Asset management company VanEck believes that spot Ethereum ETFs could see as much demand as spot Bitcoin ETFs.
After the U.S. Securities and Exchange Commission (SEC) approved spot Bitcoin exchange-traded funds (ETFs), attention turned to spot Ethereum ETFs.
Although the regulatory agency has been cold towards spot Ethereum ETFs so far, many institutions have already applied to issue these ETFs.
One of the applicants, major financial firm VanEck, stated that spot Ethereum ETFs could occupy as large a space in the market as spot Bitcoin ETFs, citing additional positive aspects such as Ethereum’s proof-of-stake (PoS) system.
Commenting on the matter, VanEck Portfolio Manager Pranav Kanade stood out with his remarks:
From a market perspective, part of me believes that the market size for a spot Ethereum ETF could potentially be as big as spot Bitcoin ETFs. The world of investors seeking cash-generating assets is very large, and Ethereum clearly produces fees for token holders. As a part of it, if you don’t have an ETF that could offer staking, it’s still a cash-generating asset, so I think ETH could be more meaningful to more people as an asset than Bitcoin.
Market’s senior analysts reduced the likelihood of the SEC approving spot Ethereum ETFs from 70% to 30% by May.
