The altcoin ETF market in the U.S. is booming, with many companies filing applications not only for Solana or Cardano but also for unusual memecoins like Dogecoin, Bonk, and memecoins related to former U.S. President Donald Trump. However, one 'giant' memecoin is missing: Fartcoin, the seventh-largest memecoin by market cap, nearly $1 billion.
Reasons why Fartcoin ETF has not appeared.
Eric Balchunas, a senior analyst at Bloomberg Intelligence, expressed surprise that no Fartcoin ETF filings have been submitted, especially since its market cap is larger than Pudgy Penguins (which has an ETF filing by Cboe). Balchunas speculates that issuers may fear brand impact or are waiting for a 'good signal' from the SEC.
These speculations come amid the supportive stance on cryptocurrency from former President Trump, paving the way for altcoin ETFs this year. The Securities and Exchange Commission (SEC) is currently reviewing over 70 altcoin ETF applications.
The success of Bitcoin ETFs drives the Altcoin ETF race.
The success of Bitcoin ETFs, with $107 billion in assets under management last year and becoming the most successful launch in history, is also driving the altcoin ETF race. The influx of money into Bitcoin ETFs has expanded the appeal of this asset to institutional investors, continuing even in the face of challenging economic and geopolitical conditions.
FOMO (fear of missing out) seems to be a real factor for fund managers, evidenced by the large number of altcoin ETF filings as issuers seek to capitalize on the next big story, following Bitcoin ETFs which have demonstrated the 'hunger' of institutional players for digital assets.
Some altcoin ETF filings have been publicly recognized by the SEC and are under review. Last month, the regulatory agency delayed its decision on the Doge and XRP ETF proposals.
Fartcoin launched during the altcoin boom in 2024 and once reached a market cap of $3.2 billion.