The SEC approved Ethereum ETFs, but JP Morgan doubts SEC will greenlight ETFs for Solana (SOL) and XRP. The Block reported JP Morgan’s view on the SEC’s strict stance on cryptocurrencies as securities.
Regulatory Challenges and the SEC’s Position
JPMorgan’s General Manager Nikolaos Panigirtzoglou highlighted the SEC’s impact on the approval process for altcoin ETFs. Panigirtzoglou said U.S. policymakers must recognize cryptocurrencies as non-securities for more altcoin ETFs approval.
Impact on the Crypto Market
The SEC’s cautious approach stems from the debate over classifying digital assets as securities. Ethereum ETF approval marked a significant step amid classification ambiguity. Panigirtzoglou noted the SEC likely won’t extend leniency to other altcoins. This could stifle altcoin ETF growth and adoption soon.
Read Also: XRP price analysis: Analyst predict XRP could surge towards $1.5 in next week
Market Reactions and Future Predictions
The crypto market closely watches the SEC’s decisions, as ETF approvals influence market dynamics. Bitcoin and Ethereum ETF approvals brought optimism, but skepticism surrounds altcoin ETFs. Investors must navigate regulatory challenges when considering future altcoin ETF approvals.
