after the SEC finally gave the go-ahead. Now, there are requests to launch ETFs for other digital coins, like Solana and XRP. In July, the Cboe secured permission to list VanEck’s and 21Shares’ planned Solana ETFs. In October, Canary Capital and Bitwise both filed to launch XRP ETFs, with Canary also filing a spot for a Litecoin ETF.
Donald Trump, the Republican candidate is more vocal about his goal to make America the “crypto capital of the world”. Kamala Harris, the Democrat candidate, has been less clear on her stance, but she seems more open to cryptocurrency than her colleague, President Joe Biden. According to Galaxy Research, while Biden’s SEC has taken a tough position and initiated many regulatory actions against cryptocurrency companies, Trump has promised to replace Gary Gensler, the current head of SEC, if he wins the election.
Cryptocurrency funds made up 13 of the 25 largest ETF launches by investment inflows in 2024, said Nate Geraci, president of The ETF Store. Bitcoin, in particular, has had a big year, with six of the top 10 most successful launches.
Source: Cointelegraph