According to GSR, Solana is ahead of XRP and Cardano in the ETF race.
Leading crypto market maker GSR said that Solana has a higher chance of getting approved as an ETF than Cardano and Ripple’s XRP, which may not receive clearance anytime soon. According to GSR’s thorough study, the US will adopt a crypto-friendly regulatory framework where the approval of ETFs is mostly dependent on market demand and decentralisation. The fact that GSR had a long trade position in Solana was also reported.
Solana Outstanding Projects GSR claims that Solana performs exceptionally well in these areas, setting it apart from the competition. The blockchain platform’s planned Firedancer client demonstrates a step towards decentralisation. It also meets a sizable portion of market demand.
Solana has taken significant steps towards decentralisation. It is a significant move to lessen centralised management and improve network resilience that Firedancer is attempting to diversify its network clientele. The asset has continuously demonstrated good market performance and significant trading volumes, demonstrating investor confidence and the possibility of ongoing demand, making Solana’s market demand equally compelling.
With future inflows playing a major part in asset selection, Solana is a compelling option for an ETF because of all these characteristics.
Whose ETF Possibility Score Is Higher?
GSR generated a statistic called the ETF potential score by taking into account the demand and decentralisation scores. With the greatest ETF potential score going to Ethereum, NEAR Protocol and Solana came next. The ETF potential score of altcoins such as Avalanche, Aptos, ADA, XRP, and Cosmos is negative. In the event that the other spot digital asset ETFs are approved in the US, GSR stated that the results indicated Solana should come next.
Moreover, the analysis conducted by GSR delves into the possible influence of approval of ETFs on the price of Solana. Comparing Solana’s experience to that of Bitcoin, whose ETF voyage contributed to its price spike,comparable increase. GSR presents a number of scenarios, ranging from cautious projections of a 1.4x price increase to an exuberant 8.9x increase in the event of favourable conditions.
Solana’s Improving Prospects for ETFs
The recent action by Vaneck to apply for a Solana spot ETF highlighted the asset’s increasing institutional attractiveness and bolstered the case for Solana’s ETF possibilities.
Notably, as the excitement surrounding ETFs grows, Brad Garlinghouse stated at a prior conference that “I think it’s just a matter of time, and it’s inevitable there’s gonna be an XRP ETF, there’s gonna be a Solana ETF, there’s gonna be a Cardano ETF, and that’s great.”
ETF
Source News : COINPEDIA