Ripple CEO: ETF Approval Could Unleash Flood of Capital into Cryptocurrency Market
Ripple CEO Brad Garlinghouse believes there will be a flood of new capital pouring into crypto if a spot Bitcoin ( BTC) ETF is approved.
“An ETF getting approved could create a lot of capital flowing into the market,” he said in a recent interview with CNBC.
However, the crypto veteran also mentioned that it is hard to balance these positive developments against other macro factors, namely wars in the Middle East and Europe.
“I go back to kinda first principles around big picture,” Garlinghouse added, noting that the crypto industry needs regulatory clarity and “lots of” utility to thrive.
“We need to be solving problems at scale. Not experiments. Not possibilities.”
"An ETF getting approved could create a lot of capital flowing into the market," @bgarlinghouse tells CNBC's @dan_murphy as speculation mounts over a spot Bitcoin ETF approval in the United States. pic.twitter.com/zNtppijYBn
— CNBC Middle East (@CNBCMiddleEast) November 10, 2023
The crypto boss specifically mentioned the prospects of tokenization and its growing adoption.
According to data accumulated by rwa.xyz, demand for tokenized Treasuries has sharply increased, reaching a staggering $750 million.
It is worth noting that crypto firms and investment funds are showing interest in these products to benefit from higher government bond rates significantly, as the recent market downturn has negatively impacted yields in the crypto lending space.
Currently, the average yield for all tokenized Treasuries stands at 5.24%.
As reported, experts anticipate the market capitalization of tokenized real-world assets (RWAs) could balloon to as much as $10 trillion by the end of the decade.
Likewise, asset management firm Bernstein has estimated that the size of the tokenization
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