EU Markets Make Way for First Ether Staking ETF: dYdX CEO
European markets could see the introduction of the first Ether stacking exchange-traded fund (ETF), a major step forward for cryptocurrency adoption.
According to Charles d'Haussy, CEO of the dYdX Foundation, the cryptocurrency industry may soon see an ETF based on Ether (ETH). This marks a significant milestone in the adoption of crypto ETFs.
Speaking exclusively to Cointelegraph at EthCC, d'Haussy said the next critical question is the launch of the first Ether staking ETF.
“The United States may not be ready for that, but the European market or some nearby market will give us a way to invest in Ethereum ETFs.”
ETFs can bring significant returns to the underlying crypto asset and contribute significantly to price appreciation. For Bitcoin (BTC), ETFs accounted for 75% of new investment in the world's largest cryptocurrency on February 15, which topped $50,000.
d'Haussy said he is bullish on the next Ether ETF, which could be an Ether staking ETF or a staked Ether ETF, which could have different implications. He explained.
Related: Institutions More Bullish on Ether than Retail Ahead of ETH ETF Launch
Launch of US spot Ether ETFs “imminent”
Meanwhile, the industry is eagerly anticipating the launch of the first U.S. Spot Eater ETF, which is expected to launch next week.
When d'Haussy was asked about the early work of Ether EFF, it was only a matter of time:
” of [Ether ETF] Launch is coming soon. We can't wait any longer. Think we're talking about weeks.
According to James Seifert, an ETF analyst at Bloomberg, the Greyscale fund comes with the lowest exit fee of 0.15% of all futures ETF issuers.
Related: Ether ETF opens floodgates for Solana ETFs and crypto products: Analyst
The Ether ETF accounts for 25% of the Bitcoin ETF's AUM
Despite the growing optimism surrounding Ether ETFs, some investors fear potential disappointment in terms of income streams.
However, he expects dYdX's d'Haussy Ether ETF to hold around 25% of assets under management (AUM) in the current space of Bitcoin ETFs. he said:
“Of the AUM in a crypto ETF, 75% will be Bitcoin and 25% ETH. Why? I'm thinking this much if I look at the small amount of ETFs and ETFs that have been released in the European markets.
The U.S. spot has accumulated more than $57.1 billion worth of holdings in the chain since the Bitcoin ETFs launched in January, Dunn said. If Ether ETFs can replicate 25% of Bitcoin ETF revenues, they will capture over $14.2 billion in revenue in the first six months.
Yet, Ether ETFs can only be a “sidekick” to Bitcoin ETFs in terms of revenue, according to Eric Balchunas, senior ETF analyst at Bloomberg. Balchunas told Cointelegraph:
“Bitcoin is like enough crypto hot sauce. You know I'm good. Anyway, these things move together. Ethereum is hard to explain, but what I'm seeing is a fan. [to Bitcoin]He said.
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