The US Securities and Exchange Commission (SEC) is currently in the process of reviewing 72 crypto-related exchange-traded fund (ETF) filings, as reported by Bloomberg senior ETF analyst Eric Balchunas on April 21.
These filings encompass a wide range of digital assets, from XRP, Litecoin (LTC), and Solana (SOL) to meme coins like Dogecoin (DOGE) and themed funds linked to internet culture, such as Pudgy Penguins. The industry is making a concerted effort to bring a variety of digital assets to the US ETF market.
The proposals include spot ETFs for Solana, Dogecoin, and XRP, as well as leveraged and inverse products tied to Solana and XRP derivatives. Additionally, issuers are seeking approval to offer options trading on newly launched or proposed crypto ETFs, especially those linked to Ethereum (ETH) and Bitcoin (BTC).
Balchunas drew a comparison between the approval of ETFs and a band gaining access to major music streaming services, stating that it doesn’t guarantee listens but puts the music where the majority of listeners are.
The filings cover a diverse array of strategies beyond traditional spot ETFs. Several issuers, including ProShares and Tuttle Capital, have proposed leveraged, inverse, and thematic products targeting speculative traders and those seeking tailored exposure to crypto price movements.
While there is an influx of altcoin and meme coin-related funds entering the crypto ETF landscape, it is expected that Bitcoin will continue to dominate the segment. Bitcoin ETFs currently account for around 90% of global crypto fund assets, and even with the introduction of new products, Bitcoin is projected to maintain a significant share, likely between 80% and 85% in the long term.
This reflects Bitcoin’s position as the primary institutional entry point into the crypto market. The forthcoming SEC decisions, with many deadlines extending into mid-2025, will play a crucial role in shaping how traditional finance markets integrate crypto exposure.
Overall, the approval of these ETFs could lead to a more diverse market, yet Bitcoin is expected to remain at the forefront. The integration of crypto assets into traditional financial markets will be influenced by the SEC’s decisions in the coming months.