Following the approval of Bitcoin (BTC) and Ethereum (ETH) ETFs, numerous ETF applications were submitted for many altcoins.
While the SEC has not yet approved any of these altcoin ETFs, September and October are expected for potential ETF approvals.
While it was predicted that altcoin ETFs would receive approval in a series, a surprising statement came from Bloomberg ETF analyst James Seyffart.
A Bloomberg analyst claimed that many altcoin ETFs will fail.
At this point, James Seyffart predicted that there is a high probability that many altcoin ETFs will go bankrupt.
Seyffart said the probability of his ETFs attracting significant capital inflows is almost zero in some altcoins, which he described as tokens with low market capitalization and low liquidity.
Seyffart noted that altcoins with low investment potential are likely to eventually be delisted from exchanges.
The analyst also noted that the possibility of being removed from the exchange is particularly relevant if there are five or more applications for the same altcoin awaiting ETP approval.
There are 92 Cryptocurrency ETFs Pending Before the SEC!
Seyffart also noted from his X account that a total of 92 crypto ETFs are awaiting approval by the SEC.
According to the altcoin chart awaiting SEC approval, the most ETF applications appear to be for Solana.
According to the table, among 92 ETF applications, Solana (SOL) ETFs are the altcoin with the most applications with 16 applications, followed by XRP with 15 applications, mixed asset funds with nine applications, ETH with six applications, and BTC, Dogecoin (DOGE) and Litecoin (LTC) with four applications each.
Apart from these altcoins, there are also Sui (SUI), Chainlink (LINK), Tron (TRX), Avalanche (AVAX), Cardano (ADA) and Polkadot (DOT).
Global asset managers such as BlackRock, Grayscale, Franklin Templeton, VanEck, 21Shares, ProShares, Tuttle Capital and others are among the ETF applicants.
*This is not investment advice.
