Crypto investor and CNBC ‘Quick Cash’ dealer Brian Kelly sparked debate on Crypto X on Wednesday after suggesting that Solana (SOL) could possibly be the following cryptocurrency to get a spot exchange-traded fund (ETF) in the US.
Kelly made the prediction throughout the CNBC post-market speak present Quick Cash on Could 22, a day earlier than the Securities and Alternate Fee is because of determine on at the least one proposed spot Ether (ETH) ETF.
Oh bizarre @cnbc says $SOL is the following ETF.
Hmm, the place have I heard that earlier than… pic.twitter.com/aYAedMhcM0
— ◢ J◎e McCann (@joemccann) May 22, 2024
“The commerce now could be, who’s subsequent,” requested Kelly, who can be the founder and CEO of the BKCM Digital Asset Fund:
“You’ve acquired to consider Solana as in all probability the following one. Bitcoin, Ethereum and Solana are in all probability the massive three for this cycle.”
Some business observers did not agree with Kelly’s prediction.
Nate Geraci, president of The ETF Retailer, believes a spot Solana ETF received’t exist till a Chicago Mercantile Alternate-traded Solana futures product is listed or Congress places a official cryptocurrency regulatory framework in place.
Solely Bitcoin (BTC) and Ether (ETH) futures have been accredited within the U.S. thus far.
Bloomberg ETF analyst James Seyffart shared Geraci’s view, noting such a improvement would happen “inside just a few years” of getting a Commodity Futures Buying and selling Fee-regulated market.
Seyffart believes a spot Solana ETF would see extra demand than each digital asset exterior of Bitcoin and Ether.
Nonetheless, Seyffart additionally highlighted that Gary Gensler and the SEC have flagged Solana as a safety in earlier Coinbase and Kraken lawsuits, which may complicate issues for potential future candidates.
Cinneamhain Ventures accomplice Adam Cochran had a contrarian view, who believes both Litecoin (LTC) or Dogecoin (DOGE) would be the subsequent coin to be included in a spot ETF as a substitute.
“A lot decrease demand, however cleaner paths,” Cochran mentioned. Each Litecoin and Dogecoin are powered by a proof-of-work consensus mechanism like Bitcoin.
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Few ETF issuers have voiced the prospect of submitting for a spot Solana ETF.
Nonetheless, trillion-dollar asset administration agency Franklin Templeton lately praised Solana and considered one of its founders, Anatoly Yakovenko, sparking hypothesis about whether or not the agency would consider filing a spot Solana ETF utility sooner or later.
Bitwise’s chief funding officer, Matt Hougan, predicted Solana could be the “crypto asset of 2024” and lately explored real-world use instances on the community that establishments may faucet into.
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