The largest bank in the United States, JPMorgan, estimates that exchange-traded funds (ETFs) based on XRP, Ripple’s cryptocurrency, could attract between $4 billion and $8 billion in investments over the first 6 to 12 months, if approved. approved by the regulator.
This projection is part of a broader analysis which places the total potential of cryptocurrency ETFs at $14 billionBloomberg reported.
JPMorgan analysts, led by Kenneth Worthington, based their prediction on the adoption of similar products, such as bitcoin (BTC) and ether (ETH) ETFs, Ethereum’s cryptocurrency.
At the moment, bitcoin ETFs manage $108 billionwhich is equivalent to 6% of the market capitalization of the digital asset. For their part, ether ETFs have raised $12 billion in six months, representing 3% of their market value.
Although bitcoin remains the favorite of investorsJPMorgan anticipates that other digital assets, such as solana (SOL) and XRP, could draw significant interest.
The ETFs of SOL could raise between 3,000 million and 6,000 million dollars in the same period, analysts point out.
XRP and regulatory change
Monica Long, president of Ripple, believes that XRP has high potential to become the next digital asset to back an ETF.
According to Long, the administration led by Donald Trump could open new opportunities for financial products based on cryptocurrencies. Among its proposals are measures such as the creation of a national strategic bitcoin reserve and more favorable regulations.
Eric Balchunas, Bloomberg ETF analyst, pointed out thatalthough his team has not made specific predictions about XRP, considers JPMorgan’s analysis reasonable. However, He stressed that everything will depend on regulatory decisions.
The role of the SEC and pending applications
The United States Securities and Exchange Commission (SEC) has under review several applications for ETFs based on XRP, presented by companies such as Canary Capital, Bitwise, 21Shares and WisdomTree, as reported by CriptoNoticias.
These proposals await a response in a context where the policies of the new administration could influence the future of the industry.
The future of cryptocurrency ETFs
JPMorgan notes that, despite the optimism, doubts remain about the demand for new financial products based on cryptocurrencies. According to its analysts, market growth will depend on investor acceptance and the regulatory framework.
For now, interest in XRP and other digital assets continues to rise, as the financial sector closely watches the SEC’s decisions and the impact of possible political changes.
