According to a report from JPMorgan, the launch of a Ripple XRP and Solana SOL ETF could attract approximately $14 billion in inflows in their first year. The projection is based on market penetration rates similar to existing Bitcoin and Ethereum ETFs, which currently represent 3-6% of their respective tokens’ market capitalizations.
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Based on Solana’s current market cap of $90.5 billion, ETF assets could reach $5.2 billion at 6% penetration or $2.7 billion at 3% penetration, JPMorgan notes. “The key question here remains the uncertainty of investor demand for additional products and whether new crypto ETP launches will matter,” JPMorgan analysts including Kenneth Worthington wrote in a note.
Solana’s SOL and Ripple’s XRP cryptocurrencies are two of the top altcoins on the cryptocurrency market. Both had explosive 2024s in terms of price growth, and will likely replicate that in 2025. Additionally, the launch of ETFs for the respective cryptocurrencies will also spark rallies for the coins. While XRP’s ETF appears more likely than SOL’s according to some experts, both are certainly top candidates for SEC approval.
XRP and SOL ETF Applications Already Pending Approval
Multiple asset managers in the US have already filed applications for both XRP and SOL ETFs. Following the launch of Bitcoin ETFs in early 2024, Bitcoin’s price exploded by nearly 100%. The leading crypto coin by market cap ended 2024 reaching $100,000 on multiple instances. This framework of ETF launch could also come with XRP and Solana assets, which are expected to reach new all-time highs in 2025 already.
Read this : Ethereum Price Prediction: Will ETH Soar to $4,000?
JPMorgan acknowledged that progress on ETFs beyond Bitcoin and Ether may be slow due to the change of administration, especially given the lack of regulatory clarity. However, the analysts still “expect other ETP applications to be submitted — and perhaps approved — in 2025.” With Gensler set to depart next week as President-elect Donald Trump takes office, the SEC will welcome a new chairman, Paul Atkins, who is viewed as more supportive of crypto and innovation. This change in leadership, once confirmed by the Senate, could open the door to a more favorable regulatory environment for crypto ETFs.
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