Despite traders’ hopes, it is unlikely that Ripple (XRP) and Cardano (ADA) ETFs will be realized in the short term. GSR has released a new report that includes its ETF probability scores, which assess the likelihood of cryptocurrencies obtaining their own exchange-traded funds.
The new data considers both the decentralization of the tokens and the demand for investment products. As a result, the report has sparked interest in a Solana ETF, but has cast significant doubt on other well-known digital assets.
Source: Observer Network
Read Also: Ripple CEO: US Securities and Exchange Commission Gensler will make Biden lose the 2024 election
Data shows that XRP and ADA are unlikely to obtain ETFs soon
This year, Bitcoin and Ethereum have received the first batch of cryptocurrency-based ETFs in the United States. Although the latter has not yet launched, both have indicated a significant step forward for the industry in the country. Now, traders are focusing on the current cryptocurrency pool and awaiting the next assets.
Despite Ripple (XRP) and Cardano (ADA) being popular choices, a new report suggests that they are unlikely to obtain ETFs soon. Instead, data shows that Solana is the next contender, apparently ranking alongside ETH and BTC as the top three assets in the market.
Source – NewsBTC
Read Also: Cardano withstands DDOS attack: Will ADA’s journey succeed to $1?
When analyzing decentralization, GSR gave XRP and Cardano scores of -0.9 and -0.1, respectively. The data shows that these two assets rank at the bottom among the observed cryptocurrencies by the company. From a demand perspective, these indicators have not become more encouraging.
The report points out that higher demand is a better indicator for ETFs in the near future. However, XRP and ADA have demand scores of -0.2 and -0.5, respectively. Similarly, this places them at the bottom of the pool.
According to GSR, Solana is the next contender. Their data shows that SOL “significantly outperforms the second-ranked digital asset and is the only digital asset, apart from Ethereum, to score positively in both decentralization and demand.”
