Blockchain
Solana (SOL) and XRP could be possible ETF candidates, says Standard Chartered
With the approval of an important filing in the race to launch an ether commercial (ETH) Exchange Traded Fund (ETF), industry leaders are already wondering what the next cryptocurrency could be.
Standard Chartered (STAN) said it believed Solana (SOL) or Ripple’s XRP could be the next contenders, but not before 2025.
“Even for other coins (e.g. SOL, XRP), markets will look ahead to their eventual ETF status, although this is likely a 2025 story, not 2024,” said analyst Geoffrey Kendric. “For now, bitcoin and ether dominance will increase, with even selective winners ‘next in line’.”
The Securities and Exchange Commission (SEC) on Thursday approved Forms 19b-4 submitted by would-be issuers. While this is an important step in the race to launch a spot ether ETF, it is only one of two forms that need regulator approval.
It could take weeks if not months – or even potentially indefinitely – for the SEC to approve the S-1, which so far has only been filed by a few potential issuers.
Several industry experts have suggested that SOL would be a logical choice for a third ETF, given its similarities to Ethereum.
Bernstein brokerage firm we read in a note on Thursday that, given Ethereum’s classification as a commodity, the token could follow a similar path. Solana is the third largest cryptocurrency after bitcoin and ether by market capitalization. This excludes the stablecoin Tether (USDT) and Binance Coin (BNB).
CORRECTION (May 24, 2024, 3:14 PM UTC): Fixes XRP stock symbol in title.