Key Facts: Cryptocurrencies similar to Ethereum would no longer be securities but digital commodities. For Geoffrey Kendrick, cryptocurrencies in the US are going through a turning point. Geoffrey Kendrick, head of digital assets and forex research at Standard Chartered Bank, believes that spot ETFs for other cryptocurrencies would be around the corner, but not until 2025. The analyst assures that cryptocurrencies like Solana and XRP (Ripple) would be considered for the creation of new financial instruments of this type. The key to these possible cascade approvals of cryptocurrency ETFs would be in the status of Ethereum as an asset, this after the approval given by the United States Securities and Exchange Commission (SEC). According to the analyst, said admission would verify that the SEC no longer classifies ether (ETH), the native cryptocurrency of the Ethereum network, as a security.
If many other cryptocurrencies are technologically similar to Ethereum and are used in similar ways, doesn't that imply that they are also not securities, and could see their ETF products approved by the SEC at some point? That's the logic Kendrick employs when considering the cryptocurrencies that came under scrutiny alongside XRP in the 2023 court case.
In several cases, the core technology is so similar to ETH that it would be difficult for the SEC to claim they were securities given ETH's position. Geoffrey Kendrick, head of digital asset research at Standard Chartered
Closing his comments, the head of research at Standard Chartered explains that recent events related to ETFs will increase the dominance of bitcoin, ethereum, with some “next in line” cryptocurrencies becoming winners in the process. “The industry has been further validated by the SEC’s decision on ETH,” he opined.
Standard Charterer is a British bank headquartered in London. Source: Wikipedia
Solana could be next on the list
As reported by BitcoinDynamic, several analysts see the way open for the approval of a Solana ETF (SOL). Bernstein and CNBC's Brian Kelly think so. These views contradict the SEC's 2023 allegation against Binance that Solana is an unauthorized security. Speculation about upcoming ETFs occurs during a market boom, when ether ETFs have not yet started trading. For this market launch to take place definitively, the SEC must approve the S-1 application, documents that formalize the financial product. According to Bloomberg analyst James Seyffart, the approval of the S-1 It will take time, “We hope it takes a couple of weeks, but it could take longer.” Meanwhile, ETF specialist Eric Balchunas ventured with a tentative date: mid-June.