The landscape of cryptocurrency exchange-traded funds (ETFs) is poised for significant transformation in 2025, as outlined in a recent report by Laser Digital, the digital asset arm of financial services leader Nomura. According to the report, more than a dozen crypto ETFs could see the light of day in the United States this year, contingent on approvals from the Securities and Exchange Commission (SEC).
To date, asset managers have submitted 12 filings to the SEC, each promising an array of innovative products targeting diverse digital assets. Among the products in the pipeline are a ProShares ETF that would tie returns to Bitcoin alongside the S&P 500, a combined Bitcoin and Ether ETF, as well as offerings connected to Litecoin, XRP, and Solana.
Interestingly, Laser Digital highlights that the Bitcoin/Ether ETF is anticipated to secure approval ahead of its peers, reflecting a growing acceptance of cryptocurrency amongst traditional financial institutions.
The successful launch of spot Bitcoin ETFs in January of last year set a promising precedent, with Blackrock’s iShares Bitcoin Trust (IBIT) amassing an impressive $53 billion in assets under management within its first 11 months, eclipsing all previous benchmarks for ETF launches.
The landscape further shifted with the recent appointment of crypto-friendly Paul Atkins as the SEC chairman, following the exit of Gary Gensler. This change in leadership, paired with the anticipated reduction in ongoing litigation against crypto entities, creates a more favorable environment for the approval of new ETF products.
As projected by Laser Digital, the ETF market is expected to experience notable growth in assets under management (AUM), with increasing participation from institutional investors as 2025 unfolds. This trend is further buoyed by the political landscape, with President-elect Donald Trump anticipated to reinstate a team of regulators that embraces the cryptocurrency sector.
In a notable development, asset manager Grayscale has expressed intentions to convert its Grayscale Solana Trust (GSOL) into an ETF by December, further signaling the rapid evolution of cryptocurrency investment vehicles.
For those interested in staying ahead in this dynamic market, emerging opportunities in cryptocurrency ETFs could be game-changing. As the industry prepares for a possible boom, stakeholders are keenly watching how the SEC’s decisions will shape the future of cryptocurrency investments.
