Ethereum Likely The Only Spot Crypto ETF To Be Approved After Bitcoin: Bernstein
Wealth management firm Bernstein suggested Ethereum (ETH) may be the only digital asset after Bitcoin (BTC) to secure a spot ETF.
In a Feb 19 research paper, Bernstein discussed Ethereum’s prospects in the coming months in terms of staking rewards, possible institutional inflows, and an ETF approval.
According to the report, the leading altcoin might become the only other cryptocurrency to have a spot ETF after Bitcoin. This comes after several firms have made moves toward securing approval for a spot Ethereum ETF.
Analysts at the firm suggest that there is a 50% chance for an ETH ETF approval by May while adding that this is an almost certain probability by the end of the year.
Like Bitcoin, institutional investors are keen on Ethereum for many reasons, the main among which is its vast decentralized finance (DeFi) ecosystem.
Ethereum’s network remains the leading smart contract network, attracting a diverse range of decentralized applications (dApps).
“Ethereum with its staking yield dynamics, environmentally friendly design, and institutional utility to build new financial markets, is well positioned for mainstream institutional adoption.”
This year, the digital asset market has seen developments pointing to companies’ increased interest in a spot Ethereum ETF.
Following the approval of Bitcoin spot ETFs by the Securities and Exchange Commission (SEC), analysts believe ETH is next.
Bloomberg analyst James Seyffart suggested a decision will be made on May 23. Big-name firms such as BlackRock, VanEck, Hashdex, and Grayscale are seeking approval from the SEC.
Franklin Templeton just joined the spot #Ethereum ETF race. pic.twitter.com/zJvk9seXe3
— James Seyffart (@JSeyff) February 12, 2024
Recently, Franklin Templeton joined the race
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