Expert says multi-asset ETF approval for XRP, Solana and Cardano likely this week
The US Securities and Exchange Commission (SEC) has entered the final stages of reviewing Grayscale Investments’ application to convert its $760 million digital large-cap fund (GDLC) into an exchange-traded fund, with a legal deadline of July 2.
The fund will hold Bitcoin, Ethereum, XRP, Solana and Cardano.
ETF Store President Nate Gerasi told his followers that the change is “highly likely” to be approved, and that separate spot ETFs for other cryptocurrencies, including XRP, Solana and Cardano, are also expected to follow.
Gerasi’s positive assessment is based on the composition of GDLC’s assets, which as of June 27 are 80.8% Bitcoin and 11.1% Ethereum, while the combined share of XRP, Solana and Cardano is only 8.1%.
This ratio is well below the threshold at which regulatory concerns typically arise.
They say the multi-token product is a low-risk experimental platform that allows the agency to gradually move into other assets.
This gradual strategy is in line with the SEC’s own policy, as spot Bitcoin ETFs were approved in January 2024, and spot Ethereum ETFs were approved seven months later.
In addition, since February, the SEC has allowed ETFs to hold up to 15% of their portfolios in illiquid private credit instruments, which suggests that allowing up to 10% in crypto assets is logical.
In addition, Grayscale filed an amendment to its Form S-3 for GDLC on June 26, which shows that the SEC is active in this matter.
The document includes updated information on custody, creation unit size and index methodology. are, which are usually added only after the SEC comments,
Outside experts also agree on this possibility,
Bloomberg Intelligence’s James Seyfarth has said that since the amount of non-Bitcoin and non-Ethereum portion is small, the SEC could approve the application,
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