Consensys CEO and Ethereum (ETH) co-founder Joseph Lubin says there’s a massive amount of sidelined capital waiting for crypto exchange-traded funds (ETFs) to hit the market.
In an interview with CNBC, Lubin says there are hundreds of billions of dollars sitting in the hands of professionals in the traditional finance industry waiting for easier, regulated exposure to digital assets via an ETF.
“There is so much money on the sidelines managed by registered investment advisors (RIAs) in different kinds of funds like retirement funds and companies that want to access the technology, that want to gain exposure to these uncorrelated assets or digital asset classes.
And so there was a bit of a run-up by speculators in our own industry in the price of Bitcoin anticipating these ETFs and soon hopefully an Ethereum ETF, but the point is, there’s a giant amount of money – hundreds of billions of dollars on the sidelines that’s waiting to get in and get exposure to this asset class.”
Lubin says although the SEC doesn’t directly reveal any of its plans or intentions to the Ethereum Foundation, after Bitcoin (BTC), he thinks ETH is likely the next best candidate for a spot ETF approval from the regulator.
“Ethereum is arguably the most mature ecosystem, the deepest ecosystem. As a platform for decentralized applications, there’s just so much infrastructure and activity around the world. Bitcoin is a narrower technology but it’s a reasonably mature technology so they’re both prime candidates.
Solana is a great technology but it’s not a mature ecosystem yet.”
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/laskoart/Andy Chipus