A significant development in the cryptocurrency sector is anticipated for 2025, as experts predict that a new exchange-traded fund (ETF) combining Bitcoin and Ether will initiate a broader trend of cryptocurrency-focused funds. Analysts have begun to project that this innovative financial product could pave the way for additional ETFs in the near future, although the rollout is expected to occur gradually.
The first ETF to emerge is expected to be a dual-fund tracking both Bitcoin (BTC) and Ether (ETH), which may quickly be followed by other funds that include assets such as litecoin ( LTC ) or Hedera (HBAR). The approval of these upcoming ETFs may face hurdles, particularly as regulatory scrutiny remains high. Recently, several ETFs linked to Solana (SOL) were rejected by the Securities and Exchange Commission (SEC), indicating that assets perceived as riskier or more contentious could encounter delays in regulatory approval.
In contrast, litecoin and Hedera are viewed more favorably by regulators. litecoin ’s status as a fork of Bitcoin may allow it to be categorized as a commodity, increasing its chances of receiving approval. On the other hand, Hedera has not been classified as a security by the SEC, which simplifies the path for its potential ETF.
Despite a positive outlook for the approval of these funds, it is uncertain whether they will attract substantial investor interest. Observations suggest that an evolving regulatory environment could emerge if the SEC undergoes changes with new leadership. Under a prospective administration led by Donald Trump, there are expectations for a more favorable regulatory climate for crypto assets, particularly if pro-crypto candidates are appointed to key positions within the SEC.
As the industry looks toward 2025, the composition and reception of these new cryptocurrency ETFs will be pivotal in shaping the future of crypto investment.
