The US Securities and Exchange Commission (SEC) has greenlit two Bitcoin/Ether combo exchange-traded funds (ETFs) proposed by Hashdex and Franklin Templeton.
The approval order stated that these products are “substantially similar” to the existing spot-based Bitcoin and Ethereum ETFs that were approved by the agency earlier this year.
Nate Geraci, president of The ETF Store, said that it would be interesting to see if other issuers, including financial titan BlackRock, will attempt to launch similar products following the SEC’s recent approval.
The expert has predicted that there is going to be significant demand for these products, noting that financial advisors love diversification. These are market capitalization-weighed ETFs, with Bitcoin having roughly an 80% allocation in both products.
The recently approved ETFs will likely be launched in January, according to Bloomberg’s Eric Balchunas.
The SEC approved multiple Bitcoin ETFs in early 2024, setting the stage for a significant cryptocurrency rally. As reported by U.Today, US-based Bitcoin ETFs have now surpassed Satoshi Nakamoto in total holdings.
Ethereum ETFs, which went live in July, had an underwhelming debut with substantial inflows. That, they recently managed to gain some traction, logging two consecutive weeks of positive flows.
Some issuers also rushed to file for other altcoins ETFs, including Solana-based ones. However, the SEC recently indicated that it was not going to approve them for now.